Dsp Low Duration Fund

Review Date: 25-03-2025

Beginning of Analysis

Dsp Low Duration Fund is the 4th ranked fund in the Low Duration Fund category. The category has total 18 funds. The 5 star rating shows an excellent past performance of the Dsp Low Duration Fund in Low Duration Fund category. The fund has a Jensen Alpha of 3.41% which is higher than the category average of 3.3%. Here the fund has shown good performance in terms of risk adjusted returns. The fund has a Sharpe Ratio of -0.72 which is lower than the category average of -0.86.
The past performance of the Dsp Low Duration Fund may or may not be sustained in the future. The review is not investment advice nor is it a recommendation to buy or sell funds.
Low Duration Mutual Funds are a category of debt mutual funds that invest in debt and money market instruments with a portfolio duration of 6 to 12 months. These funds aim to provide relatively stable returns with lower interest rate risk compared to longer-duration debt funds. They invest in a mix of instruments such as government securities, corporate bonds, and money market instruments. Low Duration Mutual Funds are ideal for conservative investors seeking stable returns with lower interest rate risk. These funds invest in debt and money market instruments with a portfolio duration of 6 to 12 months, making them less sensitive to interest rate changes compared to long-duration funds. While they offer moderate returns with relatively lower risk, they may underperform in a falling interest rate environment. Investors should carefully assess their risk tolerance, investment horizon, and financial goals before investing in these funds. Additionally, choosing funds managed by experienced professionals can help optimize risk-adjusted returns.

Dsp Low Duration Fund Return Analysis

The fund has given a return of 0.62%, 1.89 and 3.71 in last one, three and six months respectively. In the same period the category average return was 0.63%, 1.89% and 3.76% respectively. The fund has given a return of 7.82% in last one year, 6.77% in last three years, 6.42% in last five years and 7.14% in last ten years. In the same period the category average return was 7.92%, 6.89%, 6.91% and 7.09% respectively. The fund has Good performance in last ten years in Low Duration Fund.

The fund has given a SIP return of 7.69% in last one year. In the same period the category average SIP return was 7.79%. The fund has SIP return of 7.41% in last three years whereas category average SIP return is 7.53%. The category average SIP return is 5.97% and the fund has given a SIP return of 5.77% in last five years.

Dsp Low Duration Fund Risk Analysis

The fund has a standard deviation of 0.55 and semi deviation of 0.45. The category average standard deviation is 0.56 and semi deviation is 0.47. The fund has a beta of 0.36 which shows that fund is less volatile than the benchmark.

Standard deviation measures the fund's return volatility and Semi deviation focuses on downside volatility. Value at Risk (VaR) is a measure of the risk of investments. Maximum Drawdown is the maximum loss from a peak to a trough of a portfolio. Beta measures the volatility of the fund compared to the benchmark. A beta of 1 indicates that the fund will move in line with the benchmark. A beta of more than 1 indicates that the fund will be more volatile than the benchmark and vice versa.