Aryabhata India Fund

Access India’s growth story through a professionally managed, long-only Indian equity strategy

The Aryabhata India Fund offers investors an opportunity to participate in India's equity market through a diversified portfolio spanning large-cap, mid-cap and small-cap companies.

For NRIs and global investors, the fund can be accessed through the Abakkus GIFT City structure, where a GIFT City-based Fund Management Entity (FME) invests into the underlying fund. This creates an offshore investment route for investors seeking India-focused equity exposure while using the international financial framework offered by GIFT City.

The investment strategy follows a long-term, idea-driven approach with an emphasis on portfolio diversification, position sizing and risk discipline. The portfolio is designed to capture opportunities across market capitalisations while maintaining defined limits on individual stock and sector exposure.

What Is Aryabhata India Fund?

The Aryabhata India Fund is a long-only equity strategy focused on participating in India's long-term growth opportunity.

Rather than restricting itself to one segment of the market, the fund invests across market capitalisations. The stated portfolio framework provides 40%–60% exposure to large-cap companies, 40%–60% to mid-cap companies, with the balance allocated to small-cap opportunities.

Each segment has a specific role in the portfolio. Large-cap companies can provide stability, while mid-cap exposure is intended to contribute to alpha generation. Small-cap exposure gives the portfolio an opportunity to participate in emerging businesses and companies that may be earlier in their growth cycle.

The strategy also follows a low-churn, long-term investment approach based on investment ideas rather than frequent trading. Risk management is incorporated through position sizing, with single-stock exposure limited to less than 10% and sector exposure maintained below 30%, as stated in the product presentation.

For investors researching an Aryabhata India Fund UCITS structure or an Abakkus UCITS fund, the underlying international architecture is an important part of understanding how the overall investment route works.

Aryabhata India Fund – Fund Snapshot

The above snapshot combines the fund strategy and the GIFT City feeder structure described in the product material.

Investment Strategy of Aryabhata India Fund

The strategy is built around a straightforward idea: participate in India's growth by investing in businesses across different stages and segments of the equity market.

The portfolio combines three broad market-cap segments:

Large Cap: Stability

Large-cap companies form a significant part of the portfolio and are intended to provide stability. These businesses are generally more established and can help provide an anchor within an equity portfolio.

Mid Cap: Alpha Opportunity

Mid-cap companies provide the strategy with an avenue for alpha generation. This segment can offer exposure to businesses that have established operations but may still have considerable room to grow.

Small Cap: Emerging Opportunities

The remaining allocation can be invested in small-cap companies, allowing the portfolio to participate in businesses with potentially higher growth opportunities.

The fund does not treat diversification simply as owning a large number of stocks. Position sizing and sector limits are part of the risk-management framework. Individual stock exposure is restricted to below 10%, while sector exposure is kept below 30%.

Long-Term, Idea-Driven Investing

The Aryabhata India Fund follows a low-churn investment philosophy.

The objective is not to constantly move in and out of stocks based on short-term market movements. Instead, the strategy focuses on identifying investment ideas that can play out over a longer period.

This approach can be relevant for investors who want Indian equity exposure with a longer investment horizon rather than a strategy built around frequent portfolio turnover.

At the same time, portfolio construction remains important. Position sizing provides a mechanism to manage the impact of an individual stock, while sector limits help avoid excessive concentration in one part of the economy.

Abakkus GIFT City Feeder: How Does It Work?

For NRI and global investors, the Abakkus GIFT City feeder provides the investment route into the underlying fund.

The structure is based on a discretionary FME investing into a UCITS fund. The GIFT City vehicle primarily invests in units of funds, including UCITS funds investing in Indian or global equities. It can also invest opportunistically in money-market instruments, mutual funds, ETFs, AIFs, deposits with credit institutions and other permissible securities/products, subject to applicable laws.

The structure can be viewed simply as:

Investor → Abakkus GIFT City FME → Aryabhata India Fund → Indian Equity Portfolio

The Abakkus FME, Abakkus Asset Manager Pvt. Ltd., manages the GIFT City structure. KFIN Global Technologies (IFSC) Limited acts as administrator, while ICICI Bank Ltd., GIFT City is the custodian.

This structure allows eligible overseas investors to access the strategy without directly constructing and managing an Indian equity portfolio themselves.

Aryabhata Global Assets Funds ICAV and UCITS Structure

The international fund structure is another important component of the proposition.

The product material identifies Aryabhata Global Assets Funds ICAV as part of the underlying international structure, with Apex Fund Services (Ireland) Limited as administrator and European Depositary Bank SA, Dublin Branch as depository. Abakkus Asset Manager Pvt. Ltd. is identified as the Investment Manager.

This is why investors may encounter terms such as Aryabhata India Fund UCITS, Abakkus UCITS fund or Abakkus international fund while researching the product.

