Parag Parikh Flexi Cap Fund Decreases Cash Holdings to 15.5%, Boosts Stakes in ITC, TCS, and Infosys

Parag Parikh Flexi Cap Fund Sees Gradual Reduction in Cash Holdings

The Parag Parikh Flexi Cap Fund, the flagship scheme of PPFAS Mutual Fund, continued to deploy cash into equities in April 2026, reducing its cash holdings to 15.51 percent from 18.94 percent a month earlier. This move reflects the fund's growing confidence in market valuations after a prolonged correction phase.

According to the latest portfolio disclosure, the fund increased its invested allocation to 84.49 percent in April from 81.06 percent in March. This shift in strategy is attributed to the improving opportunities across segments, which have emerged after nearly two years of weak market returns relative to fixed-income instruments.

The fund's CIO, Rajeev Thakkar, has stated that the gradual decline in cash holdings reflects the fund's increasing conviction in the markets. Thakkar noted that the fund had maintained elevated cash levels earlier due to stretched market valuations, but recent corrections have improved the risk-reward equation.

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| Fund Performance Comparison | | --- | --- | | Cash Holdings | 15.51% (April 2026) | 18.94% (March 2026) | | Invested Allocation | 84.49% (April 2026) | 81.06% (March 2026) |

The fund's top holdings remain unchanged, with HDFC Bank continuing to hold the largest weight at 7.94 percent in April. Power Grid Corporation of India and Coal India followed at 6.99 percent and 5.95 percent, respectively. ITC emerged as the fourth-largest holding after its allocation increased to 5.43 percent from 5 percent in March. ICICI Bank rounded out the top five holdings with a 4.92 percent allocation.

The fund's portfolio is characterized by a relatively concentrated approach, with the top five holdings accounting for more than 31 percent of the portfolio. Despite holding 40 stocks overall, the fund's exposure to IT and consumer names has continued to grow.

During the month, the fund increased its exposure to several IT and consumer names, including ITC, Tata Consultancy Services (TCS), Infosys, and HCL Technologies. The fund also increased its HDFC Bank holding by 3.39 percent to 14.5 crore shares.

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In contrast, Power Grid Corporation and Coal India remained among the top holdings despite slight reductions in exposure. Balkrishna Industries was the only complete exit during the month, with the fund selling its entire holding of 22.74 lakh shares.

The portfolio continues to maintain a diversified mix of financials, IT services, defensive consumption names, global technology exposure, and REITs.