Dream Big Series - Small Cap Surge
This strategy targets capital-efficient small-cap firms in traditional sectors, blending quantitative rigour with fundamental strength to pursue differentiated alpha. Despite focusing on often-overlooked companies, it consistently outperforms benchmarks while maintaining disciplined risk controls—ideal for investors seeking robust, long-term growth grounded in solid business fundamentals.
- Start with just ₹22,000
- Invest in a minutes
- Built on 25+ years of backtested data
- 3 lakhs+ investment rules created
Return Characteristics
Outperformance That’s Consistent, Resilient & Proven
This rule-based strategy demonstrates robust and consistent outperformance versus the Nifty 50 based on a 25-year backtest.
For the 2-year rolling CAGR, it delivers a mean return of 31% and a median return of 32%, far surpassing the Nifty’s 15% mean and 13% median.
The downside risk, measured as the volatility below a 15% minimum acceptable return (MAR), is nearly identical between the strategy and the Nifty at approximately 0.099, indicating that the strategy achieves superior returns without additional downside volatility.
This is reflected in the Sortino ratio of 3.1, which is more than double the benchmark’s 1.5, illustrating excellent risk-adjusted returns.
The likelihood of the strategy achieving 15%+ returns over 2 years is 68%, well above the Nifty’s 43%.
Business Quality Snapshot
What Defines the Fidelfolio Portfolio
The portfolio is composed mainly of small to mid-sized, capital-intensive firms in old economy sectors, with an average market capitalization of about ₹21,000 crore.
These companies are typically diversified and operate in industries requiring heavy asset bases but exhibit strong capital efficiency, with ROCE and ROE both above 20%.
The earnings growth profile is healthy, with PAT growth between 15–20% and revenue growth between 12–15% over 1–2 years, demonstrating sustainable and accelerating profitability.
Valuations remain disciplined, with the portfolio typically trading at a 15–20x P/E, reflecting a reasonable balance between growth potential and price.
Back-Tested Performance
What Makes FidelFolio Different
Discover how FidelFolio empowers investors with transparent, data-driven investment strategies grounded in 25+ years of historical analysis.
Introducing MAGIC 2.0 – AI for Smarter Investing
Our proprietary AI-ML engine, MAGIC 2.0, tests and combines over 3 lakh investment rules, leveraging decades of financial data to surface the most reliable strategies.
- 20 elite rules powering the Large Cap Dream Funds
- High-return strategies with low downside risk
- Fully transparent fixed-fee structure
Why Trust FidelFolio
At FidelFolio, we prioritize transparency, credibility, and investor-first principles to build confidence and long-term wealth.
We’re not just building portfolios. We’re building investor confidence.
Check out our PortfolioFrequently Asked Questions
At FidelFolio, we follow a quantitative long-term investing approach based on fundamental analysis. Over long-term, company’s business fundamentals determine investment outcomes. Read more about our Investment process.
₹22,000 via your own Smallcase account.
Typically once a quarter or when required, with a long-term perspective.
A flat, fixed advisory fee. No hidden charges, no commissions.
No. It’s a rule-based portfolio managed via your Smallcase account. You keep full control of your investments.
The Market Reward Discipline. Not Guesswork
If you’re ready to leave behind high fees, emotion-driven investing, and inconsistent returns, it’s time to upgrade.
