Microcap and Small-Cap Mutual Funds Attract Investors Amid Growth Opportunities

Microcap and small-cap mutual funds are gaining investor interest due to their growth potential despite higher volatility. Microcaps, typically companies with market capitalisation between Rs 5-10 billion, represent a niche segment with limited analyst coverage. Abakkus Mutual Fund recently launched its Small Cap Fund aiming for long-term capital appreciation by investing in diversified small-cap companies, emphasizing risk management and structural growth opportunities amid market volatility.