Build Your Portfolio by Investing in the Best Smallcases of 2022

Build Your Portfolio by Investing in the Best Smallcases of 2022

The best smallcase is like finding a needle in a haystack. You must consider the theme, strategy, volatility, minimum amount, free or premium (fee-based), etc. before you finalize the smallcase.

Whether you are a novice investor or a veteran, the diversification mantra works for all. Diversification helps smart investors invest in stocks of different market caps, themes, and sectors and insulate their portfolios from the ups and downs of the market. But with so many stocks in the market, investors find it challenging to rebalance their portfolio at regular intervals as per their risk assertiveness.

To cater to such needs of modern investors, various financial products have been launched in the market in the past few years. But none has been more popular and successful than smallcases.

What are smallcases?

Smallcases are baskets of stocks or ETFs (exchange-traded funds) based on the investment plan, theme, idea, and strategy. Through a Demat and trading account from one of the many brokerage houses, investors can analyze various smallcases and invest in the basket of funds that best suits their needs.

Who manages smallcases?

Smallcases are structured by SEBI Registered professionals who curate and shortlist components in every basket based on rigorous proprietary filters.

With over 250 smallcases available, finding the best smallcase is like finding a needle in a haystack. You must consider the theme, strategy, volatility, minimum amount, free or premium (fee-based), etc. before you finalize the smallcase.

For premium smallcases, a fee is charged by managers to view constituents of the basket and invest in them. These smallcases are actively managed, with the approach to beat the market and generate great returns. Investors can still access and invest in free access smallcases without any charges. However, the returns generated remain moderate.

Considering all the factors, here are some of the best smallcases of 2022 for investors to consider: Free Smallcases: Top 100 stocks: This basket captures India’s powerful companies, offering better stability. It includes large-cap companies with lesser volatility and is the best choice for long-term wealth creation. In the past three years, the smallcase has given a 21.45% annual return on a minimum investment of Rs. 1,227.

All-weather investing: This smallcase is best for investors who prefer steady returns, no matter whether the market is up or down. Investment is divided into three asset classes: equity, debt, and gold, periodically rebalanced depending on the market situation. The basket has given 13.59% annually in three years with a minimum investment of Rs. 3,451. Read more about Best Smallcases of 2022