Mumbai, July 6 -- The Securities and Exchange Board of India's decision to allow mutual fund houses to offer both aggressive hybrid and balanced hybrid funds is set to revive the balanced hybrid category, with ICICI Prudential Asset Management Co. Ltd launching such a scheme under the revised rules.

More fund houses are expected to follow, aided by the regulatory relaxation and favourable tax treatment.

The market regulator eased its 2017 scheme categorization norms in February, removing the restriction that forced fund houses to choose between offering an aggressive hybrid fund and a balanced hybrid fund.

When the 2017 rules were introduced, most fund houses recategorized their erstwhile balanced funds as aggressive hybrid funds becau...