Investing in mutual funds has become a preferred route for wealth creation over the long term. With markets becoming increasingly dynamic, investors seek the help of advanced tools, including Artificial Intelligence (AI), to identify high-performing funds. Meta AI, a cutting-edge AI model developed by Meta (formerly Facebook), offers insights based on deep data analysis and real-time financial trends. In this article, we bring you the 11 Best Mutual Funds to invest in 2025 as per Meta AI, including their fund type, investment objective, historical returns, expense ratio, why you should consider them, and associated risks. Whether you’re a conservative or aggressive investor, there’s something here for everyone.
Investors can also check Best Mutual Funds as per ChatGPT to invest in 2025
What is Meta AI?
Meta AI is a generative artificial intelligence platform developed by Meta Platforms. Leveraging massive datasets and advanced language and predictive models, Meta AI provides intelligent insights into various domains, including financial planning, mutual fund analysis, and stock recommendations. Its recommendations are based on historical trends, volatility, and risk-adjusted performance.
What was our question to Meta AI?
We have asked Meta AI to provide “List down best mutual funds to invest in India in 2025 considering the curren volatile markets” and it started providing the details.
11 Best Mutual Funds to Invest in 2025 as per Meta AI
Here are the mutual fund recommendations from Meta AI for 2025.
Equity Funds
- HDFC Top 100 Fund – Large Cap Fund
- ICICI Prudential Bluechip Fund – Large Cap Fund
- Nippon India Growth Fund – Mid Cap Fund
- Kotak Standard Multicap Fund – Multicap Fund
- SBI Magnum Focused Equity Fund – Focused Fund
Hybrid Funds
- Franklin India Equity Hybrid Fund – Aggressive Hybrid Fund
- Axis Equity Hybrid Fund – Aggressive Hybrid Fund
- DSP Equity & Bond Fund – Aggressive Hybrid Fund
Debt Funds
- ICICI Prudential Long Term Bond Fund – Long Duration Fund
- HDFC Short Term Debt Fund – Short Duration Fund
- SBI Short Term Debt Fund – Short Duration Fund
Earlier we asked similar question to X Grok AI on Best Mutual Funds to invest in 2025 by Grok AI.
Deep Dive into these Best Mutual Funds to Invest in 2025 as per Meta AI
Equity Mutual Funds
#1 – HDFC Top 100 Fund
- Fund Type: Equity – Large Cap
- Investment Objective: The scheme aims to provide long-term capital appreciation by investing predominantly in large-cap companies.
- Annualised Returns:
- 1 Year: -0.8%
- 3 Year: 13.3%
- 5 Year: 23.8%
- 10 Year: 11.9% (₹ 1 Lakh would have turned to 4.09 Lakhs)
- Expense Ratio: 1.02% (Direct plans)
- Beta: 0.94 indicating high volatality.
- Alpha: 3.53 indicating better risk adjusted returns
- Currently invests 99.5% in equity and balance in debt. Out of the equity portion, it invests 80% in largecap, 3% in midcap, 0% in smallcap and balance in other category of stocks.
- Why to Consider: Stable large-cap exposure with consistent performance.
- Risk Factors: Market fluctuations can impact returns.
#2 – ICICI Prudential Bluechip Fund
- Fund Type: Equity – Large Cap
- Investment Objective: The scheme aims to provide long-term capital appreciation and income distribution to investors from a portfolio predominantly constituted of equity and equity-related securities of large-cap companies.
- Annualised Returns:
- 1 Year: 2.2%
- 3 Year: 14.3%
- 5 Year: 24.5%
- 10 Year: 13.3% (₹ 1 Lakh would have turned to 4.49 Lakhs)
- Expense Ratio: 0.93% (Direct plans)
- Beta: 0.88 indicating low volatality compared to category average.
- Alpha: 4.08 indicating better risk adjusted returns
- Currently invests 92% in equity and balance in debt/others. Out of the equity portion, it invests 76% in largecap, 3% in midcap, 0.5% in smallcap and balance in other category of stocks.
- Why to Consider: Well-diversified, low expense ratio, blue-chip focus.
- Risk Factors: Vulnerable to economic slowdowns.
This fund is part of 5 Best Blue-Chip Mutual Funds to invest in 2025 recommended by us earlier.
#3 – Nippon India Growth Fund
- Fund Type: Equity – Mid Cap
- Investment Objective: The scheme aims for long-term capital growth through investments in equity and equity-related instruments through a research-based approach.
- Annualised Returns:
- 1 Year: 5.9%
- 3 Year: 20.1%
- 5 Year: 32.9%
- 10 Year: 16.5% (₹ 1 Lakh would have turned to 5.6 Lakhs)
- Expense Ratio: 0.8% (Direct plans)
- Beta: 0.93 indicating low volatality.
