SBI Launches Magnum Hybrid Long-Short Fund, Its First SIF Product

SBI Mutual Fund has announced the launch of the Magnum Hybrid Long Short Fund, the first investment strategy under its newly introduced Magnum SIF platform. The New Fund Offer (NFO) will open on 1 October 2025 and close on 15 October 2025, marking SBI's formal entry into India's Specialised Investment Fund category roughly a week after the AMC first confirmed Magnum SIF's launch.

Fund structure at a glance

The fund's approach combines core equity exposure with a hedged derivatives overlay — using instruments such as index futures, stock futures, options and covered calls, which can range from 0% to 75% of the portfolio — alongside a smaller unhedged short derivative allocation capped at 25%. This structure is designed to let the fund navigate a range of market conditions, generating returns from both directional equity exposure and derivative-based hedging and income strategies.

D P Singh, Deputy MD & Joint CEO of SBI Funds Management, said the launch reflects the AMC's focus on innovation and investor-centric solutions, and signalled that further differentiated strategies would follow under the Magnum SIF brand. Nand Kishore added that the fund demonstrates SBI Mutual Fund's capabilities and commitment to delivering value to investors across market cycles.

Positioning within the category Magnum Hybrid Long Short Fund's launch places it in direct competition with Edelweiss's Altiva Hybrid Long-Short Fund, which had closed its own NFO just weeks earlier in the same broad hybrid long-short sub-category — making October 2025 a notably active month for hybrid SIF launches from two of India's most prominent asset managers. The fund is managed by Gaurav Mehta, CFA, Head – SIF, Equity at SBI Funds Management, and is being positioned by the AMC as suited to conservative investors seeking optimal risk-adjusted returns with comparatively lower volatility than pure equity strategies.