Markets regulator SEBI amends rules governing alternative investment funds
The Hindu
In a notification, the SEBI said, “Co-investment by investors of alternative investment fund shall be through a co-investment portfolio manager.”
Markets regulator Securities and Exchange Board of India (SEBI) has amended the regulatory regime governing alternative investment funds (AIFs), to facilitate co-investment through the portfolio management route.
Co-investment means investment made by a manager or sponsor or investor of Category-I and -II AIFs in investee companies where such category of AIFs makes investment.
In a notification on Tuesday, the SEBI said, “Co-investment by investors of alternative investment fund shall be through a co-investment portfolio manager.” The regulator said the terms of co-investment in an investee company by a manager or sponsor or co-investor, will not be more favourable than the terms of investment of the AIF.

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