14% CAGR in 3 Years: Can This New Flexi Cap Fund Challenge Established Players?
This relatively new flexi cap fund has delivered a 14% CAGR over the past three years. Here's how it compares with established industry players and what investors should know.
Flexi cap funds are equity mutual funds that offer fund managers the flexibility to invest across large-cap, mid-cap, and small-cap stocks without any restriction. This flexibility allows them to adapt portfolios to changing market conditions, valuations, and emerging investment opportunities. By combining the relative stability of large-cap companies with the growth potential of mid and small-cap stocks, flexi cap funds seek to generate optimal returns across market cycles.
However, their performance can vary significantly depending on the fund manager's investment strategy, stock selection, and allocation across market-cap segments. Today, we are looking at one of the relatively new funds in the category, WhiteOak Capital Flexi Cap Fund, that has come into limelight due to its noteworthy risk-adjusted returns. It has stood strong beside its more established peers such as Parag Parikh Flexi Cap Fund and HDFC Flexi Cap Fund.
Fund Overview Launched in August 2022, WhiteOak Capital Flexi Cap Fund aims to construct an active portfolio comprising companies across major industries, economic sectors, and market caps, that offer an acceptable risk-reward balance. Despite being among the younger funds in the category, fund has registered strong returns since its inception, outpacing many of its peers. WhiteOak Capital Flexi Cap Fund - Snapshot Inception Date02-Aug-22SI Return (CAGR)15.13%Corpus (bn)Rs 93Min.
Lumpsum / SIPRs 500 / Rs 500Expense Ratio (Dir/Reg)0.83% / 2.06%Exit Load0% Source: ACE MF Investment Strategy WhiteOak Capital Flexi Cap Fund follows a bottom-up approach to stock selection with a focus on creating a diversified portfolio with no sector and style bias. It holds a large portfolio of over 150 stocks to avoid concentrated bets, reduce portfolio volatility, and mitigate market risk. Unlike its some of its popular peers, the fund avoids heavily tilting its portfolio towards large caps, and maintains a substantial exposure across market caps depending on available opportunities.
The fund is of the view that small and mid-cap companies offer better availability of under-researched, high-quality businesses at attractive valuations. It prefers an agile portfolio strategy, often churning a portion of its portfolio to improve the alpha potential. Historical Returns Since its inception about fours ago, WhiteOak Capital Flexi Cap Fund has consistently delivered robust growth compared to the benchmark and many of its peers.
In the last one year, WhiteOak Capital Flexi Cap Fund limited the downside risk better than the benchmark and the category average. Over the longer 3-year period too the fund generated a lead of 2-4% over the benchmark and the category average. The fund benefitted from the significant rally seen in the mid and small cap space as the fund invests around 25-40% of its assets in smaller companies. WhiteOak Capital Flexi Cap Fund - Historical Performance 1 Yr (%)3 Yr (%)Std DevSharpeSortinoWOC Flexi Cap Fund-3.1613.9513.840.180.33Category Average-4.4511.7714.430.130.25NIFTY 500 - TRI-8.0310.0613.840.100.18 Source: ACE MF Risk Profile WhiteOak Capital Flexi Cap Fund has displayed reasonable volatility when compared to the benchmark and the category average.
In addition, it has generated superior risk-adjusted returns, as denoted by its Sharpe and Sortino ratios. With this the fund has rewarded investors optimally for the level of risk it took. 7% CAGR in 5 Years Portfolio WhiteOak Capital Flexi Cap Fund holds a large portfolio of over 150 stocks spread across market caps and sectors. As of September 2026, the fund held 155 stocks with top holdings in ICICI Bank (8.5%), Bharti Airtel (4.6%), HDFC Bank (3.8%), Nestle India (3.7%), and SBI (2.6%).
Barring the top couple of holdings, the fund usually restricts allocation in each stock to under 5%. Sector wise, the portfolio is dominated by banking & finance stocks, forming about 29% of its assets. Pharma, auto & ancillaries, engineering, IT, and FMCG are among the other core sectors in its portfolio. The fund usually invests 50-54% of its assets in large caps, along with 6-9% in mid caps, and 22-29% in small caps.
As of September 2026, the fund has an allocation of 52.1% in large caps, 8.1% in mid caps, and 27.7% in small caps. It also allocated 3.4% each in debt instruments and REITs & InvITs and the balance in cash. Conclusion WhiteOak Capital Flexi Cap Fund has registered an encouraging track record so far and rewarded investors with reasonable risk-adjusted returns. The fund's focus on identifying opportunities across market caps and sectors, avoiding concentrated bets, and an active strategy has helped it evolve meaningfully over the years.
However, its substantial exposure to mid and small-cap stocks can contribute to higher volatility, especially if the segment comes under pressure. Further, due to the fund having a relatively short track record, one needs to be cautious about its potential for consistent growth over various market phases going ahead. #Table Note: Data as of October 27, 2026The securities quoted are for illustration only and are not recommendatoryPast performance is not an indicator for future returns.Returns are on a point-to-point basis and in %.
Direct Plan-Growth option.Those depicted over 1-Yr are compounded annualised.Risk ratios are calculated over a 3-year period assuming a risk-free rate of 6% p.a. Happy investing. Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such. Learn more about our recommendation services here. The website managers, its employee(s), and contributors/writers/authors of articles have or may have an outstanding buy or sell position or holding in the securities, options on securities or other related investments of issuers and/or companies discussed therein.
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