AIF Registration Process

Three-step pathway to obtain SEBI registration for your Alternative Investment Fund

1

Application Submission

Submit Form A to SEBI with fund details, category selection (I/II/III), investment strategy, target corpus, investor profile, and key personnel details

2

SEBI Scrutiny

SEBI reviews fund structure, investment strategy, placement memorandum, investor protection measures, fund manager qualifications, and compliance framework

3

Registration Certificate

Obtain SEBI AIF registration certificate. Commence fund operations, raise corpus from accredited investors, and maintain ongoing compliance obligations

Compliance Framework for AIFs

Essential compliance areas for all Alternative Investment Funds under SEBI regulations

Fund Categories

Category I (VCFs, SME Funds, Social Venture Funds), Category II (PE Funds, Debt Funds), Category III (Hedge Funds) — each with distinct investment restrictions and leverage limits

Placement Memorandum

Maintain a detailed private placement memorandum with investment strategy, risk factors, fee structure, distribution waterfall, and investor rights clearly documented

Record Keeping

Maintain fund records for 8 years including investor agreements, NAV statements, investment decisions, valuation reports, and all regulatory correspondence

Investor Protection

Minimum investment of ₹1 Crore per investor (₹25 Lakhs for employees/directors), mandatory disclosures, grievance redressal, and independent fund administrator

AIF Registration Requirements

Key eligibility criteria and requirements for setting up and registering an AIF with SEBI

Financial Requirements

Minimum corpus of ₹20 Crores (₹10 Cr for Angel Funds)
Minimum investment ₹1 Crore per investor
Manager/sponsor to hold minimum 2.5% or ₹5 Cr, whichever is lower
Annual audit and NAV calculation as per regulations
Valuation by independent SEBI registered valuer

Operational Requirements

Registered as trust, company, LLP, or body corporate in India
Fit & proper key management personnel
Compliance officer and fund manager with relevant experience
Grievance redressal and investor communication mechanism
Annual report and periodic disclosures to SEBI and investors

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Trugydex provides expert guidance for AIF registration, fund structuring, placement memorandum drafting, and ongoing SEBI compliance management

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