The number
The median conservative hybrid fund returned 1.99% in the year to 6 October 2026. The median liquid fund returned 6.47%. Over five years the order is reversed: 7.39% a year against 6.37%.
A conservative hybrid fund holds mostly bonds with a slice of shares, at most a quarter of the portfolio under SEBI's rules. Both halves had a poor year. The Nifty 50 price index fell 9.18% over the same twelve months, and the median gilt fund returned 2.08%.
All figures are for the Direct plan, Growth option, computed from daily NAVs to 6 October 2026. Returns over a year are compounded annual rates. There are 17 funds.
Against its neighbours
| Period | Conservative hybrid | Equity savings | Dynamic bond | Short duration | Liquid |
|---|---|---|---|---|---|
| 3 months | −1.02% | −0.31% | −0.39% | 0.55% | 1.56% |
| 1 year | 1.99% | 3.00% | 3.73% | 5.03% | 6.47% |
| 3 years (a year) | 7.62% | 8.34% | 7.03% | 7.48% | 6.93% |
| 5 years (a year) | 7.39% | 7.62% | 6.08% | 6.45% | 6.37% |
| 10 years (a year) | 7.75% | 8.40% | 6.68% | 6.98% | 6.12% |
| Volatility | 3.66% | 4.73% | 2.04% | 0.96% | 0.17% |
| Worst 3-year fall | 3.64% | 4.83% | 1.71% | 0.53% | 0.01% |
Median Direct Growth figures. Every one of the 17 funds lost money over the last three months. Over one year none of them reached the liquid median; over three years 13 of 17 beat it, over five years 12 of 16, and over ten years all 15 with a record.
The 17 funds
| Fund | Equity share | TER | 1 year | 3 years (a year) | 5 years (a year) | Worst 3-year fall |
|---|---|---|---|---|---|---|
| SBI | 24.36% | 0.98% | 4.49% | 8.37% | 8.53% | 3.03% |
| Baroda BNP Paribas | 20.62% | 0.55% | 4.35% | 8.40% | n/a | 3.19% |
| Parag Parikh | 9.30% | 0.32% | 3.48% | 9.21% | 8.95% | 2.21% |
| Aditya Birla Sun Life | 22.66% | 0.96% | 3.21% | 8.43% | 7.86% | 2.99% |
| DSP | 21.19% | 0.64% | 2.91% | 8.63% | 7.35% | 3.21% |
| LIC MF | 17.74% | 1.68% | 2.66% | 6.49% | 5.51% | 3.06% |
| Bank of India | 20.37% | 1.18% | 2.57% | 6.45% | 9.59% | 4.11% |
| ICICI Prudential | 23.34% | 1.04% | 2.47% | 8.69% | 8.17% | 3.02% |
| Bandhan | 11.23% | 0.89% | 1.99% | 7.00% | 5.62% | 5.00% |
| Canara Robeco | 24.16% | 0.77% | 1.98% | 7.54% | 6.86% | 3.65% |
| HSBC | 16.31% | 1.19% | 1.41% | 8.75% | 7.42% | 6.08% |
| Franklin India | 19.29% | 0.82% | 1.31% | 7.62% | 7.12% | 3.90% |
| Kotak | 23.65% | 0.61% | 1.28% | 8.47% | 8.17% | 3.98% |
| Axis | 18.85% | 1.16% | 0.87% | 6.39% | 5.74% | 3.51% |
| HDFC | 19.24% | 1.18% | 0.68% | 7.12% | 7.50% | 3.64% |
| UTI | 24.61% | 1.25% | 0.54% | 7.56% | 6.84% | 4.47% |
| Sundaram | 19.85% | 1.14% | −0.96% | 5.27% | 5.16% | 4.20% |
Equity share is the part of the portfolio in shares at the end of August 2026 (LIC MF: end of September), from each fund house's disclosure. TER is the latest Direct-plan expense ratio.
What the table shows
The equity share did not decide the year. UTI (24.61% in shares) returned 0.54% and SBI (24.36%) 4.49%. Across the 17 funds there is no link between the two. The difference lies in which bonds and shares each fund held, not in how much was in shares.
Cost shows at the ends. Parag Parikh charges the least, 0.32%, and has the best three-year record, 9.21%. LIC MF charges the most, 1.68%, and is 14th of 17 over three years. In between the link is loose.
One five-year figure carries two unusual days. Bank of India's 9.59% over five years, the best in the group, includes NAV jumps of 10.68% on 31 March 2022 and 7.55% on 4 April 2022. Its three-year return is 6.45%.
The range is wide for a cautious category. From Sundaram's −0.96% to SBI's 4.49% is 5.45 points over one year. The worst three-year fall runs from 2.21% (Parag Parikh) to 6.08% (HSBC).
What this does not tell you
A portfolio snapshot is one month. Equity shares move; a fund near 25% in August may hold less later.
Nippon India's fund is left out. It still carries a segregated portfolio, and the site's screens exclude such schemes. Its main portfolio returned 5.98% in the year.
Tax is not in these numbers. How these funds are taxed is covered in how debt and hybrid funds are taxed.
Returns are a record, not a forecast.
Where to go from here
The conservative hybrid category page ranks every fund on these measures. For the equity-heavier hybrids, see balanced advantage funds in October and equity savings fund returns. The guide to hybrid and balanced advantage funds explains how the hybrid categories differ.
Frequently asked questions
How have conservative hybrid funds performed in the last year?
The median conservative hybrid fund (Direct plan, Growth option) returned 1.99% in the year to 6 October 2026. The 17 funds ranged from a loss of 0.96% (Sundaram) to a gain of 4.49% (SBI). The median liquid fund returned 6.47%.
Do conservative hybrid funds beat liquid funds over time?
Over longer periods they have. The median conservative hybrid fund returned 7.62% a year over three years against 6.93% for liquid funds, 7.39% against 6.37% over five, and 7.75% against 6.12% over ten. All 15 funds with a ten-year record beat the liquid median.
How much equity do conservative hybrid funds hold?
In the end-August 2026 portfolio disclosures, from 9.30% (Parag Parikh, which also held 12.37% in REITs) to 24.61% (UTI), with a median of 20.37%. The equity share did not explain who did well over the year: UTI and SBI held almost the same share and returned 0.54% and 4.49%.
This is commentary on published data, not investment advice. WealthTicker is not a SEBI-registered adviser or distributor. Figures are as of the dates stated and can be revised by their source.
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