Quant Mutual Fund has submitted draft documents to SEBI to launch the QSIF Hybrid Long-Short Fund under its Specialized Investment Funds (SIF) platform. The fund will follow an interval strategy, investing in both equity and debt securities while taking limited short positions through derivatives.
The scheme aims to offer a mix of capital appreciation and income, maintaining a minimum of 25% exposure each to equities and debt. Derivatives can be used up to 25% of the portfolio for return enhancement and risk management. The fund will benchmark its performance against the Nifty 50 Hybrid Composite Debt 50:50 Index.
Asset allocation is flexible yet controlled: equities and related instruments can account for 25-75% of assets, debt and money market securities 25-75%, and REITs/InvITs up to 20%. Derivative usage is a key feature, with unhedged short positions capped at 25% and hedged positions allowed up to 100% of assets. Allocations will be dynamically adjusted based on market conditions, with periodic rebalancing to ensure compliance, manage risk, and capture opportunities.
Subscriptions will be open on all business days, while redemptions will be allowed every Tuesday and Wednesday. Units will also be listed on NSE, providing additional liquidity for investors in demat form.
The New Fund Offer (NFO) will be priced at Rs 10 per unit, with a minimum investment of Rs 10 lakh for general investors and Rs 1 lakh for accredited investors. Post-NFO, SIP, SWP, and STP facilities will be available. An exit load of 1% will apply if units are redeemed within 15 days of allotment, and none thereafter.
The fund will be offered in Regular and Direct Plans, with Growth and IDCW (payout/reinvestment) options. NAVs will be disclosed daily on the AMC and AMFI websites.
The QSIF Hybrid Long-Short Fund is targeted at investors seeking a high-risk, high-reward strategy blending equity, debt, and derivatives, all within a regulated SIF structure.