funds in focus - assetmanagement.kotak.com · equity funds: 1 hybrid funds: 12 ......
TRANSCRIPT
FUNDS IN FOCUS
NOVEMBER 30, 2017
TH
EPAG
EH
AS
BEEN
LEFT
INTEN
TIO
NALLY
BLAN
K
EQUITY FUNDS: 1
HYBRID FUNDS: 12
THEMATIC FUNDS 17
DEBT FUNDS 20
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Kotak Classic Equity Fund 2
Kotak Tax Saver Fund 4
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Kotak Select Focus Fund 6
Kotak Opportunities Fund 8
Kotak Emerging Equity Fund 10
Kotak Balance Fund 13
Kotak Equity Savings Fund 15
Kotak Infrastructure & Economic Reform Fund 18
Kotak Low Duration Fund 21
Kotak Income Opportunities Fund 23
Kotak Medium Term Fund 25
Kotak Bond Short Term Fund 27
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NOVEMBER
2017
EQUITY FUNDS
About Kotak Classic Equity
�
�
�
Kotak Classic Equity is an open - ended equity growth scheme. The investment objective of the scheme is to
generate capital appreciation from a diversified portfolio of equity and equity related securities.
An open-ended diversified equity scheme with a focus on large caps.
Market capitalization bias:(a) Largecap focused with normal allocation between 70%-90% and (b) Midcap
allocation between 10%-30%.
Portfolio Action
•
•
•
The fund has an overweight position in Media, Metals, Utilities and Oil and Gas while it is underweight inPharma, BFSI, Capital Goods, Auto and Infrastructure.
The conservative stance of the portfolio had benefitted the fund in the early part of FY17 as markets punished
value stocks more than the quality stocks. The tilt from then has slowly changed as metal stocks, which
represent the value set, found their way into the portfolio. We continue to believe that metals offer the
maximum potential for positive earnings surprise in addition to the deleveraging story going ahead.
The lack of exposure to corporate lenders and PSU banks hurt the fund in the month gone by as the
government went for recapitalisation of PSU Banks.
Kotak Classic Equity
Scheme Facts
Structure
Launch Date
Benchmark
Min. Initial Inv.
Additional Inv.
Standard Deviation^
Beta^
Sharpe^
Month end AUM* (as on 30th Nov )
Monthly Average AUM*
NAV (as on 30th Nov 2017)
2017
An Open Ended Equity Growth Scheme
128.59 crs
123.67 crs
Dividend 24.1210
Direct Dividend 25.9750
Growth 47.3240
Direct Growth 50.3570
27th July 2005
Nifty 100
5000
1000 & in multiples of 1
13.11%
0.95
0.34
*Source: MFI Explorer.
^ as on 30th Nov, 2017. Source: ValueResearch.
`
`
`
`
`
`
`
`
`
Portfolio Turnover
110.35%
Market Cap. %
Load Structure
Large cap 79.46
Midcap 9.28
Small cap 0.55
Cash 10.71
Source: MFI Explorer. Market definition used ismarket capitalisation of the 100th largest scrip (onthe bases of market capitalisation) is the cutoff todetermine the large cap and midcap segment.
NilEntry Load:
Exit Load: Nil. (applicable for all plans) (w.e.fDecember 01, 2014)
2
30 November, 2017th
Top 10 Sectors as on 30th Nov, 2017
Sector % Weight Underweight / Previous Changeoverweight
against (Portfolio % from previousbenchmark Weight) month
Month in portfolioPortfolio Benchmark
(Nifty 100)
Financial Services
Energy
Consumer Goods
Cash & Cash Equivalent
Information Technology
Automobile
Metals
Pharma
Telecom
Cement & Cement Products
22.18 33.01 -10.83 24.55 -2.37
19.62 13.88 5.73 21.27 -1.65
11.31 12.24 -0.94 13.06 -1.75
10.86 0.00 10.86 5.63 5.23
9.38 9.65 -0.26 7.87 1.51
8.57 10.31 -1.74 9.03 -0.46
6.82 4.82 2.00 8.01 -1.18
4.37 4.51 -0.14 3.09 1.28
2.64 2.26 0.37 2.91 -0.28
1.98 2.11 -0.13 2.21 -0.22
Equity Market Brief
• GST – landmark reform is now implemented, and over the last few months, the government has introduced furtherchanges to help the smaller firms navigate GST better. While there might be some near-term issues in implementing,the longer term benefits are transformative. Most listed players will benefit, as they form the organised part of theeconomy.
• Corporate earnings in few sectors like FMCG, home building, durables, fashion etc are showing these transitionalimpact of GST implementation, even as most company management view this as a strong opportunity for theircompanies. Corporate earnings are likely to pick up in the second half of FY18, after a long time we have seen limiteddowngrades in forward estimates of earnings.
• PSU recap and continued government spending on infrastructure augur well for the medium term growth prospects.
• India to benefit from such reforms which encourages formalisation of the economy in the medium-to-long-term,significant flow from physical to financial savings to further provide stability to markets.
• Volatility across global equities is on lower side. Global events – Fed hiking, Chinese currency depreciation,geopolitical events like the flare-up between US and North Korea to add to near-term volatility.
• Time in the market more important than timing the market – after a long period of lower volatility, markets volatilitymay move up.
Kotak Classic Equity30 November, 2017th
About Kotak Mutual Fund
Kotak Mahindra Asset Management
Company Limited (KMAMC) is a wholly
owned subsidiary of Kotak Mahindra Bank
Limited (KMBL). KMBL has over two decades
of experience in financial services. KMBL has a
market capitalization of 1904.453 bn (as on
30th November, 2017). KMAMC is the Asset
Manager for Kotak Mahindra Mutual Fund
(KMMF). It started operations in December
1998. KMMF offers schemes catering to
investors with varying risk - return profiles and
was the first fund house in the country to
launch a dedicated gilt scheme. KMAMC
manages assets worth 124757.49 cr (as on
30th November, 2017).
`
`
* The numbers are converted using the Rupee-
USD reference rate published by the Reserve
Bank of India as on the respective dates.
To know more
Call : 1800-222-626 (Toll Free), Mumbai61152100, Delhi 66306900 / 02, Chennai28221333 / 45038171, Kolkata 64509802 /03, Pune 64013395 / 96, Ahmedabad26779888, Bangalore 66128050 / 51,Hyderabad 66178140 / 41.
Visit - assetmanagement.kotak.com
Email - [email protected]
Disclaimer
Kotak Classic EquityInvestment Objective:
Mutual Fund investments are subject to marketrisks, read all scheme related documentscarefully. Scheme Information Document (SID)and Statement of Additional Information (SAI)available on mutualfund.kotak.com
is an open - ended equitygrowth scheme. Togenerate capital appreciation from a diversifiedportfolio of equity and equity related securities.
Kotak Classic Equity* Performance (%) as on 30th November, 2017
Different plans have different expense structure. The performance details provided herein are of regular plan.
^Past performance may or may not be sustained in future.*All payouts during the period have been reinvested in the units of thescheme at the then prevailing NAV. Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data notavailable. Note: Point to Point (PTP) Returns in INR shows the value of 10,000/- investment made at inception. Source: ICRA MFIExplorer. # Name of Scheme Benchmark. ## Name of Additional Benchmark. Please refer page no. 29 for top 3 and bottom 3schemes managed by Mr.
`
Deepek Gupta.
Date SchemeReturns (%) ## of 10000 in the
Scheme ( ) Benchmark# ( ) Benchmark ## ( )
Nifty 100 Nifty 50 Current Value of Standard Investment
(%) ^ Additional
# (%) `
` `
Kotak Classic Equity Fund
Since Inception 13.41 13.19 12.76 47,324 46,231 44,097
Last 1 Year 29.77 25.80 24.34
Last 3 Years 9.99 7.62 5.98
Last 5 Years 15.64 12.97 11.70
Scheme Inception date is 27/07/2005. Mr. Deepak Gupta has been managing the fund since 01/01/2017.
`
3
This product is suitable for investors who are seeking*:
• Long term capital growth
• Investment in portfolio of predominantly equity &equity related securities
* Investors should consult their financial advisors if in doubtabout whether the product is suitable for them.
Investors understand that their principal willbe at moderately high risk
Riskometer
M
oderately Moderate
Low
Hig
h
Low
High
LOW HIGH
Moderately
Jul-28-17 23.433 0.70
Jul-15-16 19.692 0.50
Jul-25-14 18.227 1.00
Jan-23-14 19.202 4.30
Jul-31-12 15.413 1.00
Nov-20-15 18.540 0.50
Dividend History
Date CUM DividendNAV
Dividend( per unit)`
Top 10 Companies as on 30th Nov, 2017
Reliance Industries Ltd. Petroleum Products 5.88%
Infosys Ltd. Software 5.21%
Hindustan Unilever Ltd. Consumer Non Durables 4.54%
Maruti Suzuki India Limited Auto 4.51%
Hindalco Industries Ltd Non - Ferrous Metals 3.43%
Power Grid Corporation Of India Ltd Power 2.98%
Bajaj Finance Limited Finance 2.87%
GAIL (India) Ltd. Gas 2.72%
Bharat Petroleum Corporation Ltd. Petroleum Products 2.52%
National Thermal Power Corporation Limited Power 2.50%
About Kotak Tax Saver
�
�
�
�
The investment objective of Kotak Tax Saver is to generate long term capital appreciation from a diversified
portfolio of equity and equity related securities and enable investors to avail the income tax rebate, as
permitted from time to time.
The scheme thus offers a dual benefit of growth and tax savings.
The scheme although open ended, has a three year lock-in.
The portfolio is generally diversified across sectors and market capitalization segments.
Portfolio Action
• The key overweight sectors in the portfolio are – Cement, Oil&Gas and Capital Goods.
• Within Oil&Gas sector, we are particularly bullish on gas utilities and downstream oil companies.
• The underweight sectors are – IT and Pharma, wherein earnings momentum is weak and business headwinds
still persist.
• During the month we booked partial profits in oil&gas sector, and increased exposure to FMCG in view of
expected normalization of business post-GST and also lesser competitive intensity.
• Large cap allocation in the portfolio is about 60%.
Kotak Tax Saver30 November, 2017th
Scheme Facts
Structure
Launch Date
Benchmark
Min. Initial Inv.
Additional Inv.
Standard Deviation^
Beta^
Sharpe^
Month end AUM* (as on 30th Nov )
NAV (as on 30th Nov 2017)
2017
An Open -Ended Equity Linked SavingScheme
Dividend 20.3260
Dividend Direct 23.5140
Growth 42.0820
Growth Direct 44.8520
23 November 2005
Nifty 500
500
500 & in multiples of 500
14.58%
1.03
0.46
29.13%
*Source: MFI Explorer.
^ as on 30th Nov, 2017. Source: ValueResearch.
`
` `
720.79crs
`
`
719.85 crs
rd
Monthly Average AUM*
Portfolio Turnover
`
`
`
`
Market Cap. %
Load Structure
Large cap 58.13
Midcap 34.88
Small cap 5.86
Cash 1.13
As on 30th Nov, 2017. Source: KPAX (internalsystem). Market definition used is marketcapitalisation of the 100th largest scrip (on the basesof market capitalisation) is the cutoff to determinethe large cap and midcap segment.
NilEntry Load:
Exit Load: Exit Load is not applicable for Kotak TaxSaver Scheme. (applicable for all plans)
Units issued on reinvestment of dividends shall notbe subject to exit load (applicable for all plans)
4
Top 10 Sectors as on 30th Nov, 2017
Sector % Weight Underweight / Previous Changeoverweight
against (Portfolio % from previousbenchmark Weight) month
Month in portfolioPortfolio Benchmark
(Nifty 500)
Financial Services
Energy
Consumer Goods
Cement & Cement Products
Automobile
Industrial Manufacturing
Construction
Information Technology
Pharma
Services
30.67 30.70 -0.03 30.79 -0.11
19.08 12.24 6.84 20.43 -1.36
8.41 12.39 -3.98 7.84 0.57
6.65 2.40 4.25 7.16 -0.50
6.39 9.08 -2.69 6.42 -0.04
5.67 2.96 2.71 5.33 0.34
3.81 4.39 -0.58 3.60 0.21
3.21 8.61 -5.41 3.08 0.13
3.19 4.91 -1.72 3.47 -0.28
3.06 2.58 0.48 3.14 -0.08
Equity Market Brief
• GST – landmark reform is now implemented, and over the last few months, the government has introduced furtherchanges to help the smaller firms navigate GST better. While there might be some near-term issues in implementing,the longer term benefits are transformative. Most listed players will benefit, as they form the organised part of theeconomy.
• Corporate earnings in few sectors like FMCG, home building, durables, fashion etc are showing these transitionalimpact of GST implementation, even as most company management view this as a strong opportunity for theircompanies. Corporate earnings are likely to pick up in the second half of FY18, after a long time we have seen limiteddowngrades in forward estimates of earnings.
• PSU recap and continued government spending on infrastructure augur well for the medium term growth prospects.
• India to benefit from such reforms which encourages formalisation of the economy in the medium-to-long-term,significant flow from physical to financial savings to further provide stability to markets.
• Volatility across global equities is on lower side. Global events – Fed hiking, Chinese currency depreciation,geopolitical events like the flare-up between US and North Korea to add to near-term volatility.
• Time in the market more important than timing the market – after a long period of lower volatility, markets volatilitymay move up.
Kotak Tax Saver
About Kotak Mutual Fund
Kotak Mahindra Asset Management
Company Limited (KMAMC) is a wholly
owned subsidiary of Kotak Mahindra Bank
Limited (KMBL). KMBL has over two decades
of experience in financial services. KMBL has a
market capitalization of 1904.453 bn (as on
30th November, 2017). KMAMC is the Asset
Manager for Kotak Mahindra Mutual Fund
(KMMF). It started operations in December
1998. KMMF offers schemes catering to
investors with varying risk - return profiles and
was the first fund house in the country to
launch a dedicated gilt scheme. KMAMC
manages assets worth 124757.49 cr (as on
30th November, 2017).
`
`
* The numbers are converted using the Rupee-
USD reference rate published by the Reserve
Bank of India as on the respective dates.
To know more
Call : 1800-222-626 (Toll Free), Mumbai61152100, Delhi 66306900 / 02, Chennai28221333 / 45038171, Kolkata 64509802 /03, Pune 64013395 / 96, Ahmedabad26779888, Bangalore 66128050 / 51,Hyderabad 66178140 / 41.
Visit - assetmanagement.kotak.com
Email - [email protected]
Disclaimer
Kotak Tax SaverInvestment
Objective:
is an open-ended equityl inked savings scheme.
To generate long-term capitalappreciation from a diversified portfolio ofequity and equity related securities and enableinvestors to avail the income tax rebate, aspermitted from time to time. The amountinvested in the scheme shall be subject to alock-in of 3 years irrespective of whether theinvestments would be eligible for tax benefitor not. The above does not constitute andadvice or a representation. Investors arerequested to seek professional advice in thisregard. Kotak Mahindra Bank Limited is notliable or responsible for any loss or short fallresulting from the operations of the scheme.
