If you are confused, let us make it easier for you. These days you may hear about investing big money. As the market continues to rise, you may hear some analysts recommending mid or small caps. Some may suggest certain areas or aspects. An average investor finds it extremely beneficial to track market trends, recommendations and make investments at the right time. Flexi cap funds can provide some help here. The fund manager takes the calls and invests.
As mentioned earlier, these schemes have the freedom to invest anywhere depending on the fund manager’s vision. Investors should be very careful about this. Investors should ensure that they are choosing a plan that is compatible with their risk tolerance. For example, some flexible cap plans may be more conservative than others. It’s up to you to figure out what suits your personality.
If you are considering investing in flexi cap funds, here are our recommendations. Please stay tuned for monthly updates. We will closely monitor the performance of these schemes and inform you about it on a monthly basis.
Best Flexi cap plans to invest in 2023
- Parag Parikh Flexi Cap Fund
- UTI Flexi Cap Fund
- PGIM India Flexi Cap Fund
- Aditya Birla Sun Life Flexi Cap Fund
- SBI Flexi Cap Fund
- Canara Robeco Flexi Cap Fund
Here’s our method:
ETMutualFunds.com has used the following parameters to list equity mutual fund schemes.
Average returnsHe had rolled every day for the past three years.
Consistency Over the past three years: Hurst Exponent, H is used to calculate the consistency of a fund. The H exponent is a measure of the randomness of the fund’s NAV series. Funds with high H show lower volatility compared to funds. The H exponent is a measure of the randomness of the fund’s NAV series. Funds with high H show lower volatility compared to funds with low H.
i) H = 0.5, the return series is said to be a geometric Brownian time series. This type of time series is difficult to predict.
ii) When H is less than 0.5, the series is called regression.
iii) When H is greater than 0.5, it is called serial persistence. The larger the value of H, the stronger the trend of the series.
Low riskFor this measure, we have considered only negative responses to mutual fund schemes.
X = returns below zero
Y = sum of all squares of X
It is taken to calculate the ratio Z = Y/number of days
Low risk = square root of Z
ExcellenceIt is measured by Jensen’s Alpha for the last three years. Jensen’s alpha represents the risk-adjusted return generated by a mutual fund scheme relative to the expected market return predicted by the capital asset pricing model (CAPM). A high alpha indicates that the portfolio’s performance exceeds the market’s expected return.
Average returns under MF Scheme =
Asset size: For equity funds, the initial asset size is Rs.50
(Disclaimer: Past performance is no guarantee of future performance.)