Kotak Mutual Fund · Direct Growth · SEBI Category: Arbitrage
Kotak Arbitrage Fund is India's largest arbitrage fund by AUM with over Rs.43,000 crore in assets — reflecting the exceptional investor trust in Kotak AMC's arbitrage execution capabilities. The fund exploits price differences between the cash (spot) market and futures market of the same stock, locking in near-certain small profits from these spreads. Because both legs of the trade are established simultaneously, the fund has virtually no directional market risk.
The fund's massive scale actually provides an operational advantage in arbitrage — Kotak's large dealing desk can efficiently execute arbitrage across many stocks simultaneously, capturing spreads that smaller funds might miss. Despite its large size, the fund has maintained consistent returns comfortably in the 7 to 8% annualised range over 3 years. Kotak AMC's extensive derivatives expertise is a key competitive advantage.
Arjun Khanna manages the arbitrage and derivative strategies at Kotak Mutual Fund including the Kotak Arbitrage Fund. Abhishek Bisen heads fixed income at Kotak MF and manages the debt component. In arbitrage funds, the fund manager's role is identifying and capturing price differentials between cash and futures markets efficiently while managing the debt sleeve conservatively.
For current co-manager details and full biography, refer to the latest Kotak Mutual Fund factsheet on AMFI or the AMC website.
Informational points to help you form your own view — not judgements or recommendations.
Live data. Current fund highlighted. Click any fund name for full analysis.
| Fund | NAV | AAUM | 1Y Return | 3Y CAGR | 5Y CAGR | Sharpe (3Y) |
|---|---|---|---|---|---|---|
| Kotak Arbitrage Fund ▲ | ₹42.37 | ₹43.5K Cr Jan–Mar 2026 | +6.3% | +7.6% p.a. | +6.7% p.a. | 1.39 |
| Invesco India Arbitrage Fund | ₹36.56 | ₹20.4K Cr Jan–Mar 2026 | +6.4% | +7.6% p.a. | +6.8% p.a. | 1.39 |
| ICICI Prudential Equity Arbitrage Fund | ₹38.88 | ₹19.2K Cr Jan–Mar 2026 | +6.2% | +7.4% p.a. | +6.5% p.a. | 1.20 |
| Aditya Birla Sun Life Arbitrage Fund | ₹30.30 | ₹18.3K Cr Jan–Mar 2026 | +6.3% | +7.5% p.a. | +6.6% p.a. | 1.31 |
| Tata Arbitrage Fund | ₹16.01 | ₹15.5K Cr Jan–Mar 2026 | +6.4% | +7.6% p.a. | +6.7% p.a. | 1.49 |
Calculated from 3,278 daily NAV records in RightAdvise DB. Last calculated: Jun 2026.
1M / 3M / 6M / 1Y — simple point-to-point return · 3Y / 5Y / 10Y — CAGR (compounded annual growth rate)
Based on all rolling windows in full NAV history. Dates show the start and end of each period.
Jan 1 to Dec 31 each year. Simple point-to-point — not CAGR.
Rolling returns show performance across every possible investment start date — not one cherry-picked number. Learn more →
How much the fund fell from its peak NAV — what investors actually experience during crashes. Calculated from full NAV history.
Calculated from actual NAV data. "Pre-inception" means the fund didn't exist during that period.
Calculated from 3 years of daily NAV — industry standard. Risk-free rate: 6.5% p.a. Last updated: Jun 2026. What do these mean? →
Our portfolio holdings page shows every stock the fund owns, sector allocation, and month-over-month changes — from official AMC disclosures.
See how Kotak Arbitrage Fund ranks against other Arbitrage funds on returns, drawdown, Sharpe ratio and AAUM — side by side.
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