Mutual Fund investments are subject tomarket risks, read all scheme relateddocuments carefully. Scheme InformationDocument (SID) and Statement ofAdditional Information (SAI) available onmutualfund.kotak.com
5
Kotak Tax Saver* Performance (%) as on , 201730th November
Different plans have different expense structure. The performance details provided herein are of regular plan.
^Past performance may or may not be sustained in future.*All payouts during the period have been reinvested in the units of thescheme at the then prevailing NAV. Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data notavailable. Note: Point to Point (PTP) Returns in INR shows the value of 10,000/- investment made at inception. Source: ICRA MFIExplorer. # Name of Scheme Benchmark. ## Name of Additional Benchmark. Please refer page no. 29 for other schemes managed byMr.
`
Harsha Upadhyay.
Date SchemeReturns (%) ## of 10000 in the
Scheme ( ) Benchmark# ( ) Benchmark ## ( )
Nifty 500 Nifty 50 Current Value of Standard Investment#
(%) ^ Additional
(%) `
` `
Since Inception 12.69 12.35 12.03 42,082 40,587 39,203
Last 1 Year 27.46 29.31 24.34
Last 3 Years 12.30 9.76 5.98
Last 5 Years 16.37 14.38 11.70
Scheme Inception date is 23/11/2005. Mr. Harsha Upadhyaya has been managing the fund since 25/08/2015.
Kotak Tax Saver - Growth
`
This product is suitable for investors who are seeking*:
• long term capital growth with a 3 year lock in
• Investment in portfolio of predominantly equity &equity related securities.
* Investors should consult their financial advisors if in doubtabout whether the product is suitable for them.
Investors understand that their principal willbe at moderately high risk
Riskometer
M
oderately Moderate
Low
Hig
h
Low
High
LOW HIGH
Moderately
Jun-29-17 22.144 0.40
Mar-29-17 19.432 0.75
Jan-27-17 18.889 0.72
Jan-21-16 16.113 0.70
Dec-30-14 17.542 0.10
Nov-28-14 18.180 0.50
Feb-08-08 15.189 3.50
Feb-20-07 11.640 3.00
Mar-22-16 16.266 0.65
Dividend History
Date CUM DividendNAV
Dividend( per unit)`
30 November, 2017th
Top 10 Companies as on 30th Nov, 2017
HDFC Bank Ltd. Banks 6.17%
Reliance Industries Ltd. Petroleum Products 5.29%
State Bank Of India Banks 4.00%
IndusInd Bank Ltd. Banks 3.23%
ICICI Bank Ltd. Banks 3.06%
Hero MotoCorp Ltd. Auto 3.02%
Shree Cement Ltd. Cement 2.86%
OCL India Ltd Cement 2.79%
Mahanagar Gas Ltd Gas 2.67%
GlaxoSmithkline Consumer Healthcare Ltd Consumer Non Durables 2.53%
About Kotak Select Focus
�
�
�
�
The investment objective of Kotak Select Focus scheme is to generate long term capital appreciation from a
portfolio of equity and equity related securities, generally focused on select few sectors.
The scheme endeavors to identify sectors that are likely to do well over the medium term and takes focus
exposures to the same.
There is no restriction on which type of sectors the scheme can take exposure to and the portfolio will be
generally diversified at the stock level across market capitalization.
The scheme is well positioned to capture various themes that are in flavour in a focused manner.
Portfolio Action
• The portfolio continues to have a pro-cyclical tilt.
• Domestic businesses continue dominate the portfolio as compared to export/ global businesses due to better earningstrajectory.
• The top overweight sectors in the fund are Cement, Banking&Financials and Oil&Gas.
• We believe that Government’s focus on reviving consumption and spending on infrastructure will create positivedemand scenario for our portfolio companies in medium term.
• Metals, Utilities and Telecom sectors are the major exclusions from the fund.
• The key underweight sectors continue to be IT and Pharma, wherein earnings momentum is weak and businessheadwinds still persist.
• Allocation to large cap segment accounts for about 3/4th of the total corpus.
Kotak Select Focus
Scheme Facts
Structure
Month end AUM* (as on 30th Nov )
NAV (as on 30th Nov 2017)
Launch Date
Benchmark
Min. Initial Inv.
Additional Inv.
Standard Deviation^
Beta^
Sharpe^
2017
An Open Ended Equity Scheme
crs
15,581.52 crs
Dividend 23.3420
Direct Dividend 24.6450
Growth 32.7290
Direct Growth 34.3100
11 September 2009
Nifty 200
5000 & in multiple of 1 for purchase andfor 0.01 for switches
1000 & in multiples of 1
13.74%
0.98
0.58
20.96%
*Source: MFI Explorer.
^ as on 30th Nov, 2017. Source: ValueResearch.
`
`
`
` `
`
th
`
15,934.91
`
`
`
`
Monthly Average AUM*
Portfolio Turn over
Market Cap. %
Load Structure
Large cap 76.35
Midcap 15.64
Small cap 0.65
Cash 7.37
As on 30th Nov, 2017.Source: KPAX (internalsystem). Market definition used is marketcapitalisation of the 100th largest scrip (on thebases of market capitalisation) is the cutoff todetermine the large cap and midcap segment.
NilEntry Load:
Exit Load:
I) For redemptions / switch outs (includingSIP/STP) within 1 year from the date ofallotment of units, irrespective of the amountof investment:1%
ii) For redemptions / switch outs (includingSIP/STP) after 1 year from the date of allotmentof units, irrespective of the amount ofinvestment: NIL
iii) Any exit load charged (net off Service Tax, ifany) shall be credited back to the respectiveScheme. (applicable for all plans)
iv) Units issued on reinvestment of dividendsshall not be subject to exit load (applicable forall plans) 6
Top Sectors as on 30th Nov, 2017
Sector % Weight Underweight / Previous Changeoverweight
against (Portfolio % from previousbenchmark Weight) month
Month in portfolioPortfolio Benchmark
(Nifty 200)
Financial Services
Energy
Automobile
Cash & Cash Equivalent
Cement & Cement Products
Consumer Goods
Construction
Industrial Manufacturing
34.98 32.24 2.74 34.00 0.98
15.71 13.22 2.49 16.31 -0.59
10.93 9.69 1.23 11.40 -0.47
7.37 0.00 7.37 7.25 0.12
6.97 2.35 4.62 7.40 -0.42
6.93 12.06 -5.13 7.12 -0.20
4.11 3.82 0.29 3.42 0.69
3.43 1.58 1.86 3.51 -0.08
30 November, 2017th
• GST – landmark reform is now implemented, and over the last few months, the government has introduced furtherchanges to help the smaller firms navigate GST better. While there might be some near-term issues in implementing,the longer term benefits are transformative. Most listed players will benefit, as they form the organised part of theeconomy.
• Corporate earnings in few sectors like FMCG, home building, durables, fashion etc are showing these transitionalimpact of GST implementation, even as most company management view this as a strong opportunity for theircompanies. Corporate earnings are likely to pick up in the second half of FY18, after a long time we have seen limiteddowngrades in forward estimates of earnings.
• PSU recap and continued government spending on infrastructure augur well for the medium term growth prospects.
• India to benefit from such reforms which encourages formalisation of the economy in the medium-to-long-term,significant flow from physical to financial savings to further provide stability to markets.
• Volatility across global equities is on lower side. Global events – Fed hiking, Chinese currency depreciation,geopolitical events like the flare-up between US and North Korea to add to near-term volatility.
• Time in the market more important than timing the market – after a long period of lower volatility, markets volatilitymay move up.
Equity Market Brief
Kotak Select Focus30 November, 2017th
About Kotak Mutual Fund
Kotak Mahindra Asset Management
Company Limited (KMAMC) is a wholly
owned subsidiary of Kotak Mahindra Bank
Limited (KMBL). KMBL has over two decades
of experience in financial services. KMBL has a
market capitalization of 1904.453 bn (as on
30th November, 2017). KMAMC is the Asset
Manager for Kotak Mahindra Mutual Fund
(KMMF). It started operations in December
1998. KMMF offers schemes catering to
investors with varying risk - return profiles and
was the first fund house in the country to
launch a dedicated gilt scheme. KMAMC
manages assets worth 124757.49 cr (as on
30th November, 2017).
`
`
* The numbers are converted using the Rupee-
USD reference rate published by the Reserve
Bank of India as on the respective dates.
To know more
Ccall : 1800-222-626 (Toll Free), Mumbai61152100, Delhi 66306900 / 02, Chennai28221333 / 45038171, Kolkata 64509802 /03, Pune 64013395 / 96, Ahmedabad26779888, Bangalore 66128050 / 51,Hyderabad 66178140 / 41.
Visit - assetmanagement.kotak.com
Email - [email protected]
Disclaimer
Kotak Select Focus FundInvestment Objective:
is an open-endedequity scheme. Theinvestment objective of the scheme is togenerate long-term capital appreciation froma portfolio of equity and equity relatedsecurities, generally focused on a few selectedsectors.
Mutual Fund investments are subject tomarket risks, read all scheme relateddocuments carefully. Scheme InformationDocument (SID) and Statement ofAdditional Information (SAI) available onmutualfund.kotak.com
7
Kotak Select Focus* Performance (%) as on 30th November, 2017
Different plans have different expense structure. The performance details provided herein are of regular plan.
^Past performance may or may not be sustained in future.*All payouts during the period have been reinvested in the units of thescheme at the then prevailing NAV. Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data notavailable. Note: Point to Point (PTP) Returns in INR shows the value of 10,000/- investment made at inception. Source: ICRA MFIExplorer. # Name of Scheme Benchmark. ## Name of Additional Benchmark. Please refer page no. 29 for other schemes managed byMr. Harsha Upadhyaya.
`
Date SchemeReturns (%) ## of 10000 in the
Scheme ( ) Benchmark#( ) Benchmark ## ( )
Nifty 200 Nifty 50 Current Value of Standard Investment#
(%) ^ Additional
(%) `
` `
Since Inception 15.51 10.34 9.55 32,729 22,466 21,175
Last 1 Year 28.66 27.41 24.34
Last 3 Years 13.84 8.56 5.98
Last 5 Years 20.60 13.47 11.70
Scheme Inception date is 11/09/2009. Mr. Harsha Upadhyaya has been managing the fund since 04/08/2012.
Kotak Select Focus Fund
`
This product is suitable for investors who are seeking*:
• Long term capital growth
• Investment in portfolio of predominantly equity &equity related securities generally focussed on a fewselected sectors.
* Investors should consult their financial advisors if in doubtabout whether the product is suitable for them.
Investors understand that their principal willbe at moderately high risk
Riskometer
M
oderately Moderate
Low
Hig
h
Low
High
LOW HIGH
Moderately
Sep-27-17 23.592 1.50
Sep-30-16 21.349 1.25
Sep-26-14 17.791 1.00
Oct-15-10 12.850 1.25
Oct-12-15 19.739 1.00
Dividend History
Date CUM DividendNAV
Dividend( per unit)`
Top 10 Companies as on 30th Nov, 2017
HDFC Bank Ltd. Banks 6.49%
Reliance Industries Ltd. Petroleum Products 5.20%
State Bank Of India Banks 4.02%
HDFC Ltd. Finance 3.89%
ICICI Bank Ltd. Banks 3.86%
Hero MotoCorp Ltd. Auto 3.76%
Larsen And Toubro Ltd. Construction Project 3.66%
Maruti Suzuki India Limited Auto 3.24%
ITC Ltd. Consumer Non Durables 3.13%
IndusInd Bank Ltd. Banks 3.02%
About Kotak Opportunities
�
�
�
Kotak Opportunities looks for opportunities across sectors based on performance and potential of companies
within the sectors.
The fund manager has the flexibility to invest in a mix of large and mid cap stocks from various sectors.
The allocation between large caps & midcaps would broadly depend on the choice of sectors, business
environment & valuations.
Portfolio Action
• The portfolio continues to have a tilt towards pro-cyclicals that have operating leverage.
• The top overweight sectors are – Cement, Oil&Gas and Fertilisers.
• The top underweight sectors in the fund are – IT and Metals.
• Telecom sector continues to see headwinds, wherein the portfolio has no exposure.
• The large cap allocation in the fund is about 60%.
Kotak Opportunities30 November, 2017th
Scheme Facts
Structure
Launch Date
Benchmark
Min. Initial Inv.
Additional Inv.
Standard Deviation^
Beta^
Sharpe^
Month end AUM* (as on 30th Nov )
NAV (as on 30th Nov 2017)
2017
An Open Ended Equity Growth Scheme
2,158.44 crs
2,122.69 crs
Dividend 27.5680
Dividend Direct 29.2460
Growth 116.0420
Growth Direct 121.9840
9 September 2004
Nifty 500
5000
1000 & in multiples of 1
13.90%
0.99
0.57
38.58%
*Source: MFI Explorer.
^ as on 30th Nov, 2017. Source: ValueResearch.
`
`
`
`
`
`
`
th
`
`
Monthly Average AUM*
Portfolio Turn over
Market Cap. %
Load Structure
Large cap 61.69
Midcap 32.10
Small cap 3.42
Cash 2.79
As on 30th Nov, 2017. Source: KPAX (internalsystem). Market definition used is marketcapitalisation of the 100th largest scrip (on the basesof market capitalisation) is the cutoff to determinethe large cap and midcap segment.
NilEntry Load:
Exit Load:
I) For redemptions / switch outs (including SIP/STP)within 1 year from the date of allotment of units,irrespective of the amount of investment:1%
ii) For redemptions / switch outs (including SIP/STP)after 1 year from the date of allotment of units,irrespective of the amount of investment: NIL
iii) Any exit load charged (net off Service Tax, if any)shall be credited back to the respective Scheme.(applicable for all plans)
iv) Units issued on reinvestment of dividends shall notbe subject to exit load (applicable for all plans)
8
Top 10 Sectors as on 30th Nov, 2017
Sector % Weight Underweight / Previous Changeoverweight
against (Portfolio % from previousbenchmark Weight) month
Month in portfolioPortfolio Benchmark
(Nifty 500)
Financial Services
Energy
Consumer Goods
Cement & Cement Products
Automobile
Industrial Manufacturing
Construction
Cash & Cash Equivalent
Fertilisers & Pesticides
Healthcare Services
30.96 30.70 0.26 31.05 -0.09
19.17 12.24 6.93 17.80 1.38
8.95 12.39 -3.44 8.44 0.52
6.69 2.40 4.29 6.73 -0.04
5.38 9.08 -3.70 6.60 -1.23
4.69 2.96 1.73 4.63 0.06
3.90 4.39 -0.49 3.93 -0.03
3.66 0.00 3.66 10.75 -7.09
3.49 0.99 2.50 3.31 0.18
2.36 0.05 2.30 2.23 0.13
Equity Market Brief
• GST – landmark reform is now implemented, and over the last few months, the government has introduced furtherchanges to help the smaller firms navigate GST better. While there might be some near-term issues in implementing,the longer term benefits are transformative. Most listed players will benefit, as they form the organised part of theeconomy.
