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Best Liquid Debt Funds in 2025

What are Debt: Liquid funds?


Funds Included All Fund Returns
(3Y annualised)		 Top 5 fund Returns
(3Y annualised)
45 6.03% 7.13%

This fund category is an example of Debt Scheme funds.

Debt funds invest primarily in fixed-income securities such as government bonds, corporate bonds, debentures, treasury bills, and money market instruments. They aim to provide steady income and capital preservation with lower volatility compared to equity funds. Depending on portfolio maturity and credit quality, debt funds range from liquid and short-duration funds to gilt and dynamic bond funds. Suitable for investors with moderate to low risk appetite seeking regular income.

Trailing returns for Debt: Liquid funds

These are average returns over the indicated period.

Monthly trailing returns:
Returns Oct-2025 Sep-2025 Aug-2025 Jul-2025
Value 0.52% 0.43% 0.47% 0.48%

Quarterly trailing returns:
Returns 2025Q3 2025Q2 2025Q1 2024Q4
Value 1.39% 1.63% 1.78% 1.74%

Yearly trailing returns:
Returns 2024 2023 2022 2021
Value 7.22% 7.0% 4.64% 3.26%

Fundwise SIP and SWP returns


Rolling SIP returns
Fund Any 1Y SIPAny 3Y SIPAny 5Y SIP
Quantum Liquid Fund6.99%6.65%6.91%
Canara Robeco Liquid Fund7.21%6.96%5.95%
Bandhan Liquid Fund7.1%6.91%6.0%
Franklin India Liquid Super Institutional Fund7.16%7.02%6.12%
Nippon India Liquid Fund7.16%7.01%6.1%
Mirae Asset Liquid Fund6.75%6.2%5.47%
DSP Liquidity Fund7.13%6.99%6.07%
Groww Liquid Fund6.84%6.05%5.3%
Union Liquid Fund6.98%5.71%5.7%
Bank Of India Liquid Fund7.26%7.02%6.1%
Baroda BNP Paribas Liquid Fund7.2%6.99%6.07%
Aditya Birla Sun Life Liquid Fund7.18%7.04%6.14%
Kotak Liquid Fund7.09%6.94%6.04%
SBI Liquid Fund7.12%6.93%6.02%
HSBC Liquid Fund7.21%7.03%6.04%
ICICI Prudential Liquid Fund7.11%6.96%6.08%
LIC MF Liquid Fund7.12%6.95%6.04%
UTI Liquid Cash Fund7.21%7.05%6.07%
Axis Liquid Fund7.23%7.01%6.1%
JM Liquid Fund7.16%6.92%5.98%
Invesco India Liquid Fund7.15%6.97%6.07%
Quant Liquid Fund6.86%6.52%5.9%
360 One Liquid Fund6.4%5.8%5.02%
PGIM India Liquid Fund6.83%6.1%5.36%
Canara Robeco Liquid Unclaimed Redemption And Dividend Fund6.69%5.89%5.17%
JM Liquid Unclaimed Redemption Fund6.75%5.82%5.21%
JM Liquid Unclaimed Dividend Fund6.75%5.82%5.21%
JM Liquid Unclaimed Redemption Ief Fund0.0%0.0%0.0%
JM Liquid Unclaimed Dividend Ief Fund0.0%0.0%0.0%
Mahindra Manulife Liquid Fund6.84%5.97%5.3%
Edelweiss Liquid Fund6.9%5.77%5.85%
Parag Parikh Liquid Fund6.05%5.39%5.57%
Motilal Oswal Liquid Fund5.1%5.44%5.73%
Whiteoak Capital Liquid Fund5.7%5.83%5.93%
ITI Liquid Fund5.52%5.84%5.93%
JM Liquid Unclaimed Brokerage Ief Fund0.0%0.0%0.0%
JM Liquid Unclaimed Application Refund Amount Ief Fund0.0%0.0%0.0%
JM Liquid Withheld Brokerage Ief Fund0.0%0.0%0%
Trustmf Liquid Fund7.06%7.01%0%
Sundaram Liquid Fund7.21%7.19%0%
Bajaj Finserv Liquid Fund7.36%0%0%
Shriram Liquid Fund6.1%0%0%
Unifi Liquid Fund0%0%0%
Jioblackrock Liquid Fund0%0%0%
The Wealth Company Liquid Fund0%0%0%
SIP Calculator


