Edelweiss (AIF Cat3)

Funds managed

Fund name	Asset Class	License
Edelweiss Alternative Equity Scheme	Multi-strategy hedge fund	SEBI AIF Cat 3

PMS and International Investments services are also offered. 

About Edelweiss Multi-Strategy Fund

• It is India’s first registered domestic hedge fund under the SEBI Category III Alternative Investment Fund Regulations (2012). The fund, Edelweiss Multi-Strategy Investment Trust (formerly known as ‘Forefront Alternative Investment Trust’), is managed by Edelweiss Multi-Strategy Fund Advisors LLP.
• The fund was launched on August 19, 2014, and is its flagship fund in the equity space.
•  Edelweiss Multi-Strategy Funds has been managing alternative investments for investors since 2009 and offering investment strategies on hedge fund and portfolio management services platform.
• Nalin Moniz (Fund Manager)- Chief Investment Officer, Alternative Equity and Business Head (2016-present),
  Co-Founder, Forefront Capital Management (2009-present)
  Portfolio Manager, Goldman Sachs Asset Management (New York, USA) (2005-09)
  Wharton School- B.S. in Economics and Computer Science Engineering from the Moore School (2001-05).
  Radhika Gupta- CEO of Edelweiss Asset Management Ltd., Business Head Edelweiss Multi-Strategy Funds (2014-17), Co-founder Forefront Capital Management (2009-14). 
• Nalin Moniz has also been a Eureka Hedge Indian Hedge Fund of the Year nominee in 2014, 2016, and 2017 and voted as one of the top 40 under 40 professionals in Indian alternative investments.
  

Investment Philosophy

Edelweiss Alternative Equity Scheme is a unique alternate investment that combines equity upside with limited downside. It combines core fundamental equity investing with a range of absolute return satellite ideas to provide investors access to the entire suite of equity opportunities. They use data-driven investing backed by economic fundamentals. They focus on absolute return-oriented strategies that have lower correlations to existing investment strategies. Their absolute return strategies focus on defining risk upfront and take significantly less risk than traditional long-only investments. They are long-short fund. 

CORE: LONG TERM EQUITY strategy that Holds long positions in stocks that have strong earnings growth, cash flows, and corporate governance

• Avg Exposure: 70-80%

• Avg No. of Holdings: 20-22

• Holding Period: 3+ years

SATELLITE: EVENT BASED strategies are lower risk, absolute return-oriented such as open offers, buybacks, IPOs, Delistings, Mergers, and Demergers.

• Avg Exposure: 20-30%

• Avg no of Holdings: 4-12

• Holding Period: 4-9 Months

SATELLITE: SHORTS & HEDGING limits downside through hedging or shorting companies with weak fundamentals and are overvalued

• Avg Exposure: 20-30%

• Avg No Holdings: 4-12

• Holding Period: 3-9 Months

Source-https://www.pms-aif.com/investments/edelweiss-alternative-equity/

Analyst questions

1. Being India’s first registered Hedge fund, how do you think has the Indian Hedge Fund industry evolved and how do you expect to see it in the future?
2. What was the competitive advantage of being the first player in Hedge funds?
3. Was there insecurity among investors at first, because Hedge Funds were new to India.