Tushar Bindal, CFA

If you trade F&O, these numbers should make you stop and think. In FY26, individual traders lost around ₹72,243 crore in gross trading P&L. Meanwhile: Prop traders made ₹44,483 crore FPIs made ₹13,896 crore Corporates made ₹8,089 crore And after transaction costs, individual traders’ total net losses were around ₹91,685 crore. Nearly 88% of individual F&O traders lost money. The takeaway is simple: Entering F&O is easy. Making money consistently is not. Retail traders are competing with professionals who have better systems, technology, capital, and risk management. Before chasing returns, understand the odds. What do you think makes F&O so attractive despite these numbers?

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₹190 CRORE. One global investor. One very interesting signal for Mumbai real estate. Capital Group has acquired ~1.94% of Sri Lotus Developers & Realty for approximately ₹190 crore. But the headline isn't the stake. The headline is who is buying — and what they may be buying into. Capital Group is one of the world's largest investment organisations. Its investment in Sri Lotus Developers And Realty Limited comes at a time when Mumbai's real estate story is increasingly being driven by: → Redevelopment → Luxury residential demand → Scarcity of developable land → Large development pipelines → Institutional capital entering the sector Sri Lotus has a reported development pipeline of approximately ₹19,000 crore in GDV. That changes the conversation. Because the opportunity in Mumbai isn't simply about building more homes. It is about unlocking value from scarce land, ageing assets and redevelopment opportunities — and converting them into high-value, institutional-quality real estate. And there is another important distinction: Capital Group didn't inject ₹190 crore into the company. It acquired shares from the promoter in the secondary market as part of the company's move toward the required public shareholding. So this isn't simply a capital-raising story. It is an institutional ownership story. And I believe that distinction matters. At The House of SHK , we have been looking at this market from a different lens — building an AI-enabled Luxury Ecosystem through LuxeVia.ai , connecting: Luxury Real Estate × Structured Investments × HNI Investors × Family Offices × Celebrities × Private Capital The future of luxury real estate will not be defined only by developers and brokers. It will increasingly be defined by intelligence, access and capital. The rich don't simply buy luxury real estate. They acquire trophy assets. And increasingly, institutional capital is beginning to think the same way. #LuxeVIA #LuxuryRealEstate #MumbaiRealEstate #CapitalGroup #SriLotus #RealEstateInvestment #Redevelopment #PrivateCapital #FamilyOffices #HNI #TrophyAssets #TheHouseOfSHK #AI

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Deal Alert: Acquisition Financing Facility We are currently raising approximately Rs. 30 Cr of acquisition financing for a healthcare transaction involving an operating cancer care hospital in North India. The transaction involves the acquisition of an established operating healthcare asset with existing revenues, tangible asset backing, and a defined growth plan post-acquisition. We are looking to connect with NBFCs, private credit funds, AIFs, family offices, and other institutional lenders that actively evaluate acquisition, structured debt, or healthcare financing opportunities. If this falls within your investment or lending mandate, please reach out via DM. Relevant transaction details can be shared upon discussion.

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SEBI's Stance on VCF Tenure Extensions: A Key Lesson for Fund Managers and Trustees In a recent adjudication order, SEBI has reinforced the strict regulatory boundaries around the lifecycle of Venture Capital Funds (VCFs) under the erstwhile VCF Regulations. Though this case pertains specifically to VCF Regulations, the principles laid down here are also applicable under the current AIF Regulations. Here's a quick breakdown of the case : 1. Fund Tenure Basics: The scheme's Private Placement Memorandum (PPM) outlined a 7-year term from the first closing, extendable by up to 2 years (in two 1-year periods) with super-majority investor approval. 2. What Happened: The fund extended beyond this—adding another 4 years (total extensions: 6 years)—with super-majority consent from investors . The rationale? Delays in exiting 4 residual investments due to external factors like COVID-19 and market conditions. The fund successfully exited two of these profitably, providing over 125% return on capital to investors so far, and handled the last two via in-specie distribution. Notably, no management fees were charged during these extensions, and the fund emphasized acting solely in investors' interests. 3. Fund's Defense: They argued the extensions were investor-driven, caused no harm, and were beyond their control. They even voluntarily applied for settlement with SEBI, wound up the scheme, and surrendered registration before formal action. 4. SEBI's View: Despite investor consent and benefits, SEBI deemed this a substantive violation—not just technical or academic. The tenure in the PPM isn't merely a commercial agreement; it's a regulatory mandate. Upon expiry (including permitted extensions), winding up is mandatory under Reg 23(1)(a), with proceeds distributed within 3 months per Reg 24(2) of VCF Regulations. Extensions beyond the PPM's limits contravene the regs, regardless of consensus. 5. Trustee's Role: The trustee was held accountable for not promptly directing the fund to initiate winding up when the original tenure ended . While their powers are limited to fund documents and they don't handle day-to-day decisions, SEBI stressed their fiduciary duty to ensure compliance as guardians of investor interests. 6. Outcome: Joint and several penalty of ₹10 lakhs on the fund and investment manager; separate ₹10 lakhs on the trustee. Key Takeaways: First, investor consent does not override regulatory compliance. Second, trustees cannot remain silent when tenure expires. Their fiduciary duty includes ensuring the fund meets its fundamental obligations even if commercial decisions rest with the investment manager. Third, good intentions and good outcomes do not cure violations. No management fees, profitable exits and investor satisfaction are mitigating factors at best. They do not erase the underlying breach or immunise the parties from penalties.

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Happy to announce that STEER Advisors was the Sole Advisor to Hughes Precision on its successful fundraise. This transaction adds yet another important dimension to our Defence & Aerospace practice — Ammunition. Our experience across the Defence ecosystem continues to deepen, with previous exposure spanning Defence Electronics, Wiring Harnesses and Telecom, and now extending into Ammunition and Precision Manufacturing. For us, it is another step in building a comprehensive Defence & Aerospace franchise, covering the full spectrum of opportunities emerging in India’s rapidly evolving defence manufacturing landscape. STEER Advisors | Defence & Aerospace

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E. Pabaney & Co. provides bespoke structured capital — every transaction is engineered around the company’s specific financing requirements. From distressed debt to acquisition funding to growth capital, we have quick and flexible financing solutions. Capital range: ₹100 crore to ₹2,000 crore+ Structured credit, equity, hybrid instruments, and straight debt. Pricing: INR: 12–18% with flexible payment structures (PIK, balloon, equity-linked) Offshore: 350 bps over SONIA Sectors we are actively lending into: Agnostic with general focus on Infrastructure & yielding assets | Hospitality | Education | Healthcare | Pre-IPO | Data Center’s | Special Situations Situations we solve for: 1. Pre-IPO financing — promoters buying back stakes from earlier investors or PE funds ahead of a listing 2. Acquisition funding — committed capital for M&A with certainty of execution 3. Debt refinancing — replacing expensive or restrictive existing facilities 4. Growth capital — capex, expansion, and working capital for scaling businesses 5. Offshore-to-onshore structures — funding for entities holding Indian assets through Singapore, GIFT City, or similar international holding structures 6. PE continuation funding — bridge financing when capital needs to be returned to LPs but the fund seeks to maintain its position ahead of an upcoming liquidity event or further growth Flexible capital. Common-sense underwriting. Built for speed. Visit: www.epabaney.com for more or WhatsApp us at +91-98126-12345 #PrivateCredit #StructuredFinance #AcquisitionFinance #PreIPO #InfrastructureFinance #IndiaCapitalMarkets #CrossBorderFinance #GrowthCapital #AlternativeLending #PrivateEquity

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Performing vs. Special Situations: Two Sides of India’s Private Credit Boom The Indian private credit market is no longer a monolith. As we cross the $10B annual deal-runway, a clear bifurcation has emerged between Performing Credit and Special Situations Credit. While both are fueling the next leg of India’s corporate growth, they require vastly different lenses for risk and return. I believe understanding this distinction is key for any investor looking to navigate the India opportunity in 2026. 1. Performing Credit: Focuses on mid-to-late-stage companies with stable, predictable cash flows but "non-bankable" needs. These aren't distressed companies; they are high-growth entities that banks often overlook due to rigid regulatory buckets or lack of traditional collateral. The Play: Growth capital, acquisition financing, or bridge-to-IPO rounds. The Yield: Typically 12–16% IRR. The Excitement: It’s about partnership. In a market where bank credit growth to industry is stabilizing at ~11%, private credit provides the flexibility that "India Inc." needs to scale. It’s the "grease in the wheels" for the mid-market segment that will eventually become the large-caps of tomorrow. 2. Special Situations Credit: The Complexity Alpha Special situations involve companies facing unique hurdles—whether it's a liquidity mismatch, a promoter-level deleveraging exercise, or a "last-mile" funding requirement for a project nearing completion. The Play: Stressed asset resolutions, bank settlements (OTS), or complex restructurings. The Yield: Higher risk-adjusted returns, often in the 18–24% IRR range. The Excitement: It’s about structural solutioning. With the IBC (Insolvency and Bankruptcy Code) maturing, we finally have a framework that protects creditor rights. This has turned "distress" into a structured "opportunity." Investors here aren't just lenders; they are architects of a turnaround, unlocking value from assets that the traditional system has written off. Why is this the most exciting time for both? The narrative of Indian credit has shifted from "Physical Collateral" to "Financial Performance." For Performing Credit: We are seeing a "Consumerization of Credit" where cash-flow-rich sectors like Healthcare, SaaS, and specialized Manufacturing are becoming the new darlings. For Special Situations: The recent $3B+ mega-deals (like the Shapoorji Pallonji transaction) prove that global capital now has the appetite for large-scale, complex Indian credit risks. The Bottom Line: Whether you are chasing steady, compounding returns of Performing Credit or the high-alpha complexity of Special Situations, Indian markets are providing depth we haven't seen before. The "funding gap" left by banks and NBFCs isn't just a challenge—it’s a multi-billion dollar invitation for bespoke capital. Want to understand about this exciting asset class? Reach out to us InCred Asset Management & Alternative Investments #PrivateCredit #SpecialSituations #PerformingCredit

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