Sebi issues operational framework to accelerate launch of AIF schemes

Sebi operationalised the GARUDA green channel to speed up AIF scheme launches via simplified filing.

Regular AIF schemes can launch 10 working days after filing the Placement Memorandum with Sebi through a registered merchant banker.

Accredited Investor-only funds, Large Value Funds, and Angel Funds are exempt from filing PPM through a merchant banker and can launch immediately upon filing.

Merchant bankers must independently conduct due diligence on PPM disclosures for regular schemes and cannot be associates of the AIF.

Sebi introduced mandatory disclaimer clauses in PPMs and requires AI-only funds and LVFs to include specific names in their scheme names.