Mid-cap schemes may have to brace for Rs 29,000-cr rejig

A mid-cap fund is now required to invest at least 65% of its assets in mid-cap stocks

HDFC Mid-Cap Opportunities Fund, the biggest mid-cap scheme with assets of more than Rs 19,000 crore, has a little less than 35 per cent of its assets invested in mid-cap stocks as defined by the Securities and Exchange Board of India’s (Sebi’s) new categorisation norms. 

The scheme will have to buy mid-cap stocks worth up to Rs 5,830 crore, and simultaneously slice its holding in large- and small-cap stocks, to comply with the new norms, analysis of Value Research data shows. Other mid-cap schemes that may have to substantially rejig their portfolio include Reliance Growth Fund, IDFC Premier Equity, L&T