Canara Robeco MF has launched Canara Robeco Small Cap Fund, an open-ended scheme predominantly investing in stocks of small-cap companies (at least 65% of the portfolio). The rest of the portfolio will be allocated between large, mid and small cap stocks for managing beta of the portfolio.
The scheme’s NFO which opened on January 25 will close on February 8.
Sharing the rationale for launching the fund, Rajnish Narula, CEO, Canara Robeco MF said, “Small cap schemes as a category are gaining momentum as they have the potential to offer superior returns over a long term horizon. Considering the current market volatility, small caps should form a part of investor’s asset allocation who have a high-risk appetite and are willing to take exposures in equities. With our new small cap fund we look to invest in companies with consistent earnings and reasonable valuations that could lead to alpha generation opportunity making small caps a viable investment prospect.”
Krishna Sanghavi, Head – Equities Canara Robeco MF and Cheenu Gupta, Fund Manager - Equities Canara Robeco MF will manage the fund.