Samco Mutual Fund Filed a Draft for the Small Cap Fund

Samco Mutual Fund has submitted a draft Scheme Information Document for its proposed open-ended equity scheme, Samco Small Cap Fund. The fund will invest primarily in equity and equity-related securities of small-cap companies, which are ranked 251st and beyond in terms of market capitalisation.

Investment Objective and Allocation

The fund aims to provide long-term capital growth by investing 65-100% of its assets in small-cap stocks. It may also invest up to 35% in mid or large-cap equities, international stocks, debt, or money market instruments. Exposure to REITs and InvITs is capped at 10%.

Benchmark

Samco will follow a momentum-based approach using its proprietary C.A.R.E. framework, focusing on cross-sectional, absolute, revenue, and earnings momentum. The scheme will be benchmarked against the Nifty Smallcap 250 Total Returns Index.

Fund Management

The scheme will be managed by Umeshkumar Mehta, Nirali Bhansali, and Dhawal Dhanani. All three also manage multiple other schemes under the Samco Mutual Fund umbrella.

Minimum Investment 

The minimum application amount during the NFO is ₹5,000. Systematic Investment Plans (SIPs) start at ₹500 per instalment for a minimum of 12 instalments. Both Direct and Regular Plans will be available, with a growth option.

Loads and Liquidity

There is no entry load. Investors can redeem up to 10% of units without an exit load; redemptions beyond this will incur a 1% load if done within 12 months. No exit load applies after 12 months.

NAV and Expenses

NAV will be disclosed daily on the AMC and AMFI websites. The maximum Total Expense Ratio (TER) will be up to 2.25% of daily net assets, subject to SEBI’s slab-based limits.

Read more: Upcoming NFOs in July 2025: Axis and JM Financial Launch New Mutual Fund Schemes!

Conclusion

The draft has been filed with SEBI, and the scheme will be opened for public subscription post-approval. The scheme is yet to launch and currently has no performance history.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Mutual Fund investments are subject to market risks, read all the related documents carefully before investing.