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FMP 3M Sr 33.p65

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                                                    TABLE OF CONTENTS

                                                             Page No.                                                                  Page No.

I. HIGHLIGHTS, RISK FACTORS AND DUE DILIGENCE                     2             8 . Applicable NAV for the scheme                          31
II. DEFINITIONS AND ABBREVIATIONS                                 6             9 . Facilities Offered to Investors under the Scheme       31
III. CONSTITUTION OF THE FUND                                     8         B . PURCHASE OF UNITS                                          32
     A . THE FUND                                                 8             1 . Who can invest?                                        32
     B . SPONSOR COMPANY                                          8             2 . Purchase Price                                         33
     C . TRUSTEE COMPANY (THE TRUSTEE)                            8             3 . Mode of Payment                                        33
                                                                                4 . Where to submit application forms?                     33
        1 . Directors                                             8
                                                                                5 . Choice of Option under the Scheme                      33
        2 . Rights, Obligations, Responsibilities                 9
            and Duties of the Trustee                                           6 . Joint Applicants                                       33
        3 . Trustee’s Fee                                         9             7 . Allotment                                              33
                                                                                8 . Account Statement / Unit Certificate                   34
     D . ASSET MANAGEMENT COMPANY                                10             9 . Refund                                                 34
        1.  Name and Address                                     11         C . REDEMPTION OF UNITS                                        34
        2.  Directors on the Board of the AMC                    11
                                                                                1 . Redemption Price                                       34
        3.  Powers, Functions and Responsibilities of the AMC    12
                                                                                2 . How to Redeem?                                         34
        4.  Condensed Financial Information
            (for the last three fiscal years)                    13             3 . Maturity of the Scheme                                 34
        5 . Borrowing by the Mutual Fund                         21             4 . Payment of Proceeds                                    34
        6 . Key Personnel of AMC                                 23             5 . Redemption by NRIs/FIIs                                34
                                                                                6 . Effect of Redemptions                                  35
     E. THE REGISTRAR                                            24             7 . Right to Limit Redemption                              35
     F. THE CUSTODIANS                                           24             8 . Suspension or Redemption of Units                      35
     G. BANKER                                                   24             9 . Unclaimed Redemption and Dividend Amount               35
IV. INVESTMENT OF FUND                                           25     VI. LOADS AND RECURRING EXPENSES                                   36
    A . KOTAK FMP 3M SERIES 33                                   25         A . LOAD STRUCTURE OF THE SCHEME                               36
        1.      Type of Scheme                                   25         B . FEES AND EXPENSES OF THE SCHEME                            36
        2.      Investments Options                              25
                                                                                1 . New Fund Offer Expenses                         36
        3.      Maturity profile of the Scheme                   25
        4.      Investment Objective                             25             2 . New Fund Offer Expenses incurred by the Schemes 3 6
        5.      Investment Strategy                              25             3 . Recurring Expencess of the scheme               38
        6.      The Risk Profile and Investment Pattern          26     VII. UNITHOLDERS’ RIGHTS AND SERVICES                              39
        7.      Overview of Debt Market                          26          A . UNITHOLDERS’ RIGHTS                                       39
        8.      Fundamental Attributes and Changes Therein       26          B . VOTING RIGHTS OF THE UNITHOLDERS                          39
     B . POLICIES AND REGULATIONS APPLICABLE TO THE SCHEME 2 6               C . ACCOUNT STATEMENTS                                        39
        i.      Investment of Subscription Money                 26          D . USE OF POSTAL SERVICES FOR DISPATCH OF                    40
                                                                                 DIVIDEND WARRANTS AND ACCOUNT STATEMENTS.
        ii.     Borrowing Power                                  27
                                                                             E. NAV INFORMATION                                            40
        iii.    Policy on Inter Scheme Transfers                 27
                                                                             F. DISCLOSURE OF INFORMATION UNDER THE                        40
        iv.     Mode of Investment                               27              REGULATIONS
        v.      Investments by the AMC in the Fund               27
                                                                             G. DURATION OF THE SCHEME                                     40
        vi.     Investment Limitation and Restrictions           27
                                                                             H . PROCEDURE AND MANNER OF WINDING UP                        49
        vii.    Computation of Net Asset Value                   28          I. SERVICES TO UNITHOLDERS                                    49
        viii.   Valuation Norms                                  28
                                                                             J. TAX BENEFITS OF INVESTING IN THE MUTUAL FUND               50
        ix.     Accounting Policies                              29
        x.      Recording of Investment Decisions                30             A . For the Unit holders                                   50
                                                                                B . For the mutual fund                                    50
V.    UNITS                                                      31
                                                                        VIII. OTHER MATTERS                                                52
     A . UNITS ON OFFER                                          31
                                                                             A . POWER TO MAKE RULES                                       52
        1.      Minimum Subscription Amount                      31
                                                                             B . POWER TO REMOVE DIFFICULTIES                              52
        2.      New Fund Offer of the Scheme                     31          C . TRANSACTIONS WITH ASSOCIATE COMPANIES                     52
        3.      New Fund Offer Price                             31          D . PENALTIES, PENDING LITIGATION OR PROCEEDINGS              56
        4.      Extension of New Fund Offer                      31
                                                                             E. OMNIBUS CLAUSE                                             57
        5.      Continuous Offer                                 31          F. DOCUMENTS AVAILABLE FOR INSPECTION                         57
        6.      Listing                                          31
        7.      Minimum Purchase and Redemption Amount           31


                                                                                                                                             1
                I.   HIGHLIGHTS,                       RISK FACTORS                                      AND            DUE
                                                      DILIGENCE
    Name of the Scheme                       KOTAK FMP 3M SERIES 33
    Type of Scheme                           Close – Ended Debt Scheme with 90 days maturity
    Investment Objective                     The investment objective of the Scheme is to generate returns through investments in debt and
                                             money market instruments with a view to significantly reduce the interest rate risk.
    Investment in                            Debt / Money Market Instruments and Government Securities, normally maturing in line with the
                                             maturity profile of the Scheme.
    Suitable for                             The investors who seek to significantly reduce the interest rate risk by remaining invested in the
                                             Scheme till its maturity.
    Liquidity                                Commencing not later than 30 (Thirty) days from the closure of the New Fund Offer, the Scheme(s)
                                             will offer Redemption at prices related to Applicable NAV on each Business Day.
    Maturity of the Scheme                   90 days after the date of allotment.
    Fund Manager                             Mr. Deepak Agrawal
    Benchmark Index                          CRISIL Liquid Fund Index
    Options                                  Growth, Dividend (Payout and Reinvestment) Options
    Minimum Investment amount                Rs. 5,000/- and in multiple of Re. 1 each for both Growth and Dividend Options.
    Minimum Redemption amount                Rs. 1,000 or 100 Units each for both Growth and Dividend Options.
                                             If the holding is less than Rs. 1000 or 100 units, after processing the redemption request, the
                                             entire amount/units will be redeemed from the Scheme.
    Entry Load:                              Entry Load : Nil
                                             Where units are allotted upon reinvestment of Dividends/Bonus Units: Nil
    Exit Load for the scheme                 Exit Load: 1.00% if redeemed before maturity of the scheme(s).
                                             Where units are allotted upon reinvestment of Dividends/Bonus Units: Nil
                                             However, where an investor wants to switch his investments into any other scheme/plan of Kotak
                                             Mutual Fund on the maturity date, or from one option to other option under the same scheme
                                             during the tenure of the Scheme, no exit load will be charged.
                                             The Exit Load will not be charged on redemption of Units by the Fund on the Maturity Date.
    New Fund Offer Expenses                  Will be borne by the AMC

Tax implications as per the provisions of Income                              issued under the Scheme can go up or down depending on
Tax Act, 1961 and Wealth Tax Act, 1957,                                       the factors and forces affecting the debt and money markets.
prevailing as on March 12, 2008:                                              Past performance of the Sponsor/Fund/AMC or that of
      No TDS on redemption irrespective of amount                             any Schemes of the Fund does not indicate the future
      redeemed, for Unit holders Resident in India.                           performance of the Schemes of the Fund.
      Investments in the Scheme are exempt from Wealth Tax.                   KOTAK FMP 3M SERIES 33 is only the name of the
                                                                              Scheme and do not in any manner indicate the quality
      Under Section 2(29A) of the Act, read with                              of the Scheme, their future prospects or returns.
      section 2(42A) of the Act, a unit of a Mutual Fund is
      treated as a long term capital asset if the same is held                The NAV of the Units issued under the Scheme may be
      for more than 12 months. If the unit is held for 12                     affected, inter-alia, by changes in the market, interest
      months or less, the same is treated as a short term capital             rates, changes in credit rating, trading volumes,
      asset.                                                                  settlement periods and transfer procedures; the NAV is
                                                                              also exposed to Price/Interest-Rate Risk and Credit Risk
      Dividends received under the Scheme are exempt from                     and may be affected inter-alia, by government policy,
      income tax in the hands of investors and the Scheme                     volatility and liquidity in the money markets and pressure
      will pay dividend distribution tax.                                     on the exchange rate of the rupee.
RISK FACTORS                                                                  Tax laws may change, affecting the return on investment
   Mutual Funds and securities investments are subject to                     in Units.
   market risks and there is no assurance or guarantee                        In the event of receipt of a very large number of
   that the objectives of the Scheme will be achieved.                        redemption requests or very large value redemption
      As with any securities investment, the NAV of the Units                 requests or of a restructuring of the Scheme portfolio, there

2
     may be delays in the redemption of Units. Please refer to the      Broadly following types of loans are securitised:
     paragraph, ‘Right to limit Redemption’ in this Offer                       Auto Loans (cars / commercial vehicles /two wheelers)
     Document.
                                                                                Residential Mortgages or Housing Loans
     As per SEBI Circulars dated December 12, 2003 Ref No.
     SEBI/IMD/CIR No. 10/22701/03 each Scheme(s) and                            Consumer Durable Loans
     individual plan(s) under the schemes should have a                         Personal Loans
     minimum of 20 investors and no single investor should
     account for more than 25% of the corpus of such                    Auto Loans
     Scheme(s)/plan(s) at the time of allotment in case of a            The underlying assets (cars etc.) are susceptible to
     close ended scheme(s). Further, in circular no: SEBI/IMD/          depreciation in value whereas the loans are given at high
     Cir no 1/42529/05 dated 14-6-2005, SEBI clarified that             loan to value ratios. Thus, after a few months, the value of
     “(a) The aforesaid circular would be applicable at the             asset becomes lower than the loan outstanding. The
     portfolio level.” In view of this, in case of non-fulfillment      borrowers, therefore, may sometimes tend to default on
     of either of the above two conditions at the portfolio             loans and allow the vehicle to be repossessed.
     level, the investor’s application money would be
                                                                        These loans are also subject to model risk. i.e. if a particular
     refunded, in full, immediately after the close of the NFO.
                                                                        automobile model does not become popular, loans given
Scheme Specific Risk Factors and Special                                for financing that model have a much higher likelihood of
Considerations:                                                         turning bad. In such cases, loss on sale of repossession
                                                                        vehicles is higher than usual.
a)   The portfolio of KOTAK FMP 3M SERIES 33 will comprise
     of securities issued by central and state government as            Commercial vehicle loans are susceptible to the cyclicality in
     also debt securities issued by corporates as mentioned             the economy. In a downturn in economy, freight rates drop
     under the paragraph ‘the risk profile and investment               leading to higher defaults in commercial vehicle loans.
     pattern’. All such securities will normally mature in line         Further, the second hand prices of these vehicles also decline
     with the maturity profile of the scheme. As the securities         in such economic environment.
     are normally held to maturity, the interest rate risk is           Housing Loans
     significantly mitigated. The debt securities issued by the
     corporates do carry a credit risk as also the liquidity risk.      Housing loans in India have shown very low default rates
                                                                        historically. However, in recent years, loans have been given
b)   The Scheme will invest entirely in Debt/ Money Market              at high loan to value ratios and to a much younger borrower
     Instruments and Government securities. Liquidity in these          classes. The loans have not yet gone through the full
     investments may be affected by trading volumes, settlement         economic cycle and have not yet seen a period of declining
     periods and transfer procedures. These factors may also            property prices. Thus the performance of these housing loans
     affect the Scheme’s ability to make intended purchases/            is yet to be tested and it need not conform to the historical
     sales, cause potential losses to the Scheme and result in          experience of low default rates.
     the Scheme missing certain investment opportunities.
                                                                        Consumer Durable Loans
c)   Different types of securities in which the scheme would
     invest as given in the offer document carry different                 The underlying security for such loans is easily
     levels and types of risk. Accordingly the scheme’s risk               transferable without the bank’s knowledge and hence
     may increase or decrease depending upon its investment                repossession is difficult.
     pattern. E.g. corporate bonds carry higher amount of                   The underlying security for such loans is also susceptible
     risk than government securities. Further, even among                   to quick depreciation in value. This gives the borrowers
     corporate bonds, bonds, which are AAA rated, are                       a high incentive to default.
     comparatively less risky than bonds, which are AA rated.
                                                                        Personal Loans
d)   The Scheme may from time to time invest in domestic
                                                                        These are unsecured loans. In case of a default, the bank
     securitised debt, for instance, in asset backed securities or
                                                                        has no security to fall back on. The lender has no control
     mortgage backed securities. Typically, investments in
                                                                        over how the borrower has used the borrowed money.
     securitised debt carry credit risk (where credit losses in the
                                                                        Further, all the above categories of loans have the following
     underlying pool exceed credit enhancement provided) and
                                                                        common risks:
     the reinvestment risk (which is higher as compared to the
     normal corporate or sovereign debt). The underlying assets             All the above loans are retail, relatively small value loans.
     in securitised debt are receivables arising from automobile            There is a possibility that the borrower takes different
     loans, personal loans, loans against consumer durables,                loans using the same income proof and thus the income
     loans backed by mortgage of residential / commercial                   is not sufficient to meet the debt service obligations of
     properties, etc.                                                       all these loans.
e)   ABS/MBS instruments reflect the proportionate undivided                In India, there is no ready database available regarding
     beneficial interest in the pool of loans and do not                    past credit record of borrowers. Thus, loans may be
     represent the obligation of the issuer of ABS/MBS or the               given to borrowers with poor credit record.
     originator of the underlying receivables. Investments in               In retail loans, the risks due to frauds are high.
     securitised debt is largely guided by following factors :
                                                                        Single Loan PTC
         Attractive yields i.e. where securitised papers offer better
         yields as compared to the other debt papers and also           A single loan PTC is a securitization transaction in which a
         considering the risk profile of the securitised papers.        loan given by an originator (Bank/ NBFC/ FI etc.) to a single
                                                                        entity (obligor) is converted into pass through certificates
         Diversification of the portfolio                               and sold to investors. The transaction involves the
         Better performance                                             assignment of the loan and the underlying receivables by
                                                                        the originator to a trust, which funds the purchase by issuing
f)   Securitised Debt
                                                                                                                                       3
PTCs to investors at the discounted value of the receivables.         Fixed Income Securities (such as Government Securities, bonds,
The PTCs are rated by a rating agency, which is based on the          debentures and money market instruments) where a fixed return
financial strength of the obligor alone, as the PTCs have no          is offered, run price-risk. Generally, when interest rates rise, prices
recourse to the originator.                                           of fixed income securities fall and when interest rates drop, the
The advantage of a single loan PTC is that the rating                 prices increase. The extent of fall or rise in the prices is a function
represents the credit risk of a single entity (the obligor) and       of the existing coupon, the payment-frequency of such coupon,
is hence easy to understand and track over the tenure of the          days to maturity and the increase or decrease in the level of
PTC. The primary risk is that of all securitized instruments,         interest rates. The prices of Government Securities (existing and
which are not traded as often in the secondary market and             new) will be influenced only by movement in interest rates in the
hence carry an illiquidity risk. The structure involves an            financial system. Whereas, in the case of corporate or institutional
assignment of the loan by the originator to the trustee who           fixed income securities, such as bonds or debentures, prices are
then has no interest in monitoring the credit quality of the          influenced not only by the change in interest rates but also by
originator. The originator that is most often a bank is in the        credit rating of the security and liquidity thereof.
best position to monitor the credit quality of the originator.        The following table indicates the likely impact of interest rate
The investor then has to rely on an external rating agency to         changes on prices of Government Securities. It will be seen
monitor the PTC.                                                      that if interest rate rises by 1%, the prices of Government
                                                                      Securities fall in the range of 0.47% and 6.15% of the prices.
EXPLANATORY NOTE ON SPECIFIC RISKS IN DEBT
                                                                      On the other hand, if the interest rate declines by 1%, the
MARKETS AND CAPITAL MARKETS                                           prices rise in the range of 0.48% to 6.65% for respective
Investments in Financial Instruments are faced with the               maturities shown by way of an illustration in the table below.
following kinds of risks.
                                                                             Existing Government Securities              If Interest rate changes by
Risks associated with Debt / Money Markets (i.e. Markets in
which Interest bearing Securities or Discounted Instruments            Security Maturity      Coupon % p.a.           1% point               1% point
are traded)
                                                                                                                          then Price changes by
a) Credit Risk:
                                                                       6 Month                    9.15               0.47%                    0.48 %
Securities carry a Credit risk of repayment of principal or
interest by the borrower. This risk depends on micro-                  12 Month                   9.20               0.91%                    0.92 %
economic factors such as financial soundness and ability of            3 Year                     9.25               1.38 %                   1.40 %
the borrower as also macro-economic factors such as                    5 Year                     9.30               3.97 %                   4.12 %
Industry performance, Competition from Imports,
Competitiveness of Exports, Input costs, Trade barriers,               10 Year                    9.15               6.15 %                   6.65 %
Favourability of Foreign Currency conversion rates, etc.              The NAV of the Units of the Scheme can go up or down due
Credit risks of most issuers of Debt securities are rated by          to the price fluctuations caused by various factors that affect
Independent and professionally run rating agencies. Ratings           the money markets.
of Credit issued by these agencies typically range from               Floating rate securities issued by a government (coupon linked
“AAA” (read as “Triple A” denoting “Highest Safety”) to               to treasury bill benchmark or a real return inflation linked
“D” (denoting “Default”), with about 6 distinct ratings               bond) have the least sensitivity to interest rate movements, as
between the two extremes.                                             compared to other securities. The Government of India has
The highest credit rating (i.e. lowest credit risk) commands a        already issued a few such securities and the Investment
low yield for the borrower. Conversely, the lowest credit rated       Manager believes that such securities may become available
borrower can raise funds at a relatively higher cost. On account      in future as well. These securities can play an important role
of a higher credit risk for lower rated borrowers lenders prefer      in minimizing interest rate risk on a portfolio.
higher rated instruments further justifying the lower yields.         c) Risk of Rating Migration:
Sovereign Risk: The Federal Government of a country (i.e.             The following table illustrates the impact of change of rating
Central Govt. in case of India) is the issuer of the local currency   (credit worthiness) on the price of a hypothetical AA+ rated
in that country. The Government raises money to meet its Capital      security with a maturity period of 5 years, a coupon of 9.45%
and Revenue expenditure by issuing Debt or Discounted                 p.a. and a market value of Rs. 100. If it is downgraded to AA
Securities. Since payment of interest and principal amount has        category, which commands a market yield of, say, 9.70% p.a.,
a sovereign status implying no default, such securities are known     its market value would drop to Rs. 98.04 (i.e. 0.96%) If the
as securities with sovereign credit. For domestic borrowers and       security is up-graded to AAA category which commands a
lenders, the credit risk on such Sovereign credit is near zero        market yield of, say, 9.30% p.a. its market value would increase
and is popularly known as “risk-free security” or “Zero-Risk          to Rs 100.58 (i.e. by 0.58%). The figures shown in the table are
security”. Thus Zero-Risk is the lowest risk, even lower than a       only indicative and are intended to demonstrate how the price
security with “AAA” rating and hence commands a yield, which          of a security can be affected by change in credit rating.
is lower than a yield on “AAA” security.
                                                                       Rating                            Yield(% p.a.)        Market Value (Rs.)
b) Price-Risk or Interest-Rate Risk:
                                                                       AA+                                    9.45                  100.00
From the perspective of coupon rates, Debt securities can be
                                                                       If upgraded to AAA                     9.30                  100.58
classified in two categories, i.e., Fixed Income bearing Securities
and Floating Rate Securities. In Fixed Income Bearing Securities,      If downgraded to AA                    9.70                  98.04
the Coupon rate is determined at the time of investment and
                                                                      d) Basis Risk:
paid/received at the predetermined frequency. In the Floating
Rate Securities, on the other hand, the coupon rate changes -         During the life of floating rate security or a swap the
‘floats’ - with the underlying benchmark rate, e.g., MIBOR, 1 yr.     underlying benchmark index may become less active and
Treasury Bill.                                                        may not capture the actual movement in the interest rates
                                                                      or at times the benchmark may cease to exist. These types of
4
events may result in loss of value in the portfolio. Where        PAN being mandatory for mutual funds
swaps are used to hedge an underlying fixed income security,      As per Securities and Exchange Board of India (SEBI) Circular
basis risk could arise when the fixed income yield curve moves    dated April 27, 2007, Permanent Account Number (PAN)
differently from that of the swap benchmark curve.                shall be the sole identification number for all participants
e) Spread Risk:                                                   transacting in the securities market, irrespective of the
In a floating rate security the coupon is expressed in terms      amount of transaction with effect from January 1, 2008.
of a spread or mark up over the benchmark rate. However           In view of the above, it is mandatory for all existing and
depending upon the market conditions the spreads may              prospective investors (including joint holders, guardians of
move adversely or favourably leading to fluctuation in NAV.       minors and NRIs) to enclose a copy of PAN card to the
                                                                  application for investing in mutual fund schemes.
f) Reinvestment Risk:
Investments in fixed income securities may carry reinvestment     The applicant or in the case of application in joint names,
risk as interest rates prevailing on the interest or maturity     each of the applicants, should mention his/her permanent
due dates may differ from the original coupon of the bond.        account number (PAN) allotted under the Income Tax Act,
Consequently the proceeds may get invested at a lower rate.       1961, along with a proof of the PAN.
                                                                  The copy of the PAN card as required above shall be attested
g) Liquidity Risk:
                                                                  by the distributor/broker through whom transaction is done
The corporate debt market is relatively illiquid vis-a- vis the   OR if the transaction is done directly at the office of the
government securities market. There could therefore be            Kotak Mutual Fund or at investment service centers of CAMS
difficulties in exiting from corporate bonds in times of          (Registrar), the original PAN card may be produced for
uncertainties. Liquidity in a scheme therefore may suffer. Even   verification.
though the Government Securities market is more liquid
compared to that of other debt instruments, on occasions,         Transactions by unit holders/investors who fail to submit
there could be difficulties in transacting in the market due to   copy of PAN are liable to be rejected.
extreme volatility or unusual constriction in market volumes      The investors should ensure that the amount invested in
or on occasions when an unusually large transaction has to        the Scheme is through legitimate sources only and does not
be put through. In view of this, redemption may be limited or     involve and are not designed for the purpose of any
suspended after approval from the Boards of Directors of the      contravention or evasion of any Act, Rules, Regulations,
AMC and the Trustee, under certain circumstances as               Notifications or Directions under the provisions of Income
described elsewhere in this Offer Document.                       Tax Act, Anti Money Laundering Act, Anti Corruption Act
SPECIAL CONSIDERATIONS                                            and or any other applicable laws enacted by the Government
                                                                  of India from time to time.
Anti Money Laundering:
                                                                  Any application may be accepted or rejected at the sole and
Kotak Mahindra Mutual Fund is committed to complying              absolute discretion of the Trustee.
with the provisions of Prevention of Money Laundering Act,
2002 and the rules made thereunder. Further, SEBI has also        DUE DILIGENCE CERTIFICATE
issued guidelines on Anti Money Laundering which are              It is confirmed that:
required to be followed by the intermediaries. Kotak
                                                                  1.   The draft Offer Document forwarded to SEBI is in
Mahindra Mutual Fund recognises the value and importance
                                                                       accordance with the Securities and Exchange Board of
of creating a business environment that strongly discourages
                                                                       India (Mutual Funds) Regulations, 1996 as amended
money launderers from using Kotak Mahindra Mutual Fund.
                                                                       up to date and the guidelines and directives issued by
To that end, certain policies have been adopted by KMAMCL.
                                                                       SEBI from time to time;
Know Your Customer (KYC): The need to “Know Your
                                                                  2.   All legal requirements connected with the launching of
Customer” is vital for the prevention of money laundering.
                                                                       the Scheme as also the guidelines, instructions, etc.,
KMAMCL may seek information or obtain and retain
                                                                       issued by the Government and any other competent
documentation used to establish identity of the subscribers
                                                                       authority in this behalf, have been duly complied with;
to Kotak Mahindra Mutual Funds or existing unitholders. It
may re-verify identity and obtain any missing or additional       3.   The disclosures made in the Offer Document are true,
information for this purpose.                                          fair and adequate to enable the investors to make a
                                                                       well informed decision regarding investment in the
KMAMCL, under powers delegated by the Trustee, shall have
                                                                       Scheme;
absolute discretion to reject any application, or prevent
further transactions by a Unit Holder, if after due diligence,    4.   According to the information given to us, Computer
the investor / Unit Holder / a person making the payment on            Age Management Services (Pvt.) Limited, the Registrar
behalf of the investor does not fulfill the requirements of            and Transfer Agent, is registered with SEBI and till date
the “Know Your Customer” or KMAMCL believes that the                   such registration is valid; and
transaction is suspicious in nature as regards money              5.   According to the information given to us, Deutsche Bank
laundering. In this behalf KMAMCL reserves the right to                AG, and Standard Chartered Bank, the Custodians, are
reject any application and/or effect a mandatory Redemption            registered with SEBI and till date such registration is valid.
of Units allotted at any time prior to the expiry of 30 Working
Days from the date of the application. If the payment for                      For Kotak Mahindra Asset Management
Purchase of Units are made by a third party (e.g. a Power of                                       Company Limited
Attorney Holder, a Financing agency, a relative, etc.), the                                   Asset Management Company for
Unit Holder may be required to give such details of such                                         Kotak Mahindra Mutual Fund
transaction so as to satisfy the AMC of the source and / or
consideration underlying the transaction.                         Place : Mumbai                             V. R. Narasimhan
                                                                  Date : July 8, 2008                   Chief Compliance Officer

                                                                                                                                   5
                    II.    DEFINITIONS                        AND             ABBREVIATIONS


In this Offer Document, the following words and expressions shall have the meaning specified below, unless the context
otherwise requires:


    Applicable NAV                     Unless stated otherwise in the Offer Document, ‘Applicable NAV’ is the Net Asset Value at the close
                                       of a Business Day as of which the purchase or redemption is sought by an investor and determined
                                       by the Fund.

