Gift City
The Gateway to India’s Next Economic Frontier

GIFT City, or Gujarat International Finance Tec-City, is India’s first International Financial Services Centre (IFSC), established as a gateway for global finance. Located in Gandhinagar, Gujarat, it is an international financial hub comparable to Singapore, Dubai, and London.

The International Financial Services Centres Authority (IFSCA) is the unified regulator for all financial institutions and activities in the GIFT IFSC, operating with a framework that aligns with global standards.

It is an open-ended, Non-Retail Category III (Inbound) Alternative Investment Fund (AIF), registered with the International Financial Services Centres Authority (IFSCA) in GIFT City.

The Fund is managed by Monarch Networth Capital IFSC Pvt. Ltd., which holds the Registered Fund Management Entity (Retail) license from GIFT City, signifying the highest license category available for a retail fund management company in the International Financial Services Centre (IFSC) jurisdiction.

It operates as a Flexi-cap fund, primarily investing in quality companies with strong growth potential. The strategy follows a two-stage approach: quantitative screening followed by detailed qualitative research to identify undervalued listed companies.

The Fund primarily invests in listed equities, unlisted equities, debt instruments, and money market securities. A small portion may be used in derivatives for hedging purposes.

Yes, the Fund may use leverage, but it is strictly limited to below two times the Assets Under Management (AUM) at any point.

The minimum investment required is USD 150,000, as per IFSCA Fund Management Regulations.

Yes, up to two individuals (e.g., spouses or immediate family members) may jointly invest the minimum amount of USD 150,000.

The contribution is payable at the time of executing the Agreement or within the period specified by the FME.

Investments are denominated and valued in U.S. Dollars (USD).

An inbound fund is an investment fund, typically pools capital from non-resident investors to primarily invest in the Indian domestic market.

Non-resident individuals (NRIs), Overseas Citizens of India (OCIs), and other foreign nationals/institutional investors from FATF-compliant jurisdictions can invest. This includes Foreign Portfolio Investors (FPIs), Sovereign Wealth Funds, Global Pension Funds, Institutional Investors, and Accredited private investors/family offices.

No, Indian residents cannot invest in India-focused (inbound) funds in GIFT City, as this could be considered "round-tripping" of funds, which is not permitted by the RBI. They can, however, invest in outbound funds using their LRS limit.

Units are issued under various classes (e.g., A, B, C, D) with different management and performance fee structures. Investors can move between Unit Classes with FME approval, based on NAV, and such movement is administrative only (it does not attract tax or stamp duty).

Yes, redemptions are possible on designated Valuation Days (last day of the month). The redemption request must be submitted within the specified window (by the 15th of the month).

There is no formal lock-in period; However, an exit load of 1% of the redemption proceeds applies if redeemed within 24 months from the allotment date; no charge applies thereafter.

Yes, redemptions can be delayed or suspended if market or liquidity conditions make valuation difficult. New subscriptions are not accepted during a suspension.

Yes, the Fund may compulsorily redeem units with 5 business days' notice if an investor becomes ineligible or for regulatory, tax, or legal reasons.

Distributions are made based on the post-tax NAV, at the discretion of the FME, after providing for applicable taxes and reserves.

Management, performance, and operational fees are charged as disclosed in the Private Placement Memorandum (PPM) and may vary by Unit Class.

Investors will receive monthly holding statements, quarterly portfolio updates, annual audited financials, and NAV disclosures.

No, non-resident investors do not need an Indian bank account or a PAN card for investing in GIFT City funds. Funds can be remitted directly from your foreign bank account to the Fund’s foreign currency account within GIFT City.

There are no taxes to be paid in India regarding your investment in the Fund. However, investors are strongly advised to consult their tax expert in their country of residence. Investors may often be able to leverage the provisions of India's Double Taxation Avoidance Agreements (DTAAs) to potentially mitigate or avoid double taxation.

No, non-resident investors whose income is solely from IFSC-based funds generally do not need to file tax returns in India.

No, income earned by non-residents through GIFT City funds is not subject to TDS in India.

(At Fund level)

Equity:

Long-Term Capital Gains (LTCG): 12.5% + Applicable cess
Short-Term Capital Gains (STCG): 20% + Applicable cess

Derivatives:

There are No taxes on Derivatives.

Yes, profits and capital can be repatriated seamlessly in the foreign currency without extensive regulatory approvals.

Initially through the Fund’s Complaint Redressal Officer (CRO) and Appellate Officer (CRAO). Unresolved issues may be escalated to IFSCA at grievance-redressal@ifsca.gov.in

Through arbitration in Ahmedabad, Gujarat, under the Arbitration and Conciliation Act, 1996, conducted in English.

The Fund is governed by the laws of India, under the jurisdiction of the courts of Ahmedabad.