Multi-Asset Funds Lead 3-Year SIP Returns; Balanced Advantage Lags
By Market Desk
Discover which hybrid funds excelled in 3-year SIP returns as of August 2026. Multi-asset allocation funds lead, while balanced advantage funds lag.
Multi-asset allocation funds delivered the strongest performance among hybrid fund categories based on their three-year Systematic Investment Plan (SIP) returns as of August 25, 2026. Conversely, categories like balanced advantage, aggressive hybrid, and conservative hybrid funds recorded the lowest returns over the same period.
Hybrid funds offer investors exposure to multiple asset classes, including equity, debt, gold, and silver, within a single scheme. Their asset allocations are determined by their specific mandates. As of July 2026, AMFI data indicated a total of 186 hybrid fund schemes, with arbitrage funds constituting the most numerous category.
Top Performers Lead Market
Data from Value Research revealed that multi-asset allocation funds were the top performers among the seven broad hybrid categories. The top four funds by three-year SIP returns all belonged to this segment.
- Quant Multi Asset Allocation Fund led with an 18.66% return.
- Nippon India Multi Asset Allocation Fund followed at 17.99%.
- WhiteOak Capital Multi Asset Allocation Fund achieved 16.62%.
- Aditya Birla Sun Life Multi Asset Allocation Fund posted 16.53%.
These multi-asset funds adhere to a SEBI mandate requiring them to invest a minimum of 10% in at least three distinct asset classes.
Lagging Categories Show Weaker Returns
In contrast, specific funds within the balanced advantage, aggressive hybrid, and conservative hybrid categories registered the lowest three-year SIP returns.
- Motilal Oswal Balanced Advantage Fund reported the lowest return at 2.29%.
- Shriram Balanced Advantage Fund came in at 2.81%.
- HDFC Aggressive Hybrid Fund posted 3.28%.
- Sundaram Conservative Hybrid Fund recorded 3.71%.
Balanced advantage funds are known for dynamically adjusting their equity and debt allocations. Aggressive hybrid funds typically allocate 65-80% to equity and 20-35% to debt, while conservative hybrid funds invest 10-25% in equity and 75-90% in debt.
The varying return profiles underscore that hybrid funds are not a uniform investment class; their performance can differ significantly based on their distinct asset allocation strategies. Investors should be aware that past returns do not guarantee future performance and are advised to consult a SEBI-registered advisor for investment decisions.