    Asset Management Company or        Kotak Mahindra Asset Management Company Limited, the Asset Management Company
    AMC or Investment Manager          incorporated under the Companies Act, 1956, and authorised by SEBI to act as Investment
                                       Manager to the Schemes of Kotak Mahindra Mutual Fund.

    Collection Bank                    Branches of Bank authorised to receive Applications for the New Fund Offer, as mentioned elsewhere
                                       in this Offer Document or as appointed/changed from time to time.

    Custodian(s)                       Deutsche Bank AG and Standard Chartered Bank, acting as Custodians to the Scheme, or any
                                       other Custodian appointed by the Trustee.

    Entry Load                         The charge that is paid by an Investor when he invests an amount in the Scheme.

    Exit Load                          The charge that is paid by a Unitholder when he redeems Units from the Scheme.

    FII                                Foreign Institutional Investors, registered with SEBI under Securities and Exchange Board of India
                                       (Foreign Institutional Investors) Regulations, 1995.

    Gilts / Government Securities /    Securities created and issued by the Central Government and / or State Government.
    G.Secs

    IMA                                Investment Management Agreement dated 20th May 1996, entered into between the Fund
                                       (acting through the Trustee) and the AMC and as amended up to date, or as may be amended
                                       from time to time.

    Investor Service Centres or ISCs   Designated branches of the AMC / other offices as may be designated by the AMC from time to
                                       time.

    KOTAK FMP 3M SERIES 33             Close-Ended Debt Scheme

    Kotak Bank / Sponsor               Kotak Mahindra Bank Limited.

    KMMF / Fund / Mutual Fund          Kotak Mahindra Mutual Fund, a trust set up under the provisions of The Indian Trusts Act, 1882.

    KMTCL / Trustee                    Kotak Mahindra Trustee Company Limited, a company set up under the Companies Act, 1956, and
                                       approved by SEBI to act as the Trustee for the Schemes of Kotak Mahindra Mutual Fund.

    Maturity Date                      The date on which all the units under the Scheme would be redeemed compulsorily and without
                                       any further act by the Unitholders at the Applicable NAV of that day. If this day is not a Business Day
                                       then the immediate following Business Day will be considered as the Maturity Date.

    Money Market Instruments           Includes commercial papers, commercial bills, treasury bills, Government securities having an unexpired
                                       maturity upto one year, call or notice money, certificate of deposit, usance bills, and any other like
                                       instruments as specified by the Reserve Bank of India from time to time.

    MIBOR                              The Mumbai Interbank Offered Rate published once every day by the National Stock Exchange and
                                       published twice every day by Reuters, as specifically applied to each contract.

    Mutual Fund Regulations /          Securities and Exchange Board of India (Mutual Funds) Regulations, 1996, as amended up to date,
    Regulations                        and such other regulations as may be in force from time to time.

    NAV                                Net Asset Value of the Units of the Scheme (including the options thereunder) as calculated in the
                                       manner provided in this Offer Document or as may be prescribed by Regulations from time to time.
                                       The NAV will be computed up to four decimal places.

    NRI                                Non-Resident Indian and Person of Indian Origin as defined in Foreign Exchange Management Act, 1999.

    Offer Document                     This document issued by Kotak Mahindra Mutual Fund, offering for subscription of Units of the
                                       Scheme.

    Purchase Price                     Purchase Price, to an investor, of Units under the Scheme (including Options thereunder) computed


6
                              in the manner indicated elsewhere in this Offer Document.

Redemption Price              Redemption Price to an investor of Units under the Scheme (including Options thereunder) computed
                              in the manner indicated elsewhere in this Offer Document.

Registrar                     Computer Age Management Services Private Limited (‘CAMS’), acting as Registrar to the Scheme,
                              or any other Registrar appointed by the AMC.

Repo                          Sale of securities with simultaneous agreement to repurchase them at a later date.

Reserve Bank of India / RBI   Reserve Bank of India, established under the Reserve Bank of India Act, 1934.

Reverse Repo                  Purchase of securities with a simultaneous agreement to sell them at a later date.

Scheme                        KOTAK FMP 3M SERIES 33. All references to the Scheme would deem to include the Options
                              thereunder unless specifically mentioned.

SEBI                          The Securities and Exchange Board of India.

Transaction Points            Centres designated by the Registrar, to accept investor transactions and scan them for handling by
                              the nearest ISC.

Trust Deed                    The Trust Deed entered into on 20th May 1996 between the Sponsor and the Trustee, as amended
                              up to date, or as may be amended from time to time.

Trust Fund                    The corpus of the Trust, Unit capital and all property belonging to and/or vested in the Trustee.


Unit                          The interest of the investors in the Scheme, which consists of each Unit representing one undivided
                              share in the assets of the Scheme.

Unitholder                    A person who holds Unit(s) of the Scheme

Valuation Day                 For the Scheme(s), each Business Day and any other day when the Debt and/or money markets are
                              open in Mumbai.

Business Day                  A day other than:
                              (i) Saturday and Sunday
                              (ii) A day on which the banks in Mumbai and RBI are closed for business/clearing
                              (iii) A day on which Purchase and Redemption is suspended by the AMC
                              (iv) A day on which the money markets are closed/not accessible.
                              Additionally, the days when the banks in any location where the AMC’s Investor service center are
                              located, are closed due to local holiday, such days will be treated as non business days at such
                              centers for the purpose of accepting subscriptions. However if the Investor service center in such
                              location is open on such local holidays, only redemption and switch request will be accepted at
                              those centers provided it is a business day for the scheme.
Words and Expressions         Same meaning as in Trust Deed.
used in this Offer Document
and not defined




                                                                                                                                  7
                    III.         CONSTITUTION                                  OF              THE   FUND
A . THE FUND                                                          owned from India to be registered with the Financial Services
Kotak Mahindra Mutual Fund (KMMF) has been established as             Authority in UK. Kotak Mahindra Old Mutual Life Insurance
a Trust under the Indian Trusts Act, 1882. The Trust Deed             Limited is a joint venture between Kotak Bank and Old
establishing KMMF and the Deed of Amendment has been                  Mutual Plc based in the UK and with large presence in the
registered under the Registration Act, 1908 by the office of the      South African insurance market. Some of the other
Sub-Registrar of Assurances at Mumbai. KMMF has been                  subsidiaries of Kotak Bank are Kotak Investment Advisors
registered with SEBI vide registration number MF/038/98/1             Ltd formerly known as (Kotak Mahindra Securities Limited),
dated 23rd June 1998.                                                 Kotak Mahindra Prime Limited, Kotak Mahindra
                                                                      (International) Limited, Kotak Mahindra Trusteeship Services
B . SPONSOR COMPANY                                                   Limited (formerly known as Kotak Mahindra Private-Equity
Kotak Mahindra Bank Limited                                           Trustee Limited), Kotak Mahindra Investments Limited, Kotak
                                                                      Mahindra Inc., and Kotak Forex Brokerage Limited.
The erstwhile Sponsor Company, Kotak Mahindra Finance Limited
(KMFL) was converted into Kotak Mahindra Bank Limited (Kotak          The Sponsor has been consistently profitable and dividend
Bank) in March 2003 after being granted a banking license by the      paying company since inception. All group companies are
Reserve Bank of India. Thus, the Sponsor of the Fund is Kotak         professionally run companies, employing over 20000
Bank. KMFL promoted by Mr. Uday S. Kotak, Mr. S.A.A. Pinto and        employees, including CAs, MBAs and Engineers.
Kotak & Co., was incorporated on November 21, 1985 under the          The Sponsor has contributed Rupees One Lakh as the initial
name Kotak Capital Management Finance Limited. In early 1986,         contribution to the corpus for the setting up of the Trust.
the promoters were joined by Late Mr. Harish Mahindra and Mr.         The Sponsor has also contributed Rupees One Lakh Fifty
Anand G. Mahindra and the Company’s name was changed to               Thousand as additional corpus. The Sponsor has vested the
Kotak Mahindra Finance Limited.                                       trustee functions in the Trustee. The Sponsor is represented
Mr. Uday Kotak, a scion of the Kotak family, was an                   by directors on the boards of the Trustee and the AMC in
outstanding student through school, Sydenham College                  accordance with the Regulations.
(Bombay University) and Jamanalal Bajaj Institute of                  Given below is a summary of the Sponsor’s financials:
Management Studies (Bombay University). Mr. S. A. A. Pinto,                                                         (Rs. in crore)
trained as a lawyer, has held senior positions in well-known
organisations like ICI and Grindlays Bank. For instance, he             Description                         Year Ended March 31
was part of the team in Grindlays Bank, which started the                                                 2008       2007       2006
first merchant banking unit in India in 1968. Mr. Harish                Total Income                  2,998.83     1,637.76    936.95
Mahindra an industrialist of repute played a prominent role
                                                                        Profit Before Tax               397.78       203.25    173.60
in social service and public life, thereby earning him high
esteem. Mr. Anand Mahindra, an MBA from Harvard                         Profit After Tax                293.93       141.37    118.23
University, is the Managing Director of one of India’s most             Reserves                      3,190.82      1307.34    543.45
reputed industrial firms, Mahindra & Mahindra Limited.                  Net Worth (capital plus       3,535.49      1633.50    852.75
KMFL started with a capital base of Rs. 30.88 lakh. From                reserves & surplus)
being a provider of a single financial product, KMFL grew               Earnings per Share (Rs.)            8.78      4.36       3.83
substantially during the seventeen years of its existence into
                                                                        Book Value per Share (Rs.)        102.58     50.08      27.57
a highly diversified financial services company and has now
converted into a Bank. As on March 31, 2008, the net worth              Dividend %                         7.5%       7%         6%
(capital plus reserves & surplus) of Kotak Bank is Rs. 3,535.49         Paid-up Equity Capital            344.67    326.16     309.29
crore and combined with its subsidiaries, the Group net
worth (before minority interest) is Rs. 5824 crore. There are         Note: Prior period EPS and Book Value are not adjusted for
over 92,200 shareholders of Kotak Bank. The Sponsor and               bonus issue.
its subsidiaries/associates offer wide ranging financial              The Sponsor is neither responsible nor liable for any loss
services such as loans, lease and hire purchase, consumer             resulting from the operations of the Scheme.
finance, home loans, commercial vehicles and car finance,
investment banking, stock broking, mutual funds, primary              C . TRUSTEE COMPANY (THE TRUSTEE)
market distribution of equity and debt products and life              Kotak Mahindra Trustee Company Limited (The Trustee), a
insurance. The group has offices (including representative            company incorporated under the Companies Act, 1956, is
offices and franchise offices) in 370 Indian cities and also          the Trustee of the Fund, by virtue of the Trust Deed made
present internationally in Mauritius, San Francisco , London,         between the Sponsor and the Trustee.
Dubai, New York and Singapore. Kotak Mahindra (UK)                    1 . Directors
Limited, a subsidiary of Kotak Bank, is the first company
                                                                      The Directors of the Trustee are:

    Names and Addresses                            Other Directorships
    Mr. Amit Krishnakant Desai                     Minesota Finance Private Limited
    Advocate
    7, Shivtirth - 1,
    Bhulabhai Desai Road,
    Mumbai - 400 026
    Chairman
    Mr. Girish Sharedalal                          The Ruby Mills Limited
    Chartered Accountant                           FDC Limited
8
  Names and Addresses                            Other Directorships

  111, Landmark,                                 Stovec Industries Limited
  M. L. Dahanukar Marg,                          Stellar Asset Management Private Limited
  Mumbai - 400 026                               Maulik & Kaji Financial Services Private Limited
                                                 Ratan Trading Private Limited
                                                 Trumac Engineering Company Pvt. Ltd.
  Mr. Tushar A. Mavani                           Shanti Vijay Jewels Ltd.
  Advocate
  Aryan Mahal, 6th Floor,
  “C” Road, Churchgate,
  Mumbai - 400 020
  Mr. Anirudha Barwe                             Jain Irrigation Systems Limited
  Director                                       Sigma Laboratories Limited
  B-1, Bageshree,                                IFCI Financial Services Limited
  Shankar Ghanekar Marg,                         ILFS Investsmart India Limited
  Prabhadevi, Mumbai - 400 025                   Zenith Birla (India) Ltd.
                                                 MSPL Ltd.
  Mr. Chandrashekhar Sathe                       Kotak Investment Advisors Limited
  Service                                        Kotak Forex Brokerage Limited
  C-10, Shri Dattaguru Co-op.Hsg Society,        Kotak Mahindra Trusteeship Services Ltd.
  Deonar, Mumbai - 400 089                       Kotak Mahindra Prime Limited
                                                 Infinitum Productions Pvt Ltd.

Mr. Amit Desai, 48, is a graduate in Commerce and Law                 for the period, 1st April, 1998 to 30th November, 2001 and
from the Bombay University. He is an advocate and has about           currently heads the Risk Management function at Kotak
21 years of experience in criminal, economic and revenue laws.        Mahindra Bank Limited.
Mr. Desai is associated with the Sponsor.                             Mr. Sathe is associated with the Sponsor.
Mr. Girish Sharedalal, 75, is a graduate in Commerce                  2 . Rights, Obligations, Responsibilities and
and Arts and also a Fellow of the Institute of Chartered                   Duties of the Trustee
Accountants of India. Formerly a Senior Partner of Messrs
                                                                      Pursuant to the Trust Deed constituting the Fund and in
Dalal, Desai and Kumana, a firm of Chartered Accountants,
                                                                      terms of the Regulations, the rights and obligations of the
he has about 49 years of experience in the field of audit,
                                                                      Trustee are as under:
taxation and management consultancy.
                                                                      1.    The Trustee has the legal ownership of the Trust Fund. The
Mr. Tushar Mavani, 42, is a graduate in Commerce and
                                                                            general superintendence and management of the Trust
Law from the Bombay University. He is a partner with Messrs
                                                                            and all powers incidental to the purpose of the trust vest
Mulla& Mulla & Craigie Blunt & Caroe and has about 15
                                                                            absolutely in the Trustee subject to the Trust Deed.
years of experience in the legal field.
                                                                      2.    The Trustee shall take into its custody or under its control
Mr. Anirudha Barwe, 69, is a post-graduate in                               all the capital and property of every Scheme of the Mutual
Mathematics and also a Certified Associate of Indian Institute              Fund and hold it in trust for the Unitholders of the Scheme.
of Bankers, Mumbai. Mr. Barwe has about 44 years of
experience in the field of banking and financial services. Mr.        3.    The Trustee is entitled to delegate any power and/or
Barwe was actively associated with and responsible to a great               responsibility vested in it to the AMC, which is accountable
extent for the success of the Resurgent India Bond issue of                 to the Trustee and bound to carry out the functions assigned
SBI. Mr. Barwe retired as the Managing Director of SBI Capital              to it from time to time. Notwithstanding any such delegation,
Markets Limited in October 1998. After retirement, Mr. Barwe                the Trustee Company is at all times responsible for the acts of
worked with IDFC as Chief Financial Officer for 3 years. He is              negligence or acts of omission and commission of the AMC.
on the Board of Directors of 6-7 companies and also as                4.    The Trustee shall ensure that the AMC and the Custodian
chairman of Audit/Remuneration Committees. He is also                       duly fulfill the functions respectively assigned to them
associated with Committees of NSE and BSE.                                  under the Mutual Fund Regulations.
Mr. Chandrashekhar Sathe, 57, is a graduate with B. Tech.             5.    The Trustee shall ensure before the launch of any Scheme
(Chemical Engineering) from IIT, Mumbai. He has over 31 years’              that the Asset Management Company has:-
experience in Banking and Finance. He has been a part of the                a) systems in place for its back office, dealing room
Senior Management team of the Kotak Mahindra Group since                         and accounting;
1992 and was responsible for setting up the Fixed Income                    b) appointed all key personnel including fund manager(s)
Securities capability of Kotak Mahindra Capital Company. Prior                   for the Scheme and submitted to the Trustee their
to Kotak Mahindra, he was with the Bank of Nova Scotia and                       resume containing particulars of their educational
Bank of Maharashtra and has wide ranging experience in                           qualifications and past experience in the securities
Banking, Finance, Administration, Credit, Foreign Exchange                       market within fifteen days of their appointment;
and Money Markets. Mr. Sathe is a widely consulted expert on
Foreign Exchange and Money Markets in India and is a frequent               c) appointed auditors to audit the accounts of the
contributor to financial newspapers, magazines and TV News                       Scheme;
channels. Mr. Sathe was the Chief Executive Officer of the AMC              d) appointed a compliance officer who shall be

                                                                                                                                         9
         responsible for monitoring the compliance of the                   prevailing Net Asset Value without any Exit Load.
         SEBI Act, rules and regulations, notifications,            14. Subject to the provisions of the Mutual Fund Regulations
         guidelines, instructions, etc. issued by SEBI or the           as amended from time to time, the consent of the
         Central Government and for redressal of investors’             Unitholders shall be obtained, entirely at the option of
         grievances;                                                    the Trustee, either at a meeting of the Unitholders or
     e) appointed registrars and laid down parameters for               through postal ballot. Only one Unitholder in respect of
         their supervision;                                             each folio or account representing a holding shall vote
     f) prepared a compliance manual and designed                       and he shall have one vote in respect of each resolution
         internal control mechanisms including internal audit           to be passed. The procedure of voting shall be as per the
         systems; and                                                   directives issued by SEBI, from time to time.
     g) specified norms for empanelment of brokers and              15. The Trust Fund shall be held in trust and managed by
         marketing agents.                                              the Trustee in accordance with the Trust Deed.
6.   In carrying out responsibilities, the Trustee shall maintain
     arms’ length relationship with other companies, or             16. The Trustee shall be accountable for, and be the
     institutions or financial intermediaries or any body               custodian of, the funds and property of the Scheme
     corporate with which it may be associated.                         and shall hold the same in trust for the benefit of the
                                                                        Unitholders in accordance with the Mutual Fund
7.   The Trustee shall not be liable to the Mutual Fund or              Regulations and the provisions of the Trust Deed.
     the Unitholders if the Mutual Fund suffers a decline in
     its net asset value or if any share or other security          17. The Trust Deed shall not be amended without obtaining
     comprised in the Trust Fund depreciates in its market              the prior approval of SEBI, and approval of the Unitholders
     value or fails to achieve any increase therein, unless             shall be obtained where it affects their interests.
     such decline, depreciation or failure is caused by the         18. The appointment of the AMC can be terminated by a
     willful default or gross negligence of the Trustee.                majority of the Board of Directors of the Trustee or by
8.   The Trustee shall not be under any liability on account of         75% of the Unitholders of the Scheme.
     anything done or omitted to be done or suffered to be          Modifications, if any, in the rights and/or obligations and
     done by the Trustee in good faith, bona fide and after due     duties of the Trustee are on account of amendments to the
     diligence and care, in accordance with or on the advice of     Regulations and the Regulations supercede/override the
     the AMC or any other professional person, firm or company.     provisions of the Trust Deed, wherever the two are in conflict.
9.   For avoidance of doubt, it is hereby agreed and declared       The Compliance Officer reports directly to a director of the
     that references to the Trustee in this clause shall be         Trustee to carry out the supervisory role on behalf of the
     deemed to include references to the officers, servants         Trustee. In addition, the Trustee may seek any information
     and delegates of the Trustee.                                  from time to time from the AMC. A reputed firm of Chartered
10. The Trustee shall ensure that the AMC has been                  Accountants has been appointed to carry out internal audit
    managing the Scheme independently of other activities           of the Fund on a periodic basis to facilitate monitoring the
    and has taken adequate steps to ensure that the interest        activities of the AMC. On a quarterly basis, an activity report
    of the investors of no Scheme is being compromised              prepared by the AMC is discussed at the Board Meetings of
    with that of the investors of other Scheme or of other          the Trustee. During the year 2007-2008 six meetings of the
    activities of the AMC.                                          Board of Directors of the Trustee were held. During the period
                                                                    April 2008 till date two meetings of the Board of Directors of
11. The Trustee shall ensure that the Trust Fund shall be           the Trustee were held. The Audit Committee, comprising four
    applied and be available absolutely for the purposes of         Directors of the Board of Directors of the Trustee, has been
    the Trust and shall not be applied directly or indirectly       constituted pursuant to the SEBI circular MFD/CIR/010/024/
    for any purpose other than the purposes referred to             2000 dated 17.01.2000 chaired by an Independent Director.
    under the Trust Deed.                                           The Audit Committee has had seven meetings during the
12. The Trustee shall call for a meeting of the Unitholders :       year 2007-2008. During the period April 2008 till date two
                                                                    meetings of the Audit Committee of the Trustee was held.
     a) whenever required to do so by SEBI in the interest
        of the Unitholders; or                                      C . Trustee’s Fee
     b) whenever required to do so on the requisition made          The Trustee shall, during the continuance of this Trust and
        by three-fourths of the Unitholders of any Scheme; or       until KMMF is finally wound up and whether or not KMMF
                                                                    is in the course of administration by or under the order or
     c) when the majority of the Directors of the Trustee           discretion of any court, be entitled to receive, in addition to
        Company decide to wind up or prematurely redeem             the reimbursement of all costs, charges and expenses, a
        the Units.                                                  sum at the rate of 0.050% per annum of the Trust Fund as
13. The Trustee shall ensure that no change in the                  defined under the Trust Deed, or a sum of Rs.15,00,000/-,
    fundamental attributes of any scheme or the trust or            whichever is higher, payable monthly.
    fees and expenses payable or any other change which
                                                                    D . ASSET MANAGEMENT COMPANY
    would modify the scheme and affect the interest of
    Unitholders, is carried out unless,                             Kotak Mahindra Asset Management Company Limited, a
                                                                    company incorporated under the Companies Act, 1956, on
     a) a written communication about the proposed change           August 08,1994, has been appointed to act as the Investment
        is sent to each Unitholder and an advertisement is          Manager to Kotak Mahindra Mutual Fund vide Investment
        given in one English daily newspaper having                 Management Agreement dated 20th May, 1996, as
        nationwide circulation as well as in a newspaper            amended up to date. It is a wholly owned subsidiary of the
        published in the language of the region where the           Sponsor, Kotak Bank.
        Head Office of the Mutual Fund is situated; and
                                                                    The Investment Manager is entitled to charge a management
     b) the Unitholders are given an option to exit at the          fee as prescribed by the Regulations for the services rendered
10
by it to the Fund.                                                     between the Mutual Fund and the PMS activity.
An approval by the Division of Funds, Investment                       1 . Name and Address
Management Department under the SEBI (Portfolio                        Kotak Mahindra Asset Management Company Limited
Manager) Regulations, 1993 and Mutual Funds Division of                5A, 5th Floor, Bakhtawar, 229,
SEBI under the SEBI (‘Mutual Funds’) Regulations, 1996,                Nariman Point, Mumbai 400 021.
has been granted to the Company for undertaking Portfolio
Management Service (PMS). There is no conflict of interest             2 . Directors on the Board of the AMC

 Names and Addresses                         Other Directorships

 Mr. Uday S. Kotak                           Kotak Mahindra Bank Limited - Executive Vice Chairman & Managing Director
 62, NCPA Apartments,                        Kotak Mahindra Capital Company Limited - Chairman
 Dorabjee Tata Marg,                         Kotak Mahindra Prime Limited - Chairman
 Nariman Point, Mumbai - 400 021.            Kotak Securities Limited - Chairman
 Chairman                                    Kotak Mahindra Old Mutual Life Insurance Company Limited – Chairman
                                             Kotak Forex Brokerage Limited
                                             The Mahindra United World College of India (Section 25 - Company)
                                             Indian Institute of Banking and Finance (Section 25 - Company)
                                             Indian Council For Research on International Economic Relations (Section 25 - Company)
                                             Indian School of Business (Member of Executive Board)
 Mr. R. C. Khanna                            Cooperheat India Private Limited
 304, Bakhtavar,                             Monsanto India Limited
 Opp. Colaba Post Office,                    Schrader Duncan Limited
 Mumbai – 400 005.
 Mr. Sukant Sadashiv Kelkar                  Macrofill Investments Limited
 No. 1, Sindhula,                            P. T. Five Star Textile Industries Limited, Indonesia
 N. Gamadia Road,                            Naperol Investments Limited
 Mumbai – 400 026.                           Harvard Plantations Limited
                                             Britannia Industries Limited
                                             The Bombay Dyeing & Mfg. Co. Limited
                                             Wadia BSN Limited
                                             Placid Plantations Limited
                                             Nowrosjee Wadia & Sons Limited
                                             TVS Infrastructure Pvt Ltd
 Mr. Chengalath Jayaram                      Kotak Mahindra Bank Limited
 ‘Satguru Simran’,7th Floor, 3rd Road,       Kotak Securities Limited
 Almeida Park, Bandra (West),                Kotak Mahindra Prime Limited
 Mumbai - 400 050.                           Kotak Mahindra Investments Limited
                                             Kotak Mahindra (UK) Ltd
                                             Kotak Mahindra Inc.
                                             Financial Planning Standards
                                             Kotak Investment Advisors Ltd
 Mr. Bipin R. Shah                           Global Pharmatech Pvt. Limited
 8 D, Ilpala, 220 Little Gibbs Road,         ITTI Pvt. Limited
 Malabar Hill,                               Marico Industries Limited
 Mumbai - 400 006.                           Dolphin Offshore Enterprises (India) Limited
                                             Jyothy Laboratories Limited
                                             Procyon Offshore Services Ltd
 Mr. Narayan S. A.                           Kotak Securities Limited
 1 Smruti, Pestom Sagar,                     Kotak Commodity Services Limited
 Plot No. 27, Road No. 4,                    Kotak Mahindra Asset Reconstruction Company Limited
 Chembur, Mumbai - 400 089.

