Flexi-cap funds with highest and lowest large-cap stock allocation: What the data shows
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- Parag Parikh Flexi Cap Fund allocated 91.14% to large-cap stocks — the highest among the top 10 flexi-cap funds by AUM and well above the category average of 58.41%, per Value Research data as of 31 July 2026.
- Franklin India Flexi Cap Fund and HDFC Flexi Cap Fund followed with large-cap allocations of 76.87% and 75.69% respectively, indicating a pronounced tilt toward established large companies within the category.
- Motilal Oswal Flexi Cap Fund sat at the opposite end with the lowest large-cap allocation among the top 10 funds — roughly 20.6 percentage points below the 58.41% category average.
- ABSL Flexi Cap Fund also fell below the category average, while UTI and SBI flexi-cap offerings landed only slightly above it.
- ICICI Prudential Flexicap Fund held 65.23% in large-cap stocks, placing it closest to the middle of the group yet still above the category average.
- SEBI rules require flexi-cap funds to invest at least 65% of assets in equity and equity-related instruments, but impose no mandate on market-cap distribution, leaving fund managers wide latitude to tilt portfolios.
Why it matters: Investors who already own dedicated large-cap funds may be doubling up without realizing it: a flexi-cap fund sitting at 91% large-caps like Parag Parikh behaves far more like a large-cap fund than a diversified flexi-cap product, while a Motilal Oswal-style fund carries meaningfully more mid- and small-cap risk than its category label suggests.
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