Arbitrage Mutual Funds
We are aware that the equity market is highly volatile. However, masters of the trade capitalize on this volatility to leverage and use them to spin investment opportunities for them. Arbitrage funds focus on leveraging this market volatility. They function on buying and selling securities, commodities, or currencies simultaneously from different diverse markets to derive benefits from the difference in their price points at various vends. View More
Arbitrage Mutual Funds List
| Fund Name | Fund Size (Cr.) | 3Y Returns | 5Y Returns | |
|---|---|---|---|---|
Invesco India Arbitrage Fund - Direct Growth
|
18,252 | 7.36% | 6.25% | |
Kotak Equity Arbitrage Fund - Direct Growth
|
54,915 | 7.15% | 6.19% | |
Edelweiss Arbitrage Fund - Direct Growth
|
12,199 | 7.09% | 6.22% | |
SBI Arbitrage Opportunities Fund - Direct Growth
|
31,422 | 7.01% | 5.88% | |
Tata Arbitrage Fund - Direct Growth
|
12,589 | 7.00% | 6.26% | |
Mirae Asset Arbitrage Fund - Direct Growth
|
3,061 | 6.96% | - | |
AXIS Arbitrage Fund - Direct Growth
|
5,592 | 6.95% | 6.04% | |
Bandhan Arbitrage - Direct Growth
|
7,524 | 6.95% | 5.94% | |
Nippon India Arbitrage Fund - Direct Growth
|
15,418 | 6.95% | 6.10% | |
Aditya Birla SL Arbitrage Fund - Dir Growth
|
13,844 | 6.93% | 6.02% |
| Fund Name | 1Y Returns | Rating | Fund Size (Cr.) |
|---|---|---|---|
Invesco India Arbitrage Fund - Direct Growth
|
8.34% Fund Size (Cr.) - 18,252 |
||
Kotak Equity Arbitrage Fund - Direct Growth
|
8.51% Fund Size (Cr.) - 54,915 |
||
Edelweiss Arbitrage Fund - Direct Growth
|
8.43% Fund Size (Cr.) - 12,199 |
||
SBI Arbitrage Opportunities Fund - Direct Growth
|
8.17% Fund Size (Cr.) - 31,422 |
||
Tata Arbitrage Fund - Direct Growth
|
8.37% Fund Size (Cr.) - 12,589 |
||
Mirae Asset Arbitrage Fund - Direct Growth
|
8.34% Fund Size (Cr.) - 3,061 |
||
AXIS Arbitrage Fund - Direct Growth
|
8.28% Fund Size (Cr.) - 5,592 |
||
Bandhan Arbitrage - Direct Growth
|
8.33% Fund Size (Cr.) - 7,524 |
||
Nippon India Arbitrage Fund - Direct Growth
|
8.26% Fund Size (Cr.) - 15,418 |
||
Aditya Birla SL Arbitrage Fund - Dir Growth
|
8.32% Fund Size (Cr.) - 13,844 |
Who Should Invest in Arbitrage Mutual Funds?
Features of Arbitrage Mutual Funds
Factors to consider while investing in Arbitrage Funds
Taxability of Arbitrage Funds
Risks Involved With Arbitrage Funds
Advantage of Arbitrage Mutual Funds
Popular Arbitrage Mutual Funds - Best Arbitrage Funds to Invest in 2024
- Invesco India Arbitrage Fund - Direct Growth
- ₹ 500
- ₹ 18,2520
- 7.36%
- Min SIP Investment Amt
- ₹ ₹ 500
- AUM (Cr.)
- ₹ 18,252
- 3Y Return
- 7.36%
- Min SIP Investment Amt
- ₹ ₹ 500
- AUM (Cr.)
- ₹ 18,252
- 3Y Return
- 7.36%
- Kotak Equity Arbitrage Fund - Direct Growth
- ₹ 100
- ₹ 54,9150
- 7.15%
- Min SIP Investment Amt
- ₹ ₹ 100
- AUM (Cr.)
- ₹ 54,915
- 3Y Return
- 7.15%
- Min SIP Investment Amt
- ₹ ₹ 100
- AUM (Cr.)
- ₹ 54,915
- 3Y Return
- 7.15%
- Edelweiss Arbitrage Fund - Direct Growth
- ₹ 100
- ₹ 12,1990
- 7.09%
- Min SIP Investment Amt
- ₹ ₹ 100
- AUM (Cr.)
- ₹ 12,199
- 3Y Return
- 7.09%
- Min SIP Investment Amt
- ₹ ₹ 100
- AUM (Cr.)
- ₹ 12,199
- 3Y Return
- 7.09%
- SBI Arbitrage Opportunities Fund - Direct Growth
- ₹ 500
- ₹ 31,4220
- 7.01%
- Min SIP Investment Amt
- ₹ ₹ 500
- AUM (Cr.)
- ₹ 31,422
- 3Y Return
- 7.01%
- Min SIP Investment Amt
- ₹ ₹ 500
- AUM (Cr.)
