Kotak Savings Fund (Growth) is recommended for investment within ultra short mutual funds.
Ultra short funds provides relative safety of capital with growth at par with inflation and is suitable for investment objectives with duration of 1-5 years or longer.
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Scheme Information
Investment Objective
The investment objective of the Scheme is to generate returns through investments in debt and money market instruments with a view to reduce the interest rate risk. However,there is no assurance or guarantee that the investment objective of the scheme will be achieved.
Disclaimer: Products compared like fixed deposits may provide fixed guaranteed returns. Mutual Funds investments are subject to market risk, read all scheme related documents carefully before investing. Past performance is not an indicator of future returns.
Kotak Mahindra Asset Management Co Ltd manages assets worth 245,053 crores and was set up on 5 August 1994. It's current offering of mutual fund schemes includes 37 equity,162 debt and 26 hybrid funds.
We use a proprietary system to rate mutual funds and based on that make a recommendation or rate the fund as top ranked.
What Scripbox recommendations mean?
Recommended
Scripbox algorithm recommends 2-4 funds for investment for an investment asset class such as large cap, diversified, liquid etc. When you invest for an objective, the algorithm suggests the appropriate asset class and funds.
Top Ranked
Neutral
Not Recommended
Track Record
We look at consistent and long historical performance for our analysis.
Fund Size
We look at the size of the fund with respect to other funds in the category. Larger funds are preferred.
Sub-asset Class View
We check if the sub-category of the fund is recommended by us.
Fund Performance
Consistency of performance over various tenures is analysed for a relative performance stack.
Track Record
We look at consistent and long historical performance for our analysis.
Fund Size
We look at the size of the fund with respect to other funds in the category. Larger funds are preferred.
Impact of Interest Rates
We check the relative interest rate risk of the sub-category of the fund. Lower the better.
Credit Attractiveness
We check the credit quality of the underlying instruments present in the fund. Higher the better.
Equity Funds
Debt Funds
Kotak Savings Fund-Growth is a direct ultra short-duration debt mutual fund scheme provided by Kotak Mahindra Mutual Fund. It predominantly invests in debt instruments and aims to achieve returns through a lower interest rate risk. The fund was previously known as Kotak Treasury Advantage Fund Reg Gr. It aims to outperform the benchmark with risk lower than the benchmark. Kotak Mahindra Asset Management Co Limited manages the fund with the fund manager being Mr. Deepak Agarwal.
Kotak Savings Fund-Growth Investment Objective
The investment objective of the Scheme is to generate returns through investments in debt and money market instruments with a view to reducing the interest rate risk. However, there is no assurance or guarantee that the investment objective of the scheme will be achieved. However, there is no assurance that the objective of the scheme will be realized. The fund has an investment of 95.16% in debt instruments of which its investment in government securities is 31.49% and 63.67% in low-risk debt securities and instruments.
Kotak Savings Fund-Growth Scheme Details
The scheme was launched on 13th August 2004 and it has been in existence for the past 17 years. It continues to provide growth of investment at par with inflation over the investment duration.
NAV and Returns– As of 22nd June 2021, the NAV of the fund is Rs 33.97. The risk-o-meter of the fund is low to moderate risk. Kotak Savings Fund is a 17-year-old fund and has delivered a return of 7.50% since its inception.
Minimum Investment– The fund requires a minimum SIP investment of Rs 1,000 and a minimum lump sum investment of Rs 5,000
Expense Ratio and Exit Load– The expense ratio for the fund is 0.77% which is close to the expense ratio charged by other AMCs for similar funds. No exit load is charged on the redemption of the units of these funds.
Fund Manager– The fund is managed by Mr. Deepak Agarwal. Mr. Deepak Agarwal has been managing the fund since 15th April 2008. He has been associated with Kotak Mahindra Asset Management Co Limited since the year 2000. He posses over 16 years of experience in financial markets
Other Details- No lock-in period for the scheme, you can redeem your investment anytime. As of 22nd June 2021, the AUM of Kotak Savings Fund is Rs 11,760 cr. The fund benchmarks to NIFTY Ultra Short Duration Debt TR INR.
1 Year Return
3.90%
3 Years Return
6.50%
5 Years Return
6.70%
10 Years Return
7.90%
Returns Updated as of 22nd June 2021
Kotak Savings Fund-Growth Top Stock Holdings
The Kotak Savings Fund-Growth has invested its assets majorly in the debt instruments of the following companies:
Company
Percentage of Holding (As of 22nd June 2021)
8.79% Government 2021
15.30%
6.17% Government 2021
7.80%
Housing Development Finance Corporation Limited
4.10%
Triparty Repo
3.70%
National Bank for Agriculture and Rural Development
3.40%
Lic Housing Finance Limited
3.40%
National Bank for Agriculture and Rural Development
3.20%
Asset Allocation of Kotak Savings Fund-Growth
The Kotak Savings Fund-Growth has invested in the following debt instruments:
Sector
Percentage of Holding (As on 22nd June 2021)
Certificate of Deposit
20.62%
Debenture
20.16%
Commercial Paper
14.94%
Non- Convertible Debenture
13.09%
Bonds/ Non- Convertible Debenture
9.84%
State Development Loans
9.28%
Government of India Securities
6.25%
Kotak Savings Fund Review
Scripbox recommends Kotak Savings Fund-Growth for investment within ultra-short duration mutual funds. Ultra short-duration funds provide returns at par with inflation over the investment duration. These funds are suitable for an investment objective with an investment duration of 1-5 years or longer.
The fund has an extended history of 17 years for analysis. Track record is excellent.
With an AUM or relative size of Rs 11,760 cr, the fund is a category leader in size.
The scheme has performed well consistently over a period of time and the returns earned are similar to other funds in the same category of mutual funds.
Very low impact of interest rate changes on the fund. In a way, the scheme has proven to be dependable under the ultra-short duration funds category
The fund has a high credit quality compared to other debt funds in the same category. This indicates that it has lent to borrowers whose credit quality is good. With better borrowers, it ensures a low default risk.
How Scripbox Algorithmically Selects Mutual Funds?
Scripbox uses time-tested principles, historical data, and valid assumptions about asset classes. We combine them with a rigorous process to finalize which asset classes make the most sense for specific types of objectives, considering the time needed to achieve them.
Once we select an asset class, our algorithm goes to work to select the best financial products.
The algorithm scores financial products on multiple parameters, giving relevant weights to each of the listed parameters, such as:
Track record of the product – how long has it been around?
Assets under management – how big is it – for example, the size of a mutual fund
Liquidity – how easy is it to move in or out of the product?
Consistency of performance – how much have the returns fluctuated?
The risk associated with the product – what risks impact the product?
Quality of underlying assets – we assess how risky the underlying assets are – for example, by considering bond ratings in the case of debt funds
With such a scientific and detailed approach Scripbox ensures:
