Alternative Investment Fund Registration
Elevate Your Investment Strategy with Comprehensive AIF Registration
Alternative Investment Funds (AIFs) are quickly becoming some of the most lucrative investment vehicles. To capitalize on this opportunity, expert assistance is needed. We handle everything from fund setup and Private Placement Memorandums (PPM) to tax structuring and SEBI applications, ensuring a smooth and efficient launch.
Why AIFs Are the Future of Smart Investments
Alternative Investment Funds are becoming the preferred choice for seasoned investors due to their key benefits:
Higher Returns:
Higher Returns:
Diversified Portfolio:
Diversified Portfolio:
Flexible Strategies:
Flexible Strategies:
Comprehensive Process Overview
A Hassle-Free Journey to SEBI Approval in Just 4 Steps
Initial Assessment:
Our experts will work with you to understand your fund's objectives and compliance requirements.
Document Preparation:
We ensure all legal documents are compliant and aligned with SEBI norms for a smooth submission.
Application Filing:
Our team will handle submitting your application along with all necessary details and documents.
Approval & Setup:
Navigate the approval process seamlessly with our dedicated experts, ensuring a swift and efficient setup.
Types of AIFs We Register
Whether you want to set up a Social Venture Fund, Private Equity Fund, or Hedge Fund, we’ve got you covered. Our services span across:
- Venture Capital Funds: Supporting early-stage ventures and innovative startups.
- Private Equity Funds: Investment opportunities tailored for institutional investors.
- Debt Funds: Focused investments in debt securities for steady returns.
- Hedge Funds: Customized strategies for sophisticated investors seeking diversified portfolios.
Schedule 30-minute call with our expert
Checklist for AIF Setup
The charter document, such as the Memorandum of Association (MOA), Trust Deed, or Partnership Deed, must include specific clauses authorizing the operation of an Alternative Investment Fund (AIF).
If the entity is structured as a trust or partnership, the respective Trust Deed or Partnership Deed must be registered with the appropriate registrar, in accordance with applicable laws.
The charter document must explicitly prohibit public invitations to subscribe to its securities.
The Applicant, Sponsor, and Manager must be considered “fit and proper” as defined in Schedule II of the Securities and Exchange Board of India (Intermediaries) Regulations, 2008.
At least one key member of the investment team for the Manager of an AIF must achieve certification by passing the NISM Series-XIX-C: Alternative Investment Fund Managers Certification Examination.
The Manager and Sponsor of the AIF are required to possess the necessary infrastructure and workforce to effectively conduct their activities.
The Applicant must clearly outline the investment objectives, strategy, proposed fund corpus, duration, and targeted investor profile.
An AIF must maintain a minimum corpus of at least ₹20 crores, while Angel Funds have a lower minimum corpus requirement of ₹5 crores.
Each investor is required to invest a minimum of ₹1 crore in an AIF; however, the minimum investment for Angel Funds is set at ₹25 lakhs.
Employees or directors of the Manager of an AIF must also invest a minimum of ₹25 lakhs or more.
It is not mandatory for employees of the Manager who share in the profits to make an investment in the AIF.
An AIF scheme is limited to a maximum of 1,000 investors, whereas Angel Funds are capped at 200 investors.
Category I and Category II AIFs are classified as close-ended funds, while Category III AIFs are considered open-ended funds.
The minimum duration for Category I and Category II AIFs is three years; for Angel Funds, the maximum duration is five years. Extensions of the AIF tenure require approval from at least two-thirds of the unit holders based on corpus value.
AIF Regulations prohibit Category III AIFs from soliciting or collecting funds, except through private placements in accordance with the provisions of the Companies Act, 2013, as there are no specific provisions for this in AIF Regulations.
The units of an AIF may be listed on a stock exchange only after the fund or scheme has reached its final closure, subject to a minimum tradable lot of ₹1 crore.
