New Delhi, July 30 -- Sebi's specialised investment fund (SIF) framework, effective 1 April 2025, seeks to bridge the gap between mutual funds and portfolio management services (PMS). It offers retail and sophisticated investors access to more tactical and aggressive strategies, including long-short equity, under a pooled structure.

which manage portfolios individually-SIFs permit fund houses to take short positions through derivatives, aligning Indian products with global trends where tactical and hedged strategies are gaining popularity.

Under the SIF framework, Sebi has capped maximum short exposure at 25%, but has not mandated a minimum. This leaves room for fund houses to launch 'long-short' funds that, in practice, take no short e...