DSP BlackRock Micro Cap

Invest In Tax Saving Mutual Funds Online

Download Tax Saving Mutual Fund Application Forms

Buy Gold Mutual Funds

Call 0 94 8300 8300 (India)

 

We like this fund for its mandate to invest in the smaller capitalised companies which account for as high as 70 per cent of its portfolio. The inherent risk aside, such an allocation gives scope to invest in several undiscovered stocks.

 

Strategy

It seeks to invest at least 65 per cent in equity and equity related securities of companies which are not part of the top 300 stocks by market capitalisation. The remaining 35 per cent might be invested in the top 300 stocks. The AMC has essential in-house research to identify various investment opportunities which focuses on past as well as current financial condition of a company and its potential value creation prospects to invest in the small-cap universe. This fund has a huge small-cap bias, with an average 73 per cent exposure to small-cap stocks this year; yet instead of a long tail, the fund manager maintains a tight portfolio of 46 stocks with exposure to individual stocks going above 5 per cent only on few instances.

 

Performance

This fund was launched as a closed-end fund in May, 2007 which protected it from panic investor exit during the height of the 2008 financial crisis. The risk associated with high exposure to small cap stocks is immense, but this fund has done extremely well, especially in rising markets which is expected from a fund with such an orientation. It turned open-ended in June 2010 and ended the year being the best in the category. It was able to achieve this performance by investing in quality growth companies in the small-cap universe such as TTK Prestige, Kennametal India and Shasun Pharmaceuticals. In 2011, this fund lost significantly, owing to the changing fortunes of the market, which had its cascading effect on small-cap stocks that got hammered.

 

This year, the fund has regained its performance and emerged to be the best in its category. It managed to recover its performance with the rise in the markets and by altering its investments in construction and chemicals sector. Higher allocation and select stock picks helped it earn higher returns.

 

Why invest?

Investors looking for a higher exposure to small-cap stocks will find no fund better than this which exactly does that with great fund management principles. The fund has an exit load of 1 per cent when exited before two years, which one should keep in mind when investing.

Happy Investing!!

We can help. Call 0 94 8300 8300 (India)

Leave your comment with mail ID and we will answer them

OR

You can write back to us at PrajnaCapital [at] Gmail [dot] Com

---------------------------------------------

Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.

Invest Tax Saving Mutual Funds Online

Tax Saving Mutual Funds Online

These links can be used to Purchase Mutual Funds Online that are regular also (Investment, non-tax saving)

Download Tax Saving Mutual Fund Application Forms from all AMCs

Download Tax Saving Mutual Fund Applications

These Application Forms can be used for buying regular mutual funds also

Some of the best Tax Saving Mutual Funds available ( ELSS Mutual Funds )

1. ICICI Prudential Tax PlanInvest Online
2. HDFC TaxSaverInvest Online
3. DSP BlackRock Tax Saver FundInvest Online
4. Reliance Tax Saver (ELSS) FundInvest Online
5. Birla Sun Life Tax Relief '96 Invest Online
6. IDFC Tax Advantage (ELSS) FundInvest Online
7. SBI Magnum Tax Gain Scheme 1993Invest Online
8. Sundaram Tax SaverInvest Online
9. Edelweiss ELSS Invest Online

------------------

Best Performing Mutual Funds

1. Largecap Funds Invest Online
1. DSP BlackRock Top 100 Fund
2. ICICI Prudential Focused Blue Chip Fund
3. Birla Sun Life Front Line Equity Fund
2. Large and Midcap Funds Invest Online

1. ICICI Prudential Dynamic Plan
2. HDFC Top 200 Fund
3. UTI Dividend Yield Fund
2. Mid and SmallCap Funds Invest Online

1. Reliance Equity Opportunities Fund
2. DSP BlackRock Small & Midcap Fund
3. Sundaram Select Midcap
4. IDFC Premier Equity Fund
3. Small and MicroCap Funds Invest Online

1. DSP BlackRock MicroCap Fund
4. Sector Funds Invest Online

1. Reliance Banking Fund
2. Reliance Banking Fund
5. Tax Saver MutualFundsInvest Online
1. ICICI Prudential Tax Plan
2. HDFC Taxsaver
3. DSP BlackRock Tax Saver Fund
4. Reliance Tax Saver (ELSS) Fund
6. Gold Mutual Funds Invest Online

1. Relaince Gold Savings Fund
2. ICICI Prudential Regular Gold Savings Fund
3. HDFC Gold Fund