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Nifty Midcap 150 drops 20%-plus once every 4.2 years, shows 21-year data
BusinessLine 1 hr ago·16 Sept 2026, 9:44 am
A recent analysis of 21 years of market data reveals that the Nifty Midcap 150 index experiences a decline of 20% or more roughly once every four years. This pattern highlights the inherent volatility of midcap stocks, which tend to be more reactive to economic cycles compared to large-cap blue-chips. Such significant corrections are a historical feature of the market, driven by shifts in investor sentiment and broader economic conditions.
For investors, this statistic serves as a reminder that market downturns are a normal part of the investment journey. While short-term volatility can be unsettling, historical trends suggest that these periods are often temporary. Staying invested during these phases allows investors to ride out the fluctuations and benefit from the long-term growth potential of the broader market.
Excerpt from BusinessLine
Abakkus Mutual Fund’s analysis of the Nifty Midcap 150 index spanning April 2005 to August 2026 shows the index has fallen more than 20 per cent on five occasions over 21 years, averaging one such decline every 4.2 years. The study further found that corrections of 10–20 per cent occurred eight times over the same…Read the original at BusinessLine
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