January 30, 2026
RA Jainee
Kotak Services Fund – Direct | Growth
📌 Fund Snapshot & Key Details
| Particulars | Details |
|---|---|
| Fund House | Kotak Mahindra Mutual Fund |
| Scheme Type | Open-ended |
| Category | Equity: Thematic – Services |
| Benchmark | NIFTY Services Sector TRI |
| NFO Opens | 04 February 2026 |
| NFO Closes | 18 February 2026 |
| Plan / Option | Growth, IDCW |
| Minimum Investment (Rs.) | 1000 |
| Exit Load | 0.5% if redeemed within 90 days |
| Lock-in Period | NA |
| Riskometer | Very High |
| Registrar | Computer Age Management Services Ltd. (CAMS) |
⚖️ Sahifund NFO Review
PLUS
• Exposure to India’s expanding services economy across IT, banking, telecom, media and logistics
• Broad sectoral mix reduces single-industry dependency within a thematic framework
• Reasonable benchmark valuations (P/E ~21.5) versus long-term earnings growth
• Actively managed approach allows flexibility beyond index composition
• Services sector benefits from formalisation, digitisation and outsourcing trends
MINUS
• High correlation with Nifty (0.96) limits diversification benefit
• Beta above 1 implies sharper moves during market corrections
• Services sector performance closely tied to economic cycles and global demand
• Actively managed thematic fund increases execution and style-drift risk
• Not suitable as a core equity allocation due to sector concentration
Sahifund View (Decisive Line)
A cyclical thematic fund on India’s services economy, best used tactically or as a satellite allocation alongside diversified equity funds.
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⏱️ Last Updated: 6 February 2026, 10.00 AM
📊 Sahifund Interpretation of the Benchmark
NIFTY Services Sector TRI
The NIFTY Services Sector TRI tracks 30 services-oriented companies spanning IT services, banking, financials, telecom, power utilities, media, logistics and allied segments, using a free-float market capitalisation methodology with periodic capping.
Benchmark Behaviour Snapshot
• Long-term TRI returns (~15.8% since inception) reflect steady services-led growth
• Volatility moderate in the short term but higher over long cycles (Since inception Std Dev ~26)
• Beta above 1 indicates amplified market participation during rallies and corrections
• Performance driven by IT spending cycles, credit growth, telecom ARPU trends and economic activity
Sahifund Insight:
The services benchmark delivers broad-based participation in economic growth, but returns tend to mirror overall market cycles rather than provide defensive protection.
🧠 Investment Strategy – Explained Simply
The scheme seeks to generate long-term capital appreciation through an actively managed portfolio of equity and equity-related securities of companies belonging to the services industry.
In simple terms:
➡️ The fund aims to pick winners within India’s services ecosystem rather than replicate the index mechanically.
👤 Sahifund Interpretation of Fund Managers & Their Performance
Abhishek Bisen
Background in fixed income trading, portfolio advisory and merchant banking. Brings macro understanding and cross-asset perspective to sector allocation.
Rohit Tandon
Strong institutional experience across insurance and global financial services, with focus on risk management and portfolio construction.
Sahifund Assessment:
Given the thematic and active nature, manager allocation and stock selection will materially impact outcomes, making discipline and cycle awareness critical.
🎯 Suitable for Which Investors?
Suitable if you:
• Believe in long-term growth of India’s services-led economy
• Already hold diversified equity funds and want thematic exposure
• Can tolerate market-linked volatility
• Have a medium-to-long-term horizon (5+ years)
Avoid if you:
• Prefer defensive or low-volatility strategies
• Seek predictable returns
• Already have high exposure to IT and financial services stocks
• Are short-term or conservative investors
❓ Should You Invest in This NFO?
Yes, selectively.
Kotak Services Fund can work as a satellite thematic allocation to participate in services-sector growth. However, due to high correlation with the broader market, it should not replace diversified equity funds.
Final Word:
A broad services-sector play that rides economic cycles well—but rewards investors who time entries prudently and remain patient.
⚠️ Disclaimer
Mutual fund investments are subject to market risks. Read all scheme-related documents carefully.
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