- Alpha: 2.44 indicating better risk adjusted returns
- Currently invests 99% in equity and balance in others. Out of the equity portion, it invests 12% in largecap, 43% in midcap, 12% in smallcap and balance in other category of stocks.
- Why to Consider: Aggressive growth for investors seeking high returns.
- Risk Factors: High risk due to mid-cap volatility.
#4 – Kotak Standard Multicap Fund
- Fund Type: Equity – Multicap
- Investment Objective: The scheme seeks to generate long-term capital appreciation from a portfolio of equity and equity-related securities, generally focused on a few selected sectors.
- Annualised Returns:
- 1 Year: 0.4%
- 3 Year: 20.4%
- Expense Ratio: 0.45% (Direct plans)
- Beta: 0.99 indicating high volatality.
- Alpha: 4.8 indicating better risk adjusted returns
- Currently invests 96% in equity and balance in others. Out of the equity portion, it invests 41% in largecap, 18% in midcap, 20% in smallcap and balance in other category of stocks.
- Why to Consider: Diversified exposure across market caps.
- Risk Factors: Market risk and sector concentration.
#5 – SBI Magnum Focused Equity Fund
- Fund Type: Equity – Focused Fund
- Investment Objective: The scheme seeks to provide the investor with the opportunity of long-term capital appreciation by investing in a concentrated portfolio of equity and equity-related instruments of up to 30 companies.
- Annualised Returns:
- 1 Year: 6.8%
- 3 Year: 20.2%
- 5 Year: 21.8%
- 10 Year: 13.9% (₹ 1 Lakh would have turned to 4.67 Lakhs)
- Expense Ratio: 0.87%
- Beta: 0.7 indicating low volatality.
- Alpha: -0.09 indicating poor risk adjusted returns
- Currently invests 91% in equity and balance in debt. Out of the equity portion, it invests 33% in largecap, 18% in midcap, 4% in smallcap and balance in other category of stocks.
- Why to Consider: Focused strategy with long-term growth potential.
- Risk Factors: High risk due to concentrated exposure.
Meta AI’s equity funds recommendation does not have any global funds. Investors should consider investing in largecap, midcap, smallcap and global funds like what we indicated in our Best Mutual Funds for Lumpsum investments in 2025.
Hybrid Mutual Funds
#6 – Franklin India Equity Hybrid Fund
- Fund Type: Hybrid – Aggressive Hybrid
- Investment Objective: The scheme seeks to provide long-term capital appreciation and current income by investing in equity and equity-related securities as well as fixed income instruments.
- Annualised Returns:
- 1 Year: 4.3%
- 3 Year: 13.0%
- 5 Year: 20.5%
- 10 Year: 11.7% (₹ 1 Lakh would have turned to 4.02 Lakhs)
- Expense Ratio: 0.98% (Direct plans)
- Beta: 1 indicating high volatality.
- Alpha: 2.33 indicating better risk adjusted returns
- Currently invests 67% in equity and balance in debt/others. Out of the equity portion, it invests 40% in largecap, 5% in midcap, 5% in smallcap and balance in other category of stocks.
- Why to Consider: Balanced mix of equity and debt for moderate risk-takers.
- Risk Factors: Exposure to equity markets increases volatility.
#7 – Axis Equity Hybrid Fund
- Fund Type: Hybrid – Aggressive Hybrid
- Investment Objective: The scheme seeks to generate long-term capital appreciation along with current income by investing in a mix of equity and equity-related instruments as well as debt and money market instruments.
- Annualised Returns:
- 1 Year: 5.5%
- 3 Year: 7.6%
- 5 Year: 16.3%
- 10 Year: NA
- Expense Ratio: 1.1% (Direct plans)
- Beta: 1.07 indicating high volatality.
- Alpha: -3.2 indicating poor risk adjusted returns
- Currently invests 72% in equity and balance in debt/others. Out of the equity portion, it invests 40% in largecap, 6% in midcap, 4% in smallcap and balance in other category of stocks.
- Why to Consider: Ideal for investors looking for a balanced approach.
- Risk Factors: Equity portion adds risk during market downturns.
#8 – DSP Equity & Bond Fund
- Fund Type: Hybrid – Aggressive Hybrid
- Investment Objective: The scheme aims to generate long-term capital appreciation and current income from a portfolio constituted of equity and equity-related securities as well as fixed income securities.
- Annualised Returns:
- 1 Year: 12.5%
- 3 Year: 13.7%
- 5 Year: 20.1%
- 10 Year: 12.7% (₹ 1 Lakh would have turned to 4.3 Lakhs)
- Expense Ratio: 0.71% (Direct plans)
- Beta: 1 indicating high volatality.
