Alternative Investment Funds
Venture Capital & SME Funds
Early-stage startups and growth-stage SMEs through SEBI-registered Category I AIFs.
- Minimum
- ₹1 Crore
- Risk
- Very High risk
- Liquidity
- Locked in
Overview
What this actually is
Category I AIFs invest in areas the regulator considers socially or economically desirable — venture capital, SMEs, infrastructure and social ventures.
These are long-dated, illiquid commitments. Capital is drawn down over time as the fund finds deals, and returns, if any, arrive years later when holdings are sold. A total loss of the commitment is a real possibility.
Why consider it
What it does well
- Access to private, early-stage companies unavailable on public markets.
- Returns are driven by company outcomes rather than market sentiment.
- Managed and diligenced by a professional investment team.
- SEBI-registered structure with a mandated private placement memorandum.
Key details
The specifics
- Minimum commitment
- ₹1,00,00,000 (regulatory)
- Category
- SEBI Category I AIF
- Typical tenure
- 8–10 years
- Liquidity
- Locked in — no early exit
- Risk
- Very high, including total loss
Who is this for
You might be a fit if…
If none of these describe you, that is useful information too — tell us on the call and we will point you somewhere more suitable.
- Eligible investors able to commit ₹1,00,00,000
- Investors with a substantial existing portfolio for whom this is a small allocation
- Investors who can lock capital away for eight to ten years
- Investors who genuinely accept the possibility of losing the entire commitment
Risks & considerations
- Very high risk. Early-stage investing carries a real possibility of total capital loss.
- Illiquid and locked in, typically for eight to ten years. There is no practical exit before the fund winds down.
- Capital is drawn down over time, so you must hold the committed amount available.
- Valuations between drawdown and exit are estimates, not realisable prices.
- Returns depend on a small number of successful exits, which may not materialise.
- AIF fee structures are complex and typically include both management and performance fees.
Important information
Alternative Investment Funds carry a regulatory minimum commitment of ₹1,00,00,000 and are available only to eligible investors. AIFs are illiquid, long-horizon products and are not suitable for every investor. Please read the Private Placement Memorandum carefully before investing.
Investment in securities market are subject to market risks. Read all related documents carefully before investing.
Past performance is not indicative of future returns.
Investment in Nuvama products is facilitated by Sarvam Associates as an authorised distribution partner. Products are offered by Nuvama Wealth Management Ltd. All investments are subject to market risks. Please read all scheme related documents carefully.
Sarvam Associates is a distribution partner, not the manufacturer of these products.
Also in Alternative Investment Funds
Cat II AIF
Private Equity & Debt
Private equity, real estate debt and structured credit not available on public markets.
High risk- Liquidity
- Locked in
From ₹1 CroreCat III AIF
Long-Short & Quant Strategies
Hedge-fund-style strategies using derivatives, long-short equity and quantitative models.
Very High risk- Liquidity
- Low — difficult to exit early
From ₹1 Crore
Next step
Talk to a Sarvam advisor
Fifteen minutes on venture capital & sme funds — whether it fits, what it would cost you, and what could go wrong. No obligation either way.
Important information
Mutual Fund investments are subject to market risks. Read all scheme related documents carefully before investing.
Sarvam Associates is a distribution partner, not the manufacturer of these products.
The content on this website is for general information only and does not constitute investment advice or a recommendation to buy or sell any product. Product suitability depends on your individual circumstances. Please speak with an advisor before investing.