Key Takeaways
- • UTI Asset Management revised the Risk-o-meter classification of its Credit Risk Fund based on portfolio evaluation as of June 30, 2026, with changes applicable immediately following the addendum dated June 30, 2026.
- • UTI Credit Risk Fund Direct-Growth carries a "Moderately High" risk classification with an expense ratio of 0.76%, benchmarked against the CRISIL Credit Risk Debt B-II Index.
- • The fund has delivered three-year returns of 25.36% (Direct-Growth plan) and one-year returns of 6.89%, with credit risk funds as a category averaging 8.97% over three years, positioning them as the best-performing debt mutual fund category.
- • UTI Credit Risk Fund Direct-Growth maintains an asset under management (AUM) of ₹253 crore, with no lock-in period and a minimum SIP investment of ₹500, offering both regular and direct plan options.
- • The scheme is managed by Anurag Mittal and has been in operation for 13 years 8 months since its launch on January 1, 2013 (with the Regular Plan launching November 19, 2012).
Summary
UTI Asset Management Company announced a change in the Risk-o-meter classification for its Credit Risk Fund schemes, effective immediately as of June 30, 2026. The revision was formalized through an addendum (Addendum No. 26/2026-27) to the Scheme Information Document and reflects an evaluation of the risk levels embedded within the fund portfolios. The adjustment to both the scheme's Risk-o-meter and the risk level of its first-tier benchmark index was based on portfolio composition as assessed on June 30, 2026.
The UTI Credit Risk Fund Direct-Growth plan is classified as "Moderately High" risk, reflecting its investment strategy of allocating capital to lower-rated corporate debt instruments that offer higher yields to compensate for elevated credit risk. The fund's current portfolio composition includes 2.16% in equities, 90.27% in debt securities, and 7.57% in other financial instruments. With an expense ratio of 0.76% and benchmark tracking against the CRISIL Credit Risk Debt B-II Index, the fund targets investors seeking higher returns within a moderate risk framework.
Performance metrics demonstrate competitive returns within the credit risk fund category. The Direct-Growth plan delivered 25.36% returns over three years and 6.89% over one year, while credit risk funds broadly have emerged as the best-performing debt mutual fund category, delivering 8.97% returns over three years amid an improving corporate credit environment. The fund maintains an AUM of ₹253 crore and offers flexible investment structures with no lock-in period and a minimum SIP commitment of ₹500.
Fund management is overseen by Anurag Mittal, with the Regular Plan established in November 2012 and the Direct-Growth plan launched in January 2013. The scheme has maintained operational continuity for over 13 years, providing institutional and retail investors with exposure to credit risk debt instruments as part of a diversified fixed income allocation strategy.
The UTI Credit Risk Fund Direct-Growth plan is classified as "Moderately High" risk, reflecting its investment strategy of allocating capital to lower-rated corporate debt instruments that offer higher yields to compensate for elevated credit risk. The fund's current portfolio composition includes 2.16% in equities, 90.27% in debt securities, and 7.57% in other financial instruments. With an expense ratio of 0.76% and benchmark tracking against the CRISIL Credit Risk Debt B-II Index, the fund targets investors seeking higher returns within a moderate risk framework.
Performance metrics demonstrate competitive returns within the credit risk fund category. The Direct-Growth plan delivered 25.36% returns over three years and 6.89% over one year, while credit risk funds broadly have emerged as the best-performing debt mutual fund category, delivering 8.97% returns over three years amid an improving corporate credit environment. The fund maintains an AUM of ₹253 crore and offers flexible investment structures with no lock-in period and a minimum SIP commitment of ₹500.
Fund management is overseen by Anurag Mittal, with the Regular Plan established in November 2012 and the Direct-Growth plan launched in January 2013. The scheme has maintained operational continuity for over 13 years, providing institutional and retail investors with exposure to credit risk debt instruments as part of a diversified fixed income allocation strategy.
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