A look at the top-performing flexi cap funds over the past five years, their annualised returns and what investors should know before comparing performance.
Flexi cap funds give fund managers the freedom to invest across large cap, mid cap and small cap stocks, rather than following a fixed market-cap allocation. Under SEBI’s framework, a flexi cap fund must invest at least 65 per cent of its total assets in equity and equity-related instruments and can move across market-cap segments.
Looking at the latest available five-year performance data, Bank of India Flexi Cap Fund, HDFC Flexi Cap Fund and JM Flexicap Fund are the top three based on annualised returns. The figures below are for the direct plan, growth option, with data as of October 5, 2026.
Bank of India Flexi Cap Fund Leads The List
Bank of India Flexi Cap Fund ranks first with a 15.98 per cent five-year annualised return as of October 5, 2026. This means that an investment of Rs 1 lakh five years ago, if compounded at this rate, would have grown to approximately Rs 2.10 lakh, before considering Taxes and other investor-specific costs.
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The fund has also maintained a relatively diversified portfolio across different parts of the market. Its latest available NAV was Rs 41.70 as of October 1, 2026, according to Value Research. Its five-year annualised return on that date was reported at 16.41 per cent, illustrating why return figures can vary slightly depending on the exact date used for calculation. For this comparison, the October 5 data point has been used consistently across all three funds.
HDFC Flexi Cap Fund Ranks Second
HDFC Flexi Cap Fund occupies the second position with a 15.15 per cent five-year annualised return. At this rate, Rs 1 lakh invested five years ago would have grown to approximately Rs 2.02 lakh, assuming the reported CAGR was sustained over the entire period.
HDFC Flexi Cap is also one of the largest schemes in the category. Its assets under management were around Rs 1 lakh crore in recent data, giving it a considerably larger asset base than many other flexi cap funds.
The fund’s long-term performance has also been relatively consistent. A separate five-year consistency assesSMEnt published in September 2026 gave HDFC Flexi Cap a 91 per cent performance consistency score.
JM Flexicap Fund Takes Third Position
JM Flexicap Fund ranks third with a 14.19 per cent five-year annualised return as of October 5, 2026.
At this CAGR, Rs 1 lakh invested five years earlier would have grown to approximately Rs 1.94 lakh, assuming the return compounded at the stated rate. The fund has exposure across large, mid and small companies. Value Research data also shows holdings such as ICICI Bank, HDFC Bank and Larsen & Toubro among its portfolio companies.
Why Flexi Cap Funds Can Move Across Market Caps
The key difference between flexi cap funds and categories such as large cap or mid cap funds is the freedom given to the fund manager.
A flexi cap fund can increase its exposure to large companies when the fund manager sees greater opportunities there and can move towards mid or small companies when the portfolio strategy warrants it. The category therefore does not require a fixed allocation between these market-cap segments.
However, this flexibility also means that two flexi cap funds can have very different portfolios and investment approaches. Their returns can therefore vary significantly even though they belong to the same category.
Flexi Cap Category Has Grown Significantly
Flexi cap funds have become a sizeable part of India’s equity Mutual Fund industry. SEBI’s March 2026 data showed 45 flexi cap schemes with assets of around Rs 5.05 lakh crore at the end of FY26.
By July 2026, the category had 45 schemes and assets of approximately Rs 6.00 lakh crore, according to SEBI data. The category’s growth reflects continued investor interest in funds where managers have the flexibility to allocate across market-cap segments
Disclaimer: The article is for informational purposes only and not investment advice.