5-Star Rated Flexi Cap Fund: SIP of ₹10,000 exceeds ₹10 lakh in 5 years

PGIM India Flexi Cap Fund – Direct Plan

Nifty 500 TRI serves as the benchmark index for PGIM India Flexi Cap Fund which was introduced on March 4, 2015. Value Research has given a 5-star rating to the fund. AUM of the fund was 4241.13 crore as on June 30, 2022, and as on July 29, 2022, its NAV was 27.45. Since its inception, PGIM India Flexi Cap Fund Direct-Growth has delivered an average annualized return of 14.60 per cent and 1-year returns of 0.15 per cent. If monthly SIP 10,000 had been placed three years ago, it would have increased by approx. 5.22 lakh now due to the fund’s previous return of 26.65 per cent in the last three years. The fund has given a previous return of 15.76% in the last five years, which means that a SIP 10,000 installed five years ago would have grown to approx. 10.07 lakhs at this time.

Similarly, the fund has achieved a return of 14.47 per cent in the last seven years, and if the SIP 10,000 was made then, it would currently cost approx. 16.30 lakhs. The top 5 holdings of the fund are Reliance Industries Limited, HDFC Bank Limited, ICICI Bank Limited, Infosys Limited and Axis Bank Limited. The fund’s asset allocation is divided into financial, capital goods, technology, automobile and energy sectors. , The fund has an expense ratio of 0.44 per cent and charges an exit load of 0.5 per cent for units redeemed within 90 days of allotment. The fund invests 95% of its assets in domestic equities, of which 46.07% are large-cap companies, 10.32% are mid-cap companies, and 13.21% are small-cap companies.

Parag Parikh Flexi Cap Fund – Direct Plan

The fund was introduced on May 28, 2013, and uses Nifty 500 TRI as its benchmark index. As on 30 June 2022, Parag Parikh Flexi Cap Fund Direct-Growth has Assets Under Management (AUM) 22,324 crores, and the fund has a 5-star rating from Value Research. The fund’s NAV as on 29 July 2022 is 49.98. Since its inception, Parag Parikh Flexi Cap Fund Direct-Growth has earned an average return of 19.17 per cent per annum and 3.16 per cent over the previous year.

The fund has given a past return of 25.185 during the last three years, which translates to SIP approximately in 10,000 5.10 lakhs. One Monthly SIP 10,000 which was started five years ago, would have now been changed to approx. 10.04 lakh thanks to the fund’s 18.20 per cent return over the last five years. The fund has given a return of 16.46 per cent in the last seven years, indicating that the monthly interest SIP 10,000 made seven years ago would have grown to approx. Now 16.66 lakhs.

The fund has an expense ratio of 0.79% lower than other funds in the same category and the fund has a sharper ratio of 1.03 compared to the category average’s 0.46, resulting in better risk-adjusted returns by the fund in the category. The fund’s asset allocation is diversified across financial, services, technology, consumer staples, automobile sectors and the fund’s top 5 holdings are in ITC Ltd., Bajaj Holdings & Investments Ltd., Housing Development Finance Corporation. Ltd., Alphabet Inc. Class A, Microsoft Corporation (US). The fund invests 70.85% of its assets in domestic equities, of which 57.52% are large-cap companies, 2.75% are mid-cap companies, and 9.71% are small-cap companies. The fund’s total stock holding is 93.51 per cent, which includes foreign equity holding of 22.66 per cent.

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