Publish Date:
Kotak Mutual Fund introduces – Kotak Nifty G-Sec July 2033 Index Fund
It is an open-ended Target Maturity Index Fund investing in constituents of Nifty G-Sec July 2033 Index. A relatively high interest rate risk and relatively low credit risk.
Accordingly, the investment objective of the scheme is to generate returns that are commensurate (before fees and expenses) with the performance of the Nifty G-Sec July 2033 Index, subject to tracking errors. However, there can be no assurance that the investment objective of the Scheme will be achieved.
Under normal circumstances, Kotak Nifty G-Sec July 2033 Index Fund will hold an allocation of 95% to 100% of its assets in replication of securities covered by Nifty G-Sec July 2033 Index and 0% to 20% in Cash & Debt/Money Market instruments.
As per the Scheme Information Document, Kotak Nifty G-Sec July 2033 Index Fund is a passively managed target maturity index fund which will employ an investment approach designed to track the performance of Nifty G-Sec July 2033 Index.
The scheme will largely follow buy and hold investment strategy in government securities which will be held till maturity unless sold for meeting redemptions/rebalancing requirements. The scheme shall endeavour to replicate the index.
Kotak Nifty G-Sec July 2033 Index Fund performance will be benchmarked against Nifty G-Sec July 2033 Index
The scheme will be managed by Mr Abhishek Bisen.
The NFO opens for subscription on September 25, 2023 and closes on October 09, 2023. The schemes will reopen for continuous sale and repurchase within 5 business days from date of allotment.
The fund's face value is Rs 10/- per unit. The minimum subscription amount is Rs 100/- and in multiples of Re.1/- thereof.
The scheme offers Regular Plan and Direct Plan each plan offers Growth and Income Distribution cum capital withdrawal (IDCW) options.