Union Small Cap Fund
Direct · GrowthAI Summary
Union Small Cap Fund has delivered a 10Y SIP XIRR of 19.78% and a 5Y SIP XIRR of 22.1%, though it trails the category average SIP XIRR across most periods, including 20.39% vs 22.67% over 3Y and 11.83% vs 21.59% over 1Y. Against the NIFTY SmallCap 250 benchmark, the fund shows consistent outperformance, with a 10Y fund CAGR of 17.64% vs the benchmark's 14.33% and alpha of 4.60% over the same period. The 1Y alpha of 16.50% (fund CAGR 25.19% vs benchmark 8.7%) reflects particularly strong recent relative performance.
The fund exhibits a defensive risk profile for a small cap fund, with beta declining from 0.9972 over 1Y to 0.825 over 15Y and downside capture improving from 90.3% to 77.93% over longer windows, meaning it falls meaningfully less than the benchmark. The maximum drawdown of -0.447% with a 798-day duration and 261-day recovery indicates a prolonged but shallow drawdown profile, though 8 drawdown events exceeding 10% confirm meaningful interim volatility. Calmar ratios remain stable between 0.367 and 0.4019 across horizons, suggesting consistent risk-adjusted returns.
The portfolio holds 73 stocks with a well-diversified top 10 accounting for roughly 30% of NAV, led by Gabriel India (3.73%), Karur Vysya Bank (3.67%), and Navin Fluorine (3.55%). Sector allocation is balanced, with the top five sectors — Auto Components (9.9%), Banks (9.5%), Industrial Products (9.0%), Electrical Equipment (8.4%), and Pharma (8.3%) — each under 10%, avoiding concentrated bets. This diversified, moderately sized positioning supports the fund's lower beta and downside capture characteristics.
The fund lags category average SIP XIRR in every period shown, most notably 11.83% vs 21.59% over 1Y and 20.39% vs 22.67% over 3Y, indicating it is a below-median SIP performer among small cap peers. However, its calendar year record shows resilience, with only three negative years since 2014 (2016: -3.07%, 2018: -19.68%, 2025: -4.65%) and strong up years such as 2021 (61.94%) and 2023 (42.66%). Its consistent benchmark alpha across 3Y to 15Y windows suggests dependable relative performance even if not category-leading.
This fund suits investors seeking small cap exposure with a defensive tilt, given its sub-1 beta and strong downside capture versus the benchmark. A minimum horizon of 7-10 years is appropriate, as evidenced by the 7Y SIP XIRR of 21.92% and the fund's multi-year drawdown recovery patterns. Investors should have high risk tolerance for interim volatility, including drawdown events exceeding 10%, and should not expect category-top SIP returns.
- Consistent positive alpha versus NIFTY SmallCap 250 across all windows from 3Y to 15Y, including 6.88% alpha over 7Y
- Defensive downside capture of 77.93% to 83.7% over longer horizons, falling significantly less than the benchmark in weak markets
- Well-diversified 73-stock portfolio with no sector exceeding 10% and a moderate ~30% concentration in the top 10 holdings
- SIP XIRR trails the category average in every period, most sharply over 1Y (11.83% vs 21.59%) and 3Y (20.39% vs 22.67%)
- Prolonged drawdown characteristics, with a 798-day maximum drawdown duration and 8 drawdown events exceeding 10%, requiring long recovery patience
Generated on 02-09-2026, 2:48 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 | ₹12.82 L | 19.0% | -49.5% | 113.3% |
| 3 Years | ₹36.00 L | ₹46.14 L | 18.4% | -23.4% | 51.8% |
| 5 Years | ₹60.00 L | ₹1.00 Cr | 19.1% | -11.6% | 34.7% |
| 7 Years | ₹84.00 L | ₹1.79 Cr | 21.9% | 15.2% | 28.7% |
| 10 Years | ₹1.20 Cr | ₹3.33 Cr | 19.8% | 16.2% | 22.6% |
| 12 Years | ₹1.44 Cr | ₹4.73 Cr | 18.5% | 17.7% | 19.4% |
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 | 19.0% | 22.0% | 21.6% | -3.0% |
| 3 Years | 18.4% | 15.3% | 22.7% | +3.1% |
| 5 Years | 19.1% | 14.3% | 22.0% | +4.8% |
| 7 Years | 21.9% | 14.3% | 21.8% | +7.5% |
| 10 Years | 19.8% | 14.0% | 20.9% | +5.8% |
| 12 Years | 18.5% | 13.5% | 19.4% | +5.0% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 18.0% | 13.9% | -28.3% | 116.8% | 0.44 | 1.32 | 77% | — | — |
| 3 Years | 17.4% | 18.6% | -9.3% | 43.1% | 0.92 | 3.66 | 94% | — | — |
| 5 Years | 17.7% | 17.2% | -3.4% | 35.7% | 1.20 | 6.75 | 98% | — | — |
| 10 Years | 16.4% | 16.6% | 12.8% | 18.5% | 8.03 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY SMALLCAP 250
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +16.50 | 1.00 | 105.7% | 90.3% | 25.2% | 8.7% |
| 3 Years | +3.68 | 0.93 | 93.1% | 89.4% | 20.3% | 17.4% |
| 5 Years | +4.05 | 0.87 | 88.1% | 83.7% | 18.9% | 16.0% |
| 7 Years | +6.88 | 0.86 | 87.3% | 80.9% | 26.9% | 22.1% |
| 10 Years | +4.60 | 0.84 | 83.4% | 78.5% | 17.6% | 14.3% |
| 12 Years | +4.27 | 0.83 | 83.1% | 78.3% | 17.0% | 14.0% |
| 15 Years | +3.22 | 0.82 | 82.8% | 77.9% | 13.6% | 11.1% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | Gabriel India Ltd. | 3.73% |
| 2 | Karur Vysya Bank Ltd. | 3.67% |
| 3 | Navin Fluorine International Ltd. | 3.55% |
| 4 | Kirloskar Oil Engines Ltd. | 3.10% |
| 5 | S.J.S. Enterprises Ltd. | 3.08% |
| 6 | GE Vernova T&D India Ltd. | 3.07% |
| 7 | Multi Commodity Exchange of India Ltd. | 2.78% |
| 8 | Ujjivan Small Finance Bank Ltd. | 2.71% |
| 9 | Azad Engineering Ltd. | 2.15% |
| 10 | Torrent Pharmaceuticals Ltd. | 2.03% |