So, what are small-cap funds, and why might they be an interesting investment? Small cap funds in India are a type of mutual fund that mostly invests in stocks of small-sized companies. These funds aim to find small-cap companies which have the potential to grow in the long term. Investing in small-cap funds can be exciting, but it’s important to know that it can be riskier because smaller companies can be a bit unpredictable. They can add variety to your investment plan and give you the chance to earn potentially more money. However, make sure you research carefully and pick the right funds based on your goals and how much risk you’re comfortable with.
What are Small Cap Funds in India & How Do They Work?
