Small-cap
Companies ranked 251 and below by market capitalisation on Indian exchanges.
SEBI defines small-cap as the 251st company onwards by market cap. They are smaller, less researched, and historically deliver higher long-term returns with much higher volatility. Small-cap funds in India can fall 40% to 60% in a bear market and rise 200% in a bull run. Treat them as a satellite, not the core, and only with a 7+ year horizon.
Inside Finlo
A 60-second lesson that puts this term in context, alongside the others, lives inside the Finlo app.