Investment Objective
DSP Small Cap Fund seeks to generate long term capital appreciation for investors from a portfolio consisting primarily of equity and equity related securities of small-cap companies. The fund manager may also invest in other equity and equity related securities to achieve optimal portfolio construction.
Investment Strategy
- The scheme invests in under-researched and under owned stocks of companies, which are usually not correlated with broader markets.
- The fund focuses on businesses with scalability.
- It seeks to invest in some of the smallest but innovative and fastest-growing Indian companies.
- It focuses on companies having strong business models in high-growth sectors and which are led by efficient management teams seeking to effectively utilize resources to unlock their high growth potential.
Who Should Invest
- Investors having a long term investment horizon of at least 10 years.
- SIP investors disciplined enough to continue SIP for a longer tenure.
- Experienced investors having a well-set core portfolio and seeking to tactically allocate 10-15% of their overall portfolio to very high-risk opportunities.
- Those who can tolerate high risk, given the higher degree of risk involved in this fund for generating higher returns.
- Those who have the patience and mental resilience to remain invested for a decade or more.
- Those who are aware of the fact that market falls are good opportunities to invest more at lower valuations.