Risk Disclosure
Risk Factors
Understanding risk is the first step to smart investing. Review the key risks for each product category before investing.
⚠ All investments carry risk. This document is a risk summary only — not an exhaustive list. Please read the full Scheme Information Document (SID) before investing.
Mutual Funds
Risk: Low–High- Market risk — NAV fluctuates with market conditions
- Liquidity risk — exit loads may apply within lock-in period
- Fund manager risk — strategy changes can impact returns
- Credit risk for debt funds — issuer default risk
Bonds & NCDs
Risk: Low–Medium- Credit risk — issuer may default on coupon or principal
- Interest rate risk — rising rates reduce bond market value
- Liquidity risk — secondary market for NCDs can be thin
- Inflation risk — fixed coupons may underperform inflation
Market Linked Debentures (MLDs)
Risk: Medium- Issuer credit risk — return depends on issuer solvency
- Market risk — returns linked to index performance
- Liquidity risk — no guaranteed secondary market
- Complexity risk — structure may not behave as expected
AIF & PMS
Risk: High- Concentration risk — less diversified than mutual funds
- Illiquidity — lock-in periods of 3–7 years are common
- Manager risk — performance heavily dependent on fund manager
- Regulatory risk — SEBI regulations for AIFs are evolving
EGR (Electronic Gold Receipts)
Risk: Moderate- Price risk — returns are linked to gold price movements and can be volatile
- Liquidity risk — exchange volumes for EGRs can be thin at times
- Vault risk — dependent on the credibility of the accredited Vault Manager
- Conversion risk — physical delivery is subject to minimum lot and location norms
Liquid & Overnight Funds
Risk: Very Low- Credit risk — minimal but possible in AAA-rated CPs
- Interest rate risk — marginal impact over very short tenor
- Regulatory risk — RBI policy changes affect money market yields