Small Caps Are SINKING

The small-cap universe is grey, dull and wet right now. Its index has sunk over 25 per cent (as of March 3, 2025), with no blue skies in sight. A bottom-up look at this space further highlights the turbulence: over 55 per cent of small-cap stocks are down by more than 50 per cent from their all-time highs. Adding to the funk are industry veterans, many of whom have stated that small caps remain expensive and that SIPs (systematic investment plans) in small-cap funds should be stopped altogether. Basically, the knives are out for small caps right now, much like they have been for Virat Kohli due to his lean Test run.

This article was originally published on March 17, 2025.