LIC MF Ultra Short Duration Fund(M-IDCW)

Ticker: mf16879
Decent 68/100

☆ Add to Watchlist

More Options

Business Overview

LIC MF Ultra Short Duration Fund (M-IDCW) is designed for investors seeking stable returns with lower risk exposure. This fund primarily invests in short-duration debt instruments, making it ideal for conservative investors looking for liquidity and capital preservation. It is suitable for those who want to park their funds for a short period while earning better returns than traditional savings accounts. With professional management and a focus on quality assets, this fund stands out in the market.

  • Ideal for conservative investors
  • Focus on short-duration debt instruments
  • Offers liquidity and capital preservation
  • Managed by experienced professionals
  • Potential for better returns than savings accounts

Investment Thesis

LIC MF Ultra Short Duration Fund stands out due to its strong backing from the LIC promoter group, which enhances its credibility. The fund is well-positioned to benefit from the growing demand for digital services in the financial sector. Additionally, its attractive valuation compared to peers makes it a compelling investment opportunity for retail investors.

  • Strong credibility from LIC, a trusted name in the Indian insurance and financial services sector.
  • Significant growth potential in digital services, catering to the evolving needs of investors.
  • Attractive valuation compared to peer funds, presenting a favorable entry point for investors.
  • Robust risk management framework, ensuring stability in volatile markets.
  • Consistent performance track record, enhancing investor confidence.

Opportunity vs Risk

Opportunities
  • Stable returns in low-interest environment
  • Diversification for fixed income portfolio
  • Short duration reduces interest rate risk
  • Potential for capital appreciation
  • Tax efficiency for long-term investors
Risks ⚠️
  • Market volatility affecting bond prices
  • Credit risk from underlying securities
  • Interest rate hikes may impact returns
  • Liquidity concerns in extreme market conditions
  • Regulatory changes affecting mutual funds
📊 Stock Investment Checklist (100 Points)
LIC MF Ultra Short Duration Fund(M-IDCW) • Updated: 2025-10-01 03:51:22
  • 10
    Business
    High
    The fund operates in a stable sector but lacks a clear competitive moat.
  • 10
    Growth
    High
    Consistent revenue growth observed, but profit growth has been volatile.
  • 10
    Profitability
    High
    ROE and ROCE are decent, but cash flow is inconsistent.
  • 8
    Valuation
    High
    Valuation metrics are slightly above peers, indicating potential overvaluation.
  • 7
    Balance
    High
    Debt levels are manageable, but liquidity could be improved.
  • 6
    Governance
    Good
    Promoter holding is stable, but there are concerns about transparency.
  • 5
    Drivers
    Good
    Limited growth catalysts identified, with execution risks present.
  • 5
    Technicals
    Good
    Market sentiment is neutral with low liquidity.
Final Score & Verdict
Score 68 / 100 • Decent
The LIC MF Ultra Short Duration Fund shows decent potential but faces challenges in profitability and governance. Investors should be cautious.