Franklin India Small Companies Fund – Direct-Growth
This small-cap mutual fund scheme was launched on 13 January 2006 by Franklin Templeton Mutual Fund. The AUM (Asset Under Management) of this scheme is Rs 6950.84 crore. The recently announced NAV as on 26 April 2022 is Rs 99.0986. This fund has a high expense ratio as compared to its category average expense ratio. Its expense ratio is 1.05%. It is a medium size fund in its category.
What is the minimum SIP
It is a very risky fund from investment point of view. However, it has given good returns. Rating agency CRISIL has given a 1-star rating to the fund. The minimum lump sum amount required to invest in this fund is Rs 5,000 and for SIP it is Rs 500. There is no lock-in period in this plan. However, it charges 1% on redemption within 365 days. The fund primarily invests in small companies to generate long-term returns.
Check Return of Fund
If you look at the absolute return of this fund on a one-time investment, then 36.25 percent in 1 year, 155.33 percent in 2 years (155.33 percent return means that the one who has invested Rs 1 lakh, his investment amount is Rs 2.55 lakh in two years) would have exceeded it), 70.24 per cent in 3 years, 76.66 per cent in 5 years and 476.11 per cent since inception. The annual return on one-time investment has been 36.25 per cent in 1 year, 59.59 per cent in 2 years, 19.39 per cent in 3 years, 12.05 per cent in 5 years and 20.67 per cent since inception.
Fund’s SIP Returns
If we look at the absolute return on SIP of the fund, it has been 9 percent in 1 year, 50.02 percent in 2 years, 63.15 percent in 3 years and 64.99 percent in 5 years. The annual return on SIP has been 17.13 per cent in 1 year, 44.57 per cent in 2 years, 34.52 per cent in 3 years and 20.13 per cent in 5 years.
Check the fund’s portfolio
The fund has 95.77 per cent exposure to equities, of which 3.8 per cent is in large-cap stocks, 4.81 per cent in mid-cap stocks and 65.51 per cent in small-cap stocks. Most of the fund’s money has been invested in the finance, construction, services, chemicals and technology sectors. It has less exposure to finance, construction sectors as compared to other funds in this category. The fund’s top holdings include Brigade Enterprises Ltd., Deepak Nitrite Ltd., KPIT Engineering Ltd., KPR Mills Ltd. and CCL Products (India) Ltd.