``There is a strong demand for a monthly income product but its launch is being delayed because we are keen to have a predominantly securitised debt portfolio and are in the process of ascertaining the depth of the market for such instruments,'' Bishnoi pointed out.

The reason why Bishnoi is more comfortable with securitised debt because it keeps the capital of the scheme intact and monthly outflows from the scheme can be taken care of by receivables and cash flows of the borrower company. JM Mutual Fund has also changed the composition of JM Equity Fund by shifting to MNC stocks for stable returns. "We might get less than optimal returns by taking a defensive posture but are also protected from major erosion in our investments on the downside," he clarified.

Barring a few exceptions like Infosys, which has been retained because the fund manager believes that it is yet to realise its full value, the equity fund now has multinational stocks in its portfolio and the returns on investments in the last 12 months work out to around 50 per cent.