Higher interest rates are considered bad for mutual fund investors, especially debt fund investors. Bond yields and prices have an inverse relationship, which means when the interest rate or bond yields go up, the net asset value of debt funds goes down
There are seven long duration debt mutual funds and total assets under management (AUM) of these schemes amount to ₹9,875 crore as on Nov 30, 2023. Funds amounting to ₹149 crore were invested in November alone