SEBI defines AIF as any fund that has been incorporated or established in India, which is a privately pooled investment instrument. These privately pooled funds can invest in real estate, hedge funds, or private equity. These funds are generally not open to the general public or available as easily.

AIFs are often less volatile than traditional equity investments. This is primarily because they are not directly tied to the stock market, meaning fluctuations in stock prices do not significantly impact their performance.

At QVSCL, we specialize in providing innovative alternative investment funding solutions designed to meet the unique capital requirements of high-growth and evolving businesses. Our offerings include access to private equity, venture capital, structured finance, and mezzanine funding—ideal for companies seeking non-traditional financing options to fuel expansion, innovation, or turnaround strategies. QVSCL works closely with a global network of investors, family offices, and alternative asset managers to structure flexible funding deals that align with your risk profile and long-term objectives.

As per SEBI’s regulations, there are three types of Alternative Investment Funds:

1. Category I AIF: Alternative Investment Funding that primarily invest in early stages ventures, Small and Medium Enterprises, social ventures that fall under Category I AIF. Socially and economically viable projects, as considered by the Government of India, also fall under this category.

1. Category II AIFs: This category includes private equity and debt funds that do not fall under Category I or III. They typically alternative investment strategies in a range of instruments without leveraging except for operational needs.
2. Category III AIFs: These funds employ complex trading alternative  investment funding strategies, including leveraging and hedging, to generate short-term returns. Hedge funds and private investments in public equity (PIPE) fall into this category.