Home > Mutual Funds > Categories > Equity: Small Cap

Best Small Cap Equity Funds in 2025

What are Equity: Small Cap funds?


Funds Included All Fund Returns
(3Y annualised)		 Top 5 fund Returns
(3Y annualised)
32 21.38% 26.95%

This fund category is an example of Equity Scheme funds.

These funds mainly invest in equity i.e. shares and equity-related instruments. They are suitable for investors seeking long-term capital appreciation and willing to tolerate short-term market volatility. Equity funds may focus on specific sectors, investment styles, or market capitalizations. Investors with a high risk appetite and long investment horizon may consider investing in equity funds.

Trailing returns for Equity: Small Cap funds

These are average returns over the indicated period.

Monthly trailing returns:
Returns Oct-2025 Sep-2025 Aug-2025 Jul-2025
Value 3.73% 0.77% -2.92% -1.26%

Quarterly trailing returns:
Returns 2025Q3 2025Q2 2025Q1 2024Q4
Value -3.37% 15.09% -13.64% -3.17%

Yearly trailing returns:
Returns 2024 2023 2022 2021
Value 27.04% 43.43% 2.61% 64.8%

Fundwise SIP and SWP returns


Rolling SIP returns
Fund Any 1Y SIPAny 3Y SIPAny 5Y SIP
Franklin India Small Cap Fund21.77%24.45%20.42%
Nippon India Small Cap Bonus Fund25.52%30.34%27.11%
Nippon India Small Cap Fund25.46%30.33%27.11%
DSP Small Cap Fund24.61%26.1%22.11%
Aditya Birla Sun Life Small Cap Fund20.87%22.35%16.48%
Sundaram Small Cap Fund18.62%23.41%20.11%
Kotak Small Cap Fund21.76%23.61%24.43%
ICICI Prudential Smallcap Fund18.4%17.99%22.74%
Quant Small Cap Fund9.58%35.84%36.48%
Axis Small Cap Fund22.73%25.29%26.57%
SBI Small Cap Fund22.37%24.8%22.64%
Union Small Cap Fund15.56%19.65%22.1%
HDFC Small Cap Fund18.61%26.88%22.79%
Invesco India Smallcap Fund25.06%30.32%32.53%
Tata Small Cap Fund26.1%32.76%33.57%
Bank Of India Small Cap Fund32.39%30.71%35.16%
Canara Robeco Small Cap Fund29.31%29.12%30.99%
Edelweiss Small Cap Fund30.26%30.6%31.77%
ITI Small Cap Fund24.59%28.14%24.55%
Bandhan Small Cap Fund34.66%32.15%29.47%
UTI Small Cap Fund17.69%23.33%0%
PGIM India Small Cap Fund15.82%17.68%0%
Mahindra Manulife Small Cap Fund26.46%0%0%
HSBC Small Cap Fund28.02%0%0%
LIC MF Small Cap Fund3.07%0%0%
Quantum Small Cap Fund11.13%0%0%
Baroda BNP Paribas Small Cap Fund2.78%0%0%
Motilal Oswal Small Cap Fund10.08%0%0%
JM Small Cap Fund7.54%0%0%
Trustmf Small Cap Fund23.92%0%0%
Mirae Asset Small Cap Fund0%0%0%
Bajaj Finserv Small Cap Fund0%0%0%
SIP Calculator


