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Cherry-picking Fallen Angels — Part 1

Mid-cap stocks have corrected much more than the broad market. Where should you bottom-fish?

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Following an unrelenting rise over the past 18 months, the winning streak for small and mid-cap stocks has come to an end. Since the beginning of this calendar year, BSE Small-Cap Index and Mid-Cap Index have fallen by 20% and 15% from their respective highs. May was the worst month for mid-caps in the past one-and-half years with the index plunging by 6.8%. A cloud of uncertainty now looms over these indices with several coveted names no longer being investor favourites.