Flexi Cap vs Multi Cap Mutual Funds: During periods of market volatility, investors may hesitate to reassess their mutual fund portfolios, particularly when choosing between diversified fund categories. Both multicap and flexicap funds invest in large cap, mid cap and small cap stocks, but they differ in how fund managers allocate investments across these market segments. Equity mutual funds witnessed a sharp rise in investor inflows even as the overall mutual fund industry recorded substantial net outflows during the month, according to the latest September data released by the Association of Mutual Funds in India (AMFI). Net inflows into equity-oriented mutual fund schemes surged 30.61 per cent month-on-month to Rs 38,306.55 crore, compared with Rs 29,328.62 crore in the previous month. Flexi cap funds attracted Rs 6,701.80 crore in September, up from Rs 5,059.42 crore in August, an increase of approximately 32.5 per cent. Multi cap schemes attracted Rs 3,859.55 crore.
Flexi Cap vs Multi Cap Mutual Funds
The primary difference between flexi cap and multi cap mutual funds lies in their mandatory asset allocation rules: multi cap funds must invest at least 25 per cent each in large, mid, and small cap stocks, whereas flexi cap funds have no fixed limits and let the fund manager dynamically shift allocations based on market conditions.
Allocation Rules: Multi cap funds follow a strict rule-based structure totalling at least 75 per cent equity (25% large cap, 25% mid cap, 25% small cap). Flexi cap funds require a minimum of 65% in equity, with absolute freedom for the fund manager to invest any proportion across sizes.
Flexi Cap mutual fund: Which category delivered higher returns with a low expense ratio?
Bank of India Flexi Cap Fund – Direct Plan
- Launch Date: 29-Jun-2020
- Benchmark: BSE 500 TRI
- AUM: Rs 3,098 Cr (As on 30-Sep-2026)
- NAV: Rs 42.1300 (As on 16-Oct-2026)
- Expense Ratio: 0.49% (As on 30-Sep-2026)
- CAGR in 5 years: 14.78%
- Min. Investment: Rs 5000
- Min. SIP Investment: Rs 1000
- Sharpe Ratio: 0.81
- Standard Deviation: 17.80
- Beta: 1.08
HDFC Flexi Cap Fund – Direct Plan
- Launch date: 01-Jan-2013
- NAV: Rs 2,184.7280 (As on 16-Oct-2026)
- AUM: Rs 1,08,547 crore (As on 30-Sep-2026)
- Expense Ratio: 0.57% (As on 30-Sep-2026)
- Benchmark: NIFTY 500 TRI
- CAGR in 5 years: 14.65%
- Minimum investment: Rs 100
- Minimum SIP: Rs 100
- Standard Deviation: 13.11
- Sharpe Ratio: 0.99
- Beta: 0.82
Multi Cap mutual fund: Which category delivered higher returns with low expense ratio?
Nippon India Multi Cap Fund – Direct Plan
- Launch date: 01-Jan-2013
- Total Assets: Rs 53,767 crore (As on 30-Sep-2026)
- NAV: Rs 319.3072 (As on 16-Oct-2026)
- Expense Ratio: 0.59% (As on 30-Sep-2026)
- Benchmark: Nifty 500 Multicap 50:25:25 TRI
- CAGR in 5 years: 14.52%
- Minimum investment: Rs 100
- Minimum SIP: Rs 100
- Standard Deviation: 15.62
- Sharpe Ratio: 0.75
- Beta: 0.91
Kotak Multi Cap Fund – Direct Plan
- Launch date: 29-Sep-2021
- Total Assets: Rs 30,335 crore (As on 30-Sep-2026)
- NAV: Rs 20.9300 (As on 16-Oct-2026)
- Expense Ratio: 0.42% (As on 30-Sep-2026)
- Benchmark: Nifty 500 Multicap 50:25:25 TRI
- CAGR in 5 years: 15.71%
- Minimum investment: Rs 100
- Minimum SIP: Rs 100
- Standard Deviation: 17.56
- Sharpe Ratio: 0.61
- Beta: 1.01
(Source: Fund fact sheet)
Also read: Small Cap Mutual Funds: 4 low-cost schemes that delivered over 16% CAGR in 5 years
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)