The HDFC Nifty Small Cap 250 ETF, managed by HDFC Asset Management Company, aims to replicate the NIFTY Smallcap 250 Index, providing investors with passive exposure to small-cap equities.

This ETF employs a passive investment strategy, tracking the NIFTY Smallcap 250 Index (TRI) with a low tracking error of 0.09%, ensuring performance closely aligns with its benchmark.

The fund's portfolio is heavily concentrated in small-cap equities, with significant allocations in Finance (19.68%) and Chemicals & Petrochemicals (14.9%), indicating a focused sector strategy.

Over the past year, the ETF has experienced a decline of -1.6%, reflecting market volatility, while maintaining a competitive expense ratio of 0.2% relative to its ₹1431.54 Cr AUM.

Managed by a team with extensive experience, the fund's operational structure supports liquidity, with minimal exit load considerations, enhancing accessibility for investors looking to enter or exit.