• Corporate earnings in few sectors like FMCG, home building, durables, fashion etc are showing these transitionalimpact of GST implementation, even as most company management view this as a strong opportunity for theircompanies. Corporate earnings are likely to pick up in the second half of FY18, after a long time we have seen limiteddowngrades in forward estimates of earnings.
• PSU recap and continued government spending on infrastructure augur well for the medium term growth prospects.
• India to benefit from such reforms which encourages formalisation of the economy in the medium-to-long-term,significant flow from physical to financial savings to further provide stability to markets.
• Volatility across global equities is on lower side. Global events – Fed hiking, Chinese currency depreciation,geopolitical events like the flare-up between US and North Korea to add to near-term volatility.
• Time in the market more important than timing the market – after a long period of lower volatility, markets volatilitymay move up.
Kotak Opportunities
About Kotak Mutual Fund
Kotak Mahindra Asset Management
Company Limited (KMAMC) is a wholly
owned subsidiary of Kotak Mahindra Bank
Limited (KMBL). KMBL has over two decades
of experience in financial services. KMBL has a
market capitalization of 1904.453 bn (as on
30th November, 2017). KMAMC is the Asset
Manager for Kotak Mahindra Mutual Fund
(KMMF). It started operations in December
1998. KMMF offers schemes catering to
investors with varying risk - return profiles and
was the first fund house in the country to
launch a dedicated gilt scheme. KMAMC
manages assets worth 124757.49 cr (as on
30th November, 2017).
* The numbers are converted using the Rupee-
USD reference rate published by the Reserve
Bank of India as on the respective dates.
`
`
To know more
Call : 1800-222-626 (Toll Free), Mumbai61152100, Delhi 66306900 / 02, Chennai28221333 / 45038171, Kolkata 64509802 /03, Pune 64013395 / 96, Ahmedabad26779888, Bangalore 66128050 / 51,Hyderabad 66178140 / 41.
Visit - assetmanagement.kotak.com
Email - [email protected]
Disclaimer
Kotak OpportunitiesInvestment
Objective:
is an open-endedequity growth scheme.
To generate capital appreciationfrom a diversified portfolio of equity & equityrelated instruments
Mutual Fund investments are subject tomarket risks, read all scheme relateddocuments carefully. Scheme InformationDocument (SID) and Statement ofAdditional Information (SAI) available onmutualfund.kotak.com
9
Nov-28-17 28.7004 0.85
Aug-29-17 27.9190 0.85
May-29-17 27.748 0.85
Feb-28-17 26.279 0.50
Nov-22-16 24.246 0.80
Aug-25-14 21.411 1.00
Nov-11-11 13.682 0.50
May-28-10 14.625 1.00
Sept-8-09 14.733 1.50
Mar-14-08 16.975 2.00
Jan-25-08 27.090 6.00
Sept-28-07 24.293 3.00
Sept-27-06 17.745 1.50
Mar-21-06 21.783 4.50
Aug-28-15 24.388 1.60
Dividend History
Date CUM DividendNAV
Dividend( per unit)`
Kotak Opportunities* Performance (%) as on 30th November, 2017
Different plans have different expense structure. The performance details provided herein are of regular plan.
^Past performance may or may not be sustained in future.*All payouts during the period have been reinvested in the units of thescheme at the then prevailing NAV. Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data notavailable. Note: Point to Point (PTP) Returns in INR shows the value of 10,000/- investment made at inception. Source: ICRA MFIExplorer. # Name of Scheme Benchmark. ## Name of Additional Benchmark. Please refer page no. 29 for other schemes managed byMr. Harsha Upadhyaya.
`
Date SchemeReturns (%) ## of 10000 in the
Scheme ( ) Benchmark# ( ) Benchmark ## ( )
Nifty 500 Nifty 50 Current Value of Standard Investment#
(%) ^ Additional
(%) `
` `
Since Inception 20.35 15.26 14.79 116,042 65,466 62,017
Last 1 Year 28.72 29.31 24.34
Last 3 Years 13.70 9.76 5.98
Last 5 Years 18.72 14.38 11.70
Scheme Inception date is 09/09/2004. Mr. Harsha Upadhyaya has been managing the fund since 04/08/2012.
Kotak Opportunities - Growth
`
This product is suitable for investors who are seeking*:
• Long term capital growth
• Investment in portfolio of predominantly equity &equity related securities
* Investors should consult their financial advisors if in doubtabout whether the product is suitable for them.
Investors understand that their principal willbe at moderately high risk
Riskometer
M
oderately Moderate
Low
Hig
h
Low
High
LOW HIGH
Moderately
30 November, 2017th
Top 10 Companies as on 30th Nov, 2017
HDFC Bank Ltd. Banks 6.23%
Reliance Industries Ltd. Petroleum Products 4.91%
HDFC Ltd. Finance 3.88%
State Bank Of India Banks 3.56%
Gujarat State Petronet Ltd. Gas 3.12%
Hero MotoCorp Ltd. Auto 3.03%
ICICI Bank Ltd. Banks 2.74%
ITC Ltd. Consumer Non Durables 2.73%
IndusInd Bank Ltd. Banks 2.69%
Max Financial Services Ltd. Finance 2.54%
About Kotak Emerging Equity
�
�
�
The investment objective of Kotak Emerging Equity is to generate long-term capital appreciation from a
portfolio of equity and equity related securities, by investing predominantly in mid and small cap companies.
These companies are either at their nascent or developing stage and are under researched.
Although relatively volatile in the short run, small and mid cap companies have the potential to deliver higher
growth in the long term.
Portfolio Action
• The portfolio continues to be pro-cyclical and tilted towards economic recovery. As a result we continue to beOverweight on sectors such as Financials, cement, capital goods & engineering, auto ancillary, media, and consumerdiscretionary.
• In the short term we believe the GST implementation could be a disruptor for B2C businesses. However from amedium term perspective post GST implementation, we anticipate that the organized players would becomestronger as unorganized sector would find it tough to do business in the changed environment and cede market shareto more organized players and portfolio is well positioned in those sectors where there is a large portion ofunorganized players. The recent rate reduction of lots of items from 28% to 18% pose well for the unorganised toorganised theme.
• 2QFY18 earnings season has come as a breath of fresh air and rekindled hopes of earnings having troughed. Niftyearnings grew by 14%yoy in 2QFY18, highest in last 3 years. More importantly, the quality of earnings was betterthan the previous few quarters. Most of the sectors either met or exceeded expectations with very little downgrades.2HFY18 is expected to benefit from the low base of last year and normalization of supply chain post initial teethingissues pertaining to GST.
• In the IT and pharma sector we continue to have stock specific approach and continue to have UW stance on both thesectors.
• During the month we have increased allocations consumer goods and marginal reduction in media and financials.
• Post sharp run in the stocks in last 6 months, the overall view turns a little cautious on this space as valuations areabove long term averages.
Kotak Emerging Equity
Scheme Facts
Structure
Month end AUM* (as on 30th Nov 2017)
NAV (as on 2017)30th Nov
Launch Date
Benchmark
Min. Initial Inv.
Additional Inv.
Standard Deviation^
Beta^
Sharpe^
An Open - Ended Equity Growth Scheme
Dividend 27.6840
Direct Dividend 31.3200
Growth 40.5040
Direct Growth 42.8140
30th March 2007
S&P BSE
5000
1000 & in multiples of 1
14.62%
0.89
0.90
32.72%
*Source: MFI Explorer.
^ as on , 2017. Source: ValueResearch.
`
`
` `
2,808.51 crs
`2,723.77 crs
Mid Small Cap
Monthly Average AUM*
Portfolio Turnover
`
`
`
`
30th Nov
Market Cap. %
Load Structure
Large cap 11.43
Midcap 85.24
Small cap 0.00
Cash 3.33
As on 30th Nov, 2017.Source: Value Research definition.
NilEntry Load:
Exit Load:
I) For redemptions / switch outs (includingSIP/STP) within 1 year from the date ofallotment of units, irrespective of the amountof investment:1%
ii) For redemptions / switch outs (includingSIP/STP) after 1 year from the date of allotmentof units, irrespective of the amount ofinvestment: NIL
Any exit load charged (net off Service Tax, ifany) shall be credited back to the respectiveScheme. Units issued on reinvestment ofdividends shall not be subject to entry and exitload.
10
30 November, 2017th
Top 10 Sectors as on 30th Nov, 2017
Sector % Weight Underweight / Previous Changeoverweight
against (Portfolio % from previousbenchmark Weight) month
Month in portfolioPortfolio Benchmark
Financial Services
Industrial Manufacturing
Consumer Goods
Services
Pharma
Chemicals
Automobile
Construction
Cash & Cash Equivalent
Media & Entertainment
20.57 18.56 2.01 21.03 -0.46
20.22 10.60 9.62 20.06 0.16
16.19 13.35 2.85 14.55 1.64
6.18 7.42 -1.24 6.83 -0.65
5.61 7.58 -1.97 4.72 0.89
5.54 3.43 2.11 5.24 0.30
4.72 6.61 -1.88 4.43 0.29
3.96 6.77 -2.81 4.18 -0.22
3.33 0.00 3.33 12.56 -9.24
2.67 2.09 0.58 3.88 -1.21
S&P BSE MidSmall Cap Index
Equity Market Brief
• GST – landmark reform is now implemented, and over the last few months, the government has introduced furtherchanges to help the smaller firms navigate GST better. While there might be some near-term issues in implementing,the longer term benefits are transformative. Most listed players will benefit, as they form the organised part of theeconomy.
• Corporate earnings in few sectors like FMCG, home building, durables, fashion etc are showing these transitionalimpact of GST implementation, even as most company management view this as a strong opportunity for theircompanies. Corporate earnings are likely to pick up in the second half of FY18, after a long time we have seen limiteddowngrades in forward estimates of earnings.
• PSU recap and continued government spending on infrastructure augur well for the medium term growth prospects.
• India to benefit from such reforms which encourages formalisation of the economy in the medium-to-long-term,significant flow from physical to financial savings to further provide stability to markets.
• Volatility across global equities is on lower side. Global events – Fed hiking, Chinese currency depreciation,geopolitical events like the flare-up between US and North Korea to add to near-term volatility.
• Time in the market more important than timing the market – after a long period of lower volatility, markets volatilitymay move up.
Kotak Emerging Equity
About Kotak Mutual Fund
Kotak Mahindra Asset Management
Company Limited (KMAMC) is a wholly
owned subsidiary of Kotak Mahindra Bank
Limited (KMBL). KMBL has over two decades
of experience in financial services. KMBL has a
market capitalization of 1904.453 bn (as on
30th November, 2017). KMAMC is the Asset
Manager for Kotak Mahindra Mutual Fund
(KMMF). It started operations in December
1998. KMMF offers schemes catering to
investors with varying risk - return profiles and
was the first fund house in the country to
launch a dedicated gilt scheme. KMAMC
manages assets worth 124757.49 cr (as on
30th November, 2017).
`
`
* The numbers are converted using the Rupee-
USD reference rate published by the Reserve
Bank of India as on the respective dates.
To know more
Call : 1800-222-626 (Toll Free), Mumbai61152100, Delhi 66306900 / 02, Chennai28221333 / 45038171, Kolkata 64509802 /03, Pune 64013395 / 96, Ahmedabad26779888, Bangalore 66128050 / 51,Hyderabad 66178140 / 41.
Visit - assetmanagement.kotak.com
Email - [email protected]
Disclaimer
Kotak Emerging EquityInvestment
Objective:
Scheme is an open-ended equity growth scheme.
The investment objective of thescheme is to generate long-term capitalappreciation from a portfolio of equity andequity related securities, by investingpredominantly in mid and small capcompanies.
Mutual Fund investments are subject tomarket risks, read all scheme relateddocuments carefully. Scheme InformationDocument (SID) and Statement ofAdditional Information (SAI) available onmutualfund.kotak.com
11
Kotak Emerging Equity*Performance (%) as on 201730th November,
Different plans have different expense structure. The performance details provided herein are of regular plan.
^Past performance may or may not be sustained in future.*All payouts during the period have been reinvested in the units of thescheme at the then prevailing NAV. Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data notavailable. Note: Point to Point (PTP) Returns in INR shows the value of 10,000/- investment made at inception. Source: ICRA MFIExplorer. # Name of Scheme Benchmark. ## Name of Additional Benchmark. Please refer page no. 29 for other schemes managed byMr. Pankaj Tibrewal.
`
30 November, 2017th
Since Inception 13.99 13.12 9.66 40,504 37,304 26,760
Last 1 Year 33.54 42.34 24.34
Last 3 Years 19.73 18.69 5.98
Last 5 Years 25.02 20.30 11.70
Date SchemeReturns Mid Small ## of 10000 in the
Scheme ( ) Benchmark# ( ) Benchmark ## ( )
S&P BSE Nifty 50 Current Value of Standard Investment
(%) ^ Additional
(%)
Index # (%)
`
`
` `
Cap
Scheme Inception date is 30/03/2007. Mr. Pankaj Tibrewal has been managing the fund since 27/05/2010.
Kotak Emerging Equity Fund
This product is suitable for investors who are seeking*:
• Long term capital growth
• Investment in equity & equity related securitiespredominantly in mid & small cap companies
* Investors should consult their financial advisors if in doubtabout whether the product is suitable for them.
Investors understand that their principal willbe at moderately high risk
Riskometer
M
oderately Moderate
Low
Hig
h
Low
High
LOW HIGH
Moderately
May-26-17 26.010 1.59
Apr-28-15 21.499 2.10
May-02-14 13.073 0.50
May-02-13 11.491 0.50
Apr-29-11 10.573 0.75
May-27-16 21.196 1.30
Dividend History
Date CUM DividendNAV
Dividend( per unit)`
Top 10 Companies as on 30th Nov, 2017
IndusInd Bank Ltd. Banks 3.30%
Schaeffler India Ltd Industrial Products 3.24%
Atul Ltd. Chemicals 2.94%
RBL Bank Ltd Banks 2.73%
The Ramco Cements Ltd Cement 2.64%
Solar Industries India Limited Chemicals 2.60%
Finolex Cables Ltd. Industrial Products 2.51%
Eveready Industries India Ltd. Consumer Non Durables 2.46%
Supreme Industries Limited Industrial Products 2.36%
Emami Ltd. Consumer Non Durables 2.32%
HYBRID FUNDS
EQUITY DEBT
About Kotak Balance
� The investment objective of Kotak Balance is to achieve growth by investing in equity and equity related
instruments, balanced with income generation by investing in debt and money market instruments.
