Hybrid Funds: Balanced Growth for Your 3-5 Year Goals

Hybrid mutual funds invest in a mix of equity and debt, offering a balance between growth and stability. They are designed to reduce risk through diversification and are often suitable for investors who want moderate risk with steady wealth-building.

Key Benefits

Types of Hybrid Funds

Aggressive Hybrid Fund

Equities with a small debt portion

Arbitrage Fund

Earns low - risk returns from cash and futures

Balanced Advantage

Adjusts equity and debt investments

Conservative Hybrid Fund

Invests in debt with a small equity portion

Dynamic Asset Allocation

Invests in market trends.

Multi Asset Allocation

Invests across multiple asset classes

Top Performing Hybrid Funds

Discover equity funds that have consistently delivered strong returns and outperformed market benchmarks over multiple years.

Fund Size (In Cr.)
1,426
3Y Return
7.03%
Fund Size (In Cr.)
37,122
3Y Return
7.01%
Fund Size (In Cr.)
10,218
3Y Return
6.92%
Fund Size (In Cr.)
155
3Y Return
6.89%

FAQ’s

Frequently Asked Questions about Equity Funds

Who should consider hybrid funds?

They are ideal for first-time investors or those seeking a balanced approach—not too risky like pure equity, and not too conservative like pure debt.

There are aggressive hybrid funds (higher equity), conservative hybrid funds (higher debt), balanced advantage funds (dynamic mix), and multi-asset funds (mix of equity, debt, gold, etc.).

They offer a balance, but returns are not guaranteed. Performance depends on how both the equity and debt parts of the portfolio perform.

Taxation depends on the equity allocation. If the fund holds more than 65% equity, it is taxed like equity mutual funds. Otherwise, it is taxed like debt funds.

Yes. For investors with a moderate risk appetite, hybrid funds provide diversification and are suitable for wealth-building over 3–5+ years.

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