Episode 109: The promise and perils of small-cap funds

While small-cap funds can provide significant returns, they can also be highly risky. Hence, many investors who want to earn high returns might prefer a small-cap fund. But there are various things that investors need to keep in mind if they want to invest in small-cap funds. They should have answers to the following questions: • What are the small-cap funds? • What are the investment goals? • What are the promise and perils of small-cap funds? • What to do if the fund is going down? Anyone who's ever invested in a small-cap fund will tell you that the experience can be a true roller coaster ride. These funds might bring you extraordinary returns, but they may also throw up nasty surprises. Small-cap funds have been struggling with negative returns for a while now. And history would suggest that every time they go through a rough patch, they bounce back sharply to hit the roof. So are we at the cusp of the golden run? And should you invest in them? Join us in the Investors’ Hangout where we tell you all you need to know about investing in small-cap funds Join us in this episode of InvestorsHangout if you want answers to some of these questions and know more about small-cap funds.