A SIF is a new SEBI-regulated investment category introduced in 2024 to bridge the gap between mutual funds and PMS. SIFs allow more flexible strategies, including long-short positions and derivatives-based hedging, with a ₹10 lakh minimum investment per fund. They are pooled investment vehicles like mutual funds but offer more sophisticated portfolio construction.

The SEBI-mandated minimum investment for a SIF is ₹10 lakh per fund. This is significantly lower than the ₹50 lakh required for PMS or the ₹1 crore required for AIFs.

Mutual funds in India are restricted to long-only positions and conservative strategies. SIFs allow long-short positions, derivatives-based hedging, and more concentrated portfolios. The trade-off is a higher minimum investment (₹10 lakh vs as low as ₹500 for mutual funds) and slightly more complex risk profile.

PMS gives you a personalised portfolio of directly held stocks with a ₹50 lakh SEBI-mandated minimum. SIFs are pooled funds with a ₹10 lakh minimum. PMS offers more customisation and direct stock ownership. SIFs offer easier access to sophisticated strategies at a lower entry point.

SIFs are SEBI regulated and subject to strict disclosure norms. However, like all market-linked investments, SIFs carry risk. The use of long-short strategies and derivatives means SIF returns can differ significantly from market benchmarks. SIFs are suitable for investors who understand these risks and have a long-term horizon. Read all scheme-related documents carefully before investing.

SIFs are suited for investors who have outgrown traditional mutual funds, can commit at least ₹10 lakh per fund, and are comfortable with strategies more complex than long-only equity. Most SIF investors at Northbridge are doctors, founders, senior executives, and second-generation business owners with portfolios above ₹50 lakh.

As of 2026, 14 SIFs have launched across 7 asset management companies, with the category's combined assets crossing ₹12,000 crore. New SIFs are being launched regularly. Northbridge tracks the full SIF landscape and recommends specific funds based on your profile.

Most SIF strategies are designed for a 3 to 5 year horizon at minimum. Long-short strategies and concentrated portfolios need time to play out across market cycles. SIFs are not suitable for short-term needs.

No separate fees are charged to clients directly. SIF charges follow each fund's specific fee structure (typically a management fee, sometimes with a performance fee and high-water mark), which is paid to the respective fund manager. Northbridge is compensated through standard AMFI-disclosed distribution arrangements. Detailed fee structures are shared before you commit.

Fill the form on this page with your investment experience, portfolio size, and the amount you are considering for SIF. Our team will call you within 24 hours with a personalised SIF recommendation based on your profile. No obligation, no sales pitch.