Tata Small Cap Fund Regular Plan Growth

Updated: 06-10-2025 09:28:55 AM

Investment Objective

The investment objective of the Tata Small Cap Fund is to generate long term capital growth by primarily investing in equity and equity related instruments of small cap companies.

Investment Strategies

• Tata Small Cap Fund predominantly invests in small cap companies, as well as a small portion of mid and large cap companies.
• The fund focuses on investing in companies having strong balance sheets, and reasonable valuations and the potential to grow over the next 3 to 4 years.
• The fund manager actively manages the fund by closely monitoring the macro-economic environment and other major industry drivers.
• The scheme seeks to diversify across sectors/stocks, invests in liquid stocks and regularly monitors exposure limits to mitigate risk.
• The fund prefers stocks having high growth potential, low debt and high free cash flows.
• The scheme follows a low churn approach, i.e., buy and hold compounding stocks over the medium term to long term.
• The fund avoids global commodity companies.

Who Should Invest

• Tata Small Cap Fund is suitable for investors seeking exposure to small cap companies for long term capital appreciation.
• Investors seeking to invest in this fund should have an investment horizon of 5 years and above.
• Investors should have a high risk tolerance, as small cap companies can be very volatile.
• Investors should have a clear understanding of the fund’s investment strategy and the small cap segment.

Frequently Asked Questions

What is the risk level of the Tata Small Cap Fund?
As per the fund factsheet published by the fund house, Tata Small Cap Fund is considered to carry ‘Very High Risk’ for its investors.

Is there any lock-in period in the Tata Small Cap Fund?
Tata Small Cap Fund has no lock-in period. Thus, investors of Tata Small Cap Fund are free to make redemption requests on any date as per their requirements.

What type of mutual fund is the Tata Small Cap Fund?
Tata Small Cap Fund is an open-ended equity mutual fund scheme belonging to the small cap fund category.

Is the Tata Small Cap Fund open-ended or close-ended?
Tata Small Cap Fund is an open-ended equity mutual fund scheme.

What is the benchmark index for this Tata Small Cap Fund?
Nifty SmallCap 250 TRI Index is the benchmark index of the Tata Small Cap Fund. The fund also has Nifty 50 TRI as its additional benchmark index.