Sophisticated investment funds for the rich are increasingly foregoing mandatory lock-ins amid a drop in inflows. These category-III alternative investment funds (AIFs) increasingly allow investors to withdraw their money at will even as clients express preference for higher liquidity amid the uncertainties caused by Covid-19.
Each fund has a minimum investment of at least one crore rupees. Around 20 out of the 28 category III AIFs which have subscriptions open for investors currently, for which data is available, fall in the open-ended category.
