Top Rated Hybrid Mutual Funds in 2024 - Best Hybrid Funds

Returns Calulator Based on Annualised Returns

Investment Type

Monthly SIPLumpsum

SIP Amount

Check the Returns of Your Investment in

Check the Returns of Your Investment in

Total Investment

₹ NaN

Returns

₹ 0

(NaN%)

Maturity Value after -

₹ 0

Add to Cart Invest Now

Disclaimer: Mutual fund investments carry market risks; read all scheme-related documents carefully. Past performance does not guarantee future returns.

About Hybrid Funds

Hybrid Funds are mutual fund or exchange-traded funds ETFs that invest in more than one type of security, such as stocks and bonds. They allow investors to own a mix of different elements that typically exist in two or more funds while investing in a single mutual fund. These funds aim to balance risk and return by leveraging the strengths of both equity and fixed-income securities. The allocation between asset classes can vary, offering investors a middle-ground approach to achieve both capital appreciation and income generation within a single investment product.

Diverse Asset Allocation: Hybrid funds invest in a mix of equity and debt instruments, providing investors with a diversified portfolio. This diversification helps spread risk and reduces the impact of poor performance in any single asset class.
Flexibility: Hybrid funds adapt to market conditions. Fund managers adjust the mix of stocks and bonds based on their outlook, seizing opportunities and minimizing risks. This flexibility enables investors to benefit from changing market dynamics and optimize their portfolios for varying economic scenarios.
Risk Management: Hybrid funds provide a balance between risk and return by including a mix of equity and debt instruments. This can be particularly appealing to investors who want exposure to the potential for higher returns from equities but also desire a level of capital preservation offered by fixed-income securities.

Hybrid funds provide a convenient one-stop solution for investors seeking both growth and income. Managed by professionals, these funds offer a diversified portfolio in a single investment, making them ideal for individuals who prefer a balanced approach but lack the time or expertise to manage such portfolios on their own.

Investing in hybrid funds comes with several advantages, particularly for those who are looking for a balanced investment approach.

Balanced Risk-Return Profile: Hybrid funds offer a mix of stocks and bonds, which can lead to a more balanced risk-return profile. This means potentially higher returns than pure bond funds with lower risk than pure stock funds.
Professional Management: These funds are managed by experienced fund managers who make informed decisions about asset allocation and investment selection.
Automatic Rebalancing: Hybrid funds automatically rebalance the portfolio to maintain the desired asset allocation, which is essential for risk management.
Suitable for a Range of Investment Goals: Whether your goal is capital appreciation, income, or both, there is likely a hybrid fund that suits your needs.
Convenience: Investing in a hybrid fund is simpler and more convenient than building and managing a diversified portfolio yourself.

Hybrid funds provide a convenient and professionally managed investment option for those seeking a balanced portfolio with both stocks and bonds.

They offer a middle ground between the potential high returns of stocks and the stability of bonds, adjusting asset allocation to respond to market changes and providing diversification.

When you're considering whether it's good to invest in hybrid funds, it's essential to understand how they align with your financial goals, risk tolerance, and investment horizon. Hybrid funds, which invest in a mix of asset classes like stocks and bonds, are designed to offer a balance between growth and income. Let's break down the key factors:

Risk Tolerance: Hybrid funds can be a suitable choice if you're not comfortable with the high volatility of pure equity funds. The bond component in hybrid funds helps in reducing overall portfolio volatility.
Investment Horizon: These funds are generally more appropriate for medium to long-term investment horizons. This is because they need time to balance out the ups and downs of the stock market.
Financial Goals: If your goal is to achieve growth while also generating income, hybrid funds can be a good fit.
Creates Balance: Hybrid Funds offer a balance between stability, growth potential, and the opportunity to build wealth over the long term, depending on the type and proportion of the equity and debt components.

Hybrid funds aim to offer capital appreciation through their equity portion and income through their bond portion. The suitability of hybrid funds depends on your individual financial situation. They are designed to provide a middle ground, balancing risk and return.

However, it's crucial to analyze your own risk appetite, investment goals, and time horizon before deciding if hybrid funds are a good investment choice for you.

Hybrid funds can be an attractive option for a variety of investors, but they are particularly well-suited to certain types of investors:

Moderate Risk Takers: If you are not comfortable with the high risk of equity funds but seek higher returns than conservative fixed-income investments, hybrid funds can be a good middle path.
First-Time Investors in the Stock Market: These funds can be a great starting point if you are new to investing in stocks, as the risk is lower compared to direct stock investments.
Retirement Planning: For those planning for retirement, the balanced nature of hybrid funds can provide growth in the early years and stability as you approach retirement.
Looking for Simplified Portfolio Management: If you want a diversified portfolio but prefer not to manage multiple funds or asset classes yourself, hybrid funds offer a convenient solution.
Investors Seeking Regular Income: Some hybrid funds are designed to provide regular income, making them suitable for investors who need periodic payouts.

Hybrid funds are suitable for investors who want to balance their returns and risks, and have a medium to long-term investment horizon. They also cater to those seeking regular income with a moderate risk profile.

