New Delhi, Aug. 27 -- Asset managers have started showing interest in launching schemes for retail investors in GIFT City after the government provided tax clarity.

DSP Mutual Fund has already launched its first retail scheme from the international financial centre. Now, subsidiaries of PPFAS Mutual Fund and NJ Mutual Fund have applied to launch retail-focused schemes in GIFT City, said three people in the know.

"For NJ, the fund management entity (FME) as well as the fund have been approved by the regulator," said one of the people quoted earlier, speaking on the condition of anonymity. While the FME is approved for PPFAS, it still hasn't filed to launch a fund with the regulator, the person added.

In GIFT City, an FME is a fund manag...