Small-cap fund of PGIM India MF collects Rs 578 crore

The primary market is quite active in India, currently riding on better equity market performance. IPOs are subscribed multiple times and even the new fund offers (NFOs) are garnering a respectable amount. After ICICI Flexi-cap Fund garnered more than Rs 10,000 core in its NFO, PGIM India Mutual Fund has collected Rs 578 crore through its small-cap fund. The domestic mutual fund industry already has 24 small-cap dedicated funds currently, excluding PGIM India Mutual Fund’s small-cap fund. If we rank the AUM of the current small-cap funds in descending order based on their asset under management at the end of June 2021, this fund will rank nineteenth.   

The NFO was open for subscription between July 9 and July 23, 2021. It received over 37,000 applications. The investment objective of the scheme is to achieve long-term capital appreciation by predominantly investing in equity and equity-related instruments of small-cap companies. The fund is managed by Aniruddha Naha (for equity investments), Kumaresh Ramakrishnan (for debt and money market investments), and Ravi Adukia (for overseas investments).  

The benchmark index of PGIM India Small Cap Fund is Nifty Small Cap 100 Total Return Index while the scheme’s investment strategy is to capture opportunities available in the small-cap segment. Investors are requested to note that the fund house has decided to limit the subscriptions in the ongoing offer of PGIM India Small Cap Fund by way of fresh purchases, switch-ins, systematic investment plan, systematic transfer plan, and other special products offered under the scheme to Rs 10 lakh per application/per installment with effect from August 2, 2021, until further notice.