Mr. Uday S. Kotak, 48, a graduate in Commerce, holds a                 Accountants of England & Wales, a Fellow of the Institute of
post-graduate degree in Business Administration from the               Chartered Accountants of India, an Associate of the Chartered
Jamnalal Bajaj Institute of Management Studies, Bombay                 Institute of Management Accountants, London and an
University. Mr. Kotak is the Vice Chairman and Managing                Associate of the Institute of Cost and Works Accountants of
Director of the Sponsor, Kotak Mahindra Bank Ltd., and the             India. Till 31st March, 1998, Mr. Khanna was a partner in A.F.
chairman of various other companies, and has over 21 years             Ferguson & Co., a firm of Chartered Accountants. Mr. Khanna
of experience in the Financial Services industry.                      has over 55 years of experience in Audit, Taxation, Finance
Mr. Romesh C. Khanna, 81, is a graduate in Commerce                    and other related areas.
from London University, a Fellow of the Institute of Chartered         Mr. Sukant S. Kelkar, 68, is a postgraduate in commerce.

                                                                                                                                      11
He has about 42 years of experience in finance, capital markets,    June 2003, a post he currently holds.
and related areas. Mr. Kelkar has over 12 years experience in       Mr. Uday Kotak, Mr. C. Jayaram and Mr. Narayan S.A. are
the Bank of India, and has even been a foreign exchange             associated with the Sponsor.
dealer in London for 3 years during this tenure. Following
this, Mr. Kelkar worked with Bombay Dyeing Manufacturing            3 . Powers, Functions and Responsibilities of
Company Limited for 31 years, finally retiring as Executive              the AMC
Director in July 2001. He is on the Board of major Wadia            Under the IMA, the AMC has been appointed as the Asset
Group Companies as a Non- Executive Director.                       Management Company, to provide management and
Mr. Chengalath Jayaram, 51, is the Executive Director of            administrative services to the Trust and to deploy the funds
Kotak Mahindra Bank Ltd. and a member of the Management             raised by KMMF under the Scheme. The Trustee has authorised
Committee of the Kotak Mahindra Group. He currently heads           the AMC to do all such acts and things on behalf of the Trust
the wealth management business for the group including its          as are necessary for the discharge of the responsibilities of
international operations.                                           the AMC. The duties and responsibilities of the AMC are as
                                                                    follows:
Mr. Jayaram joined Kotak in 1990 and since then has been
keenly involved in creating innovative business directions for      1.   The Trustee has granted the AMC certain powers and
the group where he used his in-depth understanding of the                authorities as stipulated under the Trust Deed and may
finance sector and his educational background in                         grant such other powers as may be deemed fit from time
management effectively. He played a crucial role in the setting          to time, and communicate the same in writing to the AMC.
up of the car finance business and was the Managing Director        2.   The following are, inter alia, the specific powers:
of Kotak Securities for a span of four years.
                                                                    a)   to invest, acquire, hold, manage or dispose of all or any
Prior to joining Kotak, Mr. Jayaram had worked with ICICI                securities and to deal with, engage in and carry out all
and the consultancy division of A.F.Ferguson.                            other functions and to transact all business pertaining
Mr. Jayaram is a postgraduate in the business management                 to KMMF;
from Indian Institute of Management, Calcutta (IIMC).               b)   to keep the moneys belonging to KMMF with banks
Currently Mr. Jayaram is also the Vice Chairman of the Financial         and custodians, as the AMC may deem fit;
Planning & Standard Board of India.                                 c)   to determine the terms and conditions applicable to
Mr. Bipin R. Shah, 75, a member of the Institute of                      the Scheme and to decide the category of persons who
Chartered Accountants of India, holds a Bachelor’s Degree in             may participate in any Scheme and to formulate,
Commerce from Bombay University, and has 48 years of work                introduce, make, announce or launch one or more
experience. Mr. Shah began his career in 1956, with Hindustan            Schemes;
Lever Limited, where he held various Senior Commercial              d)   to issue, sell or purchase Units under any Scheme of
Assignments, including the post of Commercial Manager at                 KMMF;
its largest soaps, detergents and foods factory in Bombay,
Chief Buyer, Raw Materials and Head of Foods Business. He           e)   to ascertain, appropriate and distribute the surplus
became a Director of the company in 1979, assuming                       generally or under various Schemes or under any
responsibility for Foods, Animal Feeds, Agri Products and                Scheme, to carry forward, reinvest or otherwise deal
Exports Business, and managed a commendable turnaround                   with any surplus and to transfer such sums as the AMC
of the company’s dairy business.                                         may deem fit to one or more reserve funds which may
                                                                         be established at the discretion of the Trustee;
In 1981, Mr. Shah also became Chairman of another Unilever
subsidiary, Lipton India Limited, which was facing losses and       f)   to sign, seal, execute, deliver and register according to
financial crisis. Mr. Shah was responsible for turning the               law, all deeds, documents, and assurances in respect of
company around, and for reviving employee and investor                   or in any manner relating to KMMF;
confidence. Mr. Shah was also Chairman of Export Business           g)   to do all acts, deeds, matters and things, which are
of four Unilever Companies in India viz. Hindustan Lever Ltd.,           necessary for any object, purpose or in relation to KMMF
Lipton India Ltd., Brooke Bond India Ltd. and Ponds India Ltd.           in any manner or in relation to any Scheme of KMMF.
On his retirement from the Lever Group of Companies in1992,         3.   The AMC shall be responsible for making, floating and
Mr. Shah joined Indus Venture Management Ltd., where he                  issuing Schemes for KMMF subject to prior approval of
was the Vice Chairman until May 2006. Mr. Shah is also a non             the Trustee and to the extent required in the Mutual
Executive Director on the Board of several companies.                    Fund Regulations.
Mr. Narayan S. A., 46, is a member of the Institute of              4.   The AMC shall be responsible for investing and
Chartered Accountants of India, holds a Bachelor’s Degree in             managing the funds mobilised under various Schemes
Commerce from Bombay University, and has spent 13 years                  in accordance with the provisions of the Trust Deed and
in the Kotak Group, handling various responsibilities and                Mutual Fund Regulations.
Portfolios. He began his career as a consultant, handling several
                                                                    5.   The AMC shall make such disclosures or submit such
statutory and internal audit assignments, besides Company
                                                                         documents as may be required by the Trustee and /or
law and taxation matters. Mr. Narayan joined the Kotak Group
                                                                         SEBI and / or RBI.
in 1991, as an Assistant Vice President in the Operations
Department, where he was responsible for accounts, audit            6.   The AMC shall provide management and administrative
and systems. In 1993, he became Vice President, handling                 services for KMMF in accordance with the provisions of
the Southern Region and Investment Portfolio of the Group,               IMA and any resolution passed by the Board of Directors
before going on to become Chief Operating Officer for Kotak              of the Trustee from time to time and communicated in
Securities Limited in 1996. Mr. Narayan rose to become                   writing to the AMC.
Executive Director of Kotak Securities Limited in May 1997,         7.   The AMC shall be responsible for the day-to-day
and then took over as Managing Director of the company in                management of KMMF.

12
8.   The AMC shall provide the Trustee with all information                         13. The AMC hereby undertakes to hold harmless and
     concerning the operation of the various Schemes of                                 indemnify the Trustee or procure the Trustee to be held
     KMMF at such intervals and in such manner as required                              harmless and indemnified against all actions,
     by the Trustee.                                                                    proceedings, claims, and demands, cost and expenses
9.   The AMC shall maintain books and records of the                                    incidental thereto, including all legal, professional and
     operation of various Schemes of KMMF to ensure                                     other expenses incurred, which may be brought against,
     compliance with the Mutual Fund Regulations and shall                              suffered or incurred by the Trustee by reason of the
     submit a Scheme-wise report on the functioning of the                              performance or non-performance by the AMC of its
     Fund to the Trustee on a quarterly basis or at such                                duties. Such indemnification shall be by the AMC and
     intervals and in such manner as may be required or                                 not out of the Trust Fund.
     called for by the Trustee or SEBI.                                             14. The AMC shall not be liable to the Trustee for any error
10. The AMC shall be responsible for its acts of negligence,                            of judgment or mistake of law or for any loss suffered
    commission and omission and those of its employees                                  unless such error of judgment or mistake constitutes or
    and/or the persons whose services have been engaged                                 such loss is caused by any acts of commission or omission
    by the AMC and the AMC shall indemnify the Trustee                                  or by fraud or willful default or negligence of the AMC
    and each and every one of the Directors of the Trustee                              or any of its agents or delegates. Without prejudice to
    Company against all damages, losses, costs and                                      the generality of the foregoing, in particular (but without
    consequences and any liabilities whatsoever that may                                limitation) the AMC shall not be liable to the Mutual
    arise on account of such acts of negligence and acts of                             Fund for any loss which may be sustained in the
    commission and omission by any of the above                                         purchase, holding or sale of any investments or other
    mentioned persons.                                                                  assets by the mutual fund or on any of its assets as a
                                                                                        result of loss, delay, misdelivery or error in transmission
11. No loss or damage or expenses incurred by the AMC or                                of cabled, telexed, telecopied, facsimiled, telegraphic
    officers of the AMC or any delegate of the AMC, shall                               or other communication unless such loss arose by any
    be met out of the Trust Fund.                                                       acts of commission or omission or from fraud, bad faith,
12. The AMC is not exempted from or indemnified against                                 willful default or negligence in the performance or non-
    any liability for (i) negligence, dishonesty or fraud or (ii)                       performance of its duties hereunder.
    failure to show the degree of care and diligence required                       15. The AMC shall not be liable to the Trustee in the event
    of it while carrying out its duties. Notwithstanding                                that the Mutual Fund suffers a decline in its net asset
    anything contained in any contract or agreement or any                              value or fails to achieve any increase therein unless such
    termination settlement, neither the AMC nor its                                     decline or failure is caused by any acts of commission or
    directors or other officers shall be absolved of liability                          omission or by the default or negligence of the AMC, a
    to the Mutual Fund for their acts of commission or                                  bona fide error of judgment not being regarded as
    omission while holding such position or office.                                     default or negligence nor as an act of commission or
                                                                                        omission.



4.   Condensed Financial Information (for the last three fiscal years)
                                           Kotak Gilt Savings Plan                       Kotak Gilt Investment                   Kotak Gilt Investment
                                                                                             Regular Plan                     Provident Fund & Trust Plan
                                        Apr 05        Apr 06           Apr 07       Apr 05        Apr 06      Apr 07         Apr 05        Apr 06       Apr 07
                                        Mar 06        Mar 07           Mar 08       Mar 06        Mar 07      Mar 08         Mar 06        Mar 07       Mar 08

 Date of Allotment                     29 Dec 98      29 Dec 98     29 Dec 98      29 Dec 98     29 Dec 98    29 Dec 98     11 Nov 03     11 Nov 03    11 Nov 03
 Beginning of Year / Allotment Date     1 Apr 05       1 Apr 06      1 Apr 07       1 Apr 05      1 Apr 06     1 Apr 07      1 Apr 05      1 Apr 06     1 Apr 07
 End of Year / Last Date               31Mar 06       31Mar 07      31 Mar 08      31Mar 06      31Mar 07     31Mar 08      31 Mar 06     31Mar 07     31Mar 08
 NAV at beginning of year /            16.39 (G)/     17.22 (G)/    18.18 (G)/     21.96 (G)     22.59 (G)    23.57 (G)/    22.07 (G)/    22.80 (G)/   23.88 (G)/
 Allotment Date (Rs.)                 10.97 (AD)/    11.52 (AD)/    12.16 (AD)/    10.56 (D)     10.87 (D)     11.34 (D)     10.75 (D)     10.73 (D)    10.78 (D)
                                      10.45 (MD)     10.46 (MD)     10.45 (MD)
 Net Income per unit (Rs)                    0.57           1.32           1.25         0.74          1.88         1.54           1.26         1.27         0.35
 Dividends (Rs. per unit) *$$                  Nil    0.51 (MD)              Nil          Nil           Nil          Nil            Nil          Nil          Nil
 Dividends (Rs. per unit) *††          0.44 (MD)      0.47 (MD)      0.64 (MD)            Nil           Nil          Nil            Nil        0.38           Nil
 Dividends (Rs. per unit) * ^^         0.41 (MD)              Nil    0.59 (MD)             Nil          Nil           Nil     0.30 (D)           Nil     0.64 (D)
 Transfer to reserves (Rs. crores)         (1.54)              @              @         3.92             @            @        (14.00)            @            @
 Nav as on : At the end of             17.22 (G)/     18.18 (G)/      19.47(G)/    22.59 (G)/    23.57 (G)/   25.37 (G)/    22.80 (G)/    23.88 (G)/   25.80 (G)/
 the year / period (Rs.)               11.52(AD)/    12.16(AD)/     13.02 (AD)/     10.87 (D)     11.34 (D)    12.20 (D)     10.73 (D)     10.78 (D)    10.85 (D)
                                      10.46 (MD)     10.45 (MD)     10.44 (MD)
 Annualised return **                        7.78           7.51           7.45        11.88         10.94        10.55          2.23          2.96         4.14
 Absolute return ***                            –              –              –            –             –            –             –             –            –
 Net Assets at end of the year /           25.95          13.33          13.63         85.01         22.35        19.12         11.85          6.65        11.13
 period (Rs. crores)
 Ratio of Recurring Expenses              1.00 %        1.00 %         1.00 %        1.65 %        1.65 %       1.65 %        1.25 %        1.25 %       1.25 %
 to Average Assets

                                                                                                                                                              13
                                           Kotak Bond Regular Plan                                 Kotak Bond                        Kotak Bond Short Term
                                       (Formerly Kotak Bond Wholesale Plan)                        Deposit Plan                               Plan
                                         Apr 05           Apr 06         Apr 07         Apr 05          Apr 06       Apr 07        Apr 05        Apr 06        Apr 07
                                         Mar 06           Mar 07         Mar 08         Mar 06          Mar 07       Mar 08        Mar 06        Mar 07        Mar 08

 Date of Allotment                    25 Nov 99        25 Nov 99      25 Nov 99      25 Nov 99       25 Nov 99 25 Nov 99         2 May 02     2 May 02       2 May 02
 Beginning of Year / Allotment Date     1 Apr 05         1 Apr 06       1 Apr 07      1 Apr 05        1 Apr 06    1 Apr 07        1 Apr 05   1 Apr 06       1 Apr 07
 End of Year / Last Date              31 Mar 06        31 Mar 07      31 Mar 08      31 Mar 06       31 Mar 07 31 Mar 08        31 Mar 06    31 Mar 07      31 Mar 08
 NAV at beginning of year /            11.70 (B)/       12.23 (B)/     13.05 (B)/    16.98 (G)/      17.63 (G)/ 18.61 (DG)/     11.93 (G)/   12.59 (G)/     13.47 (G)/
 Allotment Date(Rs.)                  10.30 (G)/       18.35 (G)/     19.58 (G)/      10.75 (D)       11.17 (D) 11.76 (DD)       10.06 (D)    10.08 (D)      10.06 (D)
                                      11.73(AD)/      12.26 (AD)/    13.08 (AD)/
                                      17.55(QD)       10.31 (QD)     10.33 (QD)
 Net Income per unit (Rs)                   1.27          (18.64)      -0.07               0.78          (0.31)       1.42           1.02           3.66          0.79
 Dividends (Rs. per unit) *$$                Nil       0.58 (QD)          Nil                Nil            Nil         Nil            Nil       0.62(D)           Nil
 Dividends (Rs. per unit) *††          0.39(QD)         0.54(QD)   0.69 (QD)                 Nil            Nil  0.21 (DD)        0.46 (D)      0.58 (D)       0.83(D)
 Dividends (Rs. per unit) * ^^         0.37(QD)               Nil  0.64 (QD)                Nil             Nil  0.20 (DD)        0.43 (D)            Nil     0.77 (D)
 Transfer to reserves (Rs. crores)        (9.23)               @           @             (1.90)              @           @           5.60              @             @
 Nav as on : At the end of            12.21 (B)/       13.05 (B)/  14.31 (B)/        17.67 (G)/       18.61(G) 20.10 (DG)/      12.59 (G)/    13.47 (G)/    14.80 (G)/
 the year / period (Rs.)               18.33 (G)       19.58 (G)/ 21.47 (G)/          11.17 (D)       11.76 (D) 12.46 (DD)       10.08 (D)     10.06 (D)     10.06 (D)
                                      12.25(AD)       13.08 (AD)/ 14.35 (AD)/
                                      10.30(QD)        10.33(QD) 10.52 (QD)
 Annualised return **                      10.01            8.80           9.58            9.38           9.57         8.71          6.05          6.25           6.85
 Absolute return ***                           –               –              –               –              –            –             –             –              –
 Net Assets at end of the year /           22.99           36.55         140.11           13.32          10.04        28.68        115.35         45.53           382
 period (Rs. crores)
 Ratio of Recurring Expenses to           1.65%           0.72%          1.00 %         2.24%           2.25%        2.25 %       0.90 %        0.67 %         0.60 %
 Average Assets


                                                    Kotak Liquid                                  Kotak Liquid                             Kotak Liquid
                                                                                               Institutional Plan                  Institutional Premium Plan

                                         Apr 05          Apr 06         Apr 07          Apr 05          Apr 06       Apr 07        Apr 05        Apr 06        Apr 07
                                         Mar 06          Mar 07         Mar 08          Mar 06          Mar 07       Mar 08        Mar 06        Mar 07        Mar 08
 Date of Allotment                     5 Oct 00        5 Oct 00       5 Oct 00       12 Mar 03       12 Mar 03    12 Mar 03      4 Nov 03     4 Nov 03       4 Nov 03
 Beginning of Year / Allotment Date    1 Apr 05        1 Apr 06       1 Apr 07        1 Apr 05        1 Apr 06     1 Apr 07      1 Apr 05     1 Apr 06       1 Apr 07
 End of Year / Last Date              31 Mar 06       31 Mar 07      31 Mar 08       31 Mar 06       31 Mar 07    31 Mar 08     31 Mar 06    31 Mar 07      31 Mar 08
 NAV at beginning of year /           13.22 (G)/      13.90 (G)/     14.80 (G)/      13.31 (G)/       14.06(G)/ 15.03 (G)/      13.34 (G)/    14.11 (G)/ 15.15 (G)/
 Allotment Date(Rs.)                   10.02 (D)       10.03 (D)      10.03 (D)     12.23 (DD)/      12.23(DD)/ 12.23 (DD)/    12.23 (DD)/   12.23 (DD)/ 12.23 (DD)/
                                                                                    10.02 (WD)      10.03 (WD) 10.03 (WD)      10.03 (WD)    10.04 (WD) 10.05 (WD)
 Net Income per unit (Rs)                  0.62            0.56           0.67             0.99            0.34        0.70           0.67        (0.72)        1.15
 Dividends (Rs. per unit) *$$                Nil        0.55 (D)       0.01 (D)              Nil     0.58(WD)/ 0.01 (WD)               Nil    0.72 (DD)/ 0.02 (WD)
                                                                                                      0.72 (DD)                               0.62 (WD)
 Dividends (Rs. per unit) *††           0.44 (D)        0.51 (D)       0.55 (D)       0.59 (DD)       0.67 (DD)   0.70 (DD)/     0.19 (DD)    0.71 (DD)     0.74 (DD)/
                                                                                     0.48 (WD)       0.54 (WD)    0.57 (WD)     0.11 (WD)     0.57(WD)      0.60 (WD)
 Dividends (Rs. per unit) * ^^          0.41 (D)             Nil       0.55 (D)      0.54 (DD)/             Nil   0.70 (DD)/    0.56 (DD)/           Nil    0.73 (DD)/
                                                                                     0.44 (WD)                    0.57 (WD)     0.45 (WD)                   0.60 (WD)
 Transfer to reserves (Rs. crores)        32.26                @              @            1.61              @            @        184.07             @             @
 Nav as on : At the end of            13.90 (G)/      14.80 (G)/     15.89 (G)/       14.06(G)/      15.03 (G)/ 16.18 (G)/      14.11 (G)/    15.15 (G)/ 16.36 (G)/
 the year / period (Rs.)               10.03 (D)       10.03 (D)      10.04 (D)     12.23 (DD)/     12.23 (DD)/ 12.23 (DD)/     12.23 (DD)    12.23 (DD) 12.23 (DD)/
                                                                                    10.03 (WD)      10.03 (WD) 10.04 (WD)      10.04 (WD)    10.05 (WD) 10.05 (WD)
 Annualised return **                      6.18            6.23           6.37            5.17            5.59         5.99          5.25          5.85          6.34
 Absolute return ***                          –               –              –               –               –            –             –             –             –
 Net Assets at end of the year /         454.38          328.07         223.31          201.86          332.98       322.97      2,605.70      1,995.40      1,889.14
 period (Rs. crores)
 Ratio of Recurring Expenses            1.00 %           1.00 %         1.00 %          0.55 %         0.67 %       0.72 %         0.37 %       0.26 %        0.36 %
 to Average Assets


