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An open-ended equity scheme investing predominanty in small cap companies with scalable business models and long growth runway
The Fund’s focus is on companies with scalable business models and long growth runway. A part of the Fund would invest in good companies whose business/s are going through transitory phase of weakness, which is also known as turnaround strategy. It would also invest in businesses undergoing a transformational change. The Fund would pursue a pure bottom-up approach for stock picking, therefore agnostic to sectors but would have prudential diversification in the portfolio.
W.e.f. 22-12-2020 Exit Load: Less than one year: 1% and Greater than or equal to one year: Nil
SWP/Redeem/SIP/STRIP/Switch
Not Applicable
Equity and equity related instruments (minimum 65% of the total assets would be in equity and equity related instruments of small cap companies): 65-100% (Medium to High) Debt and Money Market instruments including securitized debt#: 0-35% (Low to Medium) Units issued by REITs & InvITs: 0-10% (Medium to High) #The fund may invest up to 50% of its debt portfolio in securitized debt.
The objective of the scheme is to generate long term capital appreciation by investing predominantly in equity and equity related securities of small cap companies. However, there can be no assurance or guarantee that the investment objective of the scheme would be achieved.
Small Cap
An open-ended equity scheme predominantly investing in small cap stocks.
• A true-to-label small-cap fund with a focus on scalable business models and long growth runway. • The portfolio of the fund will not have any large cap companies. However, a mid cap company growing to a large cap may be part of the portfolio. • The Fund follows well-established risk management practices. • The Fund maintains a well-diversified portfolio and follows a patient approach towards companies in the portfolio. • The Fund pursues a bottom-up process for stock selection and has a blend approach for both value and growth style of investing with a biasness towards growth
This product is suitable for investors who are seeking*: Capital growth in tune with the index returns Passive investment in equity instruments comprised in Nifty200 momentum 30 Index. RISKOMETER * Investors should consult their financial advisers if in doubt about whether the product is suitable for them.
- Investors looking for overall portfolio diversification - Investors who want growth with limited downside risk to their portfolio - Investors looking for tax efficient returns - Retirees looking for moderate and stable returns with low volatility - First time mutual fund investors
An open-ended equity scheme predominantly investing in small cap stocks. The Fund is well-diversifed and aims to exploit the potential growth opportunities of small-cap and select mid-cap companies.
A small-cap fund invests a minimum of 65% of the fund’s corpus in equity & equity related instruments of small-cap companies. Small-caps funds provide an growth opportunities by participating in niche or unexploited set of companies/sectors, where the large caps are absent or have limited presence.
- The Fund aims to exploit the potential growth opportunities of small-cap and select mid-cap companies
- A well-diversified portfolio of scalable businesses with long growth runway
- The Fund uses 360⁰ risk assessment framework to identify good stocks and avoid poor stocks
- Pursue bottom-up stock selection approach to pick businesses with healthy financials and potential for sustenance of margins over a period of time
Investing in UTI transportation and logistics fund is very simple. Investors can simple log on to utimf.com or use UTI Buddy Application and start investing subject to KYC compliance. Investors may also approach nearest UTI Financial Centres (UFCs). Alternatively, you may also approach mutual fund distributors, financial advisors or various online platform for investments.
- Small-caps segment provide higher opportunities as they have a much higher representation in a very diverse set of sectors when compared to large-caps.
- Small-caps have new and emerging business models which cater to a specialized segment of the markets.
- Small-cap stocks are less tracked or followed by the sell-side analyst community at large. Therefore, it provides the fund managers an opportunity to identify high growth, quality stocks possibly available at mispriced valuation.
- Exposure to small-caps by institutional investors is lower relative to their exposure to bigger businesses, leading to some in-efficiencies in the market.