Kotak Flexi Cap Fund – Direct Growth

A Multi Cap mutual fund product from Kotak Mahindra Mutual Fund is Kotak Flexicap Fund Direct-Growth. This fund was established on January 1, 2013. Kotak Flexicap Fund Direct-Growth is a medium-sized fund with assets under management, as of December 31 2022, of 37,418 Crores. The fund’s expense ratio is comparable to that of most other Multi Cap funds. Mr. Harsha Upadhyaya has been managing this fund.

Pros and Cons

How to Invest in Kotak flexi-cap fund?

Investors are best recommended to seek advice from experienced financial experts before investing in the fund. This fund entails many risks and can, thus, require much knowledge on the part of the investors before proceeding with the investment.

What is the Expense Ratio?

The expense ratio can be defined as the yearly compensation paid to the company’s fund management team for fulfilling the obligation of managing the shareholder’s interests in that fund.
Funds with a less expense ratio are always preferred as it leads to higher returns to the investor because they pay less to the fund managers.

Who should invest in Kotak flexi-cap fund?

The fund management may switch the allocation to a different market segment performing well if he learns that a particular market segment has become redundant over time.
Market capitalisation reveals a company’s size and a wide range of other details, including its history, capacity for expansion, and potential hazards. Investors familiar with market capitalisation should therefore buy into this fund.

Relative strength index, differential valuations of and the macroeconomic indicators for both sector calls and small- and mid-cap valuations as a percentage of total Market Cap are some of the characteristics that investors would need to employ to determine the viability of their investment.

Benefits

● It produces long-term capital growth from a portfolio of equities and equity-related assets that is often concentrated on a small number of industries.
● The strategy looks for industries projected to do well over the medium term and concentrates exposures to those industries.
● The scheme is free to invest in whatever industry it chooses, and the portfolio will generally be diversified at the stock level across the market size.
● The plan is in an excellent position to capture popular themes in a concentrated way. This way, much of the money could be directed toward the investor’s wallet while avoiding risks.
● This is an open-ended fund Scheme, making it very suitable for investors seeking Long term capital growth over the years to gain a proper appreciation of their invested capital.
● Investment in a portfolio of predominantly equity & equity-related securities generally focused on a few selected sectors across market capitalisation.