What is the NIFTY Smallcap 100 Index in 2025?
The Nifty Smallcap 100 Index is a stock market index that tracks the performance of the 100 smallest companies listed on the National Stock Exchange of India (NSE). It represents the behaviour and performance of the small-cap segment of the Indian stock market.
Performance of NIFTY Smallcap 100 Index and Other Indices
Nifty Smallcap 100 Index has outperformed the other NIFTY indices over the 3-year, 5-year and 10-year duration.
Index Name |
3-Year Returns |
5-Year Returns |
10-Year Returns |
NIFTY Smallcap 100 |
32.1% |
22.6% |
18.8% |
NIFTY Midcap 150 |
28.8% |
20.80% |
20.50% |
NIFTY Smallcap 250 |
31.50% |
22.60% |
16.30% |
NIFTY 50 |
15.80% |
13.10% |
12.50% |
[Source: nseindia.com]
What Are the Returns of NIFTY Smallcap 100 Index?
Investment Period |
QTD** |
YTD** |
1 Year |
5 Years |
Since Inception |
Price Return |
5.83% |
5.83% |
68.67% |
21.18% |
14.80% |
Total Return |
5.85% |
5.85% |
69.81% |
22.35% |
16.20% |
[Source: nseindia.com] **QTD, YTD and 1-year returns are absolute returns. Returns for greater than one year are CAGR returns.
Is NIFTY Smallcap 100 Index Benchmark a Smart Investment?
The NIFTY Smallcap 100 index is a smart investment choice for you for the following reasons:


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High potential returns: Historically, small-cap stocks have outperformed large-cap and mid-cap stocks in the long run. However, they also come with higher volatility and risk.
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Diversification: The index tracks 100 small-cap companies across various sectors, providing instant diversification within the small-cap segment.
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Low cost: You can gain exposure to the index through index funds or ETFs, which typically have lower fees than actively managed small-cap funds.
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Bigger Opportunities: With fewer analysts covering smallcap funds compared to larger counterparts, fund managers have a competitive edge in identifying promising businesses early on.
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Large-cap: Roughly 26 analysts provide coverage on average.
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Mid-cap: Around 27 analysts offer coverage on average.
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Smallcap: Relatively under-researched, with:
Popular Small Cap Companies in 2025
The top small-cap companies vary depending on various factors like your location, investment goals, and risk tolerance. The following shows few of the smallcap companies across different sectors:


NIFTY Smallcap 100 Index Fundamentals
P/E* |
P/B** |
Dividend Yield |
29.51 |
3.96 |
0.91 |
*P/E: Price-to-Earnings Ratio
**P/B: Price-to-Book Ratio
NIFTY Smallcap 100 Index Methodology
The key criteria involved in the methodology of the NIFTY Smallcap 100 Index are as follows:
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Eligibility Criteria for Selection of Constituent Stocks:
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Companies from Nifty Smallcap 50 are automatically included.
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Companies added to Nifty Smallcap 50 but not in Nifty Smallcap 100 are included.
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Securities are included if their average daily turnover rank is within the top 70 of the top 150 constituents based on full market capitalization in Nifty Smallcap 250.
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Securities are excluded if their full market capitalization rank falls below 180 in Nifty Smallcap 250.
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Securities are also excluded if their full market capitalization rank is within the top 180 in Nifty Smallcap 250, but their average daily turnover rank falls below 130 among the top 180 constituents.
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Exclusion occurs if constituents are removed from Nifty Smallcap 250.
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Index Re-Balancing:
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The index is re-balanced semi-annually on January 31 and July 31.
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Six months' average data until the cut-off date is considered for the review.
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A four-week prior notice is given to the market before any changes take effect.
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Index Governance:
Plans having NIFTY Smallcap 100 Index as Benchmark
The following investment plans offer you to invest in the Nifty Small cap 100 index benchmark:
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Bajaj Allianz Life Small Cap Fund:
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Launched on 18 May 2023, this fund is available as an investment option within seven of Bajaj Allianz Life ULIP Plans.
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It invests in a diversified portfolio of small-cap stocks with the aim of achieving capital appreciation for investors.
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The plan tracks the Nifty Smallcap 100 Index, which is a market-capitalization weighted index of the 100 smallest companies listed on the National Stock Exchange of India (NSE).
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The plan invests at least 60% of its equity assets in small-cap stocks.
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The fund is categorized as "very high risk" due to the inherent volatility of small-cap stocks.
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PNB MetLife Small Cap Fund
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The PNB MetLife Smallcap Fund aims to grow your wealth through active management based on thorough research.
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It follows the strategy to achieve superior risk-adjusted returns over policy life by investing in a diversified mix of mainly small-cap companies selected through rigorous research.


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It follows the following research approach:
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Benchmark-driven portfolio management and construction
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Comprehensive analysis of macroeconomic and geopolitical factors
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Evaluation of industry trends and attractiveness
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Combination of top-down and bottom-up analyses to pinpoint investable companies
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Selection based on assessment of business and management quality, thorough financial analysis, and valuation in relevant context
How to Invest in NIFTY Smallcap 100 Index Through Policybazaar?
Follow the steps mentioned below to start investing in the NIFTY Smallcap 100 Index:
Step 1: Fill out your name and contact number in the form on this page.
NOTE: Your information is completely safe and secure. It will be used only to personalize your plan benefits.
Step 2: Insert necessary details like your city, age, and name.
Step 3: Compare different plans based on their performance, ratings, and other relevant factors.
Step 4: Choose from the following PNB MetLife Savings Plans to access the NIFTY Smallcap 100 Index:
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Mera Wealth Plan
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PNB MetLife Capital Guarantee Plans
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Goal Ensure Multiplier Savings Plan
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Goal Ensure Multiplier – Waiver of Premium (WoP)
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Goal Ensure Multiplier – Retirement Plan
Step 5: Click on "Invest Now" and follow the on-screen prompts to complete your purchase.
Step 6: Provide the necessary KYC details and finalize the payment.
Step 7: Receive confirmation of your purchase once the payment is successful.