Rolling SWP returns
Fund Any 1Y SWPAny 3Y SWPAny 5Y SWP
Quantum Liquid Fund6.98%6.88%7.17%
Canara Robeco Liquid Fund7.23%6.84%6.33%
Bandhan Liquid Fund7.15%6.89%6.43%
Franklin India Liquid Super Institutional Fund7.19%7.04%6.66%
Nippon India Liquid Fund7.21%7.03%6.6%
Mirae Asset Liquid Fund6.85%6.21%5.78%
DSP Liquidity Fund7.17%7.0%6.55%
Groww Liquid Fund6.88%6.11%5.67%
Union Liquid Fund7.07%5.9%5.55%
Bank Of India Liquid Fund7.26%7.01%6.56%
Baroda BNP Paribas Liquid Fund7.23%7.05%6.59%
Aditya Birla Sun Life Liquid Fund7.23%7.02%6.61%
Kotak Liquid Fund7.15%6.92%6.48%
SBI Liquid Fund7.16%6.9%6.46%
HSBC Liquid Fund7.23%6.99%6.45%
ICICI Prudential Liquid Fund7.16%6.97%6.55%
LIC MF Liquid Fund7.17%6.99%6.52%
UTI Liquid Cash Fund7.24%7.0%6.51%
Axis Liquid Fund7.26%7.03%6.57%
JM Liquid Fund7.17%6.97%6.51%
Invesco India Liquid Fund7.18%6.97%6.53%
Quant Liquid Fund6.93%6.65%6.44%
360 One Liquid Fund6.41%5.87%5.2%
PGIM India Liquid Fund6.84%6.12%5.68%
Canara Robeco Liquid Unclaimed Redemption And Dividend Fund6.71%5.9%5.31%
JM Liquid Unclaimed Redemption Fund6.85%7.0%6.73%
JM Liquid Unclaimed Dividend Fund6.85%7.0%6.73%
JM Liquid Unclaimed Redemption Ief Fund0%0%0%
JM Liquid Unclaimed Dividend Ief Fund0%0%0%
Mahindra Manulife Liquid Fund6.88%6.01%5.63%
Edelweiss Liquid Fund6.99%5.76%5.36%
Parag Parikh Liquid Fund6.02%4.7%4.43%
Motilal Oswal Liquid Fund5.07%4.23%4.2%
Whiteoak Capital Liquid Fund5.76%4.46%4.33%
ITI Liquid Fund4.95%4.13%4.15%
JM Liquid Unclaimed Brokerage Ief Fund0%0%0%
JM Liquid Unclaimed Application Refund Amount Ief Fund0%0%0%
JM Liquid Withheld Brokerage Ief Fund0%0%0%
Trustmf Liquid Fund7.06%6.04%0%
Sundaram Liquid Fund7.2%6.77%0%
Bajaj Finserv Liquid Fund7.35%0%0%
Shriram Liquid Fund6.68%0%0%
Unifi Liquid Fund0%0%0%
Jioblackrock Liquid Fund0%0%0%
The Wealth Company Liquid Fund0%0%0%

