Key Points
Let us get an overview of the performance of multi-cap category in this entire calendar year where we have seen midcap and smallcap beating the largecaps, Nifty Smallcap going above 40% return, Nifty Midcap giving almost around 38% return..
If you look into multicap as a category, clearly, there is a good mix of large, mid and smallcap and since mid and smallcap YTD has relatively outperformed by almost 28% largecap, to that extent, the blended average of return of this category also has been fairly good and that is pretty exciting about this category...
Also over a longer term, the good mix of largecap which is typically in any multi-cap mandate around 45 odd percent with I think 55% coming from, mid and smallcap category, I think is a good blend..
So, clearly, as things stand today, we have tilted our portfolio more largecap bias within whatever flexibility we are having by managing the mandate because we believe that valuations are relatively more reasonable out there versus mid and smallcap where we have seen pretty good rally and valuation in historical context is slightly on the higher side.. What are your sectoral likings, specifically in midcaps and smallcaps?..
Given very sharp relative outperformance of mid- and smallcaps, relatively, it is a good time to allocate incrementally more money towards largecap, at least from the near-term standpoint...
