In the current market, investing in hybrid funds can be a smart move. More aggressive hybrid funds are one fund type that belongs to the group.
These funds invest 65-80 percent of their assets in equities and 20-35 percent in debt instruments. The hybrid fund we have highlighted here has been delivering promising returns since its inception. Moreover, the fund’s SIP schemes have given higher than expected returns. More about that fund later.
HSBC Equity Hybrid Fund (HSBC Equity Hybrid Fund – Direct – Growth):
This equity hybrid fund was launched on 22 October 2018 by HSBC Mutual Fund. It is an open-ended hybrid fund scheme, the fund invests large amounts in equity and equity-related instruments.
It is a fund with medium market risks. It has given above average returns among peer funds. The minimum investment amount for this fund is Rs. 5,000 and for additional investment of Rs. 1000 can be added.
If you want to invest in the same SIP mode then the minimum investment amount is Rs. 500 onwards. It has no lock-in period. However, if you withdraw more than 10% units from your investment within 365 days, 1% withdrawal charge is charged.
The fund invests 70.41% in stocks, out of which 38.74% invests in large-cap stocks, 10.44% in mid-cap stocks and 7.65% in small-cap stocks. Of the balance, 23.53% is invested in Debt (DEBT) stocks, 12.96% in government bonds and 10.57% in ultra-low-risk bonds.
Disclaimer: Mutual fund schemes are subject to market risks. Consult your advisor before investing and invest at your own discretion.