INSUBCONTINENT EXCLUSIVE:
DSP Mutual Fund will accept investments through systematic investment plan (SIP) and Systematic transfer Plan (STP) in the DSP Small Cap
Fund beginning September 3
There could be volatility over the next one year
been one of the best performers in the small cap category over five-year and 10-year periods, yielding returns of annualised 34% and 20%,
However, performance trailed that of peers over the last one year with the scheme returning only 2.3% compared to its benchmark category
average return of 7.4%.
The BSE Small Cap Index is down 19% from its peak, with several individual stocks losing 25-35%
Earnings outlook for many stocks is rising as the economy improves.
The scheme had stopped accepting both lump-sum and SIP/STP investments
Before that in August 2016, the scheme had restricted lump sum investments to ?1 lakh per person.
In September 2014, the scheme had put a
restriction of Rs 2 lakh for daily lump sum subscription.
Wealth managers believe small caps are for investors who hold a longterm
