Are small cap index funds a good investment?

Index funds in general are good investments; however small cap funds depend on your risk profile[1] and appetite. Small cap space may offer multi baggers but the space is riddled with potential fraud companies.

The BSE small cap index has hardly given 6.3% annualised return over the last 5 years. Over 10 years it is hardly 3.7%.

To sum, invest in the Nifty 50 index or Nifty Next 50 index ETF or index funds. To invest in equities, go with a trusted SEBI Registered Investment Advisor[2].

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