Fixed income mutual funds are a type of mutual fund where the investment manager prioritizes at least 80% of customer funds in debt securities or bonds that have a maturity period of at least a year, so as to get a fixed return.
The return of fixed income mutual funds is higher than that of money market mutual funds, and the risk of fixed income mutual funds is smaller than the risk of stock mutual funds, so they are suitable for moderate risk profiles. From a macro perspective, fixed income mutual fund returns will depend on interest rates. If central bank interest rates fall, fixed income mutual fund interest rates will rise.
The return of fixed income mutual funds is higher than that of money market mutual funds, and the risk of fixed income mutual funds is smaller than the risk of stock mutual funds, so they are suitable for moderate risk profiles. From a macro perspective, fixed income mutual fund returns will depend on interest rates. If central bank interest rates fall, fixed income mutual fund interest rates will rise.
