28
Apr
#BondsforInvestment Mumbai: With interest rates falling and economic signals aligning just right, long-duration mutual funds are looking like the smart, strategic play. One of the golden rules of fixed income is simple: when interest rates fall, bond prices rise. But here is the nuance—longer-duration bonds benefit more from this trend than shorter ones. The Reserve Bank of India (RBI) has cut the repo rate by 50 basis points this year, bringing it down to 6%, and more importantly, shifted its stance from ‘neutral’ to ‘accommodative.’ With inflation softening and global growth concerns lingering, the market is anticipating up to 50…