Balanced Funds

Balanced Advantage Funds have had a weak year, but advisors warn against knee-jerk exits, saying investors should stay invested unless a fund persistently lags peers and benchmarks

Adjusting to market tides: Large BAFs trim net exposure to below 60%

Hybrid funds are ideal for investors who are looking for a balance between returns and risk. They are suitable for investors who are looking to generate regular income or grow their wealth.

People moving from fixed-income should use them as a stepping stone into the equity markets

Outflow not huge but the traction seen in the later part of 2021 is waning, shows data

There are three approaches investors may take as they decide their asset allocations

American Balanced Fund on Thursday offloaded 2.9 crore shares of real estate investment trust Embassy Office Parks REIT for Rs 1,046 crore through an open market transaction. According to the bulk deal data available with BSE, American Balanced Fund sold 2,92,62,468 shares of the company. The shares were disposed of at an average price of Rs 357.61 apiece, taking the transaction size to Rs 1,046.45 crore. Meanwhile, ICICI Prudential Mutual Fund picked up the shares of the company. Shares of Embassy Office Parks REIT closed 3.56 per cent lower at Rs 360.94 on BSE on Thursday.

Moving money from equity to debt in the last stages of any financial goal ensures that the corpus does not erode suddenly due to a fall in the stock market

If you want a moderate-risk product, and your fund has a decent track record, there is no reason to exit this category.

Despite the recent outflows and anaemic returns, the category makes sense due to its fine long-term track record

10% dividend distribution tax and instances of mis-selling to blame

When shifting, try to minimise the tax burden arising from this step

Those who are in need of regular income should shift their money to short-term debt funds and do systematic withdrawals from them

MIPs and ultra short-term funds may be a better bet for such purposes

Exposure to equities, especially to mid- and small-cap stocks, and also from holding higher-duration bonds can sometimes turn the tables on the investor

With AMCs providing as many as 4-6 balanced fund options, investors need to be cautious before buying

Assets of such schemes have more than doubled in two years; 600,000 new accounts opened last year

These funds contain volatility better but might not beat the market during a bull run