HDFC Flexi Cap Fund – Direct Growth

The HDFC Flexi Cap fund was launched in January 2015. The mutual fund scheme is being managed by Roshi Jain and Priya Ranjan. The Scheme has proved to provide an annualized return of 18.49 percent per annum, with a benchmark of the NIFTY 500 total return index. It is a pure equity scheme investing at least 64% of its assets in equity-related instruments.

This fund is very strong and widespread. It has 91.54% investment in domestic equities, of which 71.54% is in Large Cap stocks, 4.48% is in Medium Cap stocks, and the final 4.93% is in Small Cap stocks.

Pros and Cons

How to invest in HDFC Flexi Cap fund

If generating appreciation or income over a long period of time is what you have in mind, then the HDFC flexi cap fund is for investors like you. This fund is also suitable for those who seek to invest in equities and other equity-related instruments.

However, it is always recommended that the investor should consult an experienced financial advisor before parting with their money.

Expense Ratio of HDFC Flexi Cap fund

The expense ratio is the annual fees that are due to the company and its fund management team for fulfilling the responsibility of supervising the shareholder’s interests in that fund. Funds with a less expense ratio are always preferred as it means relatively high returns to the investor from not having to pay a lot to the fund managers.

Who should invest?

Investors who are looking to invest money for at least 5-6 years should opt for the HDFC flexi cap fund. This fund is also great as an option if you are looking for high returns from your investment.

At the same time, any and all investors should also be prepared for the emergent possibility of moderate to high losses in their investments.

Investors who can make a purchase of Rs. 5,000 and, thereafter, an additional purchase of Rs. 1,000 — can easily avail of this flexi fund.

HDFC flexi cap fund’s inflation-beating performance is consistently ranked among the most desired options within the Flexi Cap category by senior investors.

Benefits of HDFC Flexi Cap fund

• HDFC flexi-cap fund allows investors to have an opportunity to diversify their investment portfolio across the many stocks and companies of different market capitalizations. This significantly reduces the risks involved and lowers the overall volatility of the investor’s money.
• Flexi-cap funds are able to invest in any firm, irrespective of their apparent market capitalization. This makes choosing them advantageous over other mid-cap or small-cap funds, where the funds rigidly focus only on stocks based on market capitalization. This makes the fund very investment-friendly.
• The fund manager of the HDFC flexi-cap fund analyzes and assesses the growth potential of various stocks and companies regardless of their size or reputation. Money gets invested across various market segments and companies. There is lesser work stress on the investor himself as he can rest assured that his money is being put to good use.
• With an annualized return of 18.5 percent from over 65% of its assets as against a manageable expense ratio — the HDFC Flexi Cap fund is guaranteed to prove as a beacon of money generation.