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Kotak Mahindra Asset Management Company Ltd. (KMAMC) is pleased to announce the launch of the Kotak Rural Opportunities Fund, an open-ended equity scheme following Rural and allied theme. The scheme opens for public subscription from 6th November 2025 to 20th November 2025.

The fund aims to generate long-term capital appreciation by investing predominantly in equity and equity-related securities of companies engaged in or benefiting from India’s rural transformation. The benchmark index for the scheme will be the Nifty Rural Index (TRI).

While launching the fund, Nilesh Shah, Managing Director, Kotak Mahindra Asset Management Company Ltd. said, “Rural India is no longer just about agriculture, it’s the new growth frontier of Bharat. From financial inclusion to digital connectivity and local manufacturing, rural India is witnessing a transformation driven by opportunity, aspiration, and policy. Rising rural income growth and consumption are now integral to India’s macro story. The Kotak Rural Opportunities Fund aims to help investors participate in this shift one that aligns with India’s journey toward inclusive and balanced economic development.”

Rural India is evolving beyond agriculture, with approximately 40% of rural workers now engaged in non-agricultural jobs. The participation of women in the workforce has nearly doubled since 2018, leading to an increase in dual-income households. Over half of rural spending is now on non-food items, indicating a shift towards dynamic centers of income, aspiration, and consumption. (Source: PLFS, NABARD, Morgan Stanley).

The fund portfolio will be constructed from a universe of companies with significant rural exposure, applying rigorous filters to ensure quality and growth potential. The result is a diversified basket of quality stocks, dynamically reviewed and rebalanced to capture emerging rural opportunities.

Arjun Khanna, Fund Manager, Kotak Rural Opportunities Fund said, “Our outlook on the rural theme is structurally positive — improving incomes, better infrastructure, and expanding access to finance and technology are setting the stage for sustained, broad-based growth. The rural economy today spans across sectors — from agriculture and manufacturing to construction, services, and consumption. Through a diversified, bottom-up approach, we look to identify businesses that are either driving or benefiting from this transformation. The fund provides investors an opportunity to participate in this evolving theme through a disciplined and research-driven process.”

The scheme opens for public subscription on 6th November 2025 to 20th November 2025. During the NFO period, investors can invest a minimum amount of Rs. 1,000 and any amount thereafter. For SIP Purchase: Rs. 500 and any amount thereafter. For more details on the Kotak Rural Opportunities Fund, please visit www.kotakmf.com

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