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AIFs & SIFs – Alternative Investments

Diversify beyond traditional assets to capture specialized market opportunities.

Diversify Beyond Traditional Asset Classes

Alternative Investment Funds (AIFs) and Specialized Investment Funds (SIFs) offer sophisticated investors access to investment opportunities beyond traditional public equities, debt, and mutual funds. These solutions are designed to complement a well-diversified portfolio and are generally suited for investors with specific financial objectives, a long-term liquidity horizon, and a higher risk tolerance parameters.

Whether you are looking for absolute asset class diversification, specialized absolute-return strategies, or high asymmetric capital growth, AIFs and SIFs provide access to institutional-grade, professionally managed investment portfolios.

What Are Alternative Investment Funds (AIFs)?

AIFs pool capital from eligible private investors (both domestic and global) to invest in opportunities in accordance with defined investment policies. AIFs are typically categorized into three distinct regulatory classes:

  • Category I AIFs: Funds that invest in start-ups, early-stage ventures, social ventures, infrastructure, and SMEs (e.g. Venture Capital Funds).
  • Category II AIFs: Funds that do not leverage or borrow other than for operational requirements (e.g. Private Equity, Private Credit/Structured Debt, and Real Estate Funds).
  • Category III AIFs: Funds that employ diverse trading strategies, including leverage, and invest in listed/unlisted equities or derivatives (e.g. Hedge Funds, Long-Short Funds).

What Are Specialized Investment Funds (SIFs)?

Specialized Investment Funds (SIFs) are customized investment solutions offering high flexibility in asset allocation and portfolio construction within the prevailing regulatory guidelines. They are designed for investors seeking strategies beyond conventional mutual funds while benefiting from qualified professional fund management. SIFs may invest across multiple asset classes and follow tactical approaches to achieve specific risk-return targets.

Why Consider AIFs & SIFs?

  • Absolute Diversification: Access to non-correlated asset classes that behave independently of stock indexes.
  • Specialized Strategies: Participate in private debt, pre-IPO opportunities, distressed assets, and hedge funds.
  • Asymmetric Return Potential: Capturing substantial capital appreciation through early-stage investments.
  • Institutional Management: Run by highly specialized investment teams with deep domain expertise.

How We Help You

Alternative investments carry high structural complexity. We guide you through the process by:

  • Evaluating your risk appetite, net worth status, and lock-in holding tolerance.
  • Filtering and presenting AIF/SIF opportunities managed by reputed SEBI-registered houses.
  • Assisting with investor accreditation, onboarding documentation, and capital calls.
  • Providing consolidated reporting and ongoing portfolio reviews.
Important Regulatory Information: Alternative Investment Funds (AIFs) and Specialized Investment Funds (SIFs) are subject to high market, credit, and liquidity risks. They typically carry mandatory lock-in periods and are intended for sophisticated, accredited investors. As per SEBI guidelines, the minimum investment threshold for Category I, II, and III AIFs in India is ₹1 Crore (except for Angel Funds where it is ₹25 Lakhs). Please review all offering memorandums, terms sheets, and risk documents carefully before committing capital.
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