Groww Mutual Fund launches Small Cap Fund, know its highlights

Groww Mutual Fund will use its QGaRP framework to select stocks for this fund. This framework focuses on investing in quality and growth stocks at the right price. The fund’s benchmark will be the Nifty Smallcap 250 Index – TRI.

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Groww Mutual Fund has launched a Small Cap Fund. This is an open-ended scheme that will primarily invest in shares of small-cap companies. Investments in this new fund offering are available between January 8th and January 22nd. The fund aims to provide investors with good returns over the long term.

The benchmark for this fund will be Nifty Smallcap 250 Index-TRI

Groww Mutual Fund will use its QGaRP framework to select stocks for this fund. This framework focuses on investing in quality and growth stocks at reasonable prices. The fund will invest exclusively in small-cap stocks and will not invest in large-cap stocks. The fund’s benchmark will be the Nifty Smallcap 250 Index – TRI.

This is a great opportunity for small-cap companies to achieve rapid growth.

According to the fund house, the Indian economy is undergoing structural changes. Infrastructure spending is increasing, capital markets are expanding, interest in formal credit is growing, and the use of digital platforms is increasing. This presents a significant opportunity for small-cap companies to expand their operations and enter new markets.

2025 is not good for most smallcap stocks

Analysts expect the small-cap index to underperform in 2025. This is due to a decline in small-cap stocks, which has led to a decline in their valuations. However, companies’ fundamentals have improved. Anupam Tiwari will be the fund manager of this fund.

One can invest in this fund with a minimum of Rs 500

The minimum investment amount in Groww Small Cap Fund is ₹500. A one-percent exit load will apply if the funds are withdrawn within one year. This scheme is for investors who wish to invest in small-cap stocks. Small-cap stocks are highly volatile and carry a high degree of risk. Investors who cannot take high risks should not invest in small-cap funds.

Consult your financial advisor before investing.

Experts say that small-cap funds are ideal for long-term investments. Investors looking for short-term and medium-term investments should avoid small-cap funds. 2025 was not a good year for small-cap stocks. The BSE Smallcap Index fell 6.27% in 2025. Investors should consult their financial advisor before investing in this fund.

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