NFO alert: Kotak Mahindra Mutual Fund launches its next Kotak Fixed Maturity Plan Series 330 – 98 Days; details inside!

Kotak Mahindra Mutual Fund launched a close-ended income scheme named Kotak Fixed Maturity Plan Series 330 – 98 Days (NFO). The scheme aims to generate income by investing in debt and money market securities that mature on or before the plan’s maturity date. However, there is no guarantee that the investment objective will be achieved. The minimum subscription amount is Rs. 20,00,00,000, and the new fund offer (NFO) will be open for subscription from April 25th, 2024 to April 29th, 2024.

Investment Objective

The investment objective of the Kotak Fixed Maturity Plan Series 330 – 98 Days is to generate income by investing in debt and money market securities, maturing on or before the maturity of the scheme. There is no assurance that the investment objective of the Scheme will be achieved

This NFO of Kotak Mahindra Mutual Fund is suitable for investors who are seeking income over a short-term investment horizon and investment in debt & money market securities

Risk-o-meter: 

Potential Risk Class: it’s a close-ended scheme, with relativelylow interest rate risk and relatively moderate credit risk (B – I).

Funds Allocation

Benchmark

Kotak Fixed Maturity Plan Series 330 – 98 Days will benchmark against NIFTY Ultra Short Duration Debt Index.

Fund Managers

Deepak Agrawal and Manu Sharma are the fund managers for several Kotak Mutual Fund schemes. Deepak Agrawal, a 43-year-old, brings a well-rounded background with qualifications in Commerce, Chartered Accountancy, and Company Secretaryship. He has extensive experience managing Kotak Mutual Funds since at least 2006.

Manu Sharma, 41, is a Chartered Accountant and holds a Master’s degree in Commerce. He boasts over 17 years of experience in the financial sector, specifically in Fixed Income Fund Management, Operations, financial audits, and taxation. He joined Agrawal in managing Kotak Mutual Funds in November 2022.

Peer Schemes 

Characteristics of Fixed Maturity Plans

• Fixed tenor: Fixed Maturity Plans (FMPs) have a predetermined maturity date.
• Closed-ended: FMPs have a fixed investment period and investors cannot redeem units before maturity.
• Portfolio diversification: FMPs typically invest in a diversified portfolio of debt instruments.
• Low-interest rate risk: FMPs aim to match the maturity of their investments with the maturity of the plan, reducing interest rate risk.
• Capital protection: FMPs may offer capital protection by investing in low-risk debt securities.

Dreaming of financial freedom? Use our Mutual Fund SIP Calculator to see how regular investments can add up to grow wealth. Take the first step towards your goals. Calculate now!

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. The information is based on various secondary sources on the internet and is subject to change. Please consult with a financial expert before making investment decisions.