Market regulator Securities and Exchange Board of India (SEBI) has made amendments to the rules governing Alternative Investment Funds (AIFs), particularly focusing on ensuring fair and proportional treatment of investors in terms of their rights related to investments and the distribution of proceeds.
An AIF is a privately pooled investment vehicle, which means it is a fund that collects capital from a group of investors and invests that capital under a specific investment strategy. The goal is to generate returns for the benefit of its investors. These funds are typically less regulated than public funds and can involve complex investment strategies. They are similar to Mutual Funds, but these private funds do not come under the jurisdiction of any regulatory agency in India, as per the SEBI website.
