Securing Hannav Ledger...
Securing Hannav Ledger...
Glossary
Large-cap stocks are shares of companies ranked among the top by market capitalisation on Indian exchanges, typically the top 100 listed companies.
Large-cap companies are India's biggest, well-known firms — usually more stable than smaller companies but with moderate growth.
SEBI mandates large-cap mutual funds invest minimum 80% in top-100 stocks by market cap. Lower volatility and liquidity versus mid/small cap, but potentially lower growth during small-cap rallies.
A Nifty 50 large-cap fund holding Reliance, HDFC Bank, and Infosys provides core portfolio stability for a ₹50 lakh retirement corpus allocation.
Safer relative to small caps, but not immune to 30–50% market corrections. Business and sector risks still apply.
Large cap offers simplicity and stability. Flexi cap adds manager discretion across caps for potentially higher alpha with more risk.
SEBI revises market-cap ranking methodology periodically; AMCs rebalance portfolios accordingly twice yearly in many cases.