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Union Liquid Fund - Invest Online with Low Risk & High Liquidity | Allvest

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Invest in Union Liquid Fund for stable returns with low risk. Get daily liquidity, competitive NAV, and professional fund management. Start SIP from ₹500 with Allvest.

Investment Objective and Approach

Union Liquid Fund primarily invests in high-quality money market instruments and debt securities with maturity up to 91 days. The fund aims to provide capital preservation with optimal returns and high liquidity to investors. The investment approach focuses on maintaining a portfolio of overnight repos, treasury bills, commercial papers, and certificate of deposits from reputed institutions.

The category risk of the fund is Low to Moderate. The fund follows a conservative investment strategy, prioritizing safety of capital over aggressive returns. Fund managers actively monitor credit quality and interest rate movements to optimize portfolio performance while maintaining the liquid nature of investments.

Key investment features include:

- Focus on money market and overnight securities

- Maturity profile kept within 91 days

- High credit quality instruments

- Active duration management

- Emphasis on capital preservation

Fund Managers

The fund is professionally managed by experienced fund managers who bring extensive expertise in debt markets:

Mr. Devesh Thacker - Co managed by Mr. Devesh Thacker (since inception) and Mr. Parijat Agrawal (since June 18, 2021). Devesh Thacker did his MBA in Finance at Savitribai Phule Pune University and started his career at ASK Financial Services Pvt Ltd and then worked at various firms including Indiabulls, Dolat Capital Market Private Ltd, ICICI Bank and Sahara Mutual Fund before joining Union Asset Management Company and currently is the Fund Manager - Fixed Income. In his professional career of more than 20 years, he has worked with several big fund houses like ICICI Bank Limited. He was also the Fund Manager for Fixed Income Funds at Sahara Asset Management Co. Pvt.

Mr. Parijat Agrawal - A PGBM from IIM-B, Mr. Parijat Agrawal is the Head of Fixed Income at Union KBC Mutual Funds. With a career spanning over two decades, Mr. Agrawal knows the financial market inside out. His vast experience in this field has made him the go-to person for financial troubleshooting. His professional career spans over 24 years. During which he worked with SBI Mutual Fund as Head – Fixed Income, State Bank of Mauritius Limited with responsibilities of managing the entire Treasury functions of the Bank.

About the Fund House (AMC)

Union Mutual Fund is the investment arm of Union Bank of India, established as a significant player in India's asset management sector. The AMC was set up on December 30, 2009, with the aim to formulate a robust asset management portfolio in India. Union Mutual Fund, the investment wing of Union Bank of India, is one of the key drivers of the asset management sector in India for over a decade. The vision of the company is to provide opportunities to investors so that they can achieve sustainable prosperity by investing responsibly in the capital markets.

Ownership Structure:

The AMC was set up in collaboration with KBC Asset Management NV, a Belgium-based AMC. It was initially known as Union KBC Mutual Fund. Union Bank always held the majority stake in the company while KBC controlled a 49% share. The partnership ended in 2016 when KBC pulled out of the agreement and Union Bank of India purchased their shares, making Union Mutual Fund their wholly owned subsidy. Following this, in 2017, Dai-ichi Life, a prominent Japanese financial services company, acquired a 39.62% stake in the AMC.

Current Position:

- Union Asset Management Co. Pvt. Ltd. is managing 203 schemes with an Asset under Management of ₹ 20,478.64 crores.

- Union Asset Management Co. Pvt. Ltd. is managing 12 Equity schemes, 6 Debt schemes, 7 Hybrid schemes and 2 Money market schemes.

- Union Mutual Fund and the investment schemes it offers are regulated by SEBI (Securities and Exchange Board of India), and therefore structurally robust.

Should I Invest in Union Liquid Fund?

Union Liquid Fund can be suitable for investors seeking:

Ideal For:

- Emergency fund parking with immediate liquidity needs

- Short-term surplus fund management (up to 3 months)

- Conservative investors prioritizing capital safety over high returns

- Corporate treasury management

- Investors seeking better returns than savings accounts with minimal risk

Key Considerations:

Financial Performance:

- The fund has delivered a CAGR of 6.55 since inception.

- Union Liquid Fund Direct-Growth scheme return performance in last 1 year is 7.25%, in last 3 years is 22.80% and 121.36% since scheme launch.

- The Union Liquid Fund has given 7.11% annualized returns in the past three years and 5.7% in the last 5 years.

Current Fund Metrics (as of August 2025):

- The AUM (i.e. assets under management) of Union Liquid Fund is ₹4537.81 Cr as of 20th August 2025.

- The expense ratio of Union Liquid Fund Plan is 0.07 as of 20th August 2025.

- The minimum amount required to invest in Union Liquid Fund via lump sum is ₹5,000 and via SIP is ₹500.

Risk Factors:

- Liquid funds are one of the least risky funds in the mutual fund environment, therefore, we can say the NAV does not fluctuate too often. However, there are still the chances for sudden drops in the net asset value of the fund.

- Interest rate risk and credit risk from underlying securities

- No guaranteed returns despite historical positive performance

FAQs

What is today's NAV of Union Liquid Fund?

The NAV changes daily based on market conditions. You can check the current NAV on Allvest platform or the fund house website for real-time updates.

What is the AUM of Union Liquid Fund?

The AUM (i.e. assets under management) of Union Liquid Fund is ₹4537.81 Cr as of 20th August 2025.

What is the expense ratio of Union Liquid Fund?

The expense ratio of Union Liquid Fund Plan is 0.07 as of 20th August 2025. This is quite competitive for liquid funds.

What are the returns of Union Liquid Fund since inception?

The fund has delivered a CAGR of 6.55 since inception. The fund was launched in 2013.

What is the minimum SIP amount to invest in Union Liquid Fund?

The minimum amount required to invest in Union Liquid Fund via lump sum is ₹5,000 and via SIP is ₹500.

How do I invest in Union Liquid Fund?

You can invest in Union Liquid Fund through Allvest platform online with simple KYC completion, or through the AMC website directly.

How to start a SIP in Union Liquid Fund?

You can start SIP in Union Liquid Fund through Allvest platform or AMC website. Complete your KYC, select the fund, choose SIP amount and frequency to begin.

How do I automate an SIP in Union Liquid Fund?

Set up auto-debit mandate through Allvest platform or provide bank mandate to the AMC for automatic monthly deductions from your bank account.

How can I withdraw/redeem my investment in Union Liquid Fund?

You can redeem your investment through Allvest platform or AMC website. Fund houses process the redemption request of investors within one business day. Moreover, there are some AMCs that process redemption requests immediately.