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<h1>SEBI Amends Regulations: Category III AIFs Investment Cap Raised to 10%, Large Funds Up to 20.</h1> The Securities and Exchange Board of India (SEBI) issued the Second Amendment Regulations, 2022, for Alternative Investment Funds (AIFs), effective upon publication in the Official Gazette. The amendment modifies clause (d) of sub-regulation (1) of regulation 15, stipulating that Category III AIFs can invest up to 10% of investable funds in an investee company, with large value funds for accredited investors allowed up to 20%. These limits apply to direct investments or through units of other AIFs and can be calculated based on investable funds or net asset value, subject to SEBI conditions.