smallcases are like mutual funds in concept since they provide portfolio exposure to equities. They are baskets of stocks/ ETFs that reflect an idea, theme or strategy.

However, unlike mutual funds, smallcases are:

  • Transparent & customizable (you buy the stocks into your demat account directly vs buying units of the fund)
  • Liquid (no lock-ins, value changes during the market hours)
  • More cost effective (flat fees, no exit loads)
  • Based on relatable ideas & themes (GST, rural demand, different growth strategies, value, momentum, dividends, etc.)