Kotak Multi Asset Allocation Fund Completes Three Years - What Its SIP and Portfolio Data Show

Kotak Multi Asset Allocation Fund completes three years on 22 September 2026, marking three years since its allotment. As of 31 August 2026, the scheme had an AUM of ₹15,282 crore. A ₹10,000 monthly SIP in the Regular Plan Growth Option from inception to 31 August 2026 had accumulated to ₹4,49,348 on a total investment of ₹3,60,000, with an XIRR of 14.97%. The portfolio, meanwhile, had 70.05% of net assets in equity and equity-related securities, along with exposure to precious metals through Kotak Gold ETF at 4.99%, Kotak Silver ETF at 9.15% and gold futures at 3.61%, as well as debt and money market instruments.

 Kotak Multi Asset Allocation Fund Reaches Its Three-Year Milestone

Kotak Multi Asset Allocation Fund completes three years on 22 September 2026, marking a key milestone since its allotment in 2023. The scheme had an AUM of ₹15,282 crore as on 31 August 2026, reflecting its scale at the three-year mark. Over this period, the fund has operated with a multi-asset mandate spanning equity, debt and money market instruments, along with gold and silver exposure through commodity ETFs and exchange-traded commodity derivatives. The portfolio is dynamically positioned across these asset classes, with the allocation changing over time rather than following a fixed mix.

 How a Rs 10,000 Monthly SIP Has Fared Since Inception

A ₹10,000 monthly SIP in Kotak Multi Asset Allocation Fund – Regular Plan Growth Option from inception to 31 August 2026 amounted to a total investment of ₹3,60,000. The investment value stood at ₹4,58,951 as of 31 August 2026, with the SIP delivering a 16.46% XIRR over the period. In comparison, the composite benchmark recorded a 10.94% XIRR, with a corresponding investment value of ₹4,24,014. The difference in XIRR between the scheme and the composite benchmark was 5.51 percentage points. The composite benchmark comprises 65% Nifty 500 TRI, 25% Nifty Short Duration Debt Index, 5% domestic price of gold and 5% domestic price of silver.

Source – Internal Analysis

 Inside the Fund's Equity, Debt, Gold and Silver Allocation

Kotak Multi Asset Allocation Fund follows a multi-asset strategy that combines equity, debt and money market instruments with exposure to precious metals through Commodity ETFs and Exchange Traded Commodity Derivatives. The approach is designed to allocate across asset classes rather than rely on a single source of portfolio returns. The scheme's equity allocation forms a significant part of the portfolio.

As of 31 August 2026, 70.05% of net assets were invested in equity and equity-related securities. The portfolio also had exposure to precious metals through Commodity ETFs and Exchange Traded Commodity Derivatives, including Kotak Gold ETF at 4.99%, Kotak Silver ETF at 9.15% and gold futures at 3.61%. Debt and money market instruments form another component of the strategy, providing exposure to fixed income securities and short-term instruments. The portfolio included government securities, corporate debt, commercial paper, certificates of deposit and triparty repo.

The allocation across these asset classes is not fixed. The scheme can alter its exposure to equity, debt and precious metals as part of its investment strategy, making the portfolio composition at any given date a reflection of its positioning at that point rather than a permanent asset allocation

 Why the Fund Uses a Composite Benchmark

A multi-asset portfolio requires a benchmark that reflects its different sources of exposure. Kotak Multi Asset Allocation Fund uses a composite benchmark comprising 65% Nifty 500 TRI, 25% Nifty Short Duration Debt Index, 5% Domestic Price of Gold and 5% Domestic Price of Silver. This structure is intended to provide a more relevant reference point for evaluating a portfolio that combines equity, debt and precious metals. 

 What Investors Should Check Beyond Recent Returns

For a multi-asset fund, investors should consider costs, exit load provisions, changes in asset allocation, portfolio overlap and the risks associated with different asset classes.

As of 31 August 2026, the Base Expense Ratio was 1.64% for the Regular Plan and 0.50% for the Direct Plan. Under the stated exit load structure, up to 30% of the initial investment amount purchased or switched in can be redeemed or switched out within one year without exit load. Amounts above this limit attract a 1% exit load if redeemed within one year, while redemptions on or after one year carry no exit load, subject to applicable provisions.

The scheme's asset allocation can change over time and the latest portfolio should therefore be considered when assessing its exposure to equity, debt and commodities. Investors may also review portfolio overlap with their existing mutual fund holdings, particularly where schemes have exposure to similar securities or sectors. The portfolio is subject to market risk in equity investments, interest rate and credit risks in debt and money market investments and commodity price risk in commodity-linked investments. The extent of these risks can vary with changes in the scheme's asset allocation and portfolio composition.

 Who May Consider a Multi Asset Allocation Fund

As Kotak Multi Asset Allocation Fund marks its three-year milestone, its multi-asset mandate remains central to the scheme's positioning. The fund is suitable for investors seeking long-term capital growth, with investments across equity and equity-related securities, debt and money market instruments, Commodity ETFs and exchange-traded commodity derivatives.

The scheme's stated investment horizon is five years and above, in line with its long-term investment mandate. Its portfolio brings together multiple asset classes within a single scheme, with the allocation changing over time as part of the fund's investment strategy. The three-year milestone provides a defined period to view the scheme's stated mandate alongside its SIP record and portfolio positioning. The latest allocation and performance, however, remain subject to market conditions and changes in the portfolio.

 Disclaimers

Investors may consult their Financial Advisors and/or Tax advisors before making any investment decision.

These materials are not intended for distribution to or use by any person in any jurisdiction where such distribution would be contrary to local law or regulation.  The distribution of this document in certain jurisdictions may be restricted or totally prohibited and accordingly, persons who come into possession of this document are required to inform themselves about, and to observe, any such restrictions.

MUTUAL FUND INVESTMENTS ARE SUBJECT TO MARKET RISKS, READ ALL SCHEME RELATED