ICICI Prudential Small Cap Fund
Direct · GrowthAI Summary
ICICI Prudential Small Cap Fund has delivered strong long-term SIP XIRR of 19.87% over 10 years and 18.30% over 3 years, though these trail the category average SIP XIRR of 20.91% and 22.67% respectively. Against the NIFTY SmallCap 250 benchmark, the fund shows positive alpha over longer horizons (4.23% over 10Y, 3.90% over 12Y), but has recently underperformed with negative alpha of -1.83% over 1Y and -0.37% over 3Y. The fund's lump-sum CAGR of 15.85% over 5Y and 16.62% over 10Y demonstrates solid compounding over extended periods.
The fund exhibits a defensive risk profile with a beta of 0.72-0.79 across horizons, meaning it captures only about 72-80% of benchmark upside but also limits downside to 67-76%. It has experienced 5 drawdown events exceeding 10%, with the maximum drawdown lasting 790 days and taking 254 days to recover, highlighting the extended recovery periods typical of small caps. Calmar ratios of roughly 0.38-0.46 across horizons indicate moderate risk-adjusted efficiency.
The portfolio is well diversified across 124 holdings, with the top 10 positions totaling only about 21.8% of NAV and the largest holding (Shadowfax Technologies) at just 2.89%. Sector exposure is concentrated in Auto Components (12.1%) and Industrial Products (11.5%), followed by Chemicals (8.5%), giving the fund a manufacturing and cyclical tilt. Notable holdings include Atul Ltd, Mahindra & Mahindra, RR Kabel, and multiple auto component names like SEDS and Minda Corporation.
The fund's SIP XIRR lags category averages across most horizons, most notably 18.30% versus 22.67% over 3Y, though the gap narrows over 12Y (18.27% vs 19.35%). Its consistent positive alpha over 5Y, 7Y, 10Y, and 12Y horizons versus the benchmark suggests durable stock selection despite recent relative weakness. The low-beta, downside-protective style may cause it to trail in strong small-cap rallies while offering resilience in corrections.
This fund suits investors with a high risk tolerance and a horizon of at least 5-7 years, given the 790-day maximum drawdown duration and small-cap volatility. It is appropriate as a satellite allocation within a diversified portfolio rather than a core holding, particularly for those who value downside protection over maximum upside capture. SIP investing is preferable to lump-sum given the fund's extended drawdown recovery periods.
- Consistent positive alpha versus the NIFTY SmallCap 250 over 5Y (2.41%), 7Y (4.07%), 10Y (4.23%), and 12Y (3.90%) horizons, indicating sustained stock selection skill
- Low beta of 0.70-0.79 with downside capture consistently below upside capture, offering better-than-market downside protection
- Highly diversified portfolio of 124 holdings with a small top-10 footprint of about 21.8% of NAV, reducing single-stock risk
- SIP XIRR trails category averages across all horizons, with the widest gap over 3Y (18.30% vs 22.67%)
- Recent underperformance versus benchmark, with negative alpha of -1.83% over 1Y and fund CAGR of 6.41% versus benchmark 8.70%
- Extended drawdown recovery, with the maximum drawdown lasting 790 days and requiring 254 days to recover, plus 5 drawdown events exceeding 10%
Generated on 06-09-2026, 7:57 PM. Verify before investing.
Gives more importance to longer time periods (10Y, 20Y) than shorter ones (1Y, 3Y). This balances out recent outperformance and gives a more realistic picture of what long-term returns might look like.
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.
If you invested ₹1,00,000 every month via SIP, here's how this fund has historically performed across different time horizons.
| Duration | Invested | Median Value | XIRR | Min XIRR | Max XIRR |
|---|---|---|---|---|---|
| 1 Year | ₹12.00 L | ₹12.87 L | 22.1% | -58.2% | 135.3% |
| 3 Years | ₹36.00 L | ₹45.80 L | 18.3% | -25.6% | 53.8% |
| 5 Years | ₹60.00 L | ₹99.66 L | 18.5% | -12.3% | 37.0% |
| 7 Years | ₹84.00 L | ₹1.76 Cr | 19.4% | -4.3% | 29.7% |
| 10 Years | ₹1.20 Cr | ₹3.37 Cr | 19.9% | 15.9% | 23.5% |
| 12 Years | ₹1.44 Cr | ₹4.59 Cr | 18.3% | 15.2% | 21.2% |
SIP returns vs benchmark & category
Annualised SIP return (XIRR) over each rolling horizon — like-for-like, not lump-sum.
| Duration | Fund SIP XIRR | NIFTY SMALLCAP 250 | Category avg | Fund edge |
|---|---|---|---|---|
| 1 Year | 22.1% | 22.0% | 21.6% | +0.1% |
| 3 Years | 18.3% | 15.3% | 22.7% | +3.0% |
| 5 Years | 18.5% | 14.3% | 22.0% | +4.2% |
| 7 Years | 19.4% | 14.4% | 21.8% | +5.1% |
| 10 Years | 19.9% | 14.0% | 20.9% | +5.9% |
| 12 Years | 18.3% | 13.5% | 19.4% | +4.8% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 20.9% | 14.3% | -31.5% | 132.5% | 0.50 | 1.64 | 80% | — | — |
| 3 Years | 18.4% | 17.9% | -11.3% | 49.8% | 1.00 | 3.86 | 94% | — | — |
| 5 Years | 18.0% | 17.3% | -3.4% | 38.7% | 1.30 | 7.34 | 98% | — | — |
| 10 Years | 17.8% | 17.5% | 14.2% | 20.9% | 7.75 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY SMALLCAP 250
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | -1.83 | 0.79 | 75.6% | 75.3% | 6.4% | 8.7% |
| 3 Years | -0.37 | 0.72 | 71.9% | 70.5% | 13.9% | 17.4% |
| 5 Years | +2.41 | 0.73 | 75.1% | 71.7% | 15.8% | 16.0% |
| 7 Years | +4.07 | 0.79 | 80.0% | 75.6% | 22.9% | 22.1% |
| 10 Years | +4.23 | 0.75 | 76.7% | 71.9% | 16.6% | 14.3% |
| 12 Years | +3.90 | 0.72 | 73.8% | 69.1% | 15.8% | 14.0% |
| 15 Years | +3.93 | 0.70 | 72.3% | 66.9% | 15.3% | 13.5% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | Shadowfax Technologies Ltd | 2.89% |
| 2 | Atul Ltd. | 2.47% |
| 3 | Mahindra & Mahindra Ltd. | 2.34% |
| 4 | RR Kabel Ltd. | 2.18% |
| 5 | Sedemac Mechatronics Ltd | 1.92% |
| 6 | Minda Corporation Ltd. | 1.87% |
| 7 | Timken India Ltd. | 1.83% |
| 8 | Pfizer Ltd. | 1.81% |
| 9 | Travel Food Services Ltd | 1.80% |
| 10 | ZF Commercial Vehicle Control Systems India Ltd | 1.73% |