“Mid cap category was the worst hit, with 62 per cent schemes underperforming. We had a total of 34 mid cap schemes in our list.”
From this Nov 2017 article.
//economictimes.indiatimes.com/articleshow/61736777.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
A lot of Midcap Mutual Funds underperformed the Benchmark – Nifty Midcap 100 in 2017.
One of the reasons was the huge move in Vakrangee Limited and a little bit of a outperformance move in Rajesh Exports. Both these companies have almost zero Mutual Fund Holdings . ( good to see such a boycott.)
But the index calculation does not care for valuations or any other governance concerns. Its a free float survivorship index. For example RCOM was the 7th Largest weight in Nifty in 2007 peak.
| Stock | Value - Dec 2016 | Weights - Dec 2016 | Value - Dec 2017 | Weights - Dec 2017 | Value - Feb 2018 | Weights - Feb 2018 | Returns Dec16 to Dec17 |
| Rajesh Exports | 462 | 1.18% | 805 | 1.47% | 837 | 1.52% | 74.24% |
| Vakrangee | 137 | 1.58% | 421 | 3.47% | 163 | 1.34% | 207.30% |
| Nifty Midcap 100 | 4402 | 6697 | 6199 | 52.14% |
Of the 52% return in 2017 almost at 3-4% impact came from Vakrangee !!!
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