Smallcaps outperform larger peers by biggest margin since pandemic

Indian smallcap companies outpaced their larger peers this financial year by the widest margin since the Covid-induced FY21. Despite having come off over 8 per cent from its peak, the Nifty Smallcap 100 index finished FY24, with a gain of nearly 70 per cent, outperforming the benchmark Nifty by 41 percentage points.

In FY21, the smallcap index outperformed the blue-chip Nifty by almost 55 percentage points. However, in FY20 the Nifty Smallcap 100 index crashed 20 per cent, even as the Nifty remained unchanged. 

Similarly, in the preceding financial year (FY22), the smallcap index underperformed the