The WhiteOak Diversified Equity Small Cap Active Fund of Funds (FoF) invested ₹80.74 crore in its first month, putting 96.8% of its assets into five small-cap mutual funds. This portfolio strategy provides investors exposure to multiple small-cap funds through a single investment.
- The FoF allocated 24.13% of its assets to Abakkus Small Cap Fund.
- Bajaj Finserv Small Cap Fund received 19.56% of the portfolio.
- Motilal Oswal Small Cap Fund was allocated 19.38%.
- DSP Small Cap Fund got 19.27% of the assets.
- Groww Small Cap Fund held 14.46% of the portfolio.
Each of these funds is held through their direct plans with the growth option, which means the FoF invests in the lower-cost version of each fund. The remaining 3.2% of the portfolio consists mainly of reverse repo and TREPS placements, which earned a yield of 5.69% as of October 31, 2026, and some net receivables.
What is the portfolio composition of WhiteOak Small-Cap FoF?
The fund’s portfolio is heavily concentrated in five small-cap funds, with Abakkus Small Cap Fund having the largest share at nearly a quarter of the portfolio. The other four funds have allocations between 14% and 20%, creating a diversified exposure within the small-cap segment. The portfolio does not include exchange-traded funds, index funds, overseas securities, or derivatives.
How does the fund’s structure affect investors?
Investors in this FoF gain access to five separately managed small-cap funds through a single investment. Since Abakkus Small Cap Fund accounts for about 25% of the corpus, the overall performance of the FoF will be influenced significantly by this fund. The near-full investment in fund units means the FoF has very little cash on the sidelines, which can be advantageous in rising markets.
What should investors know about the fund’s early performance?
The fund’s net asset value was ₹9.686 per unit for the direct plan as of October 30, 2026. The portfolio turnover ratio is currently nil, which is typical for a new fund in its first month of operation. However, this ratio is expected to change as the fund manager rebalances the portfolio over time. Investors should note that the portfolio disclosure reflects only the initial month and does not indicate future performance or changes.
What are the risks and considerations for investors?
Since the FoF invests primarily in small-cap funds, it carries the risks associated with small-cap stocks, including higher volatility and market fluctuations. The performance of the fund will depend on the underlying funds’ management and market conditions. Investors should consider their risk tolerance and investment horizon before investing.
In summary, the WhiteOak Diversified Equity Small Cap Active FoF offers a diversified approach to small-cap investing by allocating nearly 97% of its assets across five direct small-cap funds. The largest allocation is to Abakkus Small Cap Fund, which will have a significant impact on the FoF’s returns. As a newly launched fund, investors should monitor future portfolio disclosures and performance updates to make informed decisions.
