Mid-Cap Mutual Fund schemes invest in mid-sized companies or stocks with medium market capitalizations. Here is the monthly update on Top Mid-Cap Mutual Funds 2019. If you are ready for high risk and want to create wealth for the long term. Then you are at the right door. In the word “Mid-Cap”, the word “Cap” refers to the size of the company. In Midcap fund, the market capitalization ranges between Rs. 500cr. to Rs. 10000cr. Here we will talk about Best Mid-Cap Mutual Funds to Invest in 2019. Choosing Top Mid Cap Mutual Funds to invest in 2019 is not that hard. You just have to follow some simple steps to do that.
- Performance and risk analysis
The main thing to know if that fund is worth investing or not is to analyze its performance. Anyone must check if the fund is giving regular return or not. If a fund has a high return that doesn’t always mean that fund will be worth of best mid-cap mutual funds to invest in 2019. You must check if the fund has given regular return at least for five years. The rolling returns of that mid-cap fund also should be checked for periods such as one year, three years and five years. You also have to check on risk-reward ratios like sharp ratio, Sortino ratio, and standard deviation over a 3 year period.
- The calculation to check for the consistency in the last three years
“H” is used for calculating the consistency of fund. The full form of “H” is Hurst Exponent. To measure the randomness of NAV series of a fund the “H” is an exponent. If a fund has high “H” that fund tends to exhibit low volatility compared to funds with low “H”.
- If “H” = 0.5, the return of that series is said to be a geometric Brownian time series. These types of series are difficult to forecast.
- If the “H” is less than 0.5, the series is called to be mean-reverting.
- If the “H” is greater than 0.5 the series is called to be persistent. The larger the value of “H” the stronger will be the trend of the series.
- Benchmark
Before you invest in mutual fund you must check the benchmark if that fund you are investing in has crossed the benchmark or not and if it is performing under its benchmark that fund is big no no for your best mid-cap mutual funds to invest in 2019.
- Fund Portfolio
The fund you are currently investing or planning to invest in you must check the portfolio of that fund. If that fund has a well-diversified portfolio. The exposure to the top 10 holdings should be ideally under 50% but in the case of mid-cap mutual funds, it should not be more than 35% to 40%.
- Expense Ratio
Also, important things before you opt for the best mid-cap mutual funds to invest in 2019 are the expense ratio. The expense ratio of a fund should not cross more than 3% if you are seeing anything like this I think you should consider that before you invest in.
Name of that Fund | Launch date | Three years | Five Years | Ten Years | Return since launch |
L&T Mid-Cap Fund | 9th August 2004 | 8.14% | 13.37% | 15.99% | 18.26% |
Kotak Emerging Equity Scheme | 30th March 2007 | 6.72% | 14.19% | 16.13% | 11.07% |
DSP Black Rock Mid-Cap Fund | 14thNovember 2006 | 7.31% | 13.02% | 17.10% | 13.82% |
Franklin India Prima Fund | 1st December 1993 | 6.13% | 12.47% | 16.92% | 19.19% |
HDFC Mid Cap Opportunities Fund | 25th June 2007 | 6.13% | 11.80% | 18.28% | 14.13% |