Investment Objective
Kotak Midcap Fund, earlier known as Kotak Emerging Equity Fund, seeks to provide long-term capital appreciation by primarily investing in the equity and equity related securities of mid cap companies. The scheme may also invest in debt and money market instruments as per its stated asset allocation strategy.
Investment Strategies
- Kotak Midcap Fund aims to invest in mid cap companies having high growth potential, strong management quality, sound business model, low leverage, decent return ratios, healthy cash flows and reasonable valuations. These companies are either emerging or are at early stages of development and are also under-researched.
- The fund follows a bottom-up approach for stock selection, using the Business, Management, and Valuation (BMV) model of its fund house.
- As a part of its stock selection process, Kotak Midcap Fund identifies the hidden growth potential of mid cap companies and factors in the macro-economic trends & themes.
Who Should Invest
- Investors seeking to invest in mid cap companies for long term capital appreciation.
- Investors comfortable with higher volatility in the short term and who understand that mid cap companies are relatively riskier than large cap companies but can generate higher growth in the long term.
Frequently Asked Questions
What is the risk level of Kotak Midcap Fund?
As per the fund factsheet published by the fund house, Kotak Midcap Fund is considered to carry ‘Very High Risk’ for its investors.
Is there any lock-in period in Kotak Midcap Fund?
Kotak Midcap Fund has no lock-in period for its investors. The investors of Kotak Midcap Fund are free to make redemption requests on any date as per their requirements.
What type of mutual fund is the Kotak Midcap Fund?
The Kotak Midcap Fund is an open-ended equity mutual fund scheme belonging to the midcap fund category.
Is Kotak Midcap Fund an open-ended or close-ended scheme?
Kotak Midcap Fund is an open-ended equity mutual fund scheme.
What is the benchmark index for Kotak Midcap Fund?
Nifty Midcap 150 TRI is the primary benchmark index of the Kotak Midcap Fund. The fund has Nifty Midcap 100 TRI as its secondary benchmark index.