SBI Mutual Fund has unveiled its maiden strategy under the newly introduced Specialized Investment Fund (SIF) framework with the launch of the Magnum Hybrid Long-Short Fund. Structured as an interval investment strategy, the fund will primarily invest in equity and debt instruments, while also taking limited short positions in both asset classes through derivatives. The New Fund Offer will open for subscription from October 1 and close on October 15.

The investment objective of the strategy is to generate regular income by predominantly investing in derivative strategies, such as covered calls and arbitrage opportunities in the cash and derivatives segments of equity markets, as well as debt and money market instruments, while also aiming for long-term capital appreciation through unhedged exposure to equity and equity-related instruments.

The Magnum Hybrid Long Short Fund will be managed by Gaurav Mehta and benchmarked against the NIFTY 50 Hybrid Composite Debt 50:50 Index. It is designed for conservative investors seeking optimal risk-adjusted returns with lower volatility.

Mr. Nand Kishore, MD and CEO, SBI Funds Management, said, the launch of our Specialized Investment Fund (SIF) framework represents a strategic evolution in SBI Mutual Fund’s journey. Building on our 38-year legacy in investment management, we remain committed to offering solutions aligned with evolving market conditions. The Magnum Hybrid Long Short Fund, the first investment strategy under Magnum SIF, demonstrates our capabilities and commitment to delivering value to investors across market cycles

Mr. D.P. Singh, Deputy MD and Joint CEO, SBI Funds Management, said, the launch of Magnum SIF represents a significant step in expanding our product suite with differentiated offerings. Magnum SIF now serves as a bridge between our mutual fund and portfolio management services, delivering innovative investment strategies for today’s evolving investors. Our first investment strategy, the Magnum Hybrid Long Short Fund, reflects our focus on innovation and investor-centric solutions. We look forward to introducing more differentiated strategies under Magnum SIF in the future.