Synopsis: This article shows the top 5 multi-asset allocation funds that delivered returns up to 25.82% over the last year.
Amid rising market volatility and global uncertainty, investors are more and more looking for varied investment choices. Multi-asset allocation funds have become preferred because they spread money across several asset classes rather than just leaning on equities. This approach can help reduce volatility while supporting long-term growth potential.
What Are Multi-Asset Allocation Funds?
Multi-asset allocation funds are hybrid mutual funds that invest in at least three asset classes, often equity, debt, and gold. Fund managers will actively shift the mix around, following market conditions, so it can counterbalance risk with return.
1. Kotak Multi Asset Allocation Fund
- NAV: ₹16.40
- AUM: ₹13,447.43 Cr
- Expense Ratio: 0.67%
- Exit Load: 1% (within 1 year)
- Performance Snapshot
- 1-Year returns: 25.82%
- Category Comparison (1-Year)
- Fund 1-Year returns: 25.82%
- Hybrid Multi-Asset Allocation Category Average: 15.1%
- Outperformance: +10.82 percentage points
2. Quant Multi Asset Allocation Fund
- NAV: ₹178.81
- AUM: ₹5,257.41 Cr
- Expense Ratio: 0.62%
- Exit Load: 1% (within 15 days)
- Performance Snapshot
- 1-Year returns: 21.98%
- Category Comparison (1-Year)
- Fund 1-Year returns: 21.98%
- Hybrid Multi-Asset Allocation Category Average: 15.1%
- Outperformance: +6.98 percentage points
3. DSP Multi Asset Allocation Fund
- NAV: ₹16.62
- AUM: ₹9,241.13 Cr
- Expense Ratio: 0.83%
- Exit Load: 1% (within 1 year)
- Performance Snapshot
- 1-Year returns: 21.77%
- Category Comparison (1-Year)
- Fund 1-Year returns: 21.77%
- Hybrid Multi-Asset Allocation Category Average: 15.1%
- Outperformance: +6.77 percentage points
4. HSBC Multi Asset Allocation Fund
- NAV: ₹13.93
- AUM: ₹2,844.33 Cr
- Expense Ratio: 0.50%
- Exit Load: 1% (within 1 year)
- Performance Snapshot
- 1-Year returns: 20.08%
- Category Comparison (1-Year)
- Fund 1-Year returns: 20.08%
- Hybrid Multi-Asset Allocation Category Average: 15.1%
- Outperformance: +5.08 percentage points
5. Bandhan Multi Asset Allocation Fund
- NAV: ₹14.50
- AUM: ₹3,240.29 Cr
- Expense Ratio: 0.43%
- Exit Load: 0.5% (within 1 year)
- Performance Snapshot
- 1-Year returns: 19.45%
- Category Comparison (1-Year)
- Fund 1-Year returns: 19.45%
- Hybrid Multi-Asset Allocation Category Average: 15.1%
- Outperformance: +4.45 percentage points
Comparison Table
Illustrative SIP Wealth Creation Comparison (₹20,000/month for 1 Year)
Note: “The SIP illustration is based on historical 1-year returns and is only for educational purposes. Actual returns may differ significantly depending on market performance and investment timing.
Why Multi-Asset Allocation Funds Are Back in Focus
Multi-asset allocation funds are back in the spotlight due to market volatility rising, inflation worries, and general global economic uncertainty. They come with a diversified setup, which can help lower dependence on any one asset class and still lets investors grab opportunities across equities, debt, and commodities too. This makes them attractive during uncertain market conditions.
Should investors consider multi-asset allocation funds?
- These funds suit investors looking for balanced exposure to growth and stability within a single portfolio.
- They can be suitable for medium- to long-term investors seeking diversification with relatively lower volatility than pure equity funds.
- However, investment decisions should always align with individual risk appetite and financial goals.
Conclusion
Multi-asset allocation funds have delivered strong returns and offer diversified exposure across equity, debt, and gold. This balanced investment method can help investors deal with market volatility while still supporting long-term portfolio growth.
Written by Ameet S
Disclaimer: The information provided in this article is for educational purposes only and should not be construed as financial advice or investment recommendation. Returns mentioned are based on historical performance and may not be sustained in the future. Mutual fund investments are subject to market risks, including potential loss of capital. Investors are advised to assess their risk appetite and financial goals and to consult a certified financial advisor before investing.
