Before I start off on any analysis in this segment, even at the cost of a repetitive bore I will put forth this disclaimer. All fund schemes are taken as direct. However, even if you are a direct investor, hire a financial advisor that you trust who can guide with investments. Pay for your advice.
Fund category definition: Funds with minimum 65% portfolio allocation to Small Cap (251 and beyond by market cap size) stocks
Benchmark: Nifty Small Cap 250 TRI with a change of 0.57% in April 2022 and a 1-year return of 31.74%
All data as on: 29th April, 2022
It’s a mixed score card this month with exactly half the funds beating benchmark and half of them not. The good news is that when looking at the one-year performance the benchmark beating number goes up to 8.
There is no change in the AUM ranking.
In terms of Total Expense Ratio, Axis has raised it by quite a bit from 0.35 to 0.46. Franklin also sees a hike from 1.05 to 1.10.
Market Cap Allocation
Axis goes one step further to increase it’s cash by cutting down equity exposure with a further 2-odd% trim. Now, it is in the sub-80% level of equity, touching 79.81%.
ICICI is another cash lover with a more than 6% shave-off (mostly in Small cap) to go down to 86.16%. This follows a 5% cut in equity exposure last month itself.
Top 5 sectors
Software has seen a reduction in most funds, especially Axis and ICICI where reduction is more than 2%.
In Nippon, Auto ancillaries has edged out Industrial Capital Goods mostly organically led by a 14% price increase in Tube Investments of India.
Top 10 Stocks & Movement
Nippon, despite being a Small Cap fund, has a new 1.19% allocation to HDFC Bank.
HDFC has cut down it’s exposure to Persistent Systems to less than half by trimming it 1.46%.
Axis seems to have booked some profits from it’s allocation in Tata Elxsi, which sees a reduction of 2.28%, taking it down to 1.90%.
Franklin has reduced it’s allocation to Brigade Enterprises by 0.80% making it slip from the first to the second spot with 4.52%.
In a bid to increase it’s cash levels, there are quite a few changes to note in ICICI. A 1.05% reduction in V-Mart Retail making it slip from the fourth to the seventh spot and complete exits from Persistent Systems (1.65%) and Metropolis Healthcare (1.45%).
Adiyta Birla sees a 0.95% cut in it’s allocation to Cyient, leaving it at 2.55%.