The ongoing covid-19 crisis has further highlighted the importance of having an adequate emergency corpus. With so much uncertainty about what could happen in future, you may be wondering if you should hold a portion of your emergency corpus in liquid funds or move the entire sum into safer options such as bank savings accounts, especially because liquid funds have seen greater volatility in net asset values (NAVs) recently, owing to liquidity-led disruptions in the debt markets.
Disha Sanghvi asks four industry experts if liquid funds are still a good option, or if it’s time to cut your losses and move on. Divide corpus between cash, bank deposit and liquid fund Once you have estimated the appropriate size of your emergency corpus, it