After largecap funds come the midcap funds, which invest in stocks belonging to the mid cap segment of the market. Many of these midcaps are said to be the ‘emerging bluechips’ or ‘tomorrow’s largecaps’. There can be actively managed or passively managed mid cap funds. There are indices such as the CNX Midcap index whic h tracks the midcap segment of the markets and there are some passively managed index funds investing in the CNX Midcap companies.
