Key Takeaways
- • InCred Alternatives has launched InCred Liquid Alternative Fund-I, a Category III Alternative Investment Fund with a target corpus of ₹1,000 crore and regulatory approval dated March 27, 2023.
- • The fund employs a multi-strategy quantitative approach combining futures long-short, relative value, and index strategies across multiple time horizons to generate superior risk-adjusted returns compared to debt-plus funds and benchmark indices.
- • The fund is designed to deploy capital across futures, options, and special situations to deliver positive absolute returns with low volatility across market cycles, positioning it for institutional and family office allocations seeking portfolio diversification.
- • Leadership is anchored by Rishi Kohli, Managing Partner & CIO of Hedge Fund Strategies at InCred Alternative Investments, who brings specialized expertise in Indian derivatives markets, with strategic direction from Bhupinder Singh, Founder & Group CEO of InCred.
- • This inaugural long-short equity fund signals InCred's commitment to product innovation in alternatives and represents the first of multiple planned quant-driven strategies to be launched from the InCred platform.
Summary
InCred Alternatives Investments has entered the systematic alternatives space with the launch of InCred Liquid Alternative Fund-I, a Category III Alternative Investment Fund targeting ₹1,000 crore in assets under management. The fund received regulatory registration (IN/AIF3/22-23/1253) on March 27, 2023, with Catalyst Trusteeship Limited serving as trustee.
The fund represents a structured approach to alternative investing centered on quantitative, model-driven strategies. Rather than relying on discretionary stock-picking, the fund deploys a diversified toolkit spanning futures-based long-short positioning, relative value strategies, and index-based approaches across varying time horizons. This multi-leg approach is designed to capture alpha while maintaining disciplined risk management, with the stated objective of delivering positive absolute returns in all market regimes—a critical consideration for institutional allocators managing downside risk during equity corrections.
According to Rishi Kohli, Managing Partner & CIO of Hedge Fund Strategies, the fund's unique positioning lies in its blend of quantitative methodologies, which he characterized as distinctly differentiated in the Indian market context. The strategy intends to generate risk-adjusted returns that exceed traditional debt-plus funds and broad market indices over medium- to long-term horizons, addressing a persistent gap for yield-oriented institutional investors seeking alternatives to fixed-income allocations.
Bhupinder Singh, Founder & Group CEO of InCred, framed this launch as part of the broader group's product innovation mandate, explicitly signaling that this equity long-short fund will be followed by additional quant-driven strategies. This roadmap positions InCred Alternatives as a platform provider targeting institutional, family office, and high-net-worth segments seeking systematic exposure to Indian derivatives markets and market-neutral strategies.
The fund's structure around futures, options, and special situations provides investors with exposure to tail-risk hedging dynamics and opportunistic positioning during market dislocations, while the quantitative governance model reduces concentrated single-manager risk and emotional decision-making typical of discretionary hedge fund vehicles.
The fund represents a structured approach to alternative investing centered on quantitative, model-driven strategies. Rather than relying on discretionary stock-picking, the fund deploys a diversified toolkit spanning futures-based long-short positioning, relative value strategies, and index-based approaches across varying time horizons. This multi-leg approach is designed to capture alpha while maintaining disciplined risk management, with the stated objective of delivering positive absolute returns in all market regimes—a critical consideration for institutional allocators managing downside risk during equity corrections.
According to Rishi Kohli, Managing Partner & CIO of Hedge Fund Strategies, the fund's unique positioning lies in its blend of quantitative methodologies, which he characterized as distinctly differentiated in the Indian market context. The strategy intends to generate risk-adjusted returns that exceed traditional debt-plus funds and broad market indices over medium- to long-term horizons, addressing a persistent gap for yield-oriented institutional investors seeking alternatives to fixed-income allocations.
Bhupinder Singh, Founder & Group CEO of InCred, framed this launch as part of the broader group's product innovation mandate, explicitly signaling that this equity long-short fund will be followed by additional quant-driven strategies. This roadmap positions InCred Alternatives as a platform provider targeting institutional, family office, and high-net-worth segments seeking systematic exposure to Indian derivatives markets and market-neutral strategies.
The fund's structure around futures, options, and special situations provides investors with exposure to tail-risk hedging dynamics and opportunistic positioning during market dislocations, while the quantitative governance model reduces concentrated single-manager risk and emotional decision-making typical of discretionary hedge fund vehicles.
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