Bandhan Mutual Fund has announced the merger of Bandhan CRISIL-IBX 10:90 Gilt + SDL Index - Dec 2029 Fund into Bandhan Short Duration Fund, effective September 12, 2026. According to the fund house announcement, this merger will result in the complete elimination of Bandhan Short Duration Fund, with its unitholders becoming unitholders of the gilt fund instead.
The merger includes a 10-day exit window for unitholders who do not wish to participate in the consolidation. As reported by Bandhan Mutual Fund, unitholders of the Bandhan CRISIL-IBX 10:90 Gilt + SDL Index - Dec 2029 Fund can exit or switch their investments without any exit load between August 13, 2026 and September 11, 2026. This provision allows investors to transition their holdings to alternative funds within the fund house's portfolio.
The merger will result in a complete restructuring of the fund lineup, with the short duration fund being absorbed into the gilt fund structure. According to the fund house announcement, this consolidation represents a strategic move to streamline the fund offerings and potentially optimize the fund house's operational efficiency. The merger will affect all existing unitholders of Bandhan Short Duration Fund, who will automatically become part of the gilt fund structure following the effective date.
The mutual fund industry demonstrated strong growth momentum in July 2026, with SIP inflows reaching ₹31,961 crore and total industry AUM growing 4.3% month-on-month to ₹85.76 lakh crore. As per AMFI, equity funds recorded ₹24,697 crore in net inflows - marking the 65th consecutive month of positive flows. The sustained growth was driven by continued SIP participation, improving investor confidence following market recovery, and ongoing preference for long-term wealth creation through mutual funds.
