Debt Funds vs Fixed Deposits

Debt Fund
Pre-Tax Return Investment Amount Redeemed / Maturity Amount Total Interest / Profit Amount Annual Interest / Return (%)
Fixed Deposit 100000 107,186 7,186 7.19
HDFC Dynamic Debt Fund - Growth Option 100000 100,228 228 0.23
Post Tax Return Pre-tax Interest / Profit Amount Capital Gains Tax Indexed Amount Income / Capital Gains Tax Post Tax Interest / Profit Amount
Fixed Deposit 7,186 Not Applicable Not Applicable 2,156 5,030
HDFC Dynamic Debt Fund - Growth Option 228 Short Term Not Applicable 69 160

Note:

1. The Fixed deposit interest rate is based on historical State Bank of India Fixed deposit rates for different deposit terms.

2. Short Term in case of debt funds is defined as less than or equal to 3 years.

3. Long Term in case of debt funds is defined as more than 3 years.

4. Short term gain formula:

Short term capital gain = Amount realised - Amount invested

Short term capital gain tax = Short term capital gain * Tax rate of the investor

5. Long term gain formula:

Indexed cost of acquisition = Amount invested * (Index in Year of redemption / Index in year of investment)

Long term capital gain = Amount realised - Indexed Cost of Acquisition

Long term capital gain tax = Long term capital gain (post indexation) @ 20%

Top Performing Debt Mutual Funds
Scheme Name Launch Date Expense Ratio (%) 1-Year Ret (%) 2-Yrs Ret (%) 3-Yrs Ret (%) 5-Yrs Ret (%) 10-Yrs Ret (%) Since Launch Ret (%)
UTI Dynamic Bond Fund - Regular Plan - Growth Option 23-06-2010 1.59 18.51 10.12 8.95 4.93 7.86 7.95
Tata Dynamic Bond Fund- Regular Plan - Growth Option 03-09-2003 0.72 4.67 4.51 6.25 5.38 7.82 6.73
IIFL Dynamic Bond Fund - Regular Plan - Growth Option 24-06-2013 0.52 3.72 5.36 6.08 5.92 - 6.61
JM Dynamic Bond Fund (Regular) - Growth Option 25-06-2003 0.98 3.13 3.44 4.75 5.75 7.07 6.58
Quantum Dynamic Bond Fund - Regular Plan Growth Option 01-04-2017 0.73 2.99 3.5 6.03 5.77 - 6.34
Edelweiss Money Market Fund - Regular Plan - Growth Option 27-06-2008 0.99 2.69 2.73 4.9 5.76 6.86 6.3
Aditya Birla Sun Life Dynamic Bond Fund - Growth - Regular Plan 27-09-2004 1.65 2.43 4.52 3.62 3.58 6.9 7.46
Aditya Birla Sun Life Dynamic Bond Fund-Discipline Advantage Plan-Growth 30-03-2009 1.65 2.42 4.51 3.61 3.58 6.9 7.1
ICICI Prudential All Seasons Bond Fund - Growth 01-05-2009 1.38 2.33 4.39 7.03 6.53 9.31 8.43
Indiabulls Dynamic Bond Fund - Regular Plan - Growth option 30-11-2018 0.74 2.23 3.43 4.86 - - 5.74
DSP Strategic Bond Fund - Regular Plan - Growth 09-05-2007 1.15 2.17 2.46 7.1 6.02 7.8 6.74
SBI Dynamic Bond Fund - Regular Plan - Growth 10-02-2004 1.65 2.07 2.48 6.06 5.95 7.72 5.84
PGIM India Dynamic Bond Fund - Growth Option 12-01-2012 1.57 1.92 2.67 5.18 5.68 7.45 7.55
IDBI Dynamic Bond Fund Growth 21-02-2012 1.17 1.87 3.91 5.45 4.39 5.56 5.72
L&T Flexi Bond Fund - Regular Plan - Growth 24-08-2006 1.62 1.79 2.25 5.35 5.63 7.73 5.65
Kotak Dynamic Bond Fund Regular Plan Growth 26-05-2008 1.2 1.56 3.25 6.09 6.75 8.22 8.07
Canara Robeco Dynamic Bond Fund - Regular Plan - Growth Option 29-05-2009 1.75 0.95 1.53 4.4 4.5 7.3 6.99
Axis Dynamic Bond Fund - Regular Plan - Growth Option 01-04-2011 0.66 0.57 2.81 6.36 6.24 7.86 7.93
Nippon India Dynamic Bond Fund-Growth Plan-Growth Option 05-11-2004 0.7 0.41 2.07 4.97 4.91 7.31 6.29
IDFC Dynamic Bond Fund - Regular Plan B - Growth 01-12-2008 1.61 0.4 1.66 5.92 5.87 7.91 7.71
HDFC Dynamic Debt Fund - Growth Option 28-04-1997 1.74 0.19 4.92 6.32 4.38 7.11 8.17
HSBC Flexi Debt Fund-Growth 05-10-2007 1.73 0.16 1.29 4.33 4.55 6.6 7.35
Baroda BNP Paribas Dynamic Bond Fund-Defunct Plan - Growth Option 01-01-2013 0.0 - - - - - -0.65
Baroda BNP Paribas Dynamic Bond Fund - Regular Plan - Growth Option 01-01-2013 1.66 - - - - - -0.79
Franklin India Dynamic Accrual Fund-Growth 05-03-1997 0.86 - 18.71 11.53 9.94 9.72 9.22
ITI Dynamic Bond Fund - Regular Plan - Growth Option 05-07-2021 1.45 - - - - - 2.93
Union Dynamic Bond Fund - Growth Option 13-02-2012 1.49 - 1.51 4.95 4.95 6.32 6.36
HSBC Flexi Debt Fund-Reg.Growth 05-10-2007 1.74 -0.09 1.04 4.08 4.29 6.33 7.04
Mirae Asset Dynamic Bond Fund-Regular Plan Growth 05-03-2017 1.1 -0.23 1.16 5.05 5.26 - 5.41
Mahindra Manulife Dynamic Bond Yojana - Regular Plan - Growth 01-08-2018 1.62 -0.71 1.58 3.28 - - 3.94