Magnum Hybrid Long Short Fund Filed Draft With SEBI

SBI Mutual Fund, through its Specialised Investment Fund (SIF) platform, has filed draft documents with SEBI to launch the Magnum Hybrid Long Short Fund. The filing includes all regulatory disclosures and a due diligence certificate as required under SEBI’s mutual fund regulations

Fund Category and Structure

The scheme is classified as a hybrid long-short fund. It will operate as an interval investment strategy, investing in both equity and debt, with limited use of derivatives for hedging and short exposure. Units will have a face value of ₹10 each during the New Fund Offer (NFO).

Investment Allocation

The proposed allocation includes 65-75% in equity and equity-related instruments and 25-35% in debt and money market instruments. Up to 10% may be invested in Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs). The fund may also invest up to 35% of its net assets in overseas securities within SEBI’s limits

Subscription and Redemption

The minimum application size is set at ₹10 lakh during the NFO, with subsequent investments in multiples of ₹1. Additional purchases of at least ₹10,000 are permitted. Redemptions can be made twice weekly, on Mondays and Thursdays. The units are proposed to be listed on NSE and BSE within five business days of allotment

Plans, Options, and Charges

The fund will offer Regular and Direct plans with Growth and Income Distribution cum Capital Withdrawal (IDCW) options. Exit load will be 0.50% for redemptions within 15 days, 0.25% for redemptions up to one month, and nil thereafter. Annual recurring expenses are capped at 2.25% of daily net assets

Read More: Parag Parikh Flexi Cap, HDFC Flexi Cap Lead Seven Funds With Over ₹1,000 Crore Inflows in August!

Fund Manager

The scheme will be managed by Gaurav Mehta, Head of SIF Equity at SBI Funds Management. Mehta has over 19 years of experience in Indian markets, including work in equity research, portfolio management, and alternative investment strategies

Conclusion

The Magnum Hybrid Long Short Fund is the first hybrid long-short scheme planned under the SIF structure of SBI Mutual Fund. The draft filing with SEBI is the initial step before launch.

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.