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Sebi's multi-cap tweak: Mid, small-cap stocks poised for Rs 40k cr windfall

The S&P BSE MidCap Index fell for a second straight year in 2019, even as the main S&P BSE Sensex posted its fourth annual advance

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The mid-cap segment may get 130 billion rupees, while 270 billion rupees could flow to smaller companies as managers rebalance portfolios, Belapurkar said.

Nupur Acharya | Bloomberg Bloomberg

3 min read Last Updated : Sep 12 2020 | 5:29 PM IST

India's mid- and small-cap stocks are set to receive a boost after the regulator tweaked rules for multi-cap mutual funds, a move analysts say could push about 400 billion rupees ($5.4 billion) to the broader market.

Multi-cap funds must hold at least 75% of their assets in equities -- up from 65% at present -- with 25% each in large, medium and smaller companies to ensure they stick to their mandate of investing in a wide set of stocks, the Securities & Exchange Board of India said in a circular late Friday.

The ruling that lays out how equity assets

Topics : Coronavirus Markets mid small-cap Mid cap small cap stock market Sebi

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