Around three flexi cap funds have failed to beat their respective benchmarks in four consecutive years, an analysis of performance of the flexi cap category showed.
Around 24 flexi cap schemes have completed four years of existence in the market. Out of these 24 flexi cap schemes, three schemes – Aditya Birla Sun Life Flexi Cap Fund, Shriram Flexi Cap Fund, and SBI Flexicap Fund – have failed to beat their respective benchmarks in four consecutive years from 2020 to 2023 (See table).
Two schemes from the list – Aditya Birla Sun Life Flexi Cap Fund and SBI Flexicap Fund – have underperformed their benchmarks in 2024 so far. Shriram Flexi Cap Fund has managed to outperform its respective benchmark in 2024 so far.Flexi cap schemes are benchmarked against Nifty 500 – TRI and S&P BSE 500 – TRI.
Note, We considered yearly returns from 2020 as Sebi introduced flexi cap category in 2020.
We considered all flexi cap schemes that have completed four years in the market. We considered regular and growth options.
Note, the above exercise is not a recommendation. The exercise was done to find which flexi cap schemes have failed to beat their respective benchmarks since the category has been introduced.
One should not make investment or redemption decisions based on the above exercise. One should always consider risk profile, investment horizon and goal.
If you are looking for recommendations, see:
Best flexi cap mutual funds to invest in 2024
Flexi cap schemes offer the fund managers the freedom to invest across market capitalisations and sectors/themes. It means the fund managers can invest anywhere based on his outlook on the market. These schemes are typically recommended to moderate investors with an investment horizon of five to seven years.
