Debt mutual funds are not the only instruments of investment to benefit from RBI’s key interest rate cut. ULIPs also offer debt funds. If you restrict your annual premium to Rs 2.5 lakh, your maturity proceeds will be tax-free. However, financial planners warn against mixing investments with buying insurance policies
Moneycontrol's analysis of 5-year rolling returns from ULIPs reveals impressive performance by these funds. Despite the recent attention on debt-oriented ULIPs following the removal of capital gains tax for debt mutual funds, it is still ideal to separate insurance and investment. Here are the top performing ULIP debt funds