Aggressive hybrid funds, popularly known as balanced funds, which have an equity allocation of above 65 per cent in their portfolio, have seen large outflows in recent month. The assets under management of this category declined by Rs 1,931 crore in December and Rs 4,071 crore in November 2019.
One reason why the category is seeing redemption is mis-selling. A lot of people, including those who are retired or are about to retire, were sold these funds with the promise that they would offer regular monthly dividends of 11-12 per cent a month. From 2016 to the start of 2018, there …
Source: Business Standard
