JM Mutual Fund launches smallcap fund

JM Mutual Fund has launched JM Small Cap Fund, an open-ended equity scheme predominantly investing in smallcap stocks.

The new fund offer or NFO of the scheme is open for subscription and it will close on June 10. The scheme will reopen for continuous sale and repurchase on June 25.

The scheme is benchmarked against Nifty Smallcap 250 TRI. The scheme will be managed by Asit Bhandarkar, Chaitanya Choksi, and Gurvinder Singh Wasan.


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The scheme will offer two plans - direct and growth - both with the growth and IDCW option.

In respect of each purchase/ switch-in of units, an exit load of 1.00% is payable if units are redeemed/switched out within 180 days from the date of allotment. No exit load is payable if units are redeemed / switched-out after 180 days from the date of allotment.

The maximum total expense ratio (TER) permissible under Regulation 52 (6) (c) is upto 2.25%

The minimum investment amount is Rs 5,000 and in multiples of Re 1 thereafter. The minimum additional investment amount is Rs 1,000 and in multiples of Re 1 thereafter. The minimum amount for SIP investment for daily, weekly, fortnightly, monthly, and quarterly frequencies is Rs 100 and in multiples of Re 1 with different minimum number of installments.

The scheme will invest 65-100% in equity and equity-related instruments of smallcap companies, 0-35% in equity and equity-related instruments of other than smallcap companies, 0-35% in debt and money market instruments, 0-10% in units issued by REITs and InvITs, and 0-10% in units of mutual fund scheme. The scheme will focus on a bottom-up approach to find stocks with high growth potential.

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The scheme is suitable for investors who are seeking long-term wealth creation and want an open-ended equity scheme that aims for capital appreciation by investing predominantly in equity and equity-related securities of smallcap stocks.

The principal invested in the scheme will be at “very high” risk according to the riskometer of the scheme.