Wednesday, 14 June 2017

Know the Benefits of Investing in HDFC MidCap Opportunities Fund


In today’s world, one source of earning is not sufficient to bear all the expenses. So it stands very important to find alternate sources of earnings to meet the uncertain or any planned future expenditures. The best way to solve this issue is to retain some amount of money from regular savings and invest it in the mutual funds. HDFC Mid Cap Opportunities Fund Growth is one of the best options as it is a growth-oriented plan which aims towards capital appreciation in the long term. 

This is obvious that when you are seeking high-growth prospects, you have to face the equivalent level of risk regarding market fluctuations. So, to reduce the risk factors, the best investment scheme is the one which invests in mid-cap companies with growth objective for the long run. The reason being is that mid-cap stocks offer higher growth opportunities in comparison with other equity options available. So, considering various factors, HDFC Mid Cap Opportunities stands as one of the best schemes because of its mid-cap investment criterion which provides compelling investment opportunities especially in today’s volatile market. Various advantages of investing in HDFC MidCap Opportunities Fund include: 

  1. Performance in Comparison with its Category:  The HDFC MidCap Opportunities Fund NAV has shown a positive movement of more than five times in the past seven years, i.e., from 2010 to 2017. The current NAV is tracked at Rs. 51.853 as on June 12, 2017. It has outperformed its category and its benchmark, i.e., Nifty Free Float Midcap 100, many times with superior returns. Other than its category, it has also beaten the performance of other asset classes of similar nature. 
  2. More Growth Opportunities Than Large-Cap Stocks: Midcap funds provide more growth opportunities than those offered by large cap. As large-cap funds invest a bulk portion of the total capital in large and giant companies which are well established and grown up in the market, they cannot fetch more growth opportunities. Contrary, mid-cap schemes invest in small- and middle-level companies which are in the path of attaining growth in the market. So, mid-cap funds offer more growth opportunities to create wealth.
  3. Less Volatile Than Small-Cap Stocks: Midcap stocks are less volatile as compared to the small-cap ones. As small-caps invest in the start-ups and new companies which do not have any strong foundation in the market, these funds face high volatility. On the flip side, the mid-cap funds invest in corporations which are on the growth path and have a good base in the market with the market capitalisation of Rs. 500 to Rs. 10,000 crore. Thus, mid-cap stocks are less volatile.

HDFC Mid Cap Opportunities Fund Growth has multiple benefits for the investors which can be availed by investing in it. 

Therefore, it can be concluded that midcap growth funds are one of the best options available for the investors seeking capital growth and high-returns on investments over a long period of time. HDFC Mid-Cap Opportunities Fund Growth is one of the highly recommended schemes on various online investment platforms like MySIPonline. If you want to avail the benefits of HDFC MidCap Funds online, you must get associated with the best service providers today.

3 comments:

  1. Nice article thanks for sharing such a valuable information with us.you may also check our blog for more information Axis MF scheme

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