AIF Regulation, SEBI
Category II AIF
Category II Alternative Investment Funds primarily invest in private businesses, debt instruments, and other structured strategies that do not fall under Category I or III. These funds are not focused on early-stage or socially driven sectors, nor do they employ complex leverage or speculative trading. Instead, they offer a middle ground targeting companies with strong fundamentals that require capital for expansion, restructuring, or long-term growth. While these funds don't receive special regulatory incentives, they can operate flexibly and are subject to standard SEBI compliance. Leverage is not permitted, except for routine operational needs.
- Private Equity Funds
- Debt Funds
- Real Estate Funds