Kotak Gold Exchange Traded Scheme

Commodities

India Multi Asset

Others

Empty

4–7 yearsInvestment Horizon

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What This Strategy Does

Kotak Gold ETF is a Precious Metals fund which captures India's ₹15 trillion investment demand for gold through direct physical bullion ownership, deploying capital across the global precious metals market to achieve benchmark-aligned compounding.

CW Expert Research Notes

Precious Metal Exposure

The fund provides direct exposure to physical gold, offering investors a pure-play vehicle to participate in the precious metals market.

Passive Investment Strategy

As an exchange-traded fund (ETF) tracking the price of gold, the fund employs a passive investment approach, minimizing tracking error and offering cost-effective exposure.

Diversification Potential

With low correlation to traditional asset classes, the fund can serve as a portfolio diversifier, potentially enhancing risk-adjusted returns and providing a hedge against market volatility.

Performance and Risk Analysis

Historical returns, volatility patterns, and how this fund has performed relative to its benchmark.

Fund Performance

0.0% AnnuallyAlpha

+24.2% vs +8.1% benchmarkSince Inception

+35.8% vs +6.0% benchmark3Y Annualized

+25.4% vs +6.3% benchmark5Y Annualized

Kotak Gold Exchange Traded Scheme

Benchmark Index

Benchmark Performance Comparison

Kotak Gold Etf Schemefund

NIFTY 50 + FD Returns

Risk Profile

Standard Deviation26.8%

Maximum Drawdown-10.7% | Feb 2026

Sharpe Ratio1.75

Detailed Risks

Market Risk

Recession fears could dampen gold demand, breaching portfolio's risk mitigation.

Liquidity Risk

Concentrated precious metals exposure risks liquidity shocks during volatility spikes.

Concentration Risk

100% allocation to gold exposes fund to metal price fluctuations.

Specific Strategy Risk

Regulatory changes to gold import duties could impact fund returns.

Strategy Details

A closer look at the investment thesis, portfolio construction, and current holdings.

Core Investment Theme

Provides direct exposure to gold, a historically proven safe-haven asset. Gold has low correlation to other asset classes, acting as an effective portfolio diversifier and hedge against market volatility. This theme captures gold's role as a store of value and inflation hedge.

Broader Market View

Market Outlook

Equity markets appear to be in the early stages of a recovery phase, offering an attractive entry point as consumption and earnings normalize. Sectors geared towards domestic demand such as consumer, financials and industrials stand to benefit from this environment, although risks like margin pressures remain.

Why This Strategy is Attractive Now

This strategy's balanced exposure across consumer, financial services and technology sectors, coupled with its diversification across around 70 holdings, appears well-positioned. The portfolio's focus on market leaders could allow it to capitalize on the consumption recovery, while its moderate risk profile may provide resilience.

Investment Style & Process

Investment Style

The portfolio exhibits characteristics of a Quality Growth strategy, emphasizing companies with durable competitive advantages, consistent earnings growth, and reasonable valuations relative to their long-term potential.

Why it Makes Sense

In the current environment of moderating economic growth and elevated uncertainty, a Quality Growth approach can provide exposure to companies with resilient business models and pricing power, potentially mitigating downside risks.

High-Level Investment Process

Sourcing: The strategy appears to focus on companies with strong franchises, sustainable competitive advantages, and attractive growth runways, as evidenced by the portfolio's tilt towards sectors like technology and consumer discretionary. Selection: The portfolio suggests a preference for companies with consistent profitability, healthy balance sheets, and reasonable valuations relative to their growth prospects, potentially reflecting a disciplined stock selection process. Construction: The strategy is consistent with a diversified yet high-conviction approach, holding a moderate number of positions with an emphasis on risk management through position sizing and sector diversification.

Portfolio Holdings Overview

SectoralAllocation

Financial Services100%

Top Stock Holdings

CompanySectorAllocation

Gold 1 Kg Fineness 0.995Utilities55.95%

Gold 1 Kg Fineness 0.995 - GujaratUtilities42.66%

Net Current Assets/(Liabilities)Utilities1.18%

Triparty RepoUtilities0.21%

Fund House Management

The asset management company’s track record, AUM scale, and fund manager credentials.

Fund Manager Track Record

Jeetu Sonar

Mr. Jeetu Sonar has experience of 14 years. Manages 171 funds at Kotak Mahindra Asset Management Co Ltd with an AUM of approximately ₹21,097 Cr

37 years

Combined Team Experience

₹ 99,588 Cr

Assets Under Management

Abhishek Bisen

Co-Portfolio Manager

Mr. Abhishek Bisen has experience of 22 years. Manages 425 funds at Kotak Mahindra Asset Management Co Ltd with an AUM of approximately ₹78,491 Cr Holds a M.B.A. degree.

CW Expert Take

Kotak Gold ETF provides direct exposure to physical gold through a secure and cost-efficient structure. The fund house applies rigorous due diligence in sourcing and storing bullion, ensuring quality standards. Kotak's expertise in managing exchange-traded products translates to tight tracking against domestic gold prices.

Firm Overview

Total AUM₹5,80,249.31 Cr

Investment Philosophy & Approach

Focused Strategy

Kotak AMC follows a focused strategy of investing in physical gold.

Passive Management

The fund employs a passive investment approach to track gold prices.

Risk Mitigation

Rigorous risk controls ensure secure storage and custody of gold holdings.

Operational & Regulatory Details

What it costs to invest, transaction mechanics, and regulatory disclosures you should know.

Costs and Fees

Total Expense Ratio (TER)0.52%

Regulatory & Tax Information

INF174KA1HJ8

ISIN

DailyDealing Frequency

LTCG | >1Year 12.5%% on gain above 1.25 Lakh

STCG | <1Year 20%%

Tax Implications (India)