AIF registration dips in 2020 as fund managers turn cautious amid Covid-19

The registration of new alternative investment funds (AIFs) may have slowed down for the first time in years in 2020. AIF registrations numbered 88 in 2020, compared to 129 in 2019, a decline of 31.8 per cent and reported for the first time since 2014. This breaks a five-year rising trend, showed a Business Standard analysis of regulatory registration data.

Alternative investment funds are sophisticated schemes for wealthy people to invest their money. They require a minimum investment of Rs 1 crore.

"Fund managers adopted a wait-and-watch approach at the beginning of the Coronavirus (Covid-19) pandemic due to increased redemptions