5 Hybrid Mutual Funds Delivered Up To 11.8% SWP Returns In 3 Years

Five hybrid mutual fund schemes posted 3-year SWP returns of 9.3% to 11.8%, but regular withdrawals can still reduce an investor’s original corpus.

Key Highlights
 

• ET Wealth data as of June 17, 2026, placed SBI Magnum Children’s Benefit Fund Savings Plan first with an 11.8% SWP return.
   
• Conservative hybrid funds earlier attracted income-seeking investors because they generally allocate 75% to 90% to debt and 10% to 25% to equity.

Five hybrid mutual fund schemes delivered Systematic Withdrawal Plan returns ranging from 9.3% to 11.8% during the 3 years ending June 17, 2026. The Economic Times published the ET Wealth findings on June 26, 2026.

The ranking could interest retired people and families seeking monthly cash flow. Still, an SWP is not fixed interest. Units are redeemed for every payment, so a falling market or oversized withdrawal can reduce the capital left invested.

Which 5 Hybrid Funds Led The SWP Return Table?

SBI Magnum Children’s Benefit Fund Savings Plan led with 11.8%, while Parag Parikh Conservative Hybrid Fund returned 10.9%. The difference between the first and fifth schemes was 2.5 percentage points.

The published ranking does not state the starting investment, withdrawal size, plan type, exit load or final corpus. Those missing details can alter the result sharply.

How Could SWPs Affect Indian Households?

SEBI’s Mutual Fund Investor FAQs, released in September 2024, defines an SWP as a facility for withdrawing a specified amount monthly, quarterly, half-yearly or yearly. LoansJagat’s SWP guide also explains how periodic redemption works.

AMFI states that conservative hybrid funds suit investors seeking limited equity exposure. Its investor material places their debt allocation at 75% to 90% and equity allocation at 10% to 25%.

A 4% withdrawal leaves more capital invested than a 10% withdrawal. The higher option needs stronger fund performance merely to replace the money redeemed each year.

What Do Experts Say?

AMFI says higher equity allocation brings higher risk. SBI Mutual Fund also carries the standard warning that mutual fund investments are subject to market risks.

LoansJagat’s analysis shows that a ₹10 lakh corpus paying ₹8,333 monthly sends out nearly ₹1 lakh yearly. When annual returns remain below 10%, part of that payout may come from the original capital. A lower starting SWP, reviewed yearly against inflation and portfolio returns, offers a safer route.

What Happened Earlier?

AMFI’s March 2026 monthly report recorded 18 conservative hybrid schemes with assets of about ₹29,226.46 crore. The category had net outflows of ₹218.35 crore during March, showing that investors were still selective before the latest return ranking appeared.

Conclusion

The 11.8% figure puts hybrid-fund SWPs in focus, but it cannot be treated as guaranteed income.
Investors should compare withdrawal rates, lock-ins, expenses, taxation and the remaining corpus before investing.

FAQs

What Is An SWP?

An SWP provides scheduled cash payments by redeeming a selected number or value of mutual fund units.

Are SWP Returns Guaranteed?

No. Returns and the remaining corpus change with market performance, expenses and the withdrawal amount selected.

Which Fund Delivered The Highest Return?

SBI Magnum Children’s Benefit Fund Savings Plan led the reported 3-year ranking with an 11.8% return.

Can Hybrid Funds Be Used For Retirement Through An SWP?

Yes. Hybrid funds can support retirement withdrawals, but returns are market-linked and the withdrawal rate should remain moderate.

Which Mutual Fund Schemes Are Suitable For A Systematic Withdrawal Plan?

Conservative hybrid, balanced advantage and short-duration debt funds are commonly considered for SWPs, depending on risk and withdrawal needs.