12/06/2024
• *What are special situations?*
Special situations refer to opportunities, challenges or events such as Company Specific Event/Developments, Corporate
Restructuring, Government Policy change, Regulatory changes, Technology led Disruption/Innovation, companies going
through temporary but unique challenges and other similar instances.
• *Why invest in Kotak Special Opportunities fund?*
The Kotak Special Opportunities Fund offers a investment strategy that capitalizes on special situations. The fund employs a
Business-Management-Valuation (BMV) strategy to spot high-growth potential across various market caps, from emerging
small-cap companies to well-established players. This flexibility allows for significant market diversification, making it suitable
for long-term investors comfortable with the inherent risks of special situations. The fund employs a strategic approach to
invest in companies potentially benefiting from specific events or changes, such as mergers, acquisitions, and regulatory
shifts, etc. This event-driven strategy aims to capture opportunities that can lead to potential gains once the events
materialize, making it an attractive option for investors looking capitalize market inefficiencies.
• *Who are the Fund Managers of the Scheme?*
Mr. Devender Singhal (Managing the equity funds for Kotak AMC since 2015) will be the fund manager for equity investment of
the scheme and Mr. Arjun Khanna (over 15 years of experience in banking and financial companies) will be the Dedicated Fund
Manager for investments in foreign securities.
What is the Exit Load of Kotak Special Opportunities Fund?
For redemption / switch out of upto 10% of the initial investment amount (limit) purchased or switched in within 1 year from
the date of allotment: Nil.
If units redeemed or switched out are in excess of the limit within 1 year from the date of allotment: 1%
If units are redeemed or switched out on or after 1 year from the date of allotment: NIL
• *Who should consider investing in this fund?*
Investors who are looking to capitalize on unique market conditions, have a strategic allocation to their overall equity portfolio,
and possess a long-term investment horizon of 5 years or more are suitable candidates for this fund.
• *What are the features of the Scheme?*
This is an open-ended thematic scheme by Kotak Mahindra Mutual Fund which will be investing in special situation theme.
• *What is the investment process?*
We follow our disciplined investment process of BMV i.e. by focusing on Business scalability & sustainability, Management
Quality and Valuation parameters. The Fund will evaluate the business environment that a company operates in, the capability
of the management to execute and scale up the business and valuation of the company based on fundamentals like ROCE,
discounted cash flows and PE ratios, etc.
• *What will be the investment approach of the fund?*
For identifying companies within those sectors, the portfolio construction will be based on bottom-up stock picking using the
Business, Management and Valuation (BMV) model.
• *Can the scheme invest in IPOs as well?*
Yes, the scheme may invest in companies at IPO stage if deemed appropriate.
• *What is the experience of the fund manager in handling equity funds?*
At Kotak Mahindra Mutual Fund, we have always aimed and strived to add value to our investors consistently in all funds over
the long term not only in lump sum investments but also through SIPs. This has been possible through our disciplined
investment process across various categories.
