Edelweiss Asset Management has announced the launch of the India Multimanager Equity Fund – Series I, based in GIFT City, Gujarat, aimed at attracting global investors and NRIs who wish to participate in India’s rapidly growing equity markets. The fund has been structured as an open-ended Category III Alternative Investment Fund (AIF) under the IFSCA (Fund Management) Regulations, 2025, and is also registered with SEBI as a Category I Foreign Portfolio Investor (FPI).

The investment strategy of the fund focuses on allocating capital to multiple mutual funds managed by leading Indian asset management companies, including Edelweiss’s own Flexi Cap and Mid Cap funds. Approximately 60% of the allocation will be towards Flexi Cap funds and 40% towards Mid Cap funds, offering a balanced mix of growth and diversification. The selection process is rigorous, with 70% of the assessment based on quantitative parameters and 30% on qualitative evaluation. Only AMCs with at least a decade of experience are considered, and the portfolio comprises around eight carefully chosen stock mutual funds from India’s top fund houses.

What sets this fund apart is its accessibility for global investors through GIFT City, providing NRIs and overseas participants an efficient route to invest in Indian equity markets. The design ensures diversification across fund managers and market segments, while avoiding concentrated sectoral exposure. By steering clear of over-dependence on macro predictions and maintaining a fully invested approach, the fund aims to minimise cash drag and enhance risk-adjusted returns.

The structure also provides distinct tax advantages under IFSC/IFSCA for offshore investors and NRIs. For instance, in certain scenarios, capital gains on the underlying Indian mutual funds may not be taxed. Meanwhile, for listed stocks, normal capital gains rules will apply — with short-term gains taxed at 20% and long-term gains above a threshold taxed at 12.5% for holdings exceeding one year.

With India continuing to attract increasing global investor interest, the Edelweiss India Multimanager Equity Fund – Series I offers a professionally managed, diversified, and tax-efficient vehicle for overseas investors. Its multi-manager framework, balanced exposure to Flexi and Mid Cap funds, and robust regulatory backing make it a compelling opportunity for those looking to participate in India’s long-term growth story.