Introduction
India’s small-cap mutual fund space features a diverse range of portfolio strategies. A recent analysis of the seven largest small-cap funds by assets under management (AUM) reveals significant variation in the number of individual stocks held. Below is a breakdown of each fund’s stock count and AUM.
Fund-by-Fund Breakdown
Bandhan Small Cap Fund
Holds the highest stock count among the seven funds at 258 stocks, with an AUM of ₹34,176 crore. Its portfolio breadth slightly exceeds that of Nippon India Small Cap.
Nippon India Small Cap Fund
With 254 stocks and an AUM of ₹82,580 crore, this fund is the largest by AUM and holds the second-highest number of stocks, indicating a diversified approach.
Axis Small Cap Fund
Holds 128 stocks with an AUM of ₹31,448 crore. Its stock count is moderate compared to peers.
Quant Small Cap Fund
Manages 104 stocks and ₹35,557 crore in AUM, placing it in the middle of the range.
HDFC Small Cap Fund
Holds 84 stocks with an AUM of ₹41,891 crore, showing a more concentrated portfolio relative to its AUM.
DSP Small Cap Fund
Holds 82 stocks and manages ₹21,659 crore in AUM, similar in stock count to HDFC but with lower AUM.
SBI Small Cap Fund
Holds the fewest stocks at 68, with an AUM of ₹42,631 crore. This highlights that a lower stock count does not necessarily mean lower AUM.
Key Takeaways
The data shows that small-cap funds vary widely in their portfolio construction. Bandhan and Nippon India hold over 250 stocks each, while SBI and DSP hold fewer than 100. AUM also varies, with Nippon India leading at over ₹82,000 crore. Investors should consider both stock count and AUM when evaluating fund diversification.