SIP and SWP returns with step-up


Rolling SIP returns with 10% step-up
Fund Any 1Y SIPAny 3Y Step-up SIPAny 5Y Step-up SIP
Quantum Liquid Fund6.99%6.65%6.88%
Canara Robeco Liquid Fund7.21%6.95%5.97%
Bandhan Liquid Fund7.1%6.92%6.03%
Franklin India Liquid Super Institutional Fund7.16%7.03%6.16%
Nippon India Liquid Fund7.16%7.01%6.14%
Mirae Asset Liquid Fund6.75%6.21%5.47%
DSP Liquidity Fund7.13%6.99%6.11%
Groww Liquid Fund6.84%6.06%5.29%
Union Liquid Fund6.98%5.75%5.72%
Bank Of India Liquid Fund7.26%7.03%6.13%
Baroda BNP Paribas Liquid Fund7.2%6.99%6.11%
Aditya Birla Sun Life Liquid Fund7.18%7.04%6.17%
Kotak Liquid Fund7.09%6.95%6.08%
SBI Liquid Fund7.12%6.93%6.06%
HSBC Liquid Fund7.21%7.04%6.09%
ICICI Prudential Liquid Fund7.11%6.96%6.12%
LIC MF Liquid Fund7.12%6.95%6.08%
UTI Liquid Cash Fund7.21%7.06%6.11%
Axis Liquid Fund7.23%7.02%6.14%
JM Liquid Fund7.16%6.93%6.01%
Invesco India Liquid Fund7.15%6.97%6.1%
Quant Liquid Fund6.86%6.53%5.92%
360 One Liquid Fund6.4%5.8%5.03%
PGIM India Liquid Fund6.83%6.11%5.35%
Canara Robeco Liquid Unclaimed Redemption And Dividend Fund6.69%5.9%5.17%
JM Liquid Unclaimed Redemption Fund6.75%5.77%5.12%
JM Liquid Unclaimed Dividend Fund6.75%5.77%5.12%
JM Liquid Unclaimed Redemption Ief Fund0.0%0.0%0.0%
JM Liquid Unclaimed Dividend Ief Fund0.0%0.0%0.0%
Mahindra Manulife Liquid Fund6.84%5.98%5.3%
Edelweiss Liquid Fund6.9%5.78%5.93%
Parag Parikh Liquid Fund6.05%5.43%5.65%
Motilal Oswal Liquid Fund5.1%5.49%5.8%
Whiteoak Capital Liquid Fund5.7%5.88%6.02%
ITI Liquid Fund5.52%5.88%6.01%
JM Liquid Unclaimed Brokerage Ief Fund0.0%0.0%0.0%
JM Liquid Unclaimed Application Refund Amount Ief Fund0.0%0.0%0.0%
JM Liquid Withheld Brokerage Ief Fund0.0%0.0%0%
Trustmf Liquid Fund7.06%7.02%0%
Sundaram Liquid Fund7.21%7.19%0%
Bajaj Finserv Liquid Fund7.36%0%0%
Shriram Liquid Fund6.1%0%0%
Unifi Liquid Fund0%0%0%
Jioblackrock Liquid Fund0%0%0%
The Wealth Company Liquid Fund0%0%0%

Rolling SWP returns with 10% step-up
Fund Any 1Y SWPAny 3Y Step-up SWPAny 5Y Step-up SWP
Quantum Liquid Fund6.98%6.88%7.16%
Canara Robeco Liquid Fund7.23%6.85%6.28%
Bandhan Liquid Fund7.15%6.88%6.38%
Franklin India Liquid Super Institutional Fund7.19%7.05%6.62%
Nippon India Liquid Fund7.21%7.04%6.56%
Mirae Asset Liquid Fund6.85%6.19%5.7%
DSP Liquidity Fund7.17%7.0%6.51%
Groww Liquid Fund6.88%6.09%5.59%
Union Liquid Fund7.07%5.9%5.51%
Bank Of India Liquid Fund7.26%7.01%6.51%
Baroda BNP Paribas Liquid Fund7.23%7.05%6.54%
Aditya Birla Sun Life Liquid Fund7.23%7.03%6.57%
Kotak Liquid Fund7.15%6.92%6.44%
SBI Liquid Fund7.16%6.9%6.42%
HSBC Liquid Fund7.23%7.0%6.39%
ICICI Prudential Liquid Fund7.16%6.97%6.51%
LIC MF Liquid Fund7.17%6.98%6.47%
UTI Liquid Cash Fund7.24%7.0%6.46%
Axis Liquid Fund7.26%7.03%6.52%
JM Liquid Fund7.17%6.96%6.46%
Invesco India Liquid Fund7.18%6.97%6.48%
Quant Liquid Fund6.93%6.64%6.37%
360 One Liquid Fund6.41%5.86%5.12%
PGIM India Liquid Fund6.84%6.12%5.6%
Canara Robeco Liquid Unclaimed Redemption And Dividend Fund6.71%5.89%5.24%
JM Liquid Unclaimed Redemption Fund6.85%6.99%6.69%
JM Liquid Unclaimed Dividend Fund6.85%6.99%6.69%
JM Liquid Unclaimed Redemption Ief Fund0%0%0%
JM Liquid Unclaimed Dividend Ief Fund0%0%0%
Mahindra Manulife Liquid Fund6.88%6.01%5.56%
Edelweiss Liquid Fund6.99%5.75%5.31%
Parag Parikh Liquid Fund6.02%4.71%4.46%
Motilal Oswal Liquid Fund5.07%4.24%4.23%
Whiteoak Capital Liquid Fund5.76%4.47%4.38%
ITI Liquid Fund4.95%4.15%4.18%
JM Liquid Unclaimed Brokerage Ief Fund0%0%0%
JM Liquid Unclaimed Application Refund Amount Ief Fund0%0%0%
JM Liquid Withheld Brokerage Ief Fund0%0%0%
Trustmf Liquid Fund7.06%6.07%0%
Sundaram Liquid Fund7.2%6.79%0%
Bajaj Finserv Liquid Fund7.35%0%0%
Shriram Liquid Fund6.68%0%0%
Unifi Liquid Fund0%0%0%
Jioblackrock Liquid Fund0%0%0%
The Wealth Company Liquid Fund0%0%0%

