Archive · 18 Nov 2025
Sebi's Specialized Investment Funds: What Investors Need to Know
Sebi introduced Specialized Investment Funds (SIFs) for people who understand more about risk and return than average investors.
SIFs can bet on stocks going up or down, unlike regular mutual funds.
Investors should think about how these funds fit into their portfolio and consider factors like returns, liquidity, and the fund's strategy before investing.
The minimum investment is ₹ 10 lakh.
Sebi allowed Specialized Investment Funds (SIFs) for mass affluent segment
SIFs can have long-short funds, unlike mutual funds (MFs) which use derivatives only for hedging
SIFs allow unhedged short positions up to 25% of the portfolio
Investors should consider returns, liquidity, strategy, product positioning, and ticket size
SIFs have a minimum ticket size of ₹ 10 lakh across funds from the same house
- Who
- Securities and Exchange Board of India (Sebi)
- What
- Introduced Specialized Investment Funds (SIFs)
- When
- Recently
- Where
- India
- Why
- To cater to the mass affluent segment with a better understanding of risk-return profile
- Target Audience
- Mass affluent segment
- Minimum Ticket Size
- ₹ 10 lakh
- Maximum Short Position
- 25% of the portfolio
- Taxation
- Same as MFs (12.5% plus surcharge and cess)
- Allowed Funds per House
- Up to 7 SIF funds