Capitalmind Gets Final SEBI Nod to Launch Mutual Fund, Bringing Proven Data-Driven Strategies to Retail Investors
Capitalmind Financial Services Private Limited (Capitalmind Financial Services) today announced it has received final approval from the Securities and Exchange Board of India (SEBI) to commence its mutual fund operations under the name Capitalmind Mutual Fund. This landmark approval empowers the investment manager, known for its quantitative strategies and transparency in Portfolio Management Services (PMS) and Alternative Investment Funds (AIF), to offer its distinct investment philosophy to a broader retail audience across India.
Capitalmind, which manages over Rs.2,000 Crores in assets for more than 1,400 PMS and AIF clients, has built a strong reputation on disciplined, data-centric investing. The firm pioneered factor-based investing for Indian High Net-worth Individual (HNI) investors with its PMS strategies like Adaptive Momentum, which delivered a post-fees Time Weighted Rate of Return (TWRR) of 27.06% over five years ending March 31, 2025. Its commitment to transparency is uniquely demonstrated by publishing daily equity curves for its strategies, calculated per SEBI norms – a practice uncommon among PMS providers.
"Receiving SEBI's final nod is a watershed moment, validating our commitment to bringing an investor-first, transparent, and data-driven approach to the wider investing public," said Deepak Shenoy, Founder and CEO of Capitalmind Financial Services. "For years, we've focused on simplifying investing through disciplined strategies. Launching Capitalmind Mutual Fund is the natural evolution of our mission, enabling us to empower millions more Indians to achieve their financial goals with accessible,
rules-based investment products."
The newly established Capitalmind Asset Management Private Limited (Capitalmind AMC) will introduce actively managed funds designed for differentiation. It plans to leverage proven frameworks from its successful PMS strategies, including Adaptive Momentum and Surge India (which delivered a 28.35% post-fees TWRR over five years
ending Mar 31, 2025). The AMC’s offerings will be rooted in robust quantitative research, disciplined processes, rigorous risk management, and clear investor communication.
"We always envisioned mutual funds as the ideal vehicle to deliver sophisticated, rules-based strategies efficiently to retail investors, offering distinct operational and tax advantages," stated Vashistha Iyer, COO, Capitalmind Financial Services and Board Member, Capitalmind AMC. "Our journey, from building our research platform to developing our PMS and AIF operations entirely in-house, including proprietary technology for everything from
fund accounting to automated trading, has uniquely prepared us. Securing the final mutual fund registration just over seven months after the in-principle approval highlights our team's execution capability and readiness to serve investors."
Capitalmind enters the concentrated Indian mutual fund industry (fewer than 50 players) as a dynamic, tech-forward AMC poised to challenge the status quo. Its entry coincides with significant market growth, with industry AUM surpassing Rs.65 Lakh Crore and serving over 5.3 crore unique investors. Capitalmind is well-positioned with its established track record and significant existing reach – having served over 20,000 investors across its research platform (Capitalmind Premium), in addition to its PMS/AIF clientele.
FurFurthermore, the firm boasts a large, engaged digital community exceeding 4 lakh subscribers across YouTube, LinkedIn, newsletters, and X (formerly Twitter), and its finance podcast has garnered over 8.5 lakh downloads. This established ecosystem provides a powerful launchpad for Capitalmind Mutual Fund.
Anoop Vijaykumar, Head of Equities at Capitalmind AMC, added, “Investing can seem complex, but our philosophy is built on clarity and evidence. We combine statistical rigour with a deep understanding of market context, embedding risk awareness into every step. The mutual fund structure offers the privilege and responsibility to serve a vast investor base. We are committed to being worthy stewards of their trust by continuously refining our quantitative methods and prioritizing long-term investor outcomes.”
Capitalmind plans to launch its initial suite of active equity mutual fund schemes in the coming months, with intentions to gradually expand its offerings to include debt, hybrid, and multi-asset funds.
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