The 2025 Best Nippon India Hybrid Mutual Funds - A comprehensive guide
Hybrid mutual funds have become very popular in the recent times among the Indian investors. These are the funds, which have an equity and debt structure, to provide an investment strategy, which is balanced to a range of financial objectives and risk profiles. Nippon India Mutual Fund, or rather Reliance mutual fund is one of the most successful Asset Management Companies of India, having various reputed hybrid fund selections. This guide will help you to transit through the most suitable Nippon India hybrid mutual funds that you can invest in 2025, their peculiarities, and other essential details that must be considered by the future investor.
What Are Nippon India Hybrid Mutual Funds?
The Nippon India Hybrid Mutual Funds are funds that invest in a combination of equity shares, debt securities and in other cases, other assets such as gold or REITs. These are aimed at balancing the growth potential and reduced volatility in contrast to pure equity funds. These funds enable the investor to benefit in the upsurges in the market and soften the blow associated with a decline in the market.
There are different types of hybrid funds under the Nippon India umbrella with distinct investment strategy and risk profile. The most common ones are aggressive hybrid funds, balanced advantage funds and equity savings funds that meet individual investment requirements and periods.
Why Think Hybrid mutual funds in 2025?
The 2025 Indian markets will have a moderate growth at intervals of volatility because of the trend in the global economy and domestic elections. Hybrid funds may be important in your portfolio because of the following reasons:
- They provide a range of asset diversification.
- Intended to reduce the potential loss of market correction.
- Have the potential to invest with a regular income, as well as capital appreciation.
- better than pure equity options in managing risks.
Hybrid mutual funds are still the best to be used by medium and long-term investors who want to have stability with constant returns.
Did you know? Indian Inflows to hybrid mutual funds have reached over INR 1 lakh crore of the year ending 2024, which underscores the growing popularity of these funds among Indian households.
What are the best Hybrid Mutual Funds in Nippon India in 2025.
A sample of the top hybrid mutual funds demanded by Nippon India in 2025 is provided here as it is consistent in performance and is good in risk management.
Nippon India Balanced Advantage Fund
Key Features or Highlights
- Type: Dynamic Allocation of Assets.
- Asset Mix: Equity 35-65%, Debt 35-65%
- Risk Level: Moderately High
- Minimum SIP Amount: INR 100
- Main Strategy: Proactively controls equity and debt uses in accordance to market conditions.
Pros
- The effect of volatile markets is minimized by dynamic allocation.
- Works well with conservative and aggressive investors.
- Compared to fixed deposit or debt funds, tax efficient.
Cons
- May does not perform well in bull markets when using pure equity funds.
- Not suitable in short term (less than 3 years) investments.
Nippon India Equity Hybrid Fund
Key Features or Highlights
- Classification: Aggressive Hybrid Fund.
- Equity Exposure: 65-80%
- Debt Exposure: 20-35%
- Appropriate To: Investors looking to gain greater growth and less risk than pure equity.
- Minimum Lump Sum: INR 500
Pros
- Good track record of providing consistent long term returns.
- Frequent income prospect through dividends or SWP.
- To some extent sheltered against market turmoil.
Cons
- The company remains vulnerable to equity market risk.
- The debt ratio can present lower returns in the long-term compared to pure equity.
Multi Asset Fund in Nippon India
Key Features or Highlights
- Asset Categories Equity, Fixed Income, Gold.
- Asset Split: 10 percent in every asset category.
- Diversification: Eliminates single asset class risk.
- Time Horizon: 3 to 5 years is the minimum suggested.
Pros
- Not entirely stock or bond market dependent returns.
- Gold allocation is used to hedge inflation.
- Perfect to the investor in need of real diversification.
Cons
- Minor increase fund management cost owing to multi asset operations.
- The laggards are in periods when one asset type is doing poorly.
Expert opinion: Nippon India fund managers make decisions on the optimum allocation of assets based on proprietary models and in-house research, and make real-time changes based on market signals.
What is the Best Nippon India Hybrid Fund to pick?
Selecting the optimal fund: It is a process of aligning your investment horizon, risk attitude and financial goals:
- Dynamic balanced advantage funds are better in case you would like to have low volatility.
- Aggressive hybrid schemes are good prospects in order to have more returns and a long-run strategy.
- Multi asset funds would be more suitable in order to achieve maximum diversification.
Never fail to look at the track record of the fund, the expense ratio, exit load and experience of management team.
People Also Ask
Q: How much will you invest in Nippon India hybrid funds?
SIP has a minimum of INR 100 to INR 500 which is affordable to any investor.
Comparison of Nippon India Hybrid funds
A comparison table of the best hybrid schemes of Nippon India as of 2025 can be found below:
| Name of fund | Percent of Equity | Percent of Debt | Percent of other assets | 3-Yr Performance (annualised) | Riskiness level | Expense ratio |
|---|---|---|---|---|---|---|
| Balanced Advisory Fund | 35-65 | 35-65 | - | 12.8 | Mod High | 1.15 |
| Equity Hybrid Fund | 65-80 | 20-35 | - | 13.5 | High | 1.21 |
| Multi Asset Fund | 35-65 | 10-40 | 10+ (Gold etc) | 11.7 | Mod High | 1.35. |
| Equity Savings Fund | 20-40 | 30-50 | 10-40 (Arbit.) | 8.9 | Moderate | 1.22 |
Data updated for Jan 2025
What Are the Returns That These Funds can offer you?
