Target Maturity Funds: a fixed maturity date

Target Maturity Funds (TMFs) are passive debt funds that hold a basket of bonds maturing around a fixed date (say 2028 or 2030) and track an index of government/PSU debt.

• Predictability: hold to maturity and your return is close to the yield at purchase, regardless of rate swings in between.
• Open-ended & liquid: unlike an FD, you can exit early (at market price).
• Low cost & high quality (mostly G-Sec/PSU).

Great for goal-based debt investing with a known time frame. Debt taxation (slab) applies.

→ Explore them in the screener.