Blogs

Explore the Best-Performing Alternative Investment Funds (AIFs) That Have Outshined Over the Past 5 Years

In the world of investing, consistency is key. While short-term performance can catch attention, it’s the 5-year track
record that truly separates the outperformers from the rest. Alternative Investment Funds (AIFs), known for their
innovative strategies and ability to generate high alpha, are proving their worth not just in the short term but over
extended periods.

In this blog, we spotlight the top-performing AIFs based on 5-year returns, across categories like Long-Only,
Long-Short, and Long-Short Equity Plus, showing why these funds are the top contenders for consistent wealth creation.

Top AIF Performers Based on 5 Years

Long-Only Category

1. Abakkus Emerging Opportunities Fund (Inception: Jun 2019) – 40.1% CAGR
   A clear winner, this fund excels at identifying and leveraging high-growth opportunities.

2. Abakkus Growth Fund 1 (Inception: Jun 2018) – 27.7% CAGR
   A robust performer with a proven track record of consistent long-term growth.

3. Carnelian Capital Compounder Fund 1 (Inception: May 2019) – 24.2% CAGR
   Focuses on compounding wealth steadily with a disciplined investment approach.

 

Long-Short Category

1. Avendus Absolute Return Fund (Inception: Mar 2017) – 10.21% CAGR
   A strong performer that prioritizes stable returns while managing risk effectively.

2. ICICI Prudential Long Short Fund – Series I (Inception: Aug 2018) – 9.9% CAGR
   Known for balancing opportunities with hedging strategies to minimize volatility.

 

Long-Short Equity Plus Category

1. ITI Long Short Equity Fund (Inception: Apr 2018) – 109.23% CAGR
   A star performer delivering outstanding returns with its dynamic equity strategies.

2. Avendus Enhanced Return Fund Series II (Inception: Nov 2018) – 17.48% CAGR
   A balanced fund combining enhanced strategies to generate strong returns.

 

Benchmark Performance

To give perspective, here’s how the broader market benchmarks have performed over the same period:

• BSE 500: 18.1%

• BSE 200: 17.1%

• Nifty 50: 14.9%

 

The standout AIFs listed above have significantly outperformed these benchmarks, underscoring their value for investors
seeking long-term growth.

For investors with a long-term vision, these 5-year top-performing AIFs have set a new standard for wealth creation. By
consistently outpacing market benchmarks, they offer a powerful opportunity to step beyond traditional investments and
embrace smarter, more innovative strategies for growth.

FAQs

1. Why is 5-year performance important for AIFs?
   5-year performance showcases a fund’s ability to deliver consistent returns across varying market conditions,
   making it a reliable choice for long-term investors.

2. Who should invest in AIFs with a strong 5-year track record?
   Investors with a long-term investment horizon, higher risk appetite, and a desire to diversify their portfolio
   beyond traditional equity and mutual funds.

3. What makes Long-Short Equity Plus funds stand out?
   These funds employ both long and short strategies while adding an enhanced layer of active management, allowing
   them to capitalize on market volatility and generate amplified returns.

4. Are AIFs suitable for all investors?
   AIFs are typically designed for high-net-worth individuals (HNIs) and institutional investors due to
   their higher minimum investment thresholds and complex strategies.