Economics

 

Markets regulator SEBI rationalised the reportage necessities for various investment so as to supply easy compliance for such entities.

AIFs

·        As outlined in Securities and Exchange Board of Bharat (Alternative Investment Funds) rules, 2012, AIFs ask any in camera pooled investment fund, (whether from Indian or foreign sources), within the style of a trust or a corporation or a body company or a indebtedness Partnership (LLP).

·        AIF doesnt embody funds lined underneath the SEBI (Mutual Funds) rules, 1996, SEBI (Collective Investment Schemes) rules, 1999 or the other rules of the Board to manage fund management activities.

·        Hence, in India, AIFs square measure personal funds that square measure otherwise not coming back underneath the jurisdiction of any administrative body in Bharat.

Categories:

·        As per SEBI (AIF) rules, 2012, AIFs shall obtain registration in one amongst the 3 categories:

·        Category I: chiefly invests in start- ups, SME’s or the other sector that Govt. considers economically and socially viable.

·        Category II: These embody various investment like personal equity funds or debt funds that no specific incentives or concessions square measure given by the govt. or the other Regulator

·        Category III : various investment like hedge funds or funds that trade with a read to create short term returns or such alternative funds that square measure open complete and that no specific incentives or concessions square measure given by the govt. or the other Regulator.