Individual investors taking the alternative investment fund (AIF) route to obtain the ‘qualified institutional buyer’ (QIB) status might find the going tough.
Amid concerns around circumventions of rules, the Indian Venture and Alternate Capital Association (IVCA), an industry association for AIFs, has proposed stricter thresholds for achieving QIB status.
QIBs are essentially institutional investors such as mutual funds, foreign portfolio investors (FPIs) and AIFs. They have separate quotas in initial public offerings (IPOs) and offer for sales (OFS). There are concerns that some wealthy investors were taking the AIF route to qualify as institutional investors.
Last month, the Securities and
First Published: Feb 03 2024 | 12:14 AM IST