SBI Mutual Fund has launched its Magnum Equity Ex-Top 100 Long Short Fund under the Specialised Investment Fund framework, marking the country's largest fund house's second investment strategy under this category. According to latest reports, the New Fund Offer (NFO) will remain open from August 7 to August 20, 2026, representing a significant extension from the original August 2023 launch timeline. The open-ended investment strategy aims to generate long-term capital appreciation by investing in stocks outside the top 100 by market capitalisation while utilising limited short exposure through derivatives to enhance returns and manage risk.
The fund will primarily invest in equity and equity-related instruments, REITs, debt and money market instruments, InvITs and gold and silver ETFs. As reported by SBI Mutual Fund, the investment strategy will allocate 65% to 100% of its assets to companies outside the top 100 by market capitalisation, including REITs, with potential exposure to up to 35% in top-100 companies, debt, mutual funds and overseas securities. Exposure to InvITs can go up to 20%, while overseas investments may account for up to 35% of the portfolio. The scheme is open-ended, carries no lock-in period, and offers Growth and IDCW plans. The fund house noted that there is no assurance that the investment objective will be achieved, and exposure to gold through mutual fund schemes will be capped at 5% of the strategy's net asset value. The benchmark for the investment strategy is BSE 500 Total Return Index (TRI).
For new investors in Magnum SIF, the minimum purchase amount is ₹ 10 lakhs and in multiples of ₹ 1. For existing investors, the minimum investment is ₹1,00,000 per application and in multiples of ₹1 thereafter, subject to an aggregate ₹10 lakh investment in Magnum SIF strategies. According to SBI Mutual Fund, the fund will be managed by Gaurav Mehta, CFA, Head of SIF Equity, who also manages the company's other SIF offering, the Magnum Hybrid Long Short Fund. The Specialised Investment Fund framework is meant for investors with higher investment capacity, and existing investors can invest ₹1 lakh per application provided their aggregate investment across Magnum SIF strategies remains at least ₹10 lakh at the PAN level.
Long-term capital gains on investments held for more than 12 months will be taxed at 12.5%, with gains up to ₹1.25 lakh in a financial year remaining exempt, subject to surcharge and cess. The fund carries an exit load of 1% if redeemed or switched out within 3 months, with nil thereafter. As per SBI Mutual Fund, investments in Specialized Investment Funds involve relatively higher risks, including market volatility, liquidity risk and the potential loss of capital, and advised investors to read the investment documents carefully before investing.
Debasish Mishra, MD & CEO, SBI Funds Management, stated that with its emphasis beyond the top 100 companies and its systematic long-short construct, this fund broadens the product suite in a way that supports the diverse and increasingly sophisticated expectations of investors. As reported by SBI Mutual Fund, Mishra emphasized that their effort remains centred on delivering thoughtful, well-structured strategies that create long-term value while aligning with the changing dynamics of the investment landscape. The launch expands SBI's Specialized Investment Fund platform and reflects their focus on research-driven investment solutions. Mishra noted that the launch marks a meaningful expansion of their Specialised Investment Fund platform, reflecting their focus on disciplined, research-driven solutions that keep pace with India's evolving market opportunities.
