Equity Long-Short
At least 80% in sharesMostly a regular share portfolio, plus a small short position to cushion falls or gain from weak stocks.
HomeSIF
SIF — Specialized Investment Fund. Explained simply.
SEBI's newer kind of fund for experienced investors. It sits between a mutual fund and PMS: run by a fund house, starting from ₹10 lakh, and allowed to use strategies a normal mutual fund cannot — like betting a part of the money on a fall.
From ₹10 lakh per investorSEBI-regulatedNISM-certified guidance
7 strategiesequity, debt, hybrid
NISM-certifiedSIF distributor
What is SIF
A mutual fund house, with more freedom.
SEBI created the Specialized Investment Fund in its circular of 27 February 2025 (in force from 1 April 2025). Only fund houses that meet SEBI's conditions can launch one, under a separate brand from their mutual funds.
₹10 lakh minimum
The minimum is ₹10 lakh per investor (per PAN), counted across all strategies of the same SIF. Accredited investors are exempt.
Long and short
Besides buying ("long"), a SIF may take a limited "short" position through derivatives — up to 25% of its money without a hedge.
Clear rules
Every strategy has its own SEBI rules, its own risk level and a document that explains it — the Investment Strategy Information Document.
Compare
Mutual fund, SIF or PMS — where does SIF fit?
Swipe sideways to see all three
| Mutual fund | SIF | PMS | |
|---|---|---|---|
| Minimum | Small amounts, even a ₹500 SIP | ₹10 lakh per investor | ₹50 lakh |
| Who runs it | Fund house (AMC) | Fund house (AMC) that meets SEBI's conditions | Portfolio manager |
| Short positions | Not allowed (except hedging) | Allowed, up to 25% unhedged | Depends on the manager |
| Your holding | Units of a pooled fund | Units of a pooled strategy | Shares held in your own name |
| Exit | Usually any working day | Daily, or only on set days (interval strategies) | As per the agreement |
| Best for | Almost everyone | Experienced investors with a large portfolio | Very large portfolios |
The 7 strategies
Three families, seven strategies.
SEBI allows seven investment strategies. In every one, the unhedged short position can be at most 25% of the money.
Equity strategies invest mainly in shares. They can be open-ended (exit on any working day) or interval (exit only on set days).
Equity Ex-Top 100 Long-Short
At least 65% outside the top 100 companiesFocuses on companies outside the top 100 by size — mostly mid and small companies — with a limited short position.
Sector Rotation Long-Short
At least 80% in up to four sectorsMoves money between a few sectors the manager prefers, with short positions at sector level.
Debt strategies invest in bonds and similar instruments, with a short position allowed through interest-rate derivatives.
Debt Long-Short
Bonds across durationsBuys and sells bonds of different durations as interest rates change.
Sectoral Debt Long-Short
At least two sectors, at most 75% in oneInvests in bonds of chosen sectors, with long and short positions across them.
Hybrid strategies mix shares, bonds and other assets, moving between them as the manager sees fit.
Active Asset Allocator Long-Short
Freely moves between asset classesCan shift money between shares, bonds and other permitted assets, long or short.
Hybrid Long-Short
At least 25% in shares and 25% in bondsAlways keeps a balance of shares and bonds, with short positions allowed.
Long-short, simply
"Long" gains when prices rise. "Short" gains when they fall.
A normal mutual fund only buys. A SIF can also hold a small bet against some stocks or the market. Done well, this can soften a fall. Done badly, it can add to the loss.
Long position
Buying a share or bond because you expect its price to rise. This is what every mutual fund does.
Gains when the price goes up.
Short position
A position through derivatives that gains if a price falls. In a SIF, the unhedged part is capped at 25%.
Loses if the price goes up instead.
Interval strategy
You can put money in or take it out only on set days, not every day — so plan for when you'll need the money.
Check the exit days before investing.
SIF may suit you if
- Your portfolio is already large and ₹10 lakh is only a part of it.
- You have invested for years and have seen markets fall.
- Your basics are done — emergency fund, term cover, health cover.
- You can stay invested for several years.
- You want something between a mutual fund and PMS.
VS
Better to skip it if
- You are just starting — a simple SIP in mutual funds is the right first step.
- ₹10 lakh is most of your savings.
- You may need the money soon — some strategies let you exit only on set days.
- You expect guaranteed or higher returns — there are none.
- You haven't read the strategy document.
Risks and rules
What to know before you invest.
RISK
Higher risk than most mutual funds
Derivatives and short positions add new risks. Every strategy shows its own risk level — always check it.
SEBI circular on Specialized Investment Funds, 27 Feb 2025.
MONEY
₹10 lakh is a minimum, not a target
Invest only an amount you won't need for years, and only a part of your total portfolio.
How we work.
TAX
Tax depends on the strategy
An equity-oriented strategy is generally taxed like an equity fund; others depend on their mix. We explain the tax for the exact strategy you pick.
Income-tax rules; check the strategy document.
Guidance from a NISM-certified SIF distributor.
To distribute SIFs, a mutual fund distributor must pass the NISM certification that SEBI requires for it. JS Trivedi holds this certification, along with AMFI registration (ARN-4045).
- We start with your whole portfolio — SIF only if it truly fits.
- We read the strategy document with you — risk level, exit days, costs.
- We review it every year with the rest of your investments.
Learn from others
Four SIF mistakes we help you avoid.
01
Buying it because it's new
New doesn't mean better. Many investors are fully served by mutual funds.
Instead: first check if your goals need it.
02
Putting too much in
Using most of your savings to reach the ₹10 lakh minimum.
Instead: keep SIF a small part of a large portfolio.
03
Ignoring exit days
Interval strategies allow exit only on certain days.
Instead: match the exit rules to when you'll need money.
04
Expecting no falls
A short position can soften a fall, but it can also go wrong.
Instead: expect ups and downs, and stay for years.
Questions people ask
SIF FAQ
It is offered by a mutual fund house under SEBI's rules, but it is a separate product with its own brand, a ₹10 lakh minimum and more freedom in strategy — including limited short positions.
No, unless you are an accredited investor. The ₹10 lakh minimum is per investor (PAN), counted across all strategies of the same SIF.
Not necessarily. A short position can reduce a fall if the manager is right, but it can add to losses if the manager is wrong. Treat SIF as a higher-risk product.
It depends on the strategy. Some equity strategies are open-ended; others are interval strategies where you can redeem only on set days.
SEBI allows only distributors who have passed the required NISM certification to distribute SIFs. JS Trivedi is certified, and will tell you honestly if a SIF does not suit you.
Thinking about SIF? Talk to us first.
Share your portfolio size and goals on WhatsApp. We'll tell you honestly whether a SIF fits — and which strategy, if any.