A midcap fund is a type of mutual fund that primarily invests in stocks of mid-sized companies, which fall between large-cap and small-cap categories.
Midcap funds offer growth potential from 101st-250th market cap companies.
Midcap companies capitalize on a growing economy for potential gains.
While promising long-term potential, midcap funds may underperform in the short term. Invest in midcap funds to access mid-sized companies via the systematic investment plan (SIP) route.