Investment Objective and Approach

Union Small Cap Fund aims to achieve long-term capital appreciation through a diversified portfolio of equity and equity-related securities, predominantly investing in small-cap companies. The scheme seeks to achieve long term capital appreciation by investing in a portfolio consisting of equity and equity related securities, predominantly of small cap companies.

The fund follows a growth-oriented investment approach, focusing on companies with strong business fundamentals and growth potential. Union Small Cap Fund Direct Growth has allocated its funds majorly in Cash Equivalent, Industrial, Consumer Cyclical, Basic Materials, Financial Services, Health, Tech, Real Estate, Consumer Defensive, Utilities. The portfolio maintains high equity allocation with 97.13% in Equity, 0% in Debt and 2.87% in Cash related instruments as of March 2025.

The fund's top sectoral allocations include Industrial(27.35%), Consumer Cyclical(19.71%), Basic Materials(12.18%) as of March 2025. Key holdings include Eureka Forbes Ltd(3.14%), Ami Organics Ltd(2.96%), Blue Star Ltd(2.88%), J.B. Chemicals & Pharmaceuticals Ltd(2.88%), Computer Age Management Services Ltd Ordinary Shares(2.61%) as of March 2025.

Fund Managers

Co managed by Mr. Pratik Dharmshi (since December 09, 2024) and Mr. Gaurav Chopra (since November 01, 2024). Both fund managers bring significant expertise to the management of this small-cap focused scheme.

The dual management approach ensures comprehensive coverage of investment opportunities in the small-cap space while maintaining robust risk management practices. The fund managers focus on identifying companies with strong growth potential and sustainable competitive advantages.

About the Fund House (AMC)

Union Mutual Fund is the investment arm of Union Bank of India and has been a key driver in India's asset management sector for over a decade. The AMC was set up on December 30, 2009, with the aim to formulate a robust asset management portfolio in India.

The fund house has an interesting corporate history. The AMC was set up in collaboration with KBC Asset Management NV, a Belgium-based AMC. It was initially known as Union KBC Mutual Fund. Union Bank always held the majority stake in the company while KBC controlled a 49% share. The partnership ended in 2016 when KBC pulled out of the agreement and Union Bank of India purchased their shares, making Union Mutual Fund their wholly owned subsidy.

In a significant development, On 17th May 2018, Dai-ichi Life Holdings, Inc. invested in Union AMC to the extent of 39.62% of the post issue share capital of Union Asset Management Company Private Limited. Dai-ichi Life is a renowned Japanese financial services company established in 1902.

Union Asset Management Co. Pvt. Ltd. is managing 203 schemes with an Asset under Management of ₹ 20,478.64 crores. The AMC manages diverse scheme categories including 12 Equity schemes, 6 Debt schemes, 7 Hybrid schemes and 2 Money market schemes.

Should I Invest in Union Small Cap Fund?

Union Small Cap Fund can be suitable for investors with specific risk and return expectations:

Investor Profile:

- Long-term investors with investment horizon of 7+ years

- High risk tolerance capacity

- Seeking capital appreciation through small-cap exposure

- Diversification seekers in equity portfolio

Key Considerations:

Performance Metrics: Union Small Cap Fund Direct Growth has given a CAGR return of 14.95% since inception. Over the last 1, 3 and 5 years the fund has given a CAGR return of -1.61%, 12.48% and 30.59% respectively. as of March 2025.

Cost Structure: The expense ratio of Union Small Cap Fund Plan is 0.95 as of 22nd July 2025. This is competitive compared to category averages.

Fund Size: The AUM of Union Small Cap Fund, is ₹1681.61 crore. This provides adequate liquidity while maintaining investment flexibility.

Risk Assessment: The Union Small Cap Fund Direct Growth is rated Very High risk. Small-cap funds typically experience higher volatility compared to large-cap funds.

Important Warning: Do not invest in this, or any other small-cap fund, if you need to redeem your investment in less than seven years. Small-cap investments require patience for optimal returns.

Investment Routes:

- Minimum SIP amount: ₹100 for direct plan

- The minimum investment required to start investing in Union Small Cap Fund - Regular Plan is ₹1,000 for the lump sum option and ₹500 for the SIP (Systematic Investment Plan) option.

FAQs

What is today's NAV of Union Small Cap Fund?

The NAV of Union Small Cap Fund on Aug 20 2025, is ₹54.56. NAV is updated daily based on market movements.

What is the AUM of Union Small Cap Fund?

The AUM of Union Small Cap Fund, is ₹1681.61 crore. as of the latest available data.

What is the expense ratio of Union Small Cap Fund?

The expense ratio of Union Small Cap Fund Plan is 0.95 as of 22nd July 2025.

What are the returns of Union Small Cap Fund since inception?

Union Small Cap Fund Direct Growth has given a CAGR return of 14.95% since inception.

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

The min. SIP amount to invest in this scheme is ₹100. for the direct plan.

How do I invest in Union Small Cap Fund?

You can invest in Union Small Cap Fund through Allvest by selecting the scheme, choosing investment amount, and selecting either lump sum or SIP mode.

How to start a SIP in Union Small Cap Fund?

Start your SIP in Union Small Cap Fund through Allvest by selecting monthly SIP option, choosing investment amount (minimum ₹100), and setting up auto-debit instructions.

How do I automate an SIP in Union Small Cap Fund?

Set up automated SIP through Allvest by providing bank details for auto-debit, selecting investment frequency, and confirming standing instructions with your bank.

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

You can redeem your Union Small Cap Fund investment through Allvest platform by placing a redemption request. Exit load of 1%, if redeemed within 15 days.