Investing: Hold on to good mid- and small-cap stocks

A market correction is a good time to reassess the quality of your portfolio and purge the poor quality names from it

Year-to-date the S&P BSE Midcap Index is down 11.53 per cent, the Smallcap Index is down 14.05 per cent, while the Sensex is up 4.04 per cent. The rout in mid- and small-cap stocks has led to panicky calls from investors to the offices of fund management, wealth management, and brokerage firms. This is in sharp contrast to the mood some time ago when equity prices, soaring on the back of a surge in domestic liquidity, were making investors confident, even cocky. The tables have now turned completely. More time is being spent now on investor management rather than on