14
                                                    Kotak Floater                                  Kotak MNC                                 Kotak Income Plus
                                                     Short Term
                                         Apr 05           Apr 06         Apr 07        Apr 05           Apr 06        Apr 07            Apr 05          Apr 06          Apr 07
                                         Mar 06           Mar 07         Mar 08        Mar 06           Mar 07        Mar 08            Mar 06          Mar 07          Mar 08
Date of Allotment                      14 Jul 03 14 Jul 03            14 Jul 03      4 Apr 00         4 Apr 00      4 Apr 00          2 Dec 03         2 Dec 03       2 Dec 03
Beginning of Year / Allotment Date      1 Apr 05    1 Apr 06           1 Apr 07      1 Apr 05         1 Apr 06      1 Apr 07          1 Apr 05         1 Apr 06        1 Apr 07
End of Year / Last Date               31 Mar 06 31 Mar 07             31 Mar 08     31 Mar 06        31 Mar 07     31 Mar 08        31 Mar 06        31 Mar 07       31 Mar 08
NAV at beginning of year /             10.88 (G)/ 11.50 (G)/          12.31 (G)/        15.99            27.76         25.15         10.87 (G)/       12.54 (G)/     12.98 (G)/
Allotment Date(Rs.)                  10.01 (WD)/ 10.01 (WD)/        10.02 (WD)/                                                    10.30 (MD)/      11.13 (MD)/     10.78 (MD)/
                                      10.03 (MD) 10.03 (MD)          10.05 (MD)                                                     10.30 (QD)       11.14 (QD)      10.75 (QD)
Net Income per unit (Rs)                    1.34             1.89           0.74        13.42            (3.61)         3.88               1.03             0.69      1.83
Dividends (Rs. per unit) *$$                  Nil             Nil             Nil          Nil              Nil          Nil                 Nil              Nil      Nil
Dividends (Rs. per unit) *††          0.48 (DD)/      0.60 (WD)/      0.25 (DD)/           Nil              Nil           Nil       0.62 (MD)         0.64(MD)/ 0.73 (MD)/
                                      0.48 (MD)        0.59 (WD)     0.28 (WD)/                                                      0.62 (QD)        0.67 (QD) 0.78 (QD)
                                                                      0.27 (MD)
Dividends (Rs. per unit) * ^^        0.45 (WD)/       0.56 (WD)/      0.25 (DD)/           Nil             Nil               Nil    0.57 (MD)         0.59(MD)/ 0.68 (MD)/
                                      0.45 (MD)        0.55 (MD)     0.28 (WD)/                                                     0.58 (QD)          0.62(QD) 0.73 (QD)
                                                                      0.27 (MD)
Transfer to reserves (Rs. crores)         (9.53)               @               @        23.46                  @              @          12.48                  @              @
Nav as on : At the end of             11.50 (G)/ 12.31 (G)/          13.34 (G)/         27.76            25.15         26.93         12.55 (G)/       12.98(G)/ 13.97 (G)/
the year / period (Rs.)              10.01 (WD) 10.02 (WD)/         10.04 (DD)/                                                    11.13 (MD)/      10.78 (MD)/ 10.77 (MD)/
                                      10.03(MD) 10.05(MD)           10.04 (WD)                                                      11.14 (QD)       10.75 (QD) 10.68 (QD)
                                                                    10.05 (MD)
Annualised return **                       5.28                @           6.30         23.56            18.21         16.74             10.23             8.20           8.03
Absolute return ***                           –                –              –             –                –             –                 –                –              –
Net Assets at end of the year /          410.81           157.66         339.99         71.69            40.61         30.53            105.52            71.49          27.85
period (Rs. crores)
Ratio of Recurring Expenses to          0.71 %           0.43 %          0.42 %        2.50 %          2.50 %         2.49 %           2.19 %           2.20 %          2.21 %
Average Assets

                                                      Kotak 30                                    Kotak Balance                                    Kotak Tech
                                         Apr 05          Apr 06      Apr 07          Apr 05           Apr 06        Apr 07           Apr 05            Apr 06         Apr 07
                                         Mar 06          Mar 07      Mar 08          Mar 06           Mar 07        Mar 08           Mar 06            Mar 07         Mar 08
Date of Allotment                     29 Dec 98       29 Dec 98       29 Dec 98     25 Nov 99       25 Nov 99      25 Nov 99         4 Apr 00         4 Apr 00       4 Apr 00
Beginning of Year / Allotment Date     1 Apr 05         1 Apr 06        1 Apr 07     1 Apr 05        1 Apr 06       1 Apr 07         1 Apr 05         1 Apr 06       1 Apr 07
End of Year / Last Date              31 Mar 06        31 Mar 07       31 Mar 08     31Mar 06        31 Mar 07      31 Mar 08       31 Mar 06         31 Mar 07 31 Mar 08
NAV at beginning of year /            32.12 (G)/      59.46 (G)/      64.99 (G)/        17.48           23.32          22.83              5.85             8.34         10.22
Allotment Date (Rs.)                   19.90 (D)       33.75 (D)       31.64 (D)
Net Income per unit (Rs)                  18.40             2.99            8.01         8.89            0.34           5.69              2.90             2.32          -2.62
Dividends (Rs. per unit) *$$            2.00 (D)              Nil      12.00 (D)         5.25            1.00           6.00               Nil              Nil            Nil
Dividends (Rs. per unit) *††                 Nil         5.50 (D)             Nil         Nil             Nil            Nil               Nil              Nil            Nil
Dividends (Rs. per unit) * ^^                 Nil             Nil             Nil         Nil             Nil            Nil               Nil              Nil            Nil
Transfer to reserves (Rs. crores)        174.32                @               @        37.25              @                 @          27.45                @              @
Nav as on : At the end of             59.46 (G)/      64.99 (G)/      85.53 (G)/        23.32           22.83          21.70              8.34           10.22            7.56
the year / period (Rs.)                33.75 (D)       31.64 (D)       31.31 (D)
Annualised return **                      33.30            30.14           25.99        21.50           18.71          17.55            (2.98)             0.31          -3.44
Absolute return ***                            –               –                –             –             –                 –              –                  –           –
Net Assets at end of the year /          336.34           420.82          590.90        96.22           94.83          69.61            51.00            44.71          23.69
period (Rs. crores)
Ratio of Recurring Expenses              2.37 %          2.31 %          2.23 %       2.50 %          2.49 %         2.49 %           2.25 %            2.25 %         2.24 %
to Average Assets



                                                                                                                                                                            15
                                                                                            Kotak Global India                    Kotak Floater Long Term
                                                                                     Apr 05        Apr 06        Apr 07        Apr 05           Apr 06          Apr 07
                                                                                     Mar 06        Mar 07        Mar 08        Mar 06           Mar 07          Mar 08
 Date of Allotment                                                                  30 Jan 04    30 Jan 04     30 Jan 04      13 Aug 04       13 Aug 04       13 Aug 04
 Beginning of Year / Allotment Date                                                  1 Apr 05     1 Apr 06       1 Apr 07       1 Apr 05        1 Apr 06       1 Apr 07
 End of Year / Last Date                                                            31 Mar 06    31 Mar 07     31 Mar 08      31 Mar 06       31 Mar 07      31 Mar 08
 NAV at beginning of year / Allotment Date(Rs.)                                     13.86 (G)/   24.15 (G)/    25.67 (G)/   10.33 (G)/ 10.89 (G)/ 11.67 (G)/
                                                                                     12.34 (D)    19.31 (D)     18.19 (D) 10.01 (WD) / 10.04 (WD)/ 10.04 (WD)/
                                                                                                                           10.02 (MD) 10.04 (MD) 10.04 (MD)
 Net Income per unit (Rs)                                                               12.39          1.36          2.54           2.11             3.26          1.34
 Dividends (Rs. per unit) *$$ (Comman)                                                 2.00(D)          Nil           Nil             Nil             Nil            Nil
 Dividends (Rs. per unit) *†† (Individual)                                                 Nil      2.50(D)           Nil     0.44 (WD)       0.59 (WD)/     0.76 (WD)/
                                                                                                                              0.46 (MD)        0.59 (MD)       0.74(MD)
 Dividends (Rs. per unit) * ^^ (Other)                                                     Nil          Nil           Nil     0.41 (WD)       0.55 (WD)/     0.71 (WD)/
                                                                                                                              0.43 (MD)        0.55 (MD)      0.69 (MD)
 Transfer to reserves (Rs. crores)                                                      59.29             @             @          (6.23)               @             @
 Nav as on : At the end of                                                          24.15(G)/     25.67(G)/    26.92 (G)/      10.90 (G)/ 11.67 (G)/ 12.75 (G)/
 the year / period (Rs.)                                                             19.31(D)      18.19(D)     19.08 (D)    10.03 (WD)/ 10.04 (WD)/ 10.09 (WD)/
                                                                                                                              10.03 (MD) 10.04 (MD) 10.09 (MD)
 Annualised return **                                                                   50.19        34.70         26.80            5.41             6.04          6.92
 Absolute return ***                                                                        –             –             –                 –             –             –
 Net Assets at end of the year /                                                       156.09       109.90         83.55          102.11           46.75          49.04
 period (Rs. crores)
 Ratio of Recurring Expenses to Average Assets                                        2.30 %       2.36 %         2.41 %         0.78 %          0.60 %         0.69 %


                                                   Kotak Opportunities                       Kotak Equity FOF                          Kotak Flexi Debt

                                             Apr 05       Apr 06        Apr 07      Apr 05        Apr 06         Apr 07       Dec 05           Apr 06          Apr 07
                                             Mar 06       Mar 07        Mar 08      Mar 06        Mar 07         Mar 08       Mar 06           Mar 07          Mar 08

 Date of Allotment                           9 Sept 04    9 Sept 04    9 Sept 04     9 Aug 04      9 Aug 04      9 Aug 04     6 Dec 04          6 Dec 04       6 Dec 04
 Beginning of Year /                          1 Apr 05     1 Apr 06     1 Apr 07     1 Apr 05      1 Apr 06      1 Apr 07     1 Apr 05          1 Apr 06       1 Apr 07
 Allotment Date                              31Mar 06     31Mar 07     31Mar 08     31Mar 06      31Mar 07      31Mar 08     31 Mar 06         31Mar 07       31Mar 08
 End of Year / Last Date
 NAV at beginning of year /                  12.76 (G)/   25.89 (G)/   27.94 (G)/   13.17 (G)/   22.90 (G)/    24.13 (G)/     10.21 (G)/       10.81 (G)/     11.64 (G)/
 Allotment Date (Rs.)                         12.02 (D)    18.17(D)/    17.96 (D)    13.17 (D)    22.90 (D)     24.13 (D)    10.02 (QD)       10.04 (QD)     10.03 (DD)/
                                                                                                                                                             10.12 (QD)
 Net Income per unit (Rs)                         6.37         0.55        -1.85        12.45          1.20          8.24           1.13             1.71           1.66
 Dividends (Rs. per unit) *$$                  5.50 (D)     1.50 (D)    11.00 (D)          Nil           Nil           Nil           Nil               Nil           Nil
 Dividends (Rs. per unit) *††                       Nil          Nil          Nil          Nil           Nil           Nil    0.49 (QD)        0.56 (DD)      0.72 (DD)/
                                                                                                                                               0.58 (QD)      0.70 (QD)
 Dividends (Rs. per unit) * ^^                      Nil          Nil          Nil          Nil          Nil           Nil     0.46 (QD)        0.53 (DD)      0.67 (DD)/
                                                                                                                                               0.54 (QD)      0.65 (QD)
 Transfer to reserves (Rs. crores)                75.75           @            @        32.21             @             @          2.70                 @             @
 Nav as on : At the end of                   25.89 (G)/   27.94 (G)/   37.72 (G)    22.90 (G)/   24.13 (G)/    28.78 (G)/     10.81 (G)/       11.64 (G)/     12.64 (G)/
 the year / period (Rs.)                     18.17 7(D)    17.96(D)/   14.59 (D)     22.90 (D)    24.13 (D)     28.78 (D)    10.04 (QD)       10.03 (QD)     10.03 (DD)/
                                                                                                                                                             10.17 (QD)
 Annualised return **                             84.28       49.55        45.21        65.69        39.65         33.66           6.13             6.76           7.33
 Absolute return ***                                  –           –            –            –            –             –              –                –              –
 Net Assets at end of the year /                 231.24      221.96       700.45        90.70        71.95         58.62          95.90           236.82       2,268.56
 period (Rs. crores)
 Ratio of Recurring Expenses                   2.45 %       2.34 %       2.26 %        0.74%        0.75 %        0.75 %        0.94 %           0.56 %         0.33 %
 to Average Assets



16
                                                                                                      Kotak Midcap                                    Kotak Contra
                                                                                        Apr 05           Apr 06          Apr 07         Apr 05            Apr 06          Apr 07
                                                                                        Mar 06           Mar 07          Mar 08         Mar 06            Mar 07          Mar 08

 Date of Allotment                                                                     24 Feb 05         24 Feb 05      24 Feb 05       31 Mar 05        31 Mar 05      31 Mar 05
 Beginning of Year / Allotment Date                                                     1 Apr 05          1 Apr 06       1 Apr 07        1 Apr 05          1 Apr 06       1 Apr 07
 End of Year / Last Date                                                               31 Mar 06        31 Mar 07       31 Mar 08       31 Mar 06        31 Mar 07      31 Mar 08
 NAV at beginning of year /                                                            10.10 (G)/       19.79 (G)/      19.25 (G)/      10.00 (G)/        16.80 (G)      16.43 (G)
 Allotment Date(Rs.)                                                                    10.10 (D)        19.04 (D)       14.77 (D)       10.00 (D)
 Net Income per unit (Rs)                                                                  13.34             (2.16)           3.30           8.90             (3.65)          4.89
 Dividends (Rs. per unit) *$$                                                            0.50 (D)         4.00 (D)             Nil             Nil               Nil            Nil
 Dividends (Rs. per unit) *††                                                                 Nil              Nil             Nil             Nil               Nil            Nil
 Dividends (Rs. per unit) * ^^                                                                Nil               Nil            Nil             Nil               Nil            Nil
 Transfer to reserves (Rs. crores)                                                        208.35                   @               @        40.99                 @              @
 Nav as on : At the end of                                                             19.79 (G)/       19.25 (G)/      20.59 (G)/       16.79 (G)        16.43 (G)      18.70 (G)
 the year / period (Rs.)                                                                19.04 (D)        14.77 (D)       15.80 (D)
 Annualised return **                                                                      84.10             35.84          25.35                 –           28.23          23.23
 Absolute return ***                                                                              –                –               –        67.92                  –              –
 Net Assets at end of the year /                                                          356.24            230.63         167.12           80.97             24.76          16.62
 period (Rs. crores)
 Ratio of Recurring Expenses to Average Assets                                            2.27 %           2.32 %          2.34 %         0.71 %            0.75 %         0.75 %



Latest NAV & Annualised Returns

                                         Kotak Gilt     Kotak Gilt      Kotak Gilt      Kotak            Kotak           Kotak           Kotak             Kotak         Kotak
                                        Investment       Saving        Investment     Quarterly        Quarterly       Quarterly         Liquid            Liquid-       Liquid-
                                          Regular         Plan          Provident      Interval         Interval        Interval        Regular         Institutional Institutional
                                           Plan                          Fund &          Plan             Plan            Plan            Plan              Plan      Premium Plan
                                                                        Trust Plan     Series 2         Series 3        Series 4

 Date of Allotment                      29 Dec 98         29 Dec 98    11 Nov 03      27 Sep 07        22 Nov 07       04 Dec 07       05 Oct 00        12 Mar 03 04 Nov 03
 Beginning of Year / Allotment Date      1 Apr 08          1 Apr 08     1 Apr 08       1 Apr 08          1 Apr 08       1 Apr 08         1 Apr 08        1 Apr 08    1 Apr 08
 End of Year / Last Date                30 June 08       30 June 08    30 June 08     30 June 08       30 June 08      30 June 08      30 June 08       30 June 08 30 June 08
 NAV at beginning of year /             25.37 (G)/       19.47 (G)/    25.80 (G)/     10.44 (G)/        10.32 (G)/     10.34 (G)/      15.88 (G)/       16.18 (G)/ 16.36 (G)/
 Allotment Date (Rs.)                    12.20 (D)       13.02 (AD)/    10.85 (D)      10.01 (D)        10.01 (D)       10.01 (D)       10.04 (D)      12.23 (DD)/ 12.23 (DD)/
                                                        10.44 (MD)                                                                                     10.04(WD) 10.05 (WD)
 Net Income per unit (Rs)                        0.03           0.16          0.05          0.28              0.16           0.22            0.30             0.26        0.48
 Dividends (Rs. per unit) $$ (Common)             Nil            Nil            Nil           Nil               Nil            Nil            Nil               Nil            Nil
 Dividends (Rs. per unit) * ‡                     Nil    0.11 (MD)              Nil      0.21 (D)         0.14 (D)        0.17 (D)       0.14 (D)  0.18 (DD)/ 0.19 (DD)/
 (Individuals)                                                                                                                                     0.14 (WD) 0.15 (WD)
 Dividends (Rs. per unit) * ‡‡                    Nil     0.10 (MD)        0.09 (D)      0.19 (D)         0.13 (D)        0.16 (D)       0.14 (D)   0.8 (DD)/ 0.19 (DD)/
 (Others)                                                                                                                                          0.14 (WD) 0.15 (WD)
 Transfer to reserves (Rs. crores)               @               @              @             @                 @              @               @           @          @
 Nav as on : At the end of               25.38 (G)/      19.60 (G)/     25.84 (G)/    10.69 (G)/        10.56 (G)/     10.55 (G)/      16.19 (G)/  16.49 (G)/ 16.71 (G)/
 the year / period (Rs.)                  12.21 (D)     13.11 (AD)/      10.76 (D)     10.01 (D)        10.09 (D)       10.06 (D)      10.04 (D) 12.23 (DD)/ 12.23 (DD)/
                                                        10.39 (MD)                                                                                10.04 (WD) 10.05 (WD)
 Annualised return ** June 30, 2008           10.27            7.32           3.94             –                 –              –           6.42              6.09           6.46
 Absolute return *** June 30, 2008                –               –              –          6.86              5.62           5.47              –                 –              –
 Benchmark Return June 30, 2008 ~                 –               –           3.84          5.31              4.37           4.11              –              5.53           5.66
 Net Assets at end of the year /              15.50            5.81          11.14        416.43            628.98         683.15         298.40            358.71        2137.81
 period (Rs. crores)
 Ratio of Recurring Expenses                1.65 %          1.00 %         1.25 %        0.02 %            0.03 %         0.02 %          1.00 %            0.74 %         0.28%
 to Average Assets



                                                                                                                                                                                17
                                                                   Kotak                      Kotak                  Kotak                 Kotak           Kotak          Kotak Global   Kotak
                                                                 Flexi Debt                   Equity             Flexi Funds of          Flexi FOF       Flexi FOF         Emerging      Global
                                                                                               FOF                   Funds                Series I        Series II       Market Fund    India

 Date of Allotment                                                     06 Dec 04              09 Aug 04             20 Oct 05            07 Apr 06          28 Jul 06       26 Sep 07     30 Jan 04
 Beginning of Year / Allotment Date                                    01 Apr 08              01 Apr 08             01 Apr 08            01 Apr 08         01 Apr 08        01 Apr 08     01 Apr 08
 End of Year / Last Date                                              30 June 08             30 June 08            30 June 08           30 June 08        30 June 08       30 June 08    30 June 08
 NAV at beginning of year /                                            12.64 (G)/             28.78 (G)/            15.40 (G)/           10.20 (G)/         10.52 (D)        9.92 (G)/   26.92 (G)/
 Allotment Date (Rs.)                                                 10.03 (DD)/              28.78 (D)             15.40 (D)            10.20 (D)                           9.92 (D)    19.08 (D)
                                                                      10.00 (WD)
                                                                      10.17 (QD)
 Net Income per unit (Rs)                                                       0.26                  -3.98                 -1.04                 0.18          0.17              0.61        -2.14
 Dividends (Rs. per unit) (Common)                                                Nil                   Nil                   Nil                  Nil            Nil              Nil            Nil
 Dividends (Rs. per unit) *† (Individuals)                             0.10 (DD)/                       Nil                   Nil                  Nil            Nil              Nil            Nil
                                                                      0.07 (WD)/
                                                                        0.17 (QD)
 Dividends (Rs. per unit) * ‡ ‡ (Others)                              0.09 (DD)/                        Nil                   Nil                  Nil            Nil              Nil            Nil
                                                                      0.07 (WD)/
                                                                       0.16 (QD)
 Transfer to reserves (Rs. crores)                                                 @                     @                     @                    @                 @             @              @
 Nav as on : At the end of                                10.08 (G)/ 12.91 (G)/               24.77 (G)/            14.34 (G)/           10.38 (G)/        10.69 (D)        10.32 (G)/   23.90 (G)/
 the year / period (Rs.)                                 10.03 (DD)/ 10.05 (DD)                24.77(D)              14.35 (D)            10.38 (D)                          10.32 (D)    16.93 (D)
                                                        10.05 (WD)/ 10.19 (QD)
 Annualised return ** June 30, 2008                                             7.40                  26.23                 14.12                 1.64          3.39                 –       21.79
 Absolute return *** June 30, 2008                                                 –                      –                     –                   –                 –           3.21              –
 Benchmark Return June 30, 2008 ~                                               5.20                  26.01                 15.04                 7.11         11.04             -9.64       19.46
 Net Assets at end of the year / period (Rs. crores)                     4693.02                      48.21                 26.99                 6.61         60.84           421.26        70.15
 Ratio of Recurring Expenses to Average Assets                            0.39 %                 0.75 %                0.75 %              0.75 %            0.75 %            0.75 %       2.46 %



                                                   Kotak            Kotak                 Kotak           Kotak Twin                Kotak Twin   Kotak         Kotak    Kotak Quarterly
                                                   MNC             Gold ETF              Blended          Advantage                 Advantage Wealth Builder Technology Interval Plan
                                                                                           FOF             Series II                 Series III Series 1                   Series 6

 Date of Allotment                                 4 Apr 00         27 Jul 07           28 Nov 07             09 Jun 06             15 Sept 06            27 Feb 07          4 Apr 00     14 Feb 08
 Beginning of Years / Allotment Date              01 Apr 08        01 Apr 08             01 Apr 08             01 Apr 08             01 Apr 08            01 Apr 08         01 Apr 08     01 Apr 08
 End of Year / Last Date                         30 June 08       30 June 08            30 June 08            30 June 08            30 June 08           30 June 08        30 June 08    30 June 08
 NAV at beginning of year /                           26.93          1216.00                  9.35             11.13 (G)/            10.75 (G)/           10.88 (G)/             7.56     10.11 (G)/
 Allotment Date (Rs.)                                                                                          11.13 (D)              10.75 (D)            10.88 (D)                       10.01 (D)
 Net Income per unit (Rs)                               -3.58            8.71                 0.14                 -0.10                 -0.02                 0.10             -0.58             0.16
 Dividends (Rs. per unit) (Comman)                         Nil            Nil                   Nil                   Nil                   Nil                 Nil                Nil             Nil
 Dividends (Rs. per unit) * † (Individuals)               Nil             Nil                  Nil                    Nil                   Nil                  Nil              Nil       0.11 (D)
 Dividends (Rs. per unit) * ‡ ‡ (Others)                  Nil             Nil                  Nil                    Nil                   Nil                  Nil              Nil       0.10 (D)
 Transfer to reserves (Rs. crores)                          @                 @                  @                     @                     @                    @                 @               @
 Nav as on : At the end of                              23.35        1295.99              9.48 (D)            11.03 ( G)/           10.73 (G)/           10.96 (G)/              6.97     10.34 (G)/
 / the year / period (Rs.)                                                                                     11.03 (D)             10.73 (D)            10.96 (D)                        10.11 (D)
 Annualised return ** June 30, 2008                     14.20                 –                  –                  4.70                  3.89                 6.73             -4.28               –
 Absolute return *** June 30, 2008                          –                 –                  –                     –                     –                    –                 –             3.37
 Benchmark Return June 30, 2008 ~                       13.60                 $             -18.33                 15.15                 10.50                 7.36              0.45             2.75
 Benchmark Return (S&P CNX Nifty)                       13.45                 –                  –                     –                     –                    –                 –               –
 June 30, 2008
 Net Assets at end of the year                          25.95          42.54               141.88                  40.27                103.06               127.66             21.81        631.55
 period (Rs. crores)
 Ratio of Recurring Expenses                           2.50 %         1.00 %               0.72 %                1.24 %                1.24 %               0.98 %            2.25 %         0.05%
 to Average Assets


18
                                              Kotak           Kotak          Kotak            Kotak                  Kotak            Kotak            Kotak        Kotak
                                             Emerging          Tax         Quarterly        Quarterly                 30             Income         Opportunities Lifestyle
                                              Equity          Saver         Interval         Interval                                  Plus
                                                                              Plan             Plan
                                                                            Series-I         Series 5

Date of Allotment                            30 Mar 07      23 Nov 05      19 Sep 07             22 Jan 08      29 Dec 98         02 Dec 03           09 Sep 04     21 Mar 06
Beginning of Year / Allotment Date             01 Apr 08     01 Apr 08      01 Apr 08            01 Apr 08       01 Apr 08         01 Apr 08           01 Apr 08     01 Apr 08
End of Year / Last Date                       30 June 08    30 June 08     30 June 08           30 June 08      30 June 08        30 June 08          30 June 08    30 June 08
NAV at beginning of year /                    10.83 (G)/    16.34 (G)/     10.47 (G)/            10.17 (G)/     85.53 (G)/         13.97(G)/          37.72 (G)/    11.60 (G)/
Allotment Date (Rs.)                           10.83 (D)     10.01 (D)      10.02 (D)             10.01(D)       31.31 (D)       10.77 (MD)             14.59 (D)    10.05 (D)
                                                                                                                                 10.68 (QD)
Net Income per unit (Rs)                           -2.20         -2.64           0.10                 0.27            -6.15            -0.16               -3.23         -2.23
Dividends (Rs. per unit) (Common)                     Nil           Nil            Nil                  Nil              Nil               Nil                Nil           Nil
Dividends (Rs. per unit) * †                          Nil           Nil       0.22 (D)             0.07 (D)              Nil      0.19 (MD)                   Nil           Nil
(Individuals)                                                                                                                     0.16 (QD)
Dividends (Rs. per unit) * ‡‡                        Nil            Nil       0.20 (D)             0.06 (D)             Nil       0.18 (MD)/                  Nil          Nil
(Others)                                                                                                                            015 (QD)
Transfer to reserves (Rs. crores)                      @          @                @                    @          @                        @                 @             @
Nav as on : At the end of                       8.61 (G)/ 13.42 (G)/       10.73 (G)/           10.40 (G)/ 74.18 (G)/            13.65 (G)/           32.30 (G)/      9.21 G)/
the year / period (Rs.)                         8.61 (D)    8.22 (D)        10.02 (D)            10.16 (D) 27.16 (D)            10.31 (MD)            12.50 (D)       7.98 (D)
                                                                                                                                 10.26 (QD)
Annualised return ** June 30, 2008                -10.94         11.95               –                   –            23.27              7.03              36.05         -3.54
Absolute return *** June 30, 2008                      –             –           7.30                 3.99                –                 –                  –             –
Benchmark Return June 30, 2008 ~                    0.03         14.43           5.44                 3.13            17.49              6.62              24.32          5.98
Net Assets at end of the year /                  156.32         366.02         114.28               433.80           631.74             26.43             739.53       133.59
period (Rs. crores)
Ratio of Recurring Expenses                      2.30 %       2.28 %          0.02 %               0.07 %            2.19 %            2.23 %           2.12 %         2.31%
to Average Assets



