Best Mutual Funds in the Philippines 2026: Our Top Picks

Data checked: July 10, 2026, using PIFA NAVPS/NAVPU performance tables

Disclaimer: Mutual funds, UITFs, feeder funds and other investments can lose money. Past performance does not guarantee future returns. Before investing, check the latest fund fact sheet, fees, risk classification and your own financial goals.

Looking for the best mutual funds in the Philippines this 2026? The short answer is: there is no single “best” fund for everyone.

A beginner who wants to park emergency savings should not choose the same fund as an aggressive investor who can wait 10 years. A retiree looking for income should not blindly copy someone chasing the highest one-year return.

The best fund depends on your risk tolerance, investment horizon, fees, fund type, currency, and where you can actually buy the fund.

To make the choice easier, this guide ranks Philippine mutual funds by category using the latest available PIFA return data, then matches them with common Filipino investor goals.

Recommended reading: Best Investments in PH

Quick Answer: Best Mutual Funds in the Philippines for 2026

Investor goal	Best fund type to consider	Example funds to research	Why it may fit
Cash parking / low volatility	Money market fund	ALFM Money Market Fund, Sun Life Prosperity Peso Starter Fund	Generally lower volatility than equity funds; useful for short-term cash allocation
Conservative income	Bond fund	Philam Managed Income Fund, ALFM Peso Bond Fund, Soldivo Bond Fund	Designed for income and capital preservation, but still has market risk
Dividend-focused equity exposure	Equity / dividend fund	Philequity Dividend Yield Fund	Gives exposure to Philippine stocks with a dividend-oriented strategy
Long-term Philippine stock market growth	Equity or index fund	Philequity Fund, Philequity MSCI Philippine Index Fund, Philequity PSE Index Fund, Sun Life Philippine Stock Index Fund	Suitable only if you can tolerate volatility and hold long term
Global growth	Global equity / feeder fund	Sun Life Prosperity World Equity Index Feeder Fund, Sun Life Prosperity World Voyager Fund, ATRAM AsiaPlus Equity Fund	Gives exposure outside the Philippines
Monthly or regular income focus	Multi-asset income fund	ALFM Global Multi-Asset Income Fund	Provides diversified income-oriented exposure; check dividend policy and currency class
Aggressive active growth	Actively managed equity fund	ATRAM Alpha Opportunity Fund, Philequity Fund	Higher potential return, but higher volatility and possible drawdowns

Key takeaway: If you are a beginner, start by choosing the right fund category first. Do not simply buy the fund with the highest recent return.

How we ranked these funds

We evaluated funds using the following criteria:

Latest available return data — YTD, 1-year, 3-year and 5-year performance where available.
Fund category — money market, bond, balanced, equity, index, feeder or global fund.
Risk level — short-term cash funds are very different from equity and global funds.
Consistency — not just one lucky year, but how the fund has performed across multiple periods.
Accessibility — whether Filipino investors can access the fund through platforms such as COL Fund Source, First Metro Sec/FundsMart, GInvest, Maya/Seedbox/Investa, or directly through these mutual fund companies.
Fees and conditions — management fee, sales load, exit fee, holding period and minimum investment.
Source quality — priority was given to PIFA data, official fund documents and recognized fund-award methodologies.

PIFA publishes NAVPS/NAVPU performance tables for Philippine mutual funds, including 1-year, 3-year, 5-year, 10-year and YTD returns 4. For additional context, the CFA Society Philippines awards highlighted risk-adjusted performance, using metrics such as Sortino ratio for active funds and tracking error for index funds, according to Rappler’s coverage 5.

Best Money Market Mutual Funds in the Philippines

Money market funds are usually the most conservative mutual fund category. They invest in short-term instruments and are often used for cash parking, emergency funds, or money you may need within a year.

Fund	1-year return	3-year return	5-year return	YTD	Best for
ALFM Money Market Fund, Inc.	4.15%	4.02%	3.08%	1.91%	Short-term parking, conservative investors
Sun Life Prosperity Peso Starter Fund, Inc.	3.67%	3.54%	2.91%	1.72%	Beginners and conservative cash allocation
First Metro Save and Learn Money Market Fund, Inc.	3.38%	3.74%	2.93%	1.61%	Short-term conservative allocation
AIB Money Market Mutual Fund, Inc.	2.72%	N/A	N/A	1.30%	Investors comparing newer/available options

Source: PIFA NAVPS Performance as of July 10, 2026 4.

