Value Funds – equity schemes using value investing strategy–have given 6.48 percent in one year ended 25 November 2022, as per Value Research. Flexi-cap funds that invest in shares of companies of all sizes have given 1.85 percent returns over same period. Fund managers of flexi-cap schemes employ investment strategies that focus on growth, value, quality or combination of these.
Most value funds have managed to offer better returns than the average returns given by flexi-cap funds, as the worst value fund gave 1.63 percent return.
Since winners rotate and no one investment strategy does well all times, a diversified portfolio across strategies can offer better risk adjusted returns in the long term.
