Debt funds are riskier than money funds.

Bond funds are funds that specialize in investing in bonds and are of medium and low risk, while currency funds invest in money market instruments with low risks, and their risks are very small. Compared with bond funds, stock funds, and index funds, the risks are smaller.

It is the one with the smallest risk among fund types.

The fund fluctuations of money funds are very small, and the risk is much smaller than that of bond funds. Although the risk of bond funds is higher than that of money funds, the returns are also higher than that of money funds. Generally, returns and risks are directly proportional.