The scheme thus provides capital appreciation potential of equities as well as stable returns of debt.�
Portfolio Action
Equity
• The portfolio continues to be pro-cyclical and tilted towards economic recovery. As a result we continue to beoverweight on sectors such as cement, capital goods & engineering, auto ancillary, media and consumer discretionary.
• In the IT and pharma sector we continue to have stock specific approach. The fund continues the underweight stanceon consumer staples, IT and Pharma.
• During the months we marginally increased weightage to financials (insurance companies & PSU banks), FMCG,capital goods, 2W space & Oil & gas sector.
• In the short term we believe the GST implementation could be a disruptor for B2C businesses. However from amedium term perspective post GST implementation, we anticipate that the organized players would become strongeras unorganized sector would find it tough to do business in the changed environment and cede market share to moreorganized players and portfolio is well positioned in those sectors where there is a large portion of unorganizedplayers.
• From an earnings perspective so far 2QFY18 results have been largely in line with expectations and better 1QFY18results. Sector such as private sector banks, FMCG, consumer discretionary autos have given better than expectationwhile results of IT. OMCs & Pharma have been below expectation. Next two quarters are likely to retain earningsmomentum due to lower base because of demonetisation.
• The current largecap (above 20kmcap): midcap ratio remains at 70:30 in the fund.
• As on 30 Nov, 2017, almost 76% of the scheme portfolio comprised of government securities (central as well asstate). The remaining 24% was held in the form of corporate bonds and cash.
• During the past month, gilt yields saw a sharp sell-off. However, the tightening yield spreads between the benchmark10-yr and the longer (12/14/17 yr) gilts indicate that the markets are not in a bearish trend.
• We expect gilts and PSU bank perpetual bonds to fare the best on the risk-reward matrix in the near to mid-termfuture, and will construct our portfolio accordingly.
Debt
Kotak Balance30 November, 2017th
Scheme Facts
Structure
Launch Date
Benchmark
Min. Initial Inv.
Additional Inv.
Standard Deviation^
Beta^
Sharpe^
Month end AUM* (as on 30th Nov )
NAV (as on 30th Nov 2017)
2017
An Open- Ended Balanced Scheme
2,209.46 crs
2,188.14 crs
25 November 1999
Crisil Balanced Fund - Aggressive Index
5000
1000 & in multiples of 1
10.67%
1.12
0.39
30.72%
*Source: Value Research.
^ as on 30th Nov, 2017. Source: ValueResearch.
`
`
`
Dividend 17.0240
Direct Dividend 18.3820
Growth 24.2760
Direct Growth 25.7620
th
`
`
Monthly Average AUM*
Portfolio Turn over
`
`
`
`
Load Structure
Entry Load:
Exit Load:
Nil
I) For redemptions / switch outs (including SIP/STP)within 1 year from the date of allotment of units,irrespective of the amount of investment:1%
ii) For redemptions / switch outs (including SIP/STP)after 1 year from the date of allotment of units,irrespective of the amount of investment: NIL
iii) Any exit load charged (net off Service Tax, if any)shall be credited back to the respective Scheme.(applicable for all plans)
iv) Units issued on reinvestment of dividends shall notbe subject to exit load (applicable for all plans)
13
Top 10 Sectors as on 30th Nov, 2017
Equity Market Brief
• GST – landmark reform is now implemented, and over the last few months, the government has introduced furtherchanges to help the smaller firms navigate GST better. While there might be some near-term issues in implementing,the longer term benefits are transformative. Most listed players will benefit, as they form the organised part of theeconomy.
• Corporate earnings in few sectors like FMCG, home building, durables, fashion etc are showing these transitionalimpact of GST implementation, even as most company management view this as a strong opportunity for theircompanies. Corporate earnings are likely to pick up in the second half of FY18, after a long time we have seen limiteddowngrades in forward estimates of earnings.
• PSU recap and continued government spending on infrastructure augur well for the medium term growth prospects.
• India to benefit from such reforms which encourages formalisation of the economy in the medium-to-long-term,significant flow from physical to financial savings to further provide stability to markets.
• Volatility across global equities is on lower side. Global events – Fed hiking, Chinese currency depreciation,geopolitical events like the flare-up between US and North Korea to add to near-term volatility.
• Time in the market more important than timing the market – after a long period of lower volatility, markets volatilitymay move up.
16.69
15.71
13.58
7.03
5.92
4.88
4.60
4.25
4.22
3.04
20.08
Banks
Government Dated Securities
Debentures and Bonds
Auto
CBLO & Term Deposits & Rev.Repo
Finance
Consumer Non Durables
Cement
Industrial Products
Software
Others
Kotak Balance30 November, 2017th
About Kotak Mutual Fund
* The numbers are converted using the Rupee-
USD reference rate published by the Reserve
Bank of India as on the respective dates.
Kotak Mahindra Asset Management
Company Limited (KMAMC) is a wholly
owned subsidiary of Kotak Mahindra Bank
Limited (KMBL). KMBL has over two decades
of experience in financial services. KMBL has a
market capitalization of 1904.453 bn (as on
30th November, 2017). KMAMC is the Asset
Manager for Kotak Mahindra Mutual Fund
(KMMF). It started operations in December
1998. KMMF offers schemes catering to
investors with varying risk - return profiles and
was the first fund house in the country to
launch a dedicated gilt scheme. KMAMC
manages assets worth 124757.49 cr (as on
30th November, 2017).
`
`
To know more
Call : 1800-222-626 (Toll Free), Mumbai61152100, Delhi 66306900 / 02, Chennai28221333 / 45038171, Kolkata 64509802 /03, Pune 64013395 / 96, Ahmedabad26779888, Bangalore 66128050 / 51,Hyderabad 66178140 / 41.
Visit - assetmanagement.kotak.com
Email - [email protected]
Disclaimer
Kotak BalanceInvestment Objective:
Mutual Fund investments are subject tomarket risks, read all scheme relateddocuments carefully. Scheme InformationDocument (SID) and Statement ofAdditional Information (SAI) available onmutualfund.kotak.com
is an open-ended balancedscheme. To achievegrowth by investing in equity & equity relatedinstruments, balanced with incomegeneration by investing in debt & moneymarket instruments.
14
Kotak Balance* Performance (%) as on , 201730th November
Different plans have different expense structure. The performance details provided herein are of regular plan.
^Past performance may or may not be sustained in future.*All payouts during the period have been reinvested in the units of thescheme at the then prevailing NAV. Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data notavailable. Note: Point to Point (PTP) Returns in INR shows the value of 10,000/- investment made at inception. Source: ICRA MFIExplorer. # Name of Scheme Benchmark. ## Name of Additional Benchmark.Please refer page no. 29 - 30 for top 3 and bottom 3schemes managed by & Mr. Abhishek Bisen.
`
Pankaj Tibrewal
This product is suitable for investors who are seeking*:
• Long term capital growth
• Investment in equity & equity related securitiesbalanced with income generation by investing indebt & money market instruments
* Investors should consult their financial advisors if in doubtabout whether the product is suitable for them.
Investors understand that their principal willbe at moderately high risk
Riskometer
M
oderately Moderate
Low
Hig
h
Low
High
LOW HIGH
Moderately
Nov-27-17 17.1870 0.14Oct-25-17 16.8647 0.11Sep-25-17 16.4830 0.11Aug-28-17 16.6866 0.11Jul-25-17 17.1274 0.12Jun-27-17 16.7970 0.11May-25-17 16.8061 0.11Apr-25-17 16.9880 0.11Mar-27-17 16.4515 0.11Feb-27-17 16.3220 0.11Jan-25-17 16.0710 0.11Dec-26-16 14.9970 0.10Dec-01-16 15.6912 0.11Oct-25-16 16.4100 0.08Sep-26-16 16.2900 0.08Aug-25-16 16.0150 0.08July-25-16 15.8590 0.08
Jan-27-16 13.9837 0.07Dec-15-15 14.9360 0.07
June-27-16 15.0860 0.08May-25-16 14.7180 0.07Apr-25-16 14.7740 0.07Mar-29-16 14.2410 0.07Feb-25-16 13.0750 0.07
Sep-28-15 14.9840 0.50
Dividend History
Date CUM DividendNAV
Dividend( per unit)`
Top 10 Companies as on 30th Nov, 2017
Date SchemeReturns
#( ) Benchmark##( )
Crisil Nifty50 CurrentValueof Standard Investment
` `
Since Inception 15.07 NA 11.62 125,677 NA 72,598
Last 1 Year 18.09 16.88 24.34
Last 3 Years 10.09 7.35 5.98
Last 5 Years 13.33 11.02 11.70
Scheme Inception date is 25/11/1999. Mr. Abhishek Bisen has been managing the fund since 15/04/2008. Mr. Pankaj Tibrewalhas been managing the fund since 25/08/2015.
Kotak Balance
Balanced ## of 10000 in the
AggressiveIndex Scheme( ) Benchmark#(%)
`Fund (%)
(%)^ Additional`
6.68% Central Government SOV 5.66%
6.79% Central Government SOV 4.89%
U P Power Corporation Ltd ( Guaranteed
By UP State Government ) FITCH IND AA(SO) 3.75%
HDFC Bank Ltd. Banks 3.53%
United Bank Of India CRISIL AA- 3.34%
State Bank Of India Banks 2.82%
ICICI Bank Ltd. Banks 2.51%
Allahabad Bank FITCH IND A 2.38%
7.73% Central Government SOV 2.32%
6.57% Central Government SOV 2.31%
About Kotak Equity Savings Fund
�
�
�
�
�
It is an open-ended equity scheme which aims to generate income from cash- futures arbitrage positions and
at the same time allows you to participate in the equity market growth moderately.
-Aims to provide income from arbitrage opportunities in cash & derivatives segment of the equity
market
- Potential for growth in the long term through moderate exposure in directional equity
(15%25% of net assets)
- - The unhedged equity portion has to be maintained in a small range (15%-
25%), hence the fund manager has to sell in a rising equity market and buy more in a falling equity market to
adopt a constant mix approach.
- The Fund is treated similar to equity funds for tax purposes .*
* Please consult your tax adviser with respect to the specific tax implications.
Benefits of Kotak Equity Savings Fund
Income
Growth Potential
Constant Mix Approach
Tax efficiency
:
Portfolio Action
Directional Equity:
Arbitrage:
Debt:
�
�
�
�
�
�
�
�
�
�
The directional equity was around 24.00%.
On the directional equity side, we have been running a conservative portfolio with a max exposure in mid cap stocksbeing 20-25% at any point in time. Remaining 75-80% of the directional equity continues to be in large cap stocks
Apart from this, we have been overweight on commodity oriented sectors like metals and Oil & Gas. The majorunderweight sectors are Cap Goods, Technology and Auto.
Over the past 1.5 years, the exposure to metals has been increased gradually whereas the underweight inTechnology and Pharma continues. Amongst the defensives, utilities carries the maximum overweight.
The arbitrage portion continues to be managed in the same way we manage our arbitrage fund. In months, whenthe arbitrage opportunities provide better returns than the debt papers, we deploy more money into arbitragetrades.
The benefit is that in months when the arbitrage returns are sub optimal, we can deploy a lower amount in arbitrageand still maintain the ‘equity’ taxation status. Stocks like HDFC Bank, IDFC, Maruti, Reliance Industries, etc haveyielded returns which are higher than the average of the entire arbitrage universe.
We have done some merger arbitrage trades viz. CMC-TCS and Shasun-Strides in the past. The blended annualizedreturns were upwards of 14% in these trades. Recently, we have done merger arbitrage trades in Geometric-HCLTech and Cairn-Vedanta which have an expected return potential of more than 16% annualized. During thedivestment issue of CPSE ETF, we subscribed to the ETFs (at 5% discount) and shorted the futures of individualconstituents to bag more than 5% gain within a month. After one month, we exited this trade. So, a riskless profitof absolute 5% was made within a month in this trade.
We have been managing the debt portion in a very conservative manner till now.
The term deposits which are to be placed with the exchange for taking exposure in derivatives generally have atenure of 1 year.
On the debt side, we prefer to play accrual as compared to duration. A bulk of exposure on the debt side is intopapers with a residual maturity (or time to put option) of 2-3 years. A significant portion is also invested into ourown Liquid Fund. The benefit of investing in Liquid is that in case the arbitrage spreads expand, we can easily movethe money from liquid into arbitrage trades without worrying about the levels where the debt yields are quoting atthat point in time.
Kotak Equity Savings Fund
Scheme Facts
Structure
Month end AUM* (as on 30th Nov )
NAV (as on 30th Nov 2017)
2017
Launch Date
Benchmark
Min. Initial Inv.
Additional Inv.
Standard Deviation^
Beta^
Sharpe^
An Open Ended Equity Scheme
crs
13 October 2014
75% of Nifty 50 Arbitrage Index &25% in Nifty 50 (w.e.f. Nov 01, 2016)
5000
1000 & in multiples of 1
3.29%
0.94
0.66
143.69%
*Source: MFI Explorer.
^as on 30th Nov, 2017. Source: ValueResearch.
`1,335.30
`
` `
` `
1,273.02 crs
Direct Growth 13.4244
Growth 13.1382
Quarterly Dividend 11.3156
Direct Quarterly Dividend 11.4178
Monthly Dividend 11.2866
Direct Monthly Dividend 11.5335
& in multiples of 1
th
Monthly Average AUM*
Portfolio Turnover
`
`
`
`
`
`
Load Structure
Entry Load:
Exit Load:
Nil
i) For redemption / switch out ofupto 10% of the initial investment amount(limit) purchased or switched in within 1 yearfrom the date of allotment: Nil.
ii) If units redeemed or switched out are inexcess of the limit within 1 year from the dateof allotment: 1%.
iii) If units are redeemed or switched out on orafter 1 year from the date of allotment: Nil.
Any exit load charged (net off Service Tax, ifany) shall be credited back to the respectiveScheme. Units issued on reinvestment ofdividends shall not be subject to entry and exitload.
30 November, 2017th
Equity Market Brief
• GST – landmark reform is now implemented, and over the last few months, the government has introduced furtherchanges to help the smaller firms navigate GST better. While there might be some near-term issues in implementing,the longer term benefits are transformative. Most listed players will benefit, as they form the organised part of theeconomy.
• Corporate earnings in few sectors like FMCG, home building, durables, fashion etc are showing these transitionalimpact of GST implementation, even as most company management view this as a strong opportunity for theircompanies. Corporate earnings are likely to pick up in the second half of FY18, after a long time we have seen limiteddowngrades in forward estimates of earnings.
• PSU recap and continued government spending on infrastructure augur well for the medium term growth prospects.
• India to benefit from such reforms which encourages formalisation of the economy in the medium-to-long-term,significant flow from physical to financial savings to further provide stability to markets.
Volatility across global equities is on lower side. Global events – Fed hiking, Chinese currency depreciation,geopolitical events like the flare-up between US and North Korea to add to near-term volatility.
