Mid & Small Cap Crash: When Should Smart Investors Enter? Deven Choksey Explains

In a volatile mid-cap and small-cap environment, investors often wonder when to enter the segment. According to the expert, timing becomes irrelevant when investing through a strong fund with a proven 15–16 year track record. Your job isn’t to time the market—it’s to continue SIPs with confidence in the fund manager’s strategy. The real concern lies in valuations: companies outside the Nifty 500, and even beyond the Nifty 200, are currently trading at extremely stretched price-earnings ratios of 40–50x. This is where most of the pain lies. Investors or fund managers who bought at such elevated valuations are now forced to reassess, cut losses where needed, and redeploy capital more intelligently. Staying disciplined—and relying on expertise - is key.