- ₹ 31,422
- 3Y Return
- 7.01%
- Tata Arbitrage Fund - Direct Growth
- ₹ 150
- ₹ 12,5890
- 7.00%
- Min SIP Investment Amt
- ₹ ₹ 150
- AUM (Cr.)
- ₹ 12,589
- 3Y Return
- 7.00%
- Min SIP Investment Amt
- ₹ ₹ 150
- AUM (Cr.)
- ₹ 12,589
- 3Y Return
- 7.00%
- Mirae Asset Arbitrage Fund - Direct Growth
- ₹ 99
- ₹ 3,0610
- 6.96%
- Min SIP Investment Amt
- ₹ ₹ 99
- AUM (Cr.)
- ₹ 3,061
- 3Y Return
- 6.96%
- Min SIP Investment Amt
- ₹ ₹ 99
- AUM (Cr.)
- ₹ 3,061
- 3Y Return
- 6.96%
- AXIS Arbitrage Fund - Direct Growth
- ₹ 100
- ₹ 5,5920
- 6.95%
- Min SIP Investment Amt
- ₹ ₹ 100
- AUM (Cr.)
- ₹ 5,592
- 3Y Return
- 6.95%
- Min SIP Investment Amt
- ₹ ₹ 100
- AUM (Cr.)
- ₹ 5,592
- 3Y Return
- 6.95%
- Bandhan Arbitrage - Direct Growth
- ₹ 100
- ₹ 7,5240
- 6.95%
- Min SIP Investment Amt
- ₹ ₹ 100
- AUM (Cr.)
- ₹ 7,524
- 3Y Return
- 6.95%
- Min SIP Investment Amt
- ₹ ₹ 100
- AUM (Cr.)
- ₹ 7,524
- 3Y Return
- 6.95%
- Nippon India Arbitrage Fund - Direct Growth
- ₹ 100
- ₹ 15,4180
- 6.95%
- Min SIP Investment Amt
- ₹ ₹ 100
- AUM (Cr.)
- ₹ 15,418
- 3Y Return
- 6.95%
- Min SIP Investment Amt
- ₹ ₹ 100
- AUM (Cr.)
- ₹ 15,418
- 3Y Return
- 6.95%
- Aditya Birla SL Arbitrage Fund - Dir Growth
- ₹ 100
- ₹ 13,8440
- 6.93%
- Min SIP Investment Amt
- ₹ ₹ 100
- AUM (Cr.)
- ₹ 13,844
- 3Y Return
- 6.93%
- Min SIP Investment Amt
- ₹ ₹ 100
- AUM (Cr.)
- ₹ 13,844
- 3Y Return
- 6.93%
FAQs
Arbitrage funds offer an optimal mix of equity and debt. It invests 65% of its Asset Under Management (AUM) in equity and the remaining in high-quality debt instruments. So, any semi-aggressive or conservative investor can invest in these funds.
The expense ratio eats into the profit from a mutual fund. Fortunately, arbitrage funds’ expense ratios are some of the lowest among equity mutual funds. Generally, direct growth arbitrage funds’ expense ratio hovers between 0.30% and 0.45%.
Arbitrage funds are taxed like any equity fund. For instance, you must pay an LTCG (Long Term Capital Gains) tax of 10%, along with Surcharge and Cess, if you sell your units one year from the investment date.
However, selling your units before one year will be treated as STCG (Short Term Capital Gains), and you have to pay a tax of 15% plus surcharge and cess. However, if your income from equity funds is less than INR 1 lakh a financial year, you don’t have to pay any taxes.
A quick look at the best arbitrage mutual funds reveals that these funds generally deliver annualized returns in the range of 4.85% and 6.88%. However, checking an arbitrage mutual fund’s historical returns is good before investing.
Exit load refers to an investor’s fee for withdrawing money before a specific period. Arbitrage mutual funds generally levy exit loads between 0.25% and 1%.
Tata Arbitrage Fund, Edelweiss Arbitrage Fund, Axis Arbitrage Fund, Invesco India Arbitrage Fund, and Kotak Equity Arbitrage Fund are some of the top arbitrage mutual funds in India.
- Aggressive Hybrid
- Arbitrage
- Balanced Hybrid
- Banking and PSU
- Childrens
- Conservative Hybrid
- Contra
- Corporate Bond
- Credit Risk
- Dividend Yield
- Dynamic Asset
- Dynamic Bond
- ELSS
- Equity Savings
- Fixed Maturity Plans
- Flexi Cap
- Floater
- Focused
- FoFs Domestic
- FoFs Overseas
- Gilt Fund with 10 year
- Gilt
- Index
- Large & Mid Cap
- Large Cap
- Liquid
- Long Duration
- Low Duration
- Medium Duration
- Medium to Long Duration
- Mid Cap
- Money Market
- Multi Asset Allocation
- Multi Cap
- Overnight
- Passive ELSS
- Retirement
- Sectoral / Thematic
- Short Duration
- Small Cap
- Ultra Short Duration
- Value