Structuring a fund requires knowledge of investment techniques and astute strategies for portfolio design. Equally important for the success of any fund, however, is an acute understating of the prevalent legal and tax framework. The selection of the fund vehicle itself is driven by various considerations; and deciding the best- suited fund vehicle requires an understanding of current market demography and legal requirement. This introductory guide to fund structuring reflects upon the historical development of funds, the choice of fund structure and also brings to focus the regulatory aspects of various operational investment funds in India. This work is intended as an introductory text for all those readers who wish to acquaint themselves with investment fund operation in India and provides a detailed description and rationale of the existing fund structures. The work also comprises an exhaustive description of the features, characteristics of various types of funds and the associated benefits available to the investors.
The early chapters provide the readers with a general outlook of the fund, and then goes on to acquaint them with the concept and regulatory regime surrounding private trust and the rationale of its prevalent usage as a vehicle for fundraising and investment. This is followed by a discussion on the specifications, key attributes, advantages and regulatory regime applicable to various fund types such as Alternate Investment Fund, Securitization Trust, Mutual Fund, and Portfolio Investment. This book also discusses the tax implications on sponsors, fund vehicles and investors as per the Indian taxation regime.
This book in the hand of the reader should be viewed as a great resource to understand the unique features of the fund market and should aid in making an informed decision in the selection of funds to fulfill their desired investment objective.
ALOK VERMA is an Assistant Professor at NALSAR University of Law. He has completed his professional degree from the Institute of Company Secretaries of India. Before joining academia, he spent substantial time in law firm practice dealing with general corporate affairs. Verma's research interests include various aspects of funds, business restructuring, and Insolvency and Bankruptcy Laws.
KARAN TREHAN is a Member at NALSAR Centre for Corporate and Tax Law where he is engaged in research pertaining to the domain of tax and other commercial laws. He was also a Fellow at the Centre for Innovation, Intellectual Property and Competition Law – NLU, Delhi, wherein he worked on the project 'Practising Patents in India', and also conducted research on the antitrust treatment of Patent Assertion Entities across various jurisdictions. Trehan has commented on issues concerning the intersection of Tax and Constitutional Law in India, Competition Law and IPR among others.
The book is available here