NFO Alert: Kotak Mutual Fund Launches Rural Opportunities Fund

Kotak Mahindra Mutual Fund has announced the launch of the Kotak Rural Opportunities Fund, an open-ended equity scheme. The New Fund Offer (NFO) will be open for subscription from November 6, 2025, to November 20, 2025. 

The minimum investment amount is ₹1,000, and investors can choose between Growth and IDCW options. There is no lock-in period, while an exit load of 0.5% applies if redeemed within 90 days.

Fund Objective

The fund aims to generate long-term capital appreciation by investing primarily in equity and equity-related instruments of companies operating in rural and allied sectors. The portfolio will include businesses that are directly or indirectly connected to rural consumption, agriculture, and infrastructure.

Investment Theme

The scheme will focus on companies expected to benefit from rural demand and development activities. Sectors that may form part of the portfolio include agriculture, fertilisers, farm equipment, consumer goods, banking, and logistics. The approach remains thematic, with investments tied to the growth of India’s rural economy.

Fund Category and Benchmark

This scheme falls under the Equity: Thematic category and carries a Very High risk level, as per the SEBI Riskometer. Its benchmark is the Nifty Rural TRI, which tracks companies with significant exposure to rural and allied themes. The benchmark will be used to assess the fund’s relative performance.

Fund Management

The fund manager for the scheme is Abhishek Bisen, associated with Kotak Mahindra Asset Management Company Ltd. The Registrar and Transfer Agent is Computer Age Management Services Ltd. (CAMS), responsible for processing transactions and maintaining investor records.

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Conclusion

The Kotak Rural Opportunities Fund offers investors exposure to companies engaged in or benefiting from India’s rural sector. The fund will follow a thematic equity approach aligned with rural growth trends.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Mutual Fund Investments are subject to market risks, read all the related documents carefully before investing.