Motilal Oswal Giftcity India Equity Fund of Funds Trust

What Is the Motilal Oswal GIFT City India Equity Fund of Funds Trust?

The Motilal Oswal Gift City India Equity Fund of Funds Trust is a GIFT City-based Category III AIF designed to provide international investors with access to Indian equities through an offshore-style, USD-denominated investment route. The Trust is domiciled in GIFT City, Ahmedabad, and is registered with the International Financial Services Centres Authority (IFSCA) as a Category III AIF. It is also registered as a Category I FPI with SEBI.

The key point is its fund-of-funds structure. Rather than building the portfolio by directly buying Indian stocks, the fund invests predominantly in the onshore Motilal Oswal Large & Midcap Fund. This creates a feeder-style route to Indian large- and mid-cap equity exposure for eligible NRIs, foreign nationals and other permitted foreign investors. Contributions can be made in USD through eligible overseas bank accounts or NRE accounts, subject to applicable onboarding and regulatory requirements.

Motilal Oswal GIFT City India Equity Fund of Funds: Fund Snapshot at a Glance

The fund's underlying strategy, service providers and regulatory structure are stated in the available fund material. The minimum investment for the Motilal Oswal GIFT City India Equity Fund is USD 150,000.

How the Motilal Oswal GIFT City Fund of Funds Structure Works

GIFT City and IFSC Structure

GIFT City provides an International Financial Services Centre through which eligible international investors can access investment products linked to Indian markets. The Motilal Oswal GIFT City Fund operates through MO Alternative IFSC Private Limited, the fund management entity identified in the available fund material. The Trust is registered as a Category III AIF with IFSCA, while its FPI registration provides a separate regulatory framework for its eligible foreign-investment activity.

USD-Denominated Investment Route

One of the defining features of the Motilal Oswal GIFT City Fund for NRI and eligible foreign investors is the USD investment route. The available material states that investments can be made through bank accounts outside India or an NRE account, with contributions accepted in USD.

This can make the structure relevant for investors looking for India equity exposure without having to structure the investment purely as a conventional domestic mutual-fund investment. Actual onboarding remains subject to eligibility, KYC, AML checks, fund documents and applicable regulations.

Investment into the Motilal Oswal Large & Midcap Fund

The economic engine of the Motilal Oswal GIFT City India Equity Fund of Funds is its predominant investment in the onshore Motilal Oswal Large & Midcap Fund. The structure therefore provides access to the underlying Indian equity strategy rather than functioning as a separately constructed direct-stock portfolio.

Look-Through Exposure to Indian Equities

Portfolio numbers presented for market capitalisation or equity exposure should be read as look-through exposure to the underlying strategy. They describe the economic exposure generated through the underlying fund and should not be interpreted as a statement that the GIFT City FoF directly owns every stock shown in the underlying portfolio.

Investment Strategy of the Motilal Oswal GIFT City India Equity Fund of Funds

The Motilal Oswal Gift City Fund of Funds strategy combines the GIFT City investment structure with the investment approach of the underlying Motilal Oswal Large & Midcap Fund.

The available material describes the underlying approach as focused on high-conviction Indian mutual-fund exposure and a disciplined, research-led investment process.

The broader Motilal Oswal investment philosophy is associated with QGLP — Quality, Growth, Longevity and Price. In practical terms, this framework places emphasis on identifying businesses with durable business models, growth potential and long-term economic characteristics, while also considering the price paid for that growth.

For an investor, the distinction matters: the GIFT City fund provides the access structure, while the underlying Motilal Oswal Large & Midcap Fund provides the principal equity exposure.

Who Can Invest in the Motilal Oswal GIFT City Fund?

The available fund material identifies NRIs, foreign nationals and foreign institutional investors as eligible investor categories, subject to applicable regulatory and onboarding requirements.

Eligibility should not be interpreted simply as a nationality-based checklist. Investors must satisfy the fund's current PPM requirements, KYC and AML procedures, jurisdictional restrictions, sanctions screening and other applicable regulatory conditions.

Investor Jurisdiction, KYC and AML Requirements

The earlier fund material refers to countries other than non-FATF members as the permitted universe. For a live investment page, however, eligibility should be determined using the current onboarding policy and fund documentation, rather than relying on a static country list.

Investors should expect the onboarding process to consider:

• Investor identity and beneficial ownership
• KYC documentation
• Source of funds
• AML and sanctions screening
• Investor jurisdiction
• Applicable PPM declarations
• Regulatory and eligibility requirements

Minimum Investment, Fees, Exit Load and Liquidity

The Motilal Oswal GIFT City India Equity Fund minimum investment is USD 150,000.

Investors should review the latest PPM and applicable subscription documents for the complete fee structure, including management fees, underlying-fund expenses and operating costs. Fees applicable to the FoF should be considered alongside expenses incurred at the underlying-fund level when evaluating the overall cost of the structure.

