Best Smallcap Funds for Investment in December 2024
Investments in a variety of funds, securities, stock markets and also in properties are important and now become a part of life these days.
Here, in this article, we will discuss investment in the mutual fund category – small-cap funds.
What are Small-cap Funds?
The Small-cap Funds invest in very small companies or their stocks. According to the SEBI norms, smallcap schemes must consider investing in those companies that are ranked below 250 in terms of market capitalization.
Most of the investors are seeking the best mutual funds while selecting schemes for investments. Here are four small-cap funds you can consider investing in to achieve your long-term financial goals:
- Axis Small Cap fund
- Nippon India Small Cap Fund
- SBI Small Cap Fund
- Kotak Small Cap Fund
Why You Should Invest in a SmallCap Fund?
If you are an aggressive investor who can tolerate high risk and have a very long investment horizon, then you should start investing in small-cap funds. These schemes also have the potential to provide very high returns over a long time.
Performance Report
Investing in small caps is not an easy thought; for that, you need to find successful fund managers who are experts in small caps. You should also be careful about how the schemes performed during the market downturn.
Why to Consider Small Cap Funds?
These funds are chosen on the basis of factors like average returns, consistency in the past three years, providing lower risk during market fall, outperformance, and the size of the asset.
