Given high volatility in markets, it makes sense to invest in balanced schemes.Among the balanced schemes, ICICI Pru Balanced scheme is one of the best performing schemes. First, on the equity side, the scheme's fund manager Sankaran Naren invests in companies with a minimum investment horizon of three years.This means that the fund manager invests in theme which will play out in the long term. In the past one year, balanced schemes have been able to beat large-cap schemes by a fairly wide margin. Large-cap schemes have delivered returns of -1.8%, while balanced schemes have given close to 3% returns in the past one year. Second, on the debt side, the scheme's fund manager Manish Banthia has also maintained balance of duration across debt instruments right from government bonds to corporate.

Source: Economic Times June 27, 2016 22:41 UTC