Best pick for conservative cash parking: ALFM Money Market Fund

Among the money market funds listed above, ALFM Money Market Fund stands out because it shows competitive 1-year, 3-year and 5-year returns in the PIFA table. It may suit investors who want an alternative place to park cash while accepting that mutual funds are still investments and are not the same as bank deposits.

Use money market funds for:

short-term savings goals
emergency fund overflow
cash waiting to be invested later
lower-volatility portfolio allocation.

Avoid using money market funds if your only goal is aggressive long-term growth. For that, equity or global funds may be more appropriate, though risk is much higher.

Best Bond Mutual Funds in the Philippines

Bond funds are generally more conservative than equity funds but can still go down when interest rates move or bond prices fall. They may suit investors who want income, moderate stability and a lower-risk option than pure stock funds.

Fund	1-year return	3-year return	5-year return	YTD	Best for
Philam Managed Income Fund, Inc.	3.11%	4.52%	3.06%	0.84%	Conservative income and stability
ALFM Peso Bond Fund, Inc.	2.71%	3.25%	2.54%	0.59%	Peso bond exposure
Soldivo Bond Fund, Inc.	2.63%	2.83%	1.69%	0.41%	Conservative fixed-income exposure
ATRAM Corporate Bond Fund, Inc.	2.33%	1.25%	0.60%	1.15%	Corporate bond allocation
Philequity Peso Bond Fund, Inc.	1.90%	3.14%	1.62%	0.01%	Peso fixed-income exposure
Cocolife Fixed Income Fund, Inc.	1.48%	3.02%	2.05%	-0.13%	Conservative fixed-income exposure

Source: PIFA NAVPS Performance as of July 10, 2026 4.

Best pick for conservative income: Philam Managed Income Fund

Based on the PIFA table, Philam Managed Income Fund shows one of the stronger combinations of 1-year, 3-year and 5-year returns among peso bond-oriented funds. It may be worth researching if you want a conservative income-oriented fund.

However, bond funds are not risk-free. If interest rates rise sharply, bond fund prices can fall. Check the fund’s duration, portfolio holdings and latest fact sheet before investing.

Best Philippine Equity and Index Mutual Funds

Equity funds invest mainly in stocks. They can deliver higher long-term returns, but they can also experience large short-term losses. These funds are best suited for investors with a long time horizon, ideally five years or more.

Fund	1-year return	3-year return	5-year return	YTD	Best for
Philequity Dividend Yield Fund, Inc.	10.52%	11.63%	7.05%	4.14%	Dividend-focused equity exposure
Philequity MSCI Philippine Index Fund, Inc.	6.51%	5.54%	2.06%	10.59%	Philippine index-style exposure
Philequity Fund, Inc.	0.09%	2.99%	1.37%	6.13%	Active Philippine equity exposure
Philequity PSE Index Fund, Inc.	-1.69%	1.71%	0.02%	4.57%	PSEi-style passive exposure
Philippine Stock Index Fund Corp.	-1.93%	1.36%	-0.31%	4.76%	Index exposure
Sun Life Prosperity Philippine Stock Index Fund, Inc.	-2.19%	0.92%	-0.67%	4.76%	Index exposure
ATRAM Alpha Opportunity Fund, Inc.	-10.59%	11.51%	6.66%	-8.67%	Aggressive active equity investors

Source: PIFA NAVPS Performance as of July 10, 2026 4.

Best pick for dividend-focused equity exposure: Philequity Dividend Yield Fund

Philequity Dividend Yield Fund stands out in the latest PIFA table because of its positive 1-year, 3-year and 5-year returns compared with many other Philippine equity funds. Its strategy may appeal to investors who want Philippine stock exposure with a dividend-oriented tilt.

Further reading: Best dividend stocks in the Philippines

This does not mean it is safe. It is still an equity fund, and stock funds can decline sharply during market downturns.

Best pick for Philippine index-style exposure: Philequity MSCI Philippine Index Fund

If you prefer a more index-oriented approach, Philequity MSCI Philippine Index Fund deserves consideration because it shows a positive 1-year return and strong YTD performance in the PIFA table. Index-oriented funds can be useful for investors who want market exposure without relying entirely on active stock selection.

Before choosing any index fund, compare:

benchmark tracked
management fee
tracking error
fund size
liquidity
minimum investment
platform availability

Best aggressive active option to research: ATRAM Alpha Opportunity Fund

ATRAM Alpha Opportunity Fund is interesting because its 3-year and 5-year returns are strong in the PIFA table, but its 1-year and YTD returns are negative as of the latest data. This is exactly why investors should not judge a fund using one period only.

