What are the risks of investing in Small Cap Mutual Funds?

What are the risks of investing in Small Cap Mutual Funds?

Small Cap Mutual Funds are very volatile in the short term. They experience longer and deeper drawdowns than mid cap funds and large cap funds. Also small cap funds face liquidity issues when compared to mid cap funds and large cap funds. Very few research analysts track small cap companies. Another significant risk that small-cap companies face is corporate misgovernance.

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Disclaimer: These are not any recommendations for any funds or stocks and are meant only for educational purposes.

[the_successful_jd]

We r long term investors... don't be afraid of short-term swings....

[arnabbhattacharya]

No worries....just have a 15 years horizon. I have been doing sip in small cap fund of Nippon since 2017 with good returns

[rahulpanjiyar]

Should I invest in nifty next 50 or smallcap fund for long term horizon for retirement?

[maharashtrianvlogs]

Very informative because my 90% investment in small cap🙏🙏

[mohammadsayeedansari]

Thanks very informative.
I am investing in small cap fund and planning to invest in future also.

[nagarjunareddy]

Good analysis. Do u feel that the Small cap funds are over valued right now? If so approximately, by what percentage are the overvalued?

[ajeetpawar]

6:56 this is very shocking as a retail investor

[deepak.shah]

Pehli baar groww ki koi video well researched lagi hai varna har vakat vo info dete hain jo easily available hai.

[nickybandil]

So is it safe to invest in Nippon small cap mutual fund direct growth fund for 2024 to 2029

[girishmakwana]

I'm also regular investment for indexfund nifty 50

[NS-xusx]

Kya koi Fund band hone ka khatra hai?. If we are lookinv at 10-15 yrs investment horizon, can a fund stop existing?

[aviraljanveja]

Isn't it natural for small cap funds to have more growth potential to double or tripple in valuation for the right small cap companies. Mutual Funds managers recognize these firms and retail investors are driving this growth. In any case MSME hidden champions are usually what make an economy strong. Look at Germany for example. Then why limit small and mid cap retail investment. It is not as if people are directly investing in small cap stocks. They are investing in small cap mutual funds managed by experts and experienced people.

[keyursir]

Agar 25-30 year ke liye lena ho to small cap best hai
Sahi kaha na

[pawankhathuria]

Volatility
Lack of information
Upside down risk they fall more than other categories.

[abhinavdubey]

Yes! I have investing in small cap fund.

[godknows]

i invested in axis small cap fund in december 2023 and got returns of 1.09 %, should i still invest in this mutual fund

[akshaybhalerao]

Best for long term, but very risky as well.

[rohidasbhagwat]

Small cap means stock ki valu kam nahi hoti hai, market cap kam hoti hai, chek history small cap long term bitting to nifty index and large cap

[parwezakhtarkhan]

I'm investing in ICICI small cap fund, is it good investment?

[hemantchoudhary]

Smart people diverse portfolio
Legends only small cap❤