HDFC Mutual Fund has opened the NFO of the H-SIF Hybrid Long-Short Fund. It sits on H-SIF, the specialised investment fund (SIF) platform of HDFC Asset Management Company Limited. The NFO closes on 27-11-2026.
The fund mixes debt and equity, and may take limited short positions through derivatives. It aims for income and capital growth over the medium to long term. Nothing is guaranteed.
The pull is a flexible hybrid fund built to handle market ups and downs. The catch is a ₹10 lakh entry ticket and exits only twice a week.
Also read: Everything you need to know about a new fund offer (NFO)
H-SIF Hybrid Long-Short Fund NFO details
Particulars | Details |
Fund name | |
Fund type | Interval strategy investing in equity and debt, with limited short exposure through derivatives |
Category | Hybrid Long-Short Fund |
Nature of scheme | Active |
Benchmark | NIFTY 50 Hybrid Composite Debt 50:50 Index |
Fund managers | Anil Bamboli (debt); Ihab Dalwai and Paul S Parampreet (equity); Gopal Agrawal (overseas) |
NFO opens | 13-11-2026 |
NFO closes | 27-11-2026 |
Allotment & reopening date | On or around 04-12-2026 (5 working days after NFO closes) |
Minimum investment | ₹10 lakh across all H-SIF strategies at PAN level; ₹10,000 for accredited investors |
Additional investment | ₹5,000 and multiples of ₹1 |
SIP amount | ₹5,000 daily or ₹10,000 weekly, fortnightly or monthly, 6 instalments; ₹10 lakh threshold must be met |
NAV | ₹10 per unit |
Stamp duty | 0.005% |
Entry load | NIL |
Exit load | 0.50% within 90 days of allotment; nil after |
HDFC Mutual Fund AMC details
Particulars | Details |
AMC name | HDFC Asset Management Company Limited |
Assets under management | ₹9.22 lakh crore |
Website | |
Registered office | HDFC House, 2nd Floor, H.T. Parekh Marg, 165-166, Backbay Reclamation, Churchgate, Mumbai 400 020 |
Contact number | 1800 3010 6767 (toll free) |
Source: AMFI India: New fund offer: H-SIF Hybrid Long-Short Fund
What has HDFC Mutual Fund launched?
This is an active hybrid strategy. The managers choose the mix of debt, equity and derivatives themselves instead of copying an index.
It keeps 25% to 75% in equity and 25% to 75% in debt and money market instruments. Up to 20% can go into InvITs, which are trusts that own income-producing assets.
Part of the equity side is hedged through arbitrage: buying shares and selling their futures to lock in a small price gap. The rest supports tactical calls, and up to 25% of net assets can sit in an unhedged short, a bet that a price will fall.
You can buy on any business day, but redemptions run only on Mondays and Wednesdays.
Also read: What is SIF?
How does the strategy work?
Three engines work together: bond income, arbitrage gaps and selective equity calls.
Step | What happens? |
1 | NFO money arrives. Building the portfolio starts at allotment, with 30 business days to invest fully. |
2 | The debt side buys bonds and money market papers, chosen for credit quality, liquidity and interest rate outlook. |
3 | Equity arbitrage buys shares and sells matching futures, so that slice is fully hedged. |
4 | Covered calls sell call options on shares already held, to earn premium. |
5 | Tactical calls follow, including limited unhedged shorts and event ideas such as IPOs, mergers and buybacks. |
6 | Straddles or strangles may be used for premium when markets look range-bound. |
7 | Total exposure stays within 100% of net assets, and any drift is corrected within set deadlines. |
Let’s understand through an example
Neha, a 46-year-old business owner in Ahmedabad, applies with ₹15 lakh. Stamp duty of 0.005% (₹75) is deducted, so she gets about 1,49,992.5 units at ₹10.
Say the managers put roughly half in bonds and the rest in shares, with most shares hedged by futures. They sell call options on some holdings for premium.
If they expect one sector to fall, they may short its futures within the 25% limit. If it falls, the short gains. If it rises, it loses. Neha sees one NAV and can redeem only on a Monday or Wednesday. This shows the process, not a return forecast.
Portfolio allocation of this NFO
Instrument | Minimum | Maximum |
Equity and equity related instruments, including equity funds and ETFs | 25% | 75% |
Debt and money market instruments, including debt funds and ETFs | 25% | 75% |
Units of InvITs | 0% | 20% |
This asset allocation is a range. Unhedged shorts can reach 25% of net assets, and hedging derivatives up to 100%. Total gross exposure cannot pass 100% of net assets. Overseas securities can be up to 35%.
Investment strategy, costs and liquidity
Debt picks rest on credit quality and interest rates. Equity picks come from tactical calls and special situations.
For risk control, the AMC offsets only matching positions on the same share and expiry, and fixes any breach within set timelines.
On costs, the base expense can be up to 1.85% a year on the first ₹500 crore, falling in slabs as assets grow. The Direct plan costs less. The AMC bears NFO expenses. Portfolio turnover is expected to be high, which adds brokerage.
