Sebi WTM Ananth Narayan notes AIFs invest 65% of committed funds

29 Feb 2024 CW Team

Ananth Narayan, a whole-time member (WTM) of the Securities and Exchange Board of India (Sebi), stated that there is a discrepancy in the actual investments compared to the commitments raised by alternative investment funds (AIFs), which have surged to around 10.84 trillion. He mentioned that, for some unknown reason, the actual investments for funds that have closed since 2012 appear to be only 60?65 per cent of the commitments, weighted by value. Narayan expressed the desire to further explore this phenomenon with the industry to understand the reasons behind it or to confirm if the data interpretation is accurate.

Narayan added that only 7 per cent of these actual investments have been directed towards startups. As of December 2023, the AIF industry boasted over 140,000 investors, with investments reaching approximately 4 trillion.

Addressing industry executives at a conclave organised by the Indian Private Equity and Venture Capital Association, Narayan raised concerns about valuations, noting instances where they remained 'stale' for an extended period or experienced sharp drops as the fund approached maturity.

The Sebi official revealed plans to expedite the approval process for AIF applications, aiming to reduce the time to one month. He mentioned that, as of now, no applications have been pending for more than two months, whereas there were over 55 applications pending in December 2022.

Emphasizing the need to prevent the evergreening of loans and the circumvention of regulations through AIFs, Narayan stated that the standards forum has drafted dos and don'ts for AIF managers and funds. Sebi is also working on defining the specifics of what constitutes circumvention, along with a code of conduct.

According to sources, the AIF industry had approached the Ministry of Finance, seeking relaxation on the directive issued by the Reserve Bank of India that restricts investments in funds with debtor links.

Infrastructure Energy

05 Jun 2026

India Adds Record 44.61 GW Solar Capacity in FY2026

India’s solar sector reached a milestone in FY2026, with cumulative installed capacity crossing 150 GW and annual additions hitting a record 44.61 GW, exceeding the government target of 34 GW and nearly doubling FY2025’s 23.83 GW. Distributed Renewable Energy contributed 16.3 GW, while PPA and C&I segments accounted for 34 per cent and 30 per cent, respectively.India has risen from 9th globally in 2015 to 3rd in cumulative solar capacity by 2025 and is set to become the world’s second-largest solar market in annual installations in 2026. Seven states, led by Rajasthan and Gujarat, ac..

Abhee Ventures unveils Scottish-themed 45-acre township in Bengaluru

Abhee Ventures, a leading South Indian real estate developer, has announced “Codename New Dimension,” a 45-acre Scottish-themed residential township at Gunjur on Whitefield–Sarjapur Road, Bengaluru. Strategically located between Whitefield and Sarjapur Road, Gunjur benefits from strong connectivity to the Outer Ring Road IT corridor, ITPL, EPIP, the upcoming Dommasandra Metro Station, and the proposed SWIFT City and Peripheral Ring Road.The township, designed in collaboration with London-based UHA London and India’s RSP Architects, offers low-density living with 85 per cent open spaces..

Hindalco unveils Eternia experience centre for high-performance aluminium windows

Hindalco Industries, the metals flagship of the Aditya Birla Group, has launched its Eternia experience centre in Lajpat Nagar, New Delhi, highlighting its high-performance aluminium window systems designed for India’s evolving construction sector. The company is also expanding its manufacturing footprint in North India with a new Bilaspur facility.Eternia has emerged as one of the fastest-growing brands in system aluminium windows, registering nearly 65 per cent CAGR over the last three years. With a nationwide network of 170+ channel partners across 100+ cities, the brand serves homeowners..