TRUST Mutual Fund Introduces Small Cap Fund to Tap Emerging Markets

 

Mumbai: "TRUST Mutual Fund" has launched the 'TRUSTMF Small Cap Fund', an open-ended equity scheme focused on small-cap stocks. This fund, benchmarked against the NIFTY Smallcap 250 TRI index, provides investors an opportunity to tap into high-growth sectors and emerging companies. The 'New Fund Offer' (NFO) is open for subscription from October 11 to October 25, 2024.


The objective of the fund is to generate long-term capital appreciation by investing primarily in small-cap companies, which often represent early growth stages and offer significant potential for long-term wealth creation. This is the second equity fund from 'TRUSTMF', coming at a time when small-cap companies are experiencing accelerated growth, positioning them as attractive opportunities for value appreciation.


Sandeep Bagla, CEO of TRUST MF, explained that the fund's approach is rooted in "terminal value investing," aiming to capture companies in the high-growth phase at reasonable valuations. This investment strategy targets sectors like consumption, financialization, and physical asset creation, offering long-term growth potential.


Mihir Vora, Chief Investment Officer at TRUST MF, highlighted the research-driven approach to identifying promising small-cap stocks and emphasized the importance of valuing long-term growth potential. Aakash Manghani, Fund Manager - Equities, added that the small-cap segment offers fertile ground for significant gains, with many small-cap companies showing strong returns on equity and solid balance sheet health.


The 'TRUSTMF Small Cap Fund' aims to provide a disciplined investment strategy, helping investors tap into the growing potential of India's small-cap sector.

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