Flexi-cap mutual funds have proved their worth for investors over the years. These funds have delivered consistent performance across market cycles.
According to the latest data released by the Association of Mutual Funds in India (AMFI), the total assets under management (AUM) of flexi-cap funds touched Rs 5.07 lakh crore in September 2025 — making it the second-largest mutual fund category after sectoral/thematic funds, which command Rs 5.13 lakh crore.
But what makes these funds so appealing to investors, and which ones have managed to perform consistently over the years? Let’s find out.
What is a flexi-cap fund?
A flexi-cap fund is an open-ended equity mutual fund that can invest in companies across all market capitalisations — large-cap, mid-cap, and small-cap — without any fixed allocation limits.
This flexibility allows fund managers to move between market segments based on changing market conditions, valuations, and opportunities. According to SEBI guidelines, a flexi-cap fund must invest at least 65% of its total assets in equities and equity-related instruments.
Key features of flexi-cap funds:
Dynamic allocation: Fund managers can freely shift between large-, mid-, and small-cap stocks depending on where they see potential.
Market-driven strategy: Unlike fixed-mandate categories, these funds adapt based on the fund manager’s outlook on risk and opportunity.
Diversification: Investments spread across market caps help balance risk and return.
High risk, high reward: Best suited for long-term investors (5 years or more) who can ride through market volatility.
In this story, we look at four flexi-cap funds — based on data from the Financial Express Mutual Fund Screener — that have stayed among the top performers across 1, 3, 5, and 10-year timeframes.
While the order changes depending on the period, these four have consistently remained on top, showcasing resilience and steady performance through market ups and downs.
4 flexi-cap funds that stand out
Flexi-cap funds performance snapshot
| Time Period | 1-Year | 3-Year | 5-Year | 10-Year |
| Top Performer | HDFC Flexi Cap (10.91%) | HDFC Flexi Cap (22.93%) | HDFC Flexi Cap (30.23%) | Parag Parikh Flexi Cap (18.50%) |
Other consistent funds: Parag Parikh Flexi Cap, Aditya Birla Sun Life Flexi Cap, and Kotak Flexicap Fund have all remained close contenders.
Over shorter timeframes — 1, 3, and 5 years — HDFC Flexi Cap Fund has outshined peers, reflecting its strong recovery and smart stock selection in recent years. On the other hand, Parag Parikh Flexi Cap Fund leads over the 10-year period with an impressive 18.5% CAGR, proving its long-term consistency.
Aditya Birla Sun Life Flexi Cap Fund and Kotak Flexicap Fund have shown stable yet slightly lower returns, reflecting a steady, less aggressive style of management.
In summary:
HDFC Flexi Cap Fund: Strong recent momentum and recovery.
Parag Parikh Flexi Cap Fund: The most consistent long-term performer.
Aditya Birla & Kotak Flexicap Funds: Steady, well-diversified, dependable options.
Best flexi-cap funds: Fund-wise insights
Launched in May 2013, this fund from PPFAS Mutual Fund has delivered an impressive 19.77% return since inception, comfortably outperforming its benchmark Nifty 500 TRI.
With a massive AUM of Rs 1.19 lakh crore (as of Sept 2025) and a low expense ratio of 0.63%, it is both cost-efficient and performance-driven. The fund carries a ‘Very High’ risk rating, suitable for investors with a long-term horizon.
Portfolio snapshot:
The fund maintains a balanced portfolio with higher exposure to technology (16.05%) and financials (27.17%), and reasonable holdings in consumer discretionary (10.3%), energy (5.99%), and materials (5.7%). Moderate stakes in consumer staples (5.39%) and healthcare (4.02%) help manage volatility.
Its strategy of blending domestic and global equities — including selective exposure to global giants like Alphabet and Meta — has helped it weather multiple market cycles successfully.
One of the flagship schemes from HDFC Mutual Fund, this fund was launched in January 2013 and has delivered a strong 17.15% return since inception. With a huge AUM of Rs 85,560 crore and an expense ratio of 0.68%, it remains one of the most popular funds in the category.
Portfolio snapshot:
The fund leans heavily toward financials (39%), well above the category average — reflecting strong confidence in banks and NBFCs. It also has exposure to consumer discretionary (17.35%), healthcare (8.73%), and technology (8.6%), ensuring a balance between cyclical and defensive sectors. Smaller allocations to materials, industrials, and energy round out a well-diversified portfolio.
With its focus on domestic growth sectors and disciplined research-led approach, HDFC Flexi Cap Fund continues to deliver steady long-term wealth creation.
Launched in January 2013, this fund from Aditya Birla Sun Life Mutual Fund has delivered a healthy 16.91% return since inception. It manages Rs 23,266 crore in assets with an expense ratio of 0.85% and is classified under ‘Very High’ risk.
Portfolio snapshot:
The fund maintains a well-balanced portfolio, led by financials (31.42%), technology (14.08%), and consumer discretionary (13.41%). Higher allocations to materials (10.91%) and industrials (8.93%) suggest a cyclical tilt, while consumer staples (7.59%) and healthcare (6.61%) provide stability.
Its disciplined, research-based approach and diversified positioning have helped it stay consistent across timeframes.
Another long-term performer, Kotak Flexicap Fund was launched in January 2013 and has delivered 16.72% since inception. With ₹54,083 crore in AUM and a low expense ratio of 0.59%, it is one of the most cost-efficient options in the flexi-cap space.
Portfolio snapshot:
The fund takes a slightly different route with a focus on materials (17.92%) and industrials (15.62%), indicating a strong tilt toward India’s manufacturing and infrastructure themes. Financials (26.21%), technology (13.73%), and energy (9.39%) form the other key components. Smaller exposures in healthcare (3.09%) and consumer staples (2.44%) help diversify risks.
Its strategy of blending cyclical opportunities with growth-oriented sectors makes it a dependable pick for investors seeking a balance of stability and upside.
(Source: Financial Express Mutual Fund Screener)
Final take
The flexi-cap category continues to be a solid choice for investors who want diversification, flexibility, and long-term growth — without worrying about rigid market-cap allocations.
HDFC Flexi Cap Fund leads in short to medium-term performance.
Parag Parikh Flexi Cap Fund remains the most consistent over the long term.
Aditya Birla Sun Life Flexi Cap Fund and Kotak Flexicap Fund provide reliable, steady alternatives for diversified exposure.
While past performance doesn’t guarantee future returns, these funds have stood the test of time — proving that consistency, discipline, and smart allocation matter more than chasing short-term winners.