Small Cap Mutual Funds: According to SEBI’s guidelines, small cap companies are those ranked 251st and below by full market capitalisation. They invest primarily in equity or equity-related instruments of small cap companies. Mutual funds operating in this category must invest at least 65% of their total assets in equity and equity-related instruments.
Low-expense-ratio mutual funds are essential for maximising long-term gains, as high fees continuously eat into your compounded returns. These annual fees (charged as a percentage of your assets) cover management and administrative costs. Various mutual fund experts suggest always looking for ‘Direct’ plans, which lack distributor commissions and typically cost less than ‘Regular’plans. On that note, explore small cap mutual funds with a low expense ratio.
Small cap mutual funds: Top low-cost schemes with high returns
- Launch Date: 25-Feb-2020
- Benchmark: BSE 250 SmallCap TRI
- AUM: Rs 27,219 Cr (As on 31-May-2026)
- NAV: Rs 55.4730 (As on 03-Jul-2026)
- Expense Ratio: 0.35% (As on 30-Jun-2026)
- CAGR 3 years: 29.12%
- CAGR 5 years: 21.65%
- Min. Investment: Rs 1,000
- Min. SIP Investment: Rs 100
- Standard Deviation: 20.69
- Sharpe Ratio: 1.05
- Beta: 0.92
Invesco India Smallcap Fund – Direct Plan
- Launch Date: 30-Oct-2018
- Benchmark: BSE 250 SmallCap TRI
- AUM: Rs 11,717 Cr (As on 31-May-2026)
- NAV: Rs 52.9500 (As on 03-Jul-2026)
- Expense Ratio: 0.42% (As on 30-Jun-2026)
- CAGR 3 years: 25.77%
- CAGR 5 years: 21.85%
- Min. Investment: Rs 100
- Min. SIP Investment: Rs 100
- Sharpe Ratio: 1.12
- Standard Deviation: 16.86
- Beta: 0.82
- Launch Date: 07-Feb-2019
- Benchmark: NIFTY Smallcap 250 TRI
- AUM: Rs 6,156 Cr (As on 31-May-2026)
- NAV: Rs 52.4310 (As on 03-Jul-2026)
- Expense Ratio: 0.44% (As on 31-May-2026)
- CAGR in 3 years: 19.28%
- CAGR in 5 years: 19.00%
- Min. Investment: Rs 100
- Min. SIP Investment: Rs 100
- Sharpe Ratio: 18.35
- Standard Deviation: 0.74
- Beta: 0.81
Quant Small Cap Fund – Direct Plan
- Launch Date: 01-Jan-2013
- Benchmark: NIFTY Smallcap 250 TRI
- AUM: Rs 31,774 Cr (As on 31-May-2026)
- NAV: Rs 313.5792 (As on 03-Jul-2026)
- Expense Ratio: 0.58% (As on 30-Jun-2026)
- CAGR in 3 years: 21.91%
- CAGR in 5 years: 20.92%
- Min. Investment: Rs 5,000
- Min. SIP Investment: Rs 1,000
- Sharpe Ratio: 0.80
- Standard Deviation: 18.06
- Beta: 0.90
(Source: Fund Fact Sheet)
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)
