Vikas Khemani’s Carnelian Asset Management receives SEBI approval for mutual fund business

Market veteran Vikas Khemani’s Carnelian Asset Management & Advisors announced that it has received approval from the Securities and Exchange Board of India (SEBI) to launch its mutual fund business, marking a significant milestone in the firm's growth journey and allowing it to expand its offerings to a wider base of retail investors.

The approval will enable Carnelian to offer investment products to a broader set of investors and strengthen its position as an integrated wealth and asset management company. The firm will be able to provide investment solutions across active and passive strategies, covering equity, debt and hybrid products.

Carnelian is entering the mutual fund business as India's domestic asset management industry continues to grow, particularly in the retail segment. The industry has more than 20 crore folios and around 10 crore active SIP accounts, while industry-wide assets under management (AUM) stood at more than Rs 82 lakh crore as of June 30, 2026.


Commenting on the development, Vikas Khemani said the firm had spent the past seven years building an investment platform focused on research, discipline and governance. He said the SEBI approval would allow Carnelian to extend its investment capabilities to a larger investor base and participate more meaningfully in India's savings and investment ecosystem.

Khemani also said the next phase of growth for the mutual fund industry would be driven by deeper penetration beyond major metropolitan centres. He said rising financial awareness and participation across smaller towns and rural India could help broaden access to investment solutions and bring more investors into the formal financial ecosystem.

As of June 30, 2026, Carnelian manages more than Rs 18,300 crore in assets across Portfolio Management Services (PMS), Alternative Investment Funds (AIFs) and offshore investment strategies. The firm serves more than 8,600 clients through a network of over 710 partners across India.

With the approval to launch its mutual fund business, Carnelian will now be able to expand its investment offerings to a wider investor base while building on its existing presence across PMS, AIFs and offshore investment strategies.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)