Mutual funds roll out SIFs after SEBI nod
Indian mutual funds are rolling out Specialized Investment Funds (SIFs) after SEBI's approval in February.
These funds aim for higher returns using more complex strategies, and each one needs a unique name—think SBI's Magnum Hybrid Long Short or Edelweiss's Altiva Hybrid Long-Short Fund.
New players enter, experienced fund managers required
Mirae Asset has introduced its Platinum SIF brand, while Quant Mutual Fund now offers two QSIF-branded funds.
These SIFs are designed for investors comfortable with higher risks (and a ₹10 lakh minimum to start).
New players like The Wealth Company AMC are also entering, with SEBI requiring a focus on experienced fund managers.
SBI is hoping for up to 30,000 applications, with their Deputy MD DP Singh highlighting the need for expert handling of complicated derivatives.
Edelweiss CEO Radhika Gupta says SIF returns could be similar to fixed income or arbitrage, pointing out that Altiva uses a tactical approach to manage risk.