How-to multi cap fund selection

How to select a multi-cap mutual fund

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Multi-cap fund selection post-2020 SEBI restructure is a more aggressive cousin of flexi-cap. The forced 50% mid/small exposure raises both return potential and drawdown risk.

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Market-risk disclaimer. Mutual fund investments are subject to market risks. Past performance is not indicative of future returns. Multi-cap drawdowns of 40-50% are normal.

Step-by-step procedure

See the procedure infobox above for the seven steps.

See also

External references

References

  1. SEBI (Mutual Funds) Regulations, 1996.
  2. SEBI Categorisation Circular, October 2017.
  3. SEBI Multi-cap Circular, September 2020.
  4. AMFI Best Practice Guidelines.

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