DSP BlackRock Micro Cap Fund / DSP BlackRock Small & Mid Cap Fund
Sensex for past few months has been moving in a very narrow range. Small/Mid Cap and Micro caps is the area where we are seeing growth.
Its hard to cherry pick individual stock in this area. Also it is sometime subject to manipulation so swings are high.
For Small and Micro cap stocks I think its better to invest through mutual funds where they are focussed on it and manage the chrun properly.
MicroCap Fund was started as Closed Ended Fund but now has been made open ended fund and is open to subscription.
Till it was closed ended I was investing in Small and Mid Cap Fund but now I am also going to invest in MicroCap fund.
The investment objective of the scheme is to seek to generate long-term capital appreciation from a portfolio that is substantially constituted of equity and equity-related securities, which are not part of the top 300 companies by market capitalisation.
It is high risk fund for people for higher apetite for returns. There is only growth option in this fund.
In the YOD( 16th July), the BSE mid-cap and small-cap indices have outperformed the Sensex. The BSE mid-cap and small-cap grew 10.12% and 12.99%, respectively while the Sensex delivered returns of just 2.81%.
Investor should have basket of funds some from largecaps, some diversified and some from small and mid/micro cap category to not miss any rally in one category.
DSP Black Rock Micro Cap Fund, a new entrant has also claimed CRISIL Fund Rank 1, in the Small & Midcap category.
Diversified funds have given returns in the range of 5-10% but micro cap funds recently have given returns in the range of 30%
The highest return of 34% has been generated by DSP BlackRock Micro Cap Fund.The fund has invested around 94% in mid- and small-cap stocks and less than 1% into large-caps.
Investors can subscribed some amount in this fund
Thursday, August 5, 2010
DSP BlackRock Micro Cap Fund & DSP BlackRock Small & Mid Cap Fund
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3 comments:
Yeah, so investors simply subscribe some amount.
Is there any way to subscribe to this post? I’d like to be updated on the comments here as they come in. I’ve always been somewhat of a debater and I’d like to hear other’s opinions on this issue.
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