Note:N.A. in returns indicate that the fund does not have sufficient history.

How are Debt: Liquid funds taxed on selling?

Debt Funds
Tax for FY2025-26		 STCG Rate LTCG Eligibility LTCG Rate
Bought Before
1 Apr 2023		 Slab After 2Y 12.5%
Bought After
31 Mar 2023		 Slab Always STCG Slab

Note:

  • Dividends from mutual funds (called IDCW or Income Distribution cum Capital Withdrawal funds), are added to the income of the investor and taxed at their highest applicable (slab) rate.
  • Cess and surcharge (if applicable) is to be applied to taxes from mutual funds from selling and dividends.
  • Switches, SWP and selling any lump sum amount are taxable as per the table above.

Explore All Funds Belonging to this Type

All
Long Duration Dynamic Bond Low Duration Corporate Bond Medium To Long Duration Ultra Short Duration Banking And PSU Overnight Gilt Fund With 10 Year Constant Duration Liquid Floater Short Duration Credit Risk Gilt Debt Index Medium Duration Money Market

Explore All Funds Belonging to different AMCs

Aditya Birla Sun Life Mutual Fund Tata Mutual Fund Franklin Templeton Mutual Fund Taurus Mutual Fund Canara Robeco Mutual Fund Sundaram Mutual Fund SBI Mutual Fund UTI Mutual Fund Baroda BNP Paribas Mutual Fund HSBC Mutual Fund Quantum Mutual Fund DSP Mutual Fund Invesco Mutual Fund Mirae Asset Mutual Fund Bandhan Mutual Fund Bank of India Mutual Fund Edelweiss Mutual Fund Axis Mutual Fund Navi Mutual Fund Motilal Oswal Mutual Fund Union Mutual Fund Groww Mutual Fund HDFC Mutual Fund PGIM India Mutual Fund 360 ONE Mutual Fund PPFAS Mutual Fund Shriram Mutual Fund Mahindra Manulife Mutual Fund WhiteOak Capital Mutual Fund ITI Mutual Fund Trust Mutual Fund NJ Mutual Fund Samco Mutual Fund quant Mutual Fund Bajaj Finserv Mutual Fund Helios Mutual Fund Zerodha Mutual Fund Old Bridge Mutual Fund Angel One Mutual Fund Unifi Mutual Fund Jio BlackRock Mutual Fund Capitalmind Mutual Fund The Wealth Company Mutual Fund JM Financial Mutual Fund Choice Mutual Fund Kotak Mahindra Mutual Fund LIC Mutual Fund ICICI Prudential Mutual Fund Nippon India Mutual Fund

Explore Different Categories of Mutual Funds

Equity Scheme funds Hybrid Scheme funds Debt Scheme funds Solution Oriented Schemes – Funds for Retirement and Children Other Schemes – Index Funds, ETFs and Fund of Funds Commodity Schemes – Funds Investing in Gold, Silver or Both

Disclaimer: Mutual fund investments are subject to market risks, read all scheme related documents carefully. The NAVs of the schemes may go up or down depending upon the factors and forces affecting the securities market including the fluctuations in the interest rates. The past performance of the mutual funds is not necessarily indicative of future performance of the schemes. The Mutual Fund is not guaranteeing or assuring any dividend under any of the schemes and the same is subject to the availability and adequacy of distributable surplus. Investors are requested to review the prospectus carefully and obtain expert professional advice with regard to specific legal, tax and financial implications of the investment/participation in the scheme.

Note: NAVs and returns updated on 23-Nov-2025.

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