Small & Mid-Cap Fund Investment: During the first half of the current financial year (April-September), investors have shown tremendous enthusiasm towards mid-cap (mutual funds investing in medium-sized companies) and small-cap (mutual funds investing in small companies) mutual fund schemes. An investment of about Rs 30,342 crore has come in these schemes. This information has been received from the data of the Association of Mutual Funds in India (Amfi). Investors investing in these schemes have got very good returns, due to which their attraction towards them remains intact.
SEBI has expressed concern
Inflows in mid-cap and small-cap funds stood at Rs 32,924 crore in the same period last year. The special thing is that the market regulator Securities and Exchange Board of India ( SEBI ) has expressed concern over excessive investment in small-cap and mid-cap funds.
However, experts believe that investors will continue to invest in small-cap and mid-cap mutual funds due to their potential to deliver high returns.
Investment will continue
Sandeep Bagla, CEO, of Trust Mutual Fund said, "Small caps will continue to grow rapidly in the coming years. I expect investments to continue as Indians look to invest in high-growth sectors. Small-cap funds should be a part of one's portfolio allocation."
How much investment came in which category
According to the data, in the first half, mid-cap mutual funds received an investment of Rs 14,756 crore, and small-cap funds received an investment of Rs 15,586 crore. Thus, the total figure comes to Rs 30,342 crore.
Strong investor interest in small-cap mutual funds
Tradejini COO Trivesh said that the strong interest of investors in mid-cap and small-cap mutual funds is due to the high returns offered in these segments. Mid-cap and small-cap indices have registered a growth of about 20 percent and 24 percent respectively so far in the current financial year. This is a better performance than Nifty and Sensex.
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