Trust Mutual Fund has launched a new mid-cap equity scheme named TrustMF Midcap Fund.
This is an open-ended fund that will mainly invest in mid-cap company shares. The New Fund Offer (NFO) started on February 27 and will close on March 13.
Investment Focus and Benchmark
The fund will invest in companies ranked between 101 and 250 based on market capitalization. Its benchmark index is the Nifty Midcap 150 TRI.
According to Association of Mutual Funds in India (AMFI) data, as of December 2025, the market capitalization of mid-cap companies ranged between ₹34,800 crore and ₹1,04,500 crore.
Performance of Mid-Cap Companies
Trust Mutual Fund stated that mid-cap companies include leaders from sectors such as digital platforms, manufacturing, financial services, infrastructure, retail, and consumption.
Over the past 15 years, the Nifty Midcap 150 TRI has delivered better returns compared to the Nifty 100 TRI and the Nifty Smallcap 250 TRI.
For example, if someone had invested ₹10,000 in mid-cap stocks 20 years ago, the investment would have grown to about ₹2.38 lakh today.
However, the fund house has clearly stated that past performance of any mutual fund scheme does not guarantee future returns.
The fund has been launched at a time when mid-cap stock valuations have fallen significantly. Many of these stocks are currently trading well below their all-time highs.
Risk and Investment Strategy
Sandeep Bagla, CEO of Trust Mutual Fund, said that the scheme will follow a growth-based investment strategy. It will focus on strong fundamental analysis and disciplined valuation methods.
This fund is suitable for investors who are comfortable with higher risk and want to build a large corpus over the long term.
Experts say that mid-cap stocks usually move up and down more sharply compared to large-cap stocks, which makes them riskier but also potentially rewarding.
Important Points for Investors
There are already several mid-cap mutual fund schemes available in the market, and investors can review their past performance to estimate potential returns.
Before investing in this NFO, investors should consult their financial advisors. If someone’s portfolio does not currently include a mid-cap fund, they may consider adding this scheme for diversification.
