Venture Capital Funds are investment funds that invest money on behalf of high net worth individuals and other investors in startups and other small firms that show high growth potential but are often risky.
Angel investment is the investment or financial backing made by a high net worth individual to a smaller startup in its initial phase. Such injection of funds often comes from close family and friends in exchange for equity in the company.
Hedge Fund is an investment pool of capital obtained from different investors and individuals to be invested in multiple varieties of assets using varied strategies and alternative style of risk management that maximises profit Hedge funds are often termed more risky and aggressive than simple mutual funds.
Mutual Funds collect money from different investors and invest it in equities, bonds, money market instruments and/or other securities. The profit generated through this investment is distributed proportionally among the investors.
Foreign Portfolio Investment allows investors to own securities such as stocks, bonds or other financial assets in a foreign country. Unlike FDI, FPI does not allow for direct or active control of the company’s assets in whose securities they have invested.