Amundi launches India Equity Contra fund in partnership with SBI FM

By Gloria Methri

European asset manager Amundi, in partnership with State Bank of India Funds Management (SBI FM), has announced the launch of a new sub-fund under the Amundi Funds SICAV: Amundi Funds – India Equity Contra.

This strategic collaboration brings to international investors a high-conviction, contrarian Indian equity strategy, previously available only to domestic Indian investors. The fund will blend Amundi’s top-down macroeconomic discipline with SBI FM’s in-depth bottom-up analysis of Indian equities, delivering a differentiated approach to value investing in one of the world’s fastest-growing markets.

The India Equity Contra fund targets undervalued Indian companies trading below their intrinsic value, with flexibility to invest in off-index, under-researched stocks. The strategy avoids bias towards large caps or index constituents, offering exposure to overlooked opportunities within India’s dynamic equity landscape.

SBI FM has been managing this strategy for over two decades (since 1999), currently overseeing more than $4.5 billion in AUM under the same investment thesis in India. This new vehicle allows global investors to access this proven and historically local strategy for the first time.

The fund has already secured seed capital from two leading institutional investors — the Yusuf Bin Ahmed Kanoo family office (Bahrain) and the corporate pension fund of a major Japanese financial group. Amundi has also committed seed capital, further reinforcing investor confidence and demonstrating alignment with long-term goals.

The launch complements the existing Amundi Funds SBI FM India Equity strategy, offering a value-driven alternative to growth-focused Indian equity funds and diversified access to the country’s robust equity markets.

Ziad Sikias, CEO Middle East, Africa and Central Europe from Amundi, said, “The joint venture between Amundi and State Bank of India, SBI FM, manages over $300 billion in assets under management. We are delighted to be working with SBI FM to provide investment opportunities to both retail and professional investors in India and internationally.”