India’s Specialised Investment Fund Market Expands with Assets Reaching ₹6,501 Crore by January 2026

India’s Specialised Investment Fund (SIF) category has recorded a sharp rise in assets within a short period of time.  

Net assets under management (AUM) reached ₹6,501 crore by January 2026, up from about ₹2,000 crore in October 2025, according to news reports. 

Structure of the SIF Category 

The category was introduced by the Securities and Exchange Board of India (SEBI) in April 2025. The framework allows mutual funds to launch products with wider investment flexibility than traditional schemes, including strategies involving derivatives and long–short positions. 

The structure was designed mainly for investors with larger investible surpluses, with a minimum investment requirement of ₹10 lakh. 

Limited Number of Fund Houses So Far 

The segment is still in its early stage, with 6 mutual fund houses currently offering SIF products. Some other asset managers have filed proposals and are awaiting regulatory clearance. 

Among the existing participants, SBI Mutual Fund holds the largest share of assets. Its Magnum SIF manages ₹2,854.8 crore and has the highest investor participation with 10,152 folios. 

Edelweiss Mutual Fund’s Altiva SIF follows with ₹2,093 crore in AUM and 3,552 folios. 

Variation in Investor Participation 

Investor participation across fund houses differs in terms of ticket size. As per the reports, data indicates that the average investment at Bandhan Mutual Fund is about ₹78.4 lakh, showing participation from larger investors. 

At the other end, Quant Mutual Fund reports an average ticket size of around ₹12.5 lakh. The variation shows that the category is attracting a mix of affluent and high-net-worth investors. 

Performance Varies Across Strategies 

While assets have grown quickly, performance across schemes has been uneven. Edelweiss Altiva SIF’s hybrid long–short strategy has delivered a 3.29% return since launch. 

Some equity-focused strategies have recorded declines. Quant Mutual Fund’s QSIF Equity Long-Short Fund is down 3.29% since inception, while its QSIF Equity Ex Top 100 Long-Short Fund has fallen 8.58%. 

This period coincided with a broader market decline. Over the 3 months leading to January 2026, the Nifty Midcap 150 fell roughly 5-8%, while the Nifty Smallcap 250 dropped around 7-10%. 

Read More: Revised Guidelines on Specialised Investment Funds (SIF): Minimum Investment of ₹10 lakh, and More! 

Conclusion 

The SIF category has expanded quickly in its first year, with assets tripling within a few months. However, early return trends show varied outcomes across strategies, showing broader market conditions as the segment continues to develop. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.   
 
Mutual Fund Investments are subject to market risks, read all the related documents carefully before investing.