Carnelian Asset Management & Advisors has received approval from the Securities and Exchange Board of India (SEBI) to launch its mutual fund business, marking its entry into one of India's fastest-growing investment segments. According to The Hindu BusinessLine, the regulatory approval allows the firm to broaden its offerings beyond portfolio management services (PMS), alternative investment funds (AIFs) and offshore strategies, enabling it to cater to a wider base of retail investors through mutual fund products. Founded in 2019 by Vikas Khemani, Manoj Bahety and Swati Khemani, this approval represents a significant milestone in the firm's growth journey and allows it to expand beyond its current Portfolio Management Services (PMS), Alternative Investment Funds (AIFs) and offshore strategies.
Commenting on the development, Vikas Khemani, Founder and Chief Investment Officer, emphasized that the firm had spent the past seven years building an investment platform focused on research, discipline and governance. As reported by The Hindu BusinessLine, Khemani stated that the SEBI approval would allow Carnelian to extend its investment capabilities to a much larger investor base and contribute more meaningfully to India's evolving savings and investment ecosystem. He noted that the next phase of growth for the mutual fund industry would be driven by deeper penetration beyond major metropolitan cities, with rising financial awareness and increasing participation from smaller towns and rural India helping broaden access to quality investment solutions and bring more households into the formal financial ecosystem.
The SEBI approval will enable Carnelian to offer investment solutions across active and passive strategies spanning equity, debt and hybrid asset classes, strengthening its position as an integrated wealth and asset management platform. The company plans to offer investment solutions across active and passive strategies spanning equity, debt and hybrid asset classes, as reported by The Hindu BusinessLine. With the mutual fund licence in hand, Carnelian is set to expand its presence in India's asset management industry as competition intensifies to tap the country's growing pool of retail investors. The firm will be able to provide investment solutions across active and passive strategies, covering equity, debt and hybrid products while building on its existing presence across PMS, AIFs and offshore investment strategies.
Carnelian is entering the mutual fund business as India's domestic asset management industry continues to grow, particularly in the retail segment. According to The Hindu BusinessLine, the domestic mutual fund industry had assets under management of over ₹82 lakh crore as of June-end, with more than 20 crore folios and around 10 crore active systematic investment plan (SIP) accounts. The company's entry comes at a time when India's mutual fund industry continues to witness robust retail participation, with significant opportunity to broaden access to quality investment solutions and bring more investors into the formal financial ecosystem as financial awareness and participation continue to rise across smaller towns and rural India.
As of June-end, Carnelian manages more than ₹18,300 crore in assets across Portfolio Management Services (PMS), Alternative Investment Funds (AIFs) and offshore investment strategies. According to The Hindu BusinessLine, the firm serves more than 8,600 clients through a network of over 710 partners across the country. With the mutual fund licence in hand, Carnelian is set to expand its presence in India's asset management industry as competition intensifies to tap the country's growing pool of retail investors, while building on its existing presence across PMS, AIFs and offshore investment strategies.