Always consider your individual financial goals and risk tolerance when deciding if hybrid funds fit into your investment plan.

FAQs

Hybrid Funds combine investments in both stocks and bonds, offering a balanced approach. By diversifying across these asset classes, they aim to reduce the risk of volatility while still providing the opportunity for growth through equities and stability through debt investments. This blend makes them suitable for investors seeking both income and capital appreciation with a moderate risk profile.

These funds are typically invested in a mix of equity (stocks) and fixed-income securities (bonds, debentures, government securities). The proportion varies depending on the fund's strategy, with some funds leaning more towards equities for growth and others towards fixed income for stability, allowing you to choose based on their risk appetite and financial goals.

Hybrid Funds can give profit through capital appreciation from their equity investments and interest income from their debt holdings. While they aim to offer a balanced return, the actual profit depends on market conditions, the fund's asset allocation, and the fund manager's strategy.

No, Hybrid Funds are not tax-free. The taxation of returns from these funds depends on their equity exposure. Funds with higher equity allocation are taxed as equity funds, while those with higher debt allocation follow the taxation rules applicable to debt funds. Long-term capital gains from equity-oriented hybrid funds are taxed at 10% for gains exceeding ₹1 lakh annually without indexation.

For equity-oriented hybrid funds, long-term capital gains over ₹1 lakh are taxed at 10% without indexation benefit. Short-term capital gains are taxed at 15%. For debt-oriented hybrid funds, long-term capital gains are taxed at 20% with indexation, and short-term gains are added to your income and taxed as per your income tax slab.

Choosing the best Hybrid Fund involves considering your financial goals, risk tolerance, and the fund's performance history. Look at the fund's asset allocation, past returns, expense ratio, and the fund manager's experience. It's also wise to consider how the fund has performed across different market conditions and its risk-adjusted returns to ensure it aligns with your investment objectives.

No, you don't need a demat account to invest in Hybrid Funds. You can invest directly through mutual fund AMCs or online investment platforms. However, a demat account can be useful if you want to hold all your investments in one place, including stocks, bonds, and other securities.

The choice between lump sum and SIP (Systematic Investment Plan) in Hybrid Funds depends on your investment strategy and financial goals. A lump sum may be suitable if you have a substantial amount to invest at once. SIPs are beneficial for spreading your investment over time, potentially reducing the risk of market timing and averaging the cost of your investment.

To start a Hybrid Fund SIP online, follow these 4 steps:

Open Demat Account
Choose the Hybrid Fund you wish to invest in.
Choose the SIP option, specifying the amount and SIP date
Set up an auto-pay via bank account to automate the SIP payments

Yes, you can redeem your investment in Hybrid Funds at any time. However, it's important to be aware of any exit load that may apply for redemptions within a certain period after investment, as this can reduce the net returns you receive.

Generally, Hybrid Funds do not have a lock-in period. For Hybrid Funds, you can enter and exit the investment as per your financial needs and market outlook.

Hybrid Funds carry both market risk from their equity component and interest rate risk from their debt component. The level of risk varies based on the fund's asset allocation between equities and debt. While they aim to balance risk by diversifying across asset classes, market fluctuations can still impact the fund's performance.

No investment is 100% safe, including Hybrid Funds. While they aim to mitigate risk through diversification, they are still subject to market volatility and other factors affecting the equity and debt markets. The safety of a Hybrid Fund depends on its asset allocation, management strategy, and market conditions, making it important to assess your risk tolerance when investing in these funds.

*All securities mentioned on this website are exemplary and not recommendatory.

We are bullish on India, we are bullish on India's prospects to be one of the largest economies in the world. We believe that the stock market provides a unique opportunity for all of India's traders and investors to participate in the growth story of the country.

Yet, most investing & trading platforms in India have remained more or less the same over the past decade. Times have changed and retail traders and investors have become smarter about managing their trades and money. Modern traders & investors require an online trading platform that helps them keep up with the technological advancements of our time.

That's why we're building Dhan - to help you trade, to help you invest, and to help you participate in India's growth stock via the stock market with awesome features and an incredible experience.

We are doing so by giving you access to not just one but 6 products within the Dhan ecosystem:

Dhan App: The only online trading app you need for buying and selling equity, futures, options, commodity, and currency.
Dhan Web: Trade on the big screen across segments with our web trading platform.
Options Trader App: A dedicated option trading app built for India's F&O traders.
Options Trader Web: Love big screens and F&O trading? Use our web option trading platform.
Dhan + TradingView: The magic of Tradingview charts for free with the Lightning-Fast experience of Dhan on tv.dhan.co.
Connect to TradingView: Our Tradingview broker integration allows you to trade in Stocks, Futures, and Commodities directly from tradingview.com via Dhan.

This means that with Dhan, you'll be able to start:

Lakhs of users already trust Dhan for their online stock trading and investing needs. Dhan is growing rapidly because of the love we receive from SuperTraders and Long-Term Investors who acknowledge that the platform is innovating for them, building super useful features that help them do everything from investing in stock market to trading F&O like a pro on the Tradingview charts and much more.

