What are SME Stocks?

SME stocks mean shares of new, early-stage small and medium-sized companies with high growth potential. In India, both the BSE and NSE have launched a dedicated SME exchange to provide a robust fund-raising platform to SMEs. Small and medium-sized companies with maximum paid-up capital of Rs 25 crores can issue their shares to the public to raise capital and get listed on the BSE or NSE SME exchange.