Top Small Cap Mutual Funds (2026)
Ranked by 3 year return, Direct plans, as on the latest NAV · AUM as on 30-09-2026
There are 36 Small Cap mutual funds. Their average 3 year return is 14.0% a year, and +3.0% over the last year. The highest 3 year returns: ITI Small Cap Fund 22.1%, Bandhan Small Cap Fund 21.7%, Invesco India Small cap Fund 20.3%.
- Total AUM
- ₹4,59,906 Cr
- As on 30-09-2026
- Funds
- 36
- From 36 fund houses
- Expense ratio
- 0.53% to 1.93%
- Direct plans, lowest to highest
- Average 3Y return
- 14.0%
- A year, Direct plans
All Small Cap Funds
Ranked by 3 year return, highest first
Ranked by 3 year return, highest first
| Exit load | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| ITI Small Cap Fund | 1 | 3,666 | +11.05% | +22.07% | +17.21% | -- | Very High | 0.84% | 0.5% within 3 months | 19.22% |
| Bandhan Small Cap Fund | 2 | 34,176 | +0.99% | +21.67% | +18.08% | -- | Very High | 0.65% | 1% within 1 year | 17.36% |
| Invesco India Small cap Fund | 3 | 16,131 | +6.15% | +20.29% | +18.16% | -- | Very High | 0.64% | 1% within 1 year | 17.82% |
| Bank of India Small Cap Fund | 4 | 3,671 | +16.64% | +18.62% | +18.46% | -- | Very High | 0.81% | 1% within 3 months | 18.86% |
| Mahindra Manulife Small Cap Fund | 5 | 5,373 | +6.31% | +18.00% | -- | -- | Very High | 0.93% | Varies | 18.22% |
| Quant Small Cap Fund | 6 | 35,572 | +4.26% | +16.13% | +17.15% | +19.94% | Very High | 0.92% | 1% within 1 year | 17.60% |
| LIC MF Small Cap Fund | 7 | 841 | +7.49% | +16.08% | -- | -- | Very High | 1.30% | 1% within 12 months | 19.25% |
| DSP Small Cap Fund | 8 | 21,467 | +9.47% | +15.70% | +16.05% | +15.58% | Very High | 0.84% | 1% within 12 months | 16.75% |
| Union Small Cap Fund | 9 | 2,732 | +11.79% | +14.64% | +16.16% | +16.45% | Very High | 1.10% | 1% within 15 days | 18.80% |
| PGIM India Small Cap Fund | 10 | 1,739 | +4.79% | +14.56% | +11.41% | -- | Very High | 0.95% | 0.5% within 90 days | 15.58% |
| Sundaram Small Cap Fund | 11 | 4,107 | +2.90% | +14.11% | +14.43% | +13.71% | Very High | 1.00% | 1% within 365 days | 16.61% |
| Aditya Birla Sun Life Small Cap Fund | 12 | 6,120 | +8.06% | +14.03% | +12.30% | +12.47% | Very High | 1.08% | 1% within 90 days | 17.15% |
| Axis Small Cap Fund | 13 | 30,678 | +1.02% | +13.23% | +14.44% | +18.24% | Very High | 0.69% | 1% within 12 months | 15.00% |
| Edelweiss Small Cap Fund | 14 | 7,000 | −0.52% | +13.20% | +14.93% | -- | Very High | 0.64% | 1% within 90 days | 16.25% |
| Nippon India Small Cap Fund | 15 | 80,906 | −0.23% | +12.97% | +17.08% | +19.26% | Very High | 0.69% | 1% within 1 year | 16.46% |
| UTI Small Cap Fund | 16 | 5,229 | −3.03% | +12.11% | +13.24% | -- | Very High | 1.07% | 1% within 1 year | 16.75% |
