About Baroda Credit Risk Fund

The Baroda Credit Risk Fund is an open-ended debt scheme. It seeks to generate returns by investing in debt securities and money market instruments across the credit spectrum. It predominantly invests in AA and below rated corporate bonds. It was earlier known as Baroda Pioneer Credit Opportunities Fund and was renamed as Baroda Pioneer Credit Risk Fund.

Pros & Cons of Baroda Credit Risk Fund

• The scheme allocates at least 65% of its total assets to AA and below rated corporate bonds and up to 35% in other debt securities and money market instruments.
• As on December 31, 2018, the scheme is ranked 3 in CRISIL’s Credit Risk Fund category.
• Further, it has generated returns of 8.38% per year over the last 3 years (as on February 8, 2019).

Fund Information and Statistics of Baroda Credit Risk Fund

Inception / Launch Date

The scheme was launched on 23 January 2015 by Baroda Mutual Fund.

Risk Level

According to the investment objective and asset allocation of the scheme, it has a Moderate risk-level associated with it.

Redemption

There is no minimum amount for redemption. The redemption proceeds are dispatched within 10 business days of the receipt of a valid redemption request.

Fund Manager(s)

The Fund Managers of the Baroda Credit Risk Fund are:

• Mr. Alok Sahoo (since inception)
• Mr. Karn Kumar (since July 24, 2017)

Entry / Exit Load

There is no entry load in this scheme.

The exit load structure is as follows :-

• If the units are redeemed after the completion of 1 year from the date of allotment of the said units, then the exit load = Nil
• If the units are redeemed within 1 year from the date of allotment of the said units, and:

1. The number of units redeemed is less than 10% of the number of units allotted, then the exit load = Nil

2. The number of units redeemed is more than 10% of the number of units allotted, then the exit load = 1% of the applicable NAV

Tax benefits of investing in Baroda Credit Risk Fund

The following taxes are applicable to the income arising from investing in this scheme:

• STCG is added to the investor's income and taxed as per the income-tax slab.
• LTCG component is taxed at 20% with indexation benefits.

About Baroda Mutual Fund

Baroda Mutual Fund is one of India’s leading fund houses and is managed by Baroda Asset Management India Limited (the AMC), a wholly-owned subsidiary of Bank of Baroda. The fund house endeavors to serve the varied asset management needs of investors in India through a range of equity, debt and money market products.