This is a welcome move, as it gives fund managers more flexibility to diversify and dynamically manage portfolios. That said, it’s still early to say whether mutual funds will start rolling out dedicated REIT and InvIT schemes. The current universe remains relatively small, with a combined market cap of around Rs.1 lakh crore, and liquidity continues to be a concern. Until the market expands and deepens further, dedicated funds in this space may be difficult to launch in a meaningful way.