This type of fund may fit aggressive investors who understand volatility, but it may not be appropriate for beginners or short-term investors.

Best Global, Dollar and Feeder Funds

Global and feeder funds can help Filipino investors diversify outside the Philippine market. They may invest in international equities, global income assets or foreign-currency securities. Returns can be affected not only by market performance but also by currency movements.

Fund	1-year return	3-year return	5-year return	YTD	Best for
ATRAM AsiaPlus Equity Fund, Inc.	34.64%	14.31%	0.01%	21.59%	Asia/global equity exposure
Sun Life Prosperity World Equity Index Feeder Fund, Inc.	30.63%	21.71%	13.38%	13.23%	Global equity index exposure
Sun Life Prosperity World Voyager Fund, Inc.	17.37%	15.41%	5.68%	7.83%	Global diversification
Sun Life Prosperity World Income Fund, Inc.	12.13%	N/A	N/A	5.24%	Global income exposure
ALFM Global Multi-Asset Income Fund, Inc.	8.75%	4.42%	N/A	3.44%	Multi-asset income and diversification

Source: PIFA NAVPS Performance as of July 10, 2026 4.

Best pick for global equity exposure: Sun Life Prosperity World Equity Index Feeder Fund

Sun Life Prosperity World Equity Index Feeder Fund shows strong 1-year, 3-year and 5-year figures in the PIFA table. It may be suitable for investors who want international equity exposure while investing through a Philippine-accessible fund structure.

Best pick for global diversification: Sun Life Prosperity World Voyager Fund

Sun Life Prosperity World Voyager Fund is another global option to research. It may suit investors who want to diversify beyond Philippine stocks, especially if their long-term goals are not entirely peso-based.

Best pick for income-oriented global exposure: ALFM Global Multi-Asset Income Fund

ALFM Global Multi-Asset Income Fund may fit investors looking for diversified income-oriented exposure. Before investing, confirm the exact share class, currency, dividend policy and fees because PHP and USD classes can behave differently.

Best Balanced Mutual Funds in the Philippines

Balanced funds invest in a mix of stocks, bonds and other instruments. They sit between bond funds and equity funds in terms of risk. They may suit moderate investors who want growth potential but do not want 100% equity exposure.

Fund	1-year return	3-year return	5-year return	YTD	Best for
ATRAM Unicapital Diversified Growth Fund, Inc.	6.56%	6.43%	0.06%	3.75%	Moderate growth allocation
PAMI Horizon Fund, Inc.	0.81%	3.29%	0.56%	0.20%	Moderate allocation
NCM Mutual Fund of the Phils., Inc.	0.69%	1.12%	0.56%	0.65%	Moderate allocation
First Metro Save and Learn F.O.C.C.U.S. Dynamic Fund, Inc.	0.26%	6.08%	3.28%	-0.91%	Moderate dynamic allocation
ATRAM Philippine Balanced Fund, Inc.	-2.07%	1.16%	-0.81%	0.59%	Moderate allocation
Sun Life of Canada Prosperity Balanced Fund, Inc.	-3.58%	1.06%	-0.53%	-0.04%	Moderate allocation

Source: PIFA NAVPS Performance as of July 10, 2026 4.

Best balanced fund to research: ATRAM Unicapital Diversified Growth Fund

Based on the latest PIFA table, ATRAM Unicapital Diversified Growth Fund shows a relatively strong 1-year and 3-year return compared with other peso balanced funds listed. It may be worth researching if you want a moderate-risk fund with both growth and fixed-income exposure.

Mutual Fund Types Explained

Equity funds

Equity funds invest mainly in stocks. They are best for long-term investors who can tolerate volatility. If your investment horizon is less than three years, think carefully before choosing an equity fund.

Index funds

Index funds attempt to track a benchmark such as the PSEi or another market index. They are useful for investors who prefer a passive strategy and want market-like returns, minus fees and tracking differences.

Bond funds

Bond funds invest in fixed-income securities such as government or corporate bonds. They are generally less volatile than equity funds but can still lose money when interest rates rise or credit conditions worsen.

Money market funds

Money market funds invest in short-term instruments. They are usually used for cash parking and conservative allocations. They may have lower volatility, but they are not bank deposits.

Balanced funds

Balanced funds combine equities, bonds and sometimes cash instruments. They are designed for moderate investors who want some growth but less volatility than pure equity funds.

