Kotak Mutual Fund launches services sector-focused equity scheme

Kotak Mahindra Asset Management Company has launched the Kotak Services Fund, an open-ended equity scheme targeting India’s services sector. The New Fund Offer opens on February 4, 2026, and closes on February 18, 2026, with a minimum investment of ₹1,000. The fund will invest across market capitalizations in service-oriented businesses spanning consumer services, telecom, healthcare, logistics, financial services, IT, power, and oil & gas sectors. The investment strategy follows a Growth at Reasonable Price approach combined with a bottom-up Business, Management, Value framework. India’s services sector contributes 55 per cent to the country’s Gross Value Added and employs 31.5 per cent of the workforce, according to data from IMF, World Bank, and MOSPI as of FY25. The sector is experiencing growth driven by rising incomes, digital adoption, and urbanization. Nilesh Shah, Managing Director of Kotak Mahindra Asset Management Company, said the services economy is undergoing a structural shift reshaping consumption, transactions, and access to essential services. Fund Manager Rohit Tandon emphasized the sector’s combination of resilience and scalability, noting the portfolio will focus on companies with sustainable margins and disciplined capital deployment. Kotak Mahindra Asset Management Company, which started operations in December 1998, manages over 79.43 lakh unique folios across various schemes as of December 31, 2025. The company operates 120 branches across 108 cities. Published on February 3, 2026