Is it good to invest in multi-cap mutual funds in 2022?

Mutual funds are an amazing way to build wealth in a slow-steady manner without losing sleep or taking inadvertent risks. In line with this, I have written a post earlier to share the advantages of investing in Mutual Funds irrespective of the market situation.

Should you invest in mutual funds or stocks in 2022?

Now coming to the question at hand, Should we invest in Multi-Cap Mutual Funds

Multi-Cap Mutual Funds unlike thematic or focused funds invest in companies across the market without due focus on the Market Capitalization. This achieves two goals

  1. Risk is spread across the portfolio
  2. Returns are assured different companies click during different cycles of the economy
Composition of Flexi-Cap or Multi-Cap Mutual Funds as per SEBI from 2020

This advantage does come with its downside as Multi-Cap Mutual Funds tend to average out returns in comparison to focused funds. Despite this, these funds are useful when

  • Inflation is on a rise
  • Global Uncertainty persists
  • Disruption in supply chain
Ukraine-Russia Conflict Since Feb 2022

In the year 2022, we are facing many of these issues along with Ukraine-Russia Conflict. Owing to this, it would be helpful to select a low expense ratio Multi-Cap Fund that can provide growth during this turbulent period.

Also, let us look at the Multi-Cap funds that an investor can choose to opt for in the coming days

  1. Nippon India Multi-Cap Fund
  2. Axis Multi-Cap Fund
  3. SBI Multi-Cap Fund
  4. ICICI Multi-Cap Fund
  5. Invesco India Multi-Cap Fund

This is just a review-based suggestion. Kindly do your due diligence prior to investing in the markets.

Hope this helps

You can follow my blog or Facebook page on investing to get insight into other stocks.

Happy Investing!!


  2. The new avatar of a multi-cap fund
  3. Historic Returns – multi-cap fund,multi-cap fund Performance Tracker| Mutual funds with highest returns –
  4. Flexi Cap fund in India 2022 | Best Flexi Cap Funds by ET Money

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