Investment firm Astratinvest announces Quant Long Short Fund, aiming to collect INR 400 crore in its maiden year, while adhering to AIF regulations by setting a minimum investment threshold of INR 100 million.
The Securities and Exchange Board of India (SEBI) has approved the launch of Astratinvest's latest offering, the Astratinvest Quant Long Short Fund. This Category III Alternative Investment Fund (AIF) is targeting to raise Rs 400 crore within 12 months, with a minimum investment requirement of INR 1 crore for sophisticated investors135.
The fund's objective is to provide a systematic, data-driven approach to participating in India’s dynamic equity markets. It aims to deliver consistent alpha with strong downside protection by leveraging advanced quantitative strategies and strict risk management14.
At the heart of the fund's investment strategy is a proprietary, multi-layered quantitative framework. This framework adapts to changing market conditions and is composed of four key engines: Market Strength Quantum, Volatility Strength Quantum, S1 + S2 Selection Engine, and Risk Reward Quantum14.
The Market Strength Quantum calibrates market-level exposure, while the Volatility Strength Quantum optimizes allocation across market capitalizations. The S1 + S2 Selection Engine selects stocks based on 52 parameters, and the Risk Reward Quantum provides tactical portfolio-level optimization14.
The Astratinvest Quant Long Short Fund implements a long-short equity strategy designed to capitalize on both upward and downward market movements through diversification and risk-aware capital allocation14.
Akash Gupta, Co-founder, Chief Investment Officer, and Managing Director at Astratinvest, explains that the fund aims to capture opportunities in both rising and falling markets. The fund will operate under the SEBI private placement framework14.
In support of the fund, third-party institutions have come on board. Orbis Trusteeship Services Private Limited serves as the trustee, Orbis Financial Corporation Limited acts as custodian and registrar, Mukesh M Gangar and Company provides legal advisory, Vaish Associates Advocates advises on the fund's setup, and D and A Financial Services Private Limited serves as the merchant banker1.
Astratinvest's focus is on leveraging quantitative modeling, technology, and rigorous research to deliver a disciplined and adaptive investment product14. Shivam Agrawal, Co-founder and CEO at Astratinvest, states the fund's mission to replace emotion and speculation with data, discipline, and deep research, emphasizing transparency, adaptability, and rigorous risk controls1.
As Astratinvest grows into a multi-strategy quantitative firm, it aims to cater to both domestic and international investors with future models designed for varying risk profiles and economic conditions1.
- The Astratinvest Quant Long Short Fund, with a vision to capture opportunities in both rising and falling markets, has a strategic aim to deliver consistent alpha with strong downside protection by leveraging advanced quantitative strategies, investment in technology, and rigorous risk management.
- As part of its investment strategy, the fund implements a long-short equity strategy that adapts to changing market conditions through a proprietary, multi-layered quantitative framework, which includes engines like Market Strength Quantum, Volatility Strength Quantum, S1 + S2 Selection Engine, and Risk Reward Quantum.
- In order to support the fund's operations, various third-party institutions have made strategic investments, such as Orbis Trusteeship Services Private Limited serving as the trustee, Orbis Financial Corporation Limited acting as custodian and registrar, Mukesh M Gangar and Company providing legal advisory, Vaish Associates Advocates advising on the fund's setup, and D and A Financial Services Private Limited serving as the merchant banker.
