ICICI Prudential Asset Management Company (ICICI Pru AMC) has officially entered the Specialised Investment Fund (SIF) segment, marking a significant development in India’s evolving investment landscape. With this move, the fund house is launching two new fund offers (NFOs) under the SIF category, a relatively new investment framework approved by the Securities and Exchange Board of India (SEBI). Investors looking to participate should note that the minimum investment amount is set at ₹10 lakh, making it suitable primarily for high-net-worth and experienced investors.

What Are the New Funds Being Launched?

Under the SIF framework, ICICI Pru AMC will roll out the following two schemes:

• iSIF Hybrid Long-Short Fund




• iSIF Equity Ex-Top 100 Long-Short Fund

Both NFOs will open for subscription on January 16, 2026, and will close on January 30, 2026. With this launch, ICICI Pru AMC joins the growing list of fund houses exploring advanced investment strategies through the SIF route.

Understanding SIF: A New Investment Category

The Specialised Investment Fund (SIF) is a newly approved investment category by SEBI, positioned between traditional mutual fund schemes and Portfolio Management Services (PMS). The idea behind SIF is to provide fund houses with greater flexibility to deploy advanced and sophisticated investment strategies, while still operating within a regulated structure.

Unlike conventional mutual funds, SIFs are allowed to use:

• Long-short strategies




• Derivative-based approaches




• Active hedging techniques




• Dynamic asset allocation models

At the same time, SIFs are more accessible than PMS, which typically require much higher minimum investments and are managed in a more customized manner. This makes SIFs an attractive middle ground for investors seeking potentially superior risk-adjusted returns.

Minimum Investment Requirement: ₹10 Lakh

One of the most important aspects of SIFs is the high entry threshold. SEBI has mandated a minimum investment of ₹10 lakh, which applies to both lump-sum and SIP-based investments.

Commenting on the launch, ICICI Pru AMC’s Chief Investment Officer S. Naren said that SIFs could be a suitable option for investors who:

• Have a long-term investment horizon




• Are comfortable with market volatility




• Are seeking returns in markets that are no longer considered cheap

This requirement ensures that SIFs cater to investors who understand complex market dynamics and are willing to stay invested through cycles.

Key Features of iSIF Hybrid Long-Short Fund

The iSIF Hybrid Long-Short Fund will invest across equity, debt, and derivatives, aiming to deliver stable, risk-adjusted returns.

• Equity fund managers: Rajat Chandak and Ayush Shah




• Debt fund managers: Manish Banthia and Akhil Kakkar

The fund’s strategy focuses on:

• Dynamic asset allocation




• Hedging through derivatives




• Selective short-term opportunities in equity and debt instruments

This diversified approach is designed to reduce downside risk while capturing opportunities across asset classes.

Key Features of iSIF Equity Ex-Top 100 Long-Short Fund

The iSIF Equity Ex-Top 100 Long-Short Fund will be managed by CIO S. Naren, along with Manan Tijoriwala and Divya Jain.

The fund will primarily invest in companies outside the top 100 by market capitalization, meaning a strong focus on midcap and smallcap stocks. Key highlights include:

• Use of both long and short positions to manage volatility




• Permission to take up to 25% unhedged short exposure via equity derivatives




• A strategy aimed at capturing alpha while controlling downside risk

This fund is designed for investors who believe in the long-term potential of mid and small-cap companies but want downside protection through advanced strategies.

Investment Options, Exit Load, and Liquidity

Both SIF strategies will be available in:

• Direct and Regular plans




• Growth option

Investors can choose to invest via lump sum or SIP, subject to the minimum ₹10 lakh requirement. An exit load of 1% will apply if redemption is made within one year from the date of allotment. After one year, no exit load will be charged.

Who Should Consider Investing in SIFs?

SIFs are not meant for retail investors with small portfolios. They are best suited for:

• High-net-worth individuals




• Seasoned investors




• Those comfortable with derivatives and long-short strategies




• Investors seeking diversification beyond traditional mutual funds

With ICICI Pru AMC’s entry, the SIF segment is expected to gain more visibility and credibility, potentially attracting investors looking for innovative and flexible investment solutions.

As market conditions remain volatile and valuations stretched in several segments, SIFs could emerge as a compelling option for investors willing to take a calculated approach to risk and return.