Investment Objective
Mirae Asset Small Cap Fund seeks to generate capital appreciation for its investors by investing primarily in equity and equity related instruments of small cap companies. The fund manager may also invest in other equity and equity related securities to ensure optimal portfolio construction.
Investment Strategy
- Mirae Asset Small Cap Fund predominantly invests in a portfolio consisting of high quality small cap companies (at least 65%) having growth potential to become large cap companies in future. – Presentation Page 16
- The scheme may also invest up to 35% of its portfolio in mid cap & large cap stocks. – Presentation Page 17
- The portfolio focuses on companies having high capital efficiency, strong corporate governance, low or negligible leverage and sustainable high earnings growth, which can help these companies in generating long-term wealth creation. – Presentation Page 16
- The fund follows a bottom-up approach for investing on a stock–by–stock basis. – Presentation Page 16
- The scheme seeks to build a unique curated portfolio, which is dynamically managed and consists of robust business models having sustainable competitive advantages.
- The fund aims at minimising concentration and liquidity risk. – Product Guide
Who Should Invest
- Investors having a long term investment horizon of 5 years and above and seeking to benefit from the higher growth potential of small cap companies.
- Those who can tolerate high risk, given the higher degree of volatility in small-cap companies compared to large and mid cap companies.