| HSBC Small Cap Fund | 17 | 18,513 | +2.35% | +11.75% | -- | -- | Very High | 0.78% | 1% within 1 year | 18.34% |
| Kotak Small Cap Fund | 18 | 19,141 | −2.90% | +10.85% | +10.69% | +16.06% | Very High | 0.64% | 1% within 1 year | 15.35% |
| SBI Small Cap Fund | 19 | 41,059 | −1.32% | +10.37% | +11.72% | +17.03% | -- | 0.81% | -- | 14.22% |
| Canara Robeco Small Cap Fund | 20 | 13,972 | −4.75% | +9.93% | +12.47% | -- | Very High | 0.74% | 1% within 1 year | 16.37% |
| Franklin India Small Cap Fund | 21 | 14,257 | −5.60% | +9.83% | +13.53% | +13.87% | -- | 1.06% | 1% within 1 year | 16.22% |
| ICICI Prudential Small Cap Fund | 22 | 9,791 | −3.99% | +9.50% | +11.91% | +15.23% | -- | 1.17% | 1% within 1 year | 14.31% |
| HDFC Small Cap Fund | 23 | 40,801 | −9.85% | +8.90% | +13.07% | +16.39% | Very High | 0.80% | 1% within 1 year | 15.83% |
| Tata Small Cap Fund | 24 | 13,214 | −10.42% | +8.13% | +12.26% | -- | Very High | 0.53% | 0.5% within 30 days | 17.64% |
| Motilal Oswal Small Cap Fund | -- | 8,298 | +10.62% | -- | -- | -- | -- | 0.87% | -- | -- |
| Mirae Asset Small Cap Fund | -- | 5,819 | −0.32% | -- | -- | -- | Very High | 0.68% | None | -- |
| TRUSTMF Small Cap Fund | -- | 3,877 | +19.98% | -- | -- | -- | Very High | 1.47% | 1% within 180 days | -- |
| Abakkus Small Cap Fund | -- | 3,248 | -- | -- | -- | -- | Very High | 1.23% | Varies | -- |
| Bajaj Finserv Small Cap Fund | -- | 2,762 | +7.76% | -- | -- | -- | Very High | 0.98% | 1% within 6 months | -- |
| Helios Small Cap Fund | -- | 1,885 | -- | -- | -- | -- | Very High | 0.89% | 1% within 3 months | -- |
| Baroda BNP Paribas Small Cap Fund | -- | 1,277 | +1.33% | -- | -- | -- | -- | 1.20% | -- | -- |
| Groww Small Cap Fund | -- | 966 | -- | -- | -- | -- | Low to Moderate | 1.06% | 1% within 1 year | -- |
| JM Small Cap Fund | -- | 941 | +4.61% | -- | -- | -- | Very High | 1.00% | 1% within 180 days | -- |
| Samco Small Cap Fund | -- | 270 | -- | -- | -- | -- | Very High | 1.93% | 1% within 30 days | -- |
| Quantum Small Cap Fund | -- | 262 | −1.68% | -- | -- | -- | Very High | 0.83% | 1% within 180 days | -- |
| The Wealth Company Small Cap Fund | -- | 144 | -- | -- | -- | -- | Very High | 1.79% | 1% within 1 year | -- |
Returns of each fund's Direct plan (its only plan where it has one), as on the latest NAV. 3, 5 and 10 year figures are a rate a year. Std dev: how much the daily returns swung over 3 years, as a yearly figure; lower is steadier. Riskometer and exit load from the fund's scheme summary document; "Varies" means the load changes with how long you hold, and the fund page has the full wording. Expense ratio: Direct plan, from AMFI. AUM at the end of the fund's last reported month. A fund younger than 3 years has no rank and is listed after the ranked ones.
