One month into mandatory stress tests, small-cap funds show a mixed picture. Here's a breakdown:
How to Check Your Fund's Results:
Background:
The Securities and Exchange Board of India (SEBI) mandated stress tests for mid-cap and small-cap funds due to concerns about potential overvaluation. These tests assess a fund's ability to handle high redemption requests (investors withdrawing money) during market downturns.
What to Remember:
The stress test is one factor to consider when evaluating a fund. Look at the fund's long-term performance, past manager performance, and overall investment strategy before making any investment decisions.
Disclaimer: This information is not financial advice. Please consult with a financial advisor before making any investment decisions.
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