Small-Cap SIPs Recorded Negative Worst 10-Year Rolling Return, Edelweiss Data Shows

Key Takeaways

• The Nifty Smallcap 250 TRI recorded a minimum annualised 10-year rolling SIP return of -0.13%.
• The Nifty Midcap 150 TRI recorded a 17.61% average 10-year rolling SIP return, compared with 15.01% for small-caps and 12.95% for large-caps.
• Five-year small-cap SIP outcomes showed a wider range, from -16.81% to 38.26%.

A systematic investment plan running for a decade did not produce positive returns in every historical small-cap period, according to rolling-return data compiled by Edelweiss Mutual Fund.

The Nifty Smallcap 250 Total Return Index recorded a minimum annualised 10-year rolling SIP return of -0.13%, based on data through 30 September 2026.

By comparison, the minimum 10-year return was 6.37% for the Nifty Midcap 150 TRI and 5.07% for the Nifty 100 TRI.

The calculations use monthly rolling SIP periods rather than measuring the return from only one selected start date to one end date. This provides multiple historical observations across different market conditions.

Mid-Caps Led Average 10-Year Returns

Mid-caps recorded the highest average return in the dataset.

The Nifty Midcap 150 TRI delivered an average annualised 10-year rolling SIP return of 17.61%. Its historical observations ranged from 6.37% to 23.60%.

The Nifty Smallcap 250 TRI recorded an average of 15.01%, with outcomes ranging from -0.13% to 22.20%.

For the Nifty 100 TRI, the corresponding average was 12.95%, with returns ranging between 5.07% and 17.02%.

Shortening the holding period to five years resulted in a much wider range of outcomes.

The lowest five-year annualised rolling SIP return was -16.81% for the Nifty Smallcap 250 TRI, -6.71% for the mid-cap index and -3.03% for the Nifty 100 TRI.

At the upper end, small-caps produced a maximum five-year annualised SIP return of 38.26%, compared with 36.14% for mid-caps and 22.95% for large-caps.

The data relates to market indices and not individual mutual fund schemes. Actual scheme returns can differ because of portfolio construction, expenses, cash positions and investment decisions.

It also shows why SIP investing and asset-class risk should be considered separately. Investing periodically changes the timing of purchases, but it does not eliminate market risk or guarantee positive returns.