AIF fundraising in India reached a cumulative net ₹7.59 lakh crore as of June 30, 2026, up 28.3% from a year earlier. Category II funds accounted for nearly 63% of the total, while Category III funds grew fastest during the first quarter of the financial year ending March 2027.
Key Takeaways
- The headline total measures cumulative net funds raised, not assets under management.
- Category II remained the largest segment, while Category III fundraising grew 35.2% year over year.
- Gross domestic funding increased 38.5%, while funding from foreign portfolio investors fell 41.7%.
Table of Contents
- AIF fundraising remains concentrated in Category II
- Domestic funding grows as the FPI contribution falls
- Unlisted securities lead deployment as real estate rebounds
- Conclusion
AIF fundraising remains concentrated in Category II
The Securities and Exchange Board of India’s June 2026 AIF statistics distinguish between commitments, funds raised and investments made. The ₹7.59 lakh crore headline is cumulative net funds raised; it is not a market valuation of assets under management or the amount collected during the June quarter alone.
Category II funds, which include private equity and debt funds, recorded 26% year-over-year growth. They remained substantially larger than the other two categories combined.
Category III funds grew 35.2% and represented about 28.6% of net funds raised. Category I funds, including venture capital, infrastructure and other targeted investment funds, increased 24.5% and accounted for roughly 8.4%.
SEBI compiles the figures from quarterly submissions by registered alternative investment funds. Its separate measures show why commitments to provide capital should not be treated as money already raised or invested.
| Item | Details |
|---|---|
| Category I net funds raised | ₹63,487 crore as of June 30, 2026 |
| Category II net funds raised | ₹4,78,195 crore as of June 30, 2026 |
| Category III net funds raised | ₹2,17,227 crore as of June 30, 2026 |
| Total commitments | ₹17,53,070 crore |
| Total cumulative net investments made | ₹7,10,787 crore |
Domestic funding grows as the FPI contribution falls
Gross cumulative funds raised from domestic investors reached ₹6.06 lakh crore, an increase of 38.5% from a year earlier. Domestic investors remained the largest funding source.
The corresponding amount from foreign portfolio investors, or FPIs, fell 41.7% to ₹1,247 crore. That decline concerns one relatively small foreign-investor group, rather than all overseas funding.
SEBI recorded ₹27,323 crore from nonresident Indians and ₹2,47,975 crore from its other foreign investors category. Together, those groups supplied about 96% of gross foreign funding.
These investor-origin figures are gross amounts and exclude funding from employees, sponsors, managers and employee benefit trust managers. They therefore should not be added together and compared directly with the headline net fundraising total.
Unlisted securities lead deployment as real estate rebounds
Cumulative net investment in unlisted securities rose 21.8% year over year to ₹4.28 lakh crore. Listed-securities investment grew faster, at 28.1%, but remained smaller at ₹2.35 lakh crore.
Measured by instrument type, equity and equity-linked investments increased 30.2% to ₹4.73 lakh crore, compared with an 18.1% rise in debt investments to ₹1.56 lakh crore. These are different classifications of investment activity, not additional pools to combine with the listed and unlisted totals.
Real estate investment increased 24% to ₹87,969 crore, reversing a 4.6% contraction a year earlier. Financial services grew 50.4% to ₹69,083 crore, while pharmaceutical investment rose just 2.7% to ₹23,323 crore, slowing from 39.9% growth in the previous annual comparison.
Conclusion
The June figures show expanding fundraising led by domestic investors, with Category II funds retaining the largest share. Subsequent quarterly SEBI returns will show whether Category III’s faster growth and the recovery in real estate investment continue.
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