What is the lock-in period for AIFs?

Cat II AIFs (private equity, private credit) typically have 3–7 year lock-ins with periodic distributions. Cat III AIFs (hedge strategies) often have quarterly or annual redemption windows. We explain the specific liquidity terms of every fund before subscription.

Are AIF returns guaranteed?

No. AIFs are market-linked or credit-linked investments with real risk of underperformance or loss. The minimum investment and accredited investor requirements exist precisely because SEBI considers these suitable only for investors who can absorb the risk and illiquidity.

Tax treatment varies by AIF category. Cat III AIF income is taxed at the fund level (pass-through for certain strategies). Cat II AIFs are typically pass-through — gains are taxed in the hands of investors at applicable capital gains rates. We provide detailed tax position analysis for every AIF recommendation.

WEALTH MANAGEMENT

Alternative Investment Funds

SEBI-regulated AIFs — Category II and III — for qualified investors seeking returns uncorrelated with public markets.

₹1 Cr

Regulatory Minimum

Cat II & III

SEBI-Registered

Manager DD

Before Every Recommendation

OVERVIEW

Institutional-Grade Alternatives

Alternative Investment Funds (AIFs) are SEBI-registered pooled vehicles that invest in assets beyond traditional equity and debt — including private credit, long-short equity strategies, pre-IPO opportunities, real assets, and structured products. They offer exposure to return streams with low correlation to public markets, making them powerful diversifiers for sophisticated investors.

Category II AIFs include private equity funds, debt funds, and real estate funds that do not use leverage or borrowing for investment purposes. Category III AIFs include hedge fund strategies that may use long-short positions and derivatives to generate alpha. The regulatory minimum investment per AIF is ₹1 Cr, consistent with SEBI's classification of these as suitable for accredited or sophisticated investors only.

We conduct extensive manager due diligence before recommending any AIF — reviewing track record, drawdown history, fund structure, liquidity terms, and fee waterfall. We have relationships with a curated panel of managers across private credit, structured equity, and pre-IPO categories, with a particular focus on managers with a demonstrable edge and transparent reporting.

WHAT'S INCLUDED

Key Features

Private Credit (Cat II)

Structured debt to mid-market companies — typically 14–18% yields with defined repayment schedules and collateral security. Less volatile than equity, higher yielding than public bonds.

Long-Short Equity (Cat III)

Market-neutral or directionally biased strategies managed by experienced portfolio managers. Target returns of 15–20% p.a. with significantly lower drawdowns than pure long equity exposure.

Pre-IPO Opportunities

Access to growth-stage companies 12–24 months before their public listing. Higher risk but potentially significant returns if the IPO thesis plays out — with careful position sizing.

Real Asset Strategies

Infrastructure debt, commercial real estate income funds, and InvIT/REIT-linked strategies providing stable yields with real asset backing.

Rigorous Manager Due Diligence

We review every AIF manager's SEBI registration, NAV track record, drawdown history, redemption terms, and fee structure before placing any client recommendation.

Accreditation Support

We guide clients through SEBI's accredited investor certification process — a prerequisite for certain Cat III strategies — including documentation and CA certification.

PARTNERS

OUR PROCESS

How We Work

A clear, structured approach from your first consultation to ongoing support.

Investor Qualification

We confirm your eligibility — minimum ₹1 Cr investable capital, accredited investor status if required — and assess how an AIF allocation fits within your total portfolio.

Strategy & Manager Screening

Based on your return target, risk tolerance, and liquidity needs, we shortlist 2–3 AIF managers with complementary strategies and present comparative performance data.

Manager Due Diligence

We arrange introductory calls with shortlisted managers, review audited NAV statements, and analyse drawdown profiles before providing a final recommendation.

Subscription & Reporting

We coordinate the subscription process, KYC, and fund transfer. Post-investment, we consolidate AIF reporting into your overall portfolio review every quarter.