Shriram AMC Launches Money Market Fund

Shriram Asset Management Company Limited, part of the Shriram Group, has expanded its fixed income product suite with the launch of the Shriram Money Market Fund, an open-ended debt scheme designed for efficient short-term cash management. 

The fund aims to invest in high-quality money market instruments with maturities of up to one year, offering investors regular income potential, high liquidity and a controlled risk profile in line with regulatory norms.

Rising Popularity Of Money Market Funds

Money market funds have gained strong traction among investors seeking to park short-term surplus funds without compromising on liquidity. These schemes typically offer better return potential than traditional savings instruments, along with daily liquidity and relatively low volatility. 

Reflecting this trend, assets under management in money market funds have grown more than threefold, rising from ₹1.11 lakh crore in the October–December 2022 quarter to ₹3.57 lakh crore as of November 2025, according to AMFI data. 

Higher interest rates and increased market volatility have further accelerated the shift towards liquid and yield-efficient investment avenues.

Strategic Expansion Of Fixed Income Franchise

Against this backdrop, the launch of the Shriram Money Market Fund marks a strategic step in strengthening Shriram AMC’s fixed income franchise. The fund complements the AMC’s existing debt offerings, including the Shriram Overnight Fund and Shriram Liquid Fund, reinforcing its objective of building a comprehensive and scalable range of fixed income solutions. 

As liquidity management becomes increasingly critical for institutional treasuries, corporates and individual investors, the new fund enhances the AMC’s ability to address evolving cash management requirements.

Fund Investment Approach And Benchmark

The Shriram Money Market Fund will invest in a diversified portfolio of money market instruments as permitted by SEBI and RBI regulations. These include commercial papers, certificates of deposit, treasury bills, triparty repos, repos and reverse repos in government securities, and government securities with residual maturity of up to one year. 

The scheme will be benchmarked against the NIFTY Money Market Index A-I (Total Return Index), providing a relevant performance comparison for investors.

Strengthened Investment Capabilities

The fund launch also reflects Shriram AMC’s focused capability-building in fixed income. In October 2025, the AMC appointed Amit Modani as Senior Fund Manager and Lead Fixed Income, bringing deep experience across money market and short-duration strategies. 

The Shriram Money Market Fund is the first new scheme launched since his appointment, highlighting the AMC’s ability to translate enhanced expertise into timely product execution. The AMC is also working on expanding its fixed income pipeline with additional offerings across liquidity, duration and risk profiles.

Investment Options And Access

Investors can invest in the Shriram Money Market Fund through lump-sum investments or systematic investment plans. The minimum application amount is ₹1,000, with additional investments allowed in multiples of Re. 1. 

The scheme has no exit load, with redemption proceeds expected within three business days. It is available under Direct and Regular plans with a Growth option.

Also Read: Best Gold Mutual Funds in India for Jan 2026!

Conclusion

With rising demand for efficient short-term investment solutions, the Shriram Money Market Fund strengthens Shriram AMC’s presence in the fixed income space, offering investors a disciplined, liquid and regulation-compliant option for managing surplus funds.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a private recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Mutual Fund investments are subject to market risks, read all scheme-related documents carefully.