Smallcap
50 stocks. Nifty Smallcap 250. Fortnightly rotation. CAGR 41.03%. Best year +112.8% in 2023.
How It Works
- Step 1 | Universe Start from Nifty Smallcap 250 filtered to stocks priced under ₹5000.
- Step 2 | Rank Score every stock in the universe by a momentum composite (price trend over multiple lookbacks, risk-adjusted). The top names by score become the candidate list.
- Step 3 | Select Hold the top 50 names by score. Equal-weight across the book so no single name dominates.
- Step 4 | Rebalance Every 2 weeks the model re-runs end-to-end. Names that fall out of the top 50 are sold; new entrants are bought. You see the full holdings list at every rebalance.
Who This Is For
Strategy Configuration
Smallcap vs Nifty 50
Both indexed to 100 on inception. Hover for date-by-date NAV. Range chips to zoom; expand button for full window.
NAV indexed to 100 on inception (Jan 2021 or later). Backtested returns include realistic transaction costs. Past performance is not indicative of future results. Source: NSE BhavCopy.
Performance Metrics
| Metric | Smallcap | Nifty 50 |
|---|---|---|
| CAGR | 41.03% | 10.44% |
| Cumulative Return | 458.33% | 64.36% |
| Sharpe Ratio | 1.58 | 0.78 |
| Max Drawdown | -22.35% | -16.92% |
| Volatility | 23.54% | 14.04% |
Cost Decomposition
Worst 5 Drawdowns
| Started | Recovered | Max DD | Duration (days) |
|---|---|---|---|
| 2022-01-21 | 2022-04-01 | -14.33% | 70 |
| 2022-04-22 | 2022-07-15 | -14.33% | 84 |
| 2024-02-23 | 2024-04-19 | -11.89% | 56 |
| 2021-08-06 | 2021-09-03 | -9.40% | 28 |
| 2021-10-22 | 2021-12-24 | -7.84% | 63 |
Yearly Returns
Sector allocation
11 sectors represented in the equity sleeve. Largest concentration: Metals & Mining at 18.0%. Equal-weighted at the stock level, so sector weights drift with which momentum names rank highest.
Current Holdings
50 positions as of 2026-04-24 rebalance. Allocation percentages reflect equal-weighted sleeve at rebalance day; current values drift with price.
Why This Strategy
Smallcap holds the highest single-year return on the lineup. 2023 closed at +112.8%. The 50-stock structure on the Nifty Smallcap 250 universe is what made it possible — 50 equal-weighted names smooth volatility to 23.54% (the lowest of any cap-segment card) while keeping the cap-curve exposure that drives the 2023 pop.
The 5-year backtest produced a cumulative return of 458.33% against the Nifty 50's 64.36%. CAGR 41.03%. Sharpe 1.58. Max drawdown 22.35%, the shallowest of the focused cap-segment cards.
This is not the highest CAGR card on the lineup — Alpha 5 holds that — and it is not the broad-market default — Allcap is. This is the smallcap-only conviction trade. The Nifty Smallcap 250 universe is narrower than Mid-Smallcap (NSE Universe under 2000), which costs about a percentage point of CAGR (41.03 vs 48.98), but the 2023 outcome is unmatched.
For an investor who wants small-cap exposure on a defined universe, 50 names rotated every 2 weeks is the cleanest expression. Min 202000.
CAGR 41.03% versus Nifty's 10.44%. Sharpe 1.58. Max drawdown 22.35%. Volatility 23.54%.
Key Takeaways
- Highest single-year return engine (+112.8% in 2023)
- 50 small-cap names rebalanced fortnightly
- CAGR 41.03% with Sharpe 1.58
- Max drawdown 22.35% (shallowest among cap-segment cards)
Frequently Asked Questions
What is the Smallcap strategy?
What is the minimum investment for Smallcap?
How does Smallcap compare to the Nifty 50?
What is the worst drawdown Smallcap has experienced?
What are the fees on Smallcap?
Can I exit Smallcap at any time?
Documents
Last rebalance | 2026-04-24
Full history →vs 2026-04-10 cycle · 20 added · 10 removed · 49 retained
Get notified when Smallcap rebalances
Free email alert on the morning of every rebalance with the IN / OUT names and rationale. Unsubscribe with one click.
Walk the risk band
Smallcap sits in the Moderately High bucket. Take one step in either direction:
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3 pre-built head-to-head comparisons with metrics, holdings overlap, and trade-off summary.
Learn the mechanics behind Smallcap
4 modules from the RupeeCase Learn library cover the concepts inside this strategy. Free, no sign-up.
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Run Smallcap in your own broker account
Capital never leaves your broker. 0.2% on traded value. Minimum ₹202000. Cancel any time.
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