Exit Load by Holding Period

The available schedule specifies the following exit-load structure:

The source schedule explicitly lists charges up to 12 months, then resumes at more than 24 months. The 12–24-month band should therefore be confirmed from the latest PPM or fund documentation rather than inferred.

The exit-load structure makes liquidity an important consideration. Investors should check the applicable redemption process, notice requirements and dealing terms before investing.

Tax Treatment of the Motilal Oswal GIFT City Fund Structure

The available fund material describes the structure as providing no tax at the fund level and also states that investors may be exempt from obtaining a PAN or filing an income-tax return in India.

These statements should be read within the scope of the applicable IFSC framework and current fund documentation. They should not be interpreted as a blanket exemption from all investor-level taxation.

The actual Motilal Oswal Gift City Fund tax position can depend on factors including:

• Investor country of tax residence
• Citizenship and investor status
• Nature of income or gains
• Applicable Indian tax rules
• Home-country taxation
• Double-taxation provisions
• Changes in IFSC or tax regulations

NRI and foreign investors should review the latest PPM, tax memorandum and applicable professional tax advice before investing.

Underlying Motilal Oswal Large & Midcap Fund: Investment Approach

The underlying Motilal Oswal Large & Midcap Fund provides the principal Indian equity exposure for the FoF. Its role is important because the risk and return profile of the GIFT City structure is ultimately influenced by the underlying equity portfolio.

The investment approach is research-driven and centred on high-conviction Indian businesses. The fund's large- and mid-cap orientation creates exposure across established companies and businesses with potential for further growth.

This also means that any performance or portfolio statistics relating to the underlying Large & Midcap Fund should be clearly treated as underlying-fund information, not as the historical performance of the GIFT City FoF.

Look-Through Portfolio, Sectors and Market-Cap Exposure

The available portfolio data provides the following market-cap information. These figures represent look-through exposure and should be read with the applicable disclosure date and underlying-fund factsheet.

Market-Cap Allocation

Market-Cap Breakup

The source material reports these figures as the market-cap and long-equity exposure of the underlying strategy.

Sector Allocation

Sector-level figures should be refreshed from the latest underlying-fund factsheet before publication. The FoF's sector exposure can change as the underlying portfolio changes, so an undated sector table can quickly become misleading.

Top Underlying Holdings

Any company-level holdings displayed on the page should be labelled underlying holdings and sourced from the latest available factsheet. They represent look-through exposure through the Motilal Oswal Large & Midcap Fund and should not be presented as direct stock recommendations by the GIFT City FoF.

Key Risks of Motilal Oswal GIFT City India Equity Fund of Funds

Fund-of-Funds and Underlying-Fund Risk

The FoF depends substantially on the performance and portfolio construction of the underlying fund. Investors therefore face both the risks of the FoF structure and the underlying equity strategy.

Indian Equity Market Risk

The underlying portfolio invests in Indian equities. Market corrections, economic changes, interest-rate movements, corporate earnings and broader investor sentiment can materially affect valuations.

Currency Risk

The fund is USD-denominated while the underlying investments are linked to Indian assets. Changes in the USD/INR exchange rate can affect an overseas investor's realised return when measured in the investor's base currency.

Large- and Mid-Cap Risk

The underlying strategy has meaningful large- and mid-cap exposure. Mid-cap companies can experience sharper price movements and liquidity constraints than the largest listed companies.

Liquidity and Redemption Risk

The applicable exit load and redemption terms make the investment less suitable for investors seeking immediate liquidity. Investors should review the fund's current dealing and redemption terms before committing capital.

Tax and Regulatory Risk

IFSC, Indian tax, investor-residence and cross-border regulations can change. The tax treatment applicable to one investor may not necessarily apply to another.

Manager and Strategy Risk

The fund's outcome depends on the investment decisions and continued implementation of the underlying strategy. Changes in portfolio construction, market conditions or management decisions can affect results.

Who May Consider a GIFT City India Equity Fund of Funds?

The Motilal Oswal Gift City Fund may be relevant for eligible NRIs and other permitted international investors who want USD-route access to Indian equity markets through a GIFT City structure.

It may be worth considering for investors who:

• Want long-term exposure to Indian large- and mid-cap equities
• Prefer a USD-denominated investment route
• Meet the applicable GIFT City and fund eligibility requirements
• Understand fund-of-funds and underlying-fund risks
• Can tolerate Indian equity-market volatility
• Understand currency and cross-border tax considerations
• Do not require short-term liquidity

It is not a low-risk or capital-protected product. The investment should be evaluated on the basis of its structure, underlying strategy, costs, liquidity and applicable regulatory and tax considerations.

Request Motilal Oswal GIFT City Fund Details

Interested in the Motilal Oswal GIFT City India Equity Fund of Funds Trust?

Speak to an AltPort Expert or Request Fund Details to access the latest fund information, PPM or factsheet.

For investors evaluating GIFT City opportunities, the latest fund documents should always take precedence over secondary summaries, particularly for fees, tax treatment, eligibility, redemption terms and portfolio disclosures.