                                              Kotak           Kotak            Kotak                  Kotak             Kotak          Kotak           Kotak          Kotak
                                              Midcap          Bond          Bond Regular              Bond               PSU           Contra          Equity        Dynamic
                                                             Deposit       Plan (formerly           Short Term          Bank                          Arbitrage       Asset
                                                              Plan         wholesale Plan)            Plan               ETF                            Fund        Allocation
Date of Allotment                             24 Feb 05      25 Nov 99           25 Nov 99            2 May 02         8 Nov 07 27 Jul 05              29 Sep 05    28 Dec 06
Beginning of Year / Allotment Date            01 Apr 08       01 Apr 08          01 Apr 08            01 Apr 08        01 Apr 08 01 Apr 08             01 Apr 08     01 Apr 08
End of Year / Last Date                      30 June 08     30 June 08          30 June 08           30 June 08       30 June 08 30 June 08           30 June 08    30 June 08
NAV at beginning of year /                   20.59 (G)/     20.10 (DG)/           14.31 (B)/         14.80 (G)/           224.74 15.68 (G)/           12.21 (G)/     13.09 (G)
Allotment Date (Rs.)                          15.80 (D)      12.45 (DD)          21.48 (G)/           10.06 (D)                   13.72 (D)            10.73 (D)
                                                                                 14.31 AD)
                                                                                10.52 (QD)
Net Income per unit (Rs)                          -3.35            0.16                  0.14                 0.38        -59.70          -1.78              0.17        -2.35
Dividends (Rs. per unit) (Common)                   Nil              Nil                  Nil                  Nil             Nil            Nil        0.17 (D)          Nil

Dividends (Rs. per unit) *$$ (Individuals)          Nil       0.19 (DD)          0.16 (QD)              0.18 (D)               Nil            Nil             Nil          Nil
Dividends (Rs. per unit) *†† (Others)               Nil        0.17 (DD)          0.15 (QD)             0.17 (D)              Nil       Nil                   Nil          Nil
Transfer to reserves (Rs. crores)                    @                @                  @                    @                @         @                     @            @
Nav as on : At the end of                    16.58 (G)/     20.10 (DG)/          14.34 (B)/           15.05 (G)/          164.80 13.74 (G)/            12.39 (G)/    10.69 (G)
the year / period (Rs.)                       12.72 (D)      12.25 (DD)          21.52 (G)/            10.02 (D)                  12.03 (D)            10.72 (D)
                                                                                14.38 (AD)/
                                                                                10.37 (QD)
Annualised return ** June 30, 2008               15.52             8.60               9.47                 6.85                –          10.62             8.03         4.33
Absolute return *** June 30, 2008                    –                –                  –                    –                –              –                –            –
Benchmark Return June 30, 2008 ~                 11.69                –                  –                 5.69                –          16.69             6.62         3.24
Net Assets at end of the year /                 128.69            25.84              71.30               136.16            28.30          81.00           361.30       447.30
period (Rs. crores)
Ratio of Recurring Expenses                    2..40 %          2.25 %              1.50 %              0.60 %           0.65 %         2.49 %           1.10 %        1.48 %
to Average Assets


                                                                                                                                                                             19
                                               Kotak FMP Kotak FMP                    Kotak FMP            Kotak FMP          Kotak FMP             Kotak FMP             Kotak FMP Kotak FMP
                                              12M Series 5 - 12M Series5 -          12M Series 2-         12M Series 2-      12M Series 4-         12M Series 4-         13M Series 3- 13M Series 3-
                                              Institutional     Retail               Institutional           Retail           Institutional           Retail              Institutional   Retail
                                                  Plan          Plan                     Plan                 Plan                Plan                 Plan                   Plan        Plan
 Date of Allotment                             6 May 08            6 May 08             29 Sep 07            29 Sep 07          10 Nov 07               10 Nov 07            20 Mar 08          20 Mar 08
 Beginning of Year / Allotment Date            6 May 08            6 May 08              1 Apr 08             1 Apr 08              1 Apr 08             1 Apr 08              1 Apr 08           1 Apr 08
 End of Year / Last Date                       30 June 08         30 June 08           30 June 08           30 June 08         30 June 08           30 June 08               30 June 08         30 June 08
 NAV at beginning of year /                    10.00 (G)/          10.00 (G)/           10.45 (G)/           10.43 (G)/         10.34 (G)/              10.32(G)/             10.03 (G)         10.03 (G)/
 Allotment Date (Rs.)                                               10.00(D)             10.02 (D)            10.03 (D)         10.03 (D)               10.02 (D)                                10.03 (D)
 Net Income per unit (Rs)                              0.12                0.11                0.23                 0.21                0.23                 0.22                  0.18               0.17
 Dividends (Rs. per unit) * † (Individuals)             Nil                 Nil                 Nil                  Nil                 Nil                   Nil                  Nil                Nil
 Dividends (Rs. per unit) * ‡‡ (Others)                 Nil                 Nil                 Nil                  Nil                 Nil                   Nil                  Nil                Nil
 Transfer to reserves (Rs.crores)                        @                   @                   @                    @                   @                     @                    @                   @
 Nav as on : At the end of                      10.12 G)/          10.11(G)/            10.67 (G)/           10.64 (G)/        10.56 (G)/               10.54 (G)/           10.21 (G)          10.20 (G)/
 the year / period (Rs.)                                           10.11 ( D)           10.23 (D)             10.22 (D)         10.25 (D)                10.24 (D)                               10.20 (D)
 Annualised return ** June 30, 2008                      –                   –                   –                     –                  –                     –                     –                  –
 Absolute return *** June 30, 2008                       –                   –                 6.71                 6.38                5.65                 5.38                  2.15               2.03
 Benchmark Return June 30, 2008 ~                        –                   –                 2.47                 2.47                1.31                 1.31                 -1.33              -1.33
 Net Assets at end of                                 46.17            12.90               138.24                  10.29             152.27                  3.44               218.57              12.36
 the year / period (Rs. crores)
 Ratio of Recurring Expenses                      0.15 %              0.55%                0.10 %              0.50 %                0.10 %               0.50 %                0.08 %             0.39 %
 to Average Assets



                                      Kotak FMP           Kotak FMP             Kotak FMP             Kotak FMP Kotak FMP Kotak FMP Kotak FMP                Kotak FMP                           Kotak FMP
                                    13M Series 4 -       13M Series 4 -       12M Series 3-          12M Series3- 14M Series 3- 14M Series 3- 14M Series 4- 14M Series 4-                        15M Series 3-
                                     Institutional           Retail            Institutional            Retail    Institutional    Retail     Institutional    Retail                           Institutional
                                         Plan                Plan                   Plan                 Plan         Plan          Plan          Plan          Plan                                Plan
 Date of Allotment                    28 Mar 08            28 Mar 08            01 May 08             01 May 08 21 Feb 08         21 Feb 08 10 Mar 08 10 Mar 08                                 18 May 07
 Beginning of Year /                   1 Apr 08                 1 Apr 08          01 May 08           01 May 08        1 Apr 08           1 Apr 08              Apr 08            1 Apr 08         1 Apr 08
 Allotment Date
 End of Year / Last Date             30 June 08               30 June 08          30 June 08          30 June 08     30 June 08         30 June 08          30 June 08          30 June 08       30 June 08
 NAV at beginning of year /            10.01(G)/              10.01 (G)/          10.00 (G)/          10.00 (G)/      10.09 (G)/         10.09 (G)/          10.07 (G)/          10.06 (G)/        10.91(G)
 Allotment Date (Rs.)                  10.01 (D)               10.01 (D)           10.00 (D)           10.00 (D)       10.01 (D)          10.01 (D)           10.07 (D)           10.06 (D)
 Net Income per unit (Rs)                      0.22                 0.21                0.11                0.09             0.20                0.19                 0.17            0.17              0.24
 Dividends (Rs. per unit) * †                   Nil                  Nil                 Nil                 Nil              Nil                 Nil                  Nil                Nil            Nil
 (Individuals)
 Dividends (Rs. per unit) * ‡‡                  Nil                  Nil                 Nil                 Nil              Nil                 Nil                  Nil                Nil            Nil
 (Others)
 Transfer to reserves (Rs.crores)                @                    @                   @                   @                @                   @                    @                  @              @
 Nav as on : At the end of            10.23 (G)/              10.22 (G)/          10.10 (G)/          10.09 (G)/      10.29 (G)/         10.27 (G)/          10.24 (G)/          10.23 (G)/       11.15 (G)
 the year / period (Rs.)              10.23 (D)                10.22 (D)           10.10 (D)           10.09 (D)       10.21 (D)         10.20 (D)            10.24 (D)           10.23 (D)
 Annualised return **                            –                    –                    –                   –                –                   –                   –                  –                 –
 June 30, 2008
 Absolute return ***                           2.30                 2.20                0.98                0.91             2.85                2.71                 2.44            2.32                   –
 June 30, 2008
 Benchmark Return                             -1.13                -1.13               -1.54               -1.54            -1.00               -1.00                -1.21           -1.21            -1.93
 June 30, 2008 ~
 Net Assets at end of                     251.04                  59.94              237.48               46.94            113.72               14.97            100.59               7.68            88.03
 the year / period (Rs. crores)
 Ratio of Recurring Expenses              0.02 %                0.79 %               0.15 %              0.56 %            0.07%               0.74 %           0.00 %             0.40 %           0.10 %
 to Average Assets


20
                                              Kotak FMP              Kotak FMP             Kotak FMP              Kotak FMP              Kotak FMP            Kotak FMP         Kotak FMP
                                             15M Series 3 -        15M Series - 4         15M Series - 4        16M Series - 2          16M Series - 2       17M Series - 1    17M Series 1
                                              Retail Plan           Institutional            Retail              Institutional             Retail             Institutional       Retail
                                                                         Plan                 Plan                   Plan                   Plan                  Plan             Plan
Date of Allotment                             18 May 07               31 Mar 08              31 Mar 08                18 Jan 08             18 Jan 08          11 Dec 07        11 Dec 07
Beginning of Year / Allotment Date              1 Apr 08               1 Apr 08               1 Apr 08                 1 Apr 08              1 Apr 08           1 Apr 08         1 Apr 08
End of Year / Last Date                       30 June 08             30 June 08             30 June 08                30 June 08            30 June 08        30 June 08       30 June 08
NAV at beginning of year /                     10.91 (G)/             10.00 (G)/             10.00 (G)/               10.16 (G)/            10.16 (G)/         10.24 (G)/       10.23 (G)/
Allotment Date (Rs.)                            10.08 (D)              10.00 (D)              10.00 (D)                10.01 (D)             10.01 (D)          10.02 (D)        10.02 (D)
Net Income per unit (Rs)                            0.22                   0.16                    0.15                    0.19                  0.17               0.19             0.17
Dividends (Rs. per unit) $$                           Nil                    Nil                    Nil                      Nil                   Nil                Nil              Nil
Dividends (Rs. per unit) (Individuals)                Nil                    Nil                    Nil                      Nil                   Nil                Nil              Nil
Dividends (Rs. per unit) * ‡‡ (Others)                Nil                    Nil                    Nil                      Nil                   Nil                Nil              Nil
Transfer to reserves (Rs.crores)                       @                      @                       @                       @                     @                  @                @
Nav as on :                                    11.10 (G)/             10.16 (G)/              10.15(G)/               10.35 (G)/            10.33 (G)/         10.43 (G)/       10.40 (G)/
At the end of the year / period (Rs.)          10.28 (D)               10.16 (D)              10.15 (D)                10.20 (D)             10.19 (D)          10.21 (D)        10.20 (D)
Annualised return ** June 30, 2008                        –                      –                      –                      –                     –                  –                –
Absolute return *** June 30, 2008                         –                    1.65                  1.54                   3.48                  3.29               4.30             4.04
Benchmark Return June 30, 2008 ~                    -1.93                     -1.14                 -1.14                  -1.01                 -1.01               0.55             0.55
Net Assets at end of the year /                     28.75                    275.3                  11.00                 90.99                   7.32              69.98             5.74
period (Rs. crores)
Ratio of Recurring Expenses                       0.50 %                    0.10 %                 0.50 %                0.20 %                0.60 %             0.20 %           0.65 %
to Average Assets


                                           Kotak FMP           Kotak FMP          Kotak FMP           Kotak FMP            Kotak FMP             Kotak            Kotak            Kotak
                                         12M Series 6-        12M Series 6-      15M Series 5         15M Series 5          3M Series           Balance        Floater Short    Floater Long
                                          Institutional          Retail          Institutional           Retail                31                                  Term             Term
                                               Plan               Plan               Plan                 Plan                                                     Plan             Plan
Date of Allotment                          27 May 08          27 May 08            24 May 08           24 May 08            19 June 08          25 Nov 99    14 July 03          13 Aug 04
Beginning of Year / Allotment Date         27 May 08          27 May 08            24 May 08           24 May 08            19 June 08           1 Apr 08      1 Apr 08             1 Apr 08
End of Year / Last Date                    30 June 08         30 June 08           30 June 08          30 June 08           30 June 08          30 June 08   30 June 08           30 June 08
NAV at beginning of year /                  10.00 (G)          10.00 (G)/          10.00 (G)/           10.00(G)/           10.00 (G)/               21.70   13.34 (G)/            12.75(G)/
Allotment Date (Rs.)                                            10.00 (D)           10.00 (D)            10.00 (D)           10.00 (D)                      10.04 (WD)          10.09 (WD)/
                                                                                                                                                            10.04 (MD)          10.09 (MD)
                                                                                                                                                             10.04 (DD)
Net Income per unit (Rs)                          0.07              0.07                   0.10               0.18                   0.02            -2.30          0.33                0.19
Dividends (Rs. per unit) $$                         Nil               Nil                    Nil                Nil                   Nil               Nil           Nil                Nil
Dividends (Rs. per unit) (Individuals)              Nil               Nil                    Nil                Nil                   Nil               Nil 0.16 (DD)/           0.15 (WD)/
                                                                                                                                                             0.15 (WD)/          0.17 (MD)/
                                                                                                                                                             0.16 (MD)
Dividends (Rs. per unit) * ‡‡ (Others)              Nil               Nil                    Nil               Nil                    Nil               Nil 0.16 (DD)/           0.14 (WD)/
                                                                                                                                                             0.15 (WD)/           0.16 (MD)
                                                                                                                                                             0.16 (MD)
Transfer to reserves (Rs.crores)                    @                  @                      @                 @                     @                  @             @                 @
Nav as on :                                  10.07 (G)         10.07 (G)/             10.10 (G)/        10.08 (G)/            10.02 (G)/             19.44    13.62(G)/          12.99 (G)/
At the end of the year / period (Rs.)                           10.07 (D)              10.09 (D)         10.08 (D)            10.02 (D)                     10.04 (DD)          10.09 (WD)/
                                                                                                                                                            10.03 (WD)          10.08 (MD)
                                                                                                                                                            10.05 (MD)
Annualised return ** June 30, 2008                   –                 –                     –                   –                      –            18.83          6.42               6.97
Absolute return *** June 30, 2008                 0.72              0.69                  0.95                0.80                   0.24                –             –                  –
Benchmark Return June 30, 2008 ~                 -1.78             -1.78                 -1.78               -1.78                   0.12                –          5.56               6.00
Net Assets at end of the year /                  99.21              4.63                173.20               84.80                 150.04            69.35       249.12               68.89
period (Rs. crores)
Ratio of Recurring Expenses                    0.15 %            0.55 %                 0.10 %              1.50 %                 0.15 %          2.25 %          0.40 %            1.00%
to Average Assets




                                                                                                                                                                                              21
                                                                                             Kotak                     Kotak                    Kotak
                                                                                 Indo World Infrastructure Fund   FMP 1 M Series 1            Senesx ETF

    Date of Allotment                                                                             25 Jan 08              17 May 08             6 June 08
    Beginning of Year / Allotment Date                                                             1 Apr 08              17 May 08             6 June 08
    End of Year / Last Date                                                                       30 June 08             30 June 08           30 June 08
    NAV at beginning of year /                                                                      7.11 (G)/             10.00 (G)/              164.35
    Allotment Date (Rs.)                                                                             7.11 (D)              10.00 (D)
    Net Income per unit (Rs)                                                                            -1.40                   0.03              -30.06
    Dividends (Rs. per unit) $$                                                                            Nil                    Nil                 Nil
    Dividends (Rs. per unit) (Individuals)                                                                 Nil                    Nil                 Nil
    Dividends (Rs. per unit) * ‡‡ (Others)                                                                 Nil                    Nil                 Nil
    Transfer to reserves (Rs.crores)                                                                        @                      @                   @
    Nav as on : At the end of the year / period (Rs.)                                                5.71(G)              10.03 (G)/             134.20
    Annualised return ** June 30, 2008                                                                      –                      –                   –
    Absolute return *** June 30, 2008                                                                 -42.91                    0.30              -13.46
    Benchmark Return June 30, 2008 ~                                                                    -2.56                   0.69              -13.55
    Benchmark Return (S&P CNX Nifty) June 30, 2008                                                    -24.94                       –                   –
    Net Assets at end of the year / period (Rs. crores)                                               542.60                 379.01                29.28
    Ratio of Recurring Expenses to Average Assets                                                   1.94 %                   0.10 %              0.50 %


Notes:                                                                                 Plan, Kotak FMP 15M Series 5 - Retail Plan, Kotak FMP 16M Series
                                                                                       2 - Institutional Plan, Kotak FMP 16M Series 2 - Retail Plan, Kotak
G       stands for Growth Option, D stands for Dividend Option, MD
                                                                                       FMP 17M Series 1 - Institutional Plan, Kotak FMP 17M Series 1 -
        stands for Monthly Dividend Option, QD stands for Quarterly
                                                                                       Retail Plan: CRISIL Composite Bond Fund Index, Kotak Liquid Regular
        Dividend Option, WD stands for Weekly Dividend Option, DD
                                                                                       Plan, Kotak Liquid Institutional Plan, Kotak Liquid Institutional
        stands for Daily Dividend Option, AD stands for Annual Dividend
                                                                                       Premium Plan, Kotak Floater Short Term, Kotak Floater Long Term
        Option B stands for Bonus Option.
                                                                                       Scheme, Kotak Equity Arbitrage Fund, Kotak Quarterly Interval Plan
*       Applicable to the dividend option in case of Schemes, which have               Series 1, Kotak Quarterly Interval Plan Series 2, Kotak Quarterly
        Growth and Dividend Options.                                                   Interval Plan Series 3, Kotak Quarterly Interval Plan Series 4, Kotak
**      Annualised Return (Compounded Annualised Growth Rate) is                       Quarterly Interval Plan Series 5, Kotak Quarterly Interval Plan Series
        calculated from the date of allotment of the Units till the end of             6, Kotak FMP 3M series 31, Kotak FMP 1M series 1: CRISIL Liquid
        the period mentioned against it. For the last period in respect of             Fund Index, Kotak Income Plus, Kotak Twin Advantage Series II,
        the Scheme/Plan concerned, the annualised return is computed                   Kotak Twin Advantage Series III, Kotak Wealth Builder Series 1:
        from the date of allotment till May 30, 2008. In case of returns               CRISIL MIP Blended Index, Kotak Balance, Kotak Flexi FOF Series I,
        available for periods less than one year for the first accounting              Kotak Flexi FOF Series II, Kotak Dynamic Asset Allocation, Kotak
        year, such returns have been expressed in absolute terms only.                 Blended FOF : CRISIL Balanced Fund Index.

* * * Absolute Return is calculated from the date of allotment of the                  Benchmarks (as per Offer Document) used are: Kotak 30, Kotak
      Units till the end of the period mentioned against it for the Scheme             MNC and Kotak Equity FOF– S&P CNX NIFTY; Kotak Global India,
      where such period is less than one year. In case of Scheme / Plan                Kotak Contra, Kotak Opportunities, Kotak Tax Saver, Kotak Lifestyle–
      launched after June 4, 2007 the absolute return is also calculated               S&P CNX 500; Kotak Tech– BSE Teck; Kotak Emerging Equity
      from the date of allotment till May 30, 2008. Annualised returns                 Scheme– BSE Midcap; Kotak Midcap– CNX Midcap; Kotak Gold
      are computed for the Growth Option of the Scheme. The Growth                     ETF-Physical Gold; Kotak PSU Bank ETF– CNX PSU Bank Index;
      Option is not available then the same has been computed assuming                 Kotak Sensex ETF– BSE Sensex; Kotak Indo world Infrastructure
      the declared dividend is re-invested on the next available NAV.                  Fund – S&P CNX Nifty and MFCI World Index.

~       Benchmarks (as developed by AMFI): Kotak Gilt Savings: ISEC              $     The Scheme’s performance will be benchmarked against the price
        SIBEX; Kotak Gilt Investment- Regular and Provident Fund and                   of gold.
        Trust Plans: I SEC COMPOSITE INDEX, Kotak Bond Short Term                ‡     NAV at which Units were first allotted under the respective options.
        Plan: CRISIL Short Term Bond Fund Index, Kotak Bond Regular
                                                                                 @     transfer to reserves will be done at the end of the year
        Plan (Formerly Wholesale Plan), Kotak Bond Deposit Plan, Kotak
        Flexi Debt, Kotak FMP 12M Series 1 - Institutional Plan, Kotak FMP       $$    applicable for the period between record date April 01, 2005
        12M Series 2 - Retail Plan, Kotak FMP 12M Series 3 - Institutional             and June 30, 2008.
        Plan, Kotak FMP 12M Series 3 - Retail Plan, Kotak FMP 12M
                                                                                 ††    applicable for the period between record date April 01, 2005
        Series 4 - Institutional Plan, Kotak FMP 12M Series 4 - Retail Plan,
                                                                                       and March 31, 2008 for Individual / HUF unit holders.
        Kotak FMP 12M Series 5 - Institutional Plan, Kotak FMP 12M
        Series 5 - Retail Plan, Kotak FMP 12M Series 6 - Institutional Plan,     ^^    applicable for the period between record date April 01, 2005
        Kotak FMP 12M Series 6 - Retail Plan, Kotak FMP 13M Series 3                   and March 31, 2005 for Other unit holders.
        - Institutional Plan, Kotak FMP 13M Series 3 - Retail Plan, Kotak        †     applicable to current period indicates Dividend paid from record date
        FMP 13M Series 4 - Institutional Plan, Kotak FMP 13M Series 4                  April 01, 2007 to June 30, 2008 for Individual / HUF unit holders.
        - Retail Plan, Kotak FMP 14M Series 3 - Institutional Plan, Kotak
        FMP 14M Series 3 - Retail Plan, Kotak FMP 14M Series 4 -                 ‡‡     applicable to current period indicates Dividend paid from record
        Institutional Plan, Kotak FMP 14M Series 4 - Retail Plan, Kotak                 date April 01, 2007 to June 30, 2008. for other unit holders.
        FMP 15M Series 3 - Institutional Plan, Kotak FMP 15M Series 3            5 . Borrowing by the Mutual Fund
        - Retail Plan, Kotak FMP 15M Series 4 - Institutional Plan, Kotak        No borrowing was made by any of the Schemes of KMMF till
        FMP 15M Series 4 - Retail Plan, Kotak FMP 15M Series 5 - Institutional   the year ended March 31, 2008 and period ended June 30,
                                                                                 2008.

