HDFC Flexi Cap Fund portfolio overlap: How similar is it to HDFC's large, mid, small, value and other funds?

When two funds from the same fund house hold many of the same stocks, owning both does not give you two separate portfolios. Portfolio overlap measures how much of two schemes’ holdings are common. The higher the number, the less value the second fund adds.

The portfolio overlap data for HDFC Mutual Fund’s equity schemes, as on September 30, 2026, shows HDFC Flexi Cap Fund shares the most with the HDFC ELSS - Tax Saver Fund at 63.22%. The second biggest overlap is with HDFC Value Fund at 44.66%, followed by HDFC Large Cap Fund at 43.29%. The flexi-cap fund also has an overlap of 41.71% with HDFC Dividend Yield Fund.

Any overlap between 40% to 60% is rated as moderate to high overlap, while over 60% overlap is rated as high.

HDFC Flexi Cap Fund's portfolio has an overlap of 38.39% with HDFC Multi Cap Fund , followed by HDFC Large & Mid Cap Fund at 34.90%. HDFC Mid Cap Fund has 10.12% overlap with the flexi-cap scheme while HDFC Small Cap Fund has just 3.23%overlap.

HDFC Flexi Cap Fund’s overlap with other HDFC funds (%)

What changed from August to September

Of the 21 other HDFC equity schemes, the flexi cap fund’s overlap fell with 18 in September and rose with only three, including the multi cap fund (up 0.25 percentage points), the pharma and healthcare fund (up 0.35) and the focused fund (up 0.08). The biggest single fall was with HDFC Business Cycle Fund, from 27.07% to 24.24%, a drop of 2.83 points.

The overlap with the large cap scheme eased 0.53 points, and with the tax saver scheme 0.88 points.

As of the HDFC Mutual Fund's official data, there are three scheme pairs with over 50% portfolio overlap in September. In August 2026, there were four such scheme pairs.

These pairs, in September, were the following:

• HDFC Flexi Cap Fund and HDFC ELSS - Tax Saver Fund lead it at 63.22%, down from 64.10% in August.

• HDFC Focused Fund and the tax saver scheme at 60.99%, up from 60.06%

• HDFC Focused Fund and the flexi cap fund at 60.12%, which barely changed from 60.04% in August.

The pair that dropped out in September was HDFC Large & Mid Cap Fund and HDFC Multi Cap Fund. The portfolio overlap of this pair dropped to 49.13% from 50.80% in August.

HDFC Flexi Cap Fund’s overlap with other HDFC equity funds (%)

A flexi cap fund is free to invest across large, mid and small caps, but HDFC Flexi Cap Fund leans towards the biggest companies. So the more a comparison fund sticks to large caps, the more the two portfolios look alike, and the more it moves into smaller companies, the less they share. That is why the overlap is high with the large cap fund and lowest with the small cap fund.

For investors, the message is simple: Investing in two funds doesn't lead to twice the diversification. Holding the flexi cap fund and the large cap fund would mean owning almost 43% similar companies in the portfolio. In such cases, adding the small cap or mid cap fund to the portfolio can bring genuinely new holdings as they have an overlap of just 3.23% and 10.12% respectively with the flexi-cap fund.