Introducing UTI Flexi Cap Fund
Did you know there is a unique opportunity in the financial market? Yes, the UTI Flexi Cap Fund is a scheme that is launched by UTI Mutual Funds. It was started on August 1, 2005. The former name of the scheme was UTI Equity Fund. The scheme invests in diversified market caps. The distinct market cap companies the scheme consists of are large, mid, and small cap firms.
The scheme is a blend of growth and stability. The well-established companies bring stability to you. While the emerging companies give you the good earnings. Moreover, the scheme gives you variations in investments among different sectors.
Additionally, the scheme manages the market risks and balances your economy. The scheme gives you the potential to stay in the market. The scheme can adjust its investments dynamically to achieve the goals.
The management team of the scheme researches and analyzes future market trends. They make research-oriented strategies according to your requirements. These strategies help you to gain more and encourage you to invest more.
Also, the facility for regular investments makes investing in the scheme more convenient. This facility manages your risks and rebalances your portfolio during the inflation period. The scheme in one or another way brings upgradation in the country’s economy.
With the brief, let’s explore the scheme in detail by learning its distinct aspects.
What are the Key Features of the UTI Flexi Cap Fund?
Here are the key features of the scheme mentioned below:
- Long-term Growth
The scheme invests in different market caps among various sectors. The scheme is more beneficial with long-term investments. The scheme performs well over time. It gives you growth that lasts long in the market.
- Stability
The scheme has investments in well-established companies. The scheme performs well with these developed companies. Investments in such companies provide you with economic stability.
- High-Returns
The scheme has a dynamic adjustment of assets in distinct market caps. This allocation is done by analyzing the market. As a result, it provides you with high earnings that help you with easy management of living.
- Diversification of Portfolio
The UTI Flexi Cap Fund has investments in both developing and developed companies. These investments give your portfolio a different look with good earnings. Additionally, a portfolio with a blend of growth and stability.
- Fund Management
The fund house has an expert team that keeps a record of your investments. They understand the market challenges and plan the strategies for you. These strategies are formed based on your goals and requirements.
- Risk Management
The dynamic adjustments of investments among the market caps balance the market risks. When the market is performing well including the companies. The scheme mitigates the risks and works as a guard for you during the inflation period.
Expanding the knowledge about the scheme let’s take a closer look at the other side of it.
What are the Risk Factors of the UTI Flexi Cap Fund?
Here are points that you should consider while investing in the scheme:
- Market Volatility
The market is volatile. The productivity of the scheme depends on market fluctuations. When the market is not performing well. This performance is reflected in the growth of the scheme. The scheme then significantly affects your earnings.
- High-Costs
The scheme has an operational team that makes research-oriented strategies. This planning requires high fees. Moreover, frequent investment and redemption affect your net income. This makes the expense ratio of the scheme quite expensive. The cost is reduced from the net earnings over time.
- Liquidity Risk
The scheme has investments in emerging companies. There is a liquidity risk of investing and redemption among these companies. It is challenging for the scheme to manage the value while investing and redeeming. The increment in liquidity lowers your net earnings.
With the understanding of features and risks related to the scheme. Let’s explore the suitability of the scheme.
Who is Suitable for the UTI Flexi Cap Fund?
The following points give you an idea about the suitability criteria for the scheme:
- Seeking for Stability
The scheme has a mixture of investments. The investments are in both well-established companies and newly entered companies. The well-established companies provide you the stability in the market. If you wish to stay stable in the market. Moreover, if you are a retiree or nearly retired who seeks future stability. This scheme works well for you with its progress.
- Seeking for Growth
The emerging companies improve their performance and grow with time. If you are willing to grow with the new market trends and want to stay in the market for a long time. The investments of the UTI Flexi Cap Fund in such companies bring long-term growth for you.
- Seeking Variation in Portfolio
The scheme has investments in different market capitalizations. This gives you variety in your portfolios. If you are interested in exploring the different-sized companies in the market. The scheme provides you with a portfolio of distinct investments.
- High-Risk Tolerance
The scheme has different risks that affect your earnings. If you are experienced with market swings and understand the investment risks. In addition, if you are ready to take a chance with your investments and challenge the market. This scheme will benefit you with good earnings.
- Seeking for Regular Investment
The scheme has flexibility with regular investing. If you are new to investing and don’t want to take much risk. Additionally, if you have an unstable income source. The scheme has investment routes of lump sum and systematic investment plans. Consequently, this scheme improves your finances by investing regularly.
Let’s summarize the description of the scheme in the conclusion.
Final Note
In conclusion, the scheme reveals that it is long-lasting in the market. It has investments among different market capitalizations. The scheme provides you with both stability and growth. Moreover, it gives you high earnings.
The scheme has flexibility with regular investments. It can be done by the SIP investment route. This investment strategy makes investing convenient for average-income investors. This strategy reduces your timely and market risks. Additionally, this investment can be adjusted easily according to your economic growth.
