HDFC Flexi Cap's cash holdings fell from 13.2% in December 2025 to 4.9% in April 2026. That is a sharp drop in less than four months, and it happened right after the fund got a new manager.
In February 2026, Amit B. Ganatra took over from Roshi Jain, who had managed the scheme since July 2022. This blog looks at what has actually changed in the portfolio, what hasn't, and what existing investors should take away from it.
A closer look at both managers
Roshi Jain came with strong credentials, a PGDM from IIM Ahmedabad, a Chartered Accountant qualification (with All-India Rank 2), and the CFA charter. She had 19 years of experience and was previously Vice President and Portfolio Manager at Franklin Templeton. Her record at HDFC Flexi Cap was solid: the fund delivered CAGR of 22.1% over 3 year, well ahead of the Nifty 500 TRI's 16.49% and 21.08%. Morningstar data shows the fund returned 23.6% during her July 2022 to December 2025 tenure, beating both its benchmark and category average.
Amit Ganatra brings similar weight. He is a CA, CFA, and M.Com with 23 years of experience, mostly in equity research and fund management. Before rejoining HDFC AMC in 2026, he was Director and Head of Equities at Invesco India. His record there is the most useful clue we have right now: Invesco India Flexi Cap, which he co-managed, delivered an average of 21.79% per year over 3 years against 16.19% for the BSE 500 TRI (as of October 2025).
What has changed under Ganatra
1. Cash holdings have been cut by more than half
The fund moved from 13.2% in cash to 4.9% between December and April. Deploying that much cash within four months is a deliberate move, not a cautious one. The new manager has chosen to put the money to work quickly.
2. A heavier tilt toward large caps
Large-cap exposure rose by five percentage points. Mid-cap nearly doubled. Small-cap held steady. The fund is now even more large-cap heavy than before, which narrows what "flexi" means for this scheme today.
3. Sector mix has been reshuffled
| Sector | Dec 2025 | Apr 2026 |
| Banks | 34.7% | 31.9% |
| Auto | 13.4% | 11.7% |
| Healthcare | 7.5% | 10.1% |
| Retail | 1.6% | 4.4% |
| Infrastructure | 1.5% | 3.9% |
4. Three high-conviction stock additions
L&T (1.0% → 3.3%), Eternal (0.4% → 2.6%), and Reliance (added in March 2026, now 2.2%) are the biggest portfolio additions. All three are large caps. The choice fits the broader large-cap tilt; the new manager is building bigger positions in well-known names.
What hasn't changed
Strip out the headlines, and the core portfolio looks familiar:
- The fund is still large-cap heavy, more so than before
- Banks remain the single largest sector at 31.9%
- The top holdings, ICICI Bank (8.82%), HDFC Bank (7.04%), Axis Bank (6.87%), and SBI (4.75%), are the same core positions Roshi Jain held
This is the most important signal in the data. A new manager who rebuilds the portfolio in the first 90 days usually raises questions. Ganatra has done the opposite, adjusted at the edges while keeping the core intact. That points to continuity, not disruption.
What should investors do?
A few things to keep in mind:
- Don't exit just because the manager has changed. Portfolio changes so far have been small, and the broad philosophy looks intact.
- Watch how the cash deployment plays out over the next two quarters. Quick deployment can hurt returns if markets correct soon after.
- Track mid-cap allocation. If it keeps rising, the fund's risk profile changes, and so should your expectations.
- Compare returns from February 2026 onwards against the category average. The earlier track record belongs to Roshi Jain. Give Ganatra at least three quarters before judging.
- Avoid fresh lump-sum investments based on past performance alone. SIPs are a steadier way to ride out a manager change.
The Bottom Line
HDFC Flexi Cap looks like the same fund with a slightly firmer hand on the accelerator. The strategy has not been rewritten; it has been adjusted. For existing investors, that is a reason to hold, not react.
The real test is not the first 90 days. It is how this portfolio performs through the next market correction under Ganatra. Until then, the data says: stay invested, but stay attentive.