MONEY MATTERS Markets regulator clears the air on sponsors and managers of alternative investment funds, saying they come under Sebi regulations and are exempt from FDI rule Local business houses and financial services groups will find it easier to rope in foreign partners to carry out fund management activities in India with the capital market regulator, Sebi, clearing the fog caused by a new rule. The Securities and Exchange Board of India has spelt out that sponsors and managers of alternative investment funds, or AIFs, are covered by its regulations — a stand that will spare the sponsors and managers of these funds from a recent government rule that foreign direct investment (FDI) in unregulated financial services cannot be less than Dollar 20 million. AIFs are money pooling vehicles for venture capital funds, private equity houses, real estate and hedge funds, besides others. Sebi’s AIF regulations issued in 2012 provide a framework for registering funds but not sponsors/m