KOTAK MAHINDRA LIQUID SCHEME

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  • Initial offer opens: October 4, 2000
  • Closing Date:          October 4, 2000
  • Nature of Scheme: Open Ended
  • AMC: Kotak Mahindra Asset Management Company Ltd
  • Load: No Entry and Exit Load.
  • Continuous Offer opens: October 6, 2000
  • Sponsor: Kotak Mahindra Finance Ltd
  • Trustee: Kotak Mahindra Trustee Company Ltd
  • Minimum subscription:Rs.5,00,000/- .
    NRIs can apply on repatriable basis.
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Objective of the fund: To generate reasonable returns and high level of liquidity by investing in debt instruments like bonds, debentures, government securities.
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  Highlights

  • The fund is promoted by Kotak Mahindra Group which had promoted several mutual fund schemes
  • This scheme is for high networth and institutional investors
  Strategy of investment

The company would invest 100% of the fund in Debt instruments and in money market instruments.

 

Some of the Schemes launched by Kotak
K Gilt Investment Plan
K Bond Fund
K Gilt Serial 2001
K Gilt Serial 2003
K Gilt Serial 2005
K Gilt Serial 2007

 

Performance overview of the Kotak Mahindra Mutual Fund

Name of the Fund NAV as on 29.09.2000 NAV as on 31.08.2000 NAV as on 31.07.2000
K Gilt Investment Plan 12.07 11.97 11.94
K Bond Fund 10.81 10.75 10.70
K Gilt Serial 2001 10.02 NA NA
K Gilt Serial 2003 11.05 10.96 10.87
K Gilt Serial 2005 10.04 9.94 9.84
K Gilt Serial 2007 11.04 10.95 10.93

 

  Comparative Analysis of similar other funds
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Name of the Fund NAV as on 27.09.2000 NAV as on 31.08.2000 NAV as on 31.07.2000

Alliance Cash Manager(Gr)

1233.43 1223.82 1211.44
Birla Cash Plus (Gr) 13.51 13.41 13.3
DSP Merrill Lynch Liquidity Fund 12.31 12.22 12.13
Kothari Pioneer Treasury Mgmt Account 1238.84 1229.01 1216.25
Prudential ICICI Liquid Plan 12.34 12.24 12.13
Sun F&C Value Liquid Fund 19.77 22.63 20.89
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A study of the above table reveals that the NAVs of the above funds exhibit positive trends with a constant increase.

 

  Risk Perception
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The performance of the fund shows that Kotak's schemes have been successful. Also the Liquid funds and debt funds of other AMC's also have shown positive trend.

With the balancing interest rates, the debt market is expected to be Rs.2000 crore in 2000-01, mostly issued by the PSUs and private players. Hence this scheme of Kotak's shows good prospectus over time. .

 

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