New Vision Enterprises
1114, 11th Floor, Chiranjiv Tower, Opposite Eros Hotel, Nehru Place, New Delhi-110019
Phone No
011-49789891, 9899011829, 9711107456
Email
ops@newvision.co.in

New Vision Enterprises

Phone No

Phone No

9711107456

Email

prashant@newvision.co.in

Home » Equity Funds

Equity Funds

An Equity fund is a mutual fund that invests principally in stocks. Equity mutual funds are principally categorized according to company size, the investment style of the holdings in the portfolio and geography. These Funds can be highly volatile, but can also deliver a high return over a long period of time.

Small-cap Equity Funds:

These equity mutual fund schemes invest in companies that rank above 250 in terms of their full market capitalization (as per SEBI guidelines). These funds are considered to be riskier than mid- or large-cap equity funds but can offer the relatively higher  returns. Their minimum exposure to such stocks is 65% of the total assets.

Mid-cap Equity Funds:

These equity mutual fund schemes invest in companies who rank between 101 and 250 by their full market capitalization. These funds are considered to be less risky than small-cap funds, but more than large-cap funds. Their minimum exposure to such stocks is 65% of the total assets.

Large-cap Equity Funds:

These equity mutual fund schemes invest in companies who rank between 1 and 100 in terms of full market capitalization. These funds are considered to be the least risky as far as equity fund-picking goes. Their minimum exposure to such stocks is 80% of the total assets.

Large- & Mid-cap Equity Funds:

These equity mutual funds equally divide the allocation between large- and mid-cap equity and related instruments and have the potential to offer high returns. The mandated minimum exposure to both large-cap and mid-cap stocks is 35% each of the total assets.

Multi-cap funds:

Multi-cap equity funds invest in stocks across large-, mid-, and, small-cap companies. Depending on the market conditions, the fund manager decides the predominant investments. Their minimum exposure to such stocks is 65% of the total assets.

Focused Funds:

These funds are similar to multi-cap funds but have lesser number of stocks in its portfolio. Therefore they can be more volatile and carry concentration risk. However, they can deliver a higher potential return as well.

Value Funds:

A value fund follows a value investing strategy and seeks to invest in stocks that are perceived to be undervalued in price based on fundamental attributes.