8.26Flexi-cap funds
1What is it?
Flexi-cap funds invest at least 65% in equity across large, mid and small caps in any proportion the manager chooses.
2Why does it exist?
Gives the manager flexibility to shift with opportunities.
3Diagram
| Invests in | Suits | Risk | Suggested horizon |
|---|---|---|---|
| Any mix of caps (65%+ equity) | Core long-term holding | High | 5+ years |
4Quick revision
- Flexi-cap funds invest at least 65% in equity across large, mid and small caps in any proportion the manager chooses.
- Risk: High.
- Horizon: 5+ years.
5Knowledge check
Q1. Any minimum per cap size?Show answer
No, that’s the "flexi".
Q2. Difference from multi-cap?Show answer
Multi-cap requires 25% each in large, mid and small.
Q3. Good as a core fund?Show answer
Often used as one.
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