•
• Time in the market more important than timing the market – after a long period of lower volatility, markets volatilitymay move up.
15
Kotak Equity Savings Fund30 November, 2017th
About Kotak Mutual Fund
Kotak Mahindra Asset Management
Company Limited (KMAMC) is a wholly
owned subsidiary of Kotak Mahindra Bank
Limited (KMBL). KMBL has over two decades
of experience in financial services. KMBL has a
market capitalization of 1904.453 bn (as on
30th November, 2017). KMAMC is the Asset
Manager for Kotak Mahindra Mutual Fund
(KMMF). It started operations in December
1998. KMMF offers schemes catering to
investors with varying risk - return profiles and
was the first fund house in the country to
launch a dedicated gilt scheme. KMAMC
manages assets worth 124757.49 cr (as on
30th November, 2017).
`
`
* The numbers are converted using the Rupee-
USD reference rate published by the Reserve
Bank of India as on the respective dates.
To know more
Call : 1800-222-626 (Toll Free), Mumbai61152100, Delhi 66306900 / 02, Chennai28221333 / 45038171, Kolkata 64509802 /03, Pune 64013395 / 96, Ahmedabad26779888, Bangalore 66128050 / 51,Hyderabad 66178140 / 41.
Visit - assetmanagement.kotak.com
Email - [email protected]
Disclaimer
Kotak Equity Savings Fund
Mutual Fund investments are subject tomarket risks, read all scheme relateddocuments carefully. Scheme InformationDocument (SID) and Statement ofAdditional Information (SAI) available onmutualfund.kotak.com
, an Open endedequity scheme. Investment objective: of thescheme is to generate capital appreciation andincome by predominantly investing inarbitrage opportunities in the cash andderivatives segment of the equity market, andenhance returns with a moderate exposure inequity & equity related instruments.There is noassurance or guarantee that the investmentobjective of the scheme will be achieved.
16
Oct-13-17 11.2550 0.0518Oct-12-17 11.3021 0.0497Sep-12-17 11.3260 0.0600Aug-14-17 11.4110 0.0583Jul-12-17 11.1373 0.0500Jun-12-17 11.0760 0.0500May-12-17 10.9370 0.0500Apr-12-17 10.9100 0.0500Mar-14-17 10.7883 0.0500Feb-13-17 10.8090 0.0500Jan-12-17 10.6718 0.0500Dec-12-16 10.5773 0.0500Nov-15-16 10.5563 0.0500Oct-13-16 10.7780 0.0500Sep-12-16 10.7540 0.0500Aug-12-16 10.7340 0.0500Jul-12-16 10.6329 0.0420
Sep-20-17 11.3680 0.1750Jun-20-17 11.1180 0.1500Mar-20-17 10.8961 0.1500Dec-20-16 10.5796 0.1500Sep-20-16 10.8162 0.1500
Quaterly Dividend Option
Dividend History
Date CUM DividendNAV
Dividend( per unit)`
This product is suitable for investors who are seeking*:
• Income from arbitrage opportunities in the equitymarket & long term capital growth
• Investment predominantly in arbitrage opportunitiesin the cash & derivatives segment of the equitymarket and equity & equity related securities
* Investors should consult their financial advisors if in doubtabout whether the product is suitable for them.Investors understand that their principal will
be at moderately high risk
Riskometer
M
oderately Moderate
Low
Hig
h
Low
High
LOW HIGH
ModeratelyKotak Equity Savings Fund * Performance (%) as on 30th November, 2017
The scheme has been in existence for less than 5 years
Different plans have different expense structure. The performance details provided herein are of regular plan.
^Past performance may or may not be sustained in future.*All payouts during the period have been reinvested in the units of thescheme at the then prevailing NAV. Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data notavailable. Note: Point to Point (PTP) Returns in INR shows the value of 10,000/- investment made at inception. Source: ICRA MFIExplorer. # Name of Scheme Benchmark. ## Name of Additional Benchmark.Please refer page no. 29 - 30 for top 3 and bottom 3schemes managed by Mr. Deepak Gupta & Mr. Abhishek Bisen.
`
Date SchemeReturns of 10000 in the
Scheme ( ) Benchmark# ( ) Benchmark ## ( )
75%50
##
Nifty Current Value of Standard Investment
(%) ^ (%) Additional# (%)
`
`
` `
Scheme Inception date is 13/10/2014. Mr. Deepak Gupta has been managing the fund since 13/10/2014. Mr. Abhishek Bisenhas been managing the fund since 13/10/2014.
Kotak Equity Savings Fund
Nifty 50Arbitrage Index
25% Nifty 50
Since Inception 9.10 7.10 8.65 13,138 12,397 12,971
Last 1 Year 12.63 9.05 24.34
Last 3 Years 8.39 6.41 5.98
Portfolio Detail % of Net assets
Unhedged Position 24.88
Cash Futures Arbitrage 39.09
Debt Instruments* 32.69
Cash and Cash equivalent and Net Current Asset 3.34
Total 100.00
*Debt Instruments includes redeemable preference shares
THEMATIC FUND
Kotak Infrastructure & Economic Reform Fund(formerly known as “PineBridge Infrastructure & EconomicReform Fund)
30 November, 2017th
Scheme Facts
Structure
Launch Date
Benchmark
Min. Initial Inv.
Additional Inv.
Standard Deviation^
Beta^
Sharpe^
Month end AUM* (as on 30th Nov )
NAV (as on 30th Nov 2017)
2017
An Open Ended Equity Scheme
crs
crs
Growth Direct 24.4430
Dividend Direct 24.4260
Standard Dividend 21.5780
Standard Growth 22.9640
27 February 2008
S&P BSE 100
1000 & in multiples of 1
14.80%
0.92
0.65
36.81%
*Source: MFI Explorer.
^ as on 30th Nov, 2017. Source: ValueResearch.
`
`
`
`
439.69
439.76
th
5000 & in multiples of 1`
`
Monthly Average AUM*
Portfolio Turn over
`
`
`
`
Load Structure
Entry Load:
Exit Load:
Nil
I) For redemptions / switch outs (including SIP/STP)within 1 year from the date of allotment of units,irrespective of the amount of investment – 1%;
ii) For redemptions / switch outs (including SIP/STP)after 1 year from the date of allotment of units,irrespective of the amount of investment – NIL;
iii) Any exit load charged (net off Service Tax, if any)shall be credited back to the Scheme;
iv) Units issued on reinvestment of dividends shall notbe subject to entry and exit load. (applicable for allplans)
18
About Kotak Infrastructure & Economic Reform Fund
�
�
The investment objective of the Scheme is to generate long-term capital appreciation from a diversified
portfolio of predominantly (at least 65%) equity and equity-related securities of companies involved in
economic development of India as a result of potential investments in infrastructure and unfolding economic
reforms.
There is no assurance that the investment objective of the Scheme will be achieved.
Portfolio Action
• We believe investment cycle revival in India will be led by spending by government and this has been articulated well inthe government budget, while private developers following public investments with a lag.
• Given that the two biggest costs in an infrastructure project – commodities and interest rates have come down,incremental project ordering will improve.
• While investment cycle is gradually improving with revival in government capex, housing and private sector capex areyet to see meaningful traction.
• We continue to remain significantly invested in the “flow” of infrastructure theme (i.e companies that benefit fromspending by various entities towards infrastructure creation) rather than “stock” or asset owners in the portfolio.
• We continue to invest along a range of these sectors to play overall improvement in investment cycle.
• We believe well managed companies in capital goods, cement, logistics, utilities and EPC companies will be largebeneficiaries with developers still reeling under regulatory uncertainties and/or large debt servicing.
• During the month, we added to our exposure to select capital goods, EPC companies focused on governmentspending.
Sector Allocation as on 30th Nov, 2017
Industrial Products 18.11
Gas 13.58
Cement 11.85
Industrial Capital Goods 10.02
Construction 8.13
Construction Project 6.09
Power 5.02
Chemicals 4.87
Transportation 4.40
Auto Ancillaries 3.86
Others 14.07
Equity Market Brief
• GST – landmark reform is now implemented, and over the last few months, the government has introduced furtherchanges to help the smaller firms navigate GST better. While there might be some near-term issues in implementing,the longer term benefits are transformative. Most listed players will benefit, as they form the organised part of theeconomy.
• Corporate earnings in few sectors like FMCG, home building, durables, fashion etc are showing these transitionalimpact of GST implementation, even as most company management view this as a strong opportunity for theircompanies. Corporate earnings are likely to pick up in the second half of FY18, after a long time we have seen limiteddowngrades in forward estimates of earnings.
• PSU recap and continued government spending on infrastructure augur well for the medium term growth prospects.
• India to benefit from such reforms which encourages formalisation of the economy in the medium-to-long-term,significant flow from physical to financial savings to further provide stability to markets.
• Volatility across global equities is on lower side. Global events – Fed hiking, Chinese currency depreciation,geopolitical events like the flare-up between US and North Korea to add to near-term volatility.
• Time in the market more important than timing the market – after a long period of lower volatility, markets volatilitymay move up.
Sector %
About Kotak Mutual Fund
Kotak Mahindra Asset Management
Company Limited (KMAMC) is a wholly
owned subsidiary of Kotak Mahindra Bank
Limited (KMBL). KMBL has over two decades
of experience in financial services. KMBL has a
market capitalization of 1904.453 bn (as on
30th November, 2017). KMAMC is the Asset
Manager for Kotak Mahindra Mutual Fund
(KMMF). It started operations in December
1998. KMMF offers schemes catering to
investors with varying risk - return profiles and
was the first fund house in the country to
launch a dedicated gilt scheme. KMAMC
manages assets worth 124757.49 cr (as on
30th November, 2017).
`
`
* The numbers are converted using the
Rupee- USD reference rate published by the
Reserve Bank of India as on the respective
dates.
To know more
Call : 1800-222-626 (Toll Free), Mumbai61152100, Delhi 66306900 / 02, Chennai28221333 / 45038171, Kolkata 64509802 /03, Pune 64013395 / 96, Ahmedabad26779888, Bangalore 66128050 / 51,Hyderabad 66178140 / 41.
Visit - assetmanagement.kotak.com
Email - [email protected]
Disclaimer
Kotak Infrastructure & Economic ReformFund
investment objective:
Mutual Fund investments are subject tomarket risks, read all scheme relateddocuments carefully. Scheme InformationDocument (SID) and Statement ofAdditional Information (SAI) available onmutualfund.kotak.com
investment objective of the Scheme is togenerate long-term capital appreciation froma diversified portfolio of predominantly (atleast 65%) equity and equity-related securitiesof companies involved in economicdevelopment of India as a result of potentialinvestments in infrastructure and unfoldingeconomic reforms. There is no assurance thatthe of the Schemewill be achieved.
19
Kotak Infrastructure & Economic Reform Fund(formerly known as “PineBridge Infrastructure & EconomicReform Fund)
Kotak Infrastructure & Economic Reform Fund* (Div)Performance (%) as on 30th November, 2017
Date SchemeReturns ## of 10000 in the
Scheme ( )Benchmark# ( ) Benchmark ## ( )
S&P BSE Nifty 50 Current Value of Standard Investment
(%) ^ # (%) Additional
(%) `
` `
Since Inception 8.88 7.18 7.17 22,964 19,687 19,664
Last 1 Year 36.42 26.25 24.34
Last 3 Years 15.59 7.37 5.98
Last 5 Years 20.73 12.61 11.70
Scheme Inception date is 25/02/2008. Mr. Harish Krishnan has been managing the fund since 01/02/2015.
Kotak Infrastructure & Economic Reform Fund
100
`
This product is suitable for investors who are seeking*:
• Long term capital growth
• Long term capital appreciation by investing in equityand equity related instruments of companiescontributing to infrastructure and economicdevelopment of India
* Investors should consult their financial advisors if in doubtabout whether the product is suitable for them.Investors understand that their principal will
be at high risk
Riskometer
M
oderately Moderate
Low
Hig
h
Low
High
LOW HIGH
Moderately
Feb-23-2017 17.5640 0.50
June-23-2015 15.2601 0.50
Dividend History
Date CUM DividendNAV
Dividend( per unit)`
30 November, 2017th
Top 10 Holdings as on 30th Nov, 2017
Different plans have different expense structure. The performance details provided herein are of regular plan.
^Past performance may or may not be sustained in future.*All payouts during the period have been reinvested in the units of the scheme at thethen prevailing NAV. Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data not available. Note: Point to Point(PTP) Returns in INR shows the value of 10,000/- investment made at inception. Source: ICRA MFI Explorer. # Name of Scheme Benchmark. ##Name of Additional Benchmark. Please refer page no. 29 for other schemes managed by Mr. Harish Krishnan.
Shree Cement Ltd. Cement 4.69%
Indraprastha Gas Ltd. Gas 4.64%
Bharat Earth Movers Ltd. Industrial Capital Goods 3.99%
National Thermal Power Corporation Limited Power 3.91%
Ultratech Cement Ltd. Cement 3.78%
Larsen And Toubro Ltd. Construction Project 3.74%
GAIL (India) Ltd. Gas 3.62%
Solar Industries India Limited Chemicals 3.35%
Container Corporation of India Ltd. Transportation 3.12%
Bharti Airtel Ltd. Telecom - Services 3.10%
DEBT FUND
7
Kotak Low Duration Fund(formerly known as “PineBridge India Short Term Fund”)
30 November, 2017th
Scheme Facts
Structure
Launch Date
Benchmark
Min. Initial Inv.
Additional Inv.
Standard Deviation^
YTM
Portfolio Modified Duration
Month end AUM* (as on 30th Nov )
NAV (as on 30th Nov )
2017
2017
Average Maturity
An Open Ended Debt Scheme
Growth Direct 2138.6908
Regular Dividend NA
Monthly Dividend Direct 1035.1879
Weekly Dividend Direct 1199.3433
Standard Growth 2077.5585
Standard Monthly Dividend 1019.8497
Standard Weekly Dividend 1014.7926
6th March, 2008
Crisil Liquid Fund Index
7.84%
0.90 years
*Source: MFI Explorer.
^ as on 30th Nov, 2017. Source: ValueResearch.
`
` `
` `
6,143.17 crs
`5,812.94 crs
`
`
`
`
`
`
5000 & in multiples of 1
1000 & in multiples of 1
0.62%
1.06 years
Monthly Average AUM*
Load Structure
Entry Load:
Exit Load:
Nil
Nil
Any exit load charged (net off Service Tax, ifany) shall be credited back to the Scheme;
Note - Units issued on reinvestment ofdividends shall not be subject to entry and exitload.
About Kotak Low Duration Plan
�
�
The primary objective of the Scheme is to generate income through investment primarily in low duration debt &
money market securities.
There is no assurance or guarantee that the investment objective of the scheme will be achieved.
Portfolio Action
• Given the above outlook we intend to maintain the average maturity at the higher end of the indicated band.
