Combined Risk Factors

•  Mutual Funds investments are subject to market risks and there is no assurance or guarantee that the objectives of the Schemes will be achieved.

•  As with any securities investment, the NAV of the Units issued under the Schemes can go up or down depending on the factors and forces affecting the capital and money markets.

•  Past performance of the Sponsor/AMC/Fund or that of existing Schemes of the Fund does not indicate the future performance of the Schemes.

• Kotak 50, Kotak Gilt, Kotak Bond, Kotak Bond Short Term, Kotak Balance, Kotak Liquid, Kotak Floater Short Term, Kotak Income Monthly Plan, Kotak Equity FOF, Kotak Opportunities, Kotak Floater Long Term, Kotak Flexi Debt, Kotak Midcap, Kotak Contra, Kotak Emerging Equity Scheme, Kotak Equity Arbitrage, Kotak Tax Saver, Kotak Global Emerging Market, Kotak Quarterly Interval Plans, Kotak Sensex ETF, Kotak PSU Bank ETF, Kotak Gold ETF and Kotak FMP Series are only the names of the Schemes and do not in any manner indicate the quality of the Schemes, future prospects or returns.

• The NAV of the Units issued under the Scheme may be affected, inter alia, by changes in the market, interest rates, performance of individual stocks, changes in credit rating, trading volumes, settlement periods and transfer procedures; the NAV is also exposed to Price/Interest-Rate Risk and credit Risk and may be affected inter alia, by government policy, volatility and liquidity in the money markets and pressure on the exchange rate of the rupee, Basis Risk, Spread Risk and Reinvestment Risk.

• In line with the investment objectives, the schemes may invest in derivative instruments either for trading of for hedging. As such, the risk associated with derivatives may affect the returns of the scheme. For details, please refer to the "Potential Loss associated with Derivative Trading pertaining to Equity Markets" in the Scheme Information Documents.

• In line with the investment objectives, the schemes may from time to time invest in domestic securitised debt, for instance, in asset backed securities or mortgage backed securities. Typically, investments in securitised debt carry credit risk (where credit losses in the underlying pool exceed credit enhancement provided) and the reinvestment risk (which is higher as compared to the normal corporate or sovereign debt). The underlying assets in securitised debt are receivables arising from automobile loans, personal loans, loans against consumer durables, loans backed by mortgage of residential / commercial properties, etc.

• Tax laws may change, affecting the return on investment in Units.
" In the event of receipt of a very large number of redemption requests or very large value redemption requests or of a restructuring of the Schemes’ portfolios, there may be delays in the redemption of Units. Please refer to the paragraph on “Right to limit Redemption” in the Statement of Additional Information.


Specific Risk Factors

Kotak Equity FOF: The investors of the Scheme shall bear the recurring expenses of the Scheme in addition to the expenses of the underlying schemes. Hence the investor under the Scheme may receive lower pre-tax returns than what they may receive if they had invested directly in the underlying schemes in the same proportions. The portfolio disclosure of the Scheme will be limited to providing the particulars of the underlying schemes where the Scheme has invested and will not include the investments made by the underlying schemes.

Statutory

Kotak Mahindra Mutual Fund has been established as a trust under the Indian Trusts Act, 1882, by Kotak Mahindra Bank Limited (liability Rs. NIL) with Kotak Mahindra Trustee Company Limited as the Trustee and with Kotak Mahindra Asset Management Company Limited as the Investment Manager.

Please read the Scheme Information Document and Statement of Additional Information carefully before investing.

Investment Objectives

Kotak 50 : To generate capital appreciation from a portfolio of predominantly equity and equity related securities. The portfolio will generally comprise of equity and equity related instruments of around 50 companies which may go up to 59 companies.

Kotak Gilt : To generate risk-free returns through investments in sovereign securities issued by the Central Government and/or a State Government(s) and/or reverse repos in such securities.

Kotak Bond : To create a portfolio of debt instruments of different maturities so as to spread the risk across a wide maturity horizon and different kinds of issuers in the debt market.

Kotak Bond Short Term Plan : To provide reasonable returns and high level of liquidity by investing in debt and money market instruments of different maturities, so as to spread the risk across different kinds of issuers in the debt market.

Kotak Contra : To generate capital appreciation from a diversified portfolio of equity and equity related instruments.

Kotak Balance : To achieve growth by investing in equity and equity related instruments, balanced with income generation by investing in debt & money market instruments.

Kotak Liquid : To provide reasonable returns and high level of liquidity by investing in debt and money market instruments of different maturities, so as to spread the risk across different kinds of issuers in the debt market.

Kotak Floater Short Term : To reduce the interest rate risk associated with investments in fixed rate instruments by investing predominantly in floating rate securities, money market instruments and using appropriate derivatives.

Kotak Income Plus Scheme : To enhance returns over a portfolio of debt instruments with a moderate exposure in equity and equity related instruments.

Kotak Equity FOF : To generate long-term capital appreciation from portfolio created by investing predominantly in open-ended diversified equity schemes of Mutual Funds registered with SEBI.

Kotak Opportunities : To generate capital appreciation from a diversified portfolio of equity and equity related securities.

Kotak Floater Long Term : To reduce the interest rate risk associated with investments in fixed rate instruments by investing predominantly in floating rate securities, money market instruments and using appropriate derivatives.

Kotak Flexi Debt : To maximise returns through an active management of a portfolio of debt and money market securities.

Kotak Midcap : To generate capital appreciation from a diversified portfolio of equity and equity related securities.

Kotak FMP Series and Kotak Quarterly Interval Plans : The investment objective of the Scheme(s) is to generate returns through investments in debt and money market instruments with a view to significantly reduce the interest rate risk.

Kotak Equity Arbitrage : To generate capital appreciation and income by predominantly investing in arbitrage opportunities in the cash and derivatives segment of the equity market, and by investing  the balance in debt and money market instruments.

Kotak Tax Saver : To generate long-term capital appreciation from a diversified portfolio of equity and equity related securities and enable investors to avail the income tax rebate, as permitted from time to time.

Kotak Emerging Equity Scheme : To generate long-term capital appreciation from a portfolio of equity and equity related securities, by investing predominantly in mid and small cap companies.

Kotak Gold ETF : To generate returns those are in line with the returns on investment in physical gold, subject to tracking errors.

Kotak PSU Bank ETF : To provide returns that closely corresponds to the total returns of CNX PSU Bank Index, subject to tracking errors.

Kotak Sensex ETF : To provide returns before expenses that closely corresponds to the total returns of the BSE SENSEX subject to tracking errors.

Kotak Blended FOF: To seek to provide stability of initial capital and generate reasonable returns by blending investments in debt schemes, money market instruments and equity schemes. Investments in debt/money market instruments provide stability to initial capital and investments in equity schemes will provide reasonable returns.

Kotak Global Emerging Market Fund : To provide long-term capital appreciation by investing in an overseas mutual fund scheme that invests in a diversified portfolio of securities as prescribed by SEBI from time to time in global emerging markets.