Category 3 alternative investment funds beat Nifty returns in January

Category 3 alternative investment funds (AIFs) gave flat returns in the month of January but beat Nifty returns of -2.5 per cent. Eighteen of the 33 funds managed to give positive returns. Long-only funds gave average returns of -0.2 per cent for the month, while long-short funds returned 0.1 per cent, the data from PMS Bazaar showed. 

The top performer for the month was Emkay Emerging Stars Fund 1, with returns of 4.5 per cent, followed by Roha Emerging Companies Fund (3.2 per cent), and Avendus’ Absolute Return Fund (2.5 per cent). 

The total commitments to category III AIFs, which include hedge funds, fell from Rs 48,151.4 crore at the end of 2019, to Rs 46,824.9 crore at the end of December 2020, regulatory data showed.