multicap mutual fund

An Overview Of Different Multi cap Mutual Funds Of 2018

What is a Multicap Mutual Fund?

multicap mutual fund

Source : owltmarket.com

Multi cap mutual funds are known to invest in equity shares of different companies belonging to different market capitalization. Instead of constantly sticking to a certain capitalization, these type of funds involve large-cap, mid cap and small cap stocks in their portfolio in quite a specific proportion. In comparison to pure mid cap/small cap funds, these funds involve less risk and are popular among investors less aggressive about returns. The fund manager is quite well-positioned to select and pick stocks across capitalization and sectors depending on his outlook of the market. The investor as a result stays free from anxieties regarding chasing the desired action or missing out on rallies in a particular sphere of the market.

In addition to picking stocks, the fund manager often keeps switching holdings inside the fund between large-cap, mid-cap and small-cap stocks as he deems fit, firmly based on market movements. Utilizing the leeway, fund managers tend to possess a large cap bias and a strong keep on increasing and decreasing their mid-cap holdings often by a small margin as and when market conditions change. As these funds are invested in multi cap companies, during instances of a bull run they do deliver fantastic returns, at times even efficiently outperforming the pure large and mid-cap mutual funds. This often happens because in times of a bull market, the underlying stocks in the funds are often able to unlock their values and actively tap into the growth opportunities.

Investors in MultiCap Mutual Funds:

multicap mutual fund

Source : fundingsage.com

Multicap mutual fund 2018 are known to maintain quite an extensively diversified portfolio comprising stocks of different market capitalization and sectors. These mutual funds are in fact a good way to take exposure towards broader equity segment incorporating the nominal Systematic Investment Plan (SIP) with a minimal investment sum to begin with. Investors not willing to get into the trouble of stock-picking or about deciding which market capitalization fund properly suits may well go for multicap mutual funds as a starter. They may later switch to pure cap funds after getting a proper hang of the markets. These funds are also properly suited for the beginners and novice investors intending to top their risks.

From the point of a risk-return perspective, multicap funds are quite adept at balancing the risk and volatility when it arrives in blending the small-cap mutual fund and mid-cap mutual fund together in a single portfolio. At the same time, the investor can very well expect a certain stability that one must receive from a large-cap mutual fund. During the market rallies, small-caps often perform well and during instances of a slump, certain well-established companies tend to take a good hold of returns. The ones having a moderate risk appetite may think of investing in multicap funds.

MultiCap Mutual Fund 2018

multicap mutual fund

Source : moneyguruindia.com

MultiCap mutual fund 2018 schemes also known as diversified equity schemes have been the favorites of mutual fund advisors for quite long now. Mutual fund experts do believe that a regular investor doesn’t need to look beyond a multicap scheme for his investment needs, these schemes being invested across different market capitalizations and sectors.

In other words, these schemes quite certainly offer the fund manager the necessary freedom to invest safely across largecap, midcap and smallcap stocks or any other sector he believes is going to provide the maximum benefit in the upcoming days. This clearly implies the investor shouldn’t worry about where the action is going to be or chasing the particular action or worry about missing out on important rallies in some of the market pockets. There are possibilities that the multicap mutual fund may have a decent and meaningful exposure to the segment already.

Top Multicap Mutual Fund 2018 investors are:

  • Motilal Oswal Focussed Multicap Fund

multicap mutual fund

Source : owltmarket.com

  • DSP Blackrock Opportunities Fund

multicap mutual fund

Source : 2.bp.blogspot.com

  • SBI Magnum Multicap

multicap mutual fund

Source : i.ytimg.com

  • Aditya Birla Sun Life Advantage Fund

multicap mutual fund

Source : i.ytimg.com

Leave a Reply

Your email address will not be published. Required fields are marked *