Advantage of Investing in large and midcap funds

Large and midcap funds represent a category in which, as per regulatory mandates, fund managers are required to allocate at least 35% of the corpus to large-cap stocks, 35% to mid-cap stocks, with the remaining 30% left to the discretion of the fund manager.

Large-cap stocks are typically those ranked within the top 100 by market capitalization, whereas mid-cap stocks fall within the range of 101-250. Consequently, investments in such funds afford investors exposure to the top 250 companies by market capitalization. Within the discretionary 30%, fund managers seeking higher returns often incline towards incorporating more midcaps and small-caps into their portfolios. Conversely, funds aiming for more stable returns with lower volatility may choose to allocate this balance to large caps.

The large and midcap category offers investors a blend of growth potential and stability within their equity portfolios, thereby obviating the necessity to invest in separate schemes. For a comprehensive overview of Large Cap, Large & Midcap, and Midcap funds along with their performance over extended periods, please refer to the following list:

Disclaimer : Mutual Fund investments are subject to market risks, read all scheme related documents carefully. The NAVs of the schemes may go up or down depending upon the factors and forces affecting the securities market including the fluctuations in the interest rates. The past performance of the mutual funds is not necessarily indicative of future performance of the schemes. The Mutual Fund is not guaranteeing or assuring any dividend under any of the schemes and the same is subject to the availability and adequacy of distributable surplus. Investors are requested to review the prospectus carefully and obtain expert professional advice with regard to specific legal, tax and financial implications of the investment/participation in the scheme.