A portfolio that maintains a prudent mix of long-only (70 % of the fund) and long-short (30 % of the fund).
Avendus Enhanced Return Fund is a long only scheme targeting high alpha and low beta. The fund endeavours to outperform the Nifty 50 index and minimize downside.
The fund’s goal of outperforming the Nifty 50 index while minimising downsizing is done by maintaining a prudent mix of long only and long short portfolios. It will invest 70% of the profits in a long-only portfolio to achieve strong alpha and 30% in a long-short portfolio to ensure low beta.
Mr. Vaibhav Sanghavi, Mr. Piyush Shah along with Mr. Tarun Kewalramani administer the funds with the goal of delivering 150 percent of the Nifty 50 index return over the next three years while limiting downside to 30 percent of the index decline over the next six months.
The Avendus Enhanced Return Fund I seeks to outperform the Nifty 50 index. This is a category III AIF strategy that employs a combination of long-only and long-short strategies to limit downsizing.