Proper asset allocation is the most important factor in building wealth. It aids in lowering the portfolio's overall risk. Each asset class has its own set of risk-return characteristics. If a portfolio included both equities and debt, the net impact of the equity market correction would have been mitigated by gold and the security provided by debt. This particular hybrid fund is a aggressive fund that has given promising returns of the SIP investment over the years. The fund is also rated by the CRIRIL, a mutual fund rating agency. Check out fund details to a have a broad understanding.
Kotak Equity Hybrid - Direct Plan-Growth
This is a 22 years old Aggressive Hybrid category fund from Kotak Mutual Fund launched on 25 November 1999. It is an open-ended medium-sized fund of its category. The fund has worth Rs 2554.09 Crore of Asset Under Management (AUM). The Net Asset value declared on 13th May 2022 is Rs 41.93. It has a low expense ratio of 0.67% compared to the category average expense ratio.
It is a moderate-high risky fund. The fund is rated 4-star by CRISIL. The fund has given above average performance peer fund. Investment in this fund starts with the minimum required amount of Rs 5,000 for a lump-sum payment, whereas, to start SIP it is Rs 1,000. The Lock-in period is not applicable in this fund, but the fund charges 1% on redemption for units in excess of 8% of the investment within 365 days.
The investment objective of this fund is to achieve growth by investing in equity and equity-related instruments, balanced with income generation by investing in debt and money market instruments. The scheme thus provides capital appreciation potential of equities as well as stable returns of debt. The benchmark of this fund is NIFTY 50 Hybrid Composite Debt 65:35.
Absolute And Annualised Returns
Lump-Sum Investment Returns
Since its inception, it has delivered 13.00% average annual returns.
|1 -Year||3-year||5-year||Since Inception|
It has given negative returns on 1 year SIP.
|Tenure||Absolute Returns||Annualised Returns|
The fund is invested in equities to the tune of 75.08 per cent, with 42.42 per cent in large-cap companies, 13.3 per cent in mid-level stocks, and 13.2 per cent in small-cap stocks. The fund has a 14.54 per cent debt investment, with 13.39 per cent in government securities and 0.41 per cent in funds with very low-risk securities.
The financial, materials, technology, energy, and capital goods industries dominate the equity element of the fund. The fund's debt portion has a low credit rating, meaning that the borrowers to whom it has borrowed money are not of high quality.
Government of India, ICICI Bank Ltd., Infosys Ltd., HDFC Bank Ltd., and State Bank of India (SBI) are among the fund's top holdings.
Mutual fund investments are subject to market risk. Read all scheme related documents, and Terms and Conditions carefully before investing. The above-mentioned information is purely informational and doesn't guarantee any return. The Greynium Information Technologies and the Author are not liable for any losses caused as a result of a decision based on the article.