OVERVIEW:

• ASK Private Wealth, part of the Blackstone-backed ASK Asset & Wealth Management Group, has launched the ASK Wealth Advisors (ASKWA) India Opportunities Fund in GIFT City.

• This open-ended Category III Alternative Investment Fund (AIF), based in GIFT-IFSC Gujarat, aims to raise USD 100 million for investment in Indian capital markets.

• It offers a unique opportunity to gain exposure to the rapidly growing Indian capital markets.

FUND STRUCTURE AND STRATEGY:

• The ASK Wealth Advisors (ASKWA) India Opportunities Fund is structured as a Fund of Fund that focuses on India-specific investments.

• The fund aims to raise USD 100 million to invest in the Indian capital markets.

• The fund will invest in quality companies with scalable business models, solid management teams, and sustainable competitive advantages.

• The fund will be managed by a diverse group of fund managers known for their proven track records and complementary investment styles, with a strong emphasis on risk-adjusted returns.

REGULATORY AND INVESTMENT DETAILS:

• As a Category III AIF, the fund can invest in listed and unlisted securities, derivatives, complex products, and other AIF units.

• It is allowed to use leverage up to twice the total fund corpus and cannot invest more than 10% of its funds in any single investee company.

• The minimum investment requirement typically starts at 1,19,132 USD.

• The Fund is exclusively designed for Non-Resident Indians (NRIs) and Overseas Citizens of India (OCIs) excluding those from the US and Canada.

IMPACT ON GIFT CITY:

• Enhanced Reputation: The establishment of a high-profile fund like ASKWA in GIFT City reinforces the city’s status as a premier international financial hub. It attracts global investors and enhances the city’s reputation for hosting sophisticated financial products.

• Increased Investment Flow: With the fund targeting USD 100 million in investments, GIFT City stands to benefit from increased capital flow into Indian markets, boosting liquidity and market activity within the city.

• Diversified Investment Opportunities: The introduction of this Fund of Fund structure offers diverse investment options, potentially drawing more international investors seeking access to India’s growth story through GIFT City’s platform.

• Strengthened Financial Ecosystem: The presence of a prominent fund like ASKWA bolsters GIFT City’s financial ecosystem, fostering the development of additional services, infrastructure, and expertise.

• Global Visibility: ASKWA’s launch helps elevate GIFT City’s profile on the global stage, positioning it as a competitive player among other international financial centers like Singapore and Hong Kong.

CONCLUSION:

• The introduction of the ASKWA India Opportunities Fund is poised to significantly impact GIFT City by reinforcing its role as a prominent international financial center.

• The fund’s focus on raising substantial capital and offering diversified investment opportunities will likely attract increased global interest and investment.

• This move is expected to enhance the financial ecosystem within GIFT City, fostering growth and innovation in the sector.

• By boosting its global profile, GIFT City stands to benefit from enhanced market activity and international credibility.