Flexicap, multicap schemes maintain large-cap skew amid global uncertainty

Flexicap and multicap schemes— which have the mandate to buy shares across small-, mid- and large-cap universes—are playing it safe amid an uncertain global environment. Schemes in these categories are maintaining a skew towards large-caps while maintaining a bare minimum allocation to small-caps.

Large cap companies are known to weather the market storm better, while smaller stocks tend to fall more during volatile market conditions.

An analysis of flexicap portfolios shows that large-cap stocks account for 66 per cent of these schemes while small-caps hardly cross 10 per cent. Similarly, multicaps are just maintaining the bare minimum 26-27 per cent