Rainmatter—Zerodha’s fintech-focused investment arm—has acquired approximately 5% equity stake in Capitalmind Financial Services, following the launch of its mutual fund business. The exact investment amount hasn’t been disclosed.
Background: Capitalmind’s Mutual Fund Launch
Capitalmind recently received the final nod from SEBI to launch its mutual fund platform, introducing active equity schemes grounded in its established, rules-based strategies like Adaptive Momentum and Surge India (which delivered post-fees returns of 27–28% over five years)
Its debut fund, the Capitalmind Flexi Cap Fund, raised ₹45 crore in its New Fund Offer (NFO), with 75% of inflows coming via direct plans, nearly half of which were routed through Zerodha’s Coin platform.
Why the Investment Matters
- Affirms a Strong Partnership: Zerodha’s backing reinforces the long-standing collaboration between Nithin Kamath and Capitalmind founder Deepak Shenoy.Business Standard
- Growth Catalyzer: The capital injection supports Capitalmind’s dual strategy—scaling its retail-oriented mutual fund arm while maintaining its PMS offering for HNIs.
- Maintains Independence: In line with SEBI norms, Rainmatter’s stake is capped at 10%, and it does not hold a board seat, preserving Capitalmind’s autonomy.
Summary Table
| Detail | Information |
|---|---|
| Investor | Rainmatter (Zerodha’s investment arm) |
| Target | Capitalmind Financial Services (Capitalmind Mutual Fund) |
| Stake Acquired | ~5% |
| Purpose | Expand mutual fund franchise and support growth trajectory |
| Autonomy Maintained | Stake capped at 10% and no board seat involvement |
| Capitalmind NFO | Raised ₹45 crore; strong direct inflows via Zerodha Coin |
