Question

How do Fixed Maturity Plans (FMPs) compare to Fixed Deposits (FDs) in terms of returns?

a.

FMPs guarantee returns

b.

FDs have indicative returns

c.

Both guarantee returns

d.

FDs guarantee returns, FMPs do not

Answer: (d).FDs guarantee returns, FMPs do not Explanation:Unlike Fixed Deposits (FDs), Fixed Maturity Plans (FMPs) do not guarantee returns. FMPs provide indicative returns, and their returns depend on the market interest rates and the performance of the instruments they invest in.

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Q. How do Fixed Maturity Plans (FMPs) compare to Fixed Deposits (FDs) in terms of returns?

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