Carnelian Asset Management Gets SEBI Approval for Mutual Funds

Carnelian Asset Management & Advisors has received crucial approval from the Securities and Exchange Board of India (SEBI) to launch its mutual fund business. This development marks the firm’s formal entry into India’s rapidly growing asset management sector.

The approval allows Carnelian to significantly broaden its offerings to retail investors, introducing a diverse portfolio of active and passive investment products. These will span equity, debt, and hybrid categories.

Strategic Expansion and Current Footprint

• Founded in 2019 by Vikas Khemani, Manoj Bahety, and Swati Khemani.
• Manages over Rs 18,300 crore in assets through Portfolio Management Services (PMS), Alternative Investment Funds (AIFs), and offshore investment strategies.
• Serves more than 8,600 clients via a network of over 710 partners as of June 30, 2026.

Vikas Khemani, Founder and Chief Investment Officer, stated that this regulatory clearance enables Carnelian to extend its investment capabilities to a substantially larger investor base. He added that the firm would contribute more significantly to India’s evolving savings and investment landscape.

Khemani also articulated his conviction that the next phase of expansion for the mutual fund industry will be propelled by deeper penetration, moving beyond major metropolitan centers. This strategy aims to enhance access to quality investment solutions.

India’s Mutual Fund Landscape

• Domestic mutual fund Assets Under Management (AUM) surpassed Rs 82 lakh crore as of June 30, 2026.
• The industry records over 20 crore folios.
• Approximately 10 crore active SIP accounts are currently operational.

This expansion into smaller towns and rural areas is seen as a key step towards integrating more investors into the formal financial ecosystem. It capitalizes on increasing financial awareness and participation across India.