Small and Mid cap stocks are known as stellar performers when stock market recover from long lull. Nifty’s Mid cap bench mark index NIFTY MIDCAP 100 has given annualized returns of 23.6% over last 3 years vs NIFTY 50s 13.6% returns over the same period. Mutual funds based on Mid Cap stocks are no different. Canara Robeco Emerging Equities is the best amongst the small cap & mid cap category and it is ranked 2 by CRISIL in Small and Mid Cap category. Fund has given impressive annualized returns of 37.89% over last 3 years.
Canara Bank Rebeco Emerging Equities:
Canara Rebeco Emerging Equities is the best amongst the large-cap & mid cap category and it is ranked 1st by CRISIL. It aims to generate long term capital appreciation through investing in diversifies mid-cap stocks which have higher probability to turn into bigger corporate in the coming future.
Portfolio Analysis: As per the sectorial holdings Banking & Finance have been most favored sector for this fund as it is contributing 23.41% to the entire portfolio followed by Automotive Sector. Top Holdings and Sector Allocation for this fund are shown below.
Top 5 Holdings:
Risk Profile:The risk associated with this fund is too high because the total investment is focused on the stocks from small caps and midcaps sector. During the corrective phase or bad times this scripts do not have any lower limits to fall which can turn into capital loss. However every coin has 2 sides as these small size companies have potential to turn large which once happens can add bumper returns to your corpus. It is suitable to investors having high risk bearing ability within the age of 20-40 years.
Technical Perspective: The Daily chart of Canara Rebeco Emerging Equities shows that wave 3 looks to be complete at the recent high of 105 levels and now wave 4 is in course. Also 50 days EMA is providing important resistance near 97 levels.
Investment perspective: This fund has maximum exposure to equity and as per our outlook on Indian Equity markets medium term outlook is positive. Parking through SIP route is the best option as of now.
Invest NOW in Canara Rebeco emerging Equities Fund online – Click here
