Kotak Arbitrage Fund
Kotak Arbitrage Fund maintains its defensive positioning through substantial mutual fund holdings and banking sector concentration, generating modest 0.5% monthly returns typical of arbitrage strategies. The manager rotated into 27 new positions while trimming some pharma and power exposure, signaling tactical rebalancing rather than conviction shifts. The significant reduction in liquid fund allocation suggests the manager is deploying capital more aggressively into equity arbitrage opportunities, though the concentrated top-10 weight of 38.5% reflects reliance on Kotak's own fund ecosystem for stability.
Portfolio analysis · April 2026
NAV & Returns
| Plan | NAV | 1M | 1Y | 3Y CAGR | 5Y CAGR |
|---|---|---|---|---|---|
| Direct Growth | ₹42.3063 | +0.34% | — | — | — |
| Regular Growth | ₹39.3807 | +0.29% | +5.95% | +7.03% | +6.16% |
| Regular IDCW | ₹10.7194 | -0.33% | — | — | — |
Portfolio Metrics(latest month)
vs Category Peers
Balanced ApproachActive Share = ½Σ|wfund − wpeer|, computed using leave-one-out peer portfolio within SEBI category.
Similar Funds in Category
What Changed2026-03-31 → 2026-04-30
| Stock | Weight |
|---|---|
| ADANI POWER LTD | 0.40% |
| Infosys Ltd. | 0.20% |
| UNION BANK OF INDIA | 0.16% |
| polycab India Limited | 0.16% |
| INDIAN BANK | 0.14% |
| Oil India Limited | 0.13% |
| VISHAL MEGA MART LIMITED | 0.10% |
| MUTHOOT FINANCE LTD. | 0.09% |
| Bajaj Auto Ltd. | 0.06% |
| COCHIN SHIPYARD LTD | 0.06% |
| Avenue Supermarts Ltd | 0.05% |
| ABB India Ltd. | 0.05% |
| MOTILAL OSWAL FINANCIAL SERVICES LIMITED | 0.04% |
| Godfrey Phillips India Ltd. | 0.04% |
| Persistent Systems Limited | 0.03% |
| BHARAT FORGE LTD. | 0.03% |
| SBI CARDS & PAYMENT SERVICES PVT. LTD. | 0.02% |
| KEI Industries Ltd. | 0.02% |
| HITACHI ENERGY INDIA LTD. | 0.01% |
| Coal India Limited | 0.01% |
| L&T FINANCE HOLDINGS LTD | 0.01% |
| PG ELECTROPLAST LTD | 0.01% |
| Dixon Technologies India Ltd | 0.01% |
| CD HDFC BANK LTD.** | 0.21% |
| CD SMALL INDUSTRIES DEVELOPMENT BANK OF INDIA** | 0.20% |
| CD HDFC BANK LTD. | 0.07% |
| CD HDFC BANK LTD.** | 0.07% |
Full Holdings
| # | Holding | % to NAV |
|---|---|---|
| 1 | Kotak Money Market Fund Direct Growth INF174K01MW2 | 11.64% |
| 2 | Kotak Savings Fund Direct Growth INF174K01JP2 | 5.80% |
| 3 | HDFC BANK LTD. INE040A01034 | 3.99% |
| 4 | Kotak Liquid Direct Growth INF174K01NE8 | 3.45% |
| 5 | ICICI BANK LTD. INE090A01021 | 2.94% |
| 6 | Kotak Low Duration Fund Direct Growth INF178L01AX4 | 2.72% |
| 7 | AXIS BANK LTD. INE238A01034 | 2.15% |
| 8 | KOTAK MAHINDRA BANK LTD. INE237A01036 | 2.14% |
| 9 | CD HDFC BANK LTD. INE040A16JC3 | 2.03% |
| 10 | BHARTI AIRTEL LTD. INE397D01024 | 1.67% |
| 11 | JSW Steel Ltd. INE019A01038 | 1.62% |
| 12 | STATE BANK OF INDIA. INE062A01020 | 1.57% |
| 13 | Vodafone Idea Ltd INE669E01016 | 1.48% |
| 14 | CD SMALL INDUSTRIES DEVELOPMENT BANK OF INDIA** INE556F16CB4 | 1.42% |
| 15 | RELIANCE INDUSTRIES LTD. INE002A01018 | 1.42% |
| 16 | SUN PHARMACEUTICAL INDUSTRIES LTD. INE044A01036 | 1.31% |
| 17 | ITC Ltd. INE154A01025 | 1.27% |
| 18 | NTPC LTD INE733E01010 | 1.20% |
| 19 | Grasim Industries Ltd. INE047A01021 | 1.17% |
| 20 | JIO FINANCIAL SERVICES LTD INE758E01017 | 1.17% |
Sector Allocation
Top 10 sectors by % to NAV. Excludes derivatives.
Frequently Asked Questions
How many stocks does Kotak Arbitrage Fund hold?
Kotak Arbitrage Fund holds 187 stocks as per the latest AMFI portfolio disclosure. The top 5 positions account for 27.82% of NAV.
What is the largest holding in Kotak Arbitrage Fund?
The largest position in Kotak Arbitrage Fund is Kotak Money Market Fund Direct Growth, accounting for 11.64% of NAV in the Mutual Fund sector.
Is Kotak Arbitrage Fund a concentrated or diversified fund?
With a Gini coefficient of 0.629, Kotak Arbitrage Fund is moderately concentrated. The HHI concentration index is 27,134 bps, which is above the 2500 bps threshold for high concentration. The top 5 holdings together make up 27.82% of the portfolio.
What is the market cap allocation of Kotak Arbitrage Fund?
Based on SEBI's AMFI classification, Kotak Arbitrage Fund's equity portfolio is split as: Large Cap: 48.32%, Mid Cap: 15.87%, Small Cap: 2.45%. This reflects the fund's positioning within the market cap spectrum.
Which sectors does Kotak Arbitrage Fund invest in most?
Kotak Arbitrage Fund has the highest allocation to Mutual Fund (23.61%), Banks (16.20%), Finance (5.96%). The fund is invested across 47 sectors in total.
How actively managed is Kotak Arbitrage Fund compared to other Arbitrage Fund funds?
Kotak Arbitrage Fund has an Active Share of 48.27%, classifying it as "Balanced Approach" among 34 Arbitrage Fund peers. This indicates a moderate level of differentiation from category peers.
What changed in Kotak Arbitrage Fund's portfolio in the latest month?
Between 2026-03-31 and 2026-04-30, Kotak Arbitrage Fund added 27 new stocks (including ADANI POWER LTD) and exited 13 stocks (including Dr.Reddy's Laboratories Ltd.). Total holding count increased from 175 to 189 stocks.