This analysis covers the inaugural portfolio of ITI Diviniti Equity Long-Short Fund launched in December 2025. As a newly launched SIF (Specialized Investment Fund), we examine the fund's initial positioning, sector allocation, and the unique Long-Short strategy employed.
📊 Fund Overview
📈 Sector Allocation (Long vs Short)
The fund employs a unique Long-Short strategy where it takes long positions in stocks while simultaneously hedging through short derivatives exposure. This approach aims to generate alpha while managing downside risk.
| Sector | Long (%) | Short (%) | Net Exposure |
|---|---|---|---|
| 🏦 Financial Services | 33.99% | -23.66% | 10.33% |
| 💻 Information Technology | 7.80% | -6.01% | 1.79% |
| ⛽ Oil Gas & Consumable Fuels | 7.79% | -4.53% | 3.26% |
| 🚗 Automobile & Auto Components | 5.85% | -4.46% | 1.39% |
| 📱 Telecommunication | 5.69% | -4.08% | 1.61% |
| 🏗️ Construction | 4.50% | -3.83% | 0.67% |
| 💊 Healthcare | 3.77% | -2.20% | 1.57% |
| 🍔 Consumer Services | 2.29% | -1.67% | 0.62% |
| 📺 Consumer Durables | 1.87% | - | 1.87% |
| ⚙️ Metals & Mining | 1.68% | - | 1.68% |
| 🏭 Capital Goods | 0.95% | - | 0.95% |
| 🚢 Services | 0.86% | - | 0.86% |
| 🛒 FMCG | 0.71% | - | 0.71% |
| Total | 77.73% | -50.44% | 27.29% |
🏆 Top 10 Equity Holdings (December 2025)
Top 5 Holdings: 34.19% | Top 10 Holdings: 52.42% | Total Stocks: 30
📋 Other Holdings
| Stock | Long (%) | Short (%) |
|---|---|---|
| Maruti Suzuki India Limited | 2.89% | -1.54% |
| Sun Pharmaceutical Industries Limited | 2.84% | -2.20% |
| Tata Consultancy Services Limited | 2.80% | -2.63% |
| SBI Life Insurance Company Limited | 2.42% | -1.46% |
| Bajaj Finance Limited | 2.32% | -1.68% |
| Eternal Limited | 2.29% | -1.67% |
| Titan Company Limited | 1.00% | - |
| Hindalco Industries Limited | 0.99% | - |
| Bharat Electronics Limited | 0.95% | - |
| Tech Mahindra Limited | 0.94% | - |
| Max Healthcare Institute Limited | 0.93% | - |
| Asian Paints Limited | 0.86% | - |
| Adani Ports and Special Economic Zone Ltd | 0.86% | - |
| Shriram Finance Limited | 0.82% | - |
| Nestle India Limited | 0.71% | - |
| JSW Steel Limited | 0.69% | - |
📊 Portfolio Statistics
💡 NAV Details (December 31, 2025)
🧠 Key Strategy Insights
1. Pure Long-Short Equity Strategy
Unlike hybrid funds with fixed income, ITI Diviniti focuses entirely on equity with derivative hedging. The 77.73% long position hedged by 50.44% short derivatives results in a net equity exposure of just 27.29%.
2. Heavy Financial Sector Weight
Financial Services dominate with 33.99% allocation, with top holdings in HDFC Bank, ICICI Bank, SBI, Axis Bank, and Kotak Mahindra Bank. This sector also has the highest short exposure at -23.66%.
3. Balanced Hedging Approach
Most sectors have corresponding short positions, indicating a market-neutral approach that aims to generate alpha from stock selection rather than market direction.
4. Large-Cap Focus
Portfolio consists of blue-chip, highly liquid stocks like HDFC Bank, Reliance, ICICI Bank, and Bharti Airtel, ensuring ease of execution for the Long-Short strategy.
⚠️ Disclaimer: This analysis is based on publicly available portfolio data from ITI Mutual Fund Factsheet December 2025. Past performance and portfolio composition do not guarantee future results. This is not investment advice. Please consult a qualified financial advisor before making investment decisions. SIF investments are subject to market risks.
Source: ITI Mutual Fund Factsheet - January 2026 (Data as on 31st December 2025)
