New Delhi, June 04: 360 ONE Mutual Fund today announced the launch of the DynaSIF Equity Ex-Top 100 Long-Short Fund, under its Specialised Investment Fund (SIF) segment, DynaSIF. It is an open-ended Equity SIF strategy designed with an aim to generate long-term capital appreciation through structural, cyclical, and tactical investing opportunities primarily in mid- and small-cap equities. It also offers the flexibility to take limited short exposure to equities through derivatives of stocks other than large-cap stocks. The NFO opens on 5th June, 2026 and closes on 19th June, 2026.
India’s mid- and small-cap universe offers a compelling long-term opportunity, driven by strong earnings growth potential and improving corporate governance. Capturing it well requires a disciplined framework for picking quality stocks and active risk management, including the ability to take short positions through derivatives to generate alpha across market cycles.
Investment Approach
The investment strategy aims to generate long-term capital appreciation through active management of mid- and small-cap equities, with at least 65% of the portfolio allocated to companies outside the top 100 by market capitalisation. It seeks to minimise drawdowns during weak market phases by tactically hedging its equity positions with offsetting derivatives.
The Investment Strategy follows a multi-layered, dynamically calibrated approach. Its core allocation of 65%-100% is anchored in ex-top 100 mid and small-cap equities, including REITs. Up to 35% may be allocated opportunistically to large-cap equities when valuations are favourable, while up to 25% may be deployed in debt instruments such as T-Bills, money market securities and corporate bonds for defensive positioning.
The Investment Strategy carries the ability to take unhedged short positions of up to 25% through derivatives exposure in mid & small cap, aimed at capturing returns from faltering businesses. Additionally, up to 20% may be invested in InvITs, providing exposure to alternative income from real assets.
Raghav Iyengar, CEO, 360 ONE Asset Management Ltd, said,
“India’s mid- and small-cap universe is one of the most compelling investment destinations in the world right now: deep, diverse, and underpinned by structural growth drivers. But it is also a space that rewards discipline as much as conviction. The DynaSIF Equity Ex-Top 100 Long-Short Fund is designed for investors who want meaningful participation in this opportunity, with a focus on managing risk across market cycles. At 360 ONE Asset Management Ltd, our commitment has always been to offer investors structures that are not just innovative but genuinely suited to how markets behave.”
Anup Maheshwari, Co-Founder & Chief Investment Officer, 360 ONE Asset Management Ltd, said,
“Outside the top 100 universe, active management has more room to work and may create opportunities both on the long and the short side. A company growing its earnings fast can be underpriced. A company losing its edge can be overpriced. This fund is designed to seek out both. Long positions to ride companies gaining ground. Short positions to potentially benefit when businesses start to slip. Together, they aim to give the portfolio better risk-adjusted returns.”