Focused portfolio of smallcap funds selected to outperform the category
Investment Rationale
- This model portfolio of smallcap mutual funds comprises actively-managed funds that predominantly invest in the companies ranked 251st and beyond in terms of market capitalization. Using a data-backed selection methodology across fund houses, the strategy aims to deliver returns that can outpace the broader small-cap equity category.
- Our fund-selection methodology is based on a predictive analytics model using a multi-factor approach to identify funds with the potential to outperform their benchmark and category averages. An additional manual layer of constituent analysis is applied to each fund before shortlisting the final picks.
- The strategy will continuously monitor these funds and recommend changes if the relative risk–return outlook, compared with other mutual funds in the same category, shifts materially. Adjustments may also be made if changes in fund management style, investment policy, or fund manager introduce uncertainty. At the same time, the portfolio seeks to minimise churn in order to avoid unnecessary tax implications for investors.
- Invest in this portfolio of funds across asset management companies —blending multiple high-quality mutual funds to deliver strong, sustainable growth and a reliable foundation for your long-term smallcap allocation.
