Small Cap Funds

Smallcap equity mutual funds invest in relatively small companies. SEBI guidelines require small-cap funds to invest 65% of total funds in small-cap companies. The SEBI defines small-cap companies as those ranked from 251 and thereafter by market capitalization.
Total Schemes
51
No. of schemes
Total AUM
₹ 4.42Lakh Cr
As on latest
Category Return (5Y)
17.06 %
CAGR
Benchmark
15.71%
NIFTY 500 TRI

Category Returns (%)


Period1M6M1Y3Y CAGR5Y CAGR10Y CAGRYTD
Small Cap
4.29 %13.84 %5.50 %18.99 %17.06 %17.78 %10.89 %
Benchmark
4.33 %12.00 %1.30 %18.63 %15.71 %15.46 %8.79 %

Top Small Cap Funds (by AUM)

Fund NameAUM (₹ Cr)1Y Return3Y CAGR5Y CAGRExpense Ratio
Nippon India Small Cap Fund Direct-GrowthNAV: ₹204.69
78,407.00 Cr4.29%18.24%19.85%0.70%
HDFC Small Cap Fund Direct-GrowthNAV: ₹160.68
40,416.80 Cr-1.74%13.90%16.03%0.76%
SBI Small Cap Fund Direct-GrowthNAV: ₹208.76
40,156.70 Cr2.49%13.91%14.73%0.74%
Quant Small Cap Fund Direct Plan-GrowthNAV: ₹315.12
33,739.00 Cr9.74%21.24%19.94%0.89%
Axis Small Cap Fund Direct-GrowthNAV: ₹133.23
29,393.80 Cr5.40%16.91%17.11%0.77%
Bandhan Small Cap Fund Direct-GrowthNAV: ₹55.70
28,466.20 Cr5.91%28.21%20.37%0.59%
DSP Small Cap Direct Plan-GrowthNAV: ₹247.25
19,634.90 Cr10.05%19.66%18.29%0.82%
Kotak Small Cap Fund Direct-GrowthNAV: ₹320.27
18,690.80 Cr0.95%14.50%14.37%0.65%
HSBC Small Cap Fund Direct-GrowthNAV: ₹97.73
17,830.20 Cr3.18%17.14%18.15%0.77%
Franklin India Small Cap Fund Direct-GrowthNAV: ₹204.72
14,336.40 Cr1.17%16.61%17.53%1.04%
Canara Robeco Small Cap Fund Direct-GrowthNAV: ₹45.35
13,967.10 Cr1.77%14.95%16.55%0.65%
Invesco India Smallcap Fund Direct-GrowthNAV: ₹53.08
13,384.90 Cr10.93%24.52%20.64%0.65%
Tata Small Cap Fund Direct-GrowthNAV: ₹43.97
12,528.90 Cr-6.62%13.40%16.17%0.50%
ICICI Prudential Smallcap Fund Direct Plan-GrowthNAV: ₹100.97
9,378.80 Cr0.29%13.09%14.62%1.18%
Motilal Oswal Small Cap Fund Direct-GrowthNAV: ₹16.92
7,179.39 Cr16.15%--0.85%

About Small Cap Funds

What is it?
Smallcap equity mutual funds invest in relatively small companies. SEBI guidelines require small-cap funds to invest 65% of total funds in small-cap companies. The SEBI defines small-cap companies as those ranked from 251 and thereafter by market capitalization.
Objective
The objective of the small-cap fund is to generate maximum returns by investing in small companies.
Suitability and opinion
Smallcap funds are suitable for high risk investors. Small-cap funds involve high risk. According to the SPIVA report, more than 80% of small-cap funds outperform their benchmark in the 5-year time horizon. So, the fund manager's ability has a huge influence on the performance of the funds. These funds have very high volatility and can show very high levels of drawdowns during a market downturn. We feel one must check the fund performance before investing in a small-cap fund. This category can be a good choice for aggressive investors with a time horizon of at least 5 years.

Small Cap vs Other Categories

5Y CAGR Return Comparison
17.82%
17.14%
17.06%
16.40%
15.48%
Thematic-Manufacturing
Mid Cap
Small Cap
Thematic-Business Cycle
Thematic-Dividend Yield

Key Insights

Small Cap delivered 17.06% CAGR over the last 5 years.
It ranks #6 out of 27 categories based on 5Y performance.
Above the category average return of 14.22%.
5 categories outperform it, while 21 categories have lower returns.
Top performer: Thematic-PSU (23.72%).
Lowest performer: Sectoral-Technology (6.52%).

