| KOTAK ARBITRAGE FUND
An open ended scheme investing in arbitrage opportunities
| KOTAK ARBITRAGE FUND
An open ended scheme investing in arbitrage opportunities

   

   
Investment Objective

The investment objective of the scheme is 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. However, there is no assurance that the objective of the scheme will be achieved.

The investment objective of the scheme is 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. However, there is no assurance that the objective of the scheme will be achieved.


Issuer/
Instrument		 Industry/
Rating		 % to Net
Assets		 % to Net
Assets
Derivatives

Equity & Equity related
Axis Bank Ltd. Banks 2.73 -2.74
RELIANCE INDUSTRIES LTD. Petroleum Products 2.15 -2.15
HDFC Bank Ltd. Banks 2.09 -2.09
KOTAK MAHINDRA BANK LTD. Banks 2.05 -2.05
Hindalco Industries Ltd Non - Ferrous Metals 1.81 -1.82
Vodafone Idea Ltd Telecom - Services 1.58 -1.58
ICICI Bank Ltd. Banks 1.51 -1.50
STATE BANK OF INDIA Banks 1.36 -1.37
Cholamandalam Investment and Finance Company Ltd. Finance 1.17 -1.18
BAJAJ FINANCE LTD. Finance 1.14 -1.14
Others 50.94 -51.12
Equity & Equity related - Total 68.53 -68.74
Mutual Fund Units 21.68
Money Market Instruments
Commercial Paper(CP)/Certificate of Deposits(CD) 2.58
Public Sector Undertakings 6.07
Triparty Repo 1.74
Net Current Assets/(Liabilities) -0.60
Grand Total 100.00

For detailed portfolio log on to
https://www.kotakmf.com/mutual-funds/hybrid-funds/kotak-arbitrage-fund/dir-g

Mutual Fund Units as provided above is towards margin for derivatives transactions
Equity Derivative Exposuer is 68.74%


Systematic Investment Plan (SIP) If you had invested Rs 10,000 every month
Monthly SIP of (₹) 10000 Since Inception10 years 7 years 5 years 3 years 1 year
Total amount invested (₹) 25,10,000 12,00,000 8,40,000 6,00,000 3,60,000 1,20,000
Total Value as on July 31, 2026 (₹) 52,61,710 16,34,808 10,48,965 7,09,891 3,97,669 1,23,962
Scheme Returns (%) 6.56 6.03 6.25 6.67 6.58 6.21
Nifty 50 Arbitrage Index (TRI) Returns (%) NA 6.10 6.60 7.23 7.39 7.26
Alpha* NA -0.08 -0.35 -0.57 -0.80 -1.05
Nifty 50 Arbitrage Index (TRI) (₹)# NA 16,41,307 10,62,166 7,20,013 4,02,441 1,24,625
NIFTY 1 Year T-Bill Index (₹)^ 52,23,416 16,33,386 10,37,466 7,02,553 3,95,824 1,23,545
NIFTY 1 Year T-Bill Index (%) 6.50 6.01 5.94 6.25 6.27 5.55

Scheme Inception : - September 29, 2005. The returns are calculated by XIRR approach assuming investment of ₹ 10,000/- on the 1st working day of every month. Since Inception returns are assumed to be starting from the inception date of the Scheme and calculated accordingly. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows and taking the time of investment into consideration. The SIP performance details provided herein are of Regular Plan - Growth Option Different plans have different expense structure. # Benchmark; ^ Additional Benchmark. TRI – Total Return Index, In terms of Para no 7.23 of SEBI Master Circular no. HO/24/13/11(1)2026-IMD-POD-1/I/7602/2026 dated March 20, 2026, the performance of the scheme is benchmarked to the Total Return variant (TRI) of the Benchmark Index instead of Price Return Variant (PRI). Alpha is difference of scheme return with benchmark return. *All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Source: ICRA MFI Explorer.

Net Asset Value (NAV)
RegularDirect
Growth Rs39.9223Rs42.9431
Monthly IDCW Rs10.7272Rs11.2099
(as on July 31, 2026)

Available Plans/Options

A) Regular Plan B) Direct Plan
Options: Payout of IDCW, Reinvestment of IDCW & Growth (applicable for all plans)


Fund Manager* Mr. Hiten Shah
BenchmarkNifty 50 Arbitrage TRI
Allotment dateSeptember 29, 2005
AAUMRs73,679.64 crs
AUMRs74,398.69 crs
Folio count1,40,931

IDCW Frequency

For Monthly IDCW Option - The Friday immediately preceding the last Tuesday of the Month


Debt Quant & Ratios
Average Maturity 0.46 yrs
Modified Duration 0.42 yrs
Macaulay Duration 0.43 yrs
Annualised YTM* 6.87%
$Standard Deviation 0.55%
$Beta 0.71
$Sharpe## 2.54
^^P/E$$ 19.00
^^P/BV$$ 2.92
Equity Portfolio Turnover$$ 494.24%
Total Portfolio Turnover@ 1,728.05%
*in case of semi annual YTM, it will be annualized.
$$Equity Component of the Portfolio.

@Total Portfolio Turnover=Equity+Debt+Derivative.

Source: $ICRA MFI Explorer, ^^Bloomberg

Minimum Investment Amount

Initial & Additional Investment
• Rs100 and any amount thereafter
Systematic Investment Plan (SIP)
• Rs 100 and any amount thereafter

Ideal Investments Horizon

• 3 months & above


Load Structure

Entry Load: Nil. (applicable for all plans)
Exit Load:
• For redemptions/switch outs (including SIP/STP) within 30 days from the date of allotment of units: 0.25%
• For redemptions/switch outs (including SIP/STP) after 30 days from the date of allotment of units: Nil


Expense Ratio**
Regular Plan: 0.99%
Direct Plan: 0.39%

Data as on 31st July, 2026 unless otherwise specified.

Folio Count data as on 30th July 2026.


Fund



Benchmark: Nifty 50 Arbitrage TRI



This product is suitable for investors who are seeking*:
  • Income from arbitrage opportunities in the equity market
  • Investment in arbitrage opportunities in the cash & derivatives segment of the equity market.

* Investors should consult their financial advisors if in doubt about whether the product is suitable for them.

For latest Riskometer, investors may refer to an addendum issued or updated on website at www.kotakmf.com


## Risk rate assumed to be 5.41% (FBIL Overnight MIBOR rate as on 31st July 2026). **The expense ratio disclosed above represents the Base Expense Ratio (BER), including applicable statutory levies on expenses forming part of the BER, but excludes brokerage, transaction costs and related statutory levies. For Total Expense Ratio including brokerage, transaction cost and related statutory levies please refer our website: https://www.kotakmf.com/Information/TER.
* For Fund Manager experience, please refer 'For Regular Plan' & 'For Direct Plan'
For last three IDCW, please refer 'Dividend History'.
For scheme performance, please refer 'For Regular Plan' & 'For Direct Plan'