RCAM enters AIF space; to raise Rs 5,000 cr via the fund

Tags: News
Reliance Capital Asset Management (RCAM) today said it has launched its first Alternate Investment Fund (AIF) and is targeting to raise over Rs 5,000 crore through the fund in the next three years.

The real estate-based fund is being launched through RCAMs subsidiary, Reliance AIF Management Company Ltd.

"RYMAIF (Reliance Yield Maximiser Alternative Investment Fund – Scheme I) seeks to invest in a portfolio of relatively high yielding securities, issued by companies participating predominantly in the residential real estate sector," RCAM said in a statement today.

"Reliance has emerged as one of the key player in the real estate investment space during last three years," RCAM CEO Sundeep Sikka said.

"We plan to scale up our AIF presence and have plans to raise over Rs 5,000 crore under AIFs alone in next 3 years," Sikka said.

The fund aims to generate an attractive target IRR (Internal Rate of Return) in the range of 20-24 per cent on the underlying investments, the company said.

As of June 2014, RCAM has raised and deployed over Rs 1,200 crore under real estate based strategies and offered at an attractive IRR range of up to 27 per cent, the highest in the industry, it added.

AIFs are generally funds established or incorporated in India for the purpose of pooling in capital from Indian and foreign investors for investing as per a pre-decided policy.

The Securities and Exchange Board of India (Sebi) had notified the AIF regulations in May 2012, and since then had granted registrations to over 100 such funds.

Sebi's rules apply to all AIFs, including those operating as private equity funds, real estate funds and hedge funds, among others.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • Skill gaps faced by India’s graduates cannot be filled easily

    India, the third largest economy in the world with regard to purchasing power parity, is expected to overtake China in its working population by 2028.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

M S Swaminathan

Public good research in agriculture

Public good research in agriculture is designed to promote risk ...

Purnendu Ghosh

Why we must know the rules of the game

We like to believe that people are good and we ...

Shona Adhikari

Pop art is truly a feast for the eyes

The internationally reknowned Bruno Art Group’s presence in India had ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture