DSP Investment Managers on Monday said that its flexi-cap fund, DSP Flexi Cap Fund, has delivered 19.1% Compound Annual Growth Rate (CAGR) since its inception on April 29, 1997.
return means that Initially invested in DSP Flexi Cap Fund must have exceeded 1 lakh 78 lakh till 31st March 2022. In comparison, the same investment in Nifty 500 TRI would have increased 31.74 lakhs.
A flexi-cap fund has to invest at least 65% of its assets in equities and equity-related instruments. Unlike multi-cap funds, there is no minimum limit for investing in large, mid- and small-caps, and the exposure can be dynamically managed.
As per the fund house, DSP Flexi Cap Fund adopts a structured approach to investments by focusing on business longevity, prudent management and growth sustainability (BMG Framework).
The fund’s post-BMG framework includes businesses that are less capital intensive, show higher cash conversion, market share dominance, prudent capital allocation, and better margin growth rates of return on equity (ROE) and profits.
The CAGR Rolling Return of DSP Flexi Cap Fund has been a minimum of 6.9% and a maximum of 33.5% in any of the 10 years tenure. While, like equities, the fund has intermittent net asset value (NAV) fluctuations, over a decade it has always generated positive returns for patient investors. Flexi-Cap Fund is managed by Atul Bhole and Abhishek Ghosh.
“DSP Flexi Cap Fund was our first fund to have a disciplined investment structure and has proven itself over many market cycles. Its flexible style of choosing good businesses regardless of market cap makes it a good choice for every investor. However, this impressive long-term growth has been witnessed by only 36 investors who invested in the beginning and continue to invest today.”
“We are grateful to lakhs of investors who have invested in the fund over the last 25 years and over 20,000 distributors have recommended DSP Flexi Cap Fund over the same period. We take this opportunity to thank our customers, partners and employees for their support as we embark on a new and exciting journey.”