Medium Term Debt Shines in April

Just like their equity counterparts, none of the debt mutual fund categories went into the red in April. The best-performing category was Debt Medium Term in April. This category was the best-performing category in January after which it slipped into the red in February. However since March it has stayed in the green and has topped the table in April. Meanwhile Debt Ultra Short term category was the worst-performing category in April. (As was the case in March as well).

Debt: Ultra Short Term
As mentioned, this category was the worst performer in both March and April. It garnered 0.32 per cent return in April while it had posted a similar 0.31 per cent in March. The category had posted 0.24 per cent return in February and 0.28 per cent in January this year. The year-to-date (YTD) return of the category stood at 1.17 per cent at April end. All the 54 funds in this category managed to stay in the green during the month.

Principal Money Manager Regular was the best-performing fund in April: it clocked 0.47 per cent return. JP Morgan India Liquid Retail came second, clocking 0.40 per cent return. At the other end of the spectrum, Birla Sun Life Cash Plus Sweep was the worst performer after clocking 0.08 per cent return in April.

LICMF Liquid, the biggest fund in this category with an AUM of Rs 6307.95 crore as on April 39, 2010 posted 0.32 per cent return. This fund had posted 0.35 per cent return in March.

Floating Rate
Long Term Floating Rate Funds posted better returns in April than their short-term counterparts just as they did in March. Long Term Floating Rate category clocked 0.41 per cent in April against the 0.43 per cent return in March. Floating Rate Short Term category posted 0.38 per cent return both in April and March.

All the ten funds under the Long Term Floating Rate category stayed in the green in April. HDFC Floating Rate Income LT was the best performer with a return of 0.60 per cent. Tata Floating Rate LT clocked the minimal 0.26 per cent return.

The biggest fund in this category, Kotak Floater LT with assets under management (AUM) of Rs 9,016.76 crore as on April 30, 2010 clocked 0.42 per cent return. This fund had posted a similar 0.43 per cent return in March.

All the 16 funds in the floating rate short term category remained in the green in April. Birla Sun Life Floating Rate ST was the best performing fund in April after it clocked 0.51 per cent return. HSBC Floating Rate ST Regular was the worst performer of the month after it posted 0.22 per cent return. The biggest fund in this category, LICMF Floating Rate ST with AUM of Rs 4474.1971 crore as on April 30, 2010 was the second best performing fund in April after it clocked 0.43 per cent return. This fund had posted 0.49 per cent return in March and 0.36 per cent return in February.

Liquid Plus and Short Term
The Liquid Plus category posted 0.38 per cent return in April against 0.40 per cent in March. Its YTD return stood at 1.42 per cent at April end. All the 56 funds in this category remained in the green in April. JM Money Manager Reg posted the maximum 0.50 per cent return. Two funds of IDFC -- IDFC Savings Advantage Plan A and IDFC Savings Advantage Plan D - followed with returns of 0.48 per cent and 0.47 per cent. Sundaram BNP Paribas Income Plus was the worst performer of the month with 0.08 per cent return. LICMF Income Plus, the biggest fund in this category with AUM of Rs 15790.89 crore as on April 30, 2010 clocked 0.41 per cent return. This fund had posted 0.48 per cent return in March.

Meanwhile the Debt Short Term category clocked 0.59 per cent in April against 0.54 per cent in March. Its YTD stands at 1.66 per cent. All the 31 funds in this category remained in the green in April. IDFC SSI Short-term Plan E was the best performer in April after it clocked 0.91 per cent return. Magnum NRI Inv ST Bond was the worst performer in April after it posted 0.11 per cent return. The biggest fund in this category, Templeton India Short-term Income Ret with AUM of Rs 4,490.67 crore as on April 30, 2010 clocked 0.85 per cent return in April. This fund was the second best performing fund in March with 0.99 per cent return.

Medium Term
This was the best performing category in April after it clocked 0.79 per cent return. The category had posted 0.61 per cent in March. Its YTD return stands at 1.80 per cent, the highest among all the other debt fund categories. All the 61 funds in this category remained in the green in April.

Two funds of Canara Robeco -- Canara Robeco Dynamic Bond Retail and Canara Robeco Income -- were the best performers in April after they clocked 1.76 per cent and 1.50 per cent return respectively in April. Morgan Stanley Active Bond Reg was the worst performer in April after it clocked 0.11 per cent return in April. Reliance Medium Term, the biggest fund in this category with AUM of Rs 10496.13 crore clocked 0.43 per cent return in April. This fund had clocked 0.44 per cent return in March.

Gilts
Gilt Medium and Long Term category posted better returns than their short term counterparts in April. The category clocked 0.56 per cent return. This category had clocked a much higher 0.72 per cent in March. The YTD return of this category stands at 1.26 per cent. Out of the total 47 funds in this category, four funds went into the red. They were LICMF GSF, Edelweiss Gilt Fund, L&T Gilt Investment and Taurus Gilt, which posted (-) 0.92 per cent, (-) 0.75 per cent, (-) 0.22 per cent and (-) 0.03 per cent respectively in April. Birla Sun Life GSF Long-term was the star performer of the month after it clocked a handsome return of 2.86 per cent. Canara Robeco Gilt PGS and DSPBR Government Securities too did well with returns of 1.49 per cent and 1.17 per cent return respectively. ICICI Prudential Gilt Investment, the biggest fund in this category with AUM of Rs 291.16 crore clocked 0.36 per cent in April. This fund had posted 0.39 per cent in March.

As far as Gilt Short Term category was concerned, it posted 0.38 per cent return. It had posted a similar 0.36 per cent return in March. The YTD return of the category stands at 1.27 per cent. Out of the total 17 funds in this category, only one fund slipped into the red. This fund was Religare Gilt Short Duration Retail as it clocked (-) 0.09 per cent return in April. HDFC Gilt Short-Term was the best performing fund in April after it clocked 0.93 per cent return. Tata GSF Short Maturity which is the biggest fund in this category with AUM of Rs 331.51 crore as on April 30, 2010 came second after posting 0.74 per cent return. This fund had posted 0.44 per cent return in March.

Debt Fund Performance Category    1-Month    1-Year    YTD Debt: Medium-term   0.79   3.53   1.80 Debt: Short-term   0.59   5.09   1.66 Gilt: Medium & Long-term   0.56   0.52   1.26 Debt: Floating Rate Long-term   0.41   5.17   1.58 Debt: Speciality   0.39   4.75   1.38 Gilt: Short-term   0.38   2.16   1.27 Debt: Liquid Plus   0.38   4.49   1.42 Debt: Floating Rate Short-term   0.38   4.34   1.39 Debt: Ultra Short-term   0.32   3.66   1.17 Returns as on April 30, 2010