What is PNB MetLife Small Cap Fund?
PNB MetLife Small Cap Fund is an open-ended market-linked fund that aims to grow your wealth through active management based on research. This PNB new fund invests in a mix of mainly smallcap companies chosen carefully through research to achieve better returns with manageable risk over the duration of the policy.
Why Should You Invest in PNB MetLife Small Cap Fund?
The main reasons for you to consider investing in PNB Smallcap NFO are listed below:
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Impressive Performance: The midcap fund of PNB MetLife achieved remarkable returns of 30.6% over the last 5 years. It is recognized as the top-performing midcap fund during this period.
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Accessible Investment Plan: The new PNB MetLife NFO is available through the user-friendly Mera Wealth Plan at the minimum premium amount of Rs. 2,000 per month.
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Initial Offering Details: The PNB MetLife Smallcap Fund NFO will be launched with a Net Asset Value (NAV) of Rs. 10 on 19th February 2024.
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Robust Portfolio Management: The Asset Management Company (AMC) of the PNB MetLife Smallcap 100 Fund currently manages a substantial portfolio valued at Rs. 46,278 crores.
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Market Linked Insurance Plans: You can start to invest in PNB MetLife Smallcap fund at an affordable ₹2,000 with PNB MetLife Mera Wealth Plan. It facilitates entry into long-term financial planning.
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Comprehensive Coverage: The new PNB MetLife Smallcap NFO is available across Savings, Child, and Retirement plans. It caters to diverse investment objectives and timelines of the investors.
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Eligible Investors: The Non-Resident Indians (NRIs), Overseas Citizens of India (OCIs), and Persons of Indian Origin (PIOs) can also invest in PNB MetLife Smallcap NFO along with domestic citizens.
Overview of PNB MetLife Insurance Company
PNB MetLife India Insurance Company Limited is a life insurance company with over 20 years of excellence in providing top-notch life insurance solutions. The company was founded in 2001 and is headquartered in Mumbai.
It is a joint venture between MetLife International, a subsidiary of MetLife, Inc., and Punjab National Bank (PNB), one of India's largest nationalized banks.
PNB MetLife Fund Performance
PNB MetLife offers a variety of mutual funds across different categories, each with its own investment objective and risk profile.
The following 10 funds offered by PNB MetLife have provided high returns in the last 5 years:
| Fund Name |
5-Year Returns |
10-Year Returns |
Returns Since Inception (RSI) |
Fund Size (in Crores) |
| Mid Cap Fund |
30.8% |
N.A. |
23.5% |
237 Cr |
| Virtue II Fund |
23.7% |
19.4% |
14.3% |
2,778 Cr |
| Flexi Cap Fund |
18% |
15.7% |
11.8% |
1,340 Cr |
| Balancer II Fund |
12.6% |
11.6% |
9.4% |
812 Cr |
| Preserver II Fund |
6.5% |
7.4% |
7.1% |
79 Cr |
| Protector II Fund |
6.2% |
7.2% |
7.2% |
767 Cr |
| Premier Multi-cap Fund |
22.8% |
N.A. |
19.6% |
102 Cr |
| CREST (Thematic Fund) |
21% |
N.A |
17.7% |
36 Cr |
| Multiplier III Fund |
19.4% |
N.A |
15.3% |
78 Cr |
| Liquid Fund |
3.9% |
N.A |
4.3% |
2 Cr |
Understanding Smallcap Funds
Small-cap funds are a type of mutual fund that invests in stocks of small companies. These companies typically have a market capitalization of more than ₹5 billion but less than ₹17,500 crores.
Why Smallcap Funds are Smart Investments?
The small cap funds can be a smart investment for investors with high risk tolerance and long-term investment horizon. The key attractive features of a smallcap fund are as follows:
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Future Leaders: Smallcap funds invest in companies with solid fundamentals and capable management, positioning them to potentially become industry leaders in the future.
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High Growth Potential: These funds target small companies in the early stages of their lifecycle, offering ample room for significant growth.
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Innovation at Core: Small companies have the flexibility to innovate and explore new technologies or markets, driving potential for disruptive growth.
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Market Darkhorse: Small caps often represent untapped potential, primed for remarkable growth opportunities that larger companies may not offer.
Illustration of Small Cap Fund Returns
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Titan Smallcap Fund has surged with a remarkable 31% Compound Annual Growth Rate (CAGR), resulting in 16-times increase over the past decade.
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Similarly, TVS Motors' smallcap fund has grown by 38% annually, resulting in a remarkable 24-times growth over the same period.
Smallcap Fund Returns – Best for Long-Term Wealth Creation
Smallcap funds can be great for long-term wealth creation, as can be seen below:
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Potentially High Returns: Outperform other funds in the long-term (e.g., 70.90% average return in 1-year).
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Growth Potential: Invest in companies with high growth potential.
| NIFTY Small Cap 100 Index Returns |
CAGR Returns (as of 31 January 2024) |
| 1-Year |
70.9% |
| 3-Year |
32.1% |
| 5-Year |
22.6% |
| 10-Year |
18.8% |
| 20-Year |
16.5% |
How to Buy PNB MetLife Small Cap Fund?
