Comparative Analysis of Indian Mid Cap Mutual Funds in Pre Covid Period and Bizarre Business Environment (BBE)

Abstract

Since the beginning of January 2020, the stock market has experienced unpredictable and turbulent fluctuations due to the uncertainties surrounding both the financial markets and human life caused by the COVID-19 pandemic. Every service sector has suffered as a result of the lockdown. Investors in large cities have never before experienced a situation where they had to cancel their investments in order to survive, and this circumstance has a direct and indirect impact on the Indian economy. However, the RBI and SEBI's significant financial support appears to have stabilized the precipitous decline in the securities market in India. The mutual fund of mutual funds has always outperformed against other financial securities in India on the basis of risk and return. There are certain advantages of mid cap mutual funds on risk and return parameters when compared to large cap mutual funds and small cap mutual funds. Therefore, this paper attempts to analyse the performance through various ratios like Sharpe, Treynor, Jensen’s alpha of top mid cap funds ranked by CRISIL prior Covid 19 and in BBE i.e. Bizarre Business Environment and compare whether there’s any change in the returns of these top funds prior and BBE. The results concluded that Kotak Emerging Equity Fund performed equally well in both the periods against L&T Midcap Fund and Aditya Birla Sunlife Midcap Fund.