How has the AIF industry grown in FY25?

Latest SEBI data shows that the commitments raised by the AIF industry has reached Rs. 13.5 lakh crore as of March 2025. The commitments raised by the industry has increased by 20% in FY25 from Rs. 11.35 lakh crore in FY24.

Of this, the industry has raised funds of Rs.5.63 lakh crore in FY25, which has increased by 25% from Rs.4.52 lakh crore in FY24.

Similarly, the investments made by AIFs have also seen 32% growth in this period from Rs. 4.07 lakh crore to Rs. 5.38 lakh crore.

Here are other key data of the industry:

Cat I AIFs

• The commitments in Cat I AIFs have reached Rs. 89,100 crore as of March 2025, marking an over 15% growth from Rs. 76,900 crore in March 2024
• Funds raised by Cat I AIFs have seen an increase of 21% from Rs. 40,800 crore to Rs. 49,400 crore during the recently completed financial year
• Investments made by Cat I AIFs have recorded a growth of 32% from Rs. 32,500 crore to Rs. 42,900 crore
• Venture capital funds (VCFs) remain dominant in Cat I with commitments raised of Rs. 51,800 crore. Out of these commitments, VCFs have raised funds of about Rs. 31,600 crore and made investments of Rs. 27,400 crore
• The commitments raised by VCFs has seen a 12% growth in FY25 while  
• Infrastructure funds are second biggest in the category with commitments of Rs. 19,650 crore out of which funds of Rs. 9,000 crore have been raised while Rs. 7,500 crore has been invested
• Angel funds are next with raised commitments in excess of Rs. 10,100 crore. About half of the committed amount or Rs. 5,100 crore has been raised while the invested amount out of it is over Rs. 4,400 crore

Cat II AIFs

• Cat II AIFs have seen overall commitments of Rs. 10.3 lakh crore as of March 2025, recording a 13% growth from Rs. 9.13 lakh crore in FY25
• Funds raised in this category have seen a 14% growth from Rs. 3.21 lakh crore in March 2024 to Rs. 3.67 lakh crore in March 2025
• Investments made in the category have also seen a growth of about 20% from Rs. 2.76 lakh crore to Rs. 3.32 lakh crore during this one-year period

Cat III AIFs

• Cat III AIFs have recorded commitments of Rs. 2.30 lakh crore as of March 2025, seeing a growth of nearly 60% in FY25
• The funds raised in this category have increased by 64% from Rs. 90,000 crore to Rs. 1.47 lakh crore
• The investments made in this category has also seen a jump of over 65% from Rs. 98,500 crore to Rs. 1.63 lakh crore in this one-year period

Net investment in top sectors

Real estate, IT/ITes (IT enabled services) and financial services have retained their top positions as the most invested sectors in AIFs.

The top 10 sectors based on investment in AIFs have changed in FY25. Retail and renewable energy sectors which received Rs. 10,600 crore and Rs. 10,400 crore as of March 2025 are now out of the top 10. They have been replaced by health care providers & services and insurance sectors, which have received about Rs. 12,600 crore and Rs. 11,600 crore, respectively.

IT/ITes sector has seen the highest increase in investment in FY25 of Rs. 9,600 crore. Pharmaceuticals sectors have also seen an increase in investment of Rs. 7,200 crore during the year. NBFCs and banks have also seen an increase in investment of Rs. 6,300 crore and Rs. 6,000 crore, respectively.  

Others sector which includes remaining investment in AIF has also grown by 44% in FY25 from Rs. 2.1 lakh crore to Rs. 3 lakh crore.  

Here is the sector wise breakup of investment made by AIFs:

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