What is the difference between large cap, mid cap, and small cap?

Beginners should focus on large caps first. Once you understand the market, gradually add mid-cap exposure. Small caps require deep research and should be a small portfolio percentage.

Large cap: market cap above ₹20,000 crore. These are Nifty 50 stocks — more stable, lower risk, lower potential return. Mid cap: ₹5,000-20,000 crore. Small cap: below ₹5,000 crore — higher risk, higher potential return.