Invesco India Small Cap Fund
Direct · GrowthAI Summary
Invesco India Small Cap Fund has delivered strong SIP XIRR across horizons: 21.55% (1Y), 27.61% (3Y), and 28.44% (5Y), all comfortably ahead of category averages of 17.53%, 20.09%, and 22.84% respectively. On a lump-sum basis, the fund's CAGR has beaten NIFTY Smallcap 250 across all periods, with 10Y CAGR of 17.65% vs benchmark 12.52%. The 1Y period is a standout, with the fund returning 6.15% while the benchmark declined 3.72%.
The fund shows a low maximum drawdown of -0.38% over the observed window with a brief 33-day drawdown phase, though it took 245 days to fully recover and there have been 6 drawdown events exceeding 10%. Consistently low beta (roughly 0.86-0.91) and downside capture of 82-87% versus the benchmark indicate better downside insulation than the index. Calmar ratios of 0.66-0.77 across horizons reflect solid risk-adjusted returns, though investors should remember small caps remain inherently volatile over full cycles.
The 67-stock portfolio is well diversified, with the top holding (Sai Life Sciences) at just 5.04% and the top 10 concentrated around 2.4-5% each. Healthcare exposure is notable, combining Healthcare Services (13.2%) and Pharmaceuticals & Biotechnology (7.6%) for roughly 21% of the portfolio, supplemented by Banks (9.3%) and Retailing (8.0%). The spread across healthcare, aviation, consumer durables, and auto components suggests a broad, fundamentally driven mid- and small-cap mandate rather than a concentrated bet.
The fund outperforms category average SIP XIRR by roughly 4-8 percentage points across 1Y, 3Y, 5Y, and 7Y horizons, indicating sustained peer-beating SIP outcomes. Rolling returns (3Y mean 28.16%, 5Y mean 28.95%) align closely with the fund's XIRR figures, pointing to consistent returns rather than a few lucky periods. Alpha is positive across every measured window, from 3.47% over 15Y to 9.14% over 3Y, supporting genuine stock-selection outperformance.
This fund suits investors with high risk tolerance and a horizon of at least 5-7 years, given small cap cyclicality, as seen in returns ranging from -2.54% (2025) to 63.58% (2021). It is best used as a satellite allocation within a diversified portfolio rather than a core holding. SIP investors seeking long-term small cap exposure with a manager demonstrating consistent alpha and lower downside capture may find it compelling.
- SIP XIRR beats category averages across all horizons: 27.61% vs 20.09% over 3Y and 28.44% vs 22.84% over 5Y
- Consistent positive alpha over every measured period, peaking at 9.14% over 3Y
- Low downside capture (81.8-86.1%) and beta below 1 across all windows, cushioning market declines
- Low expense ratio of 0.52% for a Direct small cap fund
- Healthcare-linked exposure (Healthcare Services plus Pharma) totals roughly 21%, creating sector concentration risk
- Six drawdown events exceeding 10% and a 245-day recovery from max drawdown highlight small cap volatility over full cycles
- Recent calendar year returns are uneven, with -2.54% in 2025 and just 0.13% in 2022
Generated on 01-11-2026, 3:03 AM. 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 | ₹13.12 L | 29.7% | -47.4% | 118.0% |
| 3 Years | ₹36.00 L | ₹52.83 L | 28.8% | 5.9% | 51.8% |
| 5 Years | ₹60.00 L | ₹1.18 Cr | 28.5% | 14.7% | 40.4% |
| 7 Years | ₹84.00 L | ₹2.05 Cr | 25.3% | 21.0% | 28.1% |
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 | 29.7% | 21.9% | 17.5% | +7.8% |
| 3 Years | 28.8% | 15.2% | 20.1% | +13.6% |
| 5 Years | 28.5% | 14.3% | 22.8% | +14.2% |
| 7 Years | 25.3% | 14.4% | 21.8% | +10.9% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 27.9% | 18.2% | -25.7% | 105.6% | 0.76 | 4.56 | 92% | — | — |
| 3 Years | 28.9% | 28.3% | 19.1% | 41.6% | 4.73 | — | 100% | — | — |
| 5 Years | 29.0% | 29.2% | 17.3% | 39.3% | 4.14 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY SMALLCAP 250
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +8.97 | 0.91 | 94.7% | 85.6% | 6.2% | -3.7% |
| 3 Years | +9.14 | 0.90 | 94.0% | 86.1% | 20.3% | 11.7% |
| 5 Years | +6.71 | 0.86 | 88.9% | 82.5% | 18.0% | 12.1% |
| 7 Years | +6.88 | 0.88 | 89.6% | 83.3% | 25.0% | 19.7% |
| 10 Years | +5.90 | 0.87 | 89.1% | 81.8% | 17.6% | 12.5% |
| 12 Years | +4.66 | 0.87 | 89.1% | 81.8% | 14.5% | 10.3% |
| 15 Years | +3.47 | 0.87 | 89.1% | 81.8% | 11.4% | 8.2% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | Sai Life Sciences Limited | 5.14% |
| 2 | Eternal Limited | 4.38% |
| 3 | Aditya Infotech Limited | 3.98% |
| 4 | Amber Enterprises India Limited | 3.69% |
| 5 | Krishna Institute Of Medical Sciences Limited | 3.42% |
| 6 | InterGlobe Aviation Limited | 3.08% |
| 7 | Max Healthcare Institute Limited | 2.98% |
| 8 | Prestige Estates Projects Limited | 2.73% |
| 9 | Paradeep Phosphates Limited | 2.44% |
| 10 | Craftsman Automation Limited | 2.34% |