Groww Small Cap Fund is an open-ended equity scheme that predominantly invests in small-cap companies. According to the official SID, this fund aims to capture high-growth opportunities among companies ranked 251st and below by full market capitalization. It is a unique product under the SEBI-defined Small Cap Fund Category.
What is a Groww Small Cap Fund?
A small-cap fund is an equity mutual fund that invests at least 65% of its corpus in small-cap companies—businesses ranked beyond the top 250 listed companies by full market capitalization. Small-cap companies generally offer:
High long-term growth potential
Higher volatility
Higher risk but ability to outperform over long periods
Quick Snapshot
Parameter
Details
Fund Name
Groww Small Cap Fund
Category
Small Cap Fund
Scheme Type
Open-ended equity scheme investing predominantly in small caps
Scheme Code
GROW/O/E/SCF/25/10/0051
Investment Objective
Long-term capital appreciation by investing in equity & related instruments of small-cap companies
Benchmark (TRI)
Nifty Smallcap 250 Total Return Index
NFO Open Date
January 08, 2026
NFO Close Date
January 22, 2026
NFO Price
₹10 per unit
Minimum Application (NFO)
₹500 and multiples of ₹1
Minimum SIP (Daily/Weekly)
₹100 and multiples of ₹1
Minimum SIP (Monthly/Quarterly)
₹500
Exit Load
1% if redeemed within 1 year; NIL after 1 year
Liquidity
Purchase & redemption allowed on all business days
The objective of the Scheme is to generate long term capital appreciation by investing in equity and equity related instruments of small cap companies. The SID clarifies that there is no assurance that the objective will be achieved.
Benchmark Details
Primary Benchmark (TRI): Nifty Smallcap 250 Total Return Index
Aligns with AMFI’s first-tier benchmark requirements
Represents companies ranked 251st and beyond by full market cap
Suitable because the scheme also invests in diversified small-cap stocks
Investment Style & Strategy
Key Points of Strategy
Predominantly invests in equity and equity-related instruments of small cap companies
Diversified across sectors to manage concentration risks
Aims to capture long-term wealth creation opportunities in emerging businesses
May also invest in:
Debt & money market instruments
Overseas securities (subject to regulations)
Tri-party repo
Fund Manager: Mr. Anupam Tiwari, CA, with 18 years of experience. Manages multiple funds within Groww AMC.
Portfolio Approach
Focus on companies with scalable business models
Invests across industries and growth themes
New scheme — portfolio turnover data is not yet available
Why Invest in Groww Small Cap Fund?
Key Reasons
Professionally managed by an experienced fund manager
Diversification across sectors
Exposure to high-growth potential businesses ranked below top 250 companies
Open-ended structure ensures daily liquidity
Low minimum investment of ₹500
Benchmark aligned with small-cap investment universe
Who Should Invest in Groww Small Cap Fund?
This Fund is Ideal for:
Investors with long-term goals (5+ years)
Investors willing to accept volatility & higher risk
Those wanting exposure to emerging small companies
Investors seeking potential high returns over the long term
Those with the ability to withstand interim market corrections
This Fund is not ideal for:
Very conservative investors
Investors with short investment horizons
Investment Areas — Sectors & Companies
The SID states that the fund will invest in:
Equity & equity-related instruments of small-cap companies
May invest in:
Debt & money market instruments
Derivatives for hedging
Overseas mutual funds/securities
Stock lending
No specific sector or company list is available because the scheme is new and has no performance or portfolio track record yet.
SID reference confirms:
“This scheme is a new scheme and does not have any performance track record.” “Portfolio Turnover Rate… Not Applicable as this is a new scheme.”
Fees, Loads & Taxation
Expense Ratio: Check latest factsheet. Exit Load: 1% if redeemed within 1 year; NIL after 1 year
Taxation:
Dividend taxable as per income tax slab.
Short-term (<1 year): Taxed at 20%.
Long-term (>1 year): Tax-free up to ₹1.25 lakh; beyond that taxed at 12.5% without indexation.
🔗 How to Invest Online?
You can easily invest through our online investment platform.
Offers small-cap exposure beyond top 250 companies
Need for professional management
Managed by experienced fund manager with 18+ years experience
Desire for diversification
SID assures sector and stock diversification
Liquidity concerns
Open-ended; redemption processed within 3 working days
Low minimum investment barriers
Entry starts from just ₹500
Q1. Is Groww Small Cap Fund a high-risk investment?
A1: Yes. As per SID, small-cap stocks carry higher volatility and liquidity risk compared to large-caps.
Q2.What is the benchmark of this fund?
A2: Nifty Smallcap 250 Total Return Index.
Q3. What is the exit load?
A3: 1% if redeemed within 1 year; NIL after 1 year.
Q4. What is the minimum investment amount?
A4: ₹500 during NFO; SIP options start at ₹100.
Q5.Does the fund have any past performance?
A5: No. It is a newly launched scheme with no performance history.
Groww Small Cap Fund is positioned as a growth-oriented equity scheme targeting small-cap opportunities. It allows investors to participate in high-potential emerging companies, backed by an experienced fund manager and strong diversification strategy.
However, as the SID clearly states, there is no assurance that investment objectives will be achieved, and small caps inherently involve higher risks. Investors should evaluate their risk tolerance and consult with financial advisors before investing.
Invesco India Nifty Bank Index Fund NFO – Invest Online Overview Strategy Portfolio Performance FAQs Invest Now Invesco India Nifty Bank Index Fund Invesco India Nifty Bank Index Fund is a strategic passive investment solution that allows investors to track the performance of India’s leading banking institutions. By replicating the Nifty Bank Index, it offers […]
Invesco India BSE Sensex Index Fund NFO – Invest Now Overview Strategy Portfolio Performance FAQs Invest Now Invesco India BSE Sensex Index Fund NFO The Invesco India BSE Sensex Index Fund offers a low-cost, passive investment route to own 30 of India’s largest, blue-chip companies. Designed for long-term wealth creation, it mirrors the BSE Sensex […]