The important point is to understand the structure behind the names: the GIFT City vehicle provides the offshore access route, while the underlying Aryabhata strategy provides the India-focused equity exposure.

Why Invest Through GIFT City?

GIFT City, or Gujarat International Finance Tec-City, operates India's International Financial Services Centre (IFSC).

For overseas investors, the framework is designed to facilitate international financial activity and inbound and outbound investment. The product material highlights GIFT City's international positioning, common-law framework, regulatory environment and strategic location.

The GIFT City structure can therefore be relevant to investors who want India exposure while retaining an international investment framework.

The product material also highlights:

• USD reference currency
• Currency flexibility
• No Demat requirement for the FME structure
• No lock-in period for the FME structure
• Daily subscription facility
• Redemption within five days from the date of request
• Minimum investment of USD 150,000

These features are subject to the applicable product terms and investor eligibility.

Abakkus NRI Investment: Currency Flexibility

Currency can be an important consideration for an NRI or overseas investor investing into India.

The Abakkus NRI investment structure has USD as its reference currency, while the product material states that investors have flexibility to invest in multiple currencies.

The presentation also highlights the ability to manage portfolios in USD, EUR or GBP. For global investors, this provides an alternative to a structure that requires all investment decisions to be made in INR.

Taxation of the GIFT City Structure

Tax treatment is one of the key considerations when evaluating an offshore investment.

According to the product material, income earned in GIFT City is exempt from tax under the applicable framework, while taxation occurs at the master fund level. The presentation specifically identifies capital gains, interest income and dividend income within this framework.

The structure also highlights the GIFT City fiscal framework, including no stamp duty, no Securities Transaction Tax (STT), no Commodity Transaction Tax (CTT), and no GST on services provided to non-residents where treated as exports.

However, GIFT City tax treatment does not automatically determine the tax liability in an investor's country of residence. NRIs and overseas investors should consult their independent tax advisors before investing.

Who Can Consider Aryabhata India Fund?

The fund may be relevant for investors seeking:

• Long-term exposure to Indian equities
• Diversification across large, mid and small-cap companies
• A professionally managed India-focused strategy
• A long-only investment approach
• Access through a GIFT City offshore structure
• USD-based investment flexibility
• An investment route that does not require a Demat account under the FME structure

It is particularly relevant to investors who understand equity-market volatility and have the investment horizon and risk appetite appropriate for a long-only equity strategy.

Aryabhata India Fund Investment Process

The onboarding process for NRI and global investors is designed to be digital-first.

The stated process includes video KYC, documentation, verification, funds transfer, trade placement and unit allocation. Required documents include a passport, proof of NRI status and overseas address.

The detailed timeline provided for the investor journey runs from T to T+8:

• T: Investor email received
• T+1: Abakkus GIFT City form sent
• T+2: Form signed and KYC collected
• T+3: Documents uploaded and vetted
• T+4: KYC re-check and screening
• T+5: Funds transfer and trade placement
• T+6: NAV published
• T+7: Units allotted
• T+8: Statement of Account generated

Why Choose Aryabhata India Fund?

India exposure does not have to mean choosing individual stocks or constantly tracking market movements.

The Aryabhata India Fund offers a structured way to participate in India's equity market through a diversified, long-only portfolio. Its investment framework combines exposure across market capitalisations with defined stock and sector limits and a long-term, low-churn investment philosophy.

For NRIs and international investors, the Abakkus GIFT City structure adds another layer: an IFSC-based route, USD reference currency and an investment architecture designed for global investors.

If you are evaluating an Abakkus offshore fund, Sunil Singhania GIFT City fund, Sunil Singhania offshore fund or other India-focused international investment options, understanding the underlying fund and structure is more important than the label used to describe it.

Invest in Aryabhata India Fund Through ALTPORT

Choosing an offshore investment requires looking beyond the fund name. The underlying strategy, structure, liquidity, costs, taxation, currency and investor eligibility all need to be evaluated together.

ALTPORT helps investors navigate alternative investment opportunities and understand the structure behind products available through GIFT City and other investment routes.

If you are an NRI or global investor exploring the Aryabhata India Fund, Abakkus GIFT City feeder or Abakkus international fund, connect with ALTPORT to understand the investment structure and onboarding process.

Speak to ALTPORT to explore Aryabhata India Fund.

Disclaimer

Investing involves risk. This content is for information purposes only and should not be considered a legal offering document or solicitation to invest. Offers to invest are made only through the applicable investment documentation and agreements.

Past performance does not guarantee future results, and there is no assurance that investment objectives will be achieved. Investors should independently evaluate the suitability of the investment, understand all applicable risks, fees and terms, and obtain independent legal and tax advice where appropriate.

Tax treatment may vary depending on the investor's country of residence and individual circumstances. The information relating to taxation in GIFT City is based on the product material and applicable framework and should not be treated as individual tax advice.

ALTPORT acts as an intermediary/distributor and does not guarantee returns or the performance of any investment product.