Can you please tell which category of funds can get me 11 to 12 per cent fixed returns

Please note that mutual funds do not offer any fixed returns irrespective of fund categories.

You have mentioned two category of funds – Debt & Gilt – and return range of 11 - 12%. If you check our mutual fund research section, you will find that Debt Funds, Gilt Funds and Hybrid Debt Oriented Funds (Also known as MIPs) have given 11 – 12% return in the last 1-3 years horizon. But, these returns are neither assured nor guaranteed that will continue for the future as well.

Debt funds are often compared and considered alternative to fixed deposits, which is a right thing. Please research this section – Fixed Deposits versus Debt Funds a bit more to compare debt funds with fixed deposits and you will understand why? We have also shown here the post tax returns of these two products.

Coming back to getting returns in above range from Gilt Funds. Please note that Gilt Funds invest in Government Securities with varying maturities. Return from Gilt funds are highly sensitive to interest rate movements and thus the riskiest among all debt fund categories. Please read more about Debt and Gilt Funds from here – Demystifying Debt Funds.

Therefore, if you are looking for returns in the above range and your risk taking ability is low to moderate then debt funds could be the best choice if the investment horizon is 1-3 years or more. If your risk taking ability is little higher than what we mentioned above, then another category of funds could be suitable for you, provided the investment horizon is atleast 3 years or more – Hybrid Debt Oriented Funds.

We have given below the returns of all the three category of funds that we mentioned above which you might find helpful.

Top performing debt funds https://www.advisorkhoj.com/mutual-funds...

Top performing gilt funds https://www.advisorkhoj.com/mutual-funds...

Top performing hybrid debt oriented funds https://www.advisorkhoj.com/mutual-funds...

Hope the above helps. Thanks for being in touch and writing to Advisorkhoj.