Stocks Small Cap Funds Bought and Sold in September 2026
What the 4 largest Small Cap funds changed in their September 2026 portfolios, against the month before
Bought
| Stock | New in | Added by |
|---|---|---|
| RHI Magnesita India LimitedNippon India Small Cap, SBI Small Cap | 1 fund | 1 fund |
| Sonata Software Ltd.HDFC Small Cap, Quant Small Cap | -- | 2 funds |
| KPIT Technologies LimitedNippon India Small Cap, Quant Small Cap | -- | 2 funds |
| EPL LimitedQuant Small Cap | 1 fund | -- |
| Gujarat Themis Biosyn LtdQuant Small Cap | 1 fund | -- |
| Usha Martin LtdHDFC Small Cap | 1 fund | -- |
| Tata Steel LimitedNippon India Small Cap | 1 fund | -- |
| Max Estates LimitedQuant Small Cap | 1 fund | -- |
| Karamtara Engineering LimitedNippon India Small Cap | 1 fund | -- |
| Aequs LtdQuant Small Cap | 1 fund | -- |
Sold
| Stock | Exited by | Reduced by |
|---|---|---|
| PVR INOX LimitedNippon India Small Cap, SBI Small Cap, HDFC Small Cap | -- | 3 funds |
| ICICI Bank LimitedQuant Small Cap | 1 fund | -- |
| Star Health & Allied Insurance Co. Ltd.SBI Small Cap | 1 fund | -- |
| Meesho Ltd.SBI Small Cap | 1 fund | -- |
| Manappuram Finance Ltd.SBI Small Cap | 1 fund | -- |
| Brainbees Solutions Limited (FirstCry)HDFC Small Cap | 1 fund | -- |
| MANGALORE REFINERY & PETROCHEMICALS LTDQuant Small Cap | 1 fund | -- |
| Multi Commodity Exchange of India Ltd.SBI Small Cap | 1 fund | -- |
| Fine Organic Industries Ltd.SBI Small Cap | 1 fund | -- |
| Juniper Green Energy Ltd.SBI Small Cap | 1 fund | -- |
From each fund's own monthly portfolio, stocks only. "New in" means the fund did not hold the stock the month before; "Exited by" means it sold all of it. Added and reduced count shares held, so a price move alone is not a change. Funds counted: Nippon India Small Cap Fund, SBI Small Cap Fund, HDFC Small Cap Fund, Quant Small Cap Fund.
Compare Small Cap Funds
The largest funds of the category, side by side
How Small Cap Funds Are Taxed
As equity funds: 65% or more of each fund is in Indian stocks
| When you sell | Tax on the gain |
|---|---|
| Within 1 year | 20% of the gain (short term) |
| After 1 year | 12.5% of gains above ₹1.25 lakh a financial year (long term) |
- IDCW (dividend) payouts are added to your income and taxed at your slab rate.
- A stamp duty of 0.005% is deducted when you invest.
Rules in force from 23-07-2024 (Finance Act 2024). Tax depends on your own income; this is general information, not tax advice.
What Is a Small Cap Fund?
At least 65% of the fund in small cap stocks: companies ranked 251 and below by market value. This is the rule SEBI sets for every fund in the category, so their portfolios can be compared.
Other equity categories: Large Cap · Large & Mid Cap · Mid Cap · Multi Cap · Flexi Cap · Focused · Value and Contra · Dividend Yield · ELSS
Small Cap Funds: Frequently Asked Questions
Which are the top Small Cap mutual funds?
By 3 year return, the top Small Cap funds are 1. ITI Small Cap Fund (22.1% a year), 2. Bandhan Small Cap Fund (21.7% a year), 3. Invesco India Small cap Fund (20.3% a year), 4. Bank of India Small Cap Fund (18.6% a year), 5. Mahindra Manulife Small Cap Fund (18.0% a year). Past returns do not promise future returns, so also look at costs, risk and how long each fund has done well.
How many Small Cap funds are there?
36 Small Cap funds are open for investment, from 36 fund houses.
What is a Small Cap fund?
At least 65% of the fund in small cap stocks: companies ranked 251 and below by market value.
What is the average return of Small Cap funds?
1 year: 3.0%, 3 years: 14.0% a year, 5 years: 14.5% a year. The simple average of every Small Cap fund's Direct plan.
Which Small Cap fund has the lowest expense ratio?
Tata Small Cap Fund, at 0.53% a year (Direct plan), as reported to AMFI.
Which is the largest Small Cap fund?
Nippon India Small Cap Fund, with ₹80,906 Cr of investors' money on 30-09-2026.
How are Small Cap funds taxed?
As equity funds: gains on units sold within 1 year are taxed at 20%; after that, gains above ₹1.25 lakh a financial year are taxed at 12.5%.
This page is information, not investment advice. Mutual fund investments are subject to market risks; read all scheme related documents carefully. Past returns do not promise future returns. Figures come from AMFI, NSE, BSE and each fund house's own documents.