KOTAK NIFTY NEXT 50 ETF
Unlock Exposure to India’s Next Generation of Blue-Chip Leaders
NFO TIMELINE
| Parameter | Details |
|---|---|
| NFO Start Date | 18th December 2025 |
| NFO End Date | 01st January 2026 |
| Allotment Date | On or before 14th January 2026 |
| Minimum Investment | ₹5,000 |
| Additional Investment | Multiples of ₹1 |
| NFO Price | ₹10.00 per unit |
| Entry Load | NIL |
| Exit Load | NIL |
SCHEME INFORMATION
| Parameter | Details |
|---|---|
| Scheme Name | Kotak Nifty Next 50 ETF |
| Scheme Code | KOTM/O/O/OET/25/09/0158 |
| Category | Other Schemes - Exchange Traded Fund (ETF) |
| Scheme Type | Open-ended, Index-tracking ETF |
| Benchmark Index | Nifty Next 50 Index - Total Return Index |
| Benchmark Risk Level | Very High Risk |
| Listing | NSE Capital Market Segment |
| Creation Unit Size | 50,000 units |
| NAV Disclosure | Daily by 11:00 PM www.kotakmf.com/nav & www.amfiindia.com |
FUND HIGHLIGHTS
About Kotak Nifty Next 50 ETF
The Kotak Nifty Next 50 ETF is an open-ended exchange-traded fund that provides investors with a passive investment solution to gain diversified exposure to India’s next generation of large-cap companies. As a passively managed fund, it tracks the Nifty Next 50 Index (Total Return Index), holding constituents in the same proportion as the index.
What Makes This Fund Unique?
- Passive Index Tracking - Low cost, transparent, and efficient
- Sector Diversification - Exposure to 50 leading emerging large-cap companies
- Zero Load Structure - No entry or exit load charged
- Stock Exchange Listing - Listed on NSE for continuous liquidity
- Market Maker Support - Enhanced liquidity through appointed market makers
INVESTMENT OBJECTIVE
The Kotak Nifty Next 50 ETF aims to generate long-term capital growth by investing in securities of the Nifty Next 50 Index in the same proportion and weightage. The fund seeks to provide returns before expenses that track the total return of the Nifty Next 50 Index, subject to tracking errors.
Product Suitability
- Investors seeking long-term capital appreciation with higher growth potential
- Those wanting exposure to emerging blue-chip companies poised for leadership
- Individuals interested in passive, diversified large-cap sector investment
- Investors looking for low-cost, transparent fund solutions with higher growth prospects
WHY INVEST IN NIFTY NEXT 50 NOW?
The Investment Opportunity
The Nifty Next 50 represents India’s next generation of corporate leaders—companies that are at an inflection point of growth and potentially on their way to become tomorrow’s household names. These are established large-cap companies with:
- Higher Growth Potential - Emerging leaders expanding market share and entering new verticals
- Gateway to Nifty 50 - Many Next 50 companies eventually graduate to the Nifty 50 index
- Diversified Exposure - Spanning financial services, power, consumer goods, metals, and more
- Attractive Valuations - Trading at discounts compared to established Nifty 50 companies
- Time-Tested Track Record - 15-19% CAGR over extended periods (2002-2025)
Key Growth Catalysts
- Economic Growth & Consumption - Rising domestic demand across industries
- Infrastructure Development - Government capex driving power, construction, logistics
- Manufacturing Expansion - Automobile, chemicals, and industrial goods sectors growing
- Global Investments - Supply chain diversification favoring Indian companies
- Sectoral Tailwinds - Power transition, consumer services expansion, retail growth
RISK ASSESSMENT & RISKOMETER
Risk Category: VERY HIGH RISK
This fund is classified as Very High Risk due to:
- Equity Exposure - 95-100% invested in equity securities
- Growth-oriented Constituents - Smaller companies than Nifty 50, higher volatility
- Market Volatility - Subject to stock market fluctuations and economic cycles
- Sector Concentration - Exposure to cyclical sectors (power, metals, real estate)
- Cyclical Sectors - Sensitive to economic upswings and downturns
Suitable For
✓ Long-term investors (7+ years minimum recommended)
✓ Risk-tolerant investors comfortable with market volatility
✓ Those with diversified portfolios seeking growth exposure
✓ Investors understanding market fluctuations
✓ Wealth creators focused on long-term capital appreciation
FREQUENTLY ASKED QUESTIONS
Q1: What is an ETF and how is it different from a regular mutual fund?
A: An ETF (Exchange Traded Fund) is a scheme that trades on stock exchanges like individual stocks. Unlike regular mutual funds, ETFs offer:
- Intraday trading capability
- Lower expense ratios
- Greater transparency in holdings
- Flexibility to buy/sell during market hours
Q2: Why should I choose an index-tracking fund like this?
A: Index funds offer:
- Lower Costs - Minimal management fees
- Transparency - Holdings mirror the index
- Consistency - Predictable performance tied to index
- Simplicity - Easy to understand and monitor
Q3: Can I exit my investment before 5 years?
A: Yes! Being a listed ETF on NSE, you can:
- Sell units on stock exchange anytime during trading hours
- Redeem directly with fund (if liquidity criteria are met)
- No exit load charged
- Receive proceeds in T+1 (next working day)
Q4: What is the investment horizon recommended?
A: Minimum 5 years. However, being an equity fund, it suits investors willing to stay invested through market cycles and has the financial capacity to absorb short-term volatility.
Q5: How is NAV calculated and disclosed?
A: NAV (Net Asset Value) is calculated daily and disclosed by 11:00 PM on business days through:
- www.growwmf.in/nav
- www.amfiindia.com
- Official stock exchange platforms
Q6: Are there any hidden charges?
A: No hidden charges. Transparency disclosure includes:
- Entry Load: NIL
- Exit Load: NIL
- Expense Ratio: Disclosed in fact sheets
- Transaction charges: As applicable per SEBI norms