Groww Small Cap Fund
Direct · GrowthAI Summary
Groww Small Cap Fund has outperformed the NIFTY SMALLCAP 250 benchmark across all periods, with a 1Y Fund CAGR of 21.65% versus the benchmark's 5.02%, generating a strong 1Y alpha of 16.41%. Longer-term CAGRs are modest, with 3Y at 6.75% and 5Y at 4.0%, though the fund still leads the benchmark in each window. SIP XIRR data is not available, so like-for-like comparison with the category averages (e.g., 17.52% 1Y, 20.08% 3Y) is not possible from this data.
The fund exhibits a Beta of 0.85, meaning it moves less than the benchmark, and its downside capture of 78.0% versus upside capture of 92.87% indicates favorable asymmetric performance. The maximum drawdown was just -0.11% over 30 days with only 1 drawdown event exceeding 10%. These risk characteristics suggest relatively strong downside protection compared to peers in the small cap segment, though the very low drawdown figures may reflect a limited measurement window.
Holdings-level data, sector allocation, and concentration metrics are not provided, so the portfolio's diversification cannot be assessed from this data. Investors should review the latest factsheet or portfolio disclosure before committing. This is an important gap given that single-stock and sector concentration is a key risk in small cap funds.
Direct lump-sum comparison with category peers is limited because the fund's XIRR is unavailable while category averages are SIP XIRR based. On alpha, the fund consistently beats its benchmark, with 1Y alpha at 16.41%, 3Y alpha at 4.39%, and 5Y alpha at 2.20%. The narrowing alpha over longer windows suggests the benchmark outperformance is most pronounced in recent periods rather than sustained across full market cycles.
This fund is suitable for investors with high risk tolerance and a long time horizon of at least 5-7 years, as small cap returns are inherently volatile and the longer-term CAGRs here are modest. It may appeal to those seeking a small cap allocation with a defensive tilt, given its sub-1 Beta and strong downside capture. Investors should be comfortable with periods of underperformance and should not rely on short-term liquidity from this allocation.
- Consistent benchmark outperformance across all time windows, with 1Y alpha of 16.41% versus the NIFTY SMALLCAP 250
- Favorable capture profile with 92.87% upside capture against only 78.0% downside capture
- Low Beta of 0.85 offering a cushion relative to the small cap benchmark in down markets
- Competitive expense ratio of 0.52% in the Direct Growth option
- Long-term lump-sum CAGRs are modest, with 3Y at 6.75% and 5Y at 4.0%, indicating weak absolute compounding over extended periods
- Alpha narrows significantly over longer windows, from 16.41% at 1Y to just 0.08% at 15Y, questioning sustained edge
- Absence of XIRR, rolling return, and holdings data prevents full evaluation of SIP performance and portfolio diversification
Generated on 05-11-2026, 3:05 AM. Verify before investing.
The largest peak-to-trough decline in the fund's NAV. Shows the worst-case loss an investor would have experienced at any point in the fund's history.
Not enough data to compute SIP returns.
Not enough data to compute rolling returns.
Compared against NIFTY SMALLCAP 250
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +16.39 | 0.85 | 92.4% | 78.5% | 24.9% | 8.9% |
| 3 Years | +4.29 | 0.85 | 92.4% | 78.5% | 7.7% | 2.9% |
| 5 Years | +2.13 | 0.85 | 92.4% | 78.5% | 4.6% | 1.7% |
| 7 Years | +1.22 | 0.85 | 92.4% | 78.5% | 3.2% | 1.2% |
| 10 Years | +0.55 | 0.85 | 92.4% | 78.5% | 2.3% | 0.9% |
| 12 Years | +0.30 | 0.85 | 92.4% | 78.5% | 1.9% | 0.7% |
| 15 Years | +0.05 | 0.85 | 92.4% | 78.5% | 1.5% | 0.6% |