It is a common consensus among wealth managers that investors with a long-term horizon, especially those using SIPs for wealth creation, should invest in Multi-cap Funds. 1. What are multi-cap funds? Equity diversified funds that are permitted to invest in stocks across market capitalisation are Multi-cap funds.
Should we invest in multicap funds?
Typically, during a bull market multi-cap funds perform well as mid-cap and small-cap stocks generally soar higher than large-cap stocks. However, experts suggest that the decision on investing in a multi-cap fund should be based on the investor’s risk profile, financial goals and investment horizon.
Who should invest in equity funds?
Generally, if you have a long-term goal (say, five years or more), then it is better to invest in equity funds. It will also give the fund much needed time to combat market fluctuations.
Which is better multicap or mid cap?
Therefore, in the long run, multi-cap funds are usually better wealth creators than other categories of funds as they can take advantage of investment opportunities across the market. Further, returns from the multi-cap category are comparable to mid-cap category over the long term which comes with lesser volatility.
Is Multicap and Flexicap same?
The large-cap allocation of multi-cap funds will limit downside risks in volatile markets. The flexi-cap category of equity funds, on the other hand, will invest at least 65% of the total assets in equity investments without any defined limits in terms of exposure they should take to large-, mid- or small-cap segments.
Which mutual fund is best?
The table below shows the best equity funds:
|Mutual fund||5 Yr. Returns||3 Yr. Returns|
|ICICI Prudential Technology Fund – Direct Plan – Growth||34.34%||43.12%|
|Aditya Birla Sun Life Digital India Fund – Growth-Direct Plan||33.48%||41.97%|
|ICICI Prudential Technology Fund||33.19%||41.9%|
|TATA Digital India Fund DIRECT Plan Growth||35.22%||41.43%|
Which fund is best for SIP?
The table below shows the best equity funds:
|Mutual fund||5 Yr. Returns||Rating|
|ICICI Prudential Technology Fund – Direct Plan – Growth||34.34%||NA|
|Aditya Birla Sun Life Digital India Fund – Growth-Direct Plan||33.48%||NA|
|ICICI Prudential Technology Fund||33.19%||NA|
|TATA Digital India Fund DIRECT Plan Growth||35.22%||NA|
Are equity funds safe?
If you’re concerned that mutual funds are a type of dodgy investment, rest assured that they’re completely safe. No mutual fund house can steal your money because it is regulated and supervised by the SEBI (i.e. Securities and Exchange Board of India) and the AMFI (Association of Mutual Funds in India).
Which is best multicap fund?
A multicap mutual fund is an open-ended equity scheme investing across large-cap, mid-cap, and small-cap stocks.
Best Performing Multicap Funds to Invest in 2021.
|Fund Name||3 Year Returns|
|PGIM India Flexi Cap Fund||17.60%|
|Principal Focused Multicap Fund||14.20%|
|Axis Flexi Cap Fund||13.70%|
|SBI Focused Equity Fund||12.10%|
Is SBI Magnum Multicap fund good?
Under Anup Upadhyay, SBI Magnum Multicap Fund is having one of its best periods. … Unfortunately, the fund (regular plan) since inception to August 25, 2020 has not beaten S&P BSE 500 Total Return Index, with fund’s 11.1% CAGR short of 11.65% of the benchmark. However, the fund’s direct plan has beaten the benchmark.
Can I invest in Axis multicap fund?
Fund Outlook – Axis Multicap Fund
Investors can participate in opportunities across these market capitalisation segments but the risk it would attract will depend on the allocation to the segments and the underlying companies within these segments.
Which is better multicap or Flexicap fund?
From 31 January 2021 till 15 June 2021, multi cap funds with 26.16% returns (with minimum 25% small cap stocks) have outperformed the flexi Cap set (large cap oriented) which has delivered 19.19%. Returns are of regular (non-direct) option. Historically, small cap stocks have done better.
Which Flexi fund is best?
5 Best Flexi Cap Funds For SIP In 2021 Based On 5-Star Rating of Value Research
- Why should you invest in flexi cap mutual funds in the bull market phase? …
- IIFL Focused Equity Fund Direct Growth. …
- Parag Parikh Flexi Cap Fund Direct-Growth. …
- PGIM India Flexi Cap Fund Direct-Growth. …
- UTI Flexi Cap Fund Direct-Growth.
Which mutual fund is best for long term?
Following are the funds that you may consider investing through SIPs keeping the long term horizon in mind.
- UTI Nifty Index Fund (20%)
- Mirae Asset Large Cap Fund (20%)
- Canara Robeco Blue Chip Fund (20%)
- Parag Parikh Flexi Cap Fund (15%)
- UTI Flexi Cap Fund (15%)