DSP Ultra Short Fund (DD-IDCW) is a debt mutual fund designed for investors seeking short-term investment options with relatively lower risk. Ideal for conservative investors or those looking to park funds for a brief period, this fund aims to provide better returns than traditional savings accounts. It focuses on high-quality debt securities, ensuring capital preservation while offering liquidity. With professional management and a transparent approach, it stands out as a reliable choice for wealth accumulation in a dynamic market.

Short-term investment horizon
Lower risk compared to equity markets
Focus on high-quality debt securities
Professional fund management
Capital preservation and liquidity
Ideal for conservative investors

Investment Thesis

DSP Ultra Short Fund stands out due to its strong promoter credibility, robust growth in digital services, and attractive valuation compared to peers. This combination positions it as a compelling investment opportunity for retail investors seeking stability and growth in their portfolio.

Backed by the reputable DSP Group, ensuring trust and reliability.
Significant growth potential in digital services, tapping into evolving market trends.
Valuation metrics are favorable compared to industry peers, indicating potential upside.
Focus on ultra-short duration assets minimizes interest rate risk.
Ideal for conservative investors seeking steady returns in a volatile market.

Opportunity vs Risk

Opportunities

Potential for high returns
Hedge against market downturns
Low correlation with equities
Tax-efficient investment option

Risks ⚠️

High volatility in returns
Interest rate risk
Market timing challenges
Limited liquidity in downturns

Peer Perspective

DSP Ultra Short Fund is currently trading at a slight premium compared to peers like HDFC Ultra Short and Kotak Ultra Short. A rerating could occur if it demonstrates consistent margin stability and improved yield performance.

📊 Stock Investment Checklist (100 Points)

DSP Ultra Short Fund(DD-IDCW) • Updated: 2025-10-01 02:01:49

10

Business
High

The sector is stable but lacks significant growth drivers.
10

Growth
High

Revenue growth is inconsistent with some fluctuations in profits.
9

Profitability
High

ROE and ROCE are average, with OCF slightly below net profit.
8

Valuation
High

Valuation metrics are in line with peers but not compelling.
7

Balance
High

Debt levels are manageable, but liquidity could be improved.
6

Governance
Good

Promoter holding is decent, but there are some concerns over disclosures.
5

Drivers
Good

Limited growth catalysts and execution risks are present.
1

Technicals
Low

Market sentiment is weak with low liquidity.

Final Score & Verdict

Score 48 / 100 • Risky

The fund shows several weaknesses in growth, profitability, and market sentiment, indicating a risky investment.