Many investors want to invest in stocks, but they do not go ahead because they don’t have the required risk appetite to invest in a pure equity mutual fund scheme. Many mutual fund advisors ask such investors to take a small exposure to equity through conservative hybrid schemes.
As per Sebi mandate, these schemes must invest 75-90 per cent of the corpus in debt instruments and 10-25 per cent of the corpus in equity or stocks. The small equity exposure would help these schemes to delive ..