Over 20 mutual funds reduced exposure across 18 Indian mid-cap stocks in September, signaling caution after a steep rally. Aditya Birla Fashion and Raymond saw holdings drop by more than 60% as fund managers rebalanced portfolios toward defensives. Analysts link the trimming to valuation fatigue and regulatory guidance on concentration risks. Experts expect rotational interest to return once earnings visibility improves. Large-caps continue to attract fresh SIP flows, cushioning the broader market despite muted mid-cap sentiment into October.