• The focus is to enhance the portfolio yield while maintaining the liquidity and maturity of the portfolio in theindicated band.
• We intend to maintain the modified duration in the range of 0.75 – 1.00 in December 2017.
21
Asset Allocation as on , 201730th Nov
Debentures and Bonds 83.63%
Commercial Paper (CP)/Certificate of Deposits (CD) 11.46%
CBLO & Term Deposits & Rev.Repo 4.05%
Net Current Assets 0.72%
Government Dated Securities 0.14%
Debt Market Outlook
• One of the most positive and prominent developments in November was the credit rating upgrade fromMoody’s.We expect the credit rating upgrade to have positive structural impact on various factors like interestrates; a positive impact is already being reflected in terms of a stable and appreciating rupee.
• Though the Q2 FY2017-18 GDP rate rebounded to 6.30%, market views regarding the earnings growth andgrowth rate of the economy continue to remain diverse. There is a general consensus that the reformsundertaken by the government (i.e. bank recap bonds, GST, etc.) should augur well for the economy, goingforward. We expect the government to continue to maintain its fiscal deficit around 3.2%.
• Though the bond yields have seen a sharp sell-off, the yield spread between 10-yr and 12/14/17 yr gilts havetightened considerably, therefore we believe the market is not in a bear trend.
• The yields are hardening for non-fundamental reasons; while they impact the past, they make the future brightin terms of prospective returns. Therefore we are taking the opportunity and making the best out of it. We shallre-strategize and reposition our portfolios as and when further clarity emerges from market developments.
Top 10 Companies as on 30th Nov, 2017
(^) Fully or Party blocked against Interest Rate Swap (IRS)
Particulars 30 Nov 2017 31 Oct 2017
Avg. Maturity (in yrs) 1.06 1.14
Duration 0.90 0.97
Yield (in %) 7.84 7.92
Vedanta Ltd. CRISIL AA 6.53%
Bank Of Baroda(^) CARE AA 5.92%
AXIS Bank Ltd.(^) CRISIL AA+ 5.34%
Dewan Housing Finance Corporation Ltd.(^) CARE AAA 5.31%
S D Corporation Private Ltd. ( DSRA Guarantee from Shapoorji
Pallonji and Company Private Limited) CARE AA+(SO) 5.10%
K Raheja IT Park (Hyderabad) Ltd. ( Commercial
Mortgage-Backed Securities ) FITCH IND AAA(SO) 4.89%
Nirma Ltd.(^) CRISIL AA 4.82%
Manappuram Finance Ltd. ICRA AA- 4.15%
Karelides Traders Private Ltd. (backed byunconditional and irrevocable
undertaking byawhollyowned subsidiary of Piramal Enterprises Ltd) ICRA AA-(SO) 3.96%
Innovador Traders Pvt Ltd (backed by unconditional and irrevocable
undertaking by Piramal) ICRA AA-(SO) 3.50%
About Kotak Mutual Fund
Kotak Mahindra Asset Management
Company Limited (KMAMC) is a wholly
owned subsidiary of Kotak Mahindra Bank
Limited (KMBL). KMBL has over two decades
of experience in financial services. KMBL has a
market capitalization of 1904.453 bn (as on
30th November, 2017). KMAMC is the Asset
Manager for Kotak Mahindra Mutual Fund
(KMMF). It started operations in December
1998. KMMF offers schemes catering to
investors with varying risk - return profiles and
was the first fund house in the country to
launch a dedicated gilt scheme. KMAMC
manages assets worth 124757.49 cr (as on
30th November, 2017).
`
`
* The numbers are converted using the Rupee-
USD reference rate published by the Reserve
Bank of India as on the respective dates.
To know more
Call : 1800-222-626 (Toll Free), Mumbai61152100, Delhi 66306900 / 02, Chennai28221333 / 45038171, Kolkata 64509802 /03, Pune 64013395 / 96, Ahmedabad26779888, Bangalore 66128050 / 51,Hyderabad 66178140 / 41.
Visit - assetmanagement.kotak.com
Email - [email protected]
Disclaimer
Kotak Low Duration FundInvestment Objective:
is an open - ended debtscheme. The primaryobjective of the Scheme is to generate incomethrough investment primarily in low duration debt &money market securities. There is no assurance orguarantee that the investment objective of thescheme will be achieved.
Mutual Fund investments are subject to marketrisks, read all scheme related documentscarefully. Scheme Information Document (SID)and Statement of Additional Information (SAI)available on mutualfund.kotak.com
22
Kotak Low Duration Fund* Performance (%) as on , 201730th November
Different plans have different expense structure. The performance details provided herein are of regular plan.
^Past performance may or may not be sustained in future. *All payouts during the period have been reinvested in the units of thescheme at the then prevailing NAV. Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data notavailable. Note: Point to Point (PTP) Returns in INR shows the value of 10,000/- investment made at inception. Source: ICRA MFIExplorer. Classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of SchemeBenchmark. ## Name of Additional Benchmark. Please refer page no. 29 for top 3 and bottom 3 schemes managed by Mr. DeepakAgrawal.
`
Since Inception 7.79 7.59 6.47 20,776 20,402 18,416
Last 1 Year 7.08 6.62 5.67
Last 3 Years 8.68 7.51 7.23
Last 5 Years 8.49 8.14 7.21
Scheme Inception date is 06/03/2008. Mr. Deepak Agrawal has been managing the fund since 01/02/2015.
Rating Profile as on 30th Nov, 2017
Kotak Low Duration Fund
Current Value of Standard Investmentof 10000 in the`
CRISIL 1 YearT-Bill Index
## (%)
CRISILLiquidFund
Index # (%)
SchemeReturns(%) ^
Date
Scheme( )`
Benchmark# ( )`
AdditionalBenchmark ## ( )`
Kotak Low Duration Fund(formerly known as )“PineBridge India Short Term Fund”
30 November, 2017th
This product is suitable for investors who are seeking*:
• Regular income over short term
• Income by focusing on low duration securities
* Investors should consult their financial advisors if in doubtabout whether the product is suitable for them.
Investors understand that their principal willbe at moderate risk
Riskometer
M
oderately Moderate
Low
Hig
h
Low
High
LOW HIGH
Moderately
54.84
34.89
5.50
4.05
0.72
AA+, AA+(SO), AA, AA(SO), BWR AA,
AA-, AA-(SO), BWR AA-(SO), IND AA-
A1+, AAA, AAA(SO), BWR A1+ (SO),
IND A1+(SO), IND AAA, IND AAA(SO), SOV
A, BWR A(SO), IND A, A-
CBLO & Term Deposits & Rev.Repo
Net Current Assets
Kotak Income Opportunities30 November, 2017th
Scheme Facts
Structure
Benchmark
Min. Initial Inv.
Additional Inv.
Standard Deviation^
YTM
Portfolio Modified Duration
Month end AUM* (as on 30th Nov )
NAV (as on 2017)
2017
30th Nov
Launch Date
Average Maturity
An Open- Ended Debt Scheme
Weekly Dividend 9.9982
Weekly Dividend Direct 10.4236
Monthly Dividend 10.3347
Monthly Dividend Direct 10.5591
Quarterly Dividend 10.7838
Quarterly Dividend Direct 10.1742
Annual Dividend 10.7304
Annual Dividend Direct 14.7457
Growth 18.7554
Growth Direct 19.6326
Crisil Short Term Bond Fund Index
5000/-
1.45%
8.74%
2.12 years
*Source: MFI Explorer.
^ as on , 2017. Source: ValueResearch.
`
`
5,051.96 crs
`
` `
5,016.04 crs
`
`
`
`
`
`
`
`
`
`
11 May 2010
1000 & in multiples of 1
2.71 years
th
Monthly Average AUM*
30th Nov
Load Structure
Entry Load:Exit Load:
Nil) For redemption / switch out of upto
10% of the initial investment amount (limit)purchased or switched in within 1 year from thedate of allotment: Nil.ii) If units redeemed or switched out are inexcess of the limit within 1 year from the date ofallotment: 1%.iii) If units are redeemed or switched out on orafter 1 year from the date of allotment: Nil.iv) Any exit load charged (net off Service Tax, ifany) shall be credited back to the respectiveScheme. Units issued on reinvestment ofdividends shall not be subject to entry and exitload.
i
About Kotak Income Opportunities
�
�
�
�
�
The investment objective of Kotak Income Opportunities is to generate income by investing in debt and money
market securities across the yield curve and credit spectrum.
The scheme would also seek to maintain reasonable liquidity within the fund.
The scheme invests in securities offering high accrual by taking on a marginally higher credit risk.
The fund manager may also seek to capitalize on opportunity of potential credit rating upgrades from time to
time.
The scheme is suitable for investors with a time horizon of 15 months plus.
Portfolio Action
• Given the above outlook we intend to maintain the average maturity at the higher end of the indicated band.
• The endeavour is to enhance the portfolio yield by either selling low yielding assets to buy high yielding assetsor by utilising the cash to acquire high yielding assets.
• We intend to maintain the modified duration in the range of 1.75 – 2.25 in December 2017.
23
Asset Allocation as on 30th Nov, 2017
Debentures and Bonds 96.64%
Net Current Assets 2.85%
CBLO & Term Deposits & Rev.Repo 0.51%
Debt Market Outlook
Top 10 Companies as on 30th Nov, 2017
• One of the most positive and prominent developments in November was the credit rating upgrade fromMoody’s.We expect the credit rating upgrade to have positive structural impact on various factors like interestrates; a positive impact is already being reflected in terms of a stable and appreciating rupee.
• Though the Q2 FY2017-18 GDP rate rebounded to 6.30%, market views regarding the earnings growth andgrowth rate of the economy continue to remain diverse. There is a general consensus that the reformsundertaken by the government (i.e. bank recap bonds, GST, etc.) should augur well for the economy, goingforward. We expect the government to continue to maintain its fiscal deficit around 3.2%.
• Though the bond yields have seen a sharp sell-off, the yield spread between 10-yr and 12/14/17 yr gilts havetightened considerably, therefore we believe the market is not in a bear trend.
• The yields are hardening for non-fundamental reasons; while they impact the past, they make the future brightin terms of prospective returns. Therefore we are taking the opportunity and making the best out of it. We shallre-strategize and reposition our portfolios as and when further clarity emerges from market developments.
Particulars 30 Nov 2017 31 Oct 2017
Avg. Maturity (in yrs) 2.71 2.58
Duration 2.12 2.04
Yield (in %) 8.74 8.45
U P Power Corporation Ltd ( Guaranteed By UP State Government) FITCH IND AA(SO) 9.21%
Karelides Traders Private Ltd. ( backedbyunconditional and irrevocable
undertaking byawhollyownedsubsidiary of Piramal Enterprises Ltd ) ICRA AA-(SO) 4.72%
HDFC Ltd. CRISIL AAA 4.58%
Innovador Traders Pvt Ltd ( backedbyunconditional and irrevocable
undertaking by Piramal ) ICRA AA-(SO) 3.96%
HPCL Mittal Pipelines Ltd. ICRA AA 3.95%
HPCL Mittal Energy Ltd. ICRA AA 3.30%
Reliance Jio Infocomm Ltd.(^) CRISIL AAA 3.29%
Indiabulls Housing Finance Ltd. CARE AAA 3.14%
Punjab & Sind Bank ICRA A+ 2.87%
Tata Power Renewable Energy Ltd. (Guaranteed by Tata Power
Company Ltd) CARE AA(SO) 2.79%
30 November, 2017th
About Kotak Mutual Fund
Kotak Mahindra Asset Management
Company Limited (KMAMC) is a wholly
owned subsidiary of Kotak Mahindra Bank
Limited (KMBL). KMBL has over two decades
of experience in financial services. KMBL has a
market capitalization of 1904.453 bn (as on
30th November, 2017). KMAMC is the Asset
Manager for Kotak Mahindra Mutual Fund
(KMMF). It started operations in December
1998. KMMF offers schemes catering to
investors with varying risk - return profiles and
was the first fund house in the country to
launch a dedicated gilt scheme. KMAMC
manages assets worth 124757.49 cr (as on
30th November, 2017).
`
`
* The numbers are converted using the Rupee-
USD reference rate published by the Reserve
Bank of India as on the respective dates.
To know more
Call : 1800-222-626 (Toll Free), Mumbai61152100, Delhi 66306900 / 02, Chennai28221333 / 45038171, Kolkata 64509802 /03, Pune 64013395 / 96, Ahmedabad26779888, Bangalore 66128050 / 51,Hyderabad 66178140 / 41.
Visit - assetmanagement.kotak.comEmail - [email protected]
Disclaimer
Kotak Income Opportunities is an open-endeddebt scheme. Investment Objective: The investmentobjective of the scheme is to generate income byinvesting in debt /and money market securities acrossthe yield curve and credit spectrum. The schemewould also seek to maintain reasonable liquiditywithin the fund. There is no assurance that orguarantee that the investment objective of thescheme will be achieved.
Mutual Fund investments are subject to marketrisks, read all scheme related documentscarefully. Scheme Information Document (SID)and Statement of Additional Information (SAI)available on mutualfund.kotak.com
24
Rating Profile as on 30th Nov, 2017
Kotak Income Opportunities
This product is suitable for investors who are seeking*:
• Income over a medium term horizon
• Investment in debt & money market securities
* Investors should consult their financial advisors if in doubtabout whether the product is suitable for them.
Investors understand that their principal willbe at moderately low risk
M
oderately Moderate
Low
Hig
h
Low
High
LOW HIGH
Moderately
64.14
17.86
13.64
2.85
1.00
0.51
AA+, AA+(SO), IND AA+, AA, AA(SO), BWR AA,
INDBWR AA-
AA, IND AA(SO), AA-, AA-(SO), BWR AA-,(SO), CARE AA-(SO), IND AA-
AAA
A+, BWR A+, IND A+, A, IND A, A-
Net Current Assets
Unrated
CBLO & Term Deposits & Rev.Repo
Kotak Income Opportunities Fund - Growth *Performance (%) as on , 201730th November
Different plans have different expense structure. The performance details provided herein are of regular plan.
^Past performance may or may not be sustained in future. *All payouts during the period have been reinvested in the units of thescheme at the then prevailing NAV. Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data notavailable. Note: Point to Point (PTP) Returns in INR shows the value of 10,000/- investment made at inception. Source: ICRA MFIExplorer. Classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of SchemeBenchmark. ## Name of Additional Benchmark. Please refer page no. 29 for top 3 and bottom 3 schemes managed by Mr. DeepakAgrawal.
`
Since Inception 8.67 8.31 6.79 18,755 18,288 16,430
Last 1 Year 6.06 5.94 5.67
Last 3 Years 8.90 8.44 7.23
Last 5 Years 9.04 8.78 7.21
Scheme Inception date is 11/05/2010. Mr. Deepak Agrawal has been managing the fund since 12/04/2010.
