Top hybrid mutual funds for SWP: Which schemes generated the highest regular income over 10 years?

A Systematic Withdrawal Plan (SWP) is a popular strategy for investors seeking a regular income from their mutual fund investments while allowing the remaining corpus to stay invested. But which hybrid mutual funds have delivered the best outcomes for investors withdrawing money every month?

According to data from AdvisorKhoj as of June 24, 2026, hybrid mutual funds have generated strong long-term returns even after supporting monthly withdrawals. The comparison assumes a lump sum investment of ₹10 lakh, a monthly withdrawal of ₹5,000, an SWP starting on July 1, 2017, and ending on June 24, 2026, covering 108 monthly withdrawals worth ₹5.4 lakh in total.

Quant Multi Asset Allocation Fund leads

The Quant Multi Asset Allocation Fund – Growth Plan topped the rankings, delivering the highest annualised SWP return of 17.58%. Even after paying out ₹5.4 lakh through monthly withdrawals, the investment grew to ₹38.51 lakh, the highest closing corpus among the 15 funds analysed.

The ICICI Prudential Multi Asset Fund – Growth secured the second position with a 15.65% annualised return and a remaining corpus of ₹31.81 lakh. It was followed closely by Quant Aggressive Hybrid Fund – Growth Plan, which generated 15.46% annualised returns and ended with a corpus of ₹31.25 lakh.

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Strong showing by hybrid funds

The study highlights that hybrid funds, particularly multi-asset and aggressive hybrid schemes, have performed well under an SWP strategy. These funds typically invest across equities and debt, while multi-asset funds may also allocate money to commodities such as gold, helping diversify risk while participating in market growth.

ICICI Prudential Equity & Debt Fund ranked fourth with a 15.38% return, followed by HDFC Balanced Advantage Fund at 13.78%.

Other funds in the top 10 included Kotak Aggressive Hybrid Fund, Canara Robeco Equity Hybrid Fund, Mirae Asset Aggressive Hybrid Fund, Edelweiss Aggressive Hybrid Fund, and SBI Equity Hybrid Fund. All these schemes delivered annualised returns of over 12%, despite regular monthly withdrawals.

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Lower-ranked funds still delivered positive outcomes

The remaining five funds in the list were DSP Aggressive Hybrid Fund, UTI Aggressive Hybrid Fund, JM Aggressive Hybrid Fund, HDFC Hybrid Equity Fund, and SBI Multi Asset Allocation Fund.

Although these schemes ranked lower, they still generated annualised returns between 11.05% and 11.89%. Importantly, investors not only received ₹5.4 lakh through monthly withdrawals but also retained investment values ranging from ₹19.62 lakh to ₹21.51 lakh at the end of the 10-year period.

Top 15 Hybrid Mutual Funds for SWP (10-year performance)

Methodology: Initial investment of ₹10 lakh, monthly SWP of ₹5,000, 108 monthly withdrawals (total ₹5.4 lakh) from July 1, 2017 to June 24, 2026.

Why investors choose SWPs

Unlike a Systematic Investment Plan (SIP), where investors contribute money periodically, an SWP allows them to withdraw a fixed amount at regular intervals while the remaining corpus continues to earn market-linked returns.

This makes SWPs particularly attractive for retirees, individuals seeking passive income, and investors looking to create a cash flow from accumulated investments instead of redeeming the entire corpus at once.

Hybrid funds are often preferred for SWPs because their mix of equity and debt investments helps cushion market volatility while offering growth potential.

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A word of caution

While the AdvisorKhoj data demonstrates that several hybrid funds have successfully supported regular withdrawals without significantly eroding the investment corpus, the results are based on historical performance. Mutual fund returns are market-linked, and future performance may differ from past trends.

Financial advisers generally recommend aligning the monthly withdrawal amount with expected long-term returns and reviewing the SWP periodically. An excessively high withdrawal rate can deplete the corpus over time, particularly during prolonged market downturns. Investors should also consider their risk appetite, investment horizon and financial goals before choosing a hybrid fund for an SWP strategy.

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