Alternate assets

Alternative Investment Funds (AIF’s) can be viewed as including any investment that is not a traditional investment. Typically, traditional investments include equities, fixed income, or real estate.

Alternative Investment Funds

AIF’s can be classified in to the following three categories

Category 1: (Venture Capital Funds) Start-up / Early stage funds, Infrastructure funds.

These are those AIFs which are positive and beneficial to the Indian economy and enhance growth. Hence these funds receive incentives or concessions by SEBI or the government of India. Such funds generally invest in start-ups or early stage ventures, social ventures, SME’s, infrastructure or other sectors which are considered socially or economically important for the country.

Start up funds / early stage funds:

Venture Capital Fund falls under Category 1 of the AIF regulations and is an investment fund that manages money from investors seeking private equity stakes in start-up and small and medium-size enterprises that show strong growth potential. These investments are generally characterized as high-risk/high-return opportunities.

Infrastructure Funds:

The Indian economy requires huge investments in developing infrastructure like roads and power. Infrastructure funds channelize investments into these companies and thus make money for investors.

Category 2: Private equity funds

Category 3: Hedge Funds

GOLD ETF

Gold Exchange Traded Funds are close ended funds that track the gold prices in India. Gold is regarded as one of the best hedging tools – be it against inflation, currency, stocks or fixed income. Gold protects one’s portfolio from volatility against micro and macro-economic factors that tend to have significant impact on other asset classes, as they have virtually no or little impact on gold prices.

COMMODITIES TRADING*

Karvy helps you trade in commodities through multiple exchanges in a variety of products like agro-commodities, precious metals, base metals and energy products. These investments could be in the form of commodity futures or in the form of spot delivery.

Rewards of investing in the commodities market depend purely on the investment decisions. Only informed decisions are hedged against risks in the commodities market. Karvy helps all our clients with necessary advice to make the most out of the lucrative commodities market.

*Through Karvy Comtrade Ltd.

INTERNATIONAL INVESTMENTS

Resident Indians can invest in financial investments abroad under the Liberalized Remittance Scheme.

International investments can be done through various instruments:

International Funds and Feeder funds offered as mutual funds by the Indian Asset Management companies.
Investments in Direct Equity and Bonds through an international broker
Investments in Structured Products through an international broker
Investment with Direct International Asset Management companies.
Managed Futures

These investments can be made a part of the diversification strategy by adding positions of foreign equities and debt. Karvy Private Wealth can facilitate all of your international investments to bullet proof for your portfolio.