This mutual fund has tripled investors' wealth in 2 decades
What's the story
The Baroda BNP Paribas Liquid Fund, which is managed by Vikram Pamnani and Gurvinder Singh Wasan, has almost tripled investor wealth since its launch. The mutual fund's average assets under management (AUM) recently crossed ₹10,500 crore. According to the fund house, an investment of ₹1 lakh in their scheme 20 years ago would now be worth about ₹2.99 lakh.
Fund details
Recent performance and investment strategy
The Baroda BNP Paribas Liquid Fund has delivered an annualized return of around 7.09% over the past month. It invests in short-term debt instruments with low price and credit risk, maintaining a modified duration of around 55 days to ensure liquidity as well as lower interest rate risk. This strategy makes it an attractive option for investors looking for stable returns amid market volatility.
Investment trend
Why liquid funds are gaining popularity
With international markets facing uncertainty due to geopolitical tensions and policy changes, several investors are opting for liquid funds over traditional savings accounts. These funds help them manage surplus capital while ensuring easy access to money. However, experts warn that the past performance does not guarantee future returns and advise investors to read all scheme-related documents carefully before making investment decisions.
Industry status
Mutual fund industry's AUM rising rapidly
The achievement of the Baroda BNP Paribas Liquid Fund comes at a time when India's mutual fund industry is also witnessing unprecedented growth. As per AMFI data for June 2025, total industry AUM jumped to ₹74.41 lakh crore—up 13.2% for the quarter, and 3.1% over the previous month. Strong mark-to-market gains and steady investor flows have supported this surge, with net inflows in June at ₹49,095 crore.