Your All-in-One AIF Solution
Our expert team provides complete AIF registration services under all three categories, ensuring a smooth and compliant process:
- Category I: Venture Capital Funds, SME Funds, Social Venture Funds
- Category II: Private Equity Funds, Debt Funds, Real Estate Funds
- Category III: Hedge Funds, Trading Strategies Funds
Our Services for Successful AIF Registration
Fund Structuring
We can help you set up the right structures to raise capital for investments effectively. Our expertise ensures that your fund aligns with your strategic goals while complying with evolving tax and regulatory norms.
Our services include structuring for funds such as:
- Angel Funds
- Category I / II / III AIFs
- GIFT IFSC Funds
- FPIs/PMS/RIA
Documentation
We provide comprehensive support in drafting and finalizing all necessary documentation for your fund.
Including:
- Private Placement Memorandums
- Contribution Agreements (Investor Agreements)
- Investment Management Agreements
- Trust Deeds
- Policies required to be adopted by funds and investment managers
- Risk Management Frameworks
- Compliance Manuals
Application Process
We help you navigate the application process with relevant regulators such as SEBI or IFSCA.
Including:
- Drafting application forms
- Assistance in obtaining necessary documents for the application
- Assistance in filing applications and regular follow-ups
- Guidance on responding to queries from regulators
- Strategic planning for timely submissions
Regulatory Compliance
Ensure your AIF adheres to all regulatory requirements.
Including:
- Ongoing compliance monitoring
- Preparation of regulatory filings and disclosures
- Development of compliance programs and training
- Assistance in audits and inspections
Our Expertise - What Sets Us Apart?
Experience the Difference with a Trusted Advisory
- Dedicated Client Manager: Single point of contact for personalized assistance
- Customized Advisory: Tailored solutions based on fund category and strategy
- Post-Approval Support: Legal and compliance advisory post-SEBI approval
Why Choose NBFC Advisory?
Expertise, Efficiency, and Excellence
With over a decade of experience and 500+ successful AIF registrations, we understand the intricacies of the AIF registration process like no one. We are recognized for:
Proven Track Record:
A 98% approval rate for AIF registrations speaks volumes about our expertise.
Experienced Team:
Our team comprises 15+ experts specializing in SEBI regulations and compliance.
Faster Turnaround:
We aim to complete the registration process in as quick as 60 days, so you can start your investment journey without delay.
Testimonials from Our Clients
Hear What Our Clients Say About Us
NBFC Advisory made the AIF registration process simple and fast. The team’s dedication and in-depth knowledge are unmatched.
Thanks to NBFC Advisory, our AIF was registered without any hassle. Their expertise in SEBI regulations is commendable.
Get Your Alternative Investment Fund Registered Quickly and Compliantly!
Our mission is to Make it Count. We are committed to streamlining your fund registration process with precision and expertise, ensuring full compliance with regulatory standards. By partnering with us, you empower your organization to navigate the competitive investment world and unlock its true potential!
FAQs - All Your Queries Answered
An AIF is a specialized investment vehicle that invests in assets other than traditional stocks and bonds, offering a wide range of options for investors seeking varied risk and return profiles.
AIFs are categorized into three types:
- Category I: Funds investing in start-ups or social ventures.
- Category II: Funds that do not require incentives or concessions.
- Category III: Funds aimed at generating short-term returns.
The registration process involves applying to the Securities and Exchange Board of India (SEBI) along with the required documentation and fees. Professional assistance can streamline this process.
Our post-approval services include ongoing compliance monitoring, regulatory updates, fund management advisory, and annual filings as per SEBI guidelines.
AIFs focus on alternative assets like real estate, private equity, and commodities, providing greater portfolio diversification and potentially reduced risk compared to conventional funds.
It takes approximately 60-75 days for SEBI approval.
Yes, foreign investors are allowed to invest in Indian AIFs, subject to compliance with SEBI guidelines and other relevant regulations. We provide advisory support to ensure compliance for foreign investors.
The minimum capital requirement varies based on the category. Typically, SEBI mandates a minimum corpus of INR 20 crores for each fund, except for Angel Funds under Category I, which requires a minimum corpus of INR 10 crores.
