Neo Asset Achieves ₹1,000 Crore Target for Real Asset Yield Fund in Record Time

Chennai-based Neo Asset has announced the successful final close of its Neo Real Asset Yield Fund, an open-ended Category III Alternative Investment Fund, reaching its ₹1,000 crore target corpus in under five months. The fund has already committed over 80% of its capital to investments.

The fund's strategy focuses on allocations across both privately and publicly listed Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs). Neo Asset established itself as the first platform to raise and deploy capital through this particular fund structure, with other asset managers subsequently launching comparable strategies, though many remain in fundraising or initial deployment phases.

Shajikumar Devakar, Co-Founder of Neo Group, highlighted the fund's appeal to investors seeking portfolio diversification. "This fund was created to give our clients a dedicated way to allocate to real assets—InvITs and REITs—within their broader portfolios," Devakar said. "The strong response reflects growing demand to diversify beyond traditional fixed income and equity allocations. This strategy was designed to provide institutional-grade access to high-quality privately listed InvITs, typically reserved for large institutions, alongside the best public REIT and InvIT opportunities – combining premium access with liquidity."

The rapid close underscores growing institutional appetite for real asset exposure in India's investment landscape. Hemant Daga, Co-Founder and Chief Executive of Neo Asset, positioned the fund closure as part of a larger vision. "The Real Asset Yield Fund is one part of a broader ambition – building India's leading private markets platform across real assets, private credit, and private equity. This closure gives us a strong foundation for what comes next," Daga stated.