Samco Large & Mid Cap Fund - Direct Growth

Large Cap companies are the 1st-100th company in terms of market capitalization. Mid Cap companies are the 101st-250th company in terms of market capitalization. Large and Mid-Cap Funds are those equity-oriented mutual funds that invest primarily in a mix of large and mid-cap companies.

It is a strategy to invest in winning stocks which are showing strong momentum. Momentum stocks are such that exhibit positive price momentum – based on the phenomenon that stocks which have performed well in the past relative to other stocks (winners) continue to perform well in the future, and stocks that have performed relatively poorly (losers) continue to perform poorly. The momentum strategy is based on buy high, sell higher or alternatively, cut your losses and let your winners run.

Momentum works due to behaviour biases of the investors in the financial markets. Investors are not always rational, they have limits to their control over emotions and are influenced by their own biases such as loss aversion, regret, anchoring and disposition biases. Because of all these human biases, there exists an opportunity in the momentum space which is more consistent and time-tested strategy to make an alpha in the stock market.

SAMCO Large & Mid Cap Fund uses a cutting-edge momentum-based strategy with SAMCO's proprietary C.A.R.E. Momentum system to deliver superior risk-adjusted returns. It identifies large & mid cap stocks with strong momentum in Cross Sectional, Absolute, Revenue, and Earnings Momentum. By focusing on the top 250 companies by market capitalization, the fund optimizes the portfolio and mitigates risks using derivatives and hedging during market volatility.

Samco Large & Mid Cap Fund uses C.A.R.E Momentum Strategy which invests in large and mid-cap stocks that are showing momentum characteristics in Cross Sectional, Absolute, Revenue, and Earnings Momentum to deliver superior risk-adjusted returns. It allocates 35–65% of its assets to large cap stocks (top 100 companies) and 35–65% to mid-cap stocks (ranked 101–250), ensuring diversified exposure across market segments. Additionally, it has the flexibility to invest up to 30% in companies beyond the top 250 companies or in debt/money market instruments. The strategy incorporates derivative instruments for hedging up to 80% of net assets and for other purposes up to 50%, enhancing portfolio stability during volatile market phases.

The minimum investment amount for lumpsum is Rs.5,000 and in multiples of ₹1/- thereafter and for Systematic Investment Plan (SIP) it is Rs. 500 and in multiples of ₹1/- thereafter.

There is no entry load applicable. 10% of units can be redeemed at any time without an exit load. Any redemption in excess of 10% of units will incur 1% exit load in the first 12 months. No exit load, if redeemed after 12 months from the date of allotment of unit.

The fund will be jointly managed by Mrs. Nirali Bhansali and Mr. Umeshkumar Mehta and Mr. Dhawal Ghanshyam Dhanani.

The benchmark for this scheme is the Nifty Large Midcap 250 Total Returns Index.