Mirae Asset AMC to launch Specialised Investment Fund under ‘Platinum’ brand

Talking about their plans (apart from SIF), the management noted that they are looking to expand their Gift City presence in the form of both inbound and outbound funds as well as retail mutual funds and ETFs out of their Gift City entity.

Mirae Asset AMC has received approval from capital market regulator Sebi to launch a Specialised Investment Fund (SIF), becoming the third such AMC to receive the go ahead under the newly introduced category. The AMC now plans to introduce its first SIF in the equity segment under a new brand - Platinum by Mirae Asset Mutual Fund.

The fund house is currently in the process of applying for Sebi’s product-level approval for the launch, and is in the process of hiring personnel to lead the initiative.

Also Read: SIFs stir the pot for PMS and AIFs as mutual fund giants enter the fray

SIFs are a new investment category created by Sebi to bridge the regulatory and operational gap between mutual funds and portfolio management services (PMS). Announced via a consultation paper in July 2024, the framework for SIFs was finalised earlier this year with the aim of catering to investors seeking higher customisation and flexibility, without moving into the PMS space.

The Sebi believes that while India’s capital markets have evolved to offer a wide range of investment products with varying levels of risk and complexity, there remains a gap between mutual funds and PMS in terms of flexibility and oversight. SIFs are designed to fill that gap, offering a middle ground with enhanced portfolio construction leeway, combined with appropriate investor protections.

Sebi allows SIFs to offer three categories of investment strategies: the first is Equity-Oriented Strategies such as Equity Long-Short Funds and Sector Rotation Funds. The second is Debt-Oriented Strategies like Debt Long-Short Funds and Sectoral Debt Funds. The third category is hybrid Strategies including Active Asset Allocator Funds and Hybrid Long-Short Funds. The current framework allows only one strategy per category per SIF.

Mirae Asset is the third AMC to announce receipt of approval of SIF license after Quant Mutual Fund and Edelweiss AMC. Other big names such as Axis AMC and Nippon Mutual Fund are also in the process of acquiring licenses.

Talking about their plans aside of the SIF, Mirae Asset AMC said they are looking to expand Gift City presence in both inbound and outbound funds, as well as retail mutual funds and ETFs out of the location. Vaibhav Shah, Head of Business Development – Strategy and International Sales said they hoped to see the expansions in the next 6-12 months.

Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.