TRUST Mutual Fund Launches Small Cap Fund Targeting High-Growth Companies
TRUST Mutual Fund is launching a brand-new open-ended equity scheme, TRUSTMF Small Cap Fund, which will offer exposure to small-cap stocks in India’s fast-moving sectors. This New Fund Offer is available now and closes on 25th October 2024.
This is the second equity offering from TRUST Mutual Fund and happens at a time when small-cap companies are growing at an accelerated rate. The sectors where it focuses will be those with consumption, financialisation, and physical asset creation, in which the scope for growth remains well strong.
With the small-cap segment, an investor can spot early-growth companies under the strategy of the fund. A good base in research will help the fund manager pick promising stocks in the small-cap space, which has grown four times since 2020 in terms of market capitalization. Growth companies are becoming vital for the economy, and the returns will be multi-bagger for small-cap companies as these businesses keep growing.
Key Information on TRUSTMF Small Cap Fund
- Objective: The key objective of the fund is to generate long-term capital appreciation by primarily investing in equity and related securities of small-cap companies. No undertaking has been given that the objective of the scheme would be achieved.
- Scheme Type: This is an open-ended equity scheme.
- Benchmark: It would be benchmarked with NIFTY Small-cap 250 TRI in order to take the yardstick in comparison for its performance.
- Minimum Investment: The minimum allowed lump sum investment is Rs.1,000, and subsequent investments can be any multiples. For SIP, the minimum monthly investment would be Rs.1,000, with a minimum of six installments.
- Exit Load: A 1% exit load will be levied if the investment is withdrawn or transferred out within 180 days of the allotment date. Thereafter, it will not charge any exit load.
- Fund Managers: It will be professionally managed by capable experts who bring rich expertise in equity markets.
It shall look to capitalize on the growth of small-cap companies offering the potential of long-term wealth creation, thus offering exposure to promising companies at an early stage of their development by high-growth sectors.
