Top 10 Arbitrage Mutual Funds

Fund NameCategoryRisk1Y ReturnsRatingFund Size(in Cr)
Axis Enhanced Arbitrage FundHybridModerate7.1%5star2,276
Edelweiss Arbitrage FundHybridModerately Low7.3%5star3,482
Reliance Arbitrage FundHybridModerately Low7.5%5star8,535
IDFC Arbitrage FundHybridModerately Low7.5%4star4,643
Kotak Equity Arbitrage FundHybridModerately Low7.2%4star13,360
ICICI Prudential Equity Arbitrage FundHybridModerate7.2%4star9,604
Franklin India Equity Savings FundEquityModerately HighN.A3star0
DSP Arbitrage FundEquityModerately LowN.A3star0
BNP Paribas Arbitrage FundHybridModerately High7.3%3star580
Indiabulls Arbitrage FundHybridModerately Low6.5%3star38
L&T Arbitrage Opportunities FundHybridModerately Low6.9%3star668
UTI Arbitrage FundHybridModerately Low7.1%3star1,713
Aditya Birla Sun Life Arbitrage FundHybridModerate7.1%3star3,587
Invesco India Arbitrage FundHybridModerately Low6.6%3star230
HDFC Arbitrage FundHybridModerately Low6.8%2star3,517
View All Top 10 Arbitrage Mutual Funds

Best Arbitrage Hybrid Mutual Funds

The word arbitrage defines simultaneous selling and buying of securities, currencies, etc. in different markets to gain maximum profits. Hybrid Arbitrage funds perform in the same way and are composed of only debt and cash securities. These are the ones that are very stable and offer little risk along with a three year annualized return ranging from 6 percent to 8 percent. It might go up to 9 percent depending on the market conditions.

However, these funds do come with an expense ratio, and if sold before three years 15 percent tax is imposed. Post that; there’s no fee on returns.

Purpose: Securely park your money without any fear of loss of money and gain returns that are equivalent to fixed deposits.

Let's have a closer look

Now let us jump and check about these top 10 mutual fund schemes.

Axis Enhanced Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided 7.04% annualized returns in the last 3 years. In the last 1 year, it gave 7.06% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 7.06% returns in the last 1 year. Groww rated this fund as 5 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Ashwin Patni, Devang Shah

Launch Date13 Aug 2014
Min Investment Amt5,000
Groww Rating5star
AUM2,276Cr
1Y Returns7.1%

Edelweiss Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided 7.01% annualized returns in the last 3 years. In the last 1 year, it gave 7.26% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 7.26% returns in the last 1 year. Groww rated this fund as 5 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Dhawal Dalal, Bhavesh Jain

Launch Date26 Jun 2014
Min Investment Amt5,000
Groww Rating5star
AUM3,482Cr
1Y Returns7.3%

Reliance Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided 7.12% annualized returns in the last 3 years. In the last 1 year, it gave 7.48% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 7.48% returns in the last 1 year. Groww rated this fund as 5 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Payal Kaipunjal

Launch Date31 Dec 2012
Min Investment Amt5,000
Groww Rating5star
AUM8,535Cr
1Y Returns7.5%

IDFC Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided 6.89% annualized returns in the last 3 years. In the last 1 year, it gave 7.48% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 7.48% returns in the last 1 year. Groww rated this fund as 4 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Yogik Pitti, Harshal Joshi, Arpit Kapoor

Launch Date31 Dec 2012
Min Investment Amt100
Groww Rating4star
AUM4,643Cr
1Y Returns7.5%

Kotak Equity Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided 6.86% annualized returns in the last 3 years. In the last 1 year, it gave 7.15% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 7.15% returns in the last 1 year. Groww rated this fund as 4 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Deepak Gupta

Launch Date31 Dec 2012
Min Investment Amt5,000
Groww Rating4star
AUM13,360Cr
1Y Returns7.2%

ICICI Prudential Equity Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided 6.88% annualized returns in the last 3 years. In the last 1 year, it gave 7.18% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 7.18% returns in the last 1 year. Groww rated this fund as 4 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Kayzad Englim, Manish Banthia

Launch Date06 Jan 2013
Min Investment Amt5,000
Groww Rating4star
AUM9,604Cr
1Y Returns7.2%

Franklin India Equity Savings Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided -100% annualized returns in the last 3 years. In the last 1 year, it gave -100% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided -100% returns in the last 1 year. Groww rated this fund as 3 Star. This is one of the best Equity mutual fund in India.

