Vikas Khemani-backed Carnelian Asset Management received the regulatory nod from SEBI to launch mutual fund operations, becoming the 60th SEBI-registered fund house of the country. The asset manager has been active as a boutique investment firm since 2019 and manages assets over Rs 18,300 crore across Portfolio Management Services (PMS), AIF and offshore investment strategies with a client base in excess of 8,600 across a network of 710 partners, as of June 2026.
While talking to Financial Express about his fund house’s strategy, Vikas Khemani, Founder & CIO at Carnelian Asset Management & Advisors said, “We aim to be a fund house with a difference. Our focus is on building a long-term, high enduring business. We will not be chasing size but instead collect quality assets looking to invest over a long-term horizon.”
Bringing High Alpha Generation
Khemani also pointed to Carnelian’s performance in the alternates business as a key differentiating factor over the current players. “We have grown from managing about Rs 150 crore to now close to Rs 19,000 crore in the last seven years while delivering significant alpha of 9-15% to our investors in our alternates business. This alpha is available only to HNIs and family offices currently. Our aim will be to bring this alpha generation capability to a wider investor base through mutual fund operations.”
The fund house plans to launch active and passive schemes across asset classes over the long-term, with initial focus on long-only equity schemes.
Long-Term Focus
Khemani also added that he does not see the extended volatility in the market and West Asia conflict as a major hurdle for growth. “Bad times present good opportunities to start a long-term business due to ample opportunities in the market. When you are building a business to last decades, short-term disturbances do not matter.”
The fund house will focus on increasing mutual fund penetration to smaller locations and leverage its partnership with existing distribution partners. Khemani clarified that the AMC is not looking to apply for an SIF license in the near-term and will do so after establishing its mutual fund business.