22
6. KEY PERSONNEL OF AMC

 Name, Age, Designation, Educational Qualifications   Business Experience
Mr. Sandesh Kirkire                                   Experience of over 17 years in the areas Corporate Finance and Treasury management
44 years                                              among others. After joining the Kotak Mahindra group in 1994, Mr. Kirkire has
                                                      worked in several capacities across the group, in the fields of Investment Banking,
Chief Executive Officer                               Treasury and Investments .. Mr. Kirkire’s joined the Kotak Mahindra Asset Management
Mechanical Engineer, Masters degree in                Company in 1999 and headed the Fixed Income Funds Management. He took over
Management Studies from Jamnalal Bajaj Institute      the reigns as the Chief Executive Officer of Kotak Mahindra Asset Management
of Management Studies, Mumbai University.             Company in 2005.
Mr. Alroy Lobo                                        Past experience of over 13 years in Institutional Equities. Worked as Equity research
43 years                                              analyst (pharmaceuticals, cement, technology), head of research and equity strategist.
Chief Strategist and Global Head Equities Asset       His prior assignments were with HMG Financial Services in equity research and with
Management                                            Godrej and Boyce in evaluating companies as vendors. Mr. Lobo’s last assignment
                                                      was Managing Director and Head of Institutional Equities at Kotak Securities
CFA, Mechanical Engineer, Masters degree in
Management Studies from Sydenham Institute of
Management, Mumbai University.
Mr. R Krishnan                                        Experience of over 15 years in the fields of Operations, Systems, Finance, MIS,
39 years                                              Accounting, Audit and Taxation. Prior to joining the Kotak Group in August 1994,
                                                      Mr. Krishnan was a practicing Chartered Accountant for two years, handling
Chief Operations Officer                              Accounting, Audit and Taxation matters for clients. Since joining the Kotak Group,
Chartered Accountant and Cost Accountant              Mr. Krishnan has handled major assignments like the US GAAP implementation for
                                                      the erstwhile Kotak Mahindra Finance Limited (KMFL) and subsidiary/group companies,
                                                      Systems Development and Implementation, for the Retail Assets Group and KMFL’s
                                                      transition to Kotak Bank. Mr. Krishnan’s latest assignment was as Head - Operations,
                                                      Retail Assets, at Kotak Bank, from where he joined Kotak Mutual in August 2004
                                                      as Senior Vice President.
Mr. Kailash Kulkarni
 .                                                    Mr. Kailash Kulkarni was associated with MetLife India Insurance Co as Head of Agency
40 years                                              Sales He was designated as Director Agency Sales. Prior to this he was with ICICI
                                                      group in different capacities the last being AGM Retail Banking for Mumbai region.
Head of Sales
                                                      He has total experience of over 16 years of which 11 are in the financial services
Post graduate in Business Management from
                                                      industry and 5 years with a automobile company.
IMDR Pune
Mr. Krishna Sanghavi                                  Mr. Sanghvi nearly 13 years of experience spanning various functions like in Credit
34 years                                              Appraisal & Credit Risk Management, Dealer Finance, Business Planning and Fund
                                                      Management. He joined Kotak Group in 1997 and has worked with Kotak Mahindra
Equity Fund Manager                                   Primus Ltd., Kotak Mahindra Finance Ltd. & Kotak Mahindra Old Mutual Life Insurance
Bachelor of Commerce,                                 Ltd. Before joining Kotak group he had worked with IDBI for nearly 2 years. .
Cost & Works Account from ICWAI, Master of
Management Studies (Finance) from NMIMS, Mumbai
Chartered Financial Analyst from ICFAI

Mr. Sajit Pisharodi                                   Total experience of nearly 15 years in financial services. Sajit started his carrer with SHCIL
                                                      where he was part of Custodial Services. After SHCIL he joined IDBI Capital Markets
37 years                                              where he set up the Equity desk and was responsible for Institutional Equity sales.
Equity Fund Manager                                   Later on he moved into the fund management team of SBI Funds Management Pvt.
Masters degree in Business Administration             Ltd., where his primarily responsibility included portfolio management and equity dealing.
                                                      In 2004 he joined kotak Mutual Fund and has been part of the Funds management
                                                      team and has been managing various equity funds and other structured funds.
Mr. Abhijeet Dey                                      Total experience of 7 years in the equity markets. Worked as an equity research analyst
33 years                                              tracking the automotive and cement sectors. His prior assignments were with the
                                                      consulting firm Frost & Sullivan India as an automotive industry analyst and
Equity Fund Manager                                   Indiainfoline.com as an equity research analyst. His last assignment was with Pioneer
B.E. (Mechanical), Masters degree in Management       Intermediaries Pvt. Ltd in equity research.
Studies from Sydenham Institute of Management &
Entrepreneurship Education, Mumbai University.

Mr. Sanjib Guha                                       Past experience of over 6 years in Equity Research & Fund Management. Covered
31 years                                              Oil & Gas, Auto, FMCG & Media as Equity Research Analyst. Last assignment was
Equity Fund Manager                                   with UTI AMC (2001 – Jun 2007).
PGDBA (ICFAI) ADF(ICFAI)
B.Com(H), Calcutta University
Mr. Anurag Jain                                       Mr. Jain has close to 7 years of experience in financial engineering, equity research
31 years                                              and Fund Management. He joined the equity markets in 2001 working with SBI
                                                      Mutual Fund, ICICI Bank followed with SSKI securities. He joined the AMC in August
Equity Fund Manager                                   2005, as a part of the equity fund management team for evaluating investment
Chemical Engineer and holds a Post Graduate           opportunities in equities.
Diploma in Management from IIM Kolkata

Mr. Abhishek Bisen                                    Mr. Abhishek Bisen, who holds a Bachelors Degree In Management and Masters
29 years                                              Degree in Business Administration with Specialisation in Finance, Joined the AMC in
Debt Fund Manager                                     October 2006. Prior to joining Fund Management team Mr. Bisen was Manager
                                                      with Portfolio Advisory Group of Kotak AMC. Prior to joining Kotak AMC he was

                                                                                                                                                  23
  Name, Age, Designation, Educational Qualifications   Business Experience
 B A Management, MBA Finance.                          working with Securities Trading Corporation of India Limited and was involved in
                                                       Managing Non SLR Trading book (AUM about INR 10 Bn) and was responsible for
                                                       all trading positions of Corporate Bonds/PSU Bonds as well as Advising Clients
                                                       under portfolio Advisory Services. He also has 2 Years Merchant Banking experience.
                                                       Mr. Bisen has Total work experience of 7 Years in the Fixed Income / Debt Market.
 Mr. Deepak Agrawal                                    Mr. Agrawal started his career with the AMC in September 2000 and moved to
 27 years                                              Debt Fund Management Team as research analyst in September 2001 and performed
                                                       the role of dealer from October 2004 Since November 2006, Mr Agrawal was Fund
 Debt Fund Manager                                     Manager in the debt fund management team.
 Post Graduate in Commerce from Mumbai
 University, a qualified chartered account and a
 company secretary. Also cleared AIMR CFA Level-I

 Mr. V. R Narasimhan                                   Mr. Narasimhan was associated with NSDL- the first depository in the country since
 51 years                                              its inception. He was designated as Senior Vice President at NSDL immediately before
                                                       joining Kotak AMC. He has total experience of over 25 years of which four years
 Compliance Officer and Company Secretary              was as faculty at university level, about 10 years in a state level development financial
 Post graduate in commerce, business administration    institution, about three years in a national level market regulator and about 10 years
 and member of the Institute of company secretaries    in the depository.
 of India.

The Chief Executive Officer , Chief Strategist and Global               entered into with them and as per any modification made
Head Equities Asset Management and Research Team of the                 thereto from time to time.
Fund are based on the registered office of the AMC on 5th               The AMC has the right to appoint additional Registrars or
Floor, Bakhtawar, Nariman Point, Mumbai - 400 021. The                  change the Registrar, if it deems fit.
Chief Operations Officer and the Compliance Officer are
based at 1st Floor, Dani Corporate Park, 158, CST Road,                 F.   THE CUSTODIANS
Kalina, Santacruz East, Mumbai 400098                                   The Trustee has appointed Deutsche Bank A G, Mumbai
Fund Manager                                                            and Standard Chartered Bank, Mumbai, as the Custodians
                                                                        (‘the Custodians’) for the Scheme. The Custodians are
Mr. Deepak Agrawal will be the Fund Manager for KOTAK                   approved by SEBI under Registration Nos. IN/CUS/003 and
FMP 3M SERIES 33.                                                       IN/CUS/006, respectively.
Compliance Officer                                                      The Custodians keep in safe custody all the securities and
Mr. V. R. Narasimhan                                                    other such instruments belonging to the Fund, ensures
1st Floor, Dani Corporate Park,                                         smooth inflow/outflow of securities and such other
158, CST Road, Kalina,                                                  instruments as and when necessary in the best interest of
Santacruz East, Mumbai 400098                                           the investors; and ensures that the benefits due to the
Auditors to the Scheme                                                  holdings are recovered.
Price Waterhouse                                                        The Trustee has the right to appoint additional Custodians
252, Veer Savarkar Marg, Shivaji Park, Dadar,                           or change the Custodian, if it deems fit.
Mumbai - 400 028                                                        To perform custodial services for securities of the Fund, the
E . THE REGISTRAR                                                       Custodians are bound to exercise the same degree of care
                                                                        as it exercises in respect of its own property. It is obligatory
The Mutual Fund has appointed Computer Age                              for the Custodians to ensure that all the services rendered
Management Services Pvt. Limited (‘CAMS’) to act as Registrar           to KMMF are professional, prompt, cost effective and
and Transfer Agent (‘the Registrar’) to the Scheme.                     efficient in nature. A Custodian agreement, which, inter-
Registered with SEBI under registration no. INR000002813,               alia, sets out the responsibilities and functions of a
CAMS has been performing the functions of Registrar for                 Custodian, has been entered into with the Custodians.
all the Schemes of the Fund and the Trustee and the AMC
have satisfied themselves that CAMS can provide the services            G . BANKER
required and has adequate facilities, including systems                 The Banker to the New Fund Offer will be as under:
capabilities and back up, to do so. As Registrar to the
Scheme, CAMS accepts and processes investors’ applications                Name of the Bank                   HDFC Bank Limited
and advises the Mutual Fund in respect of the amounts                     SEBI Registration No               INBI00000063
received/disbursed for subscription/purchase/redemption.
They also handle communications with investors, perform                 Applications for the New Fund Offer will be accepted at the
data entry services and dispatch Account Statements to                  designated collection centres of the Bank, as mentioned
Unitholders.                                                            elsewhere in this Offer Document.

CAMS is responsible for carrying out diligently the functions           The AMC has the right to appoint additional Bankers to the
of Registrar and Transfer Agent, as set out in the agreement            New Fund Offer and change the Banker or any of the Bankers
                                                                        appointed subsequently, if it deems fit




24
                                  I V.          INVESTMENT                                  OF          FUND
A. KOTAK FMP 3M SERIES 33                                                      to maintain a high quality portfolio and manage credit risk well.
1. Type of Scheme                                                              Investment in unrated debt securities will be made with the prior approval
Close-ended debt Scheme with 90 days maturity                                  of the Board of the AMC. Such investments would be within the
                                                                               parameters approved by the Board of the Trustee. Where the proposed
2. Investment Options                                                          investment is not within the parameters as mentioned above, approval
The scheme will be available in two options:                                   of the Boards of both the AMC and the Trustee will be taken before
                                                                               making the investment. Investment in unrated debt securities will be
a.   Growth Option                                                             made subject to prescribed SEBI Regulations.
Under this option, there will be no distribution of income and the
                                                                               Investments may be made in instruments, which, in the opinion of the
return to investors will be only by way of capital gains, if any, through
                                                                               Fund Manager, are of an acceptable credit risk and chance of default is
redemption at applicable NAV of Units held by them.
                                                                               minimum. The Fund Manager will generally be guided by, but not
b. Dividend (Payout and Reinvestment) Option                                   restrained by, the ratings announced by various rating agencies on the
Under this option, the Trustee may at any time decide to distribute by         assets in the portfolio.
way of dividend, the surplus by way of realised profit and interest, net       The Scheme may invest in listed/unlisted and/or rated/unrated debt or
of losses, expenses and taxes, if any, to Unitholders if, in the opinion of    money market instruments/securities, Gilts/Government Securities,
the Trustee, such surplus is available and adequate for distribution. The      securities issued/guaranteed by the Central/State Governments, securities
Trustee’s decision with regard to such availability and adequacy of            issued by public/private sector companies/corporations, financial
surplus, rate, timing and frequency of distribution shall be final. The        institutions and/or money market instruments such as commercial paper,
dividend will be paid to only those Unitholders whose names appear             certificates of deposit, permitted securities under a repo agreement etc.
on the register of Unitholders of the Scheme / Option at the close of the      These instruments may carry fixed rate of return or floating rate of return
business hours on the record date, which will be announced in advance.         or may be issued on discount basis. The Scheme may also invest in call
The Fund is required to dispatch dividend warrants within 30 days of           money/term money market as per the RBI guidelines in this respect.
the date of declaration of the dividend. The Unitholder in the Dividend
                                                                               To avoid duplication of portfolios and to reduce expenses, the Scheme
Option will have the choice of receiving the dividend or having it
                                                                               may invest in any other Scheme of the Fund to the extent permitted by
reinvested. Under the reinvestment option, dividend amounts will be
                                                                               the Regulations. In such an event, as per the Regulations, the AMC
reinvested in the Dividend Reinvestment Option at the Applicable NAV
                                                                               cannot charge management fees on the amounts of the Scheme so
announced immediately following the record date. Even though the
                                                                               invested.
asset portfolio will be un-segregated, the NAVs of the growth option
and dividend option respectively, in the Scheme will be distinctly different   6. The Risk Profile and Investment Pattern
after declaration of the first dividend to the extent of distributed income,   The asset allocation under the Scheme, under normal circumstances,
tax and surcharge thereon paid, where applicable, and expenses relating        will be as follows:
to the distribution of the dividends.
                                                                                   Investments             Indicative Allocation             Risk
3. Maturity profile of the Scheme                                                                            (% to net assets)              Profile
The scheme will mature 90 days after the date of allotment of the                  *Debt and Money                 100**                    Low to
scheme                                                                             Market instruments                                       medium
4. Investment Objective                                                        *     Debt instruments shall be deemed to include securitised debts
                                                                                     (excluding foreign securitised debt) and investment in securitised
The investment objective of the Scheme is to generate returns through
                                                                                     debts shall not exceed 50% of the net assets of the Scheme
investments in debt and money market instruments with a view to
                                                                                     concerned.
significantly reduce the interest rate risk.
                                                                               ** Investment in Government Securities shall not exceed 50% of the
There is no assurance that the investment objective of the
                                                                                   scheme concerned.
Scheme will be achieved.
                                                                               From time to time the Scheme may hold cash for the following reasons:
The performance of the Scheme(s) will be measured against CRISIL
Liquid Fund Index                                                                         To meet the redemption requirements
Portfolio Turnover                                                                        Due to lag in deal date and value date of acquiring an asset
The Scheme has no specific target relating to turnover of securities. The                 Due to marginal difference in maturity date of the asset and
turnover is due to the sale and purchase of securities. This may arise                    the maturity date of the scheme concerned
due to more than one reason. One would be redemption of units by               The asset allocation shown above is indicative and may change for a
investors. The other would be due to change or anticipation of change          short term on defensive considerations. When the allocation of
in the ratings of securities.                                                  Government securities in the portfolio goes above 50%, review and
5. Investment Strategy                                                         rebalancing will be conducted within 10 Business days.
For the purpose of achieving the investment objective, the Scheme will         Pending deployment of the funds of the Scheme in terms of the
invest in a portfolio of Debt and Money Market securities normally             investment objective, the Fund can invest the funds of the Scheme in
maturing in line with the maturity profile of the Scheme.                      short term deposits of scheduled commercial banks as per the guidelines
                                                                               given in SEBI Circular no. SEBI/IMD/CIR No. 1/91171/07 dated April 16
The AMC has an internal policy for selection of assets of the portfolio.
                                                                               2007.
The portfolio is constructed taking into account ratings from different
rating agencies, rating migration, credit premium over the price of a          7. Overview of Debt Market
sovereign security, general economic conditions and such other criteria.       The Indian Debt Market has grown in size substantially over the years.
Such an internal policy from time to time lays down maximum/minimum            The Reserve Bank of India has been taking steps to make the Indian
exposure for different ratings, norms for investing in unrated paper,          Debt Market efficient and vibrant. The interest rates were regulated till
liquidity norms, and so on. Through such norms, the Scheme is expected
                                                                                                                                                      25
a few years back, there has been rapid deregulation and currently both               newspaper having nationwide circulation as well as in a newspaper
the lending and deposit rates are market determined. The Central                     published in the language of the region where the Head Office of
banker has in its recent credit policy meetings suggested the importance             the Fund is situated; and
of a fully developed corporate bond market and efforts are being made         (ii)   the Unitholders are given an option to exit at the prevailing Net
to have an online trading platform for corporate bonds.                              Asset Value without any Exit Load.
Broadly, the debt market is divided in two parts viz. the Money Market        The exercise of rights reserved by the Trustee under this Offer Document
and the Debt market. Money market instruments have a tenor of less            vis-à-vis prospective investments in the Scheme shall not constitute
than one year while debt market instruments have a tenor of more than         change in the fundamental attributes of the Scheme (Refer paragraph
one year. Money market instruments are typically commercial paper,            ‘Power to remove difficulties’ in Chapter VIII ‘Other Matters’).
certificates of deposit, treasury bills, trade bills, repos, interbank call
deposit receipts etc. Debt market comprises typically of securities issued    B.     POLICIES AND REGULATIONS APPLICABLE TO THE
by Governments (Central and State), Banks, Financial Institutions, and               SCHEME
Companies in the private and public sector, Corporations, Statutory           i. Investment of Subscription Money
Bodies etc.
                                                                              On receiving the minimum subscription amount for the Scheme during
The debt securities are mainly traded over the telephone directly or          the New Fund, the Fund may commence investment in instruments /
through brokers. The National Stock Exchange of India has a separate          securities as indicated in the sub-paragraph ‘Risk Profile and Investment
trading platform called the Wholesale Debt Market segment where               Pattern’ in this Offer Document. On allotment of Units, the income
trades put through member brokers are reported. The daily volumes in          earned out of such investments will be merged into the investments of
the debt market are in the region of Rs.2500-5000 crores.                     the Scheme.
RBI has introduced the Negotiated Dealing System (NDS) platform for           ii. Borrowing Power
screen-based trading in Government Securities and Money Market
instruments. Most of the market participants are now operating through        To meet the temporary liquidity needs of the Scheme for the purpose of
NDS.                                                                          repurchase, redemption, or payment of income to Unitholders, the
                                                                              Scheme may borrow in accordance with Regulation 44(2), with the
Promoted by major banks and financial institutions, The Clearing              prior approval of Trustees. The Fund may tie up with various banks/
Corporation of India Ltd. (CCIL), was incorporated on April 30, 2001.         institutions for the above-mentioned facility. The Scheme may offer
The CCIL guarantees the settlement of all trades executed through             scheme assets as collateral against the borrowings and bear the interest
NDS. The clearing and settlement risks viz., Counter party Credit Risk        and commitment charges charged on borrowings
  Instrument                                          Yield Range             iii. Policy on Inter Scheme Transfers
                                                      (% per annum)           Transfer of Investments from one Scheme to another scheme, present
  Inter bank Call Money                               8.50    –   8.75        or to be floated in future, may be made at the discretion of the Fund
  91 Day Treasury Bill                                8.75    –   8.80        Manager, as per the current regulations, only if:
  364 Day Treasury Bill                               9.05    –   9.15               Such transfer is done at the prevailing market price for quoted
  P1+ Commercial Paper 90 Days                        10.00   –   10.25              instruments on spot basis; and
  3-Year Government of India Security                 9.10    –   9.20               The securities so transferred is/are in conformity with the Investment
  5-Year Government of India Security                 8.90    –   9.00               objective of the scheme to which such transfer has been made.
  10-Year Government of India Security                8.70    –   8.80        In case of any amendment in the Regulations, transfer of Investments
                                                                              from one Scheme to another scheme, present or to be floated in future,
and Operational Risk are mitigated by CCIL thereby facilitating a smooth      may also be made, subject to the applicable Regulations at the time of
settlement process.                                                           transfer, at the discretion of the Fund Manager.
The following table gives approximate yields prevailing as on 30 th           iv. Mode of Investment
June 2008 on some of the money and debt market instruments. These
yields are indicative and do not indicate yields that may be obtained in      The securities in which the Investment Manager may invest, under the
future as interest rates keep changing.                                       Scheme(s) will be through the primary as well as secondary markets,
                                                                              private placement, preferential/firm allotments, auctions/book building,
Generally, for instruments issued by a non-Government entity, the yield       and such others. These securities may be those listed on the various
is higher than the yield on a Government Security with corresponding          stock exchanges recognised by SEBI or unlisted securities and the
maturity. The difference, known as credit spread, depends on the credit       investment will be in conformity with the pertinent rules and regulations,
rating of the entity. Investors must note that the yields shown above are     applicable at the time of making the investment.
the yields prevailing on June 30,2008 and they are likely to change
consequent to changes in economic conditions and RBI policy.                  v. Investments by the AMC in the Fund
                                                                              The AMC reserves the right to invest its own funds in the Scheme as
8. Fundamental Attributes and Changes Therein
                                                                              may be decided by the AMC from time to time and in accordance with
The close-ended character of the Scheme, the investment objective, the        SEBI Circular no. SEBI/IMD/CIR No. 10/22701/03 dated December 12,
investment pattern, investment strategy terms of the Scheme restricted        2003 regarding minimum number of investors in the Scheme/ Plan.
to liquidity provisions and aggregate fees and expenses to be charged,        Under the Regulations, the AMC is not permitted to charge any
constitute the fundamental attributes.                                        investment management and advisory services fee on its own investment
In accordance with Regulation 18 (15A), the Trustee shall ensure that         in the Scheme.
there are no changes carried out in the fundamental attributes of the         vi. Investment Limitation and Restrictions
Scheme or the trust or fees and expenses payable or any other change
which would modify the Scheme and affect the interest of Unitholders,         The following investment limitations and other restrictions, inter-alia, as
unless;                                                                       contained in the Trust Deed and the Regulations apply to the Scheme:

(i)   a written communication about the proposed change is sent to            1.     No loans may be advanced by the Mutual Fund and the Fund shall
      each Unitholder and an advertisement is given in one English daily             not borrow except to meet temporary liquidity needs of the Fund
                                                                                     for the purpose of repurchase, redemption of Units or payment of

26
     interest or dividends to Unitholders, provided the Fund shall not          unrated debt securities. However, even where an investment in
     borrow more than 20% of the net assets of the Scheme and the               any unrated debt security(ies) is made as per the said parameters,
     duration of such borrowing shall not exceed a period of six months         the prior approval of the Credit Committee and the Board of the
     or as may be permitted by the Regulations from time to time.               AMC shall be obtained and subsequently, such investments will
2.   The Scheme may invest in another scheme, under the same AMC                be reported to the Board of Trustee in the immediately next Board
     or any other mutual fund provided that the aggregate interscheme           Meeting. Where the proposed investment is not within the
     investments made by all schemes under the same AMC or any                  parameters as mentioned above, approval of the Boards of both
     other mutual fund shall not exceed 5% of the net assets of the             the AMC and the Trustee shall be taken before making the
     Fund or any other limit as prescribed by the Regulations from time         investment.
     to time. The AMC is not permitted by the Regulations to charge        vii. Computation of Net Asset Value
     any investment management and advisory services fee on such           The NAV of the Units of the Scheme will be computed by dividing the
     investments.                                                          net assets of the Scheme by the number of Units outstanding on the
3.   The fund may engage in short selling in accordance with SEBI          valuation date.
     circular no MRD/DoP/SE/Dep/Cir- 14 /2007 dated December 20,           viii. Valuation Norms
     2007 and from such date that SEBI may declare.
                                                                           The Fund shall value its investments according to the valuation norms,
4.   Pending deployment of the funds of the Scheme in terms of the         as specified in the Eighth Schedule of the Regulations, or such guidelines
     investment objective, the Fund can invest the funds of the Scheme     / recommendations as may be specified by SEBI/AMFI from time to time.
     in short term deposits of scheduled commercial banks as per the
     guidelines given in SEBI Circular no. SEBI/IMD/CIR No. 1/91171/       The broad valuation norms are detailed below:
     07 dated April 16 2007.                                               Traded Securities
5.   No Scheme shall make any investment in:                               Traded securities shall be valued at the last quoted price on The National
     a) any unlisted security of an associate or group company of the      Stock Exchange (NSE). However, if the securities are not listed on NSE,
        Sponsor; or                                                        the securities shall be valued at the price quoted at the exchange where
                                                                           they are principally traded.
     b) any security issued by way of private placement by any associate
        or group company of the Sponsor; or                                When on a particular valuation day, a security has not been traded on
                                                                           NSE but has been traded on another stock exchange, the value at
     c) the listed securities of group companies of the Sponsor in         which it is traded on that stock exchange shall be used.
        excess of 25% of its net assets.
                                                                           When a security (other than debt securities) is not traded on any stock
6.   The Scheme shall not invest in any Fund of Funds Scheme, foreign      exchange on a particular valuation day, the value at which it was traded
     securities and derivative instruments.                                on NSE or any other stock exchange as the case may be, on the earliest
7.   The Scheme shall not invest more than 15% of its Net Assets in        previous day may be used, provided that such day is not more than
     debt instruments, including debentures issued by a single issuer      thirty days prior to the valuation date.
     which are rated not below investment grade; such limit may be         Thinly Traded Securities / Non-Traded Securities:
     extended to 20% of the Net Assets of the Scheme with the prior
     approval of the Board of the Trustee and the Board of the AMC;        Thinly Traded/ Non-Traded Debt Securities

     Provided that such limit will not be applicable to investments in     A debt security (other than Government Securities) shall be considered
     Money Market Instruments and Government Securities.                   as a thinly traded security if on the valuation date, there are no individual
                                                                           trades in that security in marketable lots (currently Rs 5 crore) on the
8.   The Scheme shall not invest more than 10% of its Net Assets in        principal stock exchange or any other stock exchange.
     unrated debt instruments, including debentures, (Irrespective of
     residual maturity period) issued by a single issuer and the total     Non-traded/ Thinly traded Debt securities would be valued
     investment in such instruments shall not exceed 25% of the Net        as per the norms set below:
     Assets of the scheme. All such investments shall be as per the        a)   Thinly Traded/ Non Traded Debt Securities of Upto 182 Days to
     parameters approved by the Boards of the Trustee and the AMC.              Maturity:
9.   Wherever investments are intended to be of a long-term nature,        As the money market securities are valued on the basis of amortization
     the securities shall be purchased or transferred in the name of the   (cost plus accrued interest till the beginning of the day plus the difference
     Fund, on account of the Scheme concerned.                             between the redemption value and the cost spread uniformly over the
10. Debentures, irrespective of any residual maturity period (above or     remaining maturity period of the instruments) a similar process should
    below one year), shall attract the investment restrictions as          be adopted for non-traded debt securities with residual maturity of
    applicable for debt instruments as specified under Clause 1 and 1      upto 182 days. Debt securities purchased with residual maturity of
    A of Seventh Schedule to the Regulations.                              upto 182 days are to be valued at cost (including accrued interest till
                                                                           the beginning of the day) plus the difference between the redemption
Modifications, if any, in the Investment Restrictions on account of        value (inclusive of interest) and cost spread uniformly over the remaining
amendments to the Regulations shall supercede/override the provisions      maturity period of the instrument. In case of a debt security with maturity
of the Trust Deed.                                                         greater than 182 days at the time of purchase, the last valuation price
Apart from the above investment restrictions, the Fund follows certain     plus accrued interest should be used instead of purchase cost. All other
internal norms vis-à-vis limiting exposure to scrips, sectors, etc. and    non-traded Non Government debt instruments shall be valued using
these are subject to change from time to time. Presently, the following    the method suggested below.
are some of the internal restrictions followed:                            b)   Thinly Traded /Non Traded Debt Securities of Over 182 Days to
1.   In the case of schemes that invest in debt and money market                Maturity :
     instruments, investment shall be made in accordance with              For the purpose of valuation, all Non Traded Debt Securities would be
     ratingwise and issuerwise limits set for the purpose by the Credit    classified into “Investment grade” and “Non Investment grade” securities
     Committee of the AMC.                                                 based on their credit ratings. The non-investment grade securities would
2.   The Board of Trustee has laid down parameters for investments in      further be classified as “Performing” and “Non Performing” assets.

