Top 5 SWP Funds for Senior Citizens
The table below lists five funds that have demonstrated consistent 5-year returns and are considered suitable for SWP by senior citizens based on performance, stability, and category.
Funds
| Category
| AUM (₹ cr)
| Expense Ratio (%)
| NAV
(₹)
| (Return 3 yrs CAGR (%)
| (Return 5 yrs CAGR (%)
|
HDFC Balanced Advantage Fund (G)
| HY-DYN
| 98457.8
| 1.36
| 517.74
| 15.63
| 17.11
|
Nippon India Large Cap Fund (G)
| EQ-LC
| 46520.5
| 1.5
| 89.42
| 16.5
| 17
|
ICICI Pru Large Cap Fund (G)
| EQ-LC
| 69947.6
| 1.42
| 107.46
| 15.56
| 14.57
|
HDFC Large Cap Fund (G)
| EQ-LC
| 35458.5
| 1.61
| 1099.09
| 12.75
| 13.75
|
Invesco India Largecap Fund-Reg (G)
| EQ-LC
| 1536.9
| 2.04
| 67.95
| 15.86
| 13.47
|
Source: RupeeVest Mutual Fund Screener
Note: NAV as of April 29, 2026.
Full Form:
1. HY-DYN: Hybrid Dynamic Asset Allocation
2. EQ-LC: Equity Large Cap
1. HDFC Balanced Advantage Fund (G):
The HDFC Balanced Advantage Fund (Growth) is managed by HDFC Asset Management Company, and the fund manager of this fund is Gopal Agrawal. This scheme belongs to the
HY-DYN category and has a total asset size of ₹98,457.8 crore. The expense ratio of this fund is 1.36%, and its NAV is ₹517.74. The returns on this fund are 15.63% and 17.11% for three years and five years, respectively.
2. Nippon India Large Cap Fund (G):
The Nippon India Large Cap Fund (Growth) is run by Nippon Life India Asset Management, and its fund manager is Sailesh Raj Bhan. The fund holds ₹46,520.5 crore in assets and has an expense ratio of 1.50%. It has a NAV of ₹89.42. The Nippon India Large Cap Fund has performed well, earning a 3-year return of 16.5% and a 5-year return of 17%.
3. ICICI Pru Large Cap Fund (G):
The ICICI Prudential Large Cap Fund (Growth), run by ICICI Prudential Asset Management Company, is headed by the fund manager Sankaran Naren. The fund belongs to the equity large cap (EQ-LC) type and holds an asset size worth ₹69,947.6 crore. The fund’s expense ratio is 1.42%, and its current net asset value (NAV) stands at ₹107.46. As for the returns earned by the fund over different time periods, it has earned 15.56% and 14.57% returns in the last three and five years, respectively.
4. HDFC Large Cap Fund (G):
The HDFC Large Cap Fund (Growth), managed by HDFC Asset Management Company, is overseen by fund manager Rahul Bajaj. The fund falls under the EQ-LC category and manages assets worth ₹35,458.5 crore. It has an expense ratio of 1.61%, with a current NAV of ₹1,099.09. In terms of performance, the fund has delivered a return of 12.75% over the past three years and 13.75% over the past five years.
5. Invesco India Large-cap Fund-Reg (G):
The Invesco India Largecap Fund – Regular (Growth) is a mutual fund managed by Invesco Asset Management India. The fund manager of this fund is Hiten Jain. It belongs to the category of EQ-LC and has an asset size of ₹1,536.9 crore. It has a total expense ratio of 2.04%, and its net asset value is ₹67.95. The performance of the fund can be measured in terms of its 15.86% three-year return and 13.47% five-year return.
Why SWP Makes Sense for Senior Citizens
For senior citizens, having a predictable monthly income without completely liquidating investments is one of the more practical advantages an SWP offers.
This is how the approach usually works out well for this age group:
A steady flow of income, which replicates the flow of salary or pension, helps retirees feel assured of a steady income flow on their retirement dates since the SWP gives them a fixed payout each month, unlike dividends, which have to be declared by the mutual fund at its discretion.
The remaining sum keeps itself invested and earns, thereby partly compensating for the effect of inflation. The FD, on the other hand, once withdrawn from, no longer earns interest at the earlier rate. The money in the mutual fund remains compounded regardless of how much one withdraws via the SWP route.
Further, senior citizens enjoy the power of withdrawing more, less, discontinuing or suspending the withdrawals depending on their needs; this optionality is not available in the majority of traditional pension schemes.
Key Features of an SWP
Before setting up an SWP, a few features are worth understanding:
1. Withdrawal frequency: Normally, the withdrawal period can be set to monthly, quarterly, or annual. Monthly withdrawals are the most popular among those who use SWP as an alternative source of income.
2. Minimum withdrawal amount: This differs among different fund houses; however, the minimum amount of money that can be withdrawn per instalment is ₹500-₹1,000.
3. Exit load: An exit load is applicable in some mutual funds, which means that if you redeem your mutual fund investments within a period of one year from the time of investment, then you will be charged an exit load.
4. Sustainability of corpus: The golden rule of SWP is simple: do not withdraw more than what your investment can reasonably earn over time. For instance, if a fund has generated about 12% annualised returns over the long term and you withdraw 8% every year, your corpus may sustain for a longer period. But since mutual fund returns fluctuate, investors should review their SWP amount regularly and avoid aggressive withdrawals.
5. NAV-based redemption: Every time a withdrawal takes place, it is based on NAV. Therefore, in times when the market is up, fewer units are redeemed, while during times when the market is down, more units are redeemed for the same amount of money withdrawn.
Conclusion
SWP is not a product in itself but rather a strategy that can be constructed around an investment in a mutual fund scheme. If created intelligently, it may become a dependable source of income for senior citizens without making them divest their holdings entirely. The critical factors here include the selection of the proper fund, the amount to withdraw that the corpus can support, and its periodic evaluation.
As stated above, the five funds mentioned have been selected according to their returns over a period of five years in the large cap and balanced advantage categories.
