Best Midcap & Small Cap Mutual Funds to Buy Now | Expert Reveals Top Picks

Mutual fund managers continue deploying cash as steady SIP inflows support equity markets, even though purchases have slowed in July. Cash allocations have declined over the past three months, reflecting improving confidence and active investment across midcap and small-cap segments. Shweta Rajani, Head - Mutual Funds, Anand Rathi Wealth, highlighted that fund managers have been steadily deploying cash while maintaining a disciplined investment approach. She noted that funds such as Kotak Midcap, HDFC Midcap, Invesco Midcap, Invesco Small Cap, and HDFC Small Cap remain worth tracking. She also added that while industry cash levels may rise temporarily due to fresh inflows, fund managers have largely been deploying capital into quality opportunities.