On February 14, 2025, the Securities and Exchange Board of India (SEBI) announced the relaxation of timelines for Alternative Investment Funds (AIFs) regarding their investment holdings. Investments made on or after July 1, 2025, must be in dematerialized form. However, investments made before this date are not required to be converted unless specific conditions apply, with a deadline set for October 31 for conversion. Exemptions are granted for certain AIF schemes, and compliance will be ensured via a ‘Compliance Test Report’ by the AIF manager. The article serves informational purposes and advises consulting financial experts.