Mutual Funds

Best Overnight Mutual Funds 2026

Overnight funds invest in overnight securities — safest debt fund with near-zero interest rate risk. 277 funds available on TopFund.

8.52%

Avg 3Y CAGR

What are Overnight Mutual Funds?

Overnight mutual funds invest in overnight securities — safest debt fund with near-zero interest rate risk. These funds are managed by professional fund managers who select stocks/bonds based on the fund's investment objective and mandate defined by SEBI.

Who should invest? Conservative investors or those with short-to-medium term goals. Overnight funds offer relatively stable returns compared to equity funds.

Top Overnight Funds by Star Rating

#1

BANK OF INDIA Overnight Fund Regular Plan- Weekly IDCW

Bank of India Mutual Fund · Overnight Fund

★★★★★ 5 ⚡ 75/100 chevron_right
#2

TATA Overnight Fund Direct Plan - Daily Reinvestment of Income Distribution cum capital withdrawal option

Tata Mutual Fund · Overnight Fund

★★★★★ 5 ⚡ 79/100 chevron_right
#3

Edelweiss Overnight Fund - Direct Plan - Monthly - IDCW Option

Edelweiss Mutual Fund · Overnight Fund

★★★★★ 5 ⚡ 95/100 chevron_right
#4

Edelweiss Overnight Fund - Direct Plan - Weekly - IDCW Option

Edelweiss Mutual Fund · Overnight Fund

★★★★★ 5 ⚡ 95/100 chevron_right
#5

Edelweiss Overnight Fund - Regular Plan - Growth

Edelweiss Mutual Fund · Overnight Fund

★★★★★ 5 ⚡ 95/100 chevron_right
#6

BANK OF INDIA Overnight Fund Direct Plan- Weekly IDCW

Bank of India Mutual Fund · Overnight Fund

★★★★★ 5 ⚡ 75/100 chevron_right
#7

Edelweiss Overnight Fund - Direct Plan - Daily - IDCW Option

Edelweiss Mutual Fund · Overnight Fund

★★★★★ 5 ⚡ 95/100 chevron_right
#8

Edelweiss Overnight Fund - Direct Plan - Growth

Edelweiss Mutual Fund · Overnight Fund

★★★★★ 5 ⚡ 95/100 chevron_right
#9

Axis Overnight Fund - Regular Plan - Weekly IDCW

Axis Mutual Fund · Overnight Fund

★★★★★ 5 ⚡ 68/100 chevron_right
#10

Axis Overnight Fund - Direct Plan - Weekly IDCW

Axis Mutual Fund · Overnight Fund

★★★★★ 5 ⚡ 80/100 chevron_right

Frequently Asked Questions

What are Overnight mutual funds? expand_more

Overnight mutual funds invest in overnight securities — safest debt fund with near-zero interest rate risk.

What is the minimum investment in Overnight funds? expand_more

Most Overnight funds allow SIP starting from ₹500/month or ₹1,000 lumpsum. Some funds have lower minimums of ₹100 via SIP.

Are Overnight mutual funds safe? expand_more

Debt funds carry lower risk than equity but are not entirely risk-free — they have credit risk and interest rate risk. They are suitable for short-to-medium term goals.

How are Overnight fund returns taxed? expand_more

Debt fund gains are added to income and taxed per your income tax slab (post-2023 budget).

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