Kotak Mahindra Mutual Fund has rolled out the Kotak Diversified Equity All Cap Omni FOF, a new open ended fund of fund scheme. Kotak Mahindra Asset Management Company Limited manages the fund. The NFO opens on 5 August 2026 and closes on 19 August 2026.
The scheme does not buy shares directly. It puts your money into a mix of Kotak’s own equity schemes, spanning large, mid and small cap companies, run both actively and passively, aiming for long term capital appreciation, with no assurance this will be achieved.
For an investor who wants broad equity exposure through one scheme, rather than picking several funds separately, this offers a single entry point, along with layered costs worth understanding first.
1. Kotak Diversified Equity All Cap Omni FOF NFO details
Fund name | |
Fund type | Open ended fund of fund scheme |
Category | Equity oriented FOF (domestic), diversified FOF |
Nature of scheme | Invests in equity oriented active and passive mutual fund schemes across market caps |
Benchmark | Nifty 500 TRI |
Fund managers | Devender Singhal (equity) Abhishek Bisen (debt sleeve) |
NFO opens | 05-08-2026 |
NFO closes | 19-08-2026 |
Allotment date | Not available in the SID |
Minimum investment | Rs 1,000 and any amount thereafter |
Additional investment | Rs 500 and any amount thereafter |
SIP amount | Rs 500 per instalment, subject to a minimum of 2 instalments |
NAV during NFO | Rs 10 per unit |
Risk level | Very high risk |
Stamp duty | 0.005% on applicable transactions |
Entry load | Nil |
Exit load | Nil |
Kotak Mahindra Asset Management Company details
AMC name | Kotak Mahindra Asset Management Company Limited |
Assets under management | ₹6.1 Lakh Crore+ |
Website | |
Registered office | 2nd Floor, 12-BKC, Plot No. C-12, G-Block, Bandra Kurla Complex, Bandra East, Mumbai 400 051 |
Contact number | 1800 309 1490 / 044-4022 9101 |
Source: AMFI India, New fund offer : Kotak Diversified Equity All Cap Omni FOF
What has Kotak Mahindra Mutual Fund launched?
Kotak Mahindra Mutual Fund has launched an equity oriented fund of fund, or FOF. Unlike a regular fund, it does not buy stocks itself. It invests almost entirely in units of other mutual fund schemes.
The underlying schemes are Kotak’s own equity funds and index funds across large, mid and small caps, including active schemes such as Kotak Flexicap Fund, and passive ones such as Kotak Nifty 50 Index Fund.
The scheme decides how much goes into each underlying scheme. Stock selection happens one level down, inside each active fund, or through the index for passive ones.
The objective is long term capital appreciation across market caps, with no assurance this will be achieved. The fund manager’s discretion sits at the allocation level, not company selection.
How does the Kotak Diversified Equity All Cap Omni FOF strategy work?
Running this fund comes down to allocation, not stock picking. The fund manager decides how much money goes into each Kotak equity scheme and adjusts the mix if it drifts. At least 95% of assets must sit in underlying equity schemes, leaving little room for cash beyond liquidity needs.
Step | What happens? |
1 | Investors put money into the FOF, during or after the NFO |
2 | The fund manager allocates this money across the shortlisted Kotak schemes |
3 | Each underlying scheme invests as per its own strategy, stock picking or index tracking |
4 | The FOF’s overall mix reflects the combined weights of its underlying holdings |
5 | The manager monitors this mix and rebalances within 30 business days if it drifts |
6 | Redemptions are met by selling underlying units and paying out investors |
Let’s understand the Kotak Diversified Equity All Cap Omni FOF through an example
Say you invest Rs 10,000 during the NFO. At Rs 10 per unit, you receive 1,000 units of the fund. That money then sits inside a basket of Kotak’s own large cap, mid cap and small cap schemes, in whatever proportion the fund manager has set. As the NAV of the underlying schemes moves, so does the NAV of your FOF units, and you do not need to separately track or rebalance those individual schemes yourself.
Kotak Diversified Equity All Cap Omni FOF portfolio allocation
Investment | Minimum | Maximum |
Units of equity oriented active and passive schemes across market caps | 95% | 100% |
Debt, money market instruments, and units of liquid or overnight schemes | 0% | 5% |
This allocation reflects underlying scheme units, not direct equity holdings.
Investment strategy behind this fund of fund
Because this is a fund of fund, costs stack. You pay the FOF’s own expense ratio, and the underlying Kotak schemes charge theirs too. Regulations cap the FOF’s added expense ratio at twice the weighted average base expense ratio of the underlying schemes, so overall cost still tends to run higher than investing directly in one scheme.
For the passive schemes inside the FOF, some tracking difference against their indices is normal, separate from any gap between the FOF’s NAV and the value of what it holds. Liquidity works through NAV, struck once a day, not an exchange price. Risk control mostly rests with each underlying scheme’s own mandate.