Let's have a closer look

Now let us jump and check about these top 15 mutual fund schemes.

Nippon India Small Cap Fund Direct-Growth

Fund Performance: Nippon India Small Cap Fund Direct-Growth has given 18.24% annualized returns in the past three years and 19.85% in the last 5 years. The Nippon India Small Cap Fund Direct-Growth comes under the Equity category of Nippon India Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in Nippon India Small Cap Fund Direct-Growth via lump sum is ₹ 5,000.00 and via SIP is ₹ 100.00.
Min Investment Amt
₹ 5,000.00
AUM
₹ 78,407.00Cr
1Y Returns
4.29%
Expense Ratio
0.70%

HDFC Small Cap Fund Direct-Growth

Fund Performance: HDFC Small Cap Fund Direct-Growth has given 13.90% annualized returns in the past three years and 16.03% in the last 5 years. The HDFC Small Cap Fund Direct-Growth comes under the Equity category of HDFC Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in HDFC Small Cap Fund Direct-Growth via lump sum is ₹ 100.00 and via SIP is ₹ 100.00.
Min Investment Amt
₹ 100.00
AUM
₹ 40,416.80Cr
1Y Returns
-1.74%
Expense Ratio
0.76%

SBI Small Cap Fund Direct-Growth

Fund Performance: SBI Small Cap Fund Direct-Growth has given 13.91% annualized returns in the past three years and 14.73% in the last 5 years. The SBI Small Cap Fund Direct-Growth comes under the Equity category of SBI Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in SBI Small Cap Fund Direct-Growth via lump sum is ₹ 5,000.00 and via SIP is ₹ 500.00.
Min Investment Amt
₹ 5,000.00
AUM
₹ 40,156.70Cr
1Y Returns
2.49%
Expense Ratio
0.74%

Quant Small Cap Fund Direct Plan-Growth

Fund Performance: Quant Small Cap Fund Direct Plan-Growth has given 21.24% annualized returns in the past three years and 19.94% in the last 5 years. The Quant Small Cap Fund Direct Plan-Growth comes under the Equity category of Quant Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in Quant Small Cap Fund Direct Plan-Growth via lump sum is ₹ 5,000.00 and via SIP is ₹ 1,000.00.
Min Investment Amt
₹ 5,000.00
AUM
₹ 33,739.00Cr
1Y Returns
9.74%
Expense Ratio
0.89%

Axis Small Cap Fund Direct-Growth

Fund Performance: Axis Small Cap Fund Direct-Growth has given 16.91% annualized returns in the past three years and 17.11% in the last 5 years. The Axis Small Cap Fund Direct-Growth comes under the Equity category of Axis Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in Axis Small Cap Fund Direct-Growth via lump sum is ₹ 100.00 and via SIP is ₹ 100.00.
Min Investment Amt
₹ 100.00
AUM
₹ 29,393.80Cr
1Y Returns
5.40%
Expense Ratio
0.77%

Bandhan Small Cap Fund Direct-Growth

Fund Performance: Bandhan Small Cap Fund Direct-Growth has given 28.21% annualized returns in the past three years and 20.37% in the last 5 years. The Bandhan Small Cap Fund Direct-Growth comes under the Equity category of Bandhan Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in Bandhan Small Cap Fund Direct-Growth via lump sum is ₹ 1,000.00 and via SIP is ₹ 100.00.
Min Investment Amt
₹ 1,000.00
AUM
₹ 28,466.20Cr
1Y Returns
5.91%
Expense Ratio
0.59%

DSP Small Cap Direct Plan-Growth

Fund Performance: DSP Small Cap Direct Plan-Growth has given 19.66% annualized returns in the past three years and 18.29% in the last 5 years. The DSP Small Cap Direct Plan-Growth comes under the Equity category of DSP Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in DSP Small Cap Direct Plan-Growth via lump sum is ₹ 100.00 and via SIP is ₹ 100.00.
Min Investment Amt
₹ 100.00
AUM
₹ 19,634.90Cr
1Y Returns
10.05%
Expense Ratio
0.82%

