This mutual fund has almost tripled investors’ wealth in 23 years

Baroda BNP Paribas Mutual Fund’s liquid scheme has nearly tripled investor wealth since its launch, as it completes 23 years with its average assets under management (AUM) crossing ₹10,500 crore.

The Baroda BNP Paribas Liquid Fund, managed by Vikram Pamnani and Gurvinder Singh Wasan, invests in short-term debt instruments with low price and credit risk. Since inception, an investment of ₹1 lakh would now be worth about ₹2.99 lakh, the fund house said in a statement.

The scheme delivered an annualised return of 7.09% over the past month. It maintains a modified duration of about 55 days to ensure liquidity and lower interest rate risk.

With global markets facing uncertainty due to geopolitical tensions and policy changes, many investors are opting for liquid funds over traditional savings accounts. Such funds help manage surplus capital while ensuring easy access to money, experts say.

However, past performance does not guarantee future returns. Investors should read all scheme-related documents carefully and seek professional advice if needed, experts say.

The milestone for the Baroda BNP Paribas Liquid Fund comes at a time when India’s mutual fund industry has also touched a new high.

According to AMFI data for June 2025, total industry AUM rose to ₹74.41 lakh crore — up 13.2% for the quarter and 3.1% over the previous month. Strong mark-to-market gains and steady investor flows supported this growth, with net inflows in June at ₹49,095 crore. Almost 95% of these came from equity and hybrid funds.

Baroda BNP Paribas Mutual Fund currently manages 43 schemes across equity, hybrid, debt and overseas fund-of-fund categories. The fund house is a joint venture between Bank of Baroda and BNP Paribas Asset Management, part of the global BNP Paribas Group. It has a presence in over 120 towns and cities in India.