Quant Mutual Fund Expands NBFC & PSU Bank Holdings, Launches SMID Long-Short SIF

Quant Mutual Fund has stepped up its investment exposure to NBFCs and public sector banks while also unveiling India's first SMID-oriented long-short Specialised Investment Fund (SIF), reflecting its positive stance towards equity markets and emerging segments.

India’s First SMID Long-Short Fund Strategy Unveiled

Quant Mutual Fund has launched the QSIF Equity Ex-Top 100 Long-Short Fund, a first-of-its-kind product in India. This fund targets small and mid-cap (SMID) stocks beyond the top 100 listed companies, with the ability to take unhedged short positions up to 25%. 

This structure aims to generate α while managing risk actively across the SMID spectrum, a dynamic not typically present in standard long-only small or mid-cap portfolios.

Increased Exposure to NBFCs and PSU Banks

In alignment with its bullish stance on domestic equities, Quant Mutual Fund has increased allocations to select NBFCs and PSU banks across its equity and hybrid schemes. The overall portfolio maintains a liquidity-focused large-cap bias, but the move into these sectors reflects increased market conviction in the financial services domain.

Read More: Quant Mutual Fund Filed qsif Sector Rotation Long-Short Draft with SEBI!

Sectoral Positioning and Themes

The fund house, led by Sandeep Tandon, remains focused on 6 core sectors it expects to lead growth: Infrastructure, Financial Services, Hotels & Hospitality, Pharmaceuticals, Consumption, and Telecom. These segments align with policy-driven tailwinds and domestic consumption stories seen as structural advantages.

Conclusion

Quant Mutual Fund’s strategic ramp-up in NBFCs and PSU banks, coupled with the launch of India’s first SMID long-short fund, underlines its dynamic equity strategy. With a sector-specific focus and mechanisms to handle volatility, the fund house is aligning with India’s long-term growth narrative while offering structured innovation for retail participation.

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