Decoding Large And Mid Cap Funds
Investors India|October 2018

The baskets of stocks in which equity mutual funds invest are of various sizes based on their market capitalisation. Earlier this distinction created four kinds of equity schemes based on market caps large cap, mid cap, small cap and multi cap. This is not to say that a large cap funds invested solely in large companies. A large cap fund had a clear predominance of large cap stocks with some percentage invested in mid or maybe even small caps.

Things have slightly changed after the Securities and Exchange Board of India (SEBI) came out with its new categorisation regulations in 2017. Now, there is a category the large and mid cap category. Lets take a deeper look into what SEBI has done.

Decoding Large And Mid Cap Funds

What are large and mid cap funds?

SEBI has now laid down clear definitions of all market capitalisations – companies that are in the top 100 listed stocks by market capitalisation will be large caps; companies that are between 100-251st will be mid caps; and small caps would be the companies that fall below 251 in the market cap list. SEBI would also update the list of companies in the three categories every six months and mutual fund houses would have to make changes to their portfolios accordingly.

この蚘事は Investors India の October 2018 版に掲茉されおいたす。

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この蚘事は Investors India の October 2018 版に掲茉されおいたす。

7 日間の Magzter GOLD 無料トラむアルを開始しお、䜕千もの厳遞されたプレミアム ストヌリヌ、9,000 以䞊の雑誌や新聞にアクセスしおください。

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