Tata Mutual Fund launched a new small scheme called Tata Small Cap Fund on Friday. The scheme, as its name suggests, will be mandated to invest 65 per cent of its total assets in stocks of small companies. The NFO will close for subscription on November 2.
Chandraprakash Padiyar, senior fund manager, will manage the new smallcap fund. The scheme will be benchmarked against Nifty Small cap 100 TRI Index. The fund manager believes that the new scheme will have a good starting point in the market. “We have seen a good correction in the smallcap space and the valuations are attractive. This is going to help the scheme in the long run,” says Chandraprakash Padiyar.