360 ONE Dynamic Bond Fund-Reg(G)

Scheme Introduction:

360 ONE Dynamic Bond Fund-Reg(G) is an open-ended dynamic bond fund designed for investors who want a debt fund where the fund manager can actively change the portfolio’s maturity and duration based on the interest-rate outlook. Dynamic bond funds can invest across duration (short, medium, or long maturity bonds), which means returns can benefit when interest rates fall, but NAV can also fluctuate when rates rise.

 

As of 1 Feb 2026, 360 ONE Dynamic Bond Fund-Reg(G) manages 626 in assets, has a Yield to Maturity (YTM) of 7, and a Modified Duration of 1643.

 

In simple terms: YTM indicates the portfolio’s current income potential, while modified duration shows how sensitive the fund is to interest-rate changes (lower is typically more stable for short-term parking). Since dynamic bond funds can change duration meaningfully over time, tracking duration movements becomes especially important.

Investment Objective:

The investment objective of 360 ONE Dynamic Bond Fund-Reg(G) is to generate reasonable returns by investing in a dynamically managed portfolio of debt and money market instruments across maturities, in line with dynamic bond fund norms. Investors can typically invest and redeem on business days (subject to scheme cut-off timings and applicable exit load).

 

The current NAV of the scheme is ₹23.44 as on 18 Mar 2026, and the risk level is Moderately High.

Key Scheme Metrics:

360 ONE Dynamic Bond Fund-Reg(G) was launched on 24 Jun 2013 and is benchmarked against CRISIL Dynamic Bond Index. The scheme is managed by Milan Mody who has been managing the fund since 2 Mar 2021 and the fund is also managed by Viral Mehta. The exit load of the fund is Nil.

Asset Type Allocation:

360 ONE Dynamic Bond Fund-Reg(G) invests across short-term instruments to balance liquidity and yield. As of 28 Feb 2026, the portfolio is allocated to Government Securities (47%), Corporate Debt (39%), Certificate of Deposit (1%).

 

A quick way to read this: higher G-Secs exposure often reflects interest-rate strategy, while corporate bonds and money market instruments contribute to accrual and liquidity, assuming credit quality stays strong.

Rating Allocation:

Credit quality matters the even in dynamic bond. The fund’s portfolio is allocated 47% to SOV, 24% to AAA, 12% to AA+, 4% to AA-.

 

In plain language: : the higher the share of top-rated and sovereign instruments, the more the fund is leaning toward safety and stability. For dynamic bond and debt funds, credit quality is the most important filter, because one avoidable credit event can matter more than small return differences.

Top 5 holdings:

The top 5 holdings of the fund are 7.26% Government of India (10.8%), 7.18% Government of India (6.6%), 7.41% Government of India (5.%), 7.71% State Government Securities (4.9%), 6.4% Jamnagar Utilities & Power Private Limited (4.8%)

 

In dynamic bond funds, holdings can include government securities, high-quality corporate bonds, and money market instruments, chosen based on interest-rate strategy, liquidity needs, and credit comfort.

Top Sector Allocation:

Sector	Allocation (%)
"G-Sec	47%
Finance	40%
Bank	5%
Power Generation/Distribution	5%
Other	3%

 

It is normal for dynamic bond funds to show meaningful exposure to government and financial sectors, depending on the interest-rate positioning and the mix of issuers.

Performance:

360 ONE Dynamic Bond Fund-Reg(G)’s recent annualized returns are 7.4% (1 Year), 8.2% (3 Years) and 7.0% (5 years). Over 1 year, it has delivered 7.4% annualized returns. These returns are as of 20 Mar 2026

 

Against the full dynamic bond fund peer set, the scheme is ranked 1/23 over 1 year, 1/23 over 3 years, 2/22 over 5 years period.

 

One simple way to interpret rankings: dynamic bond funds can show meaningful differences across peers because maturity profile and interest-rate positioning can vary from fund to fund, so peer ranking is generally more useful.

How much money would you have made:

If you had invested ₹1,00,000 in 360 ONE Dynamic Bond Fund-Reg(G) then you would have got:

SIP Invested ₹1,00,000

Duration	Annualized Returns (%)	Current Total Value	Current Total Profit
1 Year	7.4%	₹107400.00	₹7400.00
3 Year	8.2%	₹108200.00	₹8200.00
5 Year	7.0%	₹107000.00	₹7000.00

Note: These are historical returns and they may not repeat in the future.

Also note for very short holding periods, exit load can impact realized returns. Always check exit load before investing in any fund. Data updated as of 20 Mar 2026

Debt quants:

The Potential Risk Class (PRC) matrix of 360 ONE Dynamic Bond Fund-Reg(G) is C-III which means that the fund has Relatively high interest rate risk and relatively high credit risk.

Who should invest in Dynamic bond Funds?

It may suit investors who want to:

• Invest for a medium to long-term horizon (for example, 3–7 years)
• Prefer a debt fund where the manager can actively manage duration based on interest-rate outlook
• Seek a mix of accrual and potential capital gains, while being comfortable with NAV movement due to interest-rate changes
• Use it as part of a diversified debt allocation rather than short-term parking.

Benefits of investing in Dynamic bond Funds:

It offers a few practical benefits: professional duration management, diversified exposure across maturities, easy entry/exit (subject to cut-offs and exit load, if any), and a structure that can potentially benefit in falling rate environments. It can be useful for medium-to-long term goals where investors seek steady accrual plus the possibility of capital gains, and are comfortable with NAV movement.

Things to consider before investing in Dynamic bond Funds:

Dynamic bond funds are not risk-free. Key things to watch are credit quality (ratings mix), issuer concentration, interest-rate risk (modified duration and average maturity), exit load/cut-off rules, and changes in YTM and duration. Because the duration strategy can change over time, NAV movements can be higher than short-duration categories, so these funds are generally better suited for investors with a medium-to-long term horizon rather than short-term parking.

Taxation of Dynamic bond Funds:

For Dynamic bond funds, taxation depends heavily on when you bought your units. Units acquired on or after 1 April 2023 are generally taxed as short-term capital gains at your slab rate and there are no long-term capital gain and loss benefits.

 

For units acquired before 1 April 2023, taxation follows the older capital-gains framework based on holding period and the date of sale.

 

Note that regulatory/tax updates over time can change how long-term treatment works.

Conclusion

360 ONE Dynamic Bond Fund-Reg(G) is positioned as a higher-yield debt option that aims to deliver reasonable returns through a portfolio that can take higher credit exposure.

 

A simple way to track whether it is doing its job is to follow three live indicators: credit quality, peer ranking consistency, and monthly movement in YTM and modified duration. Among these, credit quality should always come first because protecting capital matters more than chasing marginally higher returns; focus on the rating mix (AAA/AA+/sovereign exposure), issuer concentration, and any meaningful shifts in the credit profile, and use returns/ranks mainly as a supporting check