Kotak Mahindra Asset Management Company (KMAMC) has introduced a new investment option called the Kotak Energy Opportunities Fund, launched on April 2
This is an open-ended equity fund that invests in companies within the energy sector, aiming to help investors benefit from the industry’s growth.
NFO Period and Investment Details
The New Fund Offer (NFO) is open for subscription from April 3, 2025, to April 17, 2025. You can start investing with just ₹100.
If you prefer a Systematic Investment Plan (SIP), the minimum amount is also ₹100.
The fund is benchmarked against the NIFTY Energy Index TRI. It will be managed by Harsha Upadhyay, CIO of KMAMC, along with Mandar Pawar, who brings 19 years of experience in the industry.
Exit Load Rules
You can withdraw up to 10% of your investment within a year without any charges.
If you withdraw more than 10% within a year, a 1% exit load will be applied.
After one year, no exit load is charged for any withdrawal or fund switch.
Why Invest in the Energy Sector?
The fund aims for long-term capital growth by investing in energy-related companies.
India’s energy demand is rising quickly, with the country’s total energy capacity expected to double in the next 11 years. Growth is driven by sectors like:
Electric vehicles (EVs)
Data centers
Urban development
India’s transition to renewable energy also opens new opportunities in areas such as:
Power transmission and grid upgrades
Green energy infrastructure
Smart metering systems
Additionally, India is actively involved in international energy research, including the ITER nuclear fusion project in France.
Diversified Investment Approach
The fund will invest in a variety of energy-related businesses, including:
Power, oil & gas, and renewable energy companies
Supporting or ancillary industries
Capital goods companies
There are no restrictions on company size, meaning the fund can invest in large-cap, mid-cap, and small-cap stocks.
This provides a well-diversified portfolio with strong long-term growth potential.
