On Tuesday, client Associates, a wealth management firm, announced that its first fund, Client Associates Alternate Fund (CAAF), had closed at approximately Rs 300 crore. With the first close, the company stated that it aims to achieve overall commitments of up to Rs 500 crore by exercising the green shoe option of Rs 200 crore and completing the transaction in the current fiscal. Speaking at the first close, Himanshu Kohli, Co-founder of Client Associates, said the maiden fund represents a significant milestone for the company as it ventures into asset management.
The new fund will invest in startups in the consumer and consumer-related sectors and financial services at the pre-Series A to Series B growth stage. It will consider a portfolio of 12-15 companies, with investments ranging from Rs 10 to Rs 50 crore each.
Furthermore, CAAF will selectively explore later-stage opportunities (pre-IPO) where “it feels there could be value creation opportunities for its Limited Partners (LPs),” according to the company.The fund stated that it has received interest and participation from domestic family offices and UHNIs, most of which are Client Associates’ existing relationships. According to the company’s website, 39% of its clients are family business owners, 33% are C-level executives, 25% are entrepreneurs, and 3% are trusts.
