methodology

Debt Fund Ratings: Why They Differ from Equity Fund Ratings

Debt mutual funds serve a very different role from equity funds, which is why they require a different rating methodology. At Qonfido, we evaluate debt funds primarily on stability, drawdown behaviour, and consistency, not just returns. Our ratings cover all 14 SEBI debt fund categories, recognising that some categories offer meaningful differentiation between funds while others are largely equivalent. The goal is simple: help investors identify funds that do their job reliably within the role they play in a portfolio.