Nippon India Small Cap Fund: Make Your Portfolio Profitable

Introduction

Are you looking for a fund that can make your portfolio profitable? To answer your question Nippon India Small Cap Fund is the largest and the top choice among investors in India. One of the largest AMCs (asset management companies) Nippon India Mutual Fund launched this fund on September 16, 2010. This fund aims to generate high profits by investing in small cap tasks. It has attracted investors with its history and performance.

In this article, we will dive into the details of Nippon India small cap fund NAV, Nippon India small cap fund regular growth and what are the top holdings in the portfolio.

What is the Nippon India Small Cap Fund?

The small cap mutual funds invests in small cap stocks with a market capitalization of Rs.500 to 5000 Cr. It was originally known as Reliance Mutual Fund, but in 2019, the Nippon Life Insurance company bought a stake in Reliance and renamed it. While stock funds are very volatile and unpredictable it still shows an excellent result. It has given a strong performance in every time horizon. With an impressive AUM (Asset under Management) of Rs.61974 Cr.

The latest Nippon India small cap fund NAV is Rs.177.44 which is quite impressive. Net Asset Value is per share calculation which is done at the end of every working day.

Are you thinking about who would manage your money in this fund? Lets see the fund manager of this fund.

About the Fund Manager of Nippon India Small cap Fund

The fund which has 27 years of experience has one of the best fund managers to handle the schemes. This small cap fund is managed by Mr. Samir Rachh. He has been working for the fund since 2007. He has a bachelor's degree in commerce from Mumbai University and specializes in midcap and small cap funds. With over 31 years of experience, he has deep knowledge of funds and how they work.

Lets understand the investment strategies followed by this fund.

What is the Investment Philosophy of Nippon India Small Cap Fund?

The fund follows an increase orientated investment strategy, specializing in agencies with strong fundamentals, increased ability and aggressive advantages such as

Fund Managers and Their Experience

The Nippon India Small Cap Fund regular growth fund is presently managed by an able team of professional managers which includes Mr. Samir Rachh. The experience and expertise of the fund manager help in contributing notably to the fund's overall performance.

Performance Analysis

These mutual funds have delivered strong returns over the long term outperforming its benchmark index, the nifty fifty total return index in maximum time durations. The fund has always ranked the various pinnacle performers in its category.

Risk Profile

This fund falls under the small cap category which incorporates high threat. Its shares are generally more unstable than massive cap shares and their costs can range appreciably in reaction to marketplace occasions. Investors who want a regular investment can also start SIP this will reduce a risk profile.

Portfolio Composition

The fund's top investments encompassed a diverse group of companies in multiple sectors including financials, technology, consumer goods and healthcare. It is an actively managed fund in which portfolio managers routinely review and rebalance themselves, depending on marketing conditions and investment opportunities. This makes the Nippon India portfolio a good steady portfolio.

Why Should You Invest in Nippon India Small Cap Fund?

Here are some key reasons to invest in Nippon India small cap fund

Growth Potential of Small Cap Companies

Small cap companies are considered riskier than large cap companies, but they still present an opportunity for higher returns over the long run. Such companies have a lot of room for growth and success, which further makes them more attractive for an investor to pour their money in.

 Diversified Stocks and Bonds

Instead of going through the trouble of mixing and matching various small cap companies on one's own, the fund does it for the investor and provides them access to a diversified group of small cap companies. This mitigates the risk associated with putting money in a single small cap company and enables the investor to put their money with a great deal for profit.

Consistency

Year after year, the small cap fund has outperformed the benchmark with outstanding margins. It is evident from the track record available, that the company knows how to manage and overcome market volatility while ensuring the best returns in the long run.

 Ease of Access

Small time investors and beginners can also benefit from this wonderful opportunity as the fund can be accessed with a low SIP of Rs. 100. This makes it easy for investors who do not want to make any huge upfront payments.

Strong Brand Packing

As we know it is managed by a strong mutual funds company and has the most reputed names in the financial industry. This benefits from a strong institutional framework and strong research capability.

As we know about the advantage and investment philosophy lets see the portfolio of this fund.

What is the Portfolio of Nippon India Small Cap Fund?

The top holdings in Nippon India small cap fund portfolio are:

HDFC Bank Ltd: It is a private sector bank and holdings are 1.90%

Multi Commodity Exchange Bank of India: it is an exchange and data platform and its holdings are 1.86

Apar Industries: It is in the electrical equipment industry and holdings are 1.50%

Kirloskar Brothers Ltd: This company makes compressor pumps and diesel engines and the holdings are 1.49%

Dixon Technologies (India) Ltd: This produces consumer electronics and the holdings are 1.48%.

After knowing the Nippon India small cap fund portfolio know lets end this article.

 Conclusion

Nippon India Small Cap Fund is a perfect fund for all those who are willing to invest in a fund that can give you high returns in the future. While the risks are high the rewards are much higher than that. By starting SIP in this fund you can easily invest periodically and reduce the risk. All ways stay invested for the long term or should be more than 5 years. Because by staying invested in this small cap fund the investor can unlock great opportunities for wealth creation.