Flexicap fund is a new sub-category introduced under the head of equity mutual funds. Last year, SEBI released guidelines on the change in rules of working of multi cap funds with regards to minimum allocation of their assets to the companies of different market capitalizations. Later, it introduced a new category by the name of Flexicap Funds wherein the manager has the flexibility to make investments across market caps as per his discretion, just like how the multi cap funds worked earlier before the change in rules.
