Small-cap mutual funds focus on investing in companies with market capitalizations ranging from 0 to 5,000 crore, which are typically listed on stock exchanges. These funds are particularly appealing because they offer the potential for substantial returns due to the growth opportunities inherent in smaller, emerging companies. However, it’s important to keep in mind that the potential for high returns comes with a higher level of risk. As these companies are smaller and often less established, they can be more volatile and susceptible to market fluctuations. Balancing the potential rewards with the associated risks is key to making informed investment decisions in small-cap mutual funds.
Why Small Cap Mutual Fund Is Best?
Small-cap mutual funds can be appealing for several reasons, especially for investors looking for high growth potential over the long term. Here’s a clearer way to explain why they might be considered a good investment choice:
1.High Growth Potential
2.Innovative Opportunities
3.Undervalued Stocks
4.Long-Term Growth
5.Diversification
Best Small Cap Small Mutual Fund
Fund Name
1 yr Returns %
3 yr Returns %
5 yr Returns %
Nippon India Small Cap Fund Direct Growth
57.96%
33.70%
39.51%
SBI Small Cap Fund Direct Growth
43.91%
25.66%
32.27%
Axis Small Cap Fund Direct Growth
43.93%
25.09%
32.43%
Disclaimer :The past performance of the mutual funds is not necessarily indicative of future performance of the schemes.
Some brief information about these top three small-cap mutual funds
Nippon India Small Cap Fund Direct Growth
Expense Ratio:0.63% (This percentage is subject to change in the future )
Exit Load: 1% if redeemed within 1 year
Minimum Sip : 100Rs.
One Time : Not Available
SBI Small Cap Fund Direct Growth
Expense Ratio:0.65% (This percentage is subject to change in the future )
Exit Load : 1% if redeemed within 1 year
Minimum Sip: 500Rs.
One Time: Not Available
Axis Small Cap Fund Direct Growth
Expense Ratio:0.55% (This percentage is subject to change in the future )
Pingback: Best Cryptocurrency For Long Term -