Best Motilal Oswal Hybrid Mutual Funds 2025 Guide
Investors in India are also seeking good balanced means of expanding their funds in 2025. Motilal Oswal Hybrid Mutual Funds has had a successful entry as a solid solution to both equity and debt, as it is a combination of similar advantages. Anyone new to mutual funds or diversifying their portfolio would be interested in the hybrid funds of Motilal Oswal due to their flexible strategy and good reputation.
This guide will include a description of the most appropriate Motilal Oswal hybrid funds in 2025, with their main features, performance analysis, and practical advantages and disadvantages to make informed investments.
What are Motilal Oswal Hybrid Mutual Funds?
Motilal Oswal Hybrid Mutual Funds are funds which include a combination of equities and fixed income securities to achieve balanced growth and a controlled risk. These funds are aimed at the investors who want to have a combination of both capital appreciation and stable returns. The management team of the fund invests on shares, bonds among other securities depending on the hybrid fund plan.
The idea behind hybrid mutual funds is to offset the high-performing and high-risk character of equities investments with the safety of debt investment. Motilal Oswal Asset Management Company takes its time-tested research-based strategy into these products and seeks to provide consistent performance.
Key Features or Highlights
- Both equity and debt diversification.
- Experience in fund management.
- Aggressive to conservative range of options.
- Rebalancing of portfolio based on market conditions.
Advantages and Disadvantages of Understanding.
Pros
- Minimizes effect of market volatility.
- Makes it easy to distribute wealth among investors.
- Appropriate when having medium and long-term objectives.
- Risk management automatic rebalancing.
Cons
- In bull markets, returns can be slow in the case of pure equity funds.
- Dual management may result in increased fund expenditure.
- Credit and interest rate risks are still present in debt portion.
People also ask:
Which Motilal Oswal hybrid fund is the most suitable to the beginners?
New investors would be interested in Motilal Oswal Dynamic Fund or the Balanced Advantage Fund due to its ability to reduce risks through a flexible equity-debt ratio.
What are the Best Hybrid Mutual Funds of Motilal Oswal in 2025?
Motilal Oswal provides a range of hybrid funds that are specific to the investors. There were three Motilal Oswal mutual funds, hybrid and performing better in 2025, as discussed below being unique in terms of the asset allocation and risk profile.
Motilal Oswal Dynamic Fund
One of the hype funds in hybrid funds this year is Motilal Oswal Dynamic Fund in India. It shifts its equity and debt instrument allocation base on the market indications to a tactical level.
Key Features or Highlights
- Active portfolio management supported by custom algorithms.
- The share was increased by 30 to 80 percent according to the market value.
- Wants to get the most when the market is up and cushion during declines.
Advantages and Disadvantages to clear understanding.
Pros
- Adjusts itself automatically to the cycles of the market.
- Eliminates timing risk to investors.
- Attractive and risk-adjusted returns.
Cons
- Any changes in allocation may cause short term volatility.
- May performs poorly when markets are highly trending on a single side (either with or without equity or debt rally).
Performance Example:
As of March 2025, the Motilal Oswal Dynamic Fund recorded a 14.2% CAGR with its equity and debt levels coming in at 62% and 38% respectively.
Did you know?
Motilal Oswal Dynamic fund is generally guided by Nifty Market Valuation Index to alternate between equity and debt thus giving it a scientific basis of rebalancing asset.
Motilal Oswal Equity Hybrid Fund
This is a fund that invests largely in equities (approximately 65%-80%), but with lesser investment in debts and money market securities. It is perfect to moderate-risk investors who desire to have greater equity exposure, but having a certain degree of stability through debt.
Key Features or Highlights
- Overwhelmingly equity-based hybrid style.
- Rebalancing 70:30 equity-debt ratio on a regular basis.
- Pay attention to high quality stocks and bond AAA.
Advantages and Disadvantages to Being Straussforward.
Pros
- Possibly better returns than a majority of conservative hybrids.
- Less drawdown than equity funds.
- Rated in equity taxation by income tax laws.
Cons
- Increased equity ratio is more volatile than other hybrids.
- Equity risks may not entirely be compensated by debt portion.
Performance Example:
The fund has provided approximately 16.4% CAGR in three years until March 2025, and it has lower volatility than most equity funds.
Motilal Oswal Balanced Advantage Fund
Balanced Advantage Funds or BAFs are currently quite popular in times of unpredictable market cycles. Motilal Oswal balanced advantage fund has a dynamic model of allocation where the funds are distributed between equity and debt in accordance with the changing valuations and indicators in the market.
Key Features or Highlights
- Adaptive equity-debt variation of 30% to 80% equity.
- In-house valuation models and artificial intelligence.
- Hedging techniques to minimize down moving when correcting.
Advantages and Disadvantages in Objective Sight.
Pros
- More consistent market cycle performance.
- Minimizes risks in high market valuations.
- Apposite among the conservative and first time investors.
Cons
- Performs poorly in steep gains of pure equities.
- Hedge positions may at times curtail good markets.
Performance Example:
This fund has recorded a 12.9% CAGR over the past two years; allocation has been frequently changed to decrease losses in the mid-2023 correction.
Expert Insight:
Experts argue that Balanced Advantage Funds are the best options when one needs to be less stressed and have consistent returns but does not know when to act in the market.
