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Stock Analysis, IPO, Mutual Funds, Bonds & More
Mutual-Fund-Budget

Definition of 'Large Cap Funds'


Definition: There are a plethora of mutual funds available in the market. Funds which invest a larger proportion of their corpus in companies with large market capitalization are called large cap funds.

Description: The criteria for large cap companies may vary. However, these are generally the ones with huge market capitalization. Large cap funds are known to offer stable and sustainable returns over a period of time, but might be outperformed by small and mid cap funds, which have higher risk exposure.

Also See: Large and Midcap Funds, Mid and Small Cap Funds, Multicap Funds, Sector-Specific Funds

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