Kotak Mahindra Mutual Fund Launches Kotak Special Opportunities Fund
Kotak Mahindra Mutual Fund introduces Kotak Special Opportunities Fund, targeting long-term capital growth from unique market conditions.
Kotak Mahindra Mutual Fund has introduced a new scheme, the Kotak Special Opportunities Fund, designed to seize upon unique market conditions and special situations. This open-ended thematic fund is set to attract investors looking for long-term capital growth.
Fund Details
The Kotak Special Opportunities Fund is open for investment with a minimum entry requirement of just Rs 100. There is no lock-in period, allowing investors to withdraw their funds whenever needed. The fund will remain open until June 24, 2024.
Investment Objective
The primary goal of the Kotak Special Opportunities Fund is to achieve long-term capital appreciation. It aims to capitalize on special situations such as mergers, policy changes, and other unique events that could potentially lead to significant gains.
Special Situations Defined
Special situations encompass a wide range of opportunities and challenges including company-specific events, corporate restructuring, government policy changes, regulatory changes, and technology-led disruptions.
Fund Allocation and Instruments
The fund allocates predominantly to equities focusing on special situations, with a minimum of 80% and up to 100% of the portfolio in this category. It also allows for allocations in other equities, debt and money market instruments, as well as REITs & InvITs.
Risk Profile and Benchmark
The Kotak Special Opportunities Fund is categorized with a "Very High" risk profile, reflecting its thematic approach and the nature of special situation investments. The fund's performance will be benchmarked against the Nifty 500 TRI.
Who Should Invest?
This fund is suitable for investors looking to capitalize on unique market conditions and those seeking strategic allocation in their equity portfolios. It is ideal for those with a long-term investment horizon of 5 years or more.
Performance Comparison
|
Scheme Name
|
AUM (Crore)
|
Expense Ratio (%)
|
1 Year Returns (%)
|
|
ICICI Pru India Opportunities
|
19072.35
|
1.65
|
47.95
|
|
Axis Special Situations Fund
|
1216.846
|
2.23
|
33.02
|
Fund Manager
The fund is managed by Devender Singhal, a seasoned expert in Indian equity markets with over 22 years of experience. His expertise lies in fund management and equity analysis across various sectors, contributing to high-performance levels.
Conclusion
Investors interested in long-term capital growth from unique market opportunities may find the Kotak Special Opportunities Fund appealing. Managed by an experienced fund manager, it offers potential for growth, though like all investments, it carries inherent risks.
Disclaimer: The article is for informational purposes only and not investment advice.
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