On liquidity, redemption money normally arrives within 3 working days. The AMC can set a notice period of up to 15 days if needed.
Potential benefits of this NFO
Potential benefit | Why does it matter? |
Mix in one fund | Debt, equity and derivatives sit together, so you need not manage the split. |
Income focus | Bonds and arbitrage aim to build a steady base beside equity calls. |
Protection tools | Futures and options can hedge falls in the equity portion. |
Short exposure | Up to 25% unhedged shorts can gain when prices fall, if the call is right. |
Key risks of this NFO
SIFs carry relatively higher risk, including loss of capital, liquidity risk and market volatility.
Risk | What does it mean? |
Market risk | Share and bond prices move daily. You may get back less than you put in. |
Derivative risk | Futures and options can magnify losses and need skilled handling. |
Short exposure risk | A short can lose far more than first put in, because prices can keep rising. |
Liquidity risk | Exits are twice a week, and heavy redemptions can force sales. |
Interest rate risk | Bond prices fall when rates rise. Read more on interest rate risk. |
Credit risk | A bond issuer may fail to repay on time. |
Capped upside | Sold call options limit gains if shares rally. |
Manager and cost risk | Results rest on manager calls, and high turnover adds costs. |
Who may consider this fund?
Investor type | Why it may fit |
Investors with ₹10 lakh or more to spare | They meet the entry threshold across H-SIF. |
Debt fund holders wanting some equity (our reading) | The fund holds 25% to 75% in equity, run by managers. |
Experienced investors with a medium to long-term goal | The ISID aims at income and growth over that span. |
Accredited investors | The ISID lets them start from ₹10,000. |
NRIs with a rupee corpus | They can invest, subject to FEMA and KYC rules. |
Who may not find it suitable?
Investor type | Why it may not fit |
First-time investors | Shorts and derivatives are hard to follow without experience. |
Money needed within weeks | Exits run twice a week, with a 0.50% load within 90 days. |
Capital-protection seekers | Losses can come from both the long and short sides. |
Track-record seekers | The strategy is new and has no history. |
Investors below ₹10 lakh | The threshold applies unless you are accredited. |
How does it compare with traditional investment options?
Option | Risk | Return potential | Volatility | Liquidity | Horizon | Suitable investor |
Fixed deposit | Low | Fixed | Very low | Penalty on early exit | Fixed tenure | Certainty seekers |
Debt mutual fund | Low to moderate | Moderate | Low to moderate | Business days | 1 to 3 years | Stability seekers |
Hybrid fund | Moderate | Moderate to high | Moderate | Business days | 3 to 5 years | Balanced investors |
Equity mutual fund | High | High | High | Business days | 5 years or more | Growth seekers |
This new fund | Relatively higher (SIF) | Manager dependent | Moderate to high | Monday and Wednesday only | Medium to long term | Experienced, ₹10 lakh or more |
H-SIF Hybrid Long-Short Fund NFO review by Zenith Finserve
In our reading, this fund suits money for a medium to long-term goal, held beside a core portfolio and not in place of it. Picture a business owner topping up a retirement corpus with spare cash from a good year.
The design is a middle path. Bonds and arbitrage form the base, while shorts and options are the part that can add or cost. Both equity managers joined HDFC in 2026, and the strategy has no record of its own.
Test the ₹10 lakh threshold, the twice-weekly exit and the base expense of up to 1.85% against your needs.
This is interpretation, not advice. Zenith Finserve can help you check suitability.
How Zenith Finserve can help
At Zenith Finserve, we follow a process driven investment framework. We assess your goals, cash flows, risk profile, time horizon, existing investments, loans and tax situation before suggesting investments.
We align our investment suggestions with your financial objectives and review them periodically to keep them suitable as your circumstances change.
Explore our specialised investment fund advisory services.
How does this fund compare with similar NFOs and existing funds?
Zenith Finserve coverage of a related NFO that is still open:
Abakkus Dynamic Asset Allocation Fund NFO: a regular hybrid that shifts between equity and debt, open 16-11-2026 to 30-11-2026, with a ₹500 entry.
Fund | Mandate | Costs | Liquidity | Key risk | Track record |
This NFO | Equity 25% to 75%, debt 25% to 75%, shorts up to 25% | Base expense up to 1.85% on first ₹500 crore | Monday and Wednesday; 0.50% load within 90 days | Derivatives and shorts | Not available (new) |
Altiva Hybrid Long-Short Fund (Edelweiss) | Fixed income, arbitrage, covered calls, special situations | Base expense Regular 1.27%, Direct 0.56% (31-08-2026) | Monday and Wednesday; 0.50% load within 30 days | Derivative strategies | Since 20-10-2025. Regular, annualised, 31-08-2026: 13.21% (6 months), 11.99% (since launch) |
Infinity Hybrid Long-Short Fund (Kotak) | Equity 35% to 75%, debt 25% to 65%, shorts up to 25% | Base expense up to 1.85% on first ₹500 crore (ISID cap) | Monday and Wednesday; nil exit load | Derivatives and shorts | Reopened 09-07-2026; AMC returns not found |
Why these: Altiva shares the benchmark and has an AMC-published record since 20-10-2025. Infinity shares the benchmark and 25% short cap, with a lower equity floor and no exit load. Past performance may or may not be sustained.
