Small and midcaps facing valuation concerns and caution from SEBI. Investors advised to assess risk appetite and liquidity needs. Proper asset allocation crucial for managing risk. Long-term investors should stay invested despite current market conditions.
Moneycontrol spoke to mutual fund industry people and market participants. The general view is SEBI and AMFI are right about the flagging the exuberance in mid and smallcaps. Here is what they said