Rolling SWP returns
Fund Any 1Y SWPAny 3Y SWPAny 5Y SWP
Franklin India Small Cap Fund19.54%18.98%12.54%
Nippon India Small Cap Bonus Fund24.05%24.55%18.95%
Nippon India Small Cap Fund23.95%24.51%18.95%
DSP Small Cap Fund18.06%20.54%16.77%
Aditya Birla Sun Life Small Cap Fund16.87%18.65%12.58%
Sundaram Small Cap Fund16.1%16.82%12.62%
Kotak Small Cap Fund15.18%19.12%17.54%
ICICI Prudential Smallcap Fund16.31%17.11%12.52%
Quant Small Cap Fund9.38%13.18%10.51%
Axis Small Cap Fund17.17%19.62%17.26%
SBI Small Cap Fund21.88%21.98%20.51%
Union Small Cap Fund11.26%13.15%9.15%
HDFC Small Cap Fund17.87%18.87%14.43%
Invesco India Smallcap Fund21.08%28.03%29.31%
Tata Small Cap Fund24.81%28.5%30.69%
Bank Of India Small Cap Fund25.26%31.33%41.82%
Canara Robeco Small Cap Fund22.3%28.99%38.95%
Edelweiss Small Cap Fund22.4%29.31%34.76%
ITI Small Cap Fund33.08%25.4%36.2%
Bandhan Small Cap Fund41.22%30.71%47.9%
UTI Small Cap Fund25.73%21.22%0%
PGIM India Small Cap Fund14.01%12.15%0%
Mahindra Manulife Small Cap Fund45.36%0%0%
HSBC Small Cap Fund36.06%0%0%
LIC MF Small Cap Fund36.95%0%0%
Quantum Small Cap Fund15.73%0%0%
Baroda BNP Paribas Small Cap Fund10.8%0%0%
Motilal Oswal Small Cap Fund28.0%0%0%
JM Small Cap Fund-8.77%0%0%
Trustmf Small Cap Fund4.53%0%0%
Mirae Asset Small Cap Fund0%0%0%
Bajaj Finserv Small Cap Fund0%0%0%

SIP and SWP returns with step-up


Rolling SIP returns with 10% step-up
Fund Any 1Y SIPAny 3Y Step-up SIPAny 5Y Step-up SIP
Franklin India Small Cap Fund21.77%24.44%20.83%
Nippon India Small Cap Bonus Fund25.52%30.32%27.22%
Nippon India Small Cap Fund25.46%30.3%27.21%
DSP Small Cap Fund24.61%26.35%22.32%
Aditya Birla Sun Life Small Cap Fund20.87%22.32%16.74%
Sundaram Small Cap Fund18.62%23.37%20.54%
Kotak Small Cap Fund21.76%23.5%24.56%
ICICI Prudential Smallcap Fund18.4%18.03%22.8%
Quant Small Cap Fund9.58%35.82%37.31%
Axis Small Cap Fund22.73%25.24%26.87%
SBI Small Cap Fund22.37%24.78%22.91%
Union Small Cap Fund15.56%19.35%22.28%
HDFC Small Cap Fund18.61%27.07%23.16%
Invesco India Smallcap Fund25.06%30.07%32.64%
Tata Small Cap Fund26.1%32.6%33.61%
Bank Of India Small Cap Fund32.39%30.7%34.85%
Canara Robeco Small Cap Fund29.31%29.03%30.62%
Edelweiss Small Cap Fund30.26%30.6%31.56%
ITI Small Cap Fund24.59%28.13%24.44%
Bandhan Small Cap Fund34.66%32.18%29.31%
UTI Small Cap Fund17.69%23.29%0%
PGIM India Small Cap Fund15.82%17.57%0%
Mahindra Manulife Small Cap Fund26.46%0%0%
HSBC Small Cap Fund28.02%0%0%
LIC MF Small Cap Fund3.07%0%0%
Quantum Small Cap Fund11.13%0%0%
Baroda BNP Paribas Small Cap Fund2.78%0%0%
Motilal Oswal Small Cap Fund10.08%0%0%
JM Small Cap Fund7.54%0%0%
Trustmf Small Cap Fund23.92%0%0%
Mirae Asset Small Cap Fund0%0%0%
Bajaj Finserv Small Cap Fund0%0%0%

