Edelweiss Mutual Fund has introduced a new investment option under its SIF (Specialized Investment Fund) platform, Altiva. This is the second strategy launched under Altiva and focuses on equity investments.
The new fund, called Altiva Equity Ex-Top 100 Long-Short Fund, will invest in companies that are not part of the top 100 by market capitalisation. The New Fund Offer (NFO) will open on May 18, 2026, and close on June 1, 2026.
Earlier, the company had launched a Hybrid Long-Short Fund as its first offering under this platform. With this new launch, the focus is now expanding more into equity-based strategies.
Key Details of the New Fund
Fund Type: Equity-focused Specialized Investment Fund
Minimum Investment: ₹10 lakh (lump sum)
Minimum SIP: ₹1,000
Plans Available: Regular and Direct (Growth and IDCW options)
Expense Ratio:
Direct Plan: 0.15%
Regular Plan: 0.55%
Exit Load: 0.50% if withdrawn within 90 days
Benchmark: Nifty 500 TRI
Risk Level: Very high
Fund Managers: Nikhil Gada, Trideep Bhattacharya, Amit Vora
Where Will the Fund Invest?
This fund will mainly invest in mid-cap and small-cap (SMID) stocks. These segments have grown rapidly in recent years and offer strong future potential.
The strategy will focus on a limited portfolio of 35–45 stocks, which means a more concentrated and high-conviction approach. It may also use derivatives to manage risk and improve returns.
Why SMID Stocks Are in Focus
Strong Growth in Recent Years
Mid and small-cap stocks have grown much faster than large-cap companies. Some small-cap segments have seen growth of up to 6.5 times, compared to around 2.3 times in large-caps.
Exposure to High-Growth Sectors
SMIDs include fast-growing industries like:
Data centers
Fintech
E-commerce
Renewable energy
These sectors are expected to grow strongly in the coming years.
Better Investment Opportunities
Chance to Earn Higher Returns
SMIDs are less tracked by analysts, which creates opportunities for investors to find undervalued stocks and generate better returns.
Strong Financial Performance
Many mid and small-cap companies have shown strong profit growth. Their balance sheets have improved, and revenue growth has been faster than large companies.
Market Trends Supporting SMIDs
Rising Institutional Interest
Both foreign (FII) and domestic (DII) investors are increasing their investments in mid and small-cap stocks. This has improved liquidity and market stability.
Attractive Valuations After Correction
Many SMID stocks are currently trading 20% below their recent highs. This correction has made valuations more reasonable, offering a better entry point for investors.
High Return Potential with Focused Strategy
SMIDs have historically produced many multibagger stocks, delivering returns of over 100%.
This fund follows a focused strategy with:
35–45 carefully selected stocks
90–100% allocation to SMIDs
Use of derivatives for risk control
