mumbai, April 21 -- It's a long shot, but asset management companies (AMCs) are trying everything to lure fund managers into swapping their Bandra Kurla Complex offices for a new life in an upcoming financial hub about 500 km away. AMCs are offering pay hikes, relocation perks and faster career tracks to coax fund managers into moving to GIFT City, where talent remains hesitant to move. The push comes as regulators tighten norms on keeping an on-ground presence in the International Financial Services Centre (IFSC), forcing fund houses to ensure that key personnel are physically based in GIFT City (Gujarat International Finance Tec-City). But attracting experienced fund managers has proved to be tough, with AMCs competing for a limited talent pool. "Fund managers, if they have to move to GIFT City, are likely to ask for a salary hike. Incomes may increase 50-60% if a fund manager relocates as there is a shortage of talent willing to operate out of GIFT City," said Niteen D., director and chief executive officer - GIFT City IFSC business at Anand Rathi International Ventures IFSC. The reluctance to move has led to creative compensation structures. Fund managers are seeking relocation-linked perks as part of their compensation packages, including moving allowances and support for family-related needs. "Fund managers are innovative in their negotiations, asking for moving allowances which can range from Rs.20 lakh to Rs.30 lakh. They also sometimes ask for their child's one-year school fees or ask the AMC to help with finding a school for their child when negotiating the perks they would get for moving to GIFT City," said Siddarth Pai, founding partner, chief financial officer, and environment, social and governance officer at 3one4 Capital. He added that a six-figure salary can be increased to a seven-figure income when moving to GIFT City, considering the opportunity. This compares to a 10-20% salary hike given to a fund manager at the time of hiring in Mumbai. According to a fund manager who is now based in GIFT City, there are other aspects that make shifting to GIFT City harder. "Few fund managers have the required qualifications that AMCs are looking for while hiring for GIFT City. This includes a post-graduation in finance along with some certifications such as CFA," the fund manager said on condition of anonymity. AMCs have even turned to hiring people who would be more willing than others to move to another city, including those based in nearby Ahmedabad or with family in Gujarat. "It is easier to convince fund managers who have family or a spouse in Ahmedabad or have spent some part of their childhood in the city. We also look for young professionals who do not have a family or spouse and can move to GIFT city and make a life for themselves there," said Saurabh Mukherjea, founder and chief investment officer at Marcellus Investment Managers. "Choosing people who have family ties in Gujarat is an easy way to hire for a fund's GIFT City operations. That said, a growing number of fund managers are open to moving as the region continues to expand," the fund manager said. The perks are being included in compensation packages because regulatory requirements have added urgency to hiring. The norms are applicable only to AMCs that have an active fund in GIFT City and not those operating feeder funds. A feeder fund is one that invests in existing funds operated by an AMC and does not require active fund management....