Feeder funds

Feeder funds invest into another target fund, often abroad. These can provide exposure to global equities, bonds or multi-asset strategies.

For a more detailed breakdown, read more about mutual fund types.

Mutual Funds vs UITFs: What’s the difference?

Many Filipino investors compare mutual funds and UITFs because both allow you to invest in professionally managed pooled funds. The key difference is legal structure and regulator.

Feature	Mutual funds	UITFs
What you buy	Shares of an investment company	Units of participation in a trust fund
Main regulator	SEC	BSP
Common provider	Mutual fund company / investment company	Bank or trust corporation
Investor status	Shareholder	Trust participant / unit holder
PDIC coverage	Not covered	Not covered
Best use	Long-term pooled investing	Bank-based pooled investing

PSE Academy explains that Philippine mutual funds are governed by the Investment Company Act and regulated by the Securities and Exchange Commission, while UITFs are regulated by the Bangko Sentral ng Pilipinas; it also notes that both mutual funds and UITFs are not covered by PDIC insurance 3.

Important: Some products that investors casually call “mutual funds” may actually be UITFs or feeder funds depending on the platform. Always check the official product document before investing.

How to choose the Best Mutual Fund for you

Start with your time horizon

Time horizon	Fund types to consider	Avoid or be careful with
Less than 1 year	Money market funds	Equity funds, aggressive global funds
1–3 years	Money market or short/intermediate bond funds	High-volatility equity funds
3–5 years	Bond funds, balanced funds, conservative multi-asset funds	Highly concentrated sector funds
5–10+ years	Equity funds, index funds, global feeder funds	Overconcentration in one market or sector

Match the fund to your risk profile

Conservative: money market funds, short-duration bond funds.
Moderately conservative: bond funds and conservative balanced funds.
Moderate: balanced funds and multi-asset funds.
Aggressive: equity funds, index funds and global equity feeder funds.
Very aggressive: thematic funds, technology funds, concentrated active equity funds.

Compare fees before returns

A fund with high returns can still disappoint if fees are too high or if you redeem during a bad period. Check:

sales load or entry fee
management fee
trustee/custodian fees
redemption or exit fee
minimum holding period
minimum initial investment
minimum additional investment

Check the latest fund fact sheet

Before buying, download the latest fact sheet from the fund company. Look for:

top holdings
asset allocation
benchmark
risk classification
historical returns
fund manager commentary
expense ratio
launch date
fund size

Do not chase one-year returns blindly

A fund can look excellent in one year and still be inappropriate for your goals. Compare at least three periods: YTD, 1-year and 3-year. If available, also compare 5-year and 10-year returns.

Where to buy Mutual Funds in the Philippines

You can buy mutual funds and related pooled funds through several channels.

COL Financial / COL Fund Source

COL Fund Source allows investors with a COL account to buy selected mutual funds online. This is convenient if you already use COL for stocks and want to manage funds in one place.

First Metro Sec / FundsMart

First Metro Sec also offers access to a fund supermarket. This can be useful for investors who want to compare funds from different providers.

GInvest

GInvest inside GCash is popular among beginners because of its low minimums and mobile-first experience. Always confirm whether the product is a mutual fund, UITF or feeder fund.

Maya (via Seedbox and Investa)

Some funds are available through Maya, Seedbox or Investa-powered platforms. These can be convenient for small starting amounts, but you should still read the official fund documents.

Direct through the fund company

You can also open directly with companies such as Sun Life, Philequity, ALFM, ATRAM or other fund providers. This may be useful if you want direct service or access to specific fund classes.

Step-by-Step: How to start investing in Mutual Funds

Build your emergency fund first. Do not invest money you may need immediately.
Identify your goal. Retirement, tuition, house down payment and cash parking require different funds.
Choose your fund category. Money market, bond, balanced, equity, index or feeder fund.
Compare funds using data. Look at PIFA returns, fund fact sheets and fees.
Open an account. Use a fund platform, broker, app or direct fund company account.
Complete KYC requirements. Prepare valid ID, tax information and bank details.
Start with an amount you understand. Do not invest more than you can emotionally tolerate.
Use peso-cost averaging if appropriate. Regular investing can reduce timing pressure.
Review quarterly or semi-annually. Do not panic over daily NAVPS changes.
Rebalance when needed. Adjust if your allocation no longer matches your goal.

Common Mistakes to Avoid

Buying the highest-return fund without checking risk

The highest one-year return often comes from funds with higher volatility. That may be fine for aggressive investors, but dangerous for short-term goals.

