Monarch Networth Capital IFSC gets nod to manage retail funds at Gift City
Monarch Networth Capital IFSC Receives Retail Fund Management License at GIFT City
Table of Contents
Introduction
In a significant development for India’s financial services sector, Monarch Networth Capital IFSC has achieved a major milestone by securing the certificate of registration as a Registered Fund Management Entity (Retail) from the International Financial Services Centres Authority (IFSCA). This achievement marks a pivotal moment for the MNCL Group as it expands its footprint in the global financial markets through GIFT City.
License Details and Capabilities
The newly acquired FME (Retail) license empowers Monarch IFSC with comprehensive capabilities in the fund management domain. The authorization includes:
- Investment in securities and financial products
- Management and launch of retail investment schemes
- Creation of Exchange Traded Funds (ETFs)
- Management of public offerings for REITs and InvITs
- Operation of Family Investment Funds
The FME (Retail) license has been selectively granted to only a limited number of domestic financial institutions, with MNCL Group being the first non-AMC company to represent the domestic financial services industry at GIFT IFSC.
Business Expansion Plans
Building on its existing success, MNCL Group currently operates a domestic AIF platform under Monarch AIF, managing approximately ₹900 crore of long-only equity AUM across two schemes. Having recently completed five years of operations, the Group is now strategically positioned to expand its product suite by launching appropriate equity-focused offerings from GIFT City in the current fiscal year.
The company aims to attract foreign investors under the AIF framework, leveraging its extensive experience in the domestic AIF space and its broad retail reach to deliver meaningful value to investors and clients.
Market Significance
This development holds significant importance for the Indian financial sector as it:
- Enhances India’s position as a global financial hub
- Provides new investment opportunities for foreign investors and NRIs
- Strengthens GIFT City’s position as an international financial center
- Demonstrates the growing sophistication of India’s financial services industry
Future Outlook
Looking ahead, MNCL Group has already applied for a Mutual Fund license in the previous fiscal year and is actively engaging with regulators on related submissions and compliances. According to Vaibhav Shah, Managing Director of Monarch Networth Capital, the Group is excited about introducing differentiated investment products from GIFT City specifically targeted at foreign investors and NRIs.
The strategic expansion into GIFT City represents a significant opportunity for MNCL Group to tap into the growing demand for sophisticated investment products among global investors while contributing to India’s vision of becoming a global financial powerhouse.
Published on May 5, 2025
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