Invest in Credit Risk Mutual Fund or not?
What are Credit Risk Funds? Why investors stay away from this investment? How do these funds work? How much is the risk in this investment?
With softening of food prices, retail inflation declined marginally to 5.3% in August, according to the data released by National Statistical Office (NSO). In July 2020, the Consumer Price Index (CPI) inflation was 5.59%, whereas in August 2020 it was 6.69%.
Inflation in the food basket slowed down to 3.11% in August 2021 from 3.96% in July 2021, according to the data released by the National Statistical Office (NSO).
The CPI inflation was projected at 5.7% during 2021-22 by the Reserve Bank of India. It was projected 5.9% in the second quarter, 5.3% in the third, and 5.8% in the fourth quarter of the fiscal, with risks broadly balanced.
For Q1, 2022-23 CPI inflation is projected at 5.1%.
In its monetary policy review in August, the RBI had kept the key interest rate unchanged. The RBI’s bi-monthly monetary policy is decided in a way that it manages the CPI.