Kotak Mahindra Mutual Fund Launches Kotak Gold Silver Passive FOF at ₹10 per Unit

Mumbai, July 22, 2025 – Kotak Mahindra Mutual Fund has unveiled its latest offering, the Kotak Gold Silver Passive Fund of Funds (FoF), an open-ended scheme that invests in units of Kotak Gold ETF and Kotak Silver ETF.

The New Fund Offer (NFO) is priced at ₹10 per Unit and aims to deliver long-term capital appreciation by tracking the domestic prices of gold and silver. The movement may pursue the performance of gold and silver through ETFs.

Key Scheme Highlights

The Kotak Gold Silver Passive FOF is an open-ended fund investing in Kotak’s Gold and Silver ETFs. It aims for long-term capital appreciation by tracking the domestic prices of these metals. Priced at ₹10 per Unit, it offers daily NAV updates and is available in Direct and Regular Plans with no entry/exit load.

Asset Allocation Strategy

The fund predominantly invests in Kotak Gold and Silver ETFs (95-100%), creating concentrated exposure to precious metals. A small portion (0-5%) can be allocated to money market instruments or debt-oriented schemes for liquidity and risk management purposes. This asset allocation does not include complex instruments, such as derivatives or overseas assets, as required by SEBI’s regulations.

Expense Structure

Kotak Mahindra Mutual Fund’s new Gold Silver Passive Fund of Fund has capped its total expense ratio at 1%, inclusive of its own costs and the underlying ETFs’ charges. There are no entry or exit loads, and the Direct Plan remains cheaper by excluding distributor commissions. Additionally, the fund may levy up to 0.05% extra for operational costs and up to 0.30% for attracting retail inflows from beyond India’s top-30 cities, in line with SEBI norms.

Risk and Compliance

• Risk-o-Meter: Very High (Scheme and Benchmark)
• Compliance Date: Document dated June 11, 2025
• Fund Managers:
  • Rohit Tandon – Equities & ETFs
  • Abhishek Bisen – Debt & Money Market instruments

Exit Policy & Load

The scheme does not impose any entry or exit loads, and redemption proceeds are dispatched within three working days. In exceptional circumstances, additional time may be permitted by SEBI and AMFI regulations.

Redemption & Statement Timelines

• NAV Publication: By 10 AM on the next business day
• CAS: Sent monthly and semi-annually
• Allotment Confirmation: Within 5 business days of valid application
• Unclaimed IDCW: Deployed in specified liquid/overnight schemes, with income credited up to 3 years

Eligibility

Open to Resident Individuals, HUFs, Corporates, Trusts, FPIs, and NRIs (subject to conditions). U.S. Persons and Canadian Residents are excluded unless transacting physically during their presence in India.

About the Fund

Kotak Mahindra Mutual Fund is a SEBI-registered asset management company and part of the Kotak Group. It offers a wide range of equity, debt, and hybrid schemes tailored to various investor profiles and financial goals.

REF: https://www.sebi.gov.in/filings/mutual-funds/jul-2025/kotak-gold-silver-passive-fof_95500.html

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