- Alpha: 2.63 indicating better risk adjusted returns
- Currently invests 66% in equity and balance in debt/others. Out of the equity portion, it invests 37% in largecap, 6% in midcap, 6% in smallcap and balance in other category of stocks.
- Why to Consider: A trusted name with dual benefits of income and growth.
- Risk Factors: Moderate to high risk from market volatility.
Debt Mutual Funds
When we asked similar question to Best Mutual Funds to invest in 2025 as per Google Gemini AI, it did not provide by debt mutual funds. However Meta AI recommends debt funds too.
#9 – ICICI Prudential Long Term Bond Fund
- Fund Type: Debt – Long Duration
- Investment Objective: The scheme seeks to generate regular returns by putting around 75 percent of the investments in debt instruments, and the balance in money market instruments. The plan aims to maintain the optimum balance of yield, safety, and liquidity.
- Annualised Returns:
- 1 Year: 11.8%
- 3 Year: 8.6%
- 5 Year: 6.9%
- 10 Year: 8.11% (₹ 1 Lakh would have turned to 3.18 Lakhs)
- Expense Ratio: 0.4% (Direct plans)
- Beta: 1.46 indicating high volatality.
- Alpha: 0.59 indicating better risk adjusted returns
- Currently invests 95% in debt and balance in others.
- Why to Consider: Suitable for long-term debt investors aiming for stability.
#10 – HDFC Short Term Debt Fund
- Fund Type: Debt – Short Duration
- Investment Objective: The scheme seeks to generate regular income through investment in debt securities and money market instruments.
- Annualised Returns:
- 1 Year: 9.3%
- 3 Year: 7.5%
- 5 Year: 7.4%
- 10 Year: 7.7% (₹ 1 Lakh would have turned to 3.11 Lakhs)
- Expense Ratio: 0.4% (Direct plans)
- Beta: 0.84 indicating low volatality.
- Alpha: 0.14 indicating better risk adjusted returns
- Currently invests 96% in debt and balance in others.
- Why to Consider: Lower risk compared to equity, suitable for conservative investors.
- Risk Factors: Interest rate risk and credit risk.
- Risk Factors: Sensitive to interest rate movements.
#11 – SBI Short Term Debt Fund
- Fund Type: Debt – Short Duration
- Investment Objective: The scheme seeks to provide investors an opportunity to generate regular income through investments in a portfolio comprising predominantly of debt instruments which are rated not below investment grade and money market instruments such that the Macaulay duration of the portfolio is between 1 year and 3 years.
- Annualised Returns:
- 1 Year: 9.2%
- 3 Year: 7.2%
- 5 Year: 6.9%
- 10 Year: 7.5% (₹ 1 Lakh would have turned to 3.07 Lakhs)
- Expense Ratio: 0.39% (Direct plans)
- Beta: 0.72 indicating low volatality.
- Alpha: -0.34 indicating poor risk adjusted returns
- Currently invests 97% in debt and balance in others.
- Why to Consider: Stable short-term returns for low-risk investors.
- Risk Factors: Credit and reinvestment risk.
Meta AI recommended Mutual Funds Video
Why to Invest in These Mutual Funds?
- These funds are backed by robust historical performance.
- Handpicked by Meta AI based on quantitative and qualitative metrics.
- Cover a broad range of fund types – equity, hybrid, and debt.
- Ideal for varied investor risk appetites.
- Suitable for long-term wealth creation and short-term income.
- Consider investing in low beta / high alpha stocks like the ones we indicated in 20 Equity Mutual Funds with Low Beta and High Alpha.
Risks Associated with These Mutual Funds
- Equity funds are subject to market volatility.
- Hybrid funds can experience fluctuations due to equity exposure.
- Debt funds carry interest rate and credit risks.
- Past performance is not an assurance of future returns.
- Concentrated funds may be affected by sector or stock-specific downturns.
Conclusion
Meta AI’s mutual fund picks for 2025 include a balanced mix of equity, hybrid, and debt funds to suit different investor profiles. By combining technology-driven insights with past performance and risk metrics, these selections can serve as a good starting point for your mutual fund investment journey in 2025. As always, consider your financial goals, investment horizon, and risk appetite before investing. Consulting a financial advisor is recommended.
Founder at Myinvestmentideas.com
Suresh KP is a seasoned financial expert with over 20 years of experience. He is NISM Certified Investment Adviser and Research Analyst. For more about his expertise and certifications, visit About Suresh KP
Latest posts by Suresh KP (see all)
Discover more from Myinvestmentideas.com
Subscribe to get the latest posts sent to your email.
titwould be good if you provide a consolidated comparison view of mutual funds suggested by different ai along with your recommendation for audience to make decision.