Category III AIF

Also written: category 3 aif, aif category 3

What is Category III AIF in an Indian AIF?

A Category III AIF employs diverse or complex trading strategies and may use leverage, including through listed or unlisted derivatives. Long-short and other hedge-style funds sit here. Category III funds may be open-ended or close-ended and are taxed at the fund level, unlike Categories I and II.

Authority: SEBI (Alternative Investment Funds) Regulations, 2012

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Definitions are explanatory, not legal advice. Where a definition rests on a regulation or circular it is named above; verify against the instrument before relying on it.