In a landmark shift, Alchemy Capital Management has become the first fund house to transition from Mauritius to GIFT City, setting a precedent for India-centric fund management. This strategic migration marks a pivotal moment for India’s ambition to create a world-class financial hub and elevates GIFT City (Gujarat International Finance Tec-City) as a beacon for global investors.
A Bold First Step in Indian Growth
Alchemy’s historic move wasn’t an easy decision. With decades of smooth operations in Mauritius and Singapore, the decision was met with skepticism. Hiren Ved, Co-Founder, Director & CIO of Alchemy Capital, revealed that their innate belief was that India-focused strategies deserved local veterans at the helm. “We questioned if we were the sacrificial lamb,” Ved mentioned with a chuckle, “but our faith was unwavering—India-dedicated strategies are best managed from the ground in India.”
Anchoring GIFT City’s Presence with Alchemy India Long Term Fund
At the core of this transition is the Alchemy India Long Term Fund, a testament to investing with conviction in India’s structural growth. This fund, situated at GIFT City, targets high-conviction, India-centric equity opportunities, aiming to seize value over market cycles. Ved emphasized that the fund’s philosophy is rooted in long-term wealth creation through India’s growth narrative rather than transient market trends. With GIFT City as a launchpad, global investors have the chance to partake in India’s economic metamorphosis.
Why GIFT City Matters
Ved highlights the multifaceted benefits GIFT City offers:
- Regulatory Benefits: Clarity on taxes, GST exemptions, and simplified compliance when compared to offshore models.
- Ecosystem Growth: An expanding network of custodians, fund administrators, legal entities, and service providers creating a rich investment environment.
- Proactive Regulation: A forward-thinking International Financial Services Centres Authority (IFSCA) makes this a unique offering, contrasting with India’s traditionally rigid regulatory landscape.
These advantages are gradually swaying global investors to prefer managers situated in India over those based in western economies.
Expanding Horizons
Alchemy’s expansion plans within GIFT City are ambitious, eyeing long-short funds and hybrid strategies that encompass both listed equities and private equity engagements in India. Significantly, GIFT City also positions itself as a key player in assisting Indian high-net-worth individuals to diversify investments globally.
India as a Global Competitor
India has redefined its standing—not merely as another emerging nation but as a formidable market. Ved stresses the impressive backdrop of structural reforms, unwavering domestic demand, and policy steadiness. Consequently, India poses a strong contender alongside the S&P 500 in global standings.
Conclusion
Alchemy’s journey from Mauritius to GIFT City exemplifies India’s larger narrative of financial evolution—where domestic expertise and international capital unite. As Ved illuminated at the GIFTCity Fund Conclave 2025, the rise of GIFT City is not just about infrastructure but, crucially, about confidence—confidence that India can govern and determine its role in world capital markets. Ved envisions a future where investments in India channeled through GIFT City could burgeon from billions to trillions of dollars, redefining India’s financial landscape. According to The Economic Times, this move is a bright testament to India’s financial potency on the global stage.
