--- title: "Microcap vs Smallcap | RupeeCase Strategy Comparison" description: "Microcap vs Smallcap: model CAGR 37.3% against 37.4%, back tested as of 27 Apr 2026, shared holdings and who each suits." source_url: "https://www.rupeecase.com/strategies/compare/microcap-vs-smallcap" --- Strategy against strategy # Microcap vs Smallcap Microcap (momentum, Nifty Microcap 250) against Smallcap (momentum, Nifty Smallcap 250): two model curves on one chart, every risk figure side by side, the holdings they share and who each is written for. * **37.3%**Microcap, CAGR * **37.4%**Smallcap, CAGR * **−26.4%**Microcap, deepest fall * **−22.3%**Smallcap, deepest fall Model, back tested. As of 27 Apr 2026. After charges. Not a promise of future returns. 01Two model curves ## ₹100 in each, May 2021 to Jul 2026. Microcap**₹534**Smallcap**₹541**Nifty 50 TRI, 9.8% CAGR line**₹162** 150 200 300 500 Both models rebased to 100 at their common first month, log scale, with the Nifty 50 TRI drawn as its 9.8% CAGR line. Model, back tested. As of 27 Apr 2026. After charges. 02Every figure ## 14 rows, side by side. A tick marks the better figure of the two: higher return and ratios, shallower fall, lower volatility, lower entry. The Nifty 50 column is the index over the same window. MetricMicrocapSmallcapNifty 50 TRI CAGR37.33%37.40%9.8% Sharpe ratio1.521.590.73 Sortino ratio1.421.450.70 Calmar ratio1.521.850.58 Max drawdown−26.43%−22.34%−16.92% Volatility, a year24.09%23.51%14.04% Net return, cumulative+431.21%+407.11%+59.62% Back test windowrolling 5 yearsrolling 5 years Minimum capitalAbout ₹2,25,000About ₹2,19,000 Stocks held505050 RebalanceEvery 2 weeksEvery 2 weeks UniverseNifty Microcap 250Nifty Smallcap 250Nifty 50 Risk bandModerately HighModerately High TierGrowth coreGrowth core CAGR, Sharpe and max drawdown: Model, back tested. As of 27 Apr 2026. Sortino, Calmar, volatility and net return: model, back tested over each strategy's own window, to 27 Apr 2026. Minimum capital as of 8 Aug 2026. Not a promise of future returns. 03Holdings overlap ## No name in both lists. 0 of the 48 names in Microcap also sit in Smallcap (48 names): 0% of the larger list. Lists as of 11 May 2026 and 11 May 2026. ### Held by both0 None on the latest lists. ### Only in Microcap48 * JAYNECOIND * HCC * JAIBALAJI * LLOYDSENT * LLOYDSENGG * EIEL * EMIL * DBREALTY * STLTECH * WEBELSOLAR * CUPID * APOLLO * BALAMINES * SKIPPER * DIACABS * GOKULAGRO * INOXINDIA * PFOCUS * PRAJIND * KTKBANK * PRUDENT * TMB * SHAILY * LXCHEM * +24 more ### Only in Smallcap48 * BANDHANBNK * ANGELONE * JINDALSAW * JPPOWER * OLAELEC * BLUEJET * CESC * GESHIP * ABDL * HFCL * HSCL * SCI * SYRMA * FINCABLES * ENGINERSIN * APTUS * JUBLINGREA * BELRISE * GRANULES * ACMESOLAR * J&KBANK * VTL * INOXWIND * COHANCE * +24 more Model portfolios on the published lists; tickers are not recommendations. Holding both means the shared names carry weight twice. 04The trade off ## Who each is written for. * **Higher model growth:** Smallcap (37.40% against 37.33%) * **Better risk adjusted return:** Smallcap (Sharpe 1.59 against Sharpe 1.52) * **Shallower deepest fall:** Smallcap (22.34% against 26.43%) * **Lower entry:** Smallcap (₹2,19,000 against ₹2,25,000) ### Microcap **Moderately High** risk band Written forInvestors who want growth but read a 25% drawdown as opportunity, not panic Time horizon5 years or longer. Drawdowns of 26% have happened in the backtest and can happen again. Capital you might need within 12 months should not be here. CapitalAbout ₹2,25,000, one share of every holding at recent prices [Microcap strategy page](/strategies/microcap) ### Smallcap **Moderately High** risk band Written forInvestors who want growth but read a 25% drawdown as opportunity, not panic Time horizon5 years or longer. Drawdowns of 22% have happened in the backtest and can happen again. Capital you might need within 12 months should not be here. CapitalAbout ₹2,19,000, one share of every holding at recent prices [Smallcap strategy page](/strategies/smallcap) A description of each strategy, not a recommendation. Decide your own allocation, or ask a SEBI registered investment adviser. Model, back tested. As of 27 Apr 2026. 05Next ## Change the pair, or go deeper. [Pick any two strategies](/compare#pairs) * [Strategy pageMicrocapFour numbers, the factsheet, Invest](/strategies/microcap) * [Strategy pageSmallcapFour numbers, the factsheet, Invest](/strategies/smallcap) * [FactsheetMicrocapPrint first, every month and holding](/strategies/factsheets/microcap) * [FactsheetSmallcapPrint first, every month and holding](/strategies/factsheets/smallcap) ### More pairs * [vsMidcap vs SmallcapCAGR 38.8% and 37.4%](/strategies/compare/midcap-vs-smallcap) * [vsSmallcap vs MicrocapCAGR 37.4% and 37.3%](/strategies/compare/smallcap-vs-microcap) 06Questions ## Microcap vs Smallcap, in plain words. ### Which has the higher model CAGR, Microcap or Smallcap? Smallcap: 37.40% against 37.33%, with the Nifty 50 TRI line at 9.8%. Model, back tested. As of 27 Apr 2026. After charges; past performance does not guarantee future returns. ### Which fell less in the back test, Microcap or Smallcap? Smallcap: a deepest model fall of 22.34% against 26.43%. Microcap's deepest daily drawdown ran 210 days from 21 Jan 2022. Smallcap's ran 70 days from 21 Jan 2022. Model, back tested. As of 27 Apr 2026. Drawdowns of similar size can happen again. ### Can I hold Microcap and Smallcap together? Yes, each is a separate rules based index in your own demat, and no name sits in both lists today. Minimum capital is about ₹2,25,000 and ₹2,19,000; the fee is 0.2% of traded value per rebalance on each. RupeeCase is not an investment adviser; decide your own allocation. Explore next ## Go deeper on both strategies. * [Free module 2.3Risk Metrics That Matter8 min read](/learn/path-2/module-2-3-risk-metrics-that-matter) * [StrategyMicrocap strategyNifty Microcap 250, 50 stocks, every 2 weeks](/strategies/microcap) * [StrategySmallcap strategyNifty Smallcap 250, 50 stocks, every 2 weeks](/strategies/smallcap) * [FactsheetMicrocap factsheetOne page, print ready, model back test](/strategies/factsheets/microcap) * [FactsheetSmallcap factsheetOne page, print ready, model back test](/strategies/factsheets/smallcap) * [Head to headCompare Midcap with SmallcapTwo model curves, every risk figure](/strategies/compare/midcap-vs-smallcap) ## Microcap or Smallcap. Read both, then decide. [Invest in Microcap](https://invest.rupeecase.com/signup?strategy=microcap)[Invest in Smallcap](https://invest.rupeecase.com/signup?strategy=smallcap) 0.2% of traded value per rebalance. No AUM fee, no lock in. Model, back tested. As of 27 Apr 2026.