Mumbai : Union Mutual Fund today announced the launch of investment strategy under Arthaya SIF (Specialized Investment Fund), marking its entry into SEBI’s newly introduced SIF framework. ‘Arthaya’ derived from the Sanskrit word Artha (Wealth) means “Purpose Led Wealth”. It reflects Union Mutual Fund’s philosophy of purposeful wealth creation – blending Indian roots with a modern outlook and aligning investors financial journey with long-term goals. The inaugural offering, Arthaya Equity Long Short Fund, is designed to provide investors with a more dynamic equity approach – one that aims to generate returns across market cycles, not just in rising markets.
The New Fund Offer (NFO) will be open from May 4 to May 18, 2026.
At a time when investor portfolios are often polarised between traditional long-only strategies and high-entry alternative products, Arthaya SIF aims to bridge this gap by offering a more flexible, risk-aware investment framework within a regulated structure.
Mr. Madhu Nair, CEO, Union AMC, said: “Investor portfolios today are caught between two extremes – traditional long-only funds that aims to ride market beta, and alternative strategies that remain out of reach for many. Arthaya SIF is our effort to address this gap. With the Equity Long Short strategy, we are introducing a framework that allows portfolios to respond to markets, not just participate in them. The ability to dynamically calibrate exposure becomes critical in an environment where returns are increasingly uneven and episodic.”
The strategy focuses on long-term capital appreciation while aiming to actively manage downside risk by combining long equity positions with selective short exposure through derivatives. This dual approach enables the portfolio to navigate varying market environments with greater flexibility.
Mr. Rajesh Aynor, SIF Investment Lead, Union AMC, added: “The core of this strategy lies in identifying dislocations where price diverges from underlying fundamentals and building long and short exposures around that insight. The long portfolio focuses on businesses with the potential earnings visibility, while the short portfolio targets structurally weaker companies or mispriced opportunities. This dual engine allows us to aim for structured, risk-adjusted outcomes across market cycles.”
Structured within SEBI’s SIF framework, Arthaya SIF aims to offer investors access to a more sophisticated equity strategy without the high entry barriers typically associated with alternative investment products.
Disclaimer: The views expressed or statements made in this document are purely the views of the speaker and do not necessarily represent the views of either Union Asset Management Company Private Limited or its associates.
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