10 Best Small Cap Mutual Funds 2025 Updated on November 1, 2025 , 83909 views Small caps are typically defined as firms with a market capitalization (MC=no of shares issued by the company X market price per share) of less than INR 500 Crore. Small cap companies are young firms which have a great potential for sustainable growth in the long run. But, the risk of failure is higher with small caps compared to large and mid- cap companies. Looking for Best Small Cap Mutual Funds ? Well, small-cap ... Learn about small cap funds that invest in small companies' stocks with high growth potential and high risk. Compare the top schemes, returns, taxation and how to invest in small cap funds for long-term growth. Small cap mutual funds in India have emerged as one of the top-performing investment categories in 2025, delivering impressive returns despite market volatility. These funds focus on high-growth companies with a market capitalisation between ₹2,000 crore and ₹10,000 crore, often outperforming large and mid-cap peers in bullish phases. In this updated 2025 guide, we analyse the best small cap mutual funds in India based on their latest 1-year, 3-year, and 5-year returns, risk-adjusted ... Our proprietary framework helps build a repeatable process that prioritizes durability. Our multi-lens approach helps us find the most attractive investment opportunities.
