Nifty Mega Caps Stalled; Samco CIO Shifts 75% to Mid and Small Caps

Mutual fund manager Umesh Mehta, CIO at Samco, says Nifty mega caps face headwinds from high institutional ownership and a shift in earnings momentum towards mid- and small-cap stocks. He notes that institutional buying limits have constrained fresh upside in the mega-cap segment.

In response, Samco Flexicap Fund has allocated 70–75% of its portfolio beyond large caps. Mehta flags opportunities in defence, power, AI ancillaries and gold, while cautioning that IPO-led liquidity pressures could create near-term volatility.