Kotak Small Cap Fund Direct-Growth

Fund Performance: Kotak Small Cap Fund Direct-Growth has given 14.50% annualized returns in the past three years and 14.37% in the last 5 years. The Kotak Small Cap Fund Direct-Growth comes under the Equity category of Kotak Mahindra Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in Kotak Small Cap Fund Direct-Growth via lump sum is ₹ 100.00 and via SIP is ₹ 100.00.
Min Investment Amt
₹ 100.00
AUM
₹ 18,690.80Cr
1Y Returns
0.95%
Expense Ratio
0.65%

HSBC Small Cap Fund Direct-Growth

Fund Performance: HSBC Small Cap Fund Direct-Growth has given 17.14% annualized returns in the past three years and 18.15% in the last 5 years. The HSBC Small Cap Fund Direct-Growth comes under the Equity category of HSBC Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in HSBC Small Cap Fund Direct-Growth via lump sum is ₹ 5,000.00 and via SIP is ₹ 500.00.
Min Investment Amt
₹ 5,000.00
AUM
₹ 17,830.20Cr
1Y Returns
3.18%
Expense Ratio
0.77%

Franklin India Small Cap Fund Direct-Growth

Fund Performance: Franklin India Small Cap Fund Direct-Growth has given 16.61% annualized returns in the past three years and 17.53% in the last 5 years. The Franklin India Small Cap Fund Direct-Growth comes under the Equity category of Franklin Templeton Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in Franklin India Small Cap Fund Direct-Growth via lump sum is ₹ 5,000.00 and via SIP is ₹ 500.00.
Min Investment Amt
₹ 5,000.00
AUM
₹ 14,336.40Cr
1Y Returns
1.17%
Expense Ratio
1.04%

Canara Robeco Small Cap Fund Direct-Growth

Fund Performance: Canara Robeco Small Cap Fund Direct-Growth has given 14.95% annualized returns in the past three years and 16.55% in the last 5 years. The Canara Robeco Small Cap Fund Direct-Growth comes under the Equity category of Canara Robeco Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in Canara Robeco Small Cap Fund Direct-Growth via lump sum is ₹ 5,000.00 and via SIP is ₹ 1,000.00.
Min Investment Amt
₹ 5,000.00
AUM
₹ 13,967.10Cr
1Y Returns
1.77%
Expense Ratio
0.65%

Invesco India Smallcap Fund Direct-Growth

Fund Performance: Invesco India Smallcap Fund Direct-Growth has given 24.52% annualized returns in the past three years and 20.64% in the last 5 years. The Invesco India Smallcap Fund Direct-Growth comes under the Equity category of Invesco Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in Invesco India Smallcap Fund Direct-Growth via lump sum is ₹ 100.00 and via SIP is ₹ 100.00.
Min Investment Amt
₹ 100.00
AUM
₹ 13,384.90Cr
1Y Returns
10.93%
Expense Ratio
0.65%

Tata Small Cap Fund Direct-Growth

Fund Performance: Tata Small Cap Fund Direct-Growth has given 13.40% annualized returns in the past three years and 16.17% in the last 5 years. The Tata Small Cap Fund Direct-Growth comes under the Equity category of Tata Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in Tata Small Cap Fund Direct-Growth via lump sum is ₹ 5,000.00 and via SIP is ₹ 100.00.
Min Investment Amt
₹ 5,000.00
AUM
₹ 12,528.90Cr
1Y Returns
-6.62%
Expense Ratio
0.50%

ICICI Prudential Smallcap Fund Direct Plan-Growth

Fund Performance: ICICI Prudential Smallcap Fund Direct Plan-Growth has given 13.09% annualized returns in the past three years and 14.62% in the last 5 years. The ICICI Prudential Smallcap Fund Direct Plan-Growth comes under the Equity category of ICICI Prudential Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in ICICI Prudential Smallcap Fund Direct Plan-Growth via lump sum is ₹ 5,000.00 and via SIP is ₹ 100.00.
Min Investment Amt
₹ 5,000.00
AUM
₹ 9,378.80Cr
1Y Returns
0.29%
Expense Ratio
1.18%

Motilal Oswal Small Cap Fund Direct-Growth

Fund Performance: The Motilal Oswal Small Cap Fund Direct-Growth comes under the Equity category of Motilal Oswal Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in Motilal Oswal Small Cap Fund Direct-Growth via lump sum is ₹ 500.00 and via SIP is ₹ 500.00.
Min Investment Amt
₹ 500.00
AUM
₹ 7,179.39Cr
1Y Returns
16.15%
Expense Ratio
0.85%

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