I already have SIP investments on Parag parikh flexi caps and Axis ELSS (kinda flexi cap). Now i am planning to add another Flexi cap fund.
Is UTI Flexi cap good one to choose? or will go with Kotak large & mid cap fund? (Mirae emerging bluechip does not allow SIP more than 2k so i am discarding it)
If you are satisfied with your existing flexicap fund performance, I would suggest to continue with it. No point holding multiple funds in same category.
Was just about to mention what @Akash_Shah said. Adding too many funds doesn’t mean higher returns. After a point, you’ll just end up replicating something like Nifty 100 or 500 and end up paying higher costs. Personally, all things considered, I think the lesser the number of funds in a portfolio the better it is.
Judging by your previous responses you seem to have a fair number of funds. It’s tempting, at least I know I am😅 but that would the wrong thing to do.
Why do you want to add more funds of the same category ?
this is overdiversification (just my opinion)
Flexi cap funds are a new category of funds, which invests a minimum of 65% of its fund’s corpus in equity. This means fund managers have complete control to limit or maximize exposure to a particular market cap segment without any restrictions. In this fund category, the fund manager has the flexibility to take exposure to Large cap, Mid Cap, and Small Cap segments without any restrictions. UTI Flexi Cap Fund is a good choice of investment if you are looking for long-term as it is one of the top-ranked funds. It is definitely a good choice within diversified mutual funds. This is because diversified funds provide inflation-beating growth over the long term and are suitable for investment objectives with a duration of 10-15 years or longer.
Parag Parikh Flexi Cap Mutual Fund and Axis ELSS are already great choices for SIP investors. Since large or mid-cap funds are actively managed by they are more volatile but possess the potential to provide higher returns in a bull market. If your incremental investments would not relegate it to a very small and insignificant holding in your portfolio, which I presume might not be the case, then I suggest you continue to invest in the large and mid-cap funds rather than investing in UTI Flexi Cap Fund as they have recently restricted fresh investments to only SIP investments to only SIP investments of up to Rs 2,500 per month.