Vikas Gupta, CEO & Chief Investment Strategist at OmniScience Capital, “If one looks at the total AUM, the pure large cap has lower AUM as compared to the midcap and just slightly higher than the small cap AUM. This is a matter of concern given that typically, large cap stocks as a percentage of overall market cap are approximately 70% under normal conditions and mid and small caps are approx. 15%-20% and 10%-15%. This makes it clear that there is overallocation by retail to the midcap and small cap categories. Nifty Midcap 50 is at a PE of 37, Nifty Midcap Select is at a PE of 47 and Nifty small cap 250 is at PE of 33.
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