Kotak Mahindra Bank offers its custodial services to portfolio managers. Kotak Mahindra Bank through its custody services offers portfolio managers the ease to settle their trades and also Fund Accounting services for the investments made.
Services to Portfolio Managers
- Kotak Mahindra Bank shall allocate the trades on the instruction of the Portfolio Managers.
- Fund accounting as per the investment guidelines of the Portfolio Managers.
- Kotak Mahindra Bank can also offer its Cash Management solutions for collections and payments.
- Trade allocation is done in the individual account by the custodian. Custodian does the allocation on the basis of the pre-determined allocation ratios received from the portfolio manager.
Who is a Portfolio Manager?
A Portfolio Manager is one who advises or directs or undertakes on behalf of his client on the management or administration of his investment portfolio. It may either be a discretionary, non-discretionary or an advisory portfolio manager.
Types of Eligible Securities for investments
- Debt / Fixed Income Instruments
- Derivatives (only to the extent of the value of the portfolio)
- Mutual Funds
- Fixed Deposits
Kotak Mahindra Bank offers its Custody Services to all the categories of Alternative Investment Funds. Kotak Mahindra Bank through its custody services offers AIF (Alternative Investment Funds), the facility to settle trades with ease and offers to provide Fund accounting(click) services.
- Kotak Mahindra Bank can act as a custodian for all three categories of AIF; Category I, Category II and Category III.
- Kotak Mahindra Bank offers Fund accounting services to the AIF for their NAV calculation, investor reports etc.
- Kotak Mahindra Bank offers its Derivatives Clearing services to Category III AIF.
Alternate Investment Fund – Basic Guidelines
- The fund should have a minimum of Rs. 20 crore corpus
- Minimum investment in the fund should be Rs.1 crore per investor
- Minimum Rs. 25 lac can be accepted from employees/directors
- Manager / Sponsor to have a minimum 2.5% or Rs. 5 crore, whichever is lower for category I and II AIF. Min 5% or Rs. 10 crore whichever is lower for category III AIF
- Maximum 1000 investors
- Only private placement is allowed
- Allowed to invest surplus in Debt – Liquid MF, FDRs, T Bills, CP, CD CBLO etc.
- Category III AIF can either be open ended or closed ended
- Category III AIF can invest in listed / unlisted / derivatives / structured products
- Category III AIF can also borrow for investments, but has to declare it to its investors
- Category III AIF has to necessarily appoint a Custodian
Kotak Mahindra Bank offers its Custody Services to family offices across India. Kotak Mahindra Bank through its custody services offers the family office to settle trades with ease and have the security of keeping their assets safely with a custodian.
Features for family offices
- Kotak Mahindra Bank can settle trades for the family offices through its custodial platform
- Investors through the online platform can monitor its trades on a real-time basis
- Family offices can give fund transfer instructions online through simple messages
- Investors get the advantage of excellent corporate action information available on the online platform
- Family offices can now have a single point of settlement for all their transactions with different brokers
- Through the online platform, family offices monitor their trades on a single platform
- Derivatives clearing services offered to family offices
Kotak Mahindra Bank offers its Custody Services to all the categories of Mutual Funds. Kotak Mahindra Bank through its custody services offers the Fund House to settle trades with ease and offers to provide Fund accounting services
- Excellent Cash Management Services offered to Mutual Funds
- Custodial services offered
- Derivative Clearing services offered to Mutual Funds