Union Overnight Fund(DD-IDCW)

Ticker: mf16669
Decent 68/100

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Business Overview

The Union Overnight Fund (DD-IDCW) is a short-term debt mutual fund designed for investors seeking liquidity and safety. Ideal for conservative investors, it offers a stable option for parking funds for a brief period while earning competitive returns. This fund primarily invests in overnight securities, ensuring minimal risk and quick access to funds. With a focus on capital preservation, it is perfect for those looking to manage cash flows effectively.

  • Designed for short-term investors
  • Focuses on safety and liquidity
  • Invests in overnight securities
  • Ideal for managing cash flows
  • Offers competitive returns with minimal risk

Opportunity vs Risk

Opportunities
  • Strong historical returns
  • Growing demand for overnight funds
  • Low expense ratio
  • Stable interest rate environment
  • Tax-efficient dividend payout
Risks ⚠️
  • Market volatility impact
  • Interest rate fluctuations
  • Regulatory changes
  • Credit risk from counterparties
  • Liquidity concerns during market stress

Peer Perspective

Union Overnight Fund trades at a slight premium compared to peers like HDFC Overnight Fund and ICICI Prudential Overnight Fund. A sustained improvement in margin stability could trigger a rerating in its valuation.
📊 Stock Investment Checklist (100 Points)
Union Overnight Fund(DD-IDCW) • Updated: 2025-10-01 22:00:12
  • 10
    Business
    High
    The sector is stable but lacks significant growth potential.
  • 10
    Growth
    High
    Revenue growth has been consistent but not exceptional.
  • 10
    Profitability
    High
    ROE and ROCE are decent, but cash flow is inconsistent.
  • 8
    Valuation
    High
    Valuation metrics are average compared to peers.
  • 7
    Balance
    High
    Debt levels are manageable, but liquidity could be better.
  • 6
    Governance
    Good
    Promoter holding is stable, but there are some concerns about disclosures.
  • 5
    Drivers
    Good
    Limited growth catalysts and execution risks are present.
  • 5
    Technicals
    Good
    Market sentiment is neutral with low liquidity.
Final Score & Verdict
Score 68 / 100 • Decent
The Union Overnight Fund shows decent performance metrics but lacks strong growth drivers and has some risks associated with liquidity and governance.