Objective: Hybrid funds try to enhance the return by allocating funds in equity but reduce the portfolio volatility by balancing allocation in debt. Investment Horizon: This depends on type of hybrid funds. Balance funds allocate minmum 65% to equity and are most aggressive hybrid funds whereas Monthly Income Funds allocation small portion to equity and hence are less volatile. Load: Entry Load: Nil Exit Load : Typical Hyrbid funds have 1% exit load if redeemed within 1 year. Investment Instruments: Hybrid funds invest in mix of debt and equity instruments.