Kolkata: Within three months of market regulator SEBI introducing the regulatory framework, Edelweiss Asset Management has launched the first Specialised Investment Fund (SIF) in India. It is called ‘altiva SIF’. The company described the offering as “next-generation investment products across equity, hybrid, and fixed income segments.”
“We believe SIFs represent the next evolution in investment solutions — a powerful bridge between traditional mutual funds and PMS/AIFs, offering the agility and innovation needed…. altiva SIF represents our ambition to lead with purpose-built, agile, and innovative solutions that can reshape how portfolios are built,” said Radhika Gupta, MD & CEO of Edelweiss Mutual Fund.
Blend of flexibility and protection
A blend of flexibility and protection is a dream combination and SEBI has attempted to strike a balance with SIF. These funds are expected to strike a balanced approach to marry flexibility to maximise returns while complying with regulatory needs for protecting investor interest. In the launch event, Gupta said, “This is a very interesting category. There has always been a need for this kind of offering, but building the right platform has been the real challenge.” The market regulator permits equity, debt and hybrid investments methods under SIF. Any registered mutual fund house can launch a SIF if it meets the criteria set by SEBI.
The background and middle ground
While mutual funds allow a person to begin investments with only Rs 500 or less, PMS or portfolio management systems and or AIF (alternate investment funds) are available for investors with far deeper pockets and higher risk appetite. PMS calls for a minimum investment of Rs 50 lakh while AIF demands a minimum fund of Rs 1 crore. Sebi has introduced the concept of SIF to bridge the yawning gap between mutual funds and PMS. Since the minimum investment in SIF is Rs 10 lakh, it is neither too high nor too low and fits the pocket for investors who have higher risk appetite and deeper pockets.
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The Edelweiss SIF (Specialised Investment Fund) is the first in the country since market regulator SEBI introduced the regulatory framework on February 27. This new investment category bridges the gap between mutual funds and Portfolio Management Services (PMS). Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
