Large-cap mutual funds are recommended for new investors as they invest in well-known and financially strong companies, providing consistent returns and building confidence.
These funds are considered safer for beginners due to lower risk, lower volatility, stable returns, and better risk-adjusted returns compared to small-cap and mid-cap funds.
Large-cap companies offer steady and reliable growth, making them suitable for first-time investors seeking a safer investment option, especially during tough economic times.
Investing in large-cap mutual funds is a safe and affordable way for beginners to start their investment journey, offering high liquidity, no need for perfect timing, and the ability to invest in leading companies with small amounts.