Why Advisors Are Taking SIFs Route (more than AIFs & PMS option)

SIFs: The Game Changer India's Asset Management Industry!!!

India's asset management landscape is undergoing a major transformation with the introduction of Specialized Investment Funds (SIFs)—a progressive blend of mutual fund structure and PMS/AIF flexibility. This isn't just another product launch; it's a paradigm shift in how sophisticated strategies can be delivered with the comfort of regulatory familiarity. A Bold Step ForwardAs Radhika Gupta, MD & CEO of Edelweiss Asset Management, aptly put it in her interview with CNBC-TV18, SIFs are a "welcome step" in the evolution of Indian investing. 

For the end investor, SIFs bring the best of both worlds:

Mutual Funds: Tax efficiency, regulatory trust, SIP-friendly structure

• PMS & AlFs: Flexible investment mandates, use of credit, derivatives, and long-short strategies
• SIFs: A powerful fusion of both, with a much lower entry point of ₹10 lakhs (vs ₹1 crore for AlFs)
• The Derivatives Revolution Within SIFs: One of the most defining features of SIFs is the active use of derivatives. Until now, mutual funds were allowed to use derivatives only for hedging and portfolio balancing. That's changing.With SIFs, asset managers can:
  • Express directional views using derivatives (long or short)
  • Take active positions up to 25% of the portfolio in equity and debt instruments
  • Implement long-short strategies previously exclusive to AlFs
  In the words of Radhika Gupta: "You can now express a view, not just hedge a position." This is big. It allows fund managers to truly deliver alpha through strategy, not just asset selection. And that calls for a new level of expertise-not just for fund managers, but also for distributors and intermediaries selling these funds.

NISM Series XIII: Your License to Sell SIFs

SIFs are not just another investment product. They are a milestone in India's journey toward global-class investment solutions-flexible, intelligent, and dynamic. But with that flexibility comes complexity. And the bridge between complexity and investor confidence is knowledge. So if you're a distributor, advisor, or wealth manager, make sure you're NISM Series XIII certified. It's not just about compliance-it's about being competent in this new era of asset management. We're launching a complete NISM Series XIII course soon. Stay tuned to equip yourself with the right knowledge, tools, and credentials to sell SIFs with confidence.