OPEN APP
Home / Mutual Funds / News /  Parag Parikh Long Term Equity becomes Parag Parikh Flexi Cap Fund

PPFAS Mutual Fund, complying with SEBI's circular dated 6 November 2020, regarding Introduction of Flexi Cap Fund as a scheme categorisation has changed the scheme category and scheme name. Parag Parikh Long Term Equity Fund will be renamed as Parag Parikh Flexi Cap Fund. A flexicap fund as defined by Sebi is an open-ended dynamic equity scheme investing across large cap, mid cap, and small cap stocks.

"Complying with the Regulation and after all the necessary approvals the required changes will be effective in our flagship scheme. However, there is no change in our portfolio, investment process. We will continue to manage the money the way we have been managing. A flexicap strategy will allow the fund manager to invest wherever value and opportunities are available without restrictions," says Neil Parag Parikh, Chairman and CEO, PPFAS Mutual Fund.

In September, the Securities and Exchange Board of India (Sebi) came up with new rules for multi-cap funds, which are required to invest at least 25% of the corpus in large-, mid- and small-caps. It raised concerns among industry players over the possibility of existing multi-cap funds being forced to buy mid- and small-cap stocks despite these segments not having the liquidity to absorb large flows from MFs. After the circular was issued, the Amfi, asked Sebi to create a new flexi-cap category, which will not have such stipulations.

Launched in May 2013, Parag Parikh Long Term Equity Fund, now Parag Parikh Flexi Cap Fund is one of only a handful of Indian mutual fund schemes to invest in a basket of Indian and Foreign stocks. The Scheme can invest up to 35% in the overseas market.

As per the latest Factsheet (November 2020), the Fund House manages 5757.28 crores under this flagship schemes including 171.41 crores by the management and employees. Since the inception of the fund has given 17.60 % CAGR.

Catch all the Mutual Fund news and updates on Live Mint. Download The Mint News App to get Daily Market Updates & Live Business News.
More Less
Subscribe to Mint Newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.

Recommended For You

Trending Stocks

×
Get alerts on WhatsApp
Set Preferences My ReadsWatchlistFeedbackRedeem a Gift CardLogout