While we are growing, we will always remember why we started building in the first place - you. Our user-first approach will always be at the heart of our philosophy. Come join us on this incredible journey!

Try it out, you can close your account at anytime using this link.

SEBI Stock Broker Registration No: INZ000006031 | Depository Participant (CDSL) ID: IN-DP-289-2016
Exchange Membership No. : NSE: 90133 | BSE: 6593 | MCX: 56320
Registered Office: 302, The Western Edge I, Off Western Express Highway, Borivali East, Mumbai - 400066, Maharashtra, India.
Corporate Office: 302, The Western Edge I, Off Western Express Highway, Borivali East, Mumbai - 400066, Maharashtra, India. Customer Care: 9987761000.

Details of client bank account

For any query / feedback / clarifications, email at help@dhan.co.

In case of grievances for any of the services rendered by Moneylicious Securities Private Limited, please write to grievance@dhan.co (for NSE, BSE and MCX) or grievancedp@dhan.co (for Depository Participant). Please ensure that you carefully read the Risk Disclosure Document as prescribed by SEBI, our Terms of Use and Privacy Policy. Compliance Officer: Mr. Manish Garg and Mobile: 8655740961 Email: complianceofficer@dhan.co To lodge your complaints using SEBI SCORES, click here.

Disclaimer: All communications with the client in the chat section are for support purposes only, and any commitments or statements made by the agent (human or virtual) shall not be binding on the company.

DHAN is a brand owned by Moneylicious Securities Private Limited. All DHAN clients are registered under Moneylicious Securities Private Limited. Clients are advised to refer to our company as Moneylicious Securities Private Limited when communicating with regulatory authorities.

Procedure to file a complaint on SEBI SCORES: Register on SCORES portal. Mandatory details for filing complaints on SCORES: Name, PAN, Address, Mobile Number, E-mail ID. Benefits: Effective Communication, Speedy redressal of the grievances

Disclaimer: Investment in the securities market are subject to market risks, read all the related documents carefully before investing. Brokerage will not exceed the SEBI prescribed limit

Attention investors:

Stock brokers can accept securities as margins from clients only by way of pledge in the depository system w.e.f September 01, 2020.
Update your e-mail and phone number with your stock broker / depository participant and receive OTP directly from depository on your e-mail and/or mobile number to create pledge.
Check your securities / MF / bonds in the consolidated account statement issued by NSDL/CDSL every month.

Note: As a policy we do not give stock tips or recommendations and have not authorized anyone to give this on behalf of us. If you know anyone claiming to be a part of Dhan / Moneylicious / Raise or our associate companies or partners and offering such services, please report us on help@dhan.co. Important Information for Investors: To prevent unauthorized transactions in your trading / demat account, do not share your account details, credentials or any personal details with anyone. Keep your mobile number updated with your Stock Broker, Depository Participant and ensure that the same is registered with Stock Exchanges, Depository and KRAs. You will receive alerts and information on your registered mobile number / email for debit and other important transactions in your demat account directly from CDSL / Exchange on the same day. KYC is one time exercise while dealing in securities markets - once KYC is done through a SEBI registered intermediary (Stock Broker, DP, Mutual Fund, etc.), you need not undergo the same process again when you approach another intermediary. No need to issue cheques by investors while subscribing to IPO. Just write the bank account number and sign in the application form to authorise your bank to make payment in case of allotment. No worries for refund as the money remains in investor's account. This is issued in the interest of investors.

Moneylicious Securities Private Limited also known as Dhan is only an order collection platform that collects orders on behalf of clients and places them on BSE StarMF for execution. Client expressly agrees that Dhan is not liable or responsible and does not represent or warrant any damages regarding non- execution of orders or any incorrect execution of orders with regard to the funds chosen by the client or due to, but not being limited to, any link/system failure, delay in transfer of the funds on account of any unforeseen circumstances/issues in the banking system/payment aggregators or any other problems that may result in a delay in crediting the funds into the BSE Star MF's bank account.

Mutual fund investments are subject to market risks, read all scheme related documents carefully before investing. Dhan is not a distributor or agent of any mutual fund. Mutual Funds are not exchange-traded products. Any related disputes will not have access to the Exchange-investor redressal forum or arbitration mechanism. For other disclaimers please refer https://dhan.co/advertisement-disclaimer/

Download client registration documents (Rights & Obligations, Risk Disclosure Document, Do's & Don'ts) in vernacular language: BSE | NSE | MCX

Kindly, read the Advisory Guidelines of BSE | NSE | MCX for investors as prescribed by the exchange with reference to their circular dated 27th August, 2021 regarding investor awareness and safeguarding client's assets

Hybrid Mutual Funds

Best Hybrid Funds to Invest in 2024

Returns Calulator Based on Annualised Returns

Types of Hybrid Funds

About Hybrid Funds

What are Hybrid Funds

Advantages of investing in Hybrid Funds

Is it good to invest in Hybrid Funds

Who should invest in Hybrid Funds

Explore Mutual Funds by Types

Popular Funds

FAQs