PNB MetLife Small Cap Fund is available with the following best investment options in India in 2024:
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PNB MetLife Mera Wealth Plan
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PNB MetLife Capital Guarantee Solution – Savings Plan
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PNB MetLife Capital Guarantee Solution – Waiver of Premium (WoP)
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PNB MetLife Capital Guarantee Solution – Whole Life Plan
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Goal Ensure Multiplier Savings Plan
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Goal Ensure Multiplier – Waiver of Premium (WoP)
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Goal Ensure Multiplier – Whole Life Plan
Let us learn about the key features of top plans with high returns offered by PNB MetLife in detail below:
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PNB Mera Wealth Plan
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No Premium Allocation Charges: With Zero Premium Allocation Charges (PAC), all your investment goes directly into growing your wealth.
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Loyalty Additions: Each year, starting from your 6th policy year, you receive Loyalty Additions, enhancing the value of your investment.
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Calculate Loyalty Additions: Loyalty Additions are determined based on the average fund value over the year.
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You can select an investment option of your choice from-
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Tax Benefits: Enjoy tax benefits on premiums paid and maturity amounts under the Income Tax Act, 1961.
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Riders: Enhance your plan's coverage with additional riders such as accidental death benefit, critical illness, and waiver of premium.
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Goal Ensure Multiplier Savings Plan
Return of Fund Management Charges (ROFMC):
Return of Premium Allocation Charges:
Up to 150% of allocation charges returned in equal instalments at years 10, 15, and 20.
Return of Mortality Charges (ROMC):
Fund Boosters: Enhancements at years 15, 20, 25, and 30 of policy.
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Goal Ensure Multiplier – Waiver of Premium (WoP) Child Plan
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Choice of 5 plan options: You can choose from the 5 variants - Wealth, Wealth+Care, Goal Assured, Income Assured, and Smart Child.
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Fund boosters: Additional charges are applied to premiums to boost the fund value.
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Return of charges: Return of fund management charges, premium allocation charges, and mortality charges.
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Waiver of premium: Premiums are waived off in case of the proposer's death, ensuring the plan continues.
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Top-up option: Increase your savings by making additional payments beyond the regular premiums.
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Choice of 13 funds: Invest in a variety of funds based on your risk appetite.
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Goal Ensure Multiplier – Whole Life Variant – Retirement Plan
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Smart Withdrawal Facility (SWF): SWF is a systematic method for setting up automatic withdrawals from your fund.
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The Goal Ensure Multiplier Retirement Plan offers a Whole Life Variant with SWF.
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Withdrawals start from the 11th Policy Year or upon SWF request, continuing until stopped.
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Withdrawal options include 1-12% of the fund value at a desired frequency, with each instalment at least Rs. 1000.
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Choice of 5 plan options: You can choose from options focused on wealth accumulation, wealth accumulation with critical illness cover, goal assurance, income assurance, or child protection.
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Additional benefits: Depending on the chosen option, you can avail of benefits like waiver of premium on critical illness, guaranteed income for your nominee after death, or life insurance cover for your child.
How to Buy PNB MetLife Small Cap Fund from Policybazaar?
Follow the steps mentioned below to start investing in the PNB MetLife Smallcap 100 NFO:
Step 1: Fill out your name and contact number in the form on this page.
NOTE: Your information is completely safe and secure. It will be used only to personalize your plan benefits.
Step 2: Insert necessary details like your city, age, and income.
Step 3: Compare different plans based on their performance, ratings, and other relevant factors.
Step 4: Choose from the following the following PNB MetLife Savings Plans to access the new PNB MetLife smallcap NFO:
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PNB MetLife Mera Wealth Plan
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PNB MetLife Capital Guarantee Solution – Savings Plan
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PNB MetLife Capital Guarantee Solution – Waiver of Premium (WoP)
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PNB MetLife Capital Guarantee Solution – Whole Life Plan
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Goal Ensure Multiplier Savings Plan
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Goal Ensure Multiplier – Waiver of Premium (WoP)
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Goal Ensure Multiplier – Whole Life Plan
Step 5: Click on "Invest Now" and follow the on-screen prompts to complete your purchase.
Step 6: Provide the necessary KYC details and finalize the payment.
Step 7: Receive confirmation of your purchase once the payment is successful.
Conclusion
The PNB MetLife Small Cap Fund presents an attractive opportunity for investors seeking potential high growth in the smallcap segment of the market. With a focus on carefully selected smallcap companies, the new PNB Small Cap NFO aims to deliver competitive returns over the long term. Its strategic approach, coupled with experienced management, makes it a compelling choice for investors looking to diversify their portfolio and capitalize on the growth potential of smallcap stocks.
Generate wealthEarn 1 Cr# in maturity with Zero LTCG tax¶
Double tax savings^On premiums (under 80C) and on maturity (under 10(10D))
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