About 12 smallcap stocks have gained over 25%, with Alok Industries being the topper with a 52% surge. It was followed by Sun Pharma Advanced Research, Inox Green Energy Services and Waaree Renewable Tech.
Small caps are highly volatile and therefore, risky. But investors are often attracted to the high returns that they offer. Here are a few things to keep in mind while looking to invest in small caps.
Amit Gupta says: "Energy transition, Make in India and capex would be the key themes, going forward. Over FY22-23, the capex cycle was primarily driven by household investments in real estate and the central government. Consequently, all the engines of the capex cycle have now started to fire (centre, state, corporates and households)."
Anil Rego, CEO and Fund Manager at Right Horizon, PMS, expects the government to focus on infrastructure development in Budget 2024, including ports, airports, railways, and highways.