Business Standard

12 more alternative investment funds allowed by Sebi

As on August 31, a total of 20 applications were pending with Sebi for registration as AIFs

Related News

Market regulator, the Securities and Exchange Board of India (Sebi), has allowed 12 entities to set up (AIFs), a newly created class of pooled-in investment vehicles for real estate, and hedge funds, in the last two months.

The 12 AIFs that have been registered with since October 10 included India Realty Fund, Dar Mentorcap Film Fund, Capaleph Indian Millennium Small & Medium Enterprises Fund and Capaleph Indian Millennium Private Equity Fund.

Sebi had already allowed nine AIFs to set up shops in the country. As on August 31, 2012, a total of 20 applications were pending with Sebi for registration as AIFs.

The regulator had notified in May this year the guidelines for a new class of market intermediaries named AIFs, which are basically funds established or incorporated in India for the purpose of pooling in of capital from Indian and foreign investors for investing as per a pre-decided policy.

Sebi in August decided that the promoters of listed companies can offload 10 per cent of equity to AIFs such as such as SME Funds, Infrastructure Funds, PE funds and Venture Capital Funds registered with the market regulator to attain minimum 25 per cent public holding.

Under Sebi guidelines, AIFs can operate broadly in three categories. The Sebi rules apply to all AIFs, including those operating as private equity funds, funds and hedge funds, among others.

The Category-I AIFs are those funds that get incentives from the government, Sebi or other regulators and include Social Venture Funds, Infrastructure Funds, Venture Capital Funds and SME Funds.

The Category-III AIFs are those trading with a view to make short-term returns and include hedge funds, among others. The Category-II AIFs can invest anywhere in any combination but are prohibited from raising debt, except for meeting their day-to-day operational requirements. These AIFs include PE funds, debt funds or fund of funds, as also all others falling outside the ambit of two other categories.

Among other registered AIFs in the past two months are — Edelweiss Stressed & Troubled Assets Revival Fund Trust, IIFL Private Equity Fund, IIFL Opportunities Fund, IIFL Venture Fund, Quant First Alternate Investment Trust, Fulcrum Venture India Trust, Kedaara Capital and Arcus Opportunities Fund.

Read more on:   
|
|
|
|
|
|
|

Read More

2013: Another year of steady rise

The domestic equity market in 2013 is likely to repeat the rise in 2012 and move up about 20 per cent. While reversal of the interest rate cycle ...

Quick Links

 

Market News

Taneja Aerospace zooms 20% on signing contract with Indian Air Force

The company has signed a contract worth Rs 12.79 crore with Indian Air Force, Nasik for upgradation of their MIG 29 aircrafts.

Global rubber price below Rs 100 after a gap of 6 years

Bangkok market suddenly plunged by Rs 2 per Kg on Friday when OPEC nations decided to maintain the output at 30 million barrels per day

BSE cements place in top-10 league with Rs 100-trillion market cap

NSE ranks 11th in terms of market capitalisation of its listed companies

Bajaj Corp gains on board nod to hike in FII limit

The stock rallied 6% to Rs 334 on NSE after board approved to increase the FII limit from 24% to 49%.

Sensex, Nifty up 1%; bank shares zoom

The 30-share Sensex is up 333 points at 28,772 and the 50-share Nifty has gained 109 points to trade at 8,604.

Back to Top