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IDFC Mutual Fund launches IDFC CRISIL IBX Gilt April 2026 Index Fund

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IDFC Mutual Fund announced the launch of the IDFC CRISIL IBX Gilt April 2026 Index Fund, an open-ended Target Maturity Index Fund that will invest in constituents of the CRISIL IBX Gilt Index – April 2026. The New Fund Offer (NFO) opened on October 13, 2022, and closes on Wednesday, October 19, 2022.

Target Maturity Index Funds have a defined maturity date and invest in debt securities of maturity similar to that of the benchmark index. On maturity, the investment proceeds are paid back to unitholders. IDFC CRISIL IBX Gilt April 2026 Index Fund is a passively managed target maturity fund, which will invest in sovereign-rated instruments.

Vishal Kapoor, CEO, IDFC AMC said, “With changing economic and market conditions, investors are seeking to diversify their portfolio across quality debt instruments that could offer reasonable stability, higher liquidity and greater flexibility than traditional fixed-term instruments. Gilt Target Maturity Index Fund has a specified maturity period and invests in government securities, the highest quality debt instruments. Additionally, these open-ended funds provide significant liquidity to investors with an option to redeem their investments easily on any business day. These funds provide reasonable predictability of returns to those who remain invested till maturity, encouraging investors to mobilize their savings for a longer time horizon. Moreover, these funds offer the indexation benefit for investments above three years, helping investors save tax on long-term capital gains and enhance their earnings potential.”

Gautam Kaul, Fund Manager for IDFC CRISIL IBX Gilt April 2026 Index Fund added, “The recent increase in market expectation of monetary policy tightening has resulted in a spike in yields, especially at the shorter end of the yield curve. Given the upward yield shift in the 3–4-year maturity bucket, we believe that the 2026 GILT segment offers an interesting investment opportunity. IDFC CRISIL IBX Gilt April 2026 Index Fund is well-positioned to benefit from this strategy, making this launch very timely. The fund is suitable for investors seeking high-quality investments with a matching investment time horizon.”

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