Comparison of Motilal Oswal Hybrid Funds in 2025
To make the appropriate selection of a hybrid fund, one has to take a glance at the previous performance, risk, and fund strategy. The following is the comparison of three best Motilal Oswal hybrid mutual funds this year:
| Fund Name | Equity Percentage | Debt Percentage | 3Y CAGR (until Mar 2025) | Expense Ratio | Ideal For. |
|---|---|---|---|---|---|
| Motilal oswal dynamic fund | 30-80 | 20-70 | 14.2 | 1.3% | Market cycle investors. |
| Motilal Oswal Equity Hybrid Fund | 65-80 | 20-35 | 16.4% | 1.1% | Norse risk-takers. |
| Motilal Oswal Balanced Advantage Fund | 30-80 | 20-70 | 12.9% | 1.2% | Conservative investors. |
People also ask:
Is investing in hybrid funds in 2025?
The hybrid funds would be a good option even in 2025, particularly during doubts in the global market or when the stock markets are fluctuating.
What Should Be the Major Things to Examine before Investing.
It is prudent not to consider only returns when deciding on the most suitable Motilal Oswal hybrid mutual fund. The following are some of the key considerations:
- Personal risk capacity and investment objective in accordance with fund type.
- Its proposed minimum investment horizon is 3 to 5 years.
- Track record and clarity of strategy of fund.
- Current expense ratio and departure load fees.
- The transparency of the fund in terms of its asset allocation and its quality of the portfolio should also be monitored by the investors.
Key Features or Highlights
- Minimum investment that is flexible as low as INR 500.
- Both, SIP and lumpsum were accepted.
- Motilal Oswal App and online platforms.
Advantages and Disadvantages to Understand
Pros
- Enables simultaneous diversification in terms of equity and debt.
- Key decisions are made by the professional fund managers.
Cons
- The professional expertise is not free (cost ratio).
- Investment not totally riskless.
Did you know?
Motilal Oswal also publishes elaborate monthly factsheets and periodic communications which give investors the opportunity to monitor their portfolio allocation and movements.
Should Motilal Oswal Hybrid Mutual Funds be Invested in in 2025
These hybrid funds suit very varied categories of investors:
- New investors that desire easy and less risky entry into mutual funds.
- Professionals aged between 20 and 45 years planning to educate their children or get married.
- Retirementes with the need of a stable income and capital increase.
- Investors who have a lower risk tolerance than pure equity or fixed deposit.
Such funds are also used by more experienced investors to diversify or to store short term cash in times of uncertain markets.
People also ask:
Are the Motilal Oswal hybrid funds tax efficient?
Yes, the majority of equity based hybrids are treated favorably in terms of taxation; LTCG is taxed at 10 percent above INR 1 lakh.
What Has Been the Latest Performance and Prospect in 2025.
The hybrid schemes of Motilal Oswal have relatively survived the recent market fluctuations. The strategic distribution of the Dynamic Fund and Balanced Advantage Fund allowed to reduce the losses during the volatile situation in 2023 and become a part of the recovery in 2024-25.
Important statistics indicate that these funds are above category averages in three and five years. Analysts are confident that given the further utilization of data-driven allocation, these funds can be anticipated to keep delivering on the 2025 and later.
Expert Insight:
According to the leading mutual funds analysts, the trend of adaptive hybrid strategies is more acceptable among Indian investors today because of the frequent changes in the market and economic reforms.
Investment in Motilal Oswal Hybrid Mutual Funds
It is easy to invest in Motilal Oswal hybrid funds. Here are the main steps:
- Go to the main Motilal Oswal mutual fund website or investing applications.
- Choose the fund you want (Dynamic, Balanced Advantage, and Equity Hybrid)
- Complete your KYC information (unless you have done it already)
- Choose either SIP (systematic investment plan) or lumpsum.
- Make the payments online using the guidelines.
With the help of Motilal Oswal mobile application, statements or a trusted distributor investment can be tracked and managed easily.
Quick Recap TLDR
- Motilal Oswal has strong hybrid mutual funds combined with both equity and debt to achieve a balanced return in 2025.
- The best options are Motilal Oswal Dynamic Fund, Equity Hybrid Fund and Balanced Advantage Fund.
- The funds are different with different risk-return profile, and therefore, different investors will use them.
- They are an attractive option in the case of market volatility because of their vast management and dynamic allocation.
People Also Ask
Q1. What is the best Motilal Oswal hybrid fund to use when retiring?
Balanced Advantage Fund is the most suitable retirement investment because of the smoother returns and downside cover.
Q2. What is the frequency of frequency of changing allocation of Motilal Oswal hybrid fund?
Balanced and Dynamic Advantage Funds rebalance according to market models usually quarterly or on an ad hoc basis.
Q3. Is NRIs investment in Motilal Oswal hybrid mutual funds possible?
Yes, there are usually open NRI schemes by Motilal Oswal that is open to qualified investors with regular documentation.
Q4. What is the lock-in of the Motilal Oswal hybrid funds?
Lock-in, however, does not exist except in ELSS funds; but exit loads can occur in case of redemption in less than 12 months.
To know more and to get the updates about funds, please visit the official site of Motilal Oswal AMC or see your advisor who is registered by SEBI.
Sources
- Motilal Oswal Mutual Fund Factsheets,
AMFI
