Kotak Mutual Fund, one of India's leading mutual fund houses, today announced the launch of Kotak Equity Savings Fund-an open-ended equity scheme. This scheme is designed to benefit from the combination of investments in cash-futures arbitrage in the equity segment, debt instruments and direct equity positions. This combination will give stability to the portfolio as well as give the desired growth impetus.
The new fund offer period is from Sept. 17, 2014 to Oct. 1, 2014 with a minimum application amount of Rs 5,000.
Speaking on the launch Harsha Upadhyaya, chief investment officer, equity said, ''This fund aims to combine benefits of risk-free arbitrage returns with potential equity upside in a tax efficient manner, making it a preferred choice for conservative investors. We believe this is a unique product-a hybrid product with an added benefit of equity taxation and a first in this space.''
Kotak Equity Savings Fund, will adopt a 'constant mix approach', under which unhedged equity exposures will be minimum, so as to sell in a rising market and buy in a falling market.