Equity Oriented Hybrid Funds: These funds invest at least 65% of their corpuses in equities and the rest in debt and other money market securities.
Debt Oriented Hybrid Funds: If a fund invests at least 65% of its corpus in debt securities and the remaining in equity, it is known as a debt-oriented fund.
Arbitrage Fund: An arbitrage fund works through price difference between the securities in the cash and derivatives market. Fund managers simultaneously buy shares in the cash market and sell them in the futures market, making a profit out of the price difference.
Monthly Income Plans (MIPs): These funds invest about 70-80% of their corpuses in debt instruments, remaining in stocks. Unlike the name suggests, these funds do not guarantee fixed income, as profits are dependent on market factors.