Co-Investment Structures Bringing Investors Closer to Deals

Overview:
Globally, sophisticated investors prefer to invest beside fund managers to enhance control and transparency. India is fast adopting this co-investment culture.

Key Points:

• In 2025, over 62 percent of global private-equity investors take part in co-investments (Preqin Data).
• India’s co-investment exposure has crossed USD 6 billion, growing at 40 percent annually since 2020.
• Investors pay lower performance fees and enjoy deal-level visibility.
• Global norm: decision window ≈ 10 days; Indian funds ≈ 7 days due to faster turnarounds.
• Sectors favoured in India – renewable energy (22 percent of co-deals), manufacturing (18 percent), and technology (17 percent).
• By 2030, co-investment participation in India could reach USD 25 billion as family offices gain expertise.

Truvest Capital Insight:
Co-investments bring global best practice to Indian funds – alignment beats intermediation.

Disclaimer: Educational content only. Not investment advice. Investments in Alternative Investment Funds or Portfolio Management Services are subject to market risk. Consult a SEBI-registered advisor before investing.