The second-largest flexicap fund in terms of assets under management, HDFC Flexi Cap Fund, reduced its holdings in Swiggy and three other businesses in December while adding Eternal as a new firm to its portfolio.
HDFC Flexi Cap Fund December Portfolio Update
In December, the ₹96,000 crore fund purchased 1.22 crore shares in Eternal, increasing its overall stake in the business to ₹340 crore as of December 31, 2025.
In December, the fund reduced its holdings in four stocks: Zee Entertainment Enterprises, Ramco Systems, FSN E-Commerce Ventures, and Swiggy. By the end of the month, it had sold over 13.55 lakh Swiggy shares, bringing its total holdings down to 91.44 lakh shares.
Key Stake Reductions and Additions
📈 Eternal Added to Portfolio
- Month: December 2025
- Shares Purchased: 1.22 crore
- Total Investment: ₹340 crore
- Strategy: Long-term growth opportunity
- Fund: HDFC Flexi Cap Fund
Additionally, in December, the fund sold around 31,637 shares of Ramco Systems, 40 lakh shares of FSN E-Commerce Ventures, and 72.04 lakh shares of Zee Entertainment Enterprises. In the meanwhile, the fund bought 16.71 lakh more shares in Infosys, bringing its total position to 1.06 crore shares as of December.
Stable Holdings and Sector Presence
In comparison to November, the fund’s exposure to 45 stocks did not change in December. Cipla, SBI, HDFC Bank, Kotak Mahindra Bank, JSW Steel, ONGC, Hindalco Industries, Tata Steel, Ashok Leyland, L&T, Eicher Motors, Hyundai Motor, TCS, and InterGlobe Aviation were a few of them.
The portfolio’s overall number of equities grew from 50 in November to 51 in December, with investments distributed throughout 21 industries.
Fund Management and Investment Objective
Chirag Setalvad is in charge of this flexicap fund, which as of December 31, 2025, has an AUM of Rs 96,294 crore. The fund’s investment goal is to provide income or capital growth from a portfolio that is mostly made up of stocks and stock-related securities.
Benchmark and Sector Allocation
The NIFTY 500 Index (TRI) serves as the benchmark for the flexicap fund, which was introduced on January 1, 1995. According to the fund’s industry-wise allocation, banks had the largest allocation in December (around 34.74%), followed by cars (9.99%).
📊 Portfolio Allocation Snapshot
- Largecaps: 71.63%
- Midcaps: 4.57%
- Smallcaps: 8.25%
- Equity Exposure: 84.47%
- Debt Exposure: 0.54%
Largecaps account for 71.63% of the fund, midcaps for 4.57%, smallcaps for 8.25%, and others for 15.55%. In general, the fund has 84.47% stock, 15.01% other assets, and 0.54% debt.
Historical Performance
According to ACE MF’s statistics, the fund’s highest annual performance was between October 20, 1998, and October 20, 1999, when it yielded a return of 179.39%, while its benchmark yielded a return of 101.71%.
Frequently asked questions
1. Why was Eternal added to the HDFC Flexi Cap Fund in December?
The fund invested ₹340 crore by purchasing 1.22 crore shares of Eternal, demonstrating faith in the company’s long-term potential, in order to bolster its portfolio with a fresh growth opportunity.
2. Why was the Swiggy stake lowered?
The fund sold around 13.55 lakh shares in Swiggy as part of risk management and portfolio rebalancing, not necessarily because of a pessimistic view.
3. What other stocks had lower exposure?
In addition to Swiggy, the firm decreased its holdings in Ramco Systems, FSN E-Commerce Ventures (Nykaa), and Zee Entertainment Enterprises in December.
4. Did the fund raise exposure to any significant businesses?
Indeed, the fund added 16.71 lakh shares to its Infosys holdings, bringing the total to 1.06 crore shares.
5. What is the fund’s current portfolio mix?
As of December 31, 2025, the fund held 71.63% in largecaps, 4.57% in midcaps, and 8.25% in smallcaps, with banks accounting for the greatest sector exposure at 34.74%.
Conclusion
The December portfolio adjustments for the HDFC Flexi Cap Fund are a result of strategic rebalancing and active management. While reducing Swiggy and other companies demonstrates a methodical approach to risk and value, the purchase of Eternal and increased exposure to Infosys indicate selective optimism.
The fund continues to position itself for steady capital gain in line with market possibilities because to its strong large-cap tilt, broad sector allocation, and long-term track record dating back to 1995.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Mutual fund investments are subject to market risks. Past performance is not indicative of future returns. Please read all scheme-related documents carefully or consult a financial advisor before investing.
