Aggressive Hybrid Mutual Funds in India 2026: Trends, Performance, and Top Schemes

Aggressive hybrid mutual funds sit between fixed deposits and pure equity funds. These schemes aim for better growth than debt options. At the same time, they avoid full stock market swings. SEBI rules usually keep 65% to 80% in shares. The remaining part goes into government and corporate bonds.

This mix suits investors who accept moderate risk and wait longer. The equity part seeks returns over time. The debt part can soften falls during volatile phases. Industry data also shows rising interest in this category. Assets in aggressive hybrid mutual funds reached Rs. 2.5 lakh crore by October 2025.

These funds were earlier called "balanced funds," in common market use. After SEBI’s 2017 reclassification, the label changed to "aggressive hybrid funds". The name reflects the high equity allocation. In simple terms, the portfolio follows a two-part approach. Shares drive growth, while bonds add stability and liquidity.

Some widely tracked schemes have published recent performance figures. Kotak Aggressive Hybrid Fund (Direct Growth) reported returns in its factsheet. As of 3rd June 2026, one-year annualised returns were 4.19%. Three-year returns were 14.46%, and five-year returns were 12.98%.

The same Kotak Aggressive Hybrid Fund showed a sizeable asset base. Assets were around Rs.8,670 crore as of 31st May 2026. Separately, CRISIL Research reviewed Edelweiss Aggressive Hybrid Fund for Business Standard. It outperformed its benchmark, "CRISIL Hybrid 35+65 Aggressive Index", across multiple trailing periods.

CRISIL Research also shared a long-term investment illustration for Edelweiss. Rs.10,000 invested in April 2015 became Rs. 28,584 by April 2025. That equals an annualised return of 11.06%. The category average reached Rs.26,586. The benchmark value was Rs. 28,321 for the same period.

UTI Aggressive Hybrid Fund showed a similar pattern in CRISIL Research findings. It beat its benchmark across one to 10-year trailing periods. Rs.10,000 invested in May 2015 grew to Rs.31,536 by May 2025. This translates to 12.16% annualised returns. The category reached Rs.30,002, while the benchmark reached Rs. 31,031.

Aggressive hybrid mutual funds: wider trends and June 2026 options

Broader category numbers also appeared in Business Standard, based on industry data. Hybrid funds, on average, returned close to 7% over one year. Over two years, average returns were around 16.5%. Over five years, average returns were over 17%. These figures help frame fund-level performance comparisons.

For June 2026, Economic Times listed several schemes under this space. The list included ICICI Prudential Equity & Debt Fund and SBI Equity Hybrid Fund. It also included Canara Robeco Equity Hybrid Fund. Edelweiss Aggressive Hybrid Fund and Kotak Aggressive Hybrid Fund were also named.

Best schemes to invest in June 2026
ICICI Prudential Equity & Debt Fund
SBI Equity Hybrid Fund
Canara Robeco Equity Hybrid Fund
Edelweiss Aggressive Hybrid Fund
Kotak Aggressive Hybrid Fund

Before selecting a scheme, investors need to expect short-term NAV declines. Equity exposure makes fluctuations normal, even in hybrid products. A holding period of three to five years often fits this category. Costs also matter, so check the expense ratio. Lower annual fees can leave more money invested over time.