Ignoring fees

Fees reduce your actual return. Always compare net returns and total costs.

Confusing mutual funds with UITFs

They may look similar on apps, but the structure and regulator can differ.

Investing short-term money in equity funds

If you need the money in less than three years, an equity fund may be too risky.

Forgetting currency risk

Dollar and global funds can move because of both market performance and exchange rates.

Best Mutual Funds by Investor Profile

Best for beginners

Beginners may want to start with a money market fund, bond fund or broad index fund depending on their time horizon. If your goal is short-term cash parking, consider money market funds first. If your goal is retirement 10 years away, a broad equity or global index fund may be more appropriate.

Best for conservative investors

Conservative investors may research ALFM Money Market Fund, Sun Life Peso Starter Fund, Philam Managed Income Fund and ALFM Peso Bond Fund. These are not guaranteed, but they are generally more conservative than equity funds.

Best for long-term growth investors

Long-term investors may research Philequity Fund, Philequity Dividend Yield Fund, Philequity MSCI Philippine Index Fund, Sun Life World Equity Index Feeder Fund and Sun Life World Voyager Fund.

Best for income-focused investors

Income-focused investors may research ALFM Global Multi-Asset Income Fund, Philequity Dividend Yield Fund and selected bond funds. Check whether distributions are guaranteed, variable or simply based on fund policy.

Best for aggressive investors

Aggressive investors may research ATRAM Alpha Opportunity Fund, selected Philippine equity funds, global equity feeder funds and thematic funds. These require patience and a strong stomach for volatility.

Final Recommendations

If you want a simple decision framework, use this:

For safety and liquidity: start with money market funds.
For conservative income: compare bond funds.
For balanced growth: consider balanced funds.
For long-term Philippine growth: compare equity and index funds.
For global diversification: research feeder and global equity funds.
For aggressive performance: look at active equity funds, but accept volatility.

The best mutual fund in the Philippines is not always the fund with the highest recent return. It is the fund that matches your goal, timeline, risk tolerance and ability to stay invested.

Before buying, always check the latest PIFA data, official fund fact sheet and full list of fees.

FAQ

What is the best mutual fund in the Philippines in 2026?

There is no single best mutual fund for everyone. For conservative cash parking, money market funds such as ALFM Money Market Fund may be worth researching. For long-term growth, Philippine equity, index and global feeder funds may be more appropriate. The best choice depends on your risk profile, timeline and goal.

Which mutual fund has the highest recent return?

Based on the PIFA table reviewed on July 10, 2026, some of the strongest 1-year figures appeared in global or foreign-currency equity funds such as ATRAM AsiaPlus Equity Fund and Sun Life Prosperity World Equity Index Feeder Fund 4. However, high recent returns usually come with higher risk.

What is the safest mutual fund in the Philippines?

Money market funds are generally considered among the most conservative mutual fund categories because they invest in short-term instruments. However, they are still investments and are not bank deposits.

Are mutual funds better than UITFs?

Not always. Mutual funds and UITFs are both pooled investment products, but they differ in structure and regulator. PSE Academy explains that mutual funds are regulated by the SEC, while UITFs are regulated by the BSP 3. The better choice depends on fees, access, fund strategy and your goal.

Are mutual funds insured by PDIC?

No. PSE Academy notes that both mutual funds and UITFs are not covered by PDIC insurance 3. This means they are different from bank deposits.

How much money do I need to start investing in mutual funds?

Minimum investment varies by provider and platform. Some platforms allow low starting amounts like PHP5,000, while direct fund accounts may require higher minimums (PHP 20,000). Always check the latest account-opening requirements.

What is NAVPS?

NAVPS means net asset value per share. It represents the value of one mutual fund share based on the fund’s assets minus liabilities. Investors use NAVPS to track the value of their mutual fund investment.

What is NAVPU?

NAVPU means net asset value per unit. It is commonly used for unitized funds such as UITFs. Like NAVPS, it reflects the value of one unit of participation.

Is past performance enough to choose a mutual fund?

No. Past performance is useful, but it is not enough. Also check fees, risk level, fund manager, benchmark, holdings, volatility, investment horizon and whether the fund fits your financial plan.

Sources:

Primary performance source: PIFA Facts & Figures / NAVPS Performance 4.
Regulation context: PSE Academy mutual funds and UITFs explainer 3.
Risk-adjusted fund-award context: Rappler coverage of CFA Society Philippines 2025 fund awards 5.