Kotak Nifty 200 Quality 30 Index Fund Files Draft with SEBI

Kotak Mahindra Mutual Fund has filed a draft scheme document with the Securities and Exchange Board of India (SEBI) for the Kotak Nifty 200 Quality 30 Index Fund, an open-ended index fund that will track the Nifty 200 Quality 30 Index. 

The fund aims to replicate the index’s composition and generate returns corresponding to its performance, subject to tracking errors.

Fund Structure and Objective

The Kotak Nifty 200 Quality 30 Index Fund is an index-based scheme that will passively invest in the stocks included in the Nifty 200 Quality 30 Index, maintaining their respective weights. The objective is to provide investors exposure to companies selected based on return on equity (ROE), earnings growth stability, and financial leverage.

The fund does not actively manage stock selection but rather mirrors the benchmark index. There is no guarantee of returns, and the fund’s performance will depend on the movement of the underlying index.

Asset Allocation

• 95-100% of the fund’s assets will be invested in equities that are part of the Nifty 200 Quality 30 Index.
• Up to 5% may be allocated to debt or money market instruments to manage liquidity.
• No investments in foreign securities, REITs, InvITs, or structured obligations.

New Fund Offer (NFO) Details

• Issue Price: ₹10 per unit
• Minimum Investment: ₹100 and in multiples of ₹1 thereafter
• Liquidity: Open for subscription and redemption on all business days post-NFO
• Benchmark: Nifty 200 Quality 30 Index (Total Return Index)

These details are outlined in the fund’s offer document, providing essential information for investors considering participation in the New Fund Offering (NFO).

Fund Management 

The fund will be managed by Devender Singhal and Satish Dondapati, with Abhishek Bisen handling the debt portion. Since it’s an index fund, returns will depend on how the underlying stocks perform. Investors may want to go through the offer document before deciding to invest.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Mutual Fund investments are subject to market risks, read all scheme-related documents carefully.