Fund Manager: Sachin Padwal-Desai, Umesh Sharma, Srikesh Nair, Lakshmikanth Reddy

Launch Date16 Aug 2018
Min Investment Amt5,000
Groww Rating3star
AUM0Cr
1Y Returns-100.0%

DSP Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided -100% annualized returns in the last 3 years. In the last 1 year, it gave -100% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided -100% returns in the last 1 year. Groww rated this fund as 3 Star. This is one of the best Equity mutual fund in India.

Fund Manager: Mayur Patel, Rahul Vekaria

Launch Date24 Jan 2018
Min Investment Amt500
Groww Rating3star
AUM0Cr
1Y Returns-100.0%

BNP Paribas Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided -100% annualized returns in the last 3 years. In the last 1 year, it gave 7.25% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 7.25% returns in the last 1 year. Groww rated this fund as 3 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Karthikraj Lakshmanan, Mayank Prakash

Launch Date29 Dec 2016
Min Investment Amt5,000
Groww Rating3star
AUM580Cr
1Y Returns7.3%

Indiabulls Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided 6.73% annualized returns in the last 3 years. In the last 1 year, it gave 6.48% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 6.48% returns in the last 1 year. Groww rated this fund as 3 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Malay Shah, Sumit Bhatnagar

Launch Date18 Dec 2014
Min Investment Amt500
Groww Rating3star
AUM38Cr
1Y Returns6.5%

L&T Arbitrage Opportunities Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided 6.87% annualized returns in the last 3 years. In the last 1 year, it gave 6.93% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 6.93% returns in the last 1 year. Groww rated this fund as 3 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Venugopal Manghat, Praveen Ayathan, Karan Desai

Launch Date29 Jun 2014
Min Investment Amt5,000
Groww Rating3star
AUM668Cr
1Y Returns6.9%

UTI Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided 6.8% annualized returns in the last 3 years. In the last 1 year, it gave 7.12% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 7.12% returns in the last 1 year. Groww rated this fund as 3 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Kaushik Basu

Launch Date31 Dec 2012
Min Investment Amt5,000
Groww Rating3star
AUM1,713Cr
1Y Returns7.1%

Aditya Birla Sun Life Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided 6.8% annualized returns in the last 3 years. In the last 1 year, it gave 7.09% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 7.09% returns in the last 1 year. Groww rated this fund as 3 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Lovelish Solanki

Launch Date31 Dec 2012
Min Investment Amt1,000
Groww Rating3star
AUM3,587Cr
1Y Returns7.1%

Invesco India Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided 6.65% annualized returns in the last 3 years. In the last 1 year, it gave 6.62% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 6.62% returns in the last 1 year. Groww rated this fund as 3 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Pranav Gokhale

Launch Date31 Dec 2012
Min Investment Amt5,000
Groww Rating3star
AUM230Cr
1Y Returns6.6%

HDFC Arbitrage Fund - Direct - Growth

Fund Performance: This fund has consistently beaten its benchmark in Arbitrage segment and provided 6.49% annualized returns in the last 3 years. In the last 1 year, it gave 6.77% returns.

Why to invest: The fund has consistently beaten other funds in same category along with its benchmark and provided 6.77% returns in the last 1 year. Groww rated this fund as 2 Star. This is one of the best Hybrid mutual fund in India.

Fund Manager: Krishan Daga

Launch Date31 Dec 2012
Min Investment Amt5,000
Groww Rating2star
AUM3,517Cr
1Y Returns6.8%

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Who issues Arbitrage mutual funds?

Asset management companies (or AMCs or fund houses) create mutual funds. All AMCs will have to be approved by the government body, Securities and Exchange Board of India (SEBI). All mutual funds have to be whetted by SEBI before it is open for the public to invest.

How to invest in Arbitrage mutual funds on Groww?

One of the best ways to hedge against the small-cap volatility is to adopt a phased approach, also known as Systematic Investment Plan (SIP) approach. We are sure that you must be aware of SIP and its benefits. Buying in small quantity but buying regularly provides you with faster growth. On Groww.in, all transactions to and from AMC is done via BSE. When you decide to invest in a large cap mutual fund of your choice, you choose that mutual fund on the website and click ‘invest’. Following that, you are redirected to the BSE page where you make the payment. BSE then directs your money to the AMC managing your mutual fund. To be assured at your end, you can visit the individual AMC website after the payment. You would be able to see all your purchased units against your folio number.

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Mutual fund investments are subject to market risks. Please read the scheme information and other related documents carefully before investing.
Past performance is not indicative of future returns. Please consider your specific investment requirements, risk tolerance, investment goal, time frame, risk and reward balance and the cost associated with the investment before choosing a fund, or designing a portfolio that suits your needs.
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