Selecting Flexicap Funds (Based on data as on 20-02-2025) for Horizon of 15+ years of Investment
How to Select the Best Flexi Cap Funds for a 15+ Year Investment Horizon?
(For Educational Purposes Only – Not Investment Advice)
? Introduction
Investing in Flexi Cap Mutual Funds for the long term requires careful evaluation of their historical performance, risk factors, and consistency over time. Since these funds invest across large-cap, mid-cap, and small-cap stocks, they provide both growth opportunities and diversification.
In this educational analysis, we have evaluated 15-year rolling return data to determine which Flexi Cap funds have delivered consistent returns while managing risk effectively.
⚠ Disclaimer: This analysis is for educational purposes only and should not be considered financial advice. Mutual fund investments are subject to market risks, and past performance is not a guarantee of future returns. Always consult a certified financial advisor before making investment decisions.
? Why Use 15-Year Rolling Data?
For investors with a 15+ year investment horizon, analyzing 15-year rolling returns provides a better long-term perspective than shorter rolling periods like 5 or 10 years.
? Key Reasons for Using 15-Year Rolling Returns:
✔ Captures Full Market Cycles – Covers both bull and bear phases, reducing bias from temporary fluctuations.
✔ Better Stability & Less Volatility – Provides a more accurate picture of long-term fund behavior.
✔ Reflects the Power of Compounding – Helps in assessing sustained wealth creation potential.
✔ Minimizes Short-Term Market Noise – Avoids misleading conclusions from short-term performance spikes or crashes.
? Selection Criteria for the Best Flexi Cap Funds
To evaluate the best funds, we focused on key risk and return metrics:
- 15-Year Returns (%) – How much return the fund has generated over a long period.
- Drawdown (%) – The maximum decline from a peak to a trough, measuring risk and volatility.
- Median Return (%) – Shows consistent performance across different market conditions.
- Minimum Return (%) – The lowest return during any 15-year period, helping us measure downside risk.
- Return Distribution:
- More than 12% Returns (%) – Shows how often the fund delivered strong returns.
- 8-12% Returns (%) – Indicates moderately good periods.
- 0-8% Returns (%) – Reflects underperformance.
- Risk-Adjusted Score – A custom metric to compare return per unit of risk (drawdown).
A higher score means a fund is generating better returns relative to its risk.
? Top 5 Flexi Cap Funds (Based on 15-Year Rolling Data)
(This ranking is for educational purposes and does not constitute financial advice.)
Rank
Fund Name
15Y Returns (%)
Drawdown (%)
Risk-Adjusted Score
% of Time Returns >12%
1
UTI Flexi Cap Fund - Gr
13.30%
-45.20%
29.42
97.87%
2
Franklin India Flexi Cap Fund - Gr
14.82%
-50.58%
29.30
97.20%
3
DSP Flexi Cap Fund - Reg. Plan - Gr
13.49%
-46.12%
29.25
90.93%
4
HDFC Flexi Cap Fund - Gr
14.95%
-53.35%
28.02
100.00%
5
Bandhan Flexi Cap Fund - Reg. Gr
14.02%
-54.35%
25.79
99.87%
? Why These Funds Were Selected? (For Learning Purposes)
Each of these funds has demonstrated strong performance in different aspects. Here’s a deeper look at why they were ranked in this order:
✅ 1. UTI Flexi Cap Fund – Best Overall (Balanced Risk & Return)
✔ Highest Risk-Adjusted Score (29.42) – Meaning it provides the best return per unit of risk.
✔ Lowest Drawdown (-45.20%) – Lower risk compared to most funds in the category.
✔ 97.87% of the time, returns were above 12% – Very stable performance over 15 years.? Conclusion: If you want a balance between high returns and low risk, this fund has shown consistent performance with controlled volatility.
✅ 2. Franklin India Flexi Cap Fund – Strongest Consistency
✔ Second-best Risk-Adjusted Score (29.30) – Close to UTI Flexi Cap in risk-adjusted performance.
✔ Higher 15Y Returns (14.82%) than UTI Flexi Cap.
✔ 97.20% of the time, returns were above 12% – Strong historical consistency.? Conclusion: Suitable for investors looking for stable returns with moderate risk levels.
✅ 3. DSP Flexi Cap Fund – Strong Risk Management
✔ Risk-Adjusted Score (29.25) – Comparable to the top two funds.
✔ Lowest Minimum Return (11.22%) – Indicates that worst-case scenarios have been less severe.
✔ More than 12% returns in 90.93% of cases.? Conclusion: A good choice for those who prioritize capital protection during downturns.
✅ 4. HDFC Flexi Cap Fund – Highest Long-Term Returns
✔ Best 15Y Return (14.95%) among all funds.
✔ 100% of rolling periods had returns above 12%!
✔ Higher drawdown (-53.35%) – Indicates more volatility but higher returns.? Conclusion: Best for aggressive long-term investors who can handle some short-term fluctuations.
✅ 5. Bandhan Flexi Cap Fund – High Returns but Higher Risk
✔ 15Y Return (14.02%) is strong.
✔ 99.87% of the time returns were above 12%.
✔ Slightly higher drawdown (-54.35%), making it riskier than other funds in the top 5.? Conclusion: Suitable for experienced investors who are comfortable with volatility.
? Important Disclaimer (Read Before Making Any Decisions!)
? This analysis is for educational purposes only and is NOT investment advice.
- Mutual fund investments are subject to market risks, and past performance is not a guarantee of future results.
- These rankings are based on historical data, which may not predict future market behaviour.
- Always consult with a certified financial advisor before making any investment decisions.
? Final Thoughts: Which Fund Might Suit You?
? Best for Stability & Low Risk: UTI Flexi Cap Fund
? Best for Highest Long-Term Growth: HDFC Flexi Cap Fund
? Best for Balanced Risk & Return: Franklin India Flexi Cap Fund
? Best for Risk-Conscious Investors: DSP Flexi Cap FundDate Source:
https://www.njwealth.in/mfcalculator?rpt=rolling
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