ITI Small Cap Fund Transforms Rs.10,000 Monthly SIP into Rs.13.06 Lakh in 5 Years
ITI Small Cap Fund is one of the best-selling equity mutual funds that primarily invests in small cap shares. In the last five years, this fund has grown very well in the world of investments. Its fifth anniversary was celebrated with great results on 17th February 2025.
A SIP of Rs.10,000 per month has increased to Rs.13.06 lakh, this shows the strength of long-term investments in high-growth small-cap stocks. It gave an annualized return of 27.10% as per the fund house.
In comparison to its benchmark, the Nifty Smallcap 250 TRI, the ITI Small Cap Fund has delivered very good returns. The benchmark has provided a return of 30.07% during the same period, but the fund has managed to outperform it in the past year. ITI Small Cap Fund made a return of 35.93% in the previous year, while the benchmark achieved a return of 26.96%. The current performance of this fund makes it a good option for those investors who are looking for better returns.
Due to its proper investment strategy, this fund became successful. The fund had an AUM of Rs.2,253.76 crore on January 31, 2025. This fund follows a bottom-up stock selection approach, which means it only focuses on selecting individual companies with strong growth potential rather than depending on certain sectors. This strategy has allowed the fund to target small-cap companies that have the ability to grow significantly in the long term, providing excellent capital appreciation.
The top sectors covered in the portfolio of the fund are financial services, capital goods, and healthcare. These sectors have the potential to grow in the future and will generate good returns for investors. The most important holdings of the fund are PG Electroplast and Ami Organics Limited, both of which are exhibiting good growth prospects. With this diversified portfolio of high-growth small-cap stocks, the fund has managed to perform well and generate attractive returns for investors.
For investors who are interested in making investments in the ITI Small Cap Fund, there is a minimum SIP size of Rs.500, thus, it can be easily availed of by all types of investors. For lump-sum investments, it is Rs.5,000. With such small investment amounts, entry into the market for first-time investors becomes easy.
The fund is overseen by two seasoned fund managers, Dhimant Shah and Rohan Korde, who have been guiding the fund since August 2022 and December 2022, respectively.
The ITI Small Cap Fund has shown tremendous growth over the last five years, converting a modest monthly SIP investment into a substantial corpus. The fund has managed to beat its benchmark and has yielded good returns to investors, mainly in the recent past. With a highly diversified portfolio invested in high-growth potential small-cap stocks, this fund continues to be an attractive option for new and current investors who wish to gain from long-term capital appreciation.
