Treasury bills, commercial paper, certificates of deposit and non-convertible debentures

Beep! Wrong answer. The clue was in the earlier question itself. Aditya Birla Sun Life Liquid Fund invests in fixed income instruments such as treasury bills, commercial paper, certificates of deposit and non-convertible debentures. So the right answer is (c).

Oops! You didn’t take the hint from the earlier question. Aditya Birla Sun Life Liquid Fund invests in fixed income instruments such as treasury bills, commercial paper, certificates of deposit and non-convertible debentures. Gold and silver are a different asset class altogether. So, the right answer is (c).

Smart answer! As seen above, Aditya Birla Sun Life Liquid Fund invests in fixed income and money market instruments only, as opposed to equity or gold or other asset classes.

Up to 91 days

Nope. You’ve confused Aditya Birla Sun Life Liquid Fund with Overnight funds which have a maturity period of 1 day. Aditya Birla Sun Life Liquid Fund has a slightly longer duration of up to 91 days.

Splendid! You have studied the fund well! Aditya Birla Sun Life Liquid Fund invests in money market and debt securities with a maturity period of up to 91 days.

We confused you, didn’t we? It is the ultra-short duration funds which have a duration of 3 to 6 months. But Aditya Birla Sun Life Liquid Fund has a shorter duration of up to 91 days only.

No way! Aditya Birla Sun Life Liquid Fund has a much shorter duration of up to 91 days only. So, the correct answer is (b).

Wealth creation

Nooo! Read the question again. High liquidity is, in fact, one of the main features of Aditya Birla Sun Life which gives you the freedom to invest and withdraw your money at any time. The right answer is (c ) Wealth Creation.

Too bad, but it’s wrong. Aditya Birla Sun Life Liquid Fund invests in fixed income and money market instruments, which are considered to be one of the safer investment options available today. The right answer is actually (c ) wealth creation.

Bullseye! Aditya Birla Sun Life Liquid Fund invests in relatively “safe” fixed income and money market instruments, as opposed to equity instruments which have a greater potential for earning returns and creating wealth in the long term.

It is a better alternative to park money in the short term to get better returns.

Your answer is incorrect. As mentioned earlier, Aditya Birla Sun Life Liquid Fund invests in fixed income and money market securities. There is no capping on how much the fund can invest in one type of security.

No, it does not. Aditya Birla Sun Life Liquid Fund invests solely in fixed income or debt instruments, not in equity at all.

Good answer! Aditya Birla Sun Life Liquid Fund invests money in fixed income and money market instruments, giving it a chance to earn some more in a short time than lying idle in the bank.

Investors with short term investment horizons

You have understood the fund perfectly! Given its short duration and investment in the less volatile fixed income instruments, Aditya Birla Sun Life Liquid Fund is suitable for investors who do not wish to take higher risks but would like to keep their money earning for them rather than letting it sit idly in their bank account.

Not quite right. Aditya Birla Sun Life Liquid Fund has a short duration of up to 91 days and invests only in fixed income and money market instruments which are considered relatively safer but tend to give lower returns than equity investments. Thus, it is more suitable for investors who want to park their money for a short term to get better returns than traditional investment options.

All of the above

Yes, but you are only partially right. While you can invest in Aditya Birla Sun Life Liquid Fund using your Active Account App, you can also do so through the ABSLMF website or your mutual fund distributor. Thus, the right answer is (d) All of the Above.

Yes, but no. You can invest in Aditya Birla Sun Life Liquid Fund through the ABSLMF website, but you can also use your Active Account App or invest through your mutual fund distributor. Thus, the right answer is (d) All of the Above.

You are half right. Yes, you can invest in Aditya Birla Sun Life Liquid Fund through your mutual fund distributor, but you can also use your Active Account App or invest through the ABSLMF website easily. So, the right answer is actually (d) All of the above.

Brilliant! You know the fund inside out! Yes, you can invest in Aditya Birla Sun Life Liquid Fund in a number of easy, convenient ways including through your Active Account App, the ABSLMF website or even your mutual fund distributor.