What is important for you is to know how and when to invest in these classes of funds.

  • Small cap - if you are an aggressive investor. But do note that for almost ten years (since peak of 2007) the small cap index has given almost no return!

  • Mid cap funds - less risky compared to small cap. But here again remember mortality of these companies is almost 75%. And there are many shady operators, to avoid.

  • Large cap funds - For a long term mutual fund investor this is good place to invest as you get steady returns.

As always match investment with your risk profile assessment done with help of a SEBI Registered Advisor. Don’t go with brokers and apps  who do not offer you “Direct Plan” Mutual funds - they want to make more money out of you, than helping you make good returns.