What is Hybrid Fund?

This type of mutual that invest in a mix of equity and debt securities are known as Hybrid Funds.

Hybrid Fund Types

Conservative Hybrid Fund

Investment in equity & equity related instruments- between 10% and 25% of total assets; Investment in Debt instruments- between 75% and 90% of total assets

Balanced Hybrid Fund

Equity & Equity related instruments- between 40% and 60% of total assets; Debt instruments- between 40% and 60% of total assets No Arbitrage would be permitted in this scheme

Aggressive Hybrid Fund

Equity & Equity related instruments- between 65% and 80% of total assets; Debt instruments- between 20% and 35% of total assets.

Dynamic Asset Allocation or Balanced Advantage

Investment in equity/ debt that is managed dynamically

Multi Asset Allocation

Invests in at least three asset classes with a minimum allocation of at least 10% each in all three asset classes.

Arbitrage Fund

Scheme following arbitrage strategy. Minimum investment in equity & equity related instruments- 65% of total assets

Equity Savings

Minimum investment in equity & equity related instruments- 65% of total assets and minimum investment in debt- 10% of total assets Minimum hedged & unhedged to be stated in the SID. Asset Allocation under defensive considerations may also be stated in the Offer Document

Conclusion

These type of funds are also it is called as Balance fund and are lesser risk than Equity Funds.

Oyorooms [CPS] IN
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