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E-mail ID will not be published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.
Image CAPTCHA
Copy the characters (respecting upper/lower case) from the image.

EDITORIAL OF THE DAY

  • India needs to think quick and act fast to crank up its crude reserves

    With China overtaking the US in crude oil imports in April with imports at 7.4 million barrels per day, its thirst for building reserves and proving i

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

TODAY'S COLUMNS

Arun Kumar Jain

Politics has to be about problem solving

One of the most common sights every morning at major ...

Kuruvilla Pandikattu SJ

Start meditating to preserve grey matter

Since 1970, life expectancy around the world has risen dramatically, ...

Gautam Gupta

It’s ethnic wear all the way in Indian fashion

India is one of the most diverse countries in the ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture