Here’s how to pick a mutual fund from 14 new Sebi categories
With multiple mutual fund categories, it's best to stick to the basic ones like large-cap, multi-cap or mid-cap
If mutual funds are often touted as one of the best vehicles for you—the small investor—to invest in equity and debt markets, then picking a fund should be easy, right? That was the intention of the capital market regulator, the Securities and Exchange Board of India (Sebi), when it started the biggest exercise seen in the ₹ 23 trillion Indian mutual fund industry in recent years—the re-categorisation and consolidation of mutual fund schemes. But a look at the number of categories it has laid out for various fund houses to put their schemes in may have made it tougher for you to pick a mutual fund.