The dynamic asset allocation/balanced advantage fund category has 29 schemes, including two passive schemes. Franklin India Balanced Advantage Fund and Mirae Asset Balanced Advantage Fund have only been in the market for only four and five months respectively.
Three popular benchmarks for the category – S&P BSE SENSEX TRI, Nifty 50 TRI, and Crisil 10 Yr Gilt Index – offered 5.80%, 5.69%, and 0.44% respectively in 2022, according to ACE MF database. That means, the category has offered lower average returns than two benchmark indices – S&P BSE SENSEX TRI and Nifty 50 TRI. However, it higher average returns than Crisil 10 Yr Gilt Index.
Apart from HDFC Balanced Advantage Fund and Bank of India Balanced Advantage Fund, the other toppers offered modest single-digit returns. ICICI Prudential Balanced Advantage Fund offered around 7.90% returns. Sundaram Balanced Advantage Fund offered 5.74% and Tata Balanced Advantage Fund offered around 5.48% returns. (See Table).
Six schemes in the category offered negative returns in 2022. ITI Balanced Advantage Fund lost 3.10% followed by UTI ULIP which lost 2.37%, IDFC Balanced Advantage Fund lost 1.83%. Motilal Oswal Dynamic Fund lost 1.11%. Axis Balanced Advantage Fund lost 0.42% and lastly, NJ Balanced Advantage Fund lost 0.20% in 2022.
Two passive schemes, HDFC Dynamic PE Ratio FoF and Franklin India Dynamic Asset Allocation Fund of Funds, offered 7.20% and 6.59% returns respectively in 2022.
Active dynamic asset allocation/ balanced advantage schemes got inflows worth Rs 12071.86 crore between January and November 2022. These schemes attracted an inflow of Rs 55859.27 crore in 2021.
Source:ACE MF, Returns as on December 30 2022
