Its The Choice That Matters

Hemant Rustagi
Chief Executive Officer, Wiseinvest Pvt Ltd.

The stock market continues to remain volatile. While market volatility is a natural phenomenon and will always remain an integral part of stock market investing, investors who follow a disciplined approach can tackle this challenge well. In fact, volatility is not the only challenge that investors have to contend with. The prominent ones are how to decide on exposure to different market-caps, when to sell and the size of the fund. Here’s how these challenges can be tackled by investors. 

Exposure to Different Market-Caps
The market-cap of a company signifies its market value, which is equal to the total number of shares outstanding multiplied by the current stock price. The market-cap has a role to play in the kind of returns the stock might deliver and the riskiness or volatility that one may have to encounter from the stock. For example, large companies are usually more stable during the turbulent periods and the Mid-Cap and Small-Cap companies are more vulnerable.