Kotak Mutual Fund launches Kotak Dividend Yield Fund for investors seeking stable returns

Kotak MahindraAsset Management Company Ltd. (KMAMC) has launched the Kotak Dividend Yield Fund, an open-ended equity scheme focused on dividend-yielding stocks. The fund aims to provide long-term capital growth and dividend income through a diversified portfolio of companies with a consistent dividend record. The New Fund Offer (NFO) opens on

5 January 2026 and closes on 19 January 2026.

The scheme invests in companies that have paid dividends in at least one of the last three financial years, selecting stocks based on cash flow, earnings growth prospects, business fundamentals, and management quality. By targeting mature and stable businesses across sectors, the fund seeks to deliver potential dividend income along with long-term capital appreciation.

Nilesh Shah, MD of KMAMC, said, “Dividend-paying companies often reflect sound business practices. The Kotak Dividend Yield Fund is designed to help investors benefit from the stability and growth of such businesses.” Fund Manager Shibani Kurian Sircar added that careful stock selection and diversification aim to balance income potential with long-term growth.

Also read: Kotak Mahindra Bank Q3 Update: Net advances rise 16% to ₹4.80 lakh crore, deposits up 15%

Investors can participate with a minimum of ₹100, with additional amounts allowed during the NFO period. Investors are advised to consult their financial or tax advisors.

Kotak Mahindra Bank's share price closed at ₹2,192.30, down ₹2.80 (-0.13%) on 5 January 2026, in the NSE.