Top Balanced Funds Rated by FINCASH for 2025 - 2026

Updated on August 24, 2025 , 2506 views

Balance your Portfolio by Investing in Balanced Fund. Balanced Funds are the most preferred choice amongst those investors who want to invest in both equity and debt instrument. These funds provide an avenue to achieve a balance between both equity and debt. Equity-oriented balanced funds have a larger portion of their corpus (at least 65%) invested in stocks. These funds are best suitable for investors who want to enjoy the returns, but with a safety cushion.

Ideally, investors who want to begin their investments in equities can add balanced funds in their portfolio. These funds have lower Volatility than other Equity Fund and their returns are higher than the debt mutual fund. For better results, investors can consider these top rated best balanced funds to invest this year.

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Top Rated Balanced Funds

Fund	NAV	Net Assets (Cr)	Rating	3 MO (%)	6 MO (%)	1 YR (%)	3 YR (%)	5 YR (%)	2024 (%)	Information Ratio	Sharpe Ratio
Aditya Birla Sun Life Equity Hybrid 95 Fund Growth	₹1,513.36 ↓ -15.35	₹7,480	☆☆☆☆☆	0.6	10.4	1	12.8	15.8	15.3	0.08	-0.38
DSP Equity and Bond Fund Growth	₹352.901 ↓ -3.58	₹11,436	☆☆☆☆	-1.7	7.8	3.1	15.4	16.3	17.7	0.83	-0.09
SBI Equity Hybrid Fund Growth	₹298.393 ↓ -2.90	₹77,794	☆☆☆☆	0.2	11.2	6.6	13.4	15.8	14.2	0.3	0.12
ICICI Prudential Equity and Debt Fund Growth	₹394.53 ↓ -3.05	₹44,605	☆☆☆☆	2	11.8	4.5	19.3	24.1	17.2	2.06	-0.19
Nippon India Equity Hybrid Fund Growth	₹103.927 ↓ -1.06	₹3,936	☆☆☆☆	0.6	10.1	0.9	15.4	18.4	16.1	1.26	-0.31
UTI Hybrid Equity Fund Growth	₹398.707 ↓ -3.83	₹6,422	☆☆☆	-0.9	7.7	-0.4	16	19.1	19.7	1.59	-0.42
Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 26 Aug 25
Note: Ratio's shown as on 31 Jul 25

Research Highlights & Commentary of 6 Funds showcased

Commentary	Aditya Birla Sun Life Equity Hybrid 95 Fund	DSP Equity and Bond Fund	SBI Equity Hybrid Fund	ICICI Prudential Equity and Debt Fund	Nippon India Equity Hybrid Fund	UTI Hybrid Equity Fund
Point 1	Lower mid AUM (₹7,480 Cr).	Upper mid AUM (₹11,436 Cr).	Highest AUM (₹77,794 Cr).	Upper mid AUM (₹44,605 Cr).	Bottom quartile AUM (₹3,936 Cr).	Bottom quartile AUM (₹6,422 Cr).
Point 2	Oldest track record among peers (30 yrs).	Established history (26+ yrs).	Established history (20+ yrs).	Established history (25+ yrs).	Established history (20+ yrs).	Established history (30+ yrs).
Point 3	Top rated.	Rating: 4★ (upper mid).	Rating: 4★ (upper mid).	Rating: 4★ (lower mid).	Rating: 4★ (bottom quartile).	Rating: 3★ (bottom quartile).
Point 4	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.
Point 5	5Y return: 15.85% (bottom quartile).	5Y return: 16.35% (lower mid).	5Y return: 15.78% (bottom quartile).	5Y return: 24.10% (top quartile).	5Y return: 18.38% (upper mid).	5Y return: 19.05% (upper mid).
Point 6	3Y return: 12.81% (bottom quartile).	3Y return: 15.42% (lower mid).	3Y return: 13.44% (bottom quartile).	3Y return: 19.27% (top quartile).	3Y return: 15.44% (upper mid).	3Y return: 15.96% (upper mid).
Point 7	1Y return: 0.96% (lower mid).	1Y return: 3.15% (upper mid).	1Y return: 6.64% (top quartile).	1Y return: 4.53% (upper mid).	1Y return: 0.92% (bottom quartile).	1Y return: -0.36% (bottom quartile).
Point 8	1M return: -0.62% (upper mid).	1M return: -1.69% (bottom quartile).	1M return: -1.15% (lower mid).	1M return: 1.21% (top quartile).	1M return: -0.35% (upper mid).	1M return: -1.34% (bottom quartile).
Point 9	Alpha: 0.09 (bottom quartile).	Alpha: 2.89 (upper mid).	Alpha: 5.42 (top quartile).	Alpha: 2.01 (upper mid).	Alpha: 0.72 (lower mid).	Alpha: -0.36 (bottom quartile).
Point 10	Sharpe: -0.38 (bottom quartile).	Sharpe: -0.08 (upper mid).	Sharpe: 0.12 (top quartile).	Sharpe: -0.18 (upper mid).	Sharpe: -0.31 (lower mid).	Sharpe: -0.42 (bottom quartile).

