Canara Robeco Flexi Cap Fund: A suitable diversified fund with strong wealth creation track record for current market conditions

How is a Flexi Cap strategy important in a diversified portfolio?

• Winners rotate across market cap segments: The chart below shows the calendar year returns of different market cap segments over the last 12 years. You can see that different market cap segments outperform in different market phases across investment cycles. Diversifying across market cap segments can help to balance risks and returns.
  
  

  

  Source: Advisorkhoj Research, NSE as on 31^st December 2025



• Winners rotate across industry sectors: The table below shows ranking of different sectors based on calendar year returns. Diversifying across sectors can help reduce risk and improve potential returns.
  
  

  

  Source: Advisorkhoj Research, NSE as on 15^th May 2026. Different sectors are represented by respective Nifty Indices.



• No market cap bias is the best strategy to build long term wealth: Diversification captures opportunities across market capitalisation. The chart below shows the median and minimum rolling returns of a broad market index diversified across market caps e.g. Nifty 500 TRI versus large cap, mid cap and small cap indices for different investment tenures over the last 20 years. You can see median returns of Nifty 500 TRI was higher than the large cap index across different investment tenures, while the minimum returns were higher than midcaps and small caps across most tenures.
  
  

  

  Source: Advisorkhoj Research, NSE as on 15^th May 2026. Large cap is represented by Nifty 100 TRI, midcaps by Nifty Midcap 150 TRI and small caps by Nifty Small Cap 250 TRI

  
  

  In this article, we will review Canara Robeco Flexi Cap Fund, which has almost 23 years track record of wealth creation.

Why invest in Flexi Cap now?

• The sharp correction in the market has brought valuations to reasonable levels across all market cap segments (see the graphic below).
  
  

  

  Source: NSE, Advisorkhoj Research, as on 30^th April 2026



• Ideal for retail investors: Diversification across different market cap segments can reduce unsystematic risks and generate more consistent returns. Flexi Cap Funds are ideal for investors who are not able to decide how much allocations they should have towards each market cap segments and want the fund managers to decide on market cap allocation.


• Tax efficiency: Flexi Cap funds are also tax efficient. If an individual investor rebalanced between different investments (large, mid or small cap) then such rebalancing would attract tax liabilities for the investor. Flexi Cap funds are tax efficient in the sense that any rebalancing or change in market cap allocations of the fund does not attract any tax liabilities in the hands of the investor.

Wealth creation with Canara Robeco Flexi Cap Fund

Canara Robeco Flexi Cap Fund was launched in September 2003 and since then, the fund has aimed to provide an investment opportunity in the Indian companies with sustainable business models to gain from the Indian Growth Story. These companies are selected based on "Top Down" as well as "Bottom Up" research-based approach. If you had invested Rs 1 lakh in the Canara Robeco Flexi Cap fund as a lumpsum at its inception, it would have grown to a corpus of Rs 32.8 lakhs giving a CAGR of 16.64% (see the chart below).

Source: Advisorkhoj Research as on 31^st May 2025

Rolling Returns Distribution - Superior risk / return trade - off

The table below shows the rolling returns distribution of Canara Robeco Flexi Cap Fund versus the category average for different investment tenures since the inception of the scheme. You can see that the Canara Robeco Flexi Cap Fund had lesser instances of negative returns compared to the category average over 3 year investment tenure. At the same time, the fund has significantly higher percentage instances of 12%+ CAGR returns over different investment tenures compared to the category average across market conditions.

Source: Advisorkhoj Research as on 15^th May 2026

Rolling Returns Distribution - Superior performance consistency

The graphic below shows the median and minimum rolling returns of Canara Robeco Flexi Cap Fund for different investment tenures since the inception of the scheme. You can see median returns of Canara Robeco Flexi Cap Fund was higher than the category average across different investment tenures, while the minimum returns were also higher than the category average across most tenures.

Source: Advisorkhoj Research as on 15^th May 2026

Wealth creation through SIP

The chart below shows the growth of Rs 10,000 monthly SIP in Canara Robeco Flexi Cap Fund since the inception of the scheme. With a cumulative investment of Rs 27.2 lakhs, you could have accumulated a corpus of Rs 1.74 crores.

Source: Advisorkhoj Research as on 15^th May 2026

SIP Rolling Returns

The chart below shows 10-year rolling SIP XIRR of Canara Robeco Flexi Cap Fund since the inception of the scheme. You can see that the fund had delivered double digit SIP XIRR most of the time (more than 90% of the instances).

Source: Advisorkhoj Research as on 15^th May 2026

The table below shows the rolling SIP XIRR distribution of Canara Robeco Flexi Cap Fund for different investment tenures since the inception of the scheme. You can see that fund delivered 12%+ SIP XIRR in more than 85% of the instances over 10 years plus SIP investment tenures.

Source: Advisorkhoj Research as on 15^th May 2026

Cash-flows and capital appreciation through SWP

The chart below shows the result of Rs 30,000 monthly SWP from an Rs 50 lakh investment in Canara Robeco Flexi Cap Fund over the last 20 years. You can see that despite withdrawing Rs 72 lakhs (more than what you invested) on cumulative basis through SWP over the last 20 years, the value of your balance units will be Rs 1.91 crores. This shows that for moderate withdrawal rate, SWP can generate cash-flows as well as capital appreciation over long investment tenures.

Source: Advisorkhoj Research as on 15^th May 2026

Investment Process

Canara Robeco Flexi Cap Fund follows a predominantly bottom-up investment approach with a focus on fundamentally sound companies which aim to deliver capital appreciation over the long-term. The fund also takes Top-down approach to identify sectoral themes based on the available opportunities. The fund is a market agnostic fund and takes exposure across large, mid and small cap companies having high conviction ideas. The fund provides a blend of 'Growth' and 'Value' style of investing. The fund follows GARP (Growth at Reasonable Price) style of investing.

A three-pronged process of ideation, screening and ultimately designing the final portfolio is followed to identify and invest in quality stocks. (See graphic below)

Current portfolio positioning

Source: Canara Robeco MF, as on 30^th April 2026. *Others include debt, cash equivalents etc

Overweight / underweight stocks and sectors versus benchmark index

Source: BSE Indices, Advisorkhoj Research, as on 30^th April 2026

Why Canara Robeco Flexi Cap Fund?

• The fund aims to provide an investment opportunity in the "best in class" Indian companies with sustainable business models to gain from the India Growth Story. These companies are selected based on "Top-Down" as well as "Bottom-Up" research-based approach.


• Focused on large caps with few high conviction mid-cap and small cap ideas - Large-cap companies aim to render stability and liquidity to the portfolio and select mid and small cap companies yield higher returns in the long term as the companies grow in size and in market capitalization.


• Investment Style - Fund follows GARP (Growth at Reasonable Price) style of investing.

Who should invest in the Canara Robeco Flexi Cap fund?

• The fund can form the 'CORE' part of an investor's equity portfolio.


• Investors with long term investment horizon i.e., 5 years or more.


• Investors with very high-risk appetite who can tolerate the short-term volatility associated with equity investments.


• The fund is suitable for investors who want to invest from their monthly savings through SIP for their long-term financial goals like children's higher education, marriage, retirement planning, wealth creation, etc.


• Investors who wish to avoid the complexities of determining allocation among large, mid, and small-cap stocks independently.

Consult a mutual fund distributor or your financial advisor to understand if the Canara Robeco Flexi Cap Fund is suited to your investor profile.