SIF AUM Nears ₹10,000 Crore as Hybrid Long–Short Strategies Dominate Industry Flows

Assets under management in Specialised Investment Funds have expanded rapidly, marking one of the fastest build‑ups seen in any newly introduced investment category. Data from ValueMetrics Technologies shows SIF AUM rising from about ₹2,010 crore in October 2025 to ₹9,711 crore by February 28, 2026.

This steep rise highlights the strong investor appetite for differentiated strategies beyond traditional equity and debt categories. With 11 schemes and nearly 39,851 folios, the SIF segment is swiftly shaping into a meaningful industry pocket.

Steady Expansion in AUM Since Launch

SIFs have witnessed a sharp and consistent AUM rise since entering the market. The increase from ₹2,010 crore in October 2025 to ₹9,711 crore by February 2026 indicates accelerating investor adoption.

This can be attributed to long–short strategies, which offer diversified exposure. The average folio size of about ₹24.4 lakh further shows that participation is skewed towards relatively higher‑ticket investors.

Dominance Of Hybrid Long–Short Strategies

Hybrid long–short funds are driving the early growth trajectory of the category. These strategies account for ₹7,389 crore in AUM, representing 76% of total SIF assets. Their cumulative net inflows since October 2025 stand at ₹7,324 crore, underscoring strong demand.

The structure of these schemes gives fund managers flexibility to participate in both rising and falling markets. This operational flexibility appears to be resonating with investors exploring alternative risk‑adjusted sources of return.

Surge In Monthly Inflows During February

February marked the strongest month for SIF inflows since the category began reporting data. Net inflows across strategies reached ₹3,127 crore, highlighting a meaningful shift in investor allocation trends.

Hybrid long–short strategies attracted ₹1,867 crore during the month, maintaining their leadership position. Equity‑oriented strategies also performed well, securing ₹1,260 crore in February.

Rising Interest in Equity Long–Short Sub‑Segments

Investor interest is also expanding within specific equity‑based long–short formats. Equity Ex‑Top 100 Long‑Short Funds recorded ₹1,115 crore in February inflows, taking cumulative inflows in this segment to ₹1,296 crore.

Meanwhile, Equity Long‑Short Funds have received ₹1,076 crore in cumulative inflows to date. These trends show that investors are diversifying across multiple alternative equity strategies.

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

Conclusion

The SIF category has grown significantly within a short span, nearing the ₹10,000 crore mark by February 2026. Hybrid long–short strategies clearly dominate early flows, accounting for the majority of both AUM and monthly inflows.

The sharp rise in participation from October 2025 to February 2026 reflects a sustained demand for flexible, risk‑managed investment frameworks. With expanding sub‑segments and rising monthly inflows, SIFs are shaping into a prominent niche within India’s investment landscape.

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