International funds in focus as diversification theme gains ground

Sebi's easing of investment norms has encouraged MFs to look at the category more seriously

Two new international funds are hitting the market this week, taking the total number of such offerings to nine since last year.

SBI Mutual Fund, the country's largest asset manager, has launched its first international offering, an open-ended fund of fund scheme that will invest in US markets. HSBC MF is launching a climate change fund of fund (FoF) offering.

Currently, there are 42 international funds with assets under management of  Rs 6,412 crore, data from Value Research shows. Of these, only five funds have assets in excess of Rs 1,000 crore.

The regulator doubled the limit of overseas investments