What is it?

• The Green Growth Equity Fund (GGEF) was established in 2017 as a joint UK-India fund specifically designed to promote sustainable energy projects. 
• The two countries have invested over £240 million of anchor capital into the fund, which is expected to raise up to £500 million from institutional investors. 
• GGEF is registered as an Alternative Investment Fund (AIF) with the Securities and Exchange Board of India (SEBI).

Why in News?

• GGEF is starting to mobilise private investment.

About AIF

• • Alternative Investment Fund means any fund established or incorporated in India which is a privately pooled investment vehicle which collects funds from sophisticated investors, whether Indian or foreign, for investing it in accordance with a defined investment policy for the benefit of its investors. 
  • AIF does not include funds covered under the SEBI (Mutual Funds) Regulations, 1996, SEBI (Collective Investment Schemes) Regulations, 1999 or any other regulations of the Board to regulate fund management activities.  

• Categories of AIF:

• • Category I AIF (venture capital funds, SME Funds, social venture funds, infrastructure funds, etc) 
  • Category II AIF (real estate funds, private equity funds, funds for distressed assets, etc)
  • Category III AIF (hedge funds, private investment in public equity (PIPE) Funds, etc)
• In India, AIFs are regulated by the Securities and Exchange Board of India (Alternative Investment Funds) Regulations, 2012. 

Reference:

1. .https://www.thehindu.com/news/national/working-with-india-to-make-clean-power-accessible-says-uk-minister/article32213863.ece