                                                                                                                                                   27
a.   All Non Government investment grade debt securities, classified as       Fund Regulations, as well as any additions/modifications thereto as
     not traded, shall be valued on yield to maturity basis as described      may be specified by SEBI from time to time, shall be adhered to for the
     below.                                                                   purpose of valuation.
b.   All Non Government non investment grade performing debt                  a) Accrual of expenses and incomes
     securities would be valued at a discount of 25% to the face value.       All expenses and incomes accrued up to the valuation date shall be
c.   All Non Government non-investment grade non-performing debt              considered for the computation of net asset value. For this purpose,
     securities would be valued based on the provisioning norms.              while major expenses like management fees and other periodic expenses
                                                                              shall be accrued on a day to day basis, other minor expenses and
The approach in valuation of non-traded debt securities is based on the
                                                                              income need not be so accrued, provided the non-accrual does not
concept of using spreads over the benchmark rate to arrive at the yields
                                                                              affect the NAV calculations by more than 1%.
for pricing the non-traded security.
The Yields for pricing the non-traded debt security would be arrived at       b) Recording of Securities and Units in the books
using the process as defined below.                                           Any change in the portfolio of securities and in the number of Units
                                                                              held shall be recorded in the books not later than the first valuation
Step A
                                                                              date following the date of transaction. If this is not possible given the
A Risk Free Benchmark Yield is built using the government securities          frequency of the Net Asset Value disclosure, the recording may be
(GOI Sec) as the base. GOI Secs are used as the benchmarks as they are        delayed up to a period of seven days following the date of the
traded regularly; free of credit risk; and traded across different maturity   transaction, provided that as a result of the non-recording, the Net
spectrums every week.                                                         Asset Value calculations shall not be affected by more than 1%. In case
Step B                                                                        the Net Asset Value is affected by more than 1% due to such non-
                                                                              recording of transactions, the investors or the Scheme, as the case may
A Matrix of spreads (based on the credit risk) are built for marking up       be shall be paid the difference in the manner provided in the Regulations.
the benchmark yields. The matrix is built based on traded corporate
paper on the wholesale debt segment of an appropriate stock exchange          c) Calculation of NAV
and the primary market issuances. The matrix is restricted only to            NAV of Units under the Scheme can be calculated as shown below:
investment grade corporate paper.
                                                                                          Market or Fair Value of     Current assets Current Liabilities and
Step C                                                                                    Scheme’s investments +    including Accrued – provisions including
                                                                                                                         Income        accrued expenses
The yields as calculated above are Marked-up/Marked-down for ill-             NAV =
liquidity risk.                                                                                      No. of Units outstanding under the Scheme/Option.
Step D                                                                        NAV for the Scheme and the repurchase prices of the Units will be
                                                                              calculated and announced at the close of each Business Day.
The Yields so arrived are used to price the portfolio
                                                                              Computation of NAV will be done after taking into account dividends
As per the recommendation of AMFI, CRISIL Bond Valuation Matrix is
                                                                              declared, if any, and the distribution tax thereon, if applicable. The
used to arrive at yields for pricing the portfolio.
                                                                              income earned and the profits realized in respect of the Units remain
Money Market Instruments                                                      invested and are reflected in the NAV of the Units.
Investments in call money, bills purchased under rediscounting scheme         ix. Accounting Policies
and short term deposits with banks shall be valued at cost plus accrual.
                                                                              In accordance with the Mutual Fund Regulations, the Fund follows the
Money market instruments other than call money, bills purchased under
                                                                              accounting policies and standards stated below:
rediscounting scheme and short term deposits with banks, shall be
valued at the last traded price on the National Stock Exchange (NSE),         1.   For the Scheme, the AMC shall keep and maintain proper books
and where not traded, shall be valued at the last traded price plus                of accounts, records and documents, so as to explain its transactions
amortization on the basis of the last traded price.                                and to disclose at any point of time the financial position of the
                                                                                   Scheme and in particular give a true and fair view of the state of
Government securities
                                                                                   affairs of the Fund.
Traded and non- traded Government Securities shall be valued as per
                                                                              2.   For the purposes of the financial statements, the Mutual Fund
the prices for Government Securities released by an agency suggested
                                                                                   shall mark all investments to market and carry investments in the
by AMFI for the sake of uniformity in calculation of NAVs across all
                                                                                   balance sheet at market value. However, since the unrealised gain
mutual funds. Accordingly, traded and non-traded government securities
                                                                                   arising out of appreciation on investments cannot be distributed,
are valued at prices obtained from The Credit Rating Information Services
                                                                                   provision shall be made for exclusion of this item when arriving at
of India Limited.
                                                                                   distributable income.
Repo transactions
                                                                              3.   For investments, which are not quoted on a stock exchange,
Where instruments have been bought on ‘repo’ basis, the instrument                 dividend income shall be recognised on the date of declaration.
shall be valued at the resale price after deduction of applicable interest
up to the date of resale. Where an instrument has been sold on a              4.   In respect of all interest-bearing investments, income shall be accrued
‘repo’ basis, adjustment shall be made for the difference between the              on a day-to-day basis as it is earned. Therefore, when such
repurchase price (after deduction of applicable interest up to the date            investments are purchased, interest paid for the period from the
of repurchase) and the value of the instrument. If the repurchase price            last interest due date upto the date of purchase shall not be
exceeds the value, the depreciation shall be provided for and if the               treated as a cost of purchase but shall be debited to Interest
repurchase price is lower than the value, credit shall be taken for the            Recoverable Account. Similarly, interest received at the time of sale
appreciation.                                                                      for the period from the last interest due date up to the date of sale
                                                                                   shall not be treated as an addition to sale value but shall be
The valuation guidelines as outlined above are as per the Regulations              credited to Interest Recoverable Account.
prevailing at present and are subject to change from time to time, in
conformity with changes made by SEBI.                                         5.   In determining the holding cost of investments and the gains or
                                                                                   loss on sale of investments, the “average cost” method shall be
All other guidelines, not covered above and as specified in the Mutual             followed.

28
6.   Transactions for purchase or sale of investments shall be recognized         Load collected, if any, shall be retained under a separate account
     as of the trade date and not as of the settlement date, so that the          in the Scheme and shall be used as stated in the SEBI Regulations.
     effect of all investments traded during a financial year is recorded    13. Following the issue of the Guidance Note on ‘Accounting for
     and reflected in the financial statements for that year. Where              Investments in the Financial Statements of Mutual Funds’ by the
     investment transactions take place outside the stock market, for            Institute of Chartered Accountants of India (pursuant to the
     example, acquisitions through private placement or purchases or             Eleventh Schedule of the SEBI Regulations) net unrealised
     sales through private treaty, the transaction shall be recorded, in         appreciation/ depreciation in value of investments (including
     the event of a purchase, as of the date on which the Scheme                 derivatives) is determined separately for each category of investments.
     obtains an enforceable obligation to pay the price or, in the event         Further, the change in net unrealised appreciation / depreciation,
     of a sale, when the Scheme obtains an enforceable right to collect          if any, between the two Balance Sheet dates/ date of determination
     the proceeds of sale or an enforceable obligation to deliver the            is recognised in the revenue account. Unrealised appreciation is
     instruments sold.                                                           reduced from the distributable income at the time of income
7.   Where income receivable on investments has been accrued and                 distribution. At the end of the financial year the balance in revenue
     has not been received for the period specified in the guidelines            account including net change in unrealised appreciation /
     issued by SEBI, provision shall be made by debiting to the revenue          depreciation in value of investments (including derivatives) is
     account the income so accrued in the manner specified by SEBI in            transferred to the revenue reserve.
     this behalf.                                                            The identification and provisioning of Non Performing Assets (Debt
8.   When Units are repurchased, the difference between the purchase         Securities) shall be in accordance with circular no. MFD/CIR/8/92/2000
     price and the face value of the Unit, if positive shall be debited to   dated September 18, 2000 and modifications thereto vide circular no.
     reserves and, if negative, shall be credited to reserves, the face      MFD/CIR/14/088/2001 dated March 28, 2001, issued by SEBI. The
     value being debited to the capital account. Accordingly, upon           circular dated September 18, 2000 also contains provisions for the
     redemption of units, the net premium or discount to the face            treatment of income accrued on Non Performing Assets (NPA), treatment
     value of units is adjusted against the unit premium reserve of the      of assets on reclassification as performing assets, receipt of past dues,
     Scheme / Options, after an appropriate portion of the issue             disclosures of NPAs on a half yearly basis along with the half yearly
     proceeds and redemption payout is credited or debited respectively      portfolio of the relevant Scheme etc.
     to the income equalisation reserve. The unit premium reserve is         The accounting policies and standards as outlined above are in
     available for dividend distribution except to the extent it is          accordance with the present Mutual Fund Regulations and are subject
     represented by unrealised net appreciation in value of investments.     to change in accordance with changes in the Mutual Fund Regulations.
9.   When Units are sold an appropriate part of the sale proceeds shall      All other policies and standards as specified in the Mutual Fund
     be credited to an Equalisation Account and when Units are               Regulations, as well as any additions/modifications thereto as may be
     repurchased an appropriate amount debited to the Equalisation           specified by SEBI from time to time shall be adhered to while preparing
     Account. The net balance on this account shall be credited or           the books of accounts and financial statements of the Fund.
     debited to the Revenue Account. The balance on the Equalisation
     Account debited or credited to the Revenue Account shall not            The Trustee may, at its discretion, require the Fund to follow more
     decrease or increase the net income of the Fund but is only an          conservative accounting norms than as required by the Regulations in
     adjustment to the distributable surplus. It shall, therefore, be        respect of non-performing assets or assets in default.
     reflected in the Revenue Account only after the net income of the       x. Recording of Investment Decisions
     Fund is determined. Accordingly, Income equalisation reserve is
     maintained by crediting (or debiting) the income equalisation reserve   In respect of debt instruments, records in support of each investment
     account in respect of purchase of units (or redemption of units) by     decision will be maintained. Investments in Government securities, as
     an appropriate amount, which represents the distributable income        they do not carry any credit risk, will be based on the relevant portfolio
     at the time of purchase (or redemption). The balance in the income      strategy. In respect of corporate bonds, as they carry a credit risk, in
     equalisation reserve account is transferred to the revenue account      addition to the duration objective, exposure limits for investment in a
     at the end of the year. The cost of investments acquired or             particular company will be determined from time to time, and investments
     purchased shall include brokerage, stamp duty, applicable taxes         in these companies will be made within these exposure limits.
     and any charge customarily included in the broker’s bought note.        The decision of making investments will be exercised by the Fund
     In respect of privately placed debt instruments any front-end           Managers based on the relevant norms/policy approved by the Board
     discount offered shall be reduced from the cost of the investment.      of the AMC. The role of Mr. Sandesh Kirkire, Chief Executive Officer of
10. Underwriting commission shall be recognised as revenue only              the AMC revolves around ensuring that due diligence is exercised while
    when there is no devolvement on the Scheme. Where there is               making investment decisions, that processes and procedures are
    devolvement on the Scheme, the full underwriting commission              followed, and review is undertaken vis-à-vis norms, policies, mechanisms
    received and not merely the portion applicable to the devolvement        etc. laid down by the Board of the AMC. Performance of the Scheme
    shall be reduced from the cost of the investment.                        will periodically be tabled before the Boards of the AMC and the
                                                                             Trustee respectively. Performance of the Scheme vis-à-vis benchmark
11. For the Scheme, New Fund Offer Expenses comprise Brokerage               indices would be monitored by the Boards of the Trustee and the AMC
    Agents’ commission, advertising and marketing costs, registrar           periodically. Further, the Boards of the Trustee and the AMC will also
    expenses, etc. and printing and dispatch costs. The New Fund             review the performance of the Scheme in the light of performance of
    Offer Expenses will be borne by AMC                                      the mutual fund industry as published from time to time by independent
12. Load Charges:                                                            research agencies and financial newspapers and journals.




                                                                                                                                                   29
                                                      V.           UNITS
A . UNITS ON OFFER
1 . Minimum Subscription Amount                                     8 . Applicable NAV for the scheme
The Fund seeks to collect a minimum subscription amount             Redemption / Switch out:
of Rs. 50,00,000/- (Rupees Fifty Lakhs Only) in the New Fund
                                                                    For Valid Applications accepted
Offer of the Scheme. In the event this amount is not raised
during the New Fund Offer, the amount collected will be                     Upto 3 p.m. on a Business Day, the NAV of such
refunded to the applicants as mentioned under sub-                          Business Day
paragraph ‘Refund’ under paragraph ‘Purchase of Units’ in                   After 3 p.m. on a Business Day, the NAV of the
this Offer Document.                                                        following Business Day
There is no upper limit on the total amount that may be             Further, where the AMC or the Registrar has provided a
collected. After the minimum subscription amount has been           facility to the investors to redeem /switch-out of the Scheme
collected, all valid applications are assured of full allotment.    through the medium of Internet by logging onto specific
2 . New Fund Offer of the Scheme                                    web-sites or telephone and where investors have signed up
                                                                    for using these facilities, the Applicable NAVs will be as
The New Fund Offer of the scheme will be from July 16,
                                                                    provided above.
2008 to July 17, 2008.
                                                                    9 . Facilities Offered to Investors under the Scheme
3 . New Fund Offer Price
                                                                    a) Nomination Facility
The New Fund Offer price of Units under the Scheme will be
Rs. 10 per Unit.                                                    In terms of SEBI Notification dated June 2002 nomination
                                                                    can be made only by individuals on their own behalf, singly
4 . Extension of New Fund Offer                                     or jointly. If the Units are held jointly, all joint Unit Holders
The AMC reserves the right to extend the closing date,              will sign the nomination form. Other than an individual, no
subject to the condition that the New Fund Offer shall not          person including but not limited to a Company, Body
be kept open for more than maximum number of days                   Corporate, PSU, AOP, BOI, Society, Trust, Partnership Firm,
permissible under Regulations. Any such extension shall be          Karta of HUF, Bank, FII and a holder of POA can nominate.
announced by way of a notice in one national newspaper.
                                                                    Unit Holder/s can, at the time an application is made or by
5 . Continuous Offer                                                subsequently writing to a Investor Service Centre, request
These being close-ended Scheme, the Units will not be               for a Nomination Form in order to nominate any one person
offered for Purchase by investors after the New Fund Offer          to receive the Units upon his/her death subject to the
of the Scheme, however, the Unitholders can redeem their            necessary completion of the necessary formalities eg. Proof
units at the redemption price as mentioned under sub-               of the death of the Unit Holder, signature of the nominee,
paragraph ‘Redemption Price’ under paragraph ‘Redemption            furnishing proof of guardianship in case the nominee is a
of Units’ mentioned elsewhere in this Offer Document.               minor, execution of Indemnity Bond of or such other
                                                                    documents as may be required from the nominee in favour
6 . Listing                                                         of and to the satisfaction of the Fund, the AMC, or the
The Scheme, after the New Fund Offer, on a continuous               Trustee.
basis will offer for Redemption of Units at NAV related price       If the nominee is a minor, then the name and address of the
on every Business Day. It is, therefore, not necessary to list      guardian of such nominee shall be provided. An NRI can be
the Units of the Scheme on any exchange even though the             a nominee subject to the Exchange Control Regulations
Scheme is a close - ended Scheme. The Trustee, however,             from time to time. Other than an individual, no person
has the right to list the Units under the Scheme on any stock       including but not limited to Company, Body Corporate, PSU,
exchange/s for better distribution and additional                   AOP, BOI, Society, Trust (other than religious or charitable
convenience to existing/prospective Unitholders. Even if the        trust), Partnership Firm, Karta of HUF, Bank, FII, and a holder
Units are listed, the Fund may continue to offer redemption         of POA can be a nominee.
facility as specified in this Offer Document. Any listing will
come only as an additional facility to investors who wish to        Nomination in respect of the Units stands rescinded upon
use the services of a stock exchange for the purpose of             the redemption of Units. Cancellation of nomination can be
transacting business in the Units of the Scheme.                    made only by those individuals who hold Units on their own
                                                                    behalf singly or jointly and who made the original
7 . Minimum Purchase and Redemption Amount                          nomination. On cancellation of the nomination the
The minimum purchase during the New Fund Offer and                  nomination shall stand rescinded and the AMC/Fund shall
redemption amounts for the scheme is as follows:                    not be under any obligation to transfer the Units in favour
                                                                    of the nominee.
Purchase during New Fund Offer
For both Growth and Dividend Options each Rs. 5,000/-                Transfer of Units/payment to the nominee of the sums shall
and in multiples of Re. 1                                           be valid and effectual against any demand made upon the
                                                                    Trust/AMC and shall discharge the Trust/AMC of all liability
Redemption from existing Unit Accounts *                            towards the estate of the deceased Unit Holder and his/her
For both Growth and Dividend Options each Rs. 1,000 or              successors and legal heirs, executors and administrators.
100 Units                                                           If the Fund or the AMC or the Trustee were to incur, suffer,
If the holding is less than Rs. 1000 or 100 units, after            or any claim, demand, liabilities, proceedings or actions are
processing the redemption request, the entire amount/units          filed or made or initiated against any of them in respect of
will be redeemed from the Scheme.                                   or in connection with the nomination, they shall be entitled
                                                                    to be indemnified absolutely for any loss, expenses, costs,
30
and charges that any of them may suffer or incur absolutely        should note that they should use these services at their own
from the investor’s estate.                                        risk. The Fund, the AMC, the Trustee, along with its directors,
                                                                   employees and representatives shall not be liable for any
b) Transmission
                                                                   damages or injuries arising out of or in connection with the
In case Units are held in a single name by the Unit Holder,        use of internet, mobile phones, Kiosk, etc or its non-use
Units shall be transmitted in favour of the nominee where          including, without limitation, non-availability or failure of
the Unit Holder has appointed a nominee upon production            performance, loss or corruption of data, loss of or damage to
of death certificate or any other documents to the                 property (including profit and goodwill), work stoppage,
satisfaction of the Fund, AMC/Trustee or Registrar. If the         computer failure or malfunctioning, or interruption of
Unit Holder has not appointed a nominee, the Units shall           business; error, omission, interruption, deletion, defect, delay
be transmitted in favour of the Unit Holder’s executor/            in operation or transmission, computer virus, communication
administrator of its estate/Legal heir(s) as the case may be       line failure, unauthorised access or use of information.
on production of death certificate or any other documents
to the satisfaction of the Fund, AMC/Trustee or Registrar.         B . PURCHASE OF UNITS
In case Units are held jointly by more than one registered         1 . Who can invest?
Unit Holder, then upon death of any one of the Unit Holder,        The following are eligible to apply for purchase of the Units:
Units shall be transmitted in favour of the surviving named                Resident Indian Adult Individuals, either singly or
Holder(s) on production of a death certificate or any other                jointly (not exceeding three).
document to the satisfaction of the Fund, AMC/Trustee or
Registrar.                                                                 Parents/Lawful guardians on behalf of Minors.
                                                                           Companies, corporate bodies, registered in India.
The rights in the Units will vest in the nominee, if the joint
holders have nominated any person, upon the death of all                   Registered Societies and Co-operative Societies
Joint Unit Holders upon the nominee producing a death                      authorised to invest in such Units.
certificate or any other document to the satisfaction of the               Religious and Charitable Trusts under the provisions
Fund, AMC/Trustee or Registrar.                                            of 11(5) of the Income Tax Act, 1961 read with Rule
c) Fractional Units                                                        17C of the Income Tax Rules, 1962.
Purchases, redemptions and account balances of Units are                   Trustees of private trusts authorised to invest in mutual
calculated upto three decimal places. Fractional Units in no               fund schemes under their trust deeds.
way affect the investor’s ability to redeem the Units, either in           Partner(s) of Partnership Firms.
part or in full, standing to the credit of the Unitholder.                 Association of Persons or Body of Individuals, whether
d) Switching                                                               incorporated or not.
Unitholders have the option of switching out all or part of                Hindu Undivided Families (HUFs).
their investment in the Scheme. During NFO of the Scheme                   Banks (including Co-operative Banks and Regional
switch in can be made from any other scheme of KMMF. A                     Rural Banks) and Financial Institutions and
switch out has the effect of redemption from the Scheme. All               Investment Institutions.
terms and conditions pertaining to redemption in the Scheme                Non-Resident Indians/Persons of Indian origin
shall apply to a switch. However, no exit load would be                    resident abroad (NRIs) on full repatriation or non-
charged, where the investor chooses to switch his investments              repatriation basis.
into any other scheme / plan of Kotak Mutual Fund on the
                                                                           Other Mutual Funds registered with SEBI.
maturity date, or from one option to other option under the
same scheme any time during the tenure of the scheme.                      Foreign Institutional Investors (FIIs) registered with
                                                                           SEBI.
Systematic Investment Plan (SIP), Systematic
Withdrawal Plan (SWP) and Systematic Transfer                              International Multilateral Agencies approved by the
Plan (STP) are not available under this Scheme.                            Government of India.
                                                                           Army/Navy/Air Force, Para-Military Units and other
e) How to Switch                                                           eligible institutions.
The request for a switch can be either in terms of amount or in            Scientific and Industrial Research Organizations.
terms of the number of Units. Instructions for switching may
be provided by completing a Switch Request form, which would               Provident/Pension/Gratuity and such other Funds as
be available at any of the Official Acceptance Points or at the            and when permitted to invest.
office of the Registrar at Chennai. The duly completed form                Universities and Educational Institutions.
must be submitted at any of the Official Acceptance Points or      Other schemes of Kotak Mahindra Mutual Fund may, subject
at the office of the Registrar at Chennai, on any Business Day.    to the conditions and limits prescribed in the SEBI
The switch is effected by redeeming Units from a Scheme/           Regulations and/or by the Trustee, AMC or Sponsor,
Plan/Option and investing the net proceeds in the other            subscribe to the Units under the Scheme.
Scheme/Plan/Option. The switch-in during the New Fund              The list given above is indicative and the applicable law, if
Offer shall be effected at the New Fund Offer.                     any, shall supersede the list.
f) Transaction through electronic mode                             2 . Purchase Price
The AMC may from time to time offer various facilities to          For purchase during New Fund Offer for the scheme is Rs.
the unitholders through electronic mode such as internet,          10/- per Unit
mobile phones, Kiosk, etc. to facilitate transactions in units
of the scheme. The AMC may enter into such arrangements/           3 . Mode of Payment
agreements as it may deem fit to give effect to the above.         a) Resident Investors
However, investors intending to take benefit of these facilities   Resident investors may make payment for the Units by any

