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Small Cap Funds

Every small cap scheme in the AMFI-sourced universe behind this site, with NAV as at 20 Aug 2026.

Average 3Y return

+17.40%

across 24 of 34 schemes

Riskometer (most common)

Very High

31 of 31 disclosing

Total schemes

1 SEBI sub-category

What is a small cap fund?

Small cap funds put at least 65% into companies ranked 251st and beyond — the widest, wildest part of the market.

Dispersion between schemes is wide — compare the 1Y, 3Y and 5Y columns above rather than assuming the category moves as one.

Falls of 40% or more have occurred in this segment in past cycles; each scheme’s own maximum drawdown from its NAV history is in the Risk tab.

Several fund houses have at times restricted or suspended lumpsum inflows into their small cap schemes — the current position is stated in each scheme document.

Small Cap schemes, sorted on disclosed returns

34 of 34 schemes shown · sorted by disclosed 1Y return, highest first · NAV as at 20 Aug 2026

Small Cap funds return calculator

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Investment type

SIP amount (monthly)₹5,000

Tenure

5Y data isn’t available for TRUSTMF SMALL CAP FUND — showing 1Y. Backtest: TRUSTMF SMALL CAP FUND’s disclosed 1Y SIP return of 47.98% — an annualised SIP return (XIRR), compounded monthly over the instalments. Past figures, illustrative only.

₹74,662

Invested amt.₹60,000

Net profit+₹14,662

Total wealth₹74,662

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Suitability test

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Small Cap schemes with the highest disclosed 3Y return

ITI Small Cap Fund

3Y returns +27.00%

BANDHAN SMALL CAP FUND

3Y returns +26.78%

Invesco India Smallcap Fund

3Y returns +24.94%

BANK OF INDIA Small Cap Fund Direct Plan Growth

3Y returns +24.19%

What the segment is

SEBI’s categorisation rules define small cap as companies ranked 251st and beyond by full market capitalisation, and require at least 65% of the scheme in them. It is the widest segment by company count and the thinnest by trading liquidity.

Taxation (2026)

Equity rules: 20% short-term within 12 months; 12.5% long-term above ₹1.25 lakh a year.

Product labelling

Small cap schemes carry the highest riskometer readings in the equity range. The “suitable for investors who are seeking” label is set per scheme by the fund house — read it on the scheme document.

What to check

Scheme size against the liquidity of what it holds, the disclosed expense ratio, whether inflows are currently restricted, and the scheme’s own volatility and drawdown figures above.

Frequently asked questions

+How risky are small cap funds?

They carry the highest riskometer reading of the equity categories, set by the fund houses themselves. The measurable version is in the Risk tab: standard deviation and maximum drawdown per scheme, from its own NAV history. Whether that fits you is a question for you, or for a registered investment adviser.

+Why do some small cap funds stop taking money?

Deploying large sums into thinly traded shares moves their prices, so fund houses sometimes restrict or suspend lumpsum inflows. When they do, they file an addendum — the scheme document states the position in force.

+What allocation makes sense?

GFS is an AMFI-registered distributor and does not recommend allocations. That decision depends on your horizon, your existing holdings and your own risk tolerance; a registered investment adviser can advise on it.

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