What are banking & PSU debt funds?
Banking and PSU (public sector undertaking) debt funds invest at least 80% of their corpus in debt instruments issued by financial institutions and other public sector enterprises. The Securities and Exchange Board of India (SEBI) announced a modification in December 2017 that allows debt securities issued by municipal entities to be included in the portfolio of such a banking and PSU fund. These publicly traded corporations are generally big and have AAA ratings from the leading credit rating agencies.
Below are some of the best Banking and PSU debt fund