                                                                                                                                31
of the following means:                                           the Trust Deed or the Partnership Deed as the case may be,
     By local Cheques payable in the city in which the            or duly certified copy thereof, along with a certified copy of
     application form is submitted.                               the Memorandum and Articles of Association and/or bye-
                                                                  laws must be lodged at the office of the Registrar at Chennai,
     By a Demand Draft payable in the city in which the           within 7 (Seven) days from the date of the application under
     application form is submitted and drawn on a bank            the New Fund, failing which the application is liable to be
     which is a member of the Bankers Clearing House of           rejected or a request for redemption may not be processed.
     that city. The cost of the DD will be borne by the AMC.
                                                                  Note: The Trustee, at its discretion, may alter or
     In any other manner that may be, from time to time,          add other modes of payment.
     accepted by the AMC for the smooth and efficient
     functioning of the Scheme.                                   4 . Where to submit application forms?
                                                                  Investors may submit completed Application Forms as under:
PLEASE NOTE THAT THE FOLLOWING ARE NOT
ACCEPTED                                                          During the New Fund Offer
            Outstation Cheques                                       1. KMAMCL Authorised Collection Centres
            Post Dated Cheques                                        2. Designated Collection Banks
All cheques and drafts should be crossed “Account Payee           The addresses of the ISCs, Transaction Points,
Only” and drawn in favour of “KOTAK FMP 3M SERIES                 Registrar and Collection Banks respectively are
33”: -                                                            given elsewhere in this Offer Document.
b) NRIs                                                           Application Forms, if sent by post, must be accompanied by
                                                                  Cheques or Demand Drafts payable at the place where the
Repatriation Basis                                                application is being sent, and sent to any of the places
RBI has granted a general permission to Mutual Funds, which       mentioned above.
are referred to in clause (23D) of Section 10 of the Income
                                                                  As per the directives issued by SEBI it is mandatory
Tax Act, 1961, to issue and repurchase Units of the Scheme
                                                                  for an investor to declare his/her bank account
that are approved by SEBI, to NRIs. Further general permission
                                                                  number. To safeguard the interest of Unitholders from
has also been granted to send such Units to NRIs at their
                                                                  loss or theft of their refund orders/redemption cheques,
places of residence or location as the case may be. NRI
                                                                  investors are requested to provide their bank details in the
applications on a repatriation basis will be accepted, if the
                                                                  Application Form.
amount representing the investment is received by inward
remittance through normal banking channels or by debit to         Any application may be accepted or rejected at
NRE/FCNR account of the non-resident investor maintained          the sole and absolute discretion of the Trustee.
with an authorised dealer in India.                               5 . Choice of Option under the Scheme
Non-Repatriation Basis                                            If the applicant does not indicate his choice of Option in the
In the case of NRIs/Persons of Indian Origin seeking to apply     Application Form, the Fund accepts the application as being
for Units on a non-repatriation basis, the applications will be   for the Dividend re-investment option.
accepted, if the amount representing the investment is received   The Investor, however, is free to switch from the Scheme/
by inward remittance through normal banking channels or by        Plan/Option to any other open-ended Scheme/Plan/ Option
debit to the NRE/FCNR/NRO account of the non-resident             of his choice as mentioned under sub - paragraph
investor maintained with an authorised dealer in India.           ‘Switching’ under paragraph ‘Facilities Offered to Investors
Payment whether on a repatriation or a non-repatriation           under the Scheme’ in this Offer Document.
basis, shall be made by Cheques/Demand Drafts crossed             6 . Joint Applicants
“Account Payee Only”, in a similar fashion as in the case
of resident investors.                                            If an Account has more than one holder, only the first-named
                                                                  holder (as determined by the records of the Registrar) will
c)   FIIs                                                         receive all notices and correspondence with respect to the
RBI has granted a general permission to Mutual Funds, which       Account. Such Unitholder will receive the proceeds of any
are referred to in clause (23D) of Section 10 of the Income       redemption requests or dividends or other distributions. In
Tax Act, 1961, to issue and repurchase Units of the Scheme        addition, such holder will have the voting rights, as
that are approved by SEBI to and from FIIs. Further a general     permitted, associated with such Units.
permission has also been granted to send such Units /             In the case of holdings specified as ‘jointly’, all requests
instruments out of India to their global custodians.              have to be signed by all the joint holders. However, in the
Applications of FIIs on a repatriation basis will be accepted     case of holdings specified as ‘any one or survivor’, any one
if the amount representing the investment is received by          of the joint holders may sign such requests.
inward remittance through normal banking channels or out
of funds held in Foreign Currency Account or Non-resident         7 . Allotment
Rupee Account maintained by the FIIs with a designated            Subject to the receipt of the specified Minimum Subscription
branch of an authorised dealer with the approval of RBI.          Amount for the Scheme, full allotment will be made to all
d) Applicants under Power of Attorney,                            valid applications received during the New Fund Offer. The
                                                                  Trustee reserves the right, at their discretion without
     Companies/Corporate Bodies / Registered
                                                                  assigning any reason thereof, to reject any application.
     Societies/ Trusts/Partnerships                               Allotment will be completed within 30 (Thirty) days after the
In the case of an application under a Power of Attorney or        closure of the New Fund Offer
by a limited company, body corporate, registered society,
trust or partnership, the relevant Power of Attorney or the       8 . Account Statement / Unit Certificate
relevant resolution or authority to make the application or       An Account Statement, stating the number of Units allotted,

32
will be sent to each Unitholder within 30 (Thirty) days from         $    For Applicable NAV, please refer sub-paragraph ‘Applicable NAV’
the date of the closure of the New Fund Offer of the Scheme.              under paragraph ‘Units on Offer’ in this Offer Document.
The Account Statement will be non-transferable.                      *    For Exit Load, please refer paragraph ‘Load Structure of the Scheme’
Non-transferable Unit Certificates will be sent, if an applicant          mentioned elsewhere in this Offer Document.
so desires, within 30 (Thirty) days after the receipt of a request   The repurchase price shall not be lower than 95% of the
for the certificate.                                                 NAV.
Units held, either in the form of Account Statements or Unit         2 . How to Redeem?
Certificates are non-transferable. The Trustee reserves the
                                                                     Pre-printed redemption request form will be sent to the
right to make the Units transferable at a later date subject to
                                                                     Unitholders along with the Account Statement. These forms
the Regulations issued from time to time.
                                                                     will also be available at any of the Investor Service Centres
All Units rank pari passu amongst Units within the same              and at the office of the Registrar at Chennai.
Scheme/Plan/Option as to assets and earnings.
                                                                     The fully completed form, can be submitted at any of the
9 . Refund                                                           Investor Service Centres listed in the Offer Document or can
Refund of subscription money to applicants in the case of            be sent to the office of the Registrar at Chennai, in person
minimum subscription amount not being raised or                      or by post.
applications rejected for any other reason whatsoever, will be       Where the Unitholder has opted to transact through the
made within 30 (Thirty) days from the end of the New Fund            Internet, he may redeem his units through the website of
Offer. No interest will be payable on any subscription money         the Registrar, i.e. www.camsonline.com and/or through any
so refunded within the said 30 (Thirty) days. If the Mutual          other website, through which redemption may be facilitated
Fund refunds the amount after the said 30 (Thirty) days,             in future.
interest at the rate of 15% p.a. will be paid to the applicant
and borne by the AMC for the period from the day following           The Unitholder may either request mailing of the redemption
the date of expiry of the said 30 (Thirty) days until the actual     proceeds to his/her address or to be retained at the ISC for
date of the refund. Refund orders will be marked “Account            collection by him/her. If the Unitholder opts for the “D-
Payee only” and drawn in the name of the applicant in the            Kredit” facility, he can receive the amount by a direct credit
case of a sole applicant and in the name of the first applicant      to his bank account.
in all other cases. In both cases, the bank name and bank            3 . Maturity of the Scheme
account number, as specified in the application, will be             The scheme will mature 90 days after the date of allotment
mentioned in the refund order. The bank and/or collection            of the scheme. Without any further act by the Unitholder(s)
charges, if any, will be borne by the applicant.                     all units will be compulsorily redeemed on the Maturity Date
All refund cheques will be mailed by Registered Post or as           of the Scheme, at the Applicable NAV as on that date. If this
per the Regulations.                                                 day is not a Business Day then the immediate following
                                                                     Business Day will be considered as the Maturity Date.
C . REDEMPTION OF UNITS
The Units can be redeemed at the Redemption Price                    4 . Payment of Proceeds
(mentioned elsewhere in this Offer Document).                        Redemption proceeds will be paid by cheques, marked
                                                                     “Account Payee only” and drawn in the name of the
Units purchased by cheque may not be redeemed until after
                                                                     sole holder/first-named holder (as determine by the records
realisation of the cheque.
                                                                     of the Registrar). The Bank Name and No., as specified in the
A Unitholder has the option to request for redemption either         Registrar’s records, will be mentioned in the cheque, which
in amount in rupees or in number of Units. If the redemption         will be payable at par at all the cities designated by the Fund
request indicates both amount in rupees and number of                from time to time. If the Unitholder resides in any
Units, the latter will be considered as being requested. Where       other city, he will be paid by a Demand Draft
a rupee amount is specified or deemed to be specified for            payable at the city of his residence.
redemption, the number of Units redeemed will be computed
                                                                     Redemption cheques will generally be sent to the Unitholder’s
as the amount redeemed divided by the Redemption Price.
                                                                     address, (or, if there is more than one joint holder, the address
Alternatively, a Unitholder can request closure of his account,
                                                                     of the first-named holder) as per the Registrar’s records, by
in which case, the entire Unit balance lying to the credit of
                                                                     courier within 3 (Three) Business Days from the day when the
his account will be redeemed.
                                                                     valid request is accepted at the ISC, but in any case, not later
The Fund reserves the right to redeem the entire amount              than 10 (Ten) Business Days from the date of redemption.
lying to the credit of the Unitholder’s account in the Scheme/       (Please refer sub-paragraph ‘Applicable NAV’ under paragraph
Plan/Option if the Redemption request amount exceeds the             ‘Units on Offer’ in this Chapter for cut-off times for receiving
balance lying to the credit of the Unitholder’s said account         the redemption request).
The number of Units redeemed is subtracted from the                  Redemption proceeds may also be paid to the Unitholder in
Unitholder’s account and a statement to this effect is issued        any other manner viz., through ECS, Direct Credit in to Bank
to the Unitholder.                                                   account, RTGS facility offered RBI or through Banker’s
1 . Redemption Price                                                 cheque, etc as the AMC may decide, from time to time for
                                                                     the smooth and efficient functioning of the Scheme.
The Redemption Price calculated is explained in the following
example:                                                             5 . Redemption by NRIs/FIIs
 Redemption Price      =     Applicable NAV$ x (1 - Exit Load)*      Credit balances in the account of NRIs may be redeemed by
                                                                     such investor in accordance with the procedure described
 Eg: If Applicable NAV =     Rs. 10/-; Exit Load =1.00%, then
                                                                     above in paragraph 2. Such redemption proceeds (after
 Redemption Price      =     10 x (1-1.00%)                          payment of taxes) may be,
                       =     Rs. 9.90/-
                                                                     a)   credited at the NRI investor’s option, to his NRO account

                                                                                                                                          33
     where the payment for the purchase of the Units sold        to SEBI in advance.
     was made out of funds held in NRO account, or
                                                                 Any Units, which, by virtue of these limitations, are not
b)   remitted abroad or at the NRI investor’s option, credited   redeemed on a particular Day, are carried forward for
     to his NRE/FCNR/NRO account, where the Units were           redemption to the next Day for which NAV is declared, in
     purchased on repatriation basis and the payment for         the order in which the requests for redemption were
     purchase of the Units sold was made by inward               received. Redemptions so carried forward are priced on the
     remittance through normal banking channels or out of        basis of the Redemption Price of the Day on which
     the funds held in NRE/FCNR account.                         redemption is made. Under such circumstances, to the extent
In case of an FII, the designated branch of an authorised        multiple redemption requests are received at the same time
dealer may allow remittance of net redemption proceeds           on a single Business Day, redemptions will be made on pro-
(after payment of taxes) or the same may be credited to its      rata basis, based on the size of each redemption request,
Non Resident Rupee Account or the Foreign Currency               the balance amount being carried forward for redemption
Account.                                                         to the next Day(s) for which NAV is declared.

6 . Effect of Redemptions                                        8 . Suspension or Redemption of Units
                                                                 The redemption of Units may be suspended temporarily or
a) On the Fund
                                                                 indefinitely when any of the following conditions exist:
After every redemption, the Unit Capital and Reserves of
the relevant Scheme stand reduced by an amount equivalent        1.   The markets stop functioning or trading is restricted;
to the product of the number of Units redeemed and the           2.   The banking system or securities settlement system is
Applicable NAV as on the date of redemption. Units once               not function for any reason including but not limited to
redeemed are extinguished and cannot be re-issued.                    strike by bank employees
b) On the Unitholder’s account                                   3.   Extreme volatility occurs in the money market /
The balances in the Unitholder’s account stand reduced by             debenture/bond market / foreign exchange market,
the number of Units redeemed. The following table                     which, in the opinion of the Investment Manager, is
illustrates a typical redemption case wherein an exit load of         prejudicial or to the disadvantage to the interests of the
1.00% is charged.                                                     investors;
                                                                 4.   There is a natural calamity, civil strife, complete
 Calculation of Redeemed              If Exit Load of 1.00% is        breakdown of law and order, war, act of God or force
 Units explained:                     chargeable                      majeure; and or
 Unit Balance before Redemption       2305.235                   5.   SEBI, by order, so directs.
 NAV on date of redemption (A)        Rs. 10.412                 In case of suspension of redemption, the approval of the
 Exit Load Chargeable (B)             Rs. 0.1041                 Boards of Directors of the Trustee and the AMC, giving
                                      (10.412 x 1.00%)           details of circumstances and justification for the proposed
 Redemption Price (C) = (A) – (B)     10.3079                    action shall be informed to SEBI in advance.

 If Redemption request is in Rs       Rs. 3500                   9 . Unclaimed Redemption and Dividend Amount
 Redemption price                     Rs. 10.3079                As per circular no. MFD/CIR/9/120/2000, dated November
                                                                 24, 2000 issued by SEBI, the unclaimed redemption and
                                      (10.412-0.1041)
                                                                 dividend amounts shall be deployed by the Fund in call
 No. of Units redeemed                339.546                    money market or money market instruments only. The
                                      (3500 ÷ 10.3079)           investment management fee charged by the AMC for
 No of Units left                     1965.689                   managing such unclaimed amounts shall not exceed 50
                                      (2305.235-339.546)         basis points. The circular also specifies that investors who
                                                                 claim these amounts during a period of three years from
 If Redemption request is in Units    350 Units                  the due date shall be paid at the prevailing Net Asset Value.
 Redemption amount will be            Rs. 103079                 Thus, after a period of three years, this amount can be
                                      (350 x 10.3079)            transferred to a pool account and the investors can claim
                                                                 the said amounts at the NAV prevailing at the end of the
 No of Units left                     1955.235
                                                                 third year.
                                      (2305.235-350)
                                                                 In terms of the circular, the onus is on the AMC to make a
Note: The example in the table above, which includes             continuous effort to remind investors through letters to
theload and NAV figures, is hypothetical and assumed for         take their unclaimed amounts. The information on amount
the sole purpose of the illustration.                            unclaimed and number of such investors for each Scheme
                                                                 shall be disclosed in the annual report sent to the
7 . Right to Limit Redemption                                    Unitholders.
The Board of Directors of the Trustee and the AMC may, in        The AMC will invest the unclaimed redemption/dividend
the general interest of the Unitholders of the Scheme under      amounts under the Scheme in bank fixed deposits. In case
this Offer Document and keeping in view the unforeseen           of a request from the investor claiming the unpaid
circumstances/unusual market conditions, limit the total         redemption/dividend amounts due to him; the investor will
number of Units which may be redeemed on any Business            be paid the same along with the interest on such investment.
Day to 5% of the total number of Units then issued and           Also the investors will be reminded through periodic
outstanding under the Scheme or to such other percentage         communications to claim their unclaimed amounts. The
as the said Boards may determine. In such a case, the            AMC may charge fees for managing these unclaimed
approval of both the Boards, giving details of circumstances     redemption/dividend amounts as permitted under the
and justification for the proposed action shall be informed      Regulations.

34
                  VI .      LOADS          AND          RECURRING                         EXPENSES

A . LOAD STRUCTURE OF THE SCHEME                                    B . FEES AND EXPENSES OF THE SCHEME
Entry Load : Nil                                                    As per the provisions of the Regulations, as amended up to
Where units are allotted upon reinvestment of Dividends/            date, the following fees and expenses are applicable to the
Bonus Units : Nil                                                   Scheme:

Exit Load : 1.00% if redeemed before maturity of the                1 . New Fund Offer Expenses
scheme                                                              The New Fund Offer expenses for the scheme comprising of
                                                                    Broker/Agent’s commission, advertising, publicity, marketing,
Where units are allotted upon reinvestment of Dividends/
                                                                    registrar expenses, etc shall be borne by the AMC
Bonus Units: Nil
                                                                    As such, for every Rs. 100 contributed by the investor, the
However, where an investor wants to switch his investments
                                                                    entire amount of Rs. 100 will be available to the Scheme for
into any other scheme/plan of Kotak Mutual Fund on the
                                                                    investment.
maturity date, or from one option to other option under the
same scheme, no exit load will be charged.                          2 . New Fund Offer Expenses incurred by the Schemes
The Exit Load will not be charged on redemption of Units by         The New Fund Offer Expenses for all the schemes are
the Fund on the Maturity Date.                                      summarised below:



 Scheme                                        Allotment Date          New Fund Offer       Borne by the         Borne by the
                                                                          Expenses              AMC               Scheme **
                                                                         (Rs. Lakhs)         (Rs. Lakhs)          (Rs. Lakhs)

 Kotak   FMP 14M Series 1                      February 21, 2007             3.78                —                  In full
 Kotak   FMP 15M Series 1                      October 14, 2006             13.48                —                  In full
 Kotak   FMP 15M Series 2                      February 5, 2007              6.51                —                  In full
 Kotak   FMP 16M Series 1                      December 28, 2006             7.48              In full                —
 Kotak   Dynamic Asset Allocation Scheme       December 28, 2006          2689.76                —                  In full
 Kotak   Flexi Fund of Funds - Series 1        April 7, 2006              1071.73                —                  In full
 Kotak   Flexi Fund of Funds - Series 2        July 28,2006               1382.51                —                  In full
 Kotak   FMP Series 24                         May 5, 2006                   2.32              In full                —
 Kotak   FMP Series 26                         July 12, 2006                 6.24                —                  In full
 Kotak   FMP Series 27                         June 2, 2006                  4.90              In full                —
 Kotak   FMP 3M Series 1                       June 29, 2006                 2.47              In full                —
 Kotak   FMP 3M Series 2                       July 7, 2006                  1.95              In full                —
 Kotak   FMP 3M Series 3                       September 22, 2006            6.74              In full                —
 Kotak   FMP 3M Series 4                       September 28, 2006            3.71              In full                —
 Kotak   FMP 3M Series 5                       October 18, 2006              6.16              In full                —
 Kotak   FMP 3M Series 6                       November 10, 2006             3.28              In full                —
 Kotak   FMP 3M Series 7                       December 28, 2006             7.91              In full                —
 Kotak   FMP 3M Series 8                       January 17,2007               6.15              In full                —
 Kotak   FMP 3M Series 9                       January 25, 2007              3.53              In full                —
 Kotak   FMP 3M Series 10                      February 9, 2007              5.17              In full                —
 Kotak   FMP 3M Series 11                      March 1, 2007                 3.13              In full                —
 Kotak   FMP 6M Series 1                       June 16, 2006                 4.60              In full                —
 Kotak   FMP 6M Series 2                       November 3, 2006              4.73              In full                —
 Kotak   FMP 6M Series 3                       November 16, 2006             1.77              In full                —
 Kotak   Twin Advantage Series 2               June 9, 2006                251.24                —                  In full
 Kotak   Twin Advantage Series 3               September 15, 2006          992.82                —                  In full
 Kotak   Wealth Builder Series 1               February 27, 2007          1272.16                —                  In full
 Kotak   FMP 13M Series 1                      March 15, 2007               47.39                —                  In full
 Kotak   FMP 14M Series 2                      March 22, 2007               33.77                —                  In full
 Kotak   FMP 3M Series 12                      March 21, 2007                0.48              In full                —
 Kotak   FMP 3M Series 14                      March 29, 2007                0.48              In full                —
 Kotak   FMP 13M Series 2                      March 29, 2007               40.39                —                  In full

                                                                                                                                35
 Scheme                                          Allotment Date          New Fund Offer       Borne by the        Borne by the
                                                                            Expenses              AMC              Scheme **
                                                                           (Rs. Lakhs)         (Rs. Lakhs)         (Rs. Lakhs)

 Kotak FMP 3M Series 13                          March 28, 2007                0.46              In full               —
 Kotak Emerging Equity Scheme                    March 30, 2007             1612.11              113.38             1498.73
 Kotak FMP 3M Series 15                          April 20, 2007                0.47              In full               —
 Kotak FMP 3M Series 16                          April 27, 2007                0.44              In full               —
 Kotak FMP 3M Series 17                          May 11, 2007                  0.43              In full               —
 Kotak FMP 15M Series 3                          May 18, 2007                 19.80                 —                In full
 Kotak FMP 3M Series 18                          May 18, 2007                  0.48              In full               —
 Kotak FMP 3M Series 19                          June 1, 2007                  0.47              In full               —
 Kotak FMP 3M Series 20                          June 07, 2007                 0.47              In full               —
 Kotak FMP 3M Series 21                          June 20, 2007                 0.49              In full
 Kotak FMP 3M Series 22                          June 28, 2007                 0.47              In full                —
 Kotak FMP 12M Series 1                          June 26, 2007                18.04                 —                In full
 Kotak FMP 3M Series 24                          August 23, 2007               0.49              In full                —
 Kotak FMP 3M Series 25                          September 4, 2007             0.49              In full                —
 Kotak FMP 3M Series 26                          November 15, 2007             0.37              In full                —
 Kotak Quarterly Interval Plan - Series   1      September 19, 2007            0.47              In full                —
 Kotak Quarterly Interval Plan - Series   2      September 27, 2007            0.47              In full                —
 Kotak Quarterly Interval Plan - Series   3      November 22, 2007             0.52              In full                —
 Kotak Quarterly Interval Plan - Series   4      December 4, 2007              0.52              In full                —
 Kotak FMP 17M Series 1                          December 11, 2007             9.61                 —                In full
 Kotak FMP 12M Series 2                          September 29, 2007           18.49                 —                In full
 Kotak FMP 12M Series 4                          November 10, 2007            16.13                 —                In full
 Kotak Blended Fund of Funds                     November 28, 2007           704.21                 —                In full
 Kotak Gold ETF                                  July 27, 2007                90.19               72.23               17.96
 Kotak PSU BANK ETF                              November 8, 2007              3.69                2.22                1.47
 Kotak Global Emerging Market Fund               September 26, 2007         2555.37                 —                In full
 Kotak FMP 12M Series 2                          September 29, 2007           18.49                —                 In full
 Kotak FMP 12M Series 4                          November 10, 2007            16.13                —                 In full
 Kotak FMP 3M Series 26                          November 15, 2007             0.37              In full               —
 Kotak Blended Fund of Funds                     November 28, 2007           704.21                —                 In full
 Kotak FMP 17M Series 1                          December 11, 2007             9.61                —                 In full
 Kotak FMP 16M Series 2                          January 18, 2008             11.15                 —                In full
 Kotak Quarterly Interval Plan - Series 5        January 22, 2008              0.52              In full               —
 Kotak Indo World Infrastructure Fund            January 25, 2008           5812.48               51.54             5760.94
 Kotak Quarterly Interval Plan - Series 6        February 14, 2008             0.52              In full               —
 Kotak FMP 14M Series 3                          February 22, 2008            18.09              In full               —
 Kotak FMP 14M Series 4                          March 11, 2008               13.09              In Full               —
 Kotak FMP 13M Series 3                          March 20, 2008               25.31              In Full               —
 Kotak FMP 13M Series 4                          March 28, 2008               54.24              In Full               —
 Kotak FMP 3M Series 27                          March 11, 2008                0.53              In Full               —
 Kotak FMP 3M Series 28                          March 18, 2008                0.53              In Full               —
 Kotak FMP 3M Series 29                          April 16, 2008                0.53              In Full               —

* * The new fund offer