An Opportunity to Participate in Country's Transformation Journey
FinTech BizNews Service
Mumbai, November 25, 2024: Kotak Mahindra Asset Management Company Ltd (“KMAMC” / “Kotak
Mutual Fund”) has announced the launch of the Kotak Transportation & Logistics Fund, an open-
ended equity scheme focused on the Transportation & Logistics theme. The New Fund Offer (NFO) opens
for subscription on November 25, 2024, and closes on December 9, 2024.
The Kotak Transportation & Logistics Fund aims to generate long-term capital growth by investing
predominantly in equity and equity-related securities of companies engaged in transportation, logistics, and
related activities. This theme encompasses businesses involved in transportation infrastructure, logistics
services, innovative solutions for efficient and sustainable transportation, and financial companies
supporting these sectors.
Key Highlights of the Fund:
Investment Opportunity: The fund offers investors a chance to invest in India's burgeoning
Transportation & Logistics industries, driven by rising aspirations, optimization of the transport
and logistics ecosystem, and significant growth opportunities.
Investment Approach: The fund will adopt a bottom-up approach, with the flexibility to invest
across various market capitalizations, including large, mid, and small-cap companies.
Growth Potential: The transportation and logistics industry is poised for exponential growth,
supported by government initiatives# like Bharatmala, Sagarmala, Dedicated Freight Corridors
(DFCs), and Multi-Modal Logistics Parks. Technological advancements, the shift from
unorganized to organized sectors, and a push in manufacturing activities further bolster this theme.
Nilesh Shah, Managing Director, KMAMC, stated, “With the launch of the Kotak Transportation &
Logistics Fund, we provide investors an opportunity to participate in India's rapidly transforming
transportation and logistics theme. This growth is fuelled by rising vehicle ownership, the shift from fossil
fuel engines to electric vehicles, and increasing per capita GDP. Major government initiatives like
Bharatmala and GatiShakti will enhance efficiency and expand business opportunities in the logistics
Industries. With India's expanding manufacturing Industry, the transportation and logistics industry is set
for significant expansion.”
Harsha Upadhyaya, Chief Investment Officer - Equity & Fund Manager, KMAMC, added, “The
transportation and logistics theme stands to benefit from multiple tailwinds, including growing
consumption, increasing per capita GDP, and the growth of e-commerce, auto, and auto-ancillary
businesses. The government's focus on reducing transportation costs by creating an efficient logistics
network will not only aid sector growth but also attract new players. Over the last five years, there has been
a 44% increase in the number of listed companies in this space. Demand for transportation and logistics
services is expected to grow significantly as the India Story unfolds in the coming years.”
The fund will be managed by Nalin Bhatt, who has been with Kotak Mahindra AMC since February 2016
and has over 20 years of experience in equity research and fund management.
The scheme opens for public subscription on November 25, 2024, and closes on December 9, 2024.
Investors can invest a minimum amount of Rs 100 and any amount thereafter during the NFO period.
