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  • BEST LARGE CAP FUNDS
  • What are the benefits of Large Cap Funds
  • How to Invest in Large Cap Funds
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What is Large Cap Funds ?

Large Cap Mutual Funds are equity funds that invest a bigger proportion of their total assets in companies with a large market capitalization. These companies are highly reputed and have an excellent track record of generating wealth for their investors over a long period.

BEST LARGE CAP FUNDS

Large-cap mutual funds are those that invest at least 80 per cent of the corpus in top 100 companies by market capitalisation. Best large cap funds are the top rated large cap funds giving good returns. These companies are generally the leaders in their field of businesses Provide stable returns & have better potential to withstand economic turmoil Suitable for less aggressive investors who want to create wealth without taking too much of risk or exposing their corpus to a lot of volatility Gains on equity funds are subject to taxation @ 15% for holding period less than 1 year and @ 10% for more than a year if gains are more than 1 lakh

 

What are the benefits of Large Cap Funds

Large-cap funds have more potential for earning growth and immense profit. One of the important advantages of large cap funds is that they are less resilient than mid-cap funds & small cap funds. The near-term prospects of large cap funds can be more predicted.On the flip side, the large cap funds offer cheap returns than mid cap or small cap funds. But when benefits of mutual funds are analysed in totality, large cap investment funds outperform all other funds. These funds come under low-risk low return category. In volatile times, it is prudent to invest in large cap funds.When you compare the performance of large caps funds with mid-caps at the time when the markets were playing poor, the mid-caps got fired off from all the ends. The large cap funds reserved average returns for the investors. The major point is these funds do not get beaten up during market fluctuations. The average three-year returns given by these are between 50 % to 60% which is a fair return on investment for the investors.The market in these large cap mutual funds has been projected at roughly ten billion dollars. This market is full of experts that specialize in long-term invests and is often more expensive to get started. Since these investments are for longer terms, you lose less money and are a bit less shaky than small cap stocks. Due to sheer numbers of engaged buyers and sellers, large cap mutual funds lead to trade in a systematic manner. They trade in tandem with the ubiquitous market to a large extent, you can check positions.

How to Invest in Large Cap Funds

When you’re building your mutual funds portfolio, you must make sure that you can spread your investments. To build up your portfolio, integrate both small cap mutual funds and large cap funds. If you are a beginner or an investor who avoids risks, then large cap investment funds may be for you. Some investors prefer the long term, investment and others enjoy the lower risks. Regardless of the type of funds that you intend to pursue, get help from the trained experts before you take action. Whenever you are making an investment,  you must consult with someone who can isolate your risks as well as your benefits. So, that you have a clear portrait of what to expect.

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