Emkay Investment Managers Limited (EIML), the asset management arm of Emkay Global Financial Services, has announced the launch of ‘Emkay SMID Cap Growth Engine Fund’. EIML aiming to raise Rs 500-1000 Crores from the latest fund in the FY26.

The fund will build a diversified equity portfolio comprising listed equities and related instruments, through bottom-up stock picking process which is backed by extensive fundamental analysis comprising of in-depth study of business, management and valuation and benchmarked against the S&P BSE 500 TRI. It is intended for investors with a 2–3 year investment horizon.

This open-ended fund will be available under both Alternative Investment Fund (AIF) and Portfolio Management Services (PMS) routes, where the product seeks to achieve long-term capital appreciation by investing primarily in small-cap and mid-cap securities.

The product would be managed by Mr. Manish Sonthalia, Director and Chief Investment Officer, Emkay Investment Managers and Mr. Kashyap Javeri, Head of Research and Fund Manager, Emkay Investment Managers. 

According to EIML, mid and small-cap companies are anticipated for positive growth over next 3-5 years, making them a good potential bet for investing. EIML also highlights that mid and small-cap stocks have delivered a robust return over the past five years. It further notes that the current macroeconomic conditions and supportive valuations present an attractive entry point for SMID investments, particularly following the recent market correction.

Manish Sonthalia, Director & Chief Investment Officer, Emkay Investment Managers Limited said, “SMID offers a compelling mix of growth potential, valuation, comfort and supportive macro trends, making it a strong candidate for investment. The fund follows focussed bottom-up stock picking backed by in-depth fundamental research based on our E-Qual Framework, arguably, the only framework of its kind in India, to score management quality objectively.”