Kotak Emerging Equity Fund Growth

Introduction

Kotak Emerging Equity Fund Growth is a Mid Cap mutual fund scheme from Kotak Mahindra Mutual Fund. The regular plan was launched in March 2007 and the direct plan was launched in January 2013. The fund has Rs. 15,709 Crores worth of Assets Under Management (AUM) as of August 2021.

The fund has doubled the money invested in it every 2 years. The scheme’s ability to deliver returns consistently is higher and the ability to control losses in a falling market is average than most of the funds in a similar category. The fund has invested the majority of its assets in the Chemicals, Engineering, Financial, Construction, Healthcare sectors.

Key information about Kotak Emerging Equity Fund Growth

1. The current Net Asset Value(NAV) of the Kotak Emerging Equity Fund is Rs. 72.42 for Regular Plan and Rs. 80.28 for its Direct plan as of October, 2021.

2. The fund currently holds Assets Under Management(AUM) worth Rs. 15708.53 Crores as of August 2021.

3. The expense ratio of the fund is 1.81% for the Regular Plan and 0.57% for its Direct Plan as of August 2021.

4. Kotak Emerging Equity Fund shall attract an exit load of 1%(it will be charged for redemption within 365 days for units over 10% of the investment).

5. The minimum investment required is Rs. 5000, a minimum additional investment of Rs. 1000 and minimum SIP investment is Rs 1000.

Investment strategy & Benchmark

The scheme seeks to generate long-term capital appreciation by investing predominantly in mid companies. The fund has a portfolio of equity and equity-related securities and is benchmarked against the NIFTY Mid Cap 100 Total Return Index(TRI).

Asset allocation of Kotak Emerging Equity Fund Growth

1. The fund’s asset allocation comprises around 95.51% in equities, 0.0% in debts, and 4.49% in cash & cash equivalents.

2. The top 10 equity holds around 31.77% of the assets while the top 5 sectors constitute around 18.61% of the assets.

3. The fund largely invests across market capitalization, around 18.67% in giant & large-cap companies, 74.26% in mid-cap, and 7.07% in small-cap companies.

Portfolio

I. No of stocks – 66.
II. Top 10 Stocks – 31.77%.
III. Top 5 Stocks – 18.61%.
IV. Price-Book(P/B) ratio – 4.53.
V. Price-Earnings(P/E) ratio – 29.30.

Top 10 Stock Holdings

I. Supreme Industries – 5%.
II. Persistent Systems – 3.80%.
III. Schaeffler India – 3.62%.
IV. Coromandel International – 3.23%.
V. PI Industries – 2.96%.
VI. The Ramco Cements – 2.78%.
VII. JK Cement – 2.71%.
VIII. Thermax – 2.66%.
IX. SKF India – 2.57%.
X. Atul – 2.44%.

Kotak Emerging Equity Fund Regular Plan-Growth.

Details

I. NAV – Rs. 72.42(as of October, 2021).
II. IDCW – Rs. 39.77.
III. Returns – 14.59%(since launching in March 2007).
IV. Returns per year(5 years avg) – 17.6%.
IV. Benchmark – NIFTY Midcap 100 TRI.
V. Risk – Moderate.
VI. Type – Open-ended (Equity).
VII. Asset Under Management(AUM) – Rs. 15,709 Crores(as of August 2021).
VIII. Expense ratio – 1.81%(as of August 2021).
IX. Turnover – 8.80%.

Minimum investment – Rs. 5000.
Minimum additional investment – Rs.1000.
Lock-in period – Not applicable.
Minimum STP investment – Rs.500.
Minimum SWP investment – Rs.1000.
Exit load – For units in excess of 10% of the investment, 1% will be charged for redemption within 365 days.
Minimum withdrawal – Rs. 1000.
SIP investment – Rs.1000 (Minimum).
Minimum no of cheque – 6.

Kotak Emerging Equity Fund Direct Plan-Growth

Details

I. NAV – Rs. 80.28(as of October, 2021).
II. IDCW – Rs. 47.82.
III. Returns – 21.82%(since launch in January 2013).
IV. Returns per year(5 years avg) – 19.11%.
IV. Benchmark – NIFTY Midcap 100 TRI.
V. Risk – Very High.
VI. Type – Open-ended (Equity).
VII. Asset Under Management(AUM) – Rs. 15,709 Crores(as of August 2021).
VIII. Expense ratio – 0.57%(as of August 2021).
IX. Turnover – 13.24%.

Minimum investment – Rs. 5000.
Minimum additional investment – Rs.1000.
Lock-in period – Not applicable.
Minimum STP investment – Rs.500.
Minimum SWP investment – Rs.500.
Exit load – For units in excess of 10% of the investment, 1% will be charged for redemption within 365 days.
Minimum withdrawal – Rs. 1000.
SIP investment – Rs.1000 (minimum).
Minimum no of cheque – 6.

Taxation of Kotak Emerging Equity Fund Growth

1. Gains over Rs. 1 lakh are taxed at a rate of 15% (Short term Capital Gain Tax or STCG) if units are redeemed within 1 year of investment.

2. No tax is to be paid as long as you continue to hold the units.

3. Gains of more than Rs. 1 lakh will be taxed at a rate of 10% (Long term Capital Gain Tax or LTCG). Any cess/surcharge is not included.

4. For units redeemed after 1 year of investment, gains of upto Rs. 1 lakh accruing from those units in a financial year shall be exempted from tax.

Dividends

1. Dividends are added to the income of the investors and taxed according to their respective tax slabs.

2. Further, if an investor’s dividend income exceeds Rs. 5,000 in a financial year, the fund house also deducts a TDS of 10% before distributing the dividend.

Fund Manager

Mr. Pankaj Tibrewal is currently managing the Kotak Emerging Equity Fund. He is a B.Com(H) from St.Xavier’s College from Kolkata and MBA(Finance) from Manchester University, U.K. Before joining Kotak AMC he worked with Principal Asset Management Company. as Fund Manager.

Contact Details

Kotak Mahindra Asset Management Company Ltd.
Address – 27 BKC, C-27, G Block, Bandra Kurla Complex, Bandra (E) Mumbai – 400051.
Call – 022 6115 2100/1800 22 2626.
E-mail – [email protected]
Website –www.kotakmf.com

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