Priyanka — Personal Finance Educator India
Priyanka Personal Finance

Smart Money · Simple Words · India

Glossary pe wapas jao
Mutual Funds

Gilt Fund Kya Hai? — Matlab, Definition & Example

Definition

Gilt funds sirf government securities (G-Secs) mein invest karte hain. Zero credit risk hai (sovereign backed) lekin interest rate risk hota hai.

💡 Real Example

When RBI started cutting rates in 2019, a 10-year gilt fund gave 14%+ returns in one year — but when rates rose in 2022, the same fund lost 3-5%.

🇬🇧 English Mein (Gilt Fund)

Gilt funds invest exclusively in government securities (G-Secs) issued by the central and state governments. They have zero credit risk (sovereign backing) but carry interest rate risk. When interest rates fall, gilt fund NAVs rise significantly and vice versa.

❓ Common Questions

Gilt Fund kya hai simple words mein?
Gilt funds sirf government securities (G-Secs) mein invest karte hain. Zero credit risk hai (sovereign backed) lekin interest rate risk hota hai.
Gilt Fund ka ek example do?
When RBI started cutting rates in 2019, a 10-year gilt fund gave 14%+ returns in one year — but when rates rose in 2022, the same fund lost 3-5%.
Gilt Fund ko English mein kya kehte hain?
English mein ise Gilt Fund kehte hain. Gilt funds invest exclusively in government securities (G-Secs) issued by the central and state governments. They have zero credit risk (sovereign backing) but carry interest rate risk. When interest