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Small Cap Funds Surge: Top 5 Beat 22% Returns
7 Oct
Summary
- Five small cap funds delivered over 22% annualized returns.
- Returns were measured over a three-year period ending September 30, 2026.
- Don't pick funds solely on past returns; consider risk and goals.
Several small cap mutual funds have demonstrated exceptional performance over the last three years, with five funds achieving annualized returns above 22%. These figures are based on data available as of September 30, 2026.
Bandhan Small Cap Fund emerged as a top performer, delivering an annualized return of 22%. Close on its heels was ITI Small Cap Fund, achieving 21.7% in annualized returns. Invesco India Smallcap Fund also captured significant investor attention with a strong 20.3% annualized return over the same period.
Further down the list, Bank of India Small Cap Fund and Mahindra Manulife Small Cap Fund recorded annualized returns of 20% and 18%, respectively. Meanwhile, a separate group of small cap funds, including HDFC Small Cap Fund and SBI Small Cap Fund, experienced lower returns, ranging from 9% to 10.5% over the three years.
Financial experts caution that while these returns are attractive, prospective investors should not base their decisions solely on past performance. A thorough assessment of personal risk tolerance, investment horizon, and specific financial objectives is crucial for selecting appropriate mutual funds.