Aditya Birla Sun Life Equity Hybrid 95 Fund

Lower mid AUM (₹7,480 Cr).
Oldest track record among peers (30 yrs).
Top rated.
Risk profile: Moderately High.
5Y return: 15.85% (bottom quartile).
3Y return: 12.81% (bottom quartile).
1Y return: 0.96% (lower mid).
1M return: -0.62% (upper mid).
Alpha: 0.09 (bottom quartile).
Sharpe: -0.38 (bottom quartile).

DSP Equity and Bond Fund

Upper mid AUM (₹11,436 Cr).
Established history (26+ yrs).
Rating: 4★ (upper mid).
Risk profile: Moderately High.
5Y return: 16.35% (lower mid).
3Y return: 15.42% (lower mid).
1Y return: 3.15% (upper mid).
1M return: -1.69% (bottom quartile).
Alpha: 2.89 (upper mid).
Sharpe: -0.08 (upper mid).

SBI Equity Hybrid Fund

Highest AUM (₹77,794 Cr).
Established history (20+ yrs).
Rating: 4★ (upper mid).
Risk profile: Moderately High.
5Y return: 15.78% (bottom quartile).
3Y return: 13.44% (bottom quartile).
1Y return: 6.64% (top quartile).
1M return: -1.15% (lower mid).
Alpha: 5.42 (top quartile).
Sharpe: 0.12 (top quartile).

ICICI Prudential Equity and Debt Fund

Upper mid AUM (₹44,605 Cr).
Established history (25+ yrs).
Rating: 4★ (lower mid).
Risk profile: Moderately High.
5Y return: 24.10% (top quartile).
3Y return: 19.27% (top quartile).
1Y return: 4.53% (upper mid).
1M return: 1.21% (top quartile).
Alpha: 2.01 (upper mid).
Sharpe: -0.18 (upper mid).

Nippon India Equity Hybrid Fund

Bottom quartile AUM (₹3,936 Cr).
Established history (20+ yrs).
Rating: 4★ (bottom quartile).
Risk profile: Moderately High.
5Y return: 18.38% (upper mid).
3Y return: 15.44% (upper mid).
1Y return: 0.92% (bottom quartile).
1M return: -0.35% (upper mid).
Alpha: 0.72 (lower mid).
Sharpe: -0.31 (lower mid).

UTI Hybrid Equity Fund

Bottom quartile AUM (₹6,422 Cr).
Established history (30+ yrs).
Rating: 3★ (bottom quartile).
Risk profile: Moderately High.
5Y return: 19.05% (upper mid).
3Y return: 15.96% (upper mid).
1Y return: -0.36% (bottom quartile).
1M return: -1.34% (bottom quartile).
Alpha: -0.36 (bottom quartile).
Sharpe: -0.42 (bottom quartile).

Why Are These Top Performers?

Fincash has employed the following parameters for shortlisting the top performing funds:

Past Returns: Return analysis of last 3 years
Parameters & Weights: Information ratio with some modifications for our ratings and rankings
Qualitative & Quantitative Analysis: Quantitative measures like Expense Ratio, Sharpe Ratio, Sortino Ratio, Alpa, Beta, Upside Capture Ratio & Downside Capture Ratio, including fund age and the size of the fund has been considered. Qualitative analysis like the reputation of the fund along with the fund manager is one of the important parameters that you would see in the listed funds.
Asset Size: The minimum AUM criteria for balanced funds are INR 100 Crores with some exceptions at times for new funds that are doing well in the Market.
Performance with Respect to Benchmark: Peer average

Smart Tips to Invest in Balanced Funds

Some of the important tips to consider while investing in balanced funds are:

Investment Tenure: Investors planning to invest in balanced funds should stay invested for minimum 2 years.
Invest via a SIP: SIP or Systematic Investment plan is the most efficient way to invest in a Mutual Fund. They not only provide a systematic way of investing, but also ensures regular investment growth. You can invest in a SIP with an amount as low as INR 500.

Disclaimer:
All efforts have been made to ensure the information provided here is accurate. However, no guarantees are made regarding correctness of data. Please verify with scheme information document before making any investment.