Kotak Banking and Financial Services Fund New Fund Offer Review
Kotak Mutual Fund is launching a new sector fund, Kotak Banking and Financial Services Fund, that invests across the securities of banking and financial services.
The New Fund Offer (NFO) period for the Kotak Banking and Financial Services Fund is from 6th February 2023, to 20th February 2023. The scheme re-opens for continuous repurchases and sale on or before 6th March 2023.
Investment Objective: The investment objective of the scheme is to generate long-term capital appreciation from a portfolio that is invested predominantly in equity and equity related securities of companies engaged in banking and financial services sector. However, there can be no assurance that the investment objective of the scheme would be achieved.
Kotak Banking and Financial Services Fund NFO Details
| Fund Name | Kotak Banking and Financial Services Fund |
| NFO Opening Date | 6th February 2023 |
| NFO Closing Date | 20th February 2023 |
| Re-open Date | On or before 6th March 2023 |
| Type of Fund | Equity: Sectoral-Banking |
| Fund Manager | Ms Shibani KurianMr Abhishek Bisen (Debt Securities)Mr Arjun Khanna (Foreign Securities) |
| Minimum Investment Amount | INR 5,000 |
| Minimum Additional Purchase Amount | INR 1,000 |
| Exit Load | 0-1% |
| Suitability | Very High Risk |
| Benchmark | Nifty Financial Services |
| Plans and Options | Direct and Regular PlanGrowth and Income Distribution cum Capital Withdrawal (IDCW) Option |
NOTE:
- All additional investment amounts should be multiple of INR 1
- Minimum SIP/SWP for Monthly frequency is INR 1,000.
Who Can Invest in Kotak Banking and Financial Services Fund NFO?
Kotak Banking and Financial Services Fund is a sector-based fund that invests across the banking and financial services companies. Thus, the fund best suits investors looking to invest in the BFSI sector. The scheme uses a bottom-up approach and selects stocks with no cap on market capitalization and available at reasonable prices.
Since the fund is focused on the BFSI sector, it is a high-risk fund. Thus, investors who understand the associated risks and volatility of the sector can consider investing in the fund. Furthermore, it is ideal to have a long-term investment horizon of minimum 5 years or more, as it helps in long-term wealth creation.
Popular Funds by Kotak Mutual Funds
- Kotak Small Cap fund
- Kotak Emerging Equity Scheme
- Kotak NASDAQ 100 Fund of Fund
- Kotak Banking and PSU Debt fund
- Kotak Balanced Advantage Fund
Fund Manager
- Ms Shibani Kurian: Ms. Kurian has been associated with Kotak AMC for over 12 years. She has more than 20 years of experience with Indian Equity Markets. She is primarily responsible for identifying macro and sector trends, which provide a top-down thematic overlay to the bottom-up approach to stock picking. In addition heading the equity research team responsibility, she also actively tracks banking, financial services, and the IT sector. Her previous associations are with UTI Mutual Fund and Dawnay Day AV Financial Services. Ms. Kurian holds a Bachelor of Science degree in Economics (Hons) from St. Xavier’s College, Kolkata. She also holds a PGDM (Finance) from T.A Pai Management Institute, Manipal.
- Mr Abhishek Bisen: Joined in 2006, Mr. Bisen is responsible for fund management of Debt schemes. Before joining Kotak AMC, he was with Securities Trading Corporation of India Ltd. Mr. Bisen holds a BA (Management) and MBA (Finance) degree. He was awarded Highly Commended Investors in Indian Rupees Bonds from the Asset magazine Hong Kong, twice.
- Mr Arjun Khanna: Mr Khanna has more than 13 years of experience in equity research. Prior to joining Kotak Mutual Fund, he worked with Principal Mutual Fund and Citigroup NA. He is a CFA and is also a Financial Risk Manager – certified by the Global Association of Risk Professionals. He did his Masters of Management Studies (Finance) from Jamnalal Bajaj Institute of Management Studies. Moreover, he did his Bachelor of Engineering (Electronics) from Mumbai University.
Other Funds Managed
- Kotak Multicap Fund
- Kotak India EQ Contra Fund
- Kotak Focused Equity Fund
- Kotak Manufacture in India Fund
Asset Allocation
| Instruments | Minimum Allocation | Maximum Allocation | Risk Profile |
| Equity and Equity Related Securities of Companies Engaged in Banking and Financial Services Sector | 80% | 100% | Very High |
| Equity and Equity Related Securities of Companies Other Than Those Engaged in Banking & Financial Services | 0% | 20% | Very High |
| Overseas Mutual Funds schemes / ETFs / Foreign Securities | 0% | 20% | Very High |
| Debt and Money Market Instruments | 0% | 20% | Low to Moderate |
| Units issued by REITs and InvITs | 0% | 10% | Very High |
Similar Mutual Funds
- SBI Banking & Financial Services fund
- HDFC Banking & Financial Services Fund
- ICICI Prudential Banking and Financial Services Fund
- Tata Banking & Financial Services Fund
- Mirae Asset Banking and Financial Services Fund
Frequently Asked Questions
You can invest in the Kotak Banking and Financial Services Fund through any of the following methods:
Offline: By filling out the Kotak NFO application and submitting it along with all documents and cheques to the nearest Investor Service Centre of CAMS or Kotak mutual fund office.
Online:
Kotak Mutual Fund Website
Online FinTech platforms and mutual fund platforms
Through Demat account
Through a mutual fund distributor or agent
Yes, it is a high-risk investment based on the riskometer. Kotak Banking and Financial Services Fund is a pure equity sector mutual fund that invests across companies belonging to banking and financial services sector.
No, Kotak Banking and Financial Services Fund has no lock-in period.
When will the scheme open for ongoing subscriptions, switches and redemptions?
The Kotak Banking and Financial Services scheme re-opens for ongoing subscriptions, switches and redemptions on or before 6th March 2023.