The performance of hybrid funds is highly dependent on the market cycles and the fund manager. The best Nippon India hybrid funds have paid returns ranging between 8 and 14 percent per annum over the last three years. Although they are not as high as pure equity funds when they are on a bull run, their risk adjusted returns are spectacular.
- Past 3-year annualized returns range at 9-14 percent among Nippon India hybrid products.
- Investing that is longer (over 3 years) is advisable to even out the market fluctuations in the short-term.
People Also Ask
Q: Are hybrid funds suitable with beginners?
Yes, they are diversified, which is why they are appropriate to new investors who need to grow with low volatility.
What Are the Risks in Nippon India Hybrid mutual funds?
Although the hybrid funds are meant to provide a balance between risk and reward, they are not risk-free. The key risks involved are:
- Market risks in case equity allocations perform poorly.
- Changes in the interest rates that affect the returns of debts.
- Risk rebalancing in case the timing of the manager is wrong.
There are however, cases when hybrid funds tend to fall behind during general hard market times as compared to pure equity funds.
Did you know? In the short term market correction, which happened in mid 2024, Nippon India Balanced Advantage Fund performed better than most of the large cap equity funds due to the versatile debt allocation.
The taxation regulations of the Nippon India Hybrid mutual funds in 2025.
The taxation will be based on equity in the fund:
- Funds that are aggressive hybrid and balanced advantage funds (which contain 65 or more equity) are taxed as equity funds.
- Long term capital gains (LTCG) in excess of INR 1 Lakh at a rate of 10 per cent after 1 year holding.
- Any short-term capital gains (STCG) taxed at 15 per cent in case of redemption less than 1 year.
- Funds that have less than 65 percent equity undergo taxation as debt funds and indexation benefit after three years.
This renders violent hybrid funds and balanced advantage funds tax effective to individuals in the high tax bracket.
People Also Ask
Q: What is the taxation of Nippon India hybrid fund dividends?
Mutual funds dividends are taxed according to your slab in the income tax in 2025.
What is the way to start investing in Nippon India Hybrid Mutual Funds?
All you need to do to start an investment is:
- Choose the preferred Nippon India hybrid scheme by their webpages, mutual fund site, or financial consultant.
- Finalize your KYC and Risk Profiling according to the SEBI requirements.
- Choose SIP or lump sum mode.
- Monitor and appraise performance on a regular basis with AMCs or aggregator applications.
Professional thinking: Early SIP is beneficial to assist in rupee cost averaging, lessen the effect of volatility and instill the discipline of investing habit.
Who is to think of Nippon India Hybrid Mutual Funds?
Hybrid funds are most suitable in:
- Investors in mutual funds first time or novices.
- Retirement and individuals seeking stable growth and a steady income.
- Moderate risk ape investors.
- Individuals who wish to have a diversified portfolio in assets but not to manage various funds.
These funds can potentially offer a smoother ride to the creation of wealth particularly when you have a 3-5 years investment horizon.
People Also Ask
Q: Does this mean that I can withdraw investments at any time on hybrid funds?
Yes, Nippon India hybrid funds can be easily redeemed and the units are usually credited onto your account within a period of 3 business days.
TL;DR / Quick Recap
- Nippon India is a good company that provides hybrid mutual funds that can be used by diverse investors in 2025.
- Most successful funds are Balanced Advantage, Equity Hybrid and Multi Asset funds.
- They combine both growth and debt in the name of equity and safety, respectively.
- Good investment idea among beginners and moderate risk takers to invest towards medium to long term objectives.
- Always remember to examine returns, risk and tax treatment prior to investing.
People Also Ask (FAQs)
Q1: What Nippon India hybrid fund would be the best in SIP in 2025?
The best SIP funds are Balanced Advantage Fund and Equity Hybrid Fund because of the steady performance, and management of risks.
Q2: What is the amount of investment I should make in hybrid funds?
Begin with a SIP of a minimum of INR 100 monthly, and allocate depending on your financial objectives and the risk level.
Q3: Do Nippon India hybrid funds perform better than the bank FDs?
They are more likely to give greater returns, and would be more tax efficient when held over a longer period and also would provide better inflation hedging but with greater risk compared to fixed deposits.
Q4: Are hybrid mutual funds offering monthly income?
Most of them have SWP or dividend option, which may yield periodic income, but not guaranteed returns.
Q5: Is it possible to change between hybrid funds?
Yes, that is but you have to think about the exit load, taxation and your investment objectives before switching.
Sources
Official websites of:
- Nippon India Mutual Fund
- Value Research Online
- AMFI (Association of Mutual funds in India)
