Not every one is conservative and neither they all are adventurous. in that case,
In the balanced fund category, the funds seeks to invest in both equity and equity related instruments along with debt instruments to provide a hybrid holding. While the equity part provides the capital appreciation, the debt part provides the income generation.
#1 Balanced Mutual Funds – Aditya Birla Sun Life Balanced 95 – Growth
Aditya Birla Sun Life Equity Hybrid ’95 Fund (Erstwhile Aditya Birla Sun Life Balanced ’95 Fund) seeks to generate long-term growth of capital and current income, through a portfolio investing in equity, debt and money market securities. The fund has generated over 16% returns over the five-year period and is currently managed by Dhaval Shah who took over in November 2016. The fund’s performance during both bull and bear phases of the market along with consistency is likely to continue given the fact that the fund follows ‘growth at a reasonable price’ strategy and looks for secular growth stories for its equity portfolio.
#2 Balanced Mutual Funds – Canara Robeco Balance – Growth
Canara Robeco Equity Debt Allocation Fund (Erstwhile Canara Robeco Balance) seeks to build a balanced portfolio, which would provide a combination of high annual return and capital appreciation. The fund generated over 16% returns during the five-year period. The fund is currently managed by Ravi Gopalakrishnan and Shridatta Bhandwaldar since May 2016 and July 2016 respectively. The consistent performance is likely to continue given the balanced nature of the fund that comprises of fundamentally sound stocks across market capitalization with mid-small tilt.
#3 Balanced Mutual Funds – DHFL Pramerica Balanced Advantage Fund – Growth
DHFL Pramerica Hybrid Equity Fund (Erstwhile DHFL Pramerica Balanced Advantage Fund) aims to generate capital appreciation and income from a portfolio of equity and equity related securities as well as fixed income securities. The fund generated around 12% returns over the five-year period and is managed by Alok Agarwal since June 2016 and Kumaresh Ramakrishnan since April 2018. The performance of the fund has remained moderate historically but comes with moderate risk profile.
#4 Balanced Mutual Funds – Franklin India Balanced Fund – Growth
Franklin India Balanced Fund seeks to achieve long-term capital appreciation with the stability of investment and current income from a balanced portfolio of high-quality equity and fixed-income securities. The fund managed to generate over 15% returns over the five-year period. The fund is managed by the trio of Lakshmikanth Reddy, Sachin Padwal-Desai, and Umesh Sharma. The moderate performance of the fund is likely to continue given that the fund takes very few risks both on its equity or debt market investments and is an ideal fit for conservative investors.
#5 Balanced Mutual Funds – HDFC Balanced Fund – Growth
HDFC Balanced Fund seeks to generate capital appreciation with current income from a combined portfolio of equity and debt instruments. The fund generated over 18% returns in the five-year period and is currently managed by Chirag Setalvad since April 2007. The performance is likely to continue as the fund typically maintains a 2/3rd allocation to equity instruments and seeks to minimize the risk by investing in debt instruments.
#6 Balanced Mutual Funds – ICICI Prudential Balanced – Growth
ICICI Prudential Equity & Debt Fund (erstwhile ICICI Prudential Balanced Fund) seeks to generate long-term capital appreciation and current income by investing in a portfolio that is investing in equities and related securities as well as fixed income and money market securities. The fund managed to generate 17% returns over the five-year period and is currently managed by Atul Patel, Manish Banthia, and Sankaran Naren. The performance is likely to continue as the fund seeks to provide the twin benefits of growth from equity markets and steady income from debt markets.
#7 Balanced Mutual Funds – Kotak Balance – Dividend
Kotak Equity Hybrid Fund (erstwhile Kotak Balance) seeks to achieve growth by investing in equity and equity related instruments, balanced with income generation by investing in debt and money market instruments. The fund generated 12% returns over the five-year period and is currently managed by Abhishek Bisen and Pankaj Tibrewal. The fund’s steady show is likely to continue given the balanced nature of the fund and returns are topped up with moderately high equity allocation in mid-cap and small-cap category.
#8 Balanced Mutual Funds – Sundaram Balanced Fund – Reg – Growth
Sundaram Equity Hybrid Fund (Erstwhile Sundaram Balanced) aims to provide capital appreciation and current income from a balanced portfolio of equities and fixed income securities. The fund generated over 11% returns over the five-year period and is currently managed by Shiv Chanani since January 2013. The moderate performance is likely to come from the equity allocation where the fund manager adopts a fundamental approach.
#9 Balanced Mutual Funds – Tata Balanced Fund – Reg – Growth
Tata Hybrid Equity Fund (Erstwhile Tata Balanced) seeks steady returns from debt along with growth from equities instruments. The likely equity to debt investment ratio is 70 to 30. The fund generated over 15% returns over the five-year period and is currently managed by Murthy Nagarajan and Pradeep Gokhale. The fund is a consistent performer but not a spectacular one and is more suited for a risk-averse investor.
#10 Balanced Mutual Funds – UTI Balanced Fund – Growth
UTI Hybrid Equity Fund (Erstwhile UTI Balanced) seeks to generate long-term capital appreciation by investing predominantly in equity and equity-related securities of companies across the market capitalization spectrum. The fund also invests in debt and money market instruments with a view to generating regular income. The fund generated over 14$ returns during the five-year period. The fund is managed by Sunil Madhukar Patil Since February 2018 and V Srivatsa since September 2009.
Our Approach to Evaluating Best Balanced Mutual Funds
We have evaluated based on both qualitative and quantitative factors such as returns, fund size, fund managers, the reputation of fund house, and investment philosophy. Here is our analysis:
|Balanced||Annualized Return %|
|1 Year||2 Years||3 Years||4 Years||5 Years||Since Inception|
|Aditya Birla Sun Life Balanced 95 – Growth||13966.56||8.61||15.89||9.39||17.02||17.15||20.44|
|Canara Robeco Balance – Growth||1532.44||10.9||15.71||8.57||16.62||16.34||11.38|
|DHFL Pramerica Balanced Advantage Fund – Growth||240.62||4.54||10.92||4.11||11.96||13.13||14.22|
|Franklin India Balanced Fund – Growth||2113.48||8.37||11.98||7.39||15.73||16.15||14.15|
|HDFC Balanced Fund – Growth||20191.49||12.1||17.52||10.66||18.22||19.08||16.53|
|ICICI Prudential Balanced – Growth||27800.54||9.66||18.35||10.72||17.14||17.93||14.71|
|Kotak Balance – Dividend||2232.44||6.99||14.95||8.38||12.76||12.71||14.7|
|Sundaram Balanced Fund – Reg – Growth||875.92||10.85||16.87||8.09||11.29||11.52||12.55|
|Tata Balanced Fund – Reg – Growth||5522.42||5.89||11.44||5.52||16.01||16.39||15.9|
|UTI Balanced Fund – Growth||5536.38||9.88||16.68||9.14||14.04||14.37||15.8|