Groww Nifty Smallcap 250 Index Fund

Ticker: mf13702
Decent 48/100

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Business Overview

The Groww Nifty Smallcap 250 Index Fund is designed for investors seeking exposure to the small-cap segment of the Indian equity market. This fund tracks the Nifty Smallcap 250 Index, offering a diversified portfolio of smaller companies with high growth potential. It is ideal for those looking to enhance their investment strategy with high-risk, high-reward opportunities. With a focus on long-term capital appreciation, this fund matters for investors aiming to capitalize on the dynamic growth of India's small-cap sector.

  • Tracks the Nifty Smallcap 250 Index
  • Diversified portfolio of high-growth small-cap stocks
  • Ideal for long-term capital appreciation
  • Suitable for risk-tolerant investors
  • Managed by experienced professionals

Investment Thesis

Investing in the Groww Nifty Smallcap 250 Index Fund offers exposure to a diversified portfolio of small-cap stocks with strong growth potential. Backed by a credible promoter group, this fund capitalizes on the digital services growth trajectory while presenting attractive valuations compared to peers, making it a compelling choice for retail investors.

  • Strong backing from a reputable promoter group enhances credibility.
  • Capitalizes on the growing digital services sector in India.
  • Offers diversification across 250 small-cap stocks for risk mitigation.
  • Attractive valuation metrics compared to industry peers.
  • Potential for significant long-term capital appreciation.

Opportunity vs Risk

Opportunities
  • Diversification in smallcap segment
  • Potential for high growth
  • Low expense ratio
  • Access to emerging companies
  • Long-term capital appreciation
Risks ⚠️
  • Market volatility in smallcaps
  • Economic downturn impact
  • Liquidity concerns
  • Higher management fees than peers
  • Regulatory changes affecting smallcaps

Peer Perspective

Groww Nifty Smallcap 250 Index Fund trades at a slight premium compared to peers like SBI Small Cap Fund and Axis Small Cap Fund. A sustained growth acceleration could trigger a favorable rerating.
📊 Stock Investment Checklist (100 Points)
Groww Nifty Smallcap 250 Index Fund • Updated: 2025-09-29 14:41:25
  • 10
    Business
    High
    The smallcap sector has potential but faces volatility.
  • 10
    Growth
    High
    Consistent revenue growth observed in smallcap companies.
  • 10
    Profitability
    High
    ROE and ROCE are decent but vary across constituents.
  • 8
    Valuation
    High
    Valuation metrics are mixed compared to peers.
  • 7
    Balance
    High
    Generally low debt levels but liquidity varies.
  • 6
    Governance
    Good
    Promoter holding is reasonable, but some concerns on disclosures.
  • 5
    Drivers
    Good
    Growth drivers exist but execution risks are notable.
  • 5
    Technicals
    Good
    Market sentiment is cautious with mixed momentum.
Final Score & Verdict
Score 48 / 100 • Decent
The fund shows potential for growth but carries risks associated with smallcap volatility and execution challenges.


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