Sundaram Mutual Fund has introduced the Select Equity Ex-Top 100 Long Short Fund through its Select platform, offering investors a strategy focused on companies outside the top 100 by market capitalisation.
The scheme targets stocks ranked between 101 and 750 by market capitalisation, covering a range of mid-cap and small-cap companies. It also allows limited short exposure through derivatives, adding another layer to its investment approach.
What Is the Fund’s Investment Strategy?
The fund aims to invest in companies beyond the largest 100 listed businesses. Its investment universe includes companies ranked from 101st to 750th by market capitalisation.
The strategy also permits limited short positions through derivatives. Unlike a conventional long-only equity fund, this approach can involve taking positions designed to benefit when selected securities decline in value. Such strategies can be complex and may carry additional risks.
What Investors Should Know
The fund is being offered through a specialised investment fund platform. Investors should review the scheme documents to understand its investment strategy, eligibility requirements, costs and risk factors before considering participation.
A long-short strategy does not guarantee profits or protect investors from losses. The performance of the fund will depend on its investment decisions, market conditions and how effectively its strategy is implemented.