Also read: 8 Differences Between Mutual Fund & SIF
Frequently asked questions
Is H-SIF Hybrid Long-Short Fund NFO good to invest in?
That depends on your goal, not on the fund alone. It may suit an experienced investor with ₹10 lakh to spare and a medium to long-term horizon, who already holds core funds.
It has no track record, uses derivatives and short positions, and allows redemptions only twice a week. Zenith Finserve does not recommend any fund, so compare it with your existing holdings first.
What are the H-SIF Hybrid Long-Short Fund NFO dates?
The NFO opens on 13-11-2026 and closes on 27-11-2026. Units are expected to be allotted within 5 working days of closing, on or around 04-12-2026, and the strategy reopens for regular buying and selling within 5 working days of allotment.
The NFO cannot stay open beyond 15 days. If it collects less than ₹10 crore, money is refunded.
What is the minimum investment in H-SIF Hybrid Long-Short Fund?
You need ₹10 lakh across all H-SIF strategies at your PAN and holding-pattern level, then multiples of ₹1. Accredited investors can start at ₹10,000 under the ISID. Later top-ups start at ₹5,000.
SIPs are open to existing investors who meet the ₹10 lakh threshold, from ₹5,000 daily or ₹10,000 weekly, fortnightly and monthly, with at least 6 instalments.
What does H-SIF Hybrid Long-Short Fund invest in?
It holds 25% to 75% in equity and equity related instruments and 25% to 75% in debt and money market instruments.
Up to 20% can go to InvITs and up to 35% overseas. Hedging derivatives can reach 100% of net assets and unhedged shorts 25%, though total gross exposure stays within 100% of net assets.
What is the exit load on H-SIF Hybrid Long-Short Fund?
The exit load is 0.50% of NAV if you redeem or switch out within 90 days of allotment, and nil after that.
Entry load is NIL. Stamp duty of 0.005% is deducted when units are allotted. For SIPs, the load in force on the day you register applies. Transfers of units between demat accounts attract stamp duty of 0.015%.
What will the expense ratio of H-SIF Hybrid Long-Short Fund be?
The actual ratio is not published yet. The ISID allows a base expense of up to 1.85% a year on the first ₹500 crore, 1.65% on the next ₹250 crore, 1.40% on the next ₹1,250 crore, and lower slabs after that.
GST, brokerage and transaction costs come on top. The Direct plan costs less because it pays no distribution commission.
How often can I redeem from H-SIF Hybrid Long-Short Fund?
Redemptions run twice a week, every Monday and Wednesday. If either day is not a business day, the AMC processes the request on the next business day.
Money normally arrives within 3 working days of a valid request. The AMC can set a notice period of up to 15 days if needed, and the repurchase price cannot fall below 97% of NAV.
Who manages H-SIF Hybrid Long-Short Fund?
Anil Bamboli manages debt and has been with HDFC AMC since 2003. Ihab Dalwai (equity) joined HDFC in September 2026 after years at ICICI Prudential AMC.
Paul S Parampreet (equity) joined in July 2026, having worked at ICICI Prudential AMC and Franklin Templeton. Gopal Agrawal handles overseas investments. As the strategy is new, none has a tenure on it yet.
H-SIF Hybrid Long-Short Fund review: how is it different from a regular hybrid fund?
A regular hybrid fund generally uses derivatives to hedge or balance the portfolio and does not take unhedged shorts.
This SIF can hold up to 25% in unhedged shorts, uses strategies such as covered calls and straddles, and asks for ₹10 lakh. It also redeems twice a week, not daily, so liquidity is lower.
How are gains from H-SIF Hybrid Long-Short Fund taxed?
The ISID lists rates for funds other than equity oriented funds: slab rates on short-term gains and 12.5% without indexation on long-term gains. Long term means more than 12 months for listed units and more than 24 months for unlisted units.
It does not say which category H-SIF falls in. Funds with more than 65% in debt are taxed at slab rates whatever the holding period.
What is a long-short fund, and what does unhedged short mean?
Long means you own an asset hoping its price rises. Short means you sell a futures or options contract hoping the price falls, and you gain if it does.
H-SIF can run both. Unhedged short exposure is capped at 25% of net assets. If prices rise instead, a short loses money, and the ISID warns that such losses can be very large.
Can NRIs invest in H-SIF Hybrid Long-Short Fund?
Yes. NRIs, OCIs and PIOs can invest on a repatriation or non-repatriation basis, and registered FPIs can also apply, subject to FEMA rules, KYC, payment-mode and tax requirements.
Check the documents and bank account rules with the AMC before applying.
