Bandhan AMC enters SIF space, files papers with SEBI for Arudha Hybrid Long-Short Fund

Bandhan Asset Management Company (AMC) has filed papers with the market regulator for its first-ever Specialised Investment Fund (SIF), named the Arudha Hybrid Long-Short Fund. 

As per the draft prospectus submitted to the Securities and Exchange Board of India (SEBI), the fund will allocate 35–65 per cent of its portfolio each to equities and debt instruments. The strategy also allows limited short exposure, with up to 25 per cent of net assets in unhedged derivative positions and up to 20 per cent through short selling.

The proposed interval fund marks the AMC’s entry into the alternative investment space, and the company aims to generate returns by taking both long and short positions across market cycles.

The minimum investment amount has been set at Rs 10 lakh, while accredited investors can invest with a minimum of Rs 1 lakh. Subscriptions will be open on all business days, while redemptions will be available twice a week—on Mondays and Thursdays—without any exit load. 

The scheme will be managed by senior equity fund manager Kapil Kankonkar, VP of fixed income Brijesh Shah, VP of credit research Debraj Lahiri, and equity fund manager Nilesh Saha. 

The fund will deploy derivative strategies such as covered calls, protective puts, and calendar spreads to seek returns across different market conditions.

The units will be benchmarked against the CRISIL Hybrid 85+15 Conservative Index.