#SIF #SpecializedInvestmentFunds #AUM #MutualFundsIndia #IndianFinance #InvestmentNews #QuantMF #SBIMF #EdelweissMF #HybridFund #LongShortStrategy #MarketUpdate
Chandigarh: India’s newest mutual fund product category, Specialized Investment Funds (SIFs), has successfully debuted, crossing the ₹2,000 crore Assets Under Management (AUM) mark in its very first month of operation (October 2025). This strong initial traction highlights a growing appetite among investors for more sophisticated, strategy-driven investment vehicles that bridge the gap between traditional Mutual Funds (MFs) and Portfolio Management Services (PMS).
According to data released by the Association of Mutual Funds in India (AMFI), the total SIF AUM stood at ₹2,010 crore with 10,212 folios by the end of October 2025.
Strategy-Wise Breakdown
The industry witnessed the launch of four funds in the debut month, primarily focusing on long-short strategies which utilize derivatives to manage risk and potentially enhance returns across market cycles. SIFs generally require a minimum investment of ₹10 lakh, catering to high-net-worth individuals (HNIs) and sophisticated investors.
| Strategy | Number of Folios | Net Inflows (₹ Crore) | Current AUM (₹ Crore) | Prominent Funds Launched |
| Hybrid SIF Strategies | 7,471 | 1,613 | 1,614 | SIF Hybrid Long Short Fund (Quant MF), Magnum Hybrid Long Short Fund (SBI MF), Altiva Hybrid Long Short Fund (Edelweiss MF) |
| Equity Long Short Fund | N/A (Sub-set of 10,212) | 392 | 397 | SIF Equity Long Short Fund (Quant MF) |
Hybrid Strategies Lead the Charge
The Hybrid SIF strategies proved to be the most popular, accounting for the lion’s share of the AUM. They attracted ₹1,613 crore in net inflows across 7,471 folios, with total AUM reaching ₹1,614 crore. These funds typically aim for balanced returns by investing in a mix of equity and debt, while using derivatives for both long (buying) and short (selling) positions to hedge risk and generate additional alpha.
Equity Long Short Fund Performance
The Equity Long Short segment also saw strong interest, with the qSIF Equity Long Short Fund being the sole offering in this category at the time. This fund collected ₹392 crore in net inflows and ended the month with a total AUM of ₹397 crore. These funds are designed to generate returns by taking long positions in stocks expected to rise and short positions in stocks expected to fall, with a minimum of 80% investment in equity instruments and a maximum of 25% unhedged short exposure.
Investor Confidence in New Segment
The rapid adoption, particularly of the Hybrid Long Short strategies, underscores investor confidence in the new SIF framework. SIFs were introduced by SEBI to offer greater portfolio flexibility than traditional mutual funds—such as allowing the use of unhedged derivatives for short selling up to 25% of the portfolio—while maintaining the regulatory oversight of the mutual fund structure. This blend of flexibility and regulation has clearly resonated with the mass affluent segment of investors seeking advanced tactical allocation tools.
#SIF #SpecializedInvestmentFunds #AUM #MutualFundsIndia #IndianFinance #InvestmentNews #QuantMF #SBIMF #EdelweissMF #HybridFund #LongShortStrategy #MarketUpdate
Source: AMFI Data
