SBI Small Cap Fund
Direct · GrowthAI Summary
SBI Small Cap Fund has delivered strong long-term SIP returns, with 10Y XIRR of 21.25% and 7Y XIRR of 22.41%, outperforming the category average of 20.91% and 21.81% respectively. Over 12 years, its XIRR of 19.06% edges past the category's 19.35% only marginally, and 3Y (21.59%) and 5Y (20.48%) XIRR trail category averages of 22.67% and 22.02%. Against the NIFTY SmallCap 250 benchmark, the fund shows substantial long-term alpha, including 9.47% over 12 years and 7.18% over 10 years, though 3Y alpha is negative at -0.31%.
The fund exhibits a defensive risk profile for a small cap strategy, with beta of roughly 0.70-0.78 across periods and downside capture consistently between 65% and 74%, well below its upside capture. It has experienced 6 drawdown events exceeding 10%, with the maximum drawdown lasting 806 days and requiring 238 days to recover, underscoring the extended recovery periods typical of small caps. Calmar ratios of 0.54-0.64 across horizons indicate moderate risk-adjusted efficiency, with the 1Y Calmar of 0.6428 being the strongest.
The portfolio holds 65 stocks with a well-diversified top 10, where the largest position, Ather Energy, is only 4.26% of NAV. Auto Components is the top sector at 9.5%, followed by Chemicals & Petrochemicals at 9.1% and Consumer Durables at 8.8%, showing no single sector dominance. The top 10 holdings span automobiles, chemicals, industrials, banks, capital markets, and healthcare, reflecting a genuinely multi-sector approach.
The fund is a mixed performer versus category peers on SIP XIRR, beating the 10Y and 12Y category averages but lagging on 1Y, 3Y, and 5Y horizons. Its consistency shines in benchmark-relative terms, with positive alpha in 5 of 6 periods and calendar-year returns ranging from -18.69% in 2018 to 112.55% in 2014. The combination of below-benchmark downside capture and long-run alpha suggests a quality-tilted approach that trades some upside in exchange for resilience.
This fund suits investors with a high risk tolerance and a horizon of at least 5-7 years, as evidenced by the 806-day maximum drawdown duration and small cap volatility. It is appropriate as a satellite allocation within a diversified portfolio rather than a core holding, given its defensive beta may lag in sharp small cap rallies. SIP investors seeking long-term compounding with moderate downside exposure to the small cap segment are the ideal fit.
- Strong long-term benchmark alpha of 9.47% over 12Y and 7.18% over 10Y versus NIFTY SmallCap 250
- Consistently low downside capture (65-74%) with beta around 0.70, offering cushioning in market declines
- Well-diversified 65-stock portfolio with no holding above 4.26% and no sector above 9.5%
- Recent underperformance versus category on SIP XIRR across 1Y, 3Y, and 5Y horizons, including negative 3Y alpha of -0.31%
- Extended drawdown recovery risk, with the maximum drawdown lasting 806 days and 6 drawdown events exceeding 10%
Generated on 06-09-2026, 7:54 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 | ₹13.09 L | 26.2% | -47.8% | 136.9% |
| 3 Years | ₹36.00 L | ₹49.98 L | 21.6% | -17.8% | 47.7% |
| 5 Years | ₹60.00 L | ₹1.00 Cr | 20.5% | -2.6% | 34.1% |
| 7 Years | ₹84.00 L | ₹1.85 Cr | 22.4% | 14.6% | 28.2% |
| 10 Years | ₹1.20 Cr | ₹3.57 Cr | 21.3% | 15.6% | 25.3% |
| 12 Years | ₹1.44 Cr | ₹4.77 Cr | 19.1% | 16.9% | 21.4% |
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 | 26.2% | 22.0% | 21.6% | +4.2% |
| 3 Years | 21.6% | 15.3% | 22.7% | +6.3% |
| 5 Years | 20.5% | 14.3% | 22.0% | +6.2% |
| 7 Years | 22.4% | 14.4% | 21.8% | +8.0% |
| 10 Years | 21.3% | 14.0% | 20.9% | +7.2% |
| 12 Years | 19.1% | 13.5% | 19.4% | +5.6% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 25.9% | 19.8% | -24.5% | 128.0% | 0.65 | 2.86 | 83% | — | — |
| 3 Years | 22.4% | 22.4% | -0.8% | 44.6% | 1.62 | 19.94 | 100% | — | — |
| 5 Years | 21.6% | 21.6% | 7.4% | 34.5% | 2.53 | — | 100% | — | — |
| 10 Years | 22.1% | 20.1% | 18.0% | 28.7% | 4.48 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY SMALLCAP 250
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +0.66 | 0.78 | 76.3% | 73.3% | 8.9% | 8.7% |
| 3 Years | -0.31 | 0.70 | 69.5% | 67.9% | 13.8% | 17.4% |
| 5 Years | +2.75 | 0.69 | 70.3% | 66.2% | 15.8% | 16.0% |
| 7 Years | +4.76 | 0.71 | 72.7% | 67.3% | 22.4% | 22.1% |
| 10 Years | +7.18 | 0.72 | 74.1% | 66.6% | 19.3% | 14.3% |
| 12 Years | +9.47 | 0.72 | 75.8% | 66.7% | 21.4% | 14.0% |
| 15 Years | +7.94 | 0.71 | 74.7% | 65.2% | 20.5% | 15.1% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | Ather Energy Ltd. | 4.26% |
| 2 | Navin Fluorine International Ltd. | 3.09% |
| 3 | Honeywell Automation India Ltd. | 2.85% |
| 4 | City Union Bank Ltd. | 2.71% |
| 5 | Belrise Industries Ltd. | 2.58% |
| 6 | Kalpataru Projects International Ltd. | 2.55% |
| 7 | ZF Commercial Vehicle Control Systems India Ltd. | 2.54% |
| 8 | Sundram Fasteners Ltd. | 2.45% |
| 9 | Krishna Institute of Medical Sciences Ltd. | 2.22% |
| 10 | Multi Commodity Exchange of India Ltd. | 2.22% |