Investment Objective and Approach

The primary investment objective of the scheme is to generate long term capital appreciation by investing predominantly in equity and equity related instruments of small cap companies and the secondary objective is to generate consistent returns by investing in debt and money market securities. Nippon India Small Cap Fund is mandated to invest at least 65 per cent of its assets in small-cap stocks at all times.

The fund focuses on identifying high-potential opportunities in companies ranking 251st onwards in terms of full market capitalization. Nippon India adopts a process-oriented investment strategy to identify high-potential, alpha-generating stocks. This approach includes components like Risk Rating of Securities, Fund Casing, Risk Optimisation, Factor Analysis, and Continuous Monitoring of investments.

Given the nature of small cap investments, this fund is suitable for investors with a long-term investment horizon of at least 7 years, as small cap funds tend to be more volatile compared to large cap funds but offer higher growth potential over extended periods.

Fund Managers

Samir Rachh - Lead Fund Manager

Samir Rachh is a Bachelor of Commerce from Mumbai University. He has total experience of over 31 years. He has been associated with Nippon Life India Asset Management since 2007 as an Analyst and then as a Fund Manager for over 15 years. He specializes in Mid Cap/Small Cap stocks.

His extensive career includes roles across various financial institutions. Of which, five and half years with Capital Market Magazine as Assistant Editor. Earlier for 3 years, he was running his own research and investment advisory firm Anvicon Research as a managing partner. Five years before that he was working with Hinduja Finance managing funds and research. Prior to that, he was working with Emkay Global Financial Services Ltd for four years. Out of which two years as Head of Institution Research and two years as head of PMS.

Dhrumil Shah - Co-Fund Manager

Dhrumil Shah is Fund Manager- Equity Investments at Nippon Life India Asset Management Limited. Dhrumil has over 16 years of experience in Equity Research and Fund Management. Prior to Joining NIMF, he was managing Mid Cap funds as well as Large Cap Funds at Birla Sun Life Insurance. Prior to Birla Sun Life, he was associated with ASK Investment Managers as Portfolio Manager. Dhrumil is a graduate from Mumbai University and a Chartered Accountant.

About the Fund House (AMC)

Nippon India Mutual Fund is one of India's leading mutual funds, with Average Assets Under Management (AAUM) of Rs 2,79,431 Crores​​. NIMF has been established as a trust under the Indian Trusts Act, 1882 with Nippon Life Insurance Company as its Sponsor and Nippon Life India Trustee Ltd as its Trustee.

The fund house has built a strong reputation in the Indian mutual fund industry, offering a diverse range of investment solutions across various asset classes. With Nippon Life Insurance Company as its sponsor, the AMC brings global expertise combined with deep understanding of Indian markets. The fund house is known for its disciplined investment approach and experienced fund management team.

Should I Invest in Nippon India Small Cap Fund?

This fund is designed for investors seeking long-term capital appreciation through exposure to small cap companies. Here are key considerations:

Suitable for:

- Investors with investment horizon of 7+ years

- Those seeking higher growth potential and comfortable with volatility

- Investors looking to diversify their portfolio with small cap exposure

- Those who can invest through SIP to average out market volatility

Key Performance Highlights:

- Nippon India Small Cap Fund fund has generated a return of -0.50% in 1 year, 30.21% in 3 years, 38.76% in 5 years.

- Ranked 7 out of 18 mutual funds in the small-cap category as per INDmoney.

- The fund has outperformed the benchmark (Nifty Smallcap 250) over 3Y, 5Y, but underperformed over 1Y.

Important Risk Factors:

- The Nippon India Small Cap Fund Direct Growth is rated Very High risk.

- Small cap funds are inherently more volatile than large cap funds

- Not suitable for investors with short-term investment goals

FAQs

What is today's NAV of Nippon India Small Cap Fund?

The current NAV of Nippon India Small Cap Fund is ₹186.51, as of 26th August 2025. NAV changes daily based on market performance and is updated at the end of each trading day.

What is the AUM of Nippon India Small Cap Fund?

The fund currently has an Asset Under Management(AUM) of ₹6,44,226 Cr and the Latest NAV as of 26 Aug 2025 is ₹186.51.

What is the expense ratio of Nippon India Small Cap Fund?

The expense ratio is 0.65%. This is the annual fee charged for managing the fund and is deducted from the fund's assets.

What are the returns of Nippon India Small Cap Fund since inception?

It has delivered 21.04% returns since inception. The fund was originally launched on 30th June 1995, making it one of the oldest small cap funds in India.

What is the minimum SIP amount to invest in Nippon India Small Cap Fund?

Minimum SIP Investment is set to ₹100. This makes it accessible for investors to start their investment journey with a small amount.

How do I invest in Nippon India Small Cap Fund?

You can invest through Allvest's platform by selecting the fund, choosing between SIP or lump sum, entering your investment amount, and completing the KYC process. You can also invest directly through the fund house website or authorized distributors.

How to start a SIP in Nippon India Small Cap Fund?

Log into your Allvest account, search for Nippon India Small Cap Fund, select SIP option, choose your monthly investment amount (minimum ₹100), set the investment date, and set up auto-debit instructions.

How do I automate an SIP in Nippon India Small Cap Fund?

During SIP setup on Allvest, provide your bank account details and authorize auto-debit through ECS/NACH mandate. This ensures automatic monthly investments without manual intervention.

How can I withdraw/redeem my investment in Nippon India Small Cap Fund?

You can redeem your investment through Allvest's platform or the fund house website. Exit load of 1% if redeemed within 1 year. Redemption proceeds are typically credited to your bank account within 3-4 business days.