ITI Mutual Fund Launches Diviniti Equity Long Short Fund Under SEBI’s SIF Platform

ITI Mutual Fund has launched its first scheme under the Specialised Investment Fund (SIF) platform, the Diviniti Equity Long Short Fund. The New Fund Offer (NFO) opened on November 10 and will close on November 24, 2025.

About the Diviniti Equity Long Short Fund

The Diviniti Equity Long Short Fund is an open-ended scheme designed to invest primarily in listed equities and related instruments. It will also take limited short positions through derivatives, as permitted by the Securities and Exchange Board of India (SEBI), to manage portfolio risk and optimise returns.

According to ITI Mutual Fund, the Diviniti strategy has been tested across multiple market cycles over the past seven years to assess performance consistency. The fund aims to provide balanced, risk-adjusted returns by combining long equity exposure with tactical short positions during volatile phases.

Key Details and Investment Strategy

The scheme follows a long-short equity strategy, which allows it to take advantage of both rising and falling markets. By maintaining exposure to high-quality stocks while hedging market risks through short positions, the fund aims to reduce drawdowns and enhance portfolio resilience.

The investment approach is aligned with SEBI’s guidelines for SIFs, which encourage mutual funds to explore hybrid and alternative strategies beyond conventional long-only equity models. The fund’s objective is to deliver consistent returns across varying market conditions while focusing on capital protection.

Minimum Requirements

The SIF platform, approved by SEBI, is designed for qualified investors seeking advanced, risk-managed investment options. The Diviniti Equity Long Short Fund is available only to such investors, with a minimum investment requirement of 10 lakh rupees.

The Specialised Investment Fund structure allows mutual funds to introduce products that blend features of traditional schemes with those of alternative investment vehicles such as Alternative Investment Funds (AIFs) and Portfolio Management Services (PMS). This framework provides investors with access to strategies that were previously available only through high-net-worth or institutional channels.

ITI Mutual Fund Overview

As of October 31, 2025, ITI Mutual Fund managed assets worth 11,258 crore rupees across 59 locations in India. The fund house has built a strong distribution network, collaborating with over 29,800 distribution partners nationwide.

The launch of the Diviniti Equity Long Short Fund under the SIF framework marks a strategic step by ITI Mutual Fund to expand its product offerings and cater to investors seeking innovative, risk-managed equity solutions.

Read More: 11 Fund Houses Manage AUM Over ₹2 Lakh Crore.

Conclusion

The Diviniti Equity Long Short Fund represents ITI Mutual Fund’s first venture under SEBI’s Specialised Investment Fund platform, combining traditional equity investing with alternative strategies. By offering a structured, risk-controlled approach to long-term wealth creation, the fund aims to provide qualified investors with an opportunity to achieve stable and consistent returns across market cycles.

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.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.