Kotak Income Opportunities Fund - Growth
Current Value of Standard Investmentof 10000 in the`
CRISIL 1Year T-Bill
Index## (%)
Crisil ShortTerm
Bond FundIndex # (%)
SchemeReturns(%) ^
Date
Scheme( )`
Benchmark# ( )`
AdditionalBenchmark ## ( )`
Riskometer
Kotak Medium Term Fund30 November, 2017th
Scheme Facts
Structure
Launch Date
Benchmark
Min. Initial Inv.
Additional Inv.
Standard Deviation^
YTM
Portfolio Modified Duration
Month end AUM* (as on 30th Nov )
NAV (as on 30th Nov 2017)
2017
Average Maturity
An Open Ended Debt Scheme
Quarterly Dividend 10.6423
Quarterly Dividend Direct 10.6639
Annual Dividend 11.0006
Annual Dividend Direct 14.7358
Growth 14.1898
Growth Direct 14.7001
21st March, 2014
CRISIL Composite Bond Fund Index
8.66%
2.58 years
*Source: MFI Explorer.
^ as on 30th Nov, 2017. Source: ValueResearch.
`
` `
` `
crs4,725.88
`4,723.13 crs
`
`
`
`
`
`
5000 & in multiples of 1
1000 & in multiples of 1
1.87%
3.31 years
Monthly Average AUM*
Load Structure
Entry Load:
Exit Load:
Nil
i) For redemption / switch out ofupto 15% of the initial investment amount(limit) purchased or switched in within 18months from the date of allotment: Nil.
ii) If units redeemed or switched out are inexcess of the limit within 18 months from thedate of allotment: 2%.
iii) If units are redeemed or switched out on orafter 18 months from the date of allotment:Nil.
iv) Any exit load charged (net off Service Tax ifany) shall be credited back to the respectiveScheme. Units issued on reinvestment ofdividends shall not be subject to entry and exitload.
Top 10 Companies as on 30th Nov, 2017
Asset Allocation as on 30th Nov, 2017
Debentures and Bonds 96.98%
Net Current Assets 2.55%
Government Dated Securities 0.32%
CBLO & Term Deposits & Rev.Repo 0.15%
About Kotak Medium Term Plan
�
�
�
�
�
Kotak Medium Term Fund, an open-ended debt scheme.
The investment objective of the scheme is to generate regular income and capital appreciation by investing in a
portfolio of medium term debt and money market instruments.
The fund has an average maturity floor of around 3 years and a ceiling of around 7 years.
As a result, the fund occupies a mid-segment space between the long duration and the short duration bonds.
Likewise, the fund's merits also tend to be a balance of the long term and the short term bond funds.
The fund operates largely on a Hold-Till-Maturity (HTM) strategy.
Portfolio Action
• Given the above outlook we intend to maintain the average maturity at the higher end of the indicated band.
• The endeavour is to enhance the portfolio yield by either selling low yield assets or buying high yielding assetsby utilising the cash.
• We intend to maintain a modified duration in the range of 2.25 - 3.00 in December 2017.
25
Debt Market Outlook
• One of the most positive and prominent developments in November was the credit rating upgrade fromMoody’s.We expect the credit rating upgrade to have positive structural impact on various factors like interestrates; a positive impact is already being reflected in terms of a stable and appreciating rupee.
• Though the Q2 FY2017-18 GDP rate rebounded to 6.30%, market views regarding the earnings growth andgrowth rate of the economy continue to remain diverse. There is a general consensus that the reformsundertaken by the government (i.e. bank recap bonds, GST, etc.) should augur well for the economy, goingforward. We expect the government to continue to maintain its fiscal deficit around 3.2%.
• Though the bond yields have seen a sharp sell-off, the yield spread between 10-yr and 12/14/17 yr gilts havetightened considerably, therefore we believe the market is not in a bear trend.
• The yields are hardening for non-fundamental reasons; while they impact the past, they make the future brightin terms of prospective returns. Therefore we are taking the opportunity and making the best out of it. We shallre-strategize and reposition our portfolios as and when further clarity emerges from market developments.
Particulars 30 Nov 2017 31 Oct 2017
Avg. Maturity (in yrs) 3.31 3.19
Duration 2.58 2.51
Yield (in %) 8.66 8.43
U P Power Corporation Ltd (GuaranteedBy UP State Government) FITCH IND AA(SO) 8.52%Reliance Jio Infocomm Ltd. CRISIL AAA 6.89%PNB Housing Finance Ltd. CARE AAA 4.41%Nuvoco Vistas Corporation Ltd. (100%subsidiary of Nirma Ltd.) CRISIL AA 4.19%Punjab & Sind Bank ICRA A+ 3.94%Adani Infra (India) Limited. (Secured by shares of
AdaniPort,AdaniEnterprises&AdaniTransmissions) BRICKWORK BWR AA-(SO) 3.17%HPCL Mittal Energy Ltd. ICRA AA 3.14%Tata Power Company Ltd. CRISIL AA- 2.90%Piramal Finance Limited ICRA AA 2.86%Edelweiss Housing Finance Limited ICRA AA 2.80%
About Kotak Mutual Fund
Kotak Mahindra Asset Management
Company Limited (KMAMC) is a wholly
owned subsidiary of Kotak Mahindra Bank
Limited (KMBL). KMBL has over two decades
of experience in financial services. KMBL has a
market capitalization of 1904.453 bn (as on
30th November, 2017). KMAMC is the Asset
Manager for Kotak Mahindra Mutual Fund
(KMMF). It started operations in December
1998. KMMF offers schemes catering to
investors with varying risk - return profiles and
was the first fund house in the country to
launch a dedicated gilt scheme. KMAMC
manages assets worth 124757.49 cr (as on
30th November, 2017).
`
`
* The numbers are converted using the Rupee-
USD reference rate published by the Reserve
Bank of India as on the respective dates.
To know more
Call : 1800-222-626 (Toll Free), Mumbai61152100, Delhi 66306900 / 02, Chennai28221333 / 45038171, Kolkata 64509802 /03, Pune 64013395 / 96, Ahmedabad26779888, Bangalore 66128050 / 51,Hyderabad 66178140 / 41.
Visit - assetmanagement.kotak.com
Email - [email protected]
Disclaimer
Kotak Medium Term Fund an open-endeddebt scheme investment objective: of thescheme is to generate regular income andcapital appreciation by investing in a portfolioof medium term debt and money marketinstruments. There is no assurance orguarantee that the investment objective of thescheme will be achieved.
Mutual Fund investments are subject to marketrisks, read all scheme related documentscarefully. Scheme Information Document (SID)and Statement of Additional Information (SAI)available on mutualfund.kotak.com
26
Kotak Medium Term Fund *Performance (%) as on , 201730th November
Different plans have different expense structure. The performance details provided herein are of regular plan.
^Past performance may or may not be sustained in future. *All payouts during the period have been reinvested in the units of thescheme at the then prevailing NAV. Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data notavailable. Note: Point to Point (PTP) Returns in INR shows the value of 10,000/- investment made at inception. Source: ICRA MFIExplorer. Classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of SchemeBenchmark. ## Name of Additional Benchmark. Please refer page no. 29 for top 3 and bottom 3 schemes managed by Mr. DeepakAgrawal.
`
Rating Profile as on 30th Nov, 2017
Kotak Medium Term Fund
Current Value of Standard Investmentof 10000 in the`
CRISIL 10 YRGilt Index## (%)
CRISILCompositeBond FundIndex # (%)
SchemeReturns(%) ^
Date
Scheme( )`
Benchmark# ( )`
AdditionalBenchmark ## ( )`
Kotak Medium Term Fund
This product is suitable for investors who are seeking*:
• Income over a medium term investment horizon
• Investment in debt, government securities & moneymarket instruments with a portfolio weightedaverage maturity between 3-7 years
* Investors should consult their financial advisors if in doubtabout whether the product is suitable for them.
Investors understand that their principal willbe at moderate risk
Riskometer
M
oderately Moderate
Low
Hig
h
Low
High
LOW HIGH
Moderately
Since Inception 9.92 10.44 9.45 14,190 14,440 13,967
Last 1 Year 5.97 3.85 -0.14
Last 3 Years 9.21 9.28 8.47
Scheme Inception date is 21/03/2014. Mr. Deepak Agrawal has been managing the fund since 22/06/2015.
The scheme has been in existence for less than 5 years
30 November, 2017th
AA+, AA+(SO), AA, AA(SO), BWR AA,
IND AA, IND, AA(SO), AA-, AA-(SO),
BWR AA-, BWR AA-(SO), CARE AA-(SO), IND AA-
60.22
24.32
10.47
2.55
1.22
1.07
0.15
AAA, AAA(SO), IND AAA, SOV
A+, IND A+, A, IND A, A-
Net Current Assets
BBB-, CARE BBB+
Unrated
CBLO & Term Deposits & Rev.Repo
Kotak Bond Short Term30 November, 2017th
Scheme Facts
Structure
Launch Date
Benchmark
Min. Initial Inv.
Additional Inv.
Standard Deviation^
YTM
Portfolio Modified Duration
Average Maturity
Month end AUM* (as on 30th Nov 2017)
NAV (as on 30th Nov 2017)
An Open Ended Debt Scheme
10,198.31 crs
10,515.51 crs
Dividend 10.1270
Dividend Direct 10.4769
Half Yearly Dividend 11.6695
Half Yearly Dividend Direct 11.7857
Growth 31.9629
Growth Direct 33.0916
2nd May, 2002
Crisil Short - Term Bond Fund Index
(a) Dividend Re-investment & Growth -5000 & above (b) Dividend Payout (Monthly
Dividend) - 50,000& above
1000 & in multiples of 1
1.41%
7.36%
1.98 years
2.38 years
*Source: MFI Explorer.
^ as on 30th Nov, 2017. Source: ValueResearch.
`
`
`
`
` `
`
`
`
`
`
`
Monthly Average AUM*
Load Structure
Entry Load:
Exit Load:
Nil
Nil
About Kotak Bond Short Term
�
�
The investment objective of Kotak Bond Short Term is to provide reasonable returns and high level of liquidity by
investing in debt and money market instruments of different maturities so as to spread the risk across different
kind of issuers in the debt market.
The scheme is suitable for investors who may generally want to position themselves at the shorter end of the yield
curve with a time horizon of 6 months and more.
Portfolio Action
•
•
•
Given the above outlook we intend to maintain the average maturity at the higher end of the indicated band.
We believe that short term curve (2-3 year assets) are best point on the yield curve. While 5 year assets are the
highest yielding and therefore are likely to maintain adequate mix of assets in the portfolio.
We intend to maintain the modified duration in the range of 1.80 – 2.20 in December 2017.
Asset Allocation as on 30th Nov, 2017
Debentures and Bonds 78.46%
Government Dated Securities 16.29%
Net Current Assets 2.79%
CBLO & Term Deposits & Rev.Repo 2.46%
Debt Market Outlook
• One of the most positive and prominent developments in November was the credit rating upgrade fromMoody’s.We expect the credit rating upgrade to have positive structural impact on various factors like interestrates; a positive impact is already being reflected in terms of a stable and appreciating rupee.
• Though the Q2 FY2017-18 GDP rate rebounded to 6.30%, market views regarding the earnings growth andgrowth rate of the economy continue to remain diverse. There is a general consensus that the reformsundertaken by the government (i.e. bank recap bonds, GST, etc.) should augur well for the economy, goingforward. We expect the government to continue to maintain its fiscal deficit around 3.2%.
• Though the bond yields have seen a sharp sell-off, the yield spread between 10-yr and 12/14/17 yr gilts havetightened considerably, therefore we believe the market is not in a bear trend.
• The yields are hardening for non-fundamental reasons; while they impact the past, they make the future brightin terms of prospective returns. Therefore we are taking the opportunity and making the best out of it. We shallre-strategize and reposition our portfolios as and when further clarity emerges from market developments.
Particulars 30 Nov 2017 31 Oct 2017
Avg. Maturity (in yrs) 2.38 2.12
Duration 1.98 1.79
Yield (in %) 7.36 7.22
27
30 November, 2017th
About Kotak Mutual Fund
Kotak Mahindra Asset Management
Company Limited (KMAMC) is a wholly
owned subsidiary of Kotak Mahindra Bank
Limited (KMBL). KMBL has over two decades
of experience in financial services. KMBL has a
market capitalization of 1904.453 bn (as on
30th November, 2017). KMAMC is the Asset
Manager for Kotak Mahindra Mutual Fund
(KMMF). It started operations in December
1998. KMMF offers schemes catering to
investors with varying risk - return profiles and
was the first fund house in the country to
launch a dedicated gilt scheme. KMAMC
manages assets worth 124757.49 cr (as on
30th November, 2017).
`
`
* The numbers are converted using the Rupee-
USD reference rate published by the Reserve
Bank of India as on the respective dates.
To know more
Call : 1800-222-626 (Toll Free), Mumbai61152100, Delhi 66306900 / 02, Chennai28221333 / 45038171, Kolkata 64509802 /03, Pune 64013395 / 96, Ahmedabad26779888, Bangalore 66128050 / 51,Hyderabad 66178140 / 41.
Visit - assetmanagement.kotak.com
Email - [email protected]
Disclaimer
Kotak Bond Short Term is
Investment Objective:
an open-ended debt
scheme. The investment
objective of the Scheme is to provide reasonable
returns and high level of liquidity by investing in debt
instruments such as bonds, debentures and
Government securities; and money market instrume
nts such as treasury bills,commercial papers,
certificates of deposit, including repos in permitted
securities of different maturities, so as to spread the
risk across different kinds of issuers in the debt
markets. The Schememay invest in the call
money/termmoney market in terms of RBI guidelines
in this respect. To reduce the risk of the portfolio, the
Scheme may also use various derivative and hedging
products from time to time, in the manner permitted
by SEBI.Subject to the maximum amount permitted
from time to time, the Scheme may invest in offshore
securities in the manner allowed by SEBI/RBI,
provided such investments are in conformity with the
investment objective of the Scheme and the
prevailing guidelines and Regulations.There is no
assurance that the investment objective of the
Scheme will be realised.
Mutual Fund investments are subject to market
risks, read all scheme related documents
carefully. Scheme Information Document (SID)
and Statement of Additional Information (SAI)
available on mutualfund.kotak.com
28
Kotak Bond Short Term
Kotak Bond Short Term* Performance (%) as on 30th November, 2017
Different plans have different expense structure. The performance details provided herein are of regular plan.
^Past performance may or may not be sustained in future. *All payouts during the period have been reinvested in the units of thescheme at the then prevailing NAV. Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data notavailable. Note: Point to Point (PTP) Returns in INR shows the value of 10,000/- investment made at inception. Source: ICRA MFIExplorer. Classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of SchemeBenchmark. ## Name of Additional Benchmark. Please refer page no. 29 for top 3 and bottom 3 schemes managed by Mr. DeepakAgrawal.
