SEBI’s board on its June 19, 2026 meeting has approved the GARUDA mechanism to make the filing and processing of placement memorandums of Alternative Investment Funds faster.

GARUDA, or Green-Channel: AIF Rollout Upon Document Acknowledgement, has been approved through amendments to the SEBI (Alternative Investment Funds) Regulations, 2012. The move is aimed at improving ease of doing business and enabling faster deployment of capital by AIFs.

Under the framework, regular AIF schemes — excluding large value funds, accredited-investor-only schemes and angel funds — can launch within 10 working days, compared with the longer timeline required earlier.

SEBI has also provided a faster route for schemes meant only for accredited investors. Given the sophistication of accredited investors, accredited-investor-only schemes and angel funds comprising only such investors have been exempted from filing the private placement memorandum through a merchant banker. These schemes will be allowed to launch immediately after SEBI registration is granted or after the PPM is filed with SEBI.

The proposals were earlier discussed by SEBI’s Alternative Investment Policy Advisory Committee on April 28, 2026. SEBI had also issued a public consultation paper on May 11, 2026. The final framework incorporates relevant feedback received from the committee and through the public consultation process.

Source: Sebi press release