If you invest in mutual funds, you must have heard about hybrid mutual funds.
Experts and fund managers often recommend these funds, as they are expected to perform well in the coming year.
Still, experts advise investors to remain cautious and stay alert in the market.
Hybrid mutual funds invest in both equity (shares) and debt.
This mix makes them more stable during uncertain market conditions.
One of the most popular types is the aggressive hybrid fund.
As per SEBI rules:
These funds must invest 65–80% in equity and 20–35% in debt.
This balance helps reduce risks. When stock markets fall, the debt portion limits losses.
Because of this, new investors can continue investing without much worry.
Benefits and Risks of Aggressive Hybrid Funds
Before investing in aggressive hybrid funds, investors should keep some points in mind:
Their diversified portfolio helps manage market volatility and build wealth in the long run.
Regular profit booking can help these schemes generate better returns.
They offer some tax benefits.
However, these funds are not risk-free.
Since at least 65% is invested in stocks, short-term volatility is always possible.
Best Hybrid Funds to Consider in September 2025
Based on performance in the last three years, stability, risk profile, fund size, and ability to beat the market, experts have recommended the following hybrid funds for this month:
SBI Equity Hybrid Fund
Canara Robeco Equity Hybrid Fund
Mirae Asset Hybrid Equity Fund
ICICI Prudential Equity and Debt Fund
Quant Absolute Fund
Disclaimer: These are expert recommendations, not investment advice from NBT.
Investors should always consult a certified financial advisor before making decisions, as market conditions can change quickly.
