Hybrid mutual funds in India witnessed a decline in net inflows to Rs 1.19 lakh crore in the fiscal year 2025, marking an 18% decrease attributed to market volatility and a decrease in new fund offers. However, investor interest remained strong, evident in the rise of folios to 1.56 crore and assets under management (AUM) growing by 22% to Rs 8.83 lakh crore. The balanced nature of hybrid funds remains appealing to investors looking for stability in the face of market uncertainties.