New Delhi, July 10 -- Specialized investment funds (SIFs), a new category of mutual funds that follow long-short strategies, can't find enough benchmark indices against which the performance of their schemes can be evaluated.

There are limited options of benchmark indices for SIFs and the ones available may not always be the best fit to compare the performance and risk-appetite of their strategies, fund managers told Mint.

SIFs cater to investors with a minimum investment of Rs.10 lakh and a higher risk appetite. They were introduced in India in April last year to bridge the gap between regular mutual funds and portfolio management services meant for high-net-worth individuals.

Their strategies involve taking long positions in underval...