Archive · 3 Aug 2026
Flexi-Cap Funds Stay 61% Large-Cap, Multi-Cap More Balanced
Axis Mutual Fund released a report that looks at two types of Indian mutual funds: flexi-cap and multi-cap.
Flexi-cap funds mostly invest in big companies, about 61% of their money, while multi-cap funds spread their money more evenly among big, medium, and small companies.
Over the last five years, the multi-cap funds have earned more money than the flexi-cap funds.
Even though multi-cap funds perform better, more people still put their money into flexi-cap funds because they are familiar with them.
The report says that in the future, more investors might choose multi-cap funds if they want steady exposure to all kinds of companies.
Flexi-cap funds hold about 61% of assets in large-cap stocks as of March 2026.
Multi-cap funds maintain a 50:25:25 allocation across large, mid, and small caps, with large-cap exposure falling to 40% by March 2026.
Over the past five years, multi-cap funds have outperformed flexi-cap benchmarks, delivering 15.3% vs 12.9% annualised returns over three years.
Investor inflows still favor flexi-cap funds due to familiarity, despite multi-cap funds’ broader market participation.
The report suggests a gradual shift toward multi-cap funds for long-term investors seeking consistent exposure across all market caps.
- Who
- Axis Mutual Fund
- What
- Analysis of flexi-cap and multi-cap fund allocations and performance
- When
- Data up to March 2026; report published 2026
- Where
- India, benchmarked against Nifty 500 indices
- Why
- To highlight large-cap bias in flexi-cap funds and the broader market participation of multi-cap funds
- Flexi-cap large-cap allocation (Mar-26)
- 61%
- Multi-cap large-cap allocation (Mar-26)
- 40%
- Multi-cap benchmark 3-year return
- 15.3%
- Flexi-cap benchmark 3-year return
- 12.9%
- Investor inflow preference
- Flexi-cap > Multi-cap