Specialised Investment Funds Surge Past ₹23,000 Cr AUM

Specialised Investment Funds (SIFs) saw their assets under management (AUM) climb 30 percent month-on-month, reaching Rs 23,177 crore in July 2026. The investor base for these funds now approaches 1 lakh folios, with 94,447 recorded.

Key SIF Metrics in July 2026

• Total SIF AUM: Rs 23,177 crore
• Month-on-month AUM increase: 30 percent
• Total folios: 94,447
• Overall average folio size: Rs 24.5 lakh

Hybrid investment strategies emerged as the primary growth engine, contributing 71 percent to the total AUM, amounting to Rs 16,524 crore. Within this segment, hybrid long-short funds were the dominant strategy.

Hybrid Long-Short Performance

• AUM: Rs 15,374 crore
• Month-on-month growth: 29 percent
• Share of total SIF AUM: 66 percent
• Average folio size: Rs 36.9 lakh

Equity-oriented strategies also demonstrated significant expansion, with their AUM rising 32 percent month-on-month to Rs 6,654 crore. These strategies constituted 29 percent of the total SIF AUM, maintaining an average folio size of Rs 14.4 lakh.

Manuj Jain, Co-founder of ValueMetrics Technologies, noted that recent equity market volatility has fostered a beneficial environment for long-short and other market-neutral strategies employed by SIFs. He added that the increasing number of Asset Management Companies (AMCs) launching new SIF offerings also enhances investor awareness and choice.

Jain believes that demand for SIFs will persist as investors seek diversified and differentiated strategies beyond traditional long-only products, even if the appeal of long-short strategies moderates with a market recovery. The broader mutual fund industry recorded robust investor participation in July 2026, with total AUM at Rs 85.8 lakh crore and net inflows into Active Equity and Hybrid Funds approximately Rs 30,000 crore.