In short, there will be losses — and, as a consequence, companies will be unable to meet their debt obligations. Together, they will keep the average debt allocation as safe as possible. ⦾ Spread the rest of your investible surplus over two primary groups of debt funds, keeping in view the medium and long-term needs. If you wish to really root for safety, stick primarily to low-risk debt funds in keeping with your asset allocation plan. If you are willing to take more risk, go in for elevated categories of debt funds, but only selectively.
Source: The Telegraph May 31, 2020 18:56 UTC