Sebi Conducts Investigations at Quant Mutual Fund for Suspected Front-Running Activity

Quant Mutual Fund is currently under investigation by the Securities and Exchange Board of India (SEBI) for suspected front-running, an illegal practice in the fund management industry.

The market regulator, Sebi, conducted raids at the offices of Quant Mutual Fund located in Mumbai and Hyderabad, with Sandeep Tandon, the founder of Quant Mutual Fund, being at the core of the investigations.

Sandeep Tandon, a veteran with over 25 years in the financial services industry, has had stints at IDBI Asset Management, ICICI Securities, and The Economics Times Research Bureau.

Front-running, the alleged practice under scrutiny, is considered unethical and illegal in the financial world.

In simple terms, front running involves a broker or fund manager leveraging advanced knowledge related to a large stock order to place advantageous trades in anticipation of price movements.

Quant Group, the parent company behind Quant Mutual Fund, was incorporated in 2007 amidst the Global Financial Crisis, emphasizing the core philosophies of being relevant and employing predictive analytics for market forecasting.

From its humble beginnings in 2017 when Quant Group obtained its mutual fund license, the assets under management of Quant Mutual Fund have skyrocketed from about Rs 100 crore to over Rs 80,000 crore currently.