Rolling SWP returns with 10% step-up
Fund Any 1Y SWPAny 3Y Step-up SWPAny 5Y Step-up SWP
Franklin India Small Cap Fund19.54%19.55%12.8%
Nippon India Small Cap Bonus Fund24.05%24.5%18.59%
Nippon India Small Cap Fund23.95%24.49%18.61%
DSP Small Cap Fund18.06%20.66%17.24%
Aditya Birla Sun Life Small Cap Fund16.87%18.96%12.38%
Sundaram Small Cap Fund16.1%16.84%12.99%
Kotak Small Cap Fund15.18%19.21%17.23%
ICICI Prudential Smallcap Fund16.31%17.4%12.37%
Quant Small Cap Fund9.38%14.75%12.05%
Axis Small Cap Fund17.17%19.55%17.4%
SBI Small Cap Fund21.88%22.19%20.31%
Union Small Cap Fund11.26%13.2%9.32%
HDFC Small Cap Fund17.87%19.34%14.32%
Invesco India Smallcap Fund21.08%28.26%29.82%
Tata Small Cap Fund24.81%28.81%31.41%
Bank Of India Small Cap Fund25.26%31.66%41.54%
Canara Robeco Small Cap Fund22.3%29.02%39.1%
Edelweiss Small Cap Fund22.4%29.72%35.1%
ITI Small Cap Fund33.08%25.93%35.29%
Bandhan Small Cap Fund41.22%30.59%46.32%
UTI Small Cap Fund25.73%21.41%0%
PGIM India Small Cap Fund14.01%12.4%0%
Mahindra Manulife Small Cap Fund45.36%0%0%
HSBC Small Cap Fund36.06%0%0%
LIC MF Small Cap Fund36.95%0%0%
Quantum Small Cap Fund15.73%0%0%
Baroda BNP Paribas Small Cap Fund10.8%0%0%
Motilal Oswal Small Cap Fund28.0%0%0%
JM Small Cap Fund-8.77%0%0%
Trustmf Small Cap Fund4.53%0%0%
Mirae Asset Small Cap Fund0%0%0%
Bajaj Finserv Small Cap Fund0%0%0%

Note:N.A. in returns indicate that the fund does not have sufficient history.

How are Equity: Small Cap funds taxed on selling?

Equity Funds
Tax for FY2025-26		 STCG Rate LTCG Eligibility LTCG Rate
Bought Anytime 20% After 1Y 12.5% (above 1.25L)
w 31Jan18 exemption

Note:

  • Dividends from mutual funds (called IDCW or Income Distribution cum Capital Withdrawal funds), are added to the income of the investor and taxed at their highest applicable (slab) rate.
  • Cess and surcharge (if applicable) is to be applied to taxes from mutual funds from selling and dividends.
  • Switches, SWP and selling any lump sum amount are taxable as per the table above.

Explore All Funds Belonging to this Type

All
Large Mid Cap ELSS Small Cap Large Cap Value Mid Cap Multi Cap Contra Dividend Yield Focused Sectoral or Thematic Equity Index Flexi Cap

Explore All Funds Belonging to different AMCs

Aditya Birla Sun Life Mutual Fund Tata Mutual Fund Franklin Templeton Mutual Fund Taurus Mutual Fund Canara Robeco Mutual Fund Sundaram Mutual Fund SBI Mutual Fund UTI Mutual Fund Baroda BNP Paribas Mutual Fund HSBC Mutual Fund Quantum Mutual Fund DSP Mutual Fund Invesco Mutual Fund Mirae Asset Mutual Fund Bandhan Mutual Fund Bank of India Mutual Fund Edelweiss Mutual Fund Axis Mutual Fund Navi Mutual Fund Motilal Oswal Mutual Fund Union Mutual Fund Groww Mutual Fund HDFC Mutual Fund PGIM India Mutual Fund 360 ONE Mutual Fund PPFAS Mutual Fund Shriram Mutual Fund Mahindra Manulife Mutual Fund WhiteOak Capital Mutual Fund ITI Mutual Fund Trust Mutual Fund NJ Mutual Fund Samco Mutual Fund quant Mutual Fund Bajaj Finserv Mutual Fund Helios Mutual Fund Zerodha Mutual Fund Old Bridge Mutual Fund Angel One Mutual Fund Unifi Mutual Fund Jio BlackRock Mutual Fund Capitalmind Mutual Fund The Wealth Company Mutual Fund JM Financial Mutual Fund Choice Mutual Fund Kotak Mahindra Mutual Fund LIC Mutual Fund ICICI Prudential Mutual Fund Nippon India Mutual Fund

Explore Different Categories of Mutual Funds

Equity Scheme funds Hybrid Scheme funds Debt Scheme funds Solution Oriented Schemes – Funds for Retirement and Children Other Schemes – Index Funds, ETFs and Fund of Funds Commodity Schemes – Funds Investing in Gold, Silver or Both

Disclaimer: Mutual fund investments are subject to market risks, read all scheme related documents carefully. The NAVs of the schemes may go up or down depending upon the factors and forces affecting the securities market including the fluctuations in the interest rates. The past performance of the mutual funds is not necessarily indicative of future performance of the schemes. The Mutual Fund is not guaranteeing or assuring any dividend under any of the schemes and the same is subject to the availability and adequacy of distributable surplus. Investors are requested to review the prospectus carefully and obtain expert professional advice with regard to specific legal, tax and financial implications of the investment/participation in the scheme.

Note: NAVs and returns updated on 23-Nov-2025.

What's next? You can join the Arthgyaan WhatsApp community

You can stay updated on our latest content and learn about our webinars. Our community is fully private so that no one, other than the admin, can see your name or number. Also, we will not spam you.

For resident Indians 🇮🇳:


For NRIs 🇺🇸🇬🇧🇪🇺🇦🇺🇦🇪🇸🇬:

Use this button to add arthgyaan.com as a preferred source of personal finance on Google

Click to add arthgyaan as a Google preferred source
To understand how this article can help you:

If you have a comment or question about this article

The following button will open a form with the link of this page populated for context:

If you liked this article, please leave us a rating

The following button will take you to Trustpilot:

Check out our two calculators: Arthgyaan step-up SIP calculator
Arthgyaan step-up SWP calculator

Latest articles:

Topics you will like:

Asset Allocation (19) Basics (8) Behaviour (20) Budget (24) Budgeting (12) Calculator (36) Case Study (7) Children (22) Choosing Investments (40) FAQ (20) FIRE (19) Fixed Deposit (10) Free Planning Tool (16) Gold (29) Health Insurance (8) House Purchase (43) Index Funds (6) Insurance (20) International Investing (16) Life Stages (2) Loans (27) Market Data (10) Market Movements (28) Mutual Funds (87) NPS (17) NRI (44) News (38) Pension (11) Portfolio Construction (61) Portfolio Review (32) Reader Questions (9) Real Estate (16) Research (6) Retirement (44) Return to India (8) Review (27) Risk (8) Safe Withdrawal Rate (6) Screener (8) Senior Citizens (6) Set Goals (28) Step by step (15) Stock Investing (5) Tax (107)

Next steps:

1. Email me with any questions.

2. Use our goal-based investing template to prepare a financial plan for yourself.

Don't forget to share this article on WhatsApp or Twitter or post this to Facebook.

Discuss this post with us via Facebook or get regular bite-sized updates on Twitter.

More posts...

Disclaimer: Content on this site is for educational purpose only and is not financial advice. Nothing on this site should be construed as an offer or recommendation to buy/sell any financial product or service. Please consult a registered investment advisor before making any investments.

This post titled Best Small Cap Equity Funds in 2025 first appeared on at https://arthgyaan.com


We are currently at 563 posts and growing fast. Search this site:
Copyright © 2021-2025 Arthgyaan.com. All rights reserved.