Potential benefits of the Kotak Diversified Equity All Cap Omni FOF
Potential benefit | Why does it matter? |
One entry point across market caps | Large, mid and small cap exposure through one scheme |
Access to both active and passive styles | The mix blends active schemes with passive index schemes |
Professional allocation | The fund manager sets and rebalances the mix across underlying schemes |
Simple to track | One NAV, one folio, one statement, instead of several |
Key risks in Kotak Diversified Equity All Cap Omni FOF
Risk | What does it mean? |
Market risk | Equity markets can fall, and so can the value of the underlying schemes and your FOF units |
Concentration at the underlying level | Overlapping stocks across underlying schemes may mean less real diversification |
Cost layering | You bear the FOF’s own expenses in addition to the underlying schemes’ expenses |
Tracking difference | Passive underlying schemes may not perfectly mirror their index |
Who may consider the Kotak Diversified Equity All Cap Omni FOF NFO?
Investor type | Why this fund may fit |
First time equity investors | Wants broad market cap exposure without picking multiple schemes |
Investors who prefer simplicity | Would rather manage one folio than several equity schemes |
Long term goal investors | Comfortable with a 7 year plus horizon and very high risk |
11. Who may not find this fund suitable?
Investor type | Why this fund may not fit |
Investors who want to pick funds themselves | May prefer choosing large cap, mid cap and small cap funds separately, for more control over the mix |
Cost sensitive investors | The layered expense ratio may not suit those seeking the lowest possible cost |
Short term investors | Equity markets and very high risk products do not suit short horizons |
Kotak Diversified Equity All Cap Omni FOF versus traditional investment options
Fixed deposit | Debt mutual fund | Hybrid fund | Equity mutual fund | This new fund | |
Risk | Low | Low to moderate | Moderate | High | Very high |
Return potential | Fixed, modest | Modest | Moderate | High, long term | High, long term |
Volatility | None | Low | Moderate | High | High |
Liquidity | Limited, exit penalty | High | High | High | High |
Horizon | Short to medium | Short to medium | Medium to long | Long | Long |
Suitable for | Capital protection | Conservative investors | Balanced investors | Growth seekers | One scheme, all cap equity |
Kotak Diversified Equity All Cap Omni FOF review by Zenith Finserve
This fund suits an investor building a core equity allocation for a goal seven years or more away, who would rather hold one fund of fund than track several schemes separately.
Its risk profile sits at the very high end of the scale, and returns depend on how well the underlying Kotak schemes perform against their own benchmarks. The layered expense ratio is worth weighing against choosing two or three underlying schemes directly.
This fund also diversifies only within Kotak’s own scheme universe. Weigh your existing exposure to these schemes, and your overall portfolio, before deciding whether it adds anything new.
How Zenith Financial Management can help
At Zenith Financial Management, we follow a process driven investment framework. We assess your goals, cash flows, risk profile, time horizon, existing investments, loans and tax situation before suggesting investments. We align our investment suggestions with your financial objectives and review them periodically to keep them suitable as your circumstances change.
For a broader look at mutual funds, see Zenith’s comprehensive guide to mutual funds in India, or Zenith’s mutual funds advisory service.
15. Similar NFOs on Zenith
HDFC Nifty Metal ETF FOF NFO: Also a fund of fund, but a single sector, single underlying ETF play, unlike the diversified all cap approach here.
TRUSTMF Large & Mid Cap Fund NFO: A direct active equity scheme across two market cap segments, a useful contrast against buying underlying schemes yourself.
Axis Nifty50 Equal Weight Index Fund NFO: A passive index fund, useful context for the passive sleeve inside this FOF.
Frequently asked questions about Kotak Diversified Equity All Cap Omni FOF
What is the Kotak Diversified Equity All Cap Omni FOF NFO?
A new fund of fund from Kotak Mahindra Mutual Fund, investing in units of Kotak’s own equity schemes across large, mid and small caps.
When does the NFO open and close?
It opens on 5 August 2026 and closes on 19 August 2026.
What is the minimum investment?
Rs 1,000 lump sum, or Rs 500 per SIP instalment, subject to at least two instalments.
Is Kotak Diversified Equity All Cap Omni FOF NFO good to invest in?
That depends on your goals, horizon and existing holdings. It is a very high risk, long term product, not a guaranteed return option.
Does this fund invest directly in stocks?
No. It invests in units of other Kotak equity schemes, which hold the stocks or track the index.
What is the exit load?
There is no exit load and no entry load.
What is the NAV during the NFO?
Units are offered at Rs 10 each.
Who manages the fund?
Devender Singhal manages the equity sleeve, and Abhishek Bisen the smaller debt sleeve.
What is the risk level?
Both the scheme and its benchmark, the Nifty 500 TRI, are rated very high risk.
How is a fund of fund different from a regular equity fund?
A regular equity fund buys stocks directly. This FOF buys units of other schemes instead, adding a layer of cost.
