ITI Mutual Fund has launched ITI Small Cap Fund. The NFO opens on January 27, 2020 and closes on February 10, 2020.
In a press release, George Heber Joseph, CEO & CIO, ITI Mutual Fund, said, “The right time to invest in small caps is when the pessimism is the highest and the absolute valuation is very cheap for the small cap segment of the market. Every 5-7 years equity markets gives an opportunity to invest in small caps at a very attractive valuation. In the Year 2003, 2008 and 2013, small caps were very attractively valued and we believe the year 2020 is again providing a fantastic opportunity to invest in small caps at very cheap valuations. The differential valuations between large caps & small caps is at a decade high and this offers a significant opportunity to investors to invest in small caps and make significant alpha over large cap stocks.”
George further said, “The small cap segment offers significant wealth creation opportunity as many positive economic measures taken by the government always tend to start yielding results after a lag. Timing is the key in investing in small caps as they are the breeding ground for multi baggers and we strongly believe that this is the right time for investors to invest in small caps with an investment horizon of 5-7 years."
ITI Small Cap Fund will have a well-diversified portfolio with individual stock exposure capped at 3% of the AUM. George Heber Joseph and Pradeep Gokhale will manage the fund jointly.
