In the case of L&T MF acquisition by HSBC MF, the acquiring entity was into an MF business, and they have their own existing schemes. Typically, when a fund house is sold or merged with another fund house, schemes of the same type of both fund houses are merged. For instance, equity funds will merge with the equity schemes of the new entity. Similarly, debt, hybrid, and all other schemes will be merged with the same type of schemes of the new entity. Sometimes, this leads to a change in fund management and fundamental attributes of the fund. According to SEBI regulations, a fund house can only have one scheme in each category, except for a few classes, like an index fund, thematic funds, and ETFs. So, L&T MF schemes were merged with HSBC MF schemes. Similarly, in November 2021, when Sundaram MF acquired Principal MF, all schemes of the latter got merged with the former.