Description

NSE informs members that Kotak Mutual Fund has imposed a maximum subscription limit of INR 1,00,000 per PAN per day for four overseas equity FOF schemes effective April 30, 2026, covering lumpsum purchases, STP, SIP, and switch-ins.

Summary

NSE has notified all members that Kotak Mutual Fund has imposed a restriction on the maximum subscription amount for four overseas equity Fund of Fund (FOF) schemes on the NSE MF Invest Platform, effective April 30, 2026. Fresh and additional subscriptions, including lumpsum purchases, switch-ins, and new SIP/STP registrations, are capped at INR 1,00,000 per PAN per day per scheme.

Key Points

  • Restriction applies to four Kotak overseas equity Omni FOF schemes from April 30, 2026
  • Maximum subscription limit set at INR 1,00,000 (One Lakh) per PAN per day for each affected scheme
  • Limit applies to: lumpsum purchases, additional purchases, switch-ins, and fresh SIP/STP registrations
  • Existing SIP/STP instalments registered before the effective date will continue to be processed at applicable NAV
  • Transactions timestamped on or before 3:00 PM on April 29, 2026 will be accepted and processed at applicable NAV
  • NSE Download Ref No: NSE/NMFTM/73985 | Circular Ref. No: 1346/2026

Regulatory Changes

Kotak Mahindra Asset Management Company Limited has issued a Notice-cum-Addendum to the Statement of Additional Information (SAI), Scheme Information Document (SID), and Key Information Memorandum (KIM) for the four affected schemes. The relevant SAI, SID, and KIM documents will be updated to reflect these subscription restrictions. All other terms and conditions in the SAI remain unchanged.

Compliance Requirements

  • NSE members must ensure that subscription orders for the four affected Kotak schemes on the NSE MF Invest Platform do not exceed INR 1,00,000 per PAN per day
  • Members should communicate this restriction to their clients investing in these schemes
  • Fresh SIP/STP registrations above the limit must not be accepted from April 30, 2026 onwards
  • Existing SIP/STP registrations prior to the effective date are exempt and will be processed normally

Important Dates

  • April 29, 2026, 3:00 PM: Cut-off for transactions to be processed at applicable NAV without restriction
  • April 30, 2026: Effective date for the INR 1,00,000 per PAN per day subscription cap on NSE MF Invest Platform

Impact Assessment

The restriction affects investors in four Kotak overseas equity FOF schemes who wish to invest more than INR 1 lakh per day. These schemes invest in global markets (Emerging Markets, Innovation, International REITs, and Quality equities), and the cap is likely driven by SEBI’s overseas investment limits for mutual funds. High-net-worth investors and those making large lumpsum or switch-in transactions will be most affected. Existing SIP/STP investors are insulated as their instalments will continue uninterrupted. The affected schemes are:

  1. Kotak Global Emerging Market Overseas Equity Omni FOF
  2. Kotak Global Innovation Overseas Equity Omni FOF
  3. Kotak International REIT Overseas Equity Omni FOF
  4. Kotak Quality Overseas Equity Omni FOF

Impact Justification

Operational restriction on four Kotak overseas FOF schemes affecting retail investors on NSE MF Invest Platform; no broad market impact but directly limits investment capacity for affected scheme investors.