The small-cap mutual fund investments require more judgement and analysis as compared to any other fund. The reason being is that the companies in which they invest have a small market capitalisation and are among the start-up ventures with very insecure market possession. The stocks of these companies are highly volatile in nature and tend to diminish the worth of investment even with a slight change in the market conditions.
Franklin India Smaller Companies Fund G is among the best small-cap mutual funds which are highly volatile in nature because of the small-cap investments. But, as per its track record, it has performed immensely well with excellent returns and yields to help the investors attain their financial goals. With this, what we can analyse that although the small-cap funds have a poor recognition in terms of risk factors, they are the outperformers in the industry in accomplishing the investment objectives.
When buying a small-cap mutual fund scheme to invest, there are various factors which are to be kept in mind by the investors. As they require huge research and analysis, one needs to have skills and understanding of making a better evaluation. The fund managers of Franklin Templeton Mutual Fund have a high degree of efficiency in terms of making the best selection of the stocks for the portfolio.
Franklin India Smaller Companies Growth Fund is among the top-rated schemes in the small-cap category with an investment objective that seeks to provide long-term capital appreciation by investing in mid- and small-cap companies across different sectors. The fund manager of the scheme has vast experience in the mutual fund industry in managing the capital of a large number of investors.
For the purpose of providing the goal-oriented investments, the managers follow adequate strategies and policies. For this plan, R. Janakiraman and Hari Shyamsunder have followed the ‘Franklin Equity Style’ of investing. They have adopted the bottom-up approach to stock selection across a large number of sectors with the primary objective of attaining adequate diversification. The stock picking is based on the merits of the individual businesses with a focus on the long-term performance.
Due to the adoption of the best strategies to build an effective portfolio by the fund managers of Franklin Smaller Companies Fund, the scheme holds a remarkable position in the market. It has offered great returns to the investors since its inception which on an average are around 16%.
So if you find the fund suitable for your portfolio, then you can buy it online using the online investing solutions of MySIPonline. It is one of the best-performing online portals providing the perfect investment solutions to the investors for simplified investing experience. Franklin India Smaller Companies Fund can be bought either via the SIP (Systematic Investment Plan) or the lump sum mode. Make the best choice of mode of investing online to start in the most effective manner and attain your financial goals.