What are Alternative Investment Funds (AIF)?

Alternative Investment Funds (AIFs) are a type of investment that differs from traditional investments. It is a private pooling fund. Institutions and high-net-worth individuals typically invest in AIFs as considerable investments are required.

High Returns

AIFs can provide greater returns than typical investments as they have a larger variety of assets and investing methods. However, it carries a higher risk.

Limited fluctuation

AIFs are unconnected to the stock market and hence less volatile compared to other investments such as equities or mutual fund investments.

Portfolio Diversification

AIFs enable investors to diversify their portfolios by providing access to other asset classes such as hedge funds, real estate, and private equity.

Unique Investment Opportunities

AIFs offer asset classes and investment methods that are not typically available to individual investors.

01.

Dividend payments

A fund's revenue might come from stock dividends or bond interest. The fund then distributes virtually all of its earnings to owners after deducting expenditures.

02.

Capital gains distributions

A fund's capital gain is the rise in the price of an asset sold, which the fund distributes to investors at the close of the year after deducting any losses.

03.

Higher NAV

The higher the net asset value (NAV) of a fund's portfolio after expenditures, the more valuable the fund and its shares.

Min Investment: Rs 1 Crore

Benefits of AIF from Infinity Wealth

Min Investment: Rs 1 Crore
Fund Size Upto: Rs 1000 Crore
Tenure: 5+2 years
AIFs are regulated by the SEBI (Securities and Exchange Board of India). As per the SEBI (Alternative Investment Funds) Regulations, 2012, an AIF can be set up as a trust, a company, a limited liability partnership, or a corporate body.