`
Since Inception 7.74 7.26 5.97 31,963 29,842 24,704
Last 1 Year 5.05 5.94 5.67
Last 3 Years 7.94 8.44 7.23
Last 5 Years 8.29 8.78 7.21
Scheme Inception date is 02/05/2002. Mr. Deepak Agrawal has been managing the fund since 11/07/2007.
Kotak Bond Short Term - Growth
Current Value of Standard Investmentof 10000 in the`
CRISIL 1Year
T-Bill Index## (%)
Crisil ShortTerm BondFund Index
(%)#
SchemeReturns(%) ^
Date
Scheme( )`
Benchmark# ( )`
AdditionalBenchmark ## ( )`
This product is suitable for investors who are seeking*:
• Income over a medium term horizon
• Investment in debt & money market securities
* Investors should consult their financial advisors if in doubtabout whether the product is suitable for them.
Investors understand that their principal willbe at moderately low risk
Riskometer
M
oderately Moderate
Low
Hig
h
Low
High
LOW HIGH
ModeratelyRating Profile as on 30th Nov, 2017
Top 10 Companies as on 30th Nov, 2017
Mahindra & Mahindra Financial Services Ltd. FITCH IND AAA 7.69%
Reliance Jio Infocomm Ltd. CRISIL AAA 7.51%
Power Finance Corporation Ltd. CRISIL AAA 7.33%
HDFC Ltd. CRISIL AAA 6.06%
7.68% Central Government SOV 5.77%
ONGC Manglore Petrochemicals Ltd. FITCH IND AAA 5.75%
Nabha Power Ltd. ( backed by unconditional and
irrevocable guarantee by Larsen & Toubro Ltd ) ICRA AAA 4.86%
National Bank for Agriculture & Rural Development CRISIL AAA 4.77%
LIC Housing Finance Ltd. CRISIL AAA 4.73%
Reliance Industries Ltd. CRISIL AAA 4.63%
94.75
2.79
2.46
AAA, AAA(SO), IND AAA, SOV
Net Current Assets
CBLO & Term Deposits & Rev.Repo
29
Current Value ofInvestment of
10000 in the`
Other Mr. Pankaj Tibrewal#Funds managed by
Other Funds managed by Mr. Harish Krishnan$
Annexure - Returns(Fund Manager wise)
1 Year 3 Years 5 Years
Scheme Name Absolute Returns (%) CAGR Returns (%) CAGR Returns (%)
Inceptiondate
Since inception
CAGR
Returns(%)
Top 3 Funds Managed by Mr. Deepak Agarwal*
Top 3 Funds Managed by Mr. Deepak Gupta^
Bottom 3 Funds Managed by Mr. Deepak Gupta^
Bottom 3 Funds Managed by Mr. Deepak Agarwal*
Kotak Midcap - Growth (%) ^ 32.43 18.27 22.53 80,257 17.71 24-02-2005
Nifty Free Float Midcap 100 # (%) 33.46 17.05 19.56 66,996 16.06
Nifty 50 ## (%) 24.34 5.98 11.70 49,757 13.39
Kotak India Growth Fund - Series I - Growth (%) ^ 26.44 NA NA 13,372 11.96 06-05-2015
Nifty 200 # (%) 27.41 NA NA 13,330 11.82
Nifty 50 ## (%) 24.34 NA NA 12,630 9.50
Kotak 50 - Dividend (%) ^ 23.28 9.61 14.80 296,061 19.59 29-12-1998
Nifty 50 # (%) 24.34 5.98 11.70 117,190 13.88
S&P BSE SENSEX ## (%) 24.37 4.92 11.37 108,819 13.44
Kotak Banking ETF (%) ^ 36.64 NA NA 13,994 11.96 10-12-2014
Nifty Bank # (%) 35.99 NA NA 13,721 11.22
Nifty 50 ## (%) 24.34 NA NA 12,239 7.03
Kotak NV20 ETF (%) ^ 28.48 NA NA 13,967 18.18 01-12-2015
Nifty 50 Value 20 # (%) 26.52 NA NA 12,833 13.28
Nifty 50 ## (%) 24.34 NA NA 12,856 13.38
Kotak Nifty ETF (%) ^ 25.68 7.22 12.95 23,324 11.45 08-02-2010
Nifty 50 # (%) 24.34 5.98 11.70 21,483 10.28
S&P BSE SENSEX ## (%) 24.37 4.92 11.37 20,802 9.83
Kotak Equity Arbitrage Fund - Growth (%) ^ 5.84 6.74 7.66 24,351 7.58 29-09-2005
Nifty 50 Arbitrage Index # (%) 4.26 6.30 7.10 NA NA
Nifty 50 ## (%) 24.34 5.98 11.70 39,164 11.86
Kotak Asset Allocator Fund - Growth (%) ^ 12.59 9.31 14.56 75,135 16.35 09-08-2004
CRISIL Balanced Fund – Aggressive Index # (%) 16.88 7.35 11.02 46,632 12.26
S&P BSE SENSEX ## (%) 24.37 4.92 11.37 63,344 14.87
Kotak World Gold Fund - Growth (%) ^ -4.45 2.42 -9.98 8,472 -1.73 06-06-2008
Financial Times Gold Mines Total - Price # (%) 2.37 11.87 -8.76 8,170 -2.11
Nifty 50 ## (%) 24.34 5.98 11.70 22,098 8.71
Kotak Treasury Advantage Fund - Growth (%) ^ 6.71 7.92 8.44 27,218 7.82 13-08-2004
CRISIL Liquid Fund # (%) 6.62 7.51 8.14 24,978 7.12
CRISIL 1 Year TBill ## (%) 5.67 7.23 7.21 21,895 6.07
Kotak Floater - Short Term - Growth (%) ^ 6.68 7.66 8.28 27,807 7.36 14-07-2003
CRISIL Liquid Fund # (%) 6.62 7.53 8.14 26,074 6.89
CRISIL 1 Year TBill ## (%) 5.67 7.24 7.21 22,943 5.94
Kotak Corporate Bond Fund - Growth (%) ^ 6.65 9.03 8.60 22,376 8.22 21-09-2007
CRISIL Composite Bond Fund # (%) 3.85 9.28 9.07 21,786 7.93
CRISIL 1 Year TBill ## (%) 5.67 7.23 7.21 18,870 6.42
Kotak Liquid - Regular Plan - Growth (%) ^ 6.63 7.58 8.22 27,520 7.45 04-11-2003
CRISIL Liquid Fund # (%) 6.62 7.53 8.14 25,745 6.95
CRISIL 1 Year TBill ## (%) 5.67 7.24 7.21 22,580 5.95
Kotak Banking and PSU Debt Fund - Growth (%) ^ 5.77 8.47 8.95 38,563 7.39 29-12-1998
CRISIL Short Term Bond Fund # (%) 5.94 8.44 8.78 NA NA
CRISIL 1 Year TBill ## (%) 5.67 7.23 7.21 33,768 6.64
Kotak Flexi Debt - Regular Plan - Growth (%) ^ 4.19 9.25 9.35 22,026 8.65 26-05-2008
CRISIL Composite Bond Fund # (%) 3.85 9.28 9.07 20,858 8.03
CRISIL 1 Year TBill ## (%) 5.67 7.23 7.21 18,157 6.47
30
Top 3 Funds Managed by Mr. Abhishek Bisen**
Current Value ofInvestment of
10000 in the`
Annexure - Returns(Fund Manager wise)
Scheme Name Absolute Returns (%) CAGR Returns (%) CAGR Returns (%)
Inceptiondate
Since inception
CAGR
Returns
Bottom 3 Funds Managed by Mr. Abhishek Bisen**
1 Year 3 Years 5 Years
Kotak Global Emerging Market Fund - Growth (%) ^ 24.03 4.90 7.08 16,227 4.87 26-09-2007
MSCI Emerging Market index # (%) 22.34 4.96 5.73 15,434 4.35
Nifty 50 ## (%) 24.34 5.98 11.70 20,699 7.40
Kotak Monthly Income Plan - Growth (%) ^ 8.59 9.71 10.69 29,837 8.12 02-12-2003
CRISIL MIP Blended # (%) 6.76 8.91 9.60 30,089 8.18
CRISIL 10 Year Gilt ## (%) -0.14 8.47 7.53 21,363 5.57
KotakGold Fund-Growth (%) ^ -0.67 1.73 -3.52 12,294 3.13 25-03-2011
Priceof Gold# (%) 0.18 3.72 -1.83 13,913 5.06
CRISIL10YearGilt ## (%) -0.14 8.47 7.53 15,764 7.04
Kotak Gold ETF (%) ^ -0.95 2.57 -2.73 29,418 10.98 27-07-2007
Price of Gold # (%) 0.18 3.72 -1.83 33,253 12.31
CRISIL 10 Year Gilt ## (%) -0.14 8.47 7.53 19,855 6.85
Kotak Bond - Regular Plan - Growth (%) ^ -0.97 7.42 7.70 47,493 9.03 25-11-1999
CRISIL Composite Bond Fund # (%) 3.85 9.28 9.07 NA NA
CRISIL 10 Year Gilt ## (%) -0.14 8.47 7.53 NA NA
Kotak Gilt - Investment -Regular -Growth (%)^ -0.87 8.51 8.28 58,110 9.74 29-12-1998
I-SEC CompositeGilt Index# (%) 2.75 9.35 9.27 NA NA
CRISIL10 YearGilt ## (%) -0.14 8.47 7.53 NA NA
@
#
$
^
*
**
Mr. Harsha Upadhyaya manages 3 funds of Kotak Mutual fund.
Mr. Pankaj Tibrewal manages 3 funds of Kotak Mutual fund.
Mr. Harish Krishnan manages 3 funds of Kotak Mutual fund.
Mr. Deepak Gupta manages 13 funds of Kotak Mutual fund.
Mr. Deepak Agrawal manages 10 & All FMPs funds of Kotak Mutual fund.
Mr. Abhishek Bisen manages 9 funds of Kotak Mutual fund.
Kotak Tax Saver Scheme - Growth, *Name of the Benchmark - Nifty 500, Scheme Inception date is 23/11/2005. Mr. Harsha Upadhyaya has been managing the fund since 25/08/2015.
Kotak Midcap - Growth, *Name of the Benchmark - Nifty Free Float Midcap 100, Scheme Inception date is 24/02/2005. Mr. Pankaj Tibrewal has been managing the fund since21/01/2010.
Kotak India Growth Fund - Series I - Regular Plan - Growth, *Name of the Benchmark - Nifty 200, Scheme Inception date is 06/05/2015. Mr. Harish Krishnan has been managing the fundsince 06/05/2015
Kotak 50 - Dividend, *Name of the Benchmark - Nifty 50, Scheme Inception date is 29/12/1998. Mr. Harish Krishnan has been managing the fund since 15/11/2013.
Kotak Banking ETF, *Name of the Benchmark - Nifty Bank, Scheme Inception date is 10/12/2014. Mr. Deepak Gupta has been managing the fund since 24/11/2014.
Kotak NV20 ETF - *Name of the Benchmark Nifty 50 Value 20, Scheme Inception date is 01/12/2015. Mr. Deepak Gupta has been managing the fund since 08/12/2015.
Kotak Asset Allocator Fund - Growth, *Name of the Benchmark - CRISIL Balanced Fund – Aggressive Index, Scheme Inception date is 09/08/2004. Mr. Deepak Gupta has been managingthe fund since 01/09/2008.
Kotak Equity Arbitrage Fund - Growth, *Name of the Benchmark - Nifty 50 Arbitrage Index, Scheme Inception date is 29/09/2005. Mr. Deepak Gupta has been managing the fund since01/09/2008.
Kotak World Gold Fund - Growth, *Name of the Benchmark - Financial Times Gold Mines Total - Price, Scheme Inception date is 06/06/2008. Mr. Deepak Gupta has been managing thefund since 01/02/2015.
Kotak Corporate Bond Fund - Growth, *Name of the Benchmark - CRISIL Composite Bond Fund, Scheme Inception date is 21/09/2007. Mr. Deepak Agrawal has been managing the fundsince 01/02/2015.
Kotak Banking and PSU Debt Fund - Growth, *Name of the Benchmark - CRISIL Short Term Bond Fund, Scheme Inception date is 29/12/1998. Mr. Deepak Agrawal has been managing thefund since 01/08/2008.
Kotak Flexi Debt - Regular Plan - Growth, *Name of the Benchmark - CRISIL Composite Bond Fund, Scheme Inception date is 26/05/2008. Mr. Deepak Agrawal has been managing thefund since 25/11/2012.
Kotak Global Emerging Market Fund - Growth, *Name of the Benchmark - MSCI Emerging Market index, Scheme Inception date is 26/09/2007. Mr. Abhishek Bisen has been managingthe fund since 04/04/2011.
Kotak Monthly Income Plan - Growth, *Name of the Benchmark - CRISIL MIP Blended, Scheme Inception date is 02/12/2003. Mr. Abhishek Bisen has been managing the fund since01/04/2008. Mr. Devender Singhal has been managing the fund since 25/08/2015.
Kotak Gilt - Investment - Regular - Growth, *Name of the Benchmark - I-SEC Composite Gilt Index, Scheme Inception date is 29/12/1998. Mr. Abhishek Bisen has been managing the fundsince 15/04/2008.
Kotak Bond - Regular Plan - Growth, *Name of the Benchmark - CRISIL Composite Bond Fund, Scheme Inception date is 25/11/1999. Mr. Abhishek Bisen has been managing the fundsince 01/04/2008.
Different plans have different expense structure. The performance details provided herein are of regular plan
^Past performance may or may not be sustained in future.*All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV.Returns > = 1 year: CAGR (Compounded Annualised Growth Rate). N.A stands for data not available. Source: ICRA MFI Explorer.
Kotak Classic Equity Fund - Growth, *Name of the Benchmark - Nifty 100, Scheme Inception date is 27/07/2005. Mr. Deepak Gupta has been managing the fund since 01/01/2017.
Kotak Treasury Advantage Fund - Growth, *Name of the Benchmark - CRISIL Liquid Fund, Scheme Inception date is 13/08/2004. Mr. Deepak Agrawal has been managing the fund since01/04/2008.
Kotak Floater - Short Term - Growth, *Name of the Benchmark - CRISIL Liquid Fund, Scheme Inception date is 14/07/2003. Mr. Deepak Agrawal has been managing the fund since01/11/2006.
Kotak Liquid - Regular Plan - Growth, *Name of the Benchmark - CRISIL Liquid Fund, Scheme Inception date is 04/11/2003. Mr. Deepak Agrawal has been managing the fund since01/05/2007.
Kotak Gold Fund - Growth, *Name of the Benchmark - Price of Gold, Scheme Inception date is 25/03/2011. Mr. Abhishek Bisen has been managing the fund since 04/03/2011.
Kotak Gold ETF, *Name of the Benchmark - Price of Gold, Scheme Inception date is 27/07/2007. Mr. Abhishek Bisen has been managing the fund since 01/08/2008.
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