Flexi-cap mutual funds have emerged as a preferred choice for investors seeking dynamic and versatile investment options. Among the plethora of flexi-cap funds available, Parag Parikh Flexi Cap and Quant Flexi Cap stand out as strong contenders, each with its unique features and performance track record.
Live TV
Loading...
Parag Parikh Flexi Cap, which is a 10 year-and-8-month-old fund, has assets under management (AUM) of ₹55,034 crore as of January 31, 2024.
With a consistent outperformance against benchmarks like the S&P 500 BSE TRI and Equity: Flexi Cap over a decade, its net asset value (NAV) stands at ₹74.7137 as of February 16, according to Value Research report.
The top holdings of Parag Parikh Flexi Cap, as of January 31, 2024, include significant allocations to HDFC Bank, Bajaj Holdings & Investment, Power Grid Corporation Of India, HCL Technologies, and Coal India.
| Company | Percentage of portfolio |
|---|---|
| HDFC Bank | 8.05% |
| Bajaj Holdings & Investment | 6.99% |
| Power Grid Corporation Of India | 5.65% |
| HCL Technologies | 5.36% |
| Coal India | 5.12% |
(Source: Value Research)
The asset allocation reveals a focus on equity (86.86%), with some portion in debt (12.96%) and a minor allocation in cash and cash equivalent (0.18%).
The returns, reflecting its performance, show an upward trajectory over various time frames, with a 20.62% return since inception.
Here's look at returns of the fund at different time period:
| Time Period | Returns |
|---|---|
| 1 Year | 41.29% |
| 3 Years | 22.85% |
| 5 Years | 24.76% |
| 7 Years | 21.30% |
| 10 Years | 21.47% |
| Since Inception | 20.62% |
(Source: Value Research)
The expense ratio stands at 0.58.
Quant Flexi Cap, on the other hand, presents itself as a consistent performer with an AUM of ₹3,540 crore as of January 31, 2024.
The NAV is ₹103.0873 as of February 16, 2024.
Top holdings include Reliance, Adani Power, Housing & Urban Development, Jio Financial Services, and Britannia.
| Company | Percentage of Portfolio |
|---|---|
| Reliance | 9.79% |
| Adani Power | 4.87% |
| Housing & Urban Development | 4.31% |
| Jio Financial Services | 4.07% |
| Britannia | 3.88% |
(Source: Value Research)
The fund has a significant focus on equity (95.13%) and minor allocations in debt (4.89%) and cash and cash equivalent (-0.02%).
Here's look at returns of the fund at different time period:
| Time Period | Returns |
|---|---|
| 1 Year | 58.64% |
| 3 Years | 36.36% |
| 5 Years | 33.28% |
| 7 Years | 24.92% |
| 10 Years | 26.68% |
| Since Inception | 21.43% |
The expense ratio is marginally higher at 0.77.
Where to invest?
Both funds, mandated to invest a minimum of 65% in equity stocks, offer investors flexibility in navigating various market conditions.
The investment strategy involves a diversified portfolio across large-cap, mid-cap, and small-cap companies, making them suitable for different investor profiles.
The lower expense ratio of Parag Parikh Flexi Cap may appeal to cost-conscious investors. On the other hand, Quant Flexi Cap Fund may be preferred by some for better returns.
However, it is crucial for investors to understand that they should weigh factors such as their investment horizon, risk tolerance, and their portfolio needs before making final decision
(Edited by : Shoma Bhattacharjee)
Note To Readers
The views and investment tips expressed by investment experts on CNBCTV18.com are their own and not that of the website or its management. CNBCTV18.com advises users to check with certified experts before taking any investment decisions.
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
BJP is planning to ban RSS, says Shiv Sena (UBT) chief Uddhav Thackeray
May 18, 2024 8:01 PM
Punjab Lok Sabha elections: Complete list of Congress candidates
May 18, 2024 4:08 PM
Punjab Lok Sabha elections: Check full list of AAP candidates and constituencies
May 18, 2024 12:59 PM
PM Modi, Rahul Gandhi election rallies in Delhi today: Here are the routes to avoid
May 18, 2024 11:28 AM