SBI Small Cap Fund restricts flows

SBI MF will stop accepting lump sum investments into SBI Small Cap Fund. The fund house will only accept systematic investment plans (SIPS) that up to ~5,000 per investor. The decision comes after a sharp rally in small cap universe since June.

The Nifty Smallcap 100 index has surged nearly 40 per cent for the three months ended August. AUM for the scheme has topped the ~5,000 crore mark. Experts said the decision was prudent given the size of its fund and rising valuations in the small cap space.