What is Multicap Mutual Funds

Multicap mutual funds are diversified mutual funds which can be invested in stock across market capitalization. Their portfolio comprises of small cap, mid cap, and large cap stocks.

P.S. Instead of sticking to a specific organization, these funds incorporate small, mid, and large cap stocks in a proportion.

As and when compared to pure small/mid cap funds, these are less risky and popular amongst which are less aggressive about returns.

Best Multicap Mutual Funds to Invest in 2019

Kotak Standard Multicap Fund(G)-Direct Plan

Mutual Fund 5 Star

Returns 3Y: 18.24%

JM Multicap Fund(G)-Direct Plan


Return 3Y:  17.82%

SBI Magnum Multicap Fund (G) - Direct


Mutual Fund 5 Star

Return 3Y: 15.27%

ICICI Pru Multicap Fund(G) - Direct Plan


Return 3Y: 15.46%

BNP Paribas Multi Cap Fund(G) - Direct


Return 3Y: 13.55%

  • Past Performance Is No Guarantee of Future Results

Multicap mutual funds mainly invest their money in stocks across various market capitalization. Rather than investing in one segment of market, these funds invest in large cap, mid cap and small cap in a definite proportion. They are less risky compared to other funds such as small cap and mid cap. Since these funds are meant for investors, who have a low risk appetite. As these schemes invest across various market capitalization, this also gives an opportunity for the fund manager to switch to any sector and stocks belonging to any market capitalization based on his views on the market and product. Due to the diversification, these funds generate good returns during the bull run, sometimes outperforming the large and mid-cap funds

How to Choose Multi Cap Mutual Fund?


To evaluate a multi cap mutual fund, an investor needs to look out for certain factors:

  • Fund History and Fund performance:

Before investing in any best multicap mutual fund, it’s quite important to look out for the fund history and how it has performed over the years. Apart from that, an investor also needs to look at the reputation of the asset management company. Also ensures that, the fund has gone through all the market cycles of slumps and rally.

  • Fund returns:

An investor must do a check regarding the fund annualised returns before investing in it. An investor must look out for the fund performance over a period of 5 to 10 years. Before investing, one must pick those funds, who have generated returns more than the benchmark index.

  • Expense Ratio:

Every fund house charges a certain amount of fees annually as part of their expenses on overall returns which is called as Expense ratio. It’s cost always varies depending upon the different fund house. So, any investor before

investing must look out for the expense ratio. Lower the expense ratio, less impact on the returns.

How To Invest in Multicap Mutual Funds with Gulaq?

Investing in best multicap mutual funds is not a bad idea; and with Gulaq the process is simplified with just a few clicks. The investor can filter her requirements in accordance with goals, returns, risks, and horizons. Once sorted, the investor came hop on to Gulaq and start investing. That simple and clean platform

What Are The Key Points To Consider As An Investor?

There are certain key points to consider as an investor before investing.

  • Objective of the Fund:

Before investing in any of the funds, any investor must look out for the objective of the fund whether its high growth or stable returns. This will clearly tell you about the style of investing i.e. Value investing or growth investing.

  • Risk Assessment:

For any investor, risk assessment plays a crucial role in growing and protecting their investment. Multi cap funds have also faced the risk factor, whereas the rise or fall in the value of the index leads to a sharp increase and decrease in the fund value.

  • Investment horizons:

If you are a multi-cap fund investor, then one must prefer a medium- or long-term investment horizon. A longer-term investment horizon will help in reducing the risk and maximizing the returns. Extra time will help enable the fund to realize its full potential.

Who Should Invest in Multi Cap Funds


Multi-cap mutual funds maintain a diversified portfolio which consists of stocks of different sectors and capitalization. These funds are one of the best ways to take exposure towards broader equity segment by means of systematic investment plan of as low as INR 500. Investors who are not into the world of taking any trouble regarding stock picking or deciding which fund is good to go may opt for best multi cap mutual funds as a start. Later on, the investor can switch over to pure cap funds after getting hang of markets like a pro.

Frequently Asked Questions


Multicap Mutual Fund Lookin Period

Tax on Multicap Funds Return

Invest in Multi Cap Mutual Funds & Gain Better Returns


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Attention Investor
Investments in Mutual fund & Securities Market are subject to market risks. Please read the scheme information and other related documents carefully before investing. Past performance is not indicative of future returns. Please consider your specific investment requirements before choosing a fund or designing a portfolio that suits your needs. Terms and conditions of the website are applicable.

Gulaq Registered Office
Estee Financial Services Pvt. Ltd. (hereinafter referred to as “EFSPL”) Formerly Estee Commodities Pvt. Ltd ( hereinafter referred to as “ECPL”), 7th Floor, Block 1, Vatika Business Park, Sohna Road, Sector 49, Gurugram, Haryana 122001.
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Registration Detail 
Estee Advisors Pvt Limited (hereinafter referred to as “EAPL”) is registered with the Securities and Exchange Board of India as Stock Broker with registration number INZ000170130 and registered with BSE Star with code 24408 for mutual fund transaction facility. EFSPL and EAPL are group companies and EAPL is authorized to provide its services to the Users on the Gulaq website/app under a Sub-distribution agreement with EFSPL.

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Mutual fund investments are subject to market risks, read all scheme documents carefully.

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