When you’re planning to invest in mutual funds, one of the first things experts tell you is to compare past performance. While past returns don’t guarantee future gains, they do give you a good sense of how well a fund has been managed and help build confidence in your investment decision.
Today, we’re looking at flexi-cap mutual fundsโa popular category among investorsโand specifically those that have delivered impressive returns of over 20% annually in the past five years.
To put this in perspective, if you had invested โน1 lakh in one of these high-performing funds five years ago, it would have grown to approximately โน2.48 lakh today. That’s the power of consistent, strong returns over time.
What Are Flexi-Cap Funds?
Before we dive into the top performers, let’s understand what flexi-cap funds actually are.
Flexi-cap funds are mutual funds that invest at least 65% of their money in equity and equity-related instruments. What makes them unique is the freedom they give to fund managers. These managers can freely decide how much to invest across different company sizesโlarge-cap companies (big, established firms), mid-cap companies (medium-sized growing firms), and small-cap companies (smaller firms with high growth potential).
This flexibility allows fund managers to shift investments based on market conditions and opportunities, which can help maximize returns while managing risk.
9 Flexi-Cap Funds That Delivered Over 20% Returns
According to data from the Association of Mutual Funds in India (AMFI) as of 30 October 2025, nine flexi-cap mutual funds have delivered annualized returns exceeding 20% over the past five years.
Here’s the complete list:
| Flexi-Cap Fund | 5-Year Return (%) |
|---|---|
| HDFC Flexi Cap Fund | 29.52 |
| Quant Flexi Cap Fund | 26.78 |
| JM Flexi Cap Fund | 26.25 |
| Bank of India Flexi Cap Fund | 25.56 |
| Franklin India Flexi Cap Fund | 24.45 |
| Parag Parikh Flexi Cap Fund | 22.74 |
| Edelweiss Flexi Cap Fund | 22.08 |
| HSBC Flexi Cap Fund | 21.56 |
| Aditya Birla Sun Life Flexi Cap Fund | 20.60 |
(Source: AMFI; regular plan returns as on 30 October 2025)
Let’s take a closer look at some of these top performers.
Top Performing Flexi-Cap Funds in Detail
1. HDFC Flexi Cap Fund โ 29.52% Returns
The HDFC Flexi Cap Fund leads the pack with an impressive 29.52% annualized return over five years. This fund has been a consistent performer and is managed by one of India’s most trusted asset management companies. The fund manager’s ability to shift investments across market caps based on opportunities has been a key strength.
2. Quant Flexi Cap Fund โ 26.78% Returns
Quant Flexi Cap Fund comes in second with 26.78% annualized returns. Known for its aggressive investment style and concentrated portfolio, this fund has delivered strong returns by taking calculated risks in high-conviction stocks.
3. JM Flexi Cap Fund โ 26.25% Returns
With 26.25% returns, JM Flexi Cap Fund has shown excellent portfolio management. The fund focuses on identifying quality companies across different market segments and has maintained consistency in performance.
4. Bank of India Flexi Cap Fund โ 25.56% Returns
Bank of India’s flexi-cap offering has delivered 25.56% returns, proving that public sector AMCs can compete with private players. The fund has benefited from smart sector allocation and stock selection.
5. Franklin India Flexi Cap Fund โ 24.45% Returns
Franklin India Flexi Cap Fund, with 24.45% returns, brings decades of investment expertise. The fund follows a value-oriented investment approach and has rewarded patient investors with solid long-term gains.
Other Notable Performers
- Parag Parikh Flexi Cap Fund (22.74%): This fund is particularly popular among retail investors for its global diversification approach, investing in both Indian and international stocks.
- Edelweiss Flexi Cap Fund (22.08%): Known for its research-driven investment process, this fund has delivered consistent above-average returns.
- HSBC Flexi Cap Fund (21.56%): Managed by a global investment house, this fund brings international investment expertise to Indian markets.
- Aditya Birla Sun Life Flexi Cap Fund (20.60%): Part of one of India’s largest AMCs, this fund offers stability and consistent performance.
What These Returns Mean for Your Investment
Let’s understand the real impact of these returns with a simple example:
If you had invested โน1,00,000 in the HDFC Flexi Cap Fund five years ago (which gave 29.52% returns), your investment would have grown to approximately โน3,66,000 today. That’s more than 3.5 times your original investment in just five years!
Similarly, even the fund with the “lowest” return on this listโAditya Birla Sun Life Flexi Cap Fund at 20.60%โwould have turned your โน1 lakh into around โน2.48 lakh.
Why Consider Flexi-Cap Funds?
Flexi-cap funds offer several advantages for investors:
- Flexibility: Fund managers can move money between large, mid, and small-cap stocks based on market conditions.
- Diversification: Your investment is spread across companies of different sizes and sectors.
- Professional management: Expert fund managers handle all investment decisions.
- All-weather performance: These funds can adapt to different market cycles by adjusting their portfolio mix.
- Single-fund solution: You don’t need to invest separately in large-cap, mid-cap, and small-cap funds.
Important Points to Remember
While these impressive returns might tempt you to invest immediately, here are some crucial things to keep in mind:
Past Performance Doesn’t Guarantee Future Returns
Just because a fund delivered 20%+ returns in the past five years doesn’t mean it will continue doing so. Market conditions change, fund managers may change, and economic cycles vary. Always invest with realistic expectations.
Check Other Factors Too
Don’t just look at returns. Also consider:
- Expense ratio (lower is better)
- Fund manager’s track record
- Portfolio composition
- Risk-adjusted returns
- Consistency of performance across different time periods
Invest Based on Your Goals
Choose funds that match your investment goals, risk tolerance, and time horizon. Higher returns often come with higher volatility and risk.
Stay Invested for the Long Term
Flexi-cap funds work best when you stay invested for at least 5-7 years or longer. Short-term market ups and downs shouldn’t make you panic and exit.
How to Start Investing
If you’re interested in investing in these flexi-cap funds, here’s what you can do:
- Complete your KYC: Make sure your KYC (Know Your Customer) is done with any mutual fund platform.
- Choose your platform: You can invest through online platforms like Groww, Zerodha Coin, Paytm Money, or directly through the AMC’s website.
- Start with SIP: If you’re new to investing, start with a Systematic Investment Plan (SIP) rather than investing a lump sum. This helps you average out costs and reduces timing risk.
- Review regularly: Check your investments every 6-12 months, but avoid making frequent changes based on short-term performance.
Final Thoughts
These nine flexi-cap funds have proven their ability to deliver strong returns over the past five years. They represent some of the best-managed schemes in the flexi-cap category and could be worth considering for your investment portfolio.
However, remember that mutual fund investments are subject to market risks. Always do your own research, consult with a certified financial advisor if needed, and invest only after understanding your risk capacity and financial goals.
The key to successful investing isn’t just picking the highest-returning fundโit’s choosing the right fund for your needs and staying invested patiently through market cycles.
Learn More:
- How to Start Investing in Mutual Funds in India โ Step-by-Step Process for Beginners
- Difference Between Mutual Funds and Stocks โ Which is Better for Beginners?
- Understanding NAV (Net Asset Value) in Mutual Funds โ What It Means and Why It Matters
- Risks Involved in Mutual Fund Investments โ Common Risks and How to Manage Them
Disclaimer: The information provided in this article is for educational purposes only and should not be considered as investment advice. Past performance does not guarantee future returns. Please consult with a certified financial advisor before making any investment decisions.
