
The underperformance streak of DSP Midcap Fund doesn't seem to recede. The fund is testing the patience of its investors big time and we are happy to give it one more shot. Performance DSP Midcap Fund's underperformance in 2021 and 2022 is no hidden fact. These two years have been the leanest phase for the fund since its inception. Its rating now has also slipped to 2 stars. But this is not the first time that this fund has been a spot of bother. 2013-15 was also a period of languishment for the fund and it staged a good comeback later. Moreover, despite this recent steep fall, the long-term returns of the fund are still competitive (refer to the 7y-rolling returns chart). What is dragging the fund? DSP Midcap Fund's exposure in sectors like healthcare, financial, consumer discretionary, technology and materials has been the biggest drag. Its fund manager, Vinit Sambre, likes to hold a company for its entire business cycle, and a
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