Oct 31, 2023
SBI Equity Hybrid Fund Regular Growth is one of the most popular schemes that you can come across if you are thinking about long-term capital investment. It is a team that seems to provide investors with capital appreciation of long-term open-ended investment, along with providing them with the liquidity of an open-ended scheme. It is a mixture of both that an equity which tends to invest in diversified portfolio is equity in high growing companies while balancing the risk of investing in fixed-income securities. It is a scheme that was launched on 31st December 1995 and the Fund house was SBI Mutual Fund. Let us focus on the scheme and its return ratio in detail here:
Ever since its inception, this hybrid or aggressive hybrid scheme has provided a return of 15.43 percentage. Apart from that, it has provided 9.66 percentage returns in the duration of 1 year while 13.5 percentage in the duration of 5 years.
This scheme currently holds about Rs. 59809.68 crores of assets under management, as on 31st August 2023. When we talk about the expense ratio, then the fund is at and ratio of 1.4% for regular plan.
SBI Equity Hybrid Fund Regular Growth requires investors to invest about a minimum of thousand INR with an additional investment of Rs. 1000. It comes with minimum SIP investment of INR 500. It shall attract and exit load for units in access of 10% of the investment with one percent to be charged for redemption within the period of 365 days.
Also read: Union New Budget 2023
When we talk about the current Net Asset Value of this popular scheme, as of the year 2023 Oct 13 is INR 227.496 for the growth option of its regular plan.
When it comes to the taxation of capital gains in the skin than the entire rate of tax if the units are sold after 1 year from the date of this investment in scheme then the gains above INR 1 Lakhs are taxed at the rate of 10%. For the one that is sold within the duration of 1 year, the amount of tax will be at the rate of 15%. If the holder continues to hold the units, then there won’t be any tax deduction.
As per the respective tax slabs, the dividends will be added to the income of the investors and text accordingly. Apart from that, if the dividend income of the Invester axis from rupees 5000 in a fiscal year, then the Fund house may deduct a TDS of 10% before distributing the dividends.
When a person invests in 5 years or more in any company or capital, then it is respected to gain enough to comfortably beat the inflation rate and return from these kinds of Fund fixed income of options. This scheme invests about 65 to 80% of their money in equity shares and others in the bonds. The returns are slightly lower in comparison to pure equity funds and also relatively for less when the stock market declines. It is a scheme that is best for conservative equity investor or first time investors. You can invest in the SBI Hybrid Equity Fund through their SIP route.
However, it is suggested to invest in the scheme if you want to redeem your investment after a long time. It is best to avoid any kind of aggressive hybrid fund or any other fund if you are thinking of redeeming your investment in less than the duration of 5 years. It is also suggested to do proper market research and build your own opinion by reading the scheme before investing in it.