Is alternative investment fund regulated by SEBI?

Is alternative investment fund regulated by SEBI?

Capital markets regulator Sebi has amended the rules pertaining to investment aspects of certain category of alternative investment funds (AIFs).

Which is the best AIF in India?

Top 10 AIF in India / Best Ranked AIFs in the market

Rank AIFs Strategy
1 Abakkus Asset Manager Emerging Opportunities Fund
2 Roha Asset Managers Roha Emerging Companies Fund
3 Girik Advisors Girik Multicap Growth Equity Fund
4 Vishuddha Capital India Value and Growth Fund

What is an alternative investment fund types?

Alternative investments can include private equity or venture capital, hedge funds, managed futures, art and antiques, commodities, and derivatives contracts. Real estate is also often classified as an alternative investment.

Who can invest in AIF funds?

Who Can Invest in an AIF?

  • Resident Indians, NRIs, foreign nationals can invest in these funds.
  • The minimum investment limit is Rs.
  • AIFs come with a minimum lock-in period of three years.
  • The number of investors in every scheme is restricted to 1000, except angel funds.

Is AIF are regulated in India?

The AIF Regulations stipulate that every AIF established or incorporated in India for the purpose of pooling capital from domestic or foreign investors (certain types of AIFs are excluded from registration such as ESOP trusts, family trusts, holding companies, securitization trusts, etc.) is to be compulsorily …

Who regulates AIF in India?

Exchange Board of India (SEBI)
Securities and Exchange Board of India (Alternative Investment Funds) Regulations, 2012 (also called AIF Regulations) are a set of regulations introduced by Securities and Exchange Board of India (SEBI) in 2012, to regulate pooled investment funds in India, such as real estate, private equity and hedge funds.

How many AIF are there in India?

There were around 683 registered cumulative alternative investment funds across India as of December 28, 2020.

What are the risks of AIF?

Risks that have to be monitored generally include market, credit, liquidity, counterparty and operational risks. To set up an effective risk-management framework for its AIFs, an AIFM has to understand the meaning and implications of the respective risks for each individual AIF.

Is an AIF a mutual fund?

AIF can be established in the form of a company or a corporate body or a trust or a Limited Liability Partnership (LLP). Generally, high net worth individuals and institutions invest in Alternative Investment Funds as it requires a high investment amount, unlike Mutual Funds.

What is AIF and how does it work?

Alternative Investment Fund or AIF means any fund established or incorporated in India which is a privately pooled investment vehicle which collects funds from sophisticated investors, whether Indian or foreign, for investing it in accordance with a defined investment policy for the benefit of its investors.

How can I open AIF in India?

On receipt of registration/ re-registration fees, SEBI will grant the applicant the certificate of registration as an Alternative Investment Fund. 1. Once registered, the AIF must comply with the reporting requirements as specified by SEBI from time to time. 2.

What is AIF and how it works?

Is AIF a financial institution?

Are alternative investments safe?

Risks of Alternative Investments Alternative investments are more complex than traditional investment vehicles. They often have higher fees associated with them. As with any investment, the potential for a higher return means higher risk.

How do AIF funds work?

The term ‘alternative investment fund’ or ‘AIF’ refers to any vehicle established for the purpose of raising capital from a number of different investors with an aim to invest these funds into assets to generate favourable returns.

What are the disadvantages of AIF?

The biggest drawback of an AIF would surely be the high level of “fund manager risk” attached to it. Since an AIF takes multi directional calls, it’ll need to look beyond traditional valuation models or buy and hold strategies while making investment or trading decisions.

How many types of AIF are there?

three categories
Currently, the AIF Regulations provide for three categories of funds: – Category I Alternative Investment Fund; – Category II Alternative Investment Fund; and – Category III Alternative Investment Fund.

  • October 28, 2022