Investment Strategy
Vivriti Alpha Debt Fund – Enhanced is a Category II AIF designed to generate superior risk-adjusted returns by investing in senior secured debt instruments of high-growth, mid-sized companies. The fund primarily focuses on performing credit opportunities, targeting stable and proven businesses that require customized debt solutions.
Core Investment Approach
Investing in Senior Secured Debt Instruments:
- Primarily allocates capital to Market-Linked Debentures (MLDs) and Non-Convertible Debentures (NCDs).
- Targets high-growth companies with stable cash flows and strong business models.
- Ensures capital security through structured debt agreements.
Well-Defined Risk-Return Structure:
- Class A1 rated ICRA A+(SO) for capital protection, providing additional safety to investors.
- Targeted XIRR of 15.25% with a net yield of ~12.50% (post-expense, pre-tax).
Sectoral & Portfolio Diversification:
- Investments across Infrastructure, Financial Services, Renewable Energy, Agritech, and SaaS.
- Low concentration risk, ensuring exposure across multiple high-potential industries.
Risk Management & Downside Protection:
- Cash-flow-backed exits instead of relying on equity dilution or refinancing.
- Ongoing issuer and sector monitoring through Vivriti’s proprietary risk assessment framework.
Defined Exit Strategy for Liquidity & Returns:
- The fund has a tenure of 3.5 years, allowing sufficient time for capital appreciation.
- Redemptions structured to provide consistent cash flow distributions to investors.