Sundaram MF launches Select Equity Ex-Top 100 Long Short Fund
In short
Sundaram Mutual has launched its Select Equity Ex-Top 100 Long Short Fund. The NFO closes on November 4. The fund will focus on stocks ranked 101st to 750th by market value and will use limited short positions through derivatives.
This matters for mutual fund investors looking for a new strategy in mid- and small-cap stocks. It is still unclear how much money the fund will raise and how the strategy will perform.
What the reporting says
Sundaram Mutual launched its Select Equity Ex-Top 100 Long Short Fund, with the NFO closing on November 4. The reporting says the strategy will mainly invest in equities targeting mid- and small-cap stocks ranked 101st to 750th by market capitalisation, with limited short exposure through derivatives. The immediate unknown is investor response and how the fund will perform after launch.
Why it matters
Sundaram Mutual launched the Select Equity Ex-Top 100 Long Short Fund, an NFO that closes on November 4. The reporting says the fund will mainly buy equities in the 101st-to-750th market-cap range and use limited short exposure through derivatives outside the top 100. The key unknown is investor uptake and post-launch performance.