While considering mutual fund investment, flexibility and diversification are viewed as some of the principal attributes which can help in the safe and effective accumulation of funds. Out of the available funds, the UTI Flexi Cap Fund is one for investment to cater to the above-mentioned objectives of the fulfillment of an investor’s needs. This fund is aimed at providing a sensible risk-return profile, so it will be good for both newcomers and experienced traders.

Introduction of the UTI Flexi Cap Fund

The UTI Flexi Cap Fund is an open-ended equity fund that invests in equity shares of companies irrespective of the market capitalization like large-cap, mid-cap, small-cap etc. This makes the fund quite flexible for exploiting most such opportunities and hence has the possibility of getting high returns. Fund managers can make investments in areas where they feel more potential for returns, either in companies that are reliable and steady or in those that are relatively new but can grow so fast.

The key advantages of investing in the UTI Flexi Cap Fund are as follows:

Diversification: One of the biggest strengths of the UTI Flexi Cap Fund over the other Mutual Funds of India is that it has a much-diversified portfolio. Diversification of the portfolio over different sectors and market capitalizations of companies reduces the impact of any single worst-performing stock or sector; hence, the rating of the fund decreases.

• Active Management: The fund is also classified as a managed fund as opposed to an index fund since professional fund managers are constantly monitoring and adjusting portfolios to benefit from the best opportunities. 
• Growth Potential: The UTI Flexi Cap Fund has a growth potential that is at best considered medium since the investment would be made in large-cap and mid-and small-cap companies.
• Tax Efficiency: It also avails tax advantages under the benefits of the long-term capital gains tax (LTCG) taxation policy. 
• Accessibility: The UTI Flexi Cap Fund does not restrict its accessibility to new investors or only experienced investors; any person can directly invest in the fund. 

Compared with Other Funds

It is also important to point out that other flexi-cap funds are on the market, such as the HDFC Flexi-Cap Fund. There are differences between the strategies and historical performance of each fund; thus, it will be important to know who the target market is.

Conclusion

The UTI Flexi Cap Fund is one of the best mutual fund schemes for investors who want to invest in a diversified investment style. Its diversified fund portfolio, active management, and prospects for growth make it a worthwhile method of creating wealth. When thinking about investing in the markets, 5paisa can assist you by offering mutual funds for your investing profile according to risk. In conclusion, the UTI Flexi-cap fund would suit well people who desire to trolley along stability with growth in flexibility and tax efficiency.

Additionally, it can help ride out several market cycles through volatility. This makes UTI Flexi Cap Fund resilient for retaining money in times when share values fluctuate wildly.