Why India's True Beacon shies away from investing in IPOs

Zerodha co-founder Nikhil Kamath set up True Beacon, a hedge fund management firm, in 2019. True Beacon initially launched a Category III alternative investment fund (AIF) aimed at domestic investors in September 2019. It followed it up with a similar fund in GIFT City, Gujarat, in 2021 aimed at foreign investors and non-resident Indians (NRIs). The firm now manages around ₹1,000 crore of assets. Kamath spoke to Mint about initial public offerings (IPOs) and his perception of market valuations.