Incorporated during the Global Financial Crisis, Quantum Mutual Fund has been in existence for approximately two decades now.
The AMC offers a variety of mutual fund schemes, including equity funds, debt funds, and hybrid funds. Quantum Mutual Fund is known for its focus on active management and its commitment to providing investors with high-quality investment products.
Quantum Dynamic Bond Fund
Investment Objective
The primary investment objective of the scheme is to generate long-term capital appreciation through active interest rate management of a portfolio consisting of short-term, and long-term debt and money market instruments.
Investing in a dynamic bond fund can help manage interest risk as it rebalances the debt portfolio in line with the changing interest rates.
Investment Options
- The scheme provides various investment options like Growth Option, Monthly Payout of Income Distribution Cum Capital Withdrawal (IDCW) Option and Monthly Reinvestment of Income Distribution Cum Capital Withdrawal (IDCW) Option
Portfolio Composition
The portfolio consists of 98.23% allocation in debt and the remaining 1.77% is allocated in Cash and Cash Equivalent.
Source: quantumamc.com & Value Research
Top 5 Holdings for Quantum Dynamic Bond Fund
| Name | Weightage % |
| 9.09% IRFC NCD (MD 31/03/2026) | 5.78 |
| 7.58% NABARD Sr 23H NCD (MD 31/07/2026) | 5.55 |
| 7.26% GOI (MD 06/02/2033) | 39.16 |
| 7.38% GOI (MD 20/06/2027) | 33.59 |
| 4.04% GOI FRB (MD 04/10/2028) | 11.08 |
Source: quantumamc.com
Performance for Quantum Dynamic Bond Fund
The fund has performed as below table with respect to benchmarks.
| CRISIL 10-Year Gilt Index | CRISIL 10 Year Gilt Index | ||
| Period | Scheme (₹) | Benchmark | Additional Benchmark |
| Since Inception | 7.69% | 7.53% | 6.16% |
| 5 years | 7.34% | 7.99% | 6.65% |
| 3 years | 5.15% | 4.80% | 3.27% |
| CRISIL Dynamic Bond Fund AI Index | 7.85% | 7.62% | 8.09% |
Source: quantumamc.com
Fund Manager
This fund is managed by Mr. Pankaj Pathak, who has 12 years of experience in the research and investment functions. He has been managing this fund since 1st March 2017.
Who Should Invest in Quantum Dynamic Bond Fund?
The fund is suitable for investors who are seeking.
- Regular income over short to medium term and capital appreciation.
- Investments in Debt / Money Market Instruments / Government Securities.
Why Invest in this Fund?
- The fund focuses on the principles of Safety, Liquidity, and Returns.
- It minimizes credit risk by investing primarily in Government securities or PSU bonds which are rated as AAA/AA.
- It also helps in controlling interest rate risk by active interest rate management.
- The fund also offers a solution for investors’ long-term debt investment needs.
Time Horizon
- The ideal holding period for the dynamic bond fund should be more than 3 years.
- Dynamic Bond funds or any other debt fund which invests in long-term debt instruments, are highly sensitive to interest rate movements.
- Thus, in a short period of time, returns could be highly volatile and can even be negative.
- However, over a longer time frame of 2-3 years period, returns tend to normalize along with the interest rate cycles.
Conclusion
The Quantum Dynamic Bond Fund is an open-ended Dynamic Debt Scheme Investing Across Duration. A relatively high-interest rate risk and relatively low credit risk.
If an investor has an investment horizon of 3 years or longer, and they want to avoid the hassle of tracking the interest rate movement and worry about the credit quality, they may consider adding or switching to a debt fund like the Quantum Dynamic Bond Fund.
Disclaimer
This is not recommendation advice. All information in this blog is for educational purposes only.
