Canara Robeco Flexi Cap Fund

Diversified

Equity

India Super Value

Others

Aggressive growth Investor Profile

Investor Profile

1–7 yearsInvestment Horizon

HNI, UHNI, Retail Investor, Mass AffluentTarget Segments

SEBI registered equity mutual fund suitable for all investor categoriesRegulatory Fit

Canara Robeco Flexi Cap Fund Growth invests across all company sizes in India for flexible growth.

What This Strategy Does

Canara Robeco Flexi Cap Fund Growth is an equity flexi-cap fund which captures India's broad-based earnings growth opportunity through a multi-cap portfolio construction approach, deploying capital across consumer cyclical, financial services, and industrials sectors to achieve benchmark-aligned compounding.

CW Expert Research Notes

Resilient Downside Protection

The fund has exhibited lower volatility and yield exposure compared to peers, contributing to resilient downside protection during market drawdowns.

Growth-Oriented Positioning

The strategy maintains a tilt towards larger, growth-oriented companies, underweighting high dividend yield stocks in favor of companies focused on reinvesting for growth.

Concentrated, Moderate Turnover

The concentrated portfolio of 75 holdings with moderate 30% annual turnover reflects a high-conviction approach that could benefit from earnings delivery at top holdings.

Performance and Risk Analysis

Historical returns, volatility patterns, and how this fund has performed relative to its benchmark.

Fund Performance

-1.6% AnnuallyAlpha

+12.4% vs +9.9% benchmarkSince Inception

+10.6% vs +6.3% benchmark3Y Annualized

+8.6% vs +6.5% benchmark5Y Annualized

Canara Robeco Flexi Cap Fund

Benchmark Index

Benchmark Performance Comparison

Canara Robeco Flexi Cap Fund

NIFTY 50

Risk Profile

Standard Deviation16.8%

Maximum Drawdown-16.7% | Oct 2024

Sharpe Ratio-0.32

Beta0.93

Upside Capture92%

Detailed Risks

Market Risk

Potential recession driven by high inflation could dampen consumer demand, impacting cyclical sectors; fund's mid-cap tilt mitigates downside.

Liquidity Risk

Elevated volatility could strain liquidity for mid-cap holdings, hindering rebalancing; large-cap allocation provides liquidity buffer.

Concentration Risk

Outsized mid-cap exposure relative to peers amplifies risks from IT sector headwinds; diversification across sectors limits downside.

Specific Strategy Risk

Regulatory changes impacting key sectors or tightening monetary policy could pressure earnings; rigorous bottom-up research mitigates risks.

Strategy Details

A closer look at the investment thesis, portfolio construction, and current holdings.

Core Investment Theme

Delivers the flexibility to capitalize on opportunities across the market cap spectrum. By investing without constraints, this approach allows fund managers to dynamically rotate capital toward the best risk-reward propositions—whether that's defensiveness in large caps during uncertainty or growth capture in smaller companies during expansions. This adaptability aims to smooth portfolio returns across varying market conditions.

Broader Market View

Market Outlook

Equity markets appear to be entering a recovery phase following the recent valuation correction. Consumption and earnings normalization, coupled with a revival in capital expenditure and credit growth, are aligning favorably with the strategy's tilt towards consumer, financial services, and technology sectors. While competitive pressures and margin cyclicality remain risks, the present environment offers an attractive entry point.

Why This Strategy is Attractive Now

The strategy seems well-positioned to capitalize on the current market dynamics. Its balanced exposure across consumer cyclicals, defensives, financials, and technology appears aligned with key beneficiaries of the unfolding recovery. The portfolio's diversification across approximately 70 holdings, including market leaders, coupled with its moderate beta and risk-adjusted approach, could allow for an attractive risk-reward profile in this environment.

Investment Style & Process

Investment Style

The portfolio exhibits characteristics of a Quality Growth approach, emphasizing companies with durable competitive advantages, robust profitability, and consistent growth trajectories across market capitalizations.

Why it Makes Sense

In the current environment of moderating economic growth and elevated valuations, a Quality Growth strategy appears well-positioned to capitalize on secular trends while maintaining a degree of downside protection through its focus on companies with strong fundamentals.

High-Level Investment Process

Sourcing: The strategy appears to source investment ideas through a combination of quantitative screening and fundamental research, seeking companies with sustainable competitive advantages, high returns on capital, and attractive growth prospects. Selection: The selection process suggests a preference for businesses with pricing power, recurring revenue streams, and strong balance sheets, while maintaining valuation discipline to avoid excessive premiums. Construction: Portfolio construction is consistent with a multi-capitalization approach, diversified across sectors and industries, with an emphasis on managing risk through position sizing and sell discipline.

Portfolio Holdings Overview

SectoralAllocation

Technology8.13%

Consumers23.99%

Energy & Infra5.23%

Capital Goods18.2%

Utilities2.43%

Financial Services30.5%

Services11.54%

Geographic Allocation

Domestic100%

Top Stock Holdings

CompanySectorAllocation

HDFC Bank LtdFinancial Services6.89%

ICICI Bank LtdFinancial Services6.18%

TrepsUtilities5.21%

Reliance Industries LtdEnergy & Infra4.04%

Bharti Airtel LtdServices3.71%

State Bank of IndiaFinancial Services3.49%

Larsen & Toubro LtdCapital Goods3.25%

Infosys LtdTechnology3.02%

Bajaj Finance LtdFinancial Services2.66%

Mahindra & Mahindra LtdConsumers2.44%

Fund House Management

The asset management company’s track record, AUM scale, and fund manager credentials.

Fund Manager Track Record

Shridatta Bhandwaldar

Mr. Shridatta Bhandwaldar has experience of 20 years. Manages 79 funds at Canara Robeco Asset Management Co Ltd with an AUM of approximately ₹58,728 Cr Holds a MMS degree.

43 years

Combined Team Experience

₹ 88,511 Cr

Assets Under Management

Pranav Gokhale

Co-Portfolio Manager

Mr. Pranav Gokhale has experience of 22 years. Manages 30 funds at Canara Robeco Asset Management Co Ltd with an AUM of approximately ₹29,783 Cr Holds a M.Com degree.

CW Expert Take

Canara Robeco brings disciplined investing to the flexi-cap space. Their investment philosophy emphasizes consistent process over market timing, whether navigating large-caps or identifying emerging opportunities. The fund house maintains rigorous research frameworks and a stable investment team that translates macro views into risk-adjusted positioning. Their capabilities span equity market caps as well as fixed income, reflecting a balanced approach across asset classes.

Investment Philosophy & Approach

Disciplined Approach

Canara Robeco employs a disciplined investment approach focused on rigorous research.

Risk Management

The fund house emphasizes robust risk management through diversification and volatility control.

Long-Term Perspective

Canara Robeco maintains a long-term perspective, aiming for consistent capital appreciation.

Operational & Regulatory Details

What it costs to invest, transaction mechanics, and regulatory disclosures you should know.

Costs and Fees

Total Expense Ratio (TER)1.47%

Exit Load1

Regulatory & Tax Information

INF760K01019

ISIN

DailyDealing Frequency

BSE 500 India TR INRBenchmark

LTCG | >1Year 12.5%% on gain above 1.25 Lakh

STCG | <1Year 20%%

Tax Implications (India)