Sebi requires debt funds to hold 10% of corpus in liquid assets
Liquid and overnight have been exempted from this circular. This is because liquid funds were already required to hold at least 20% of their corpus in liquid assets from April 2020
Market regulator Sebi has come out with a circular requiring open ended debt mutual funds to hold at least 10% of their corpus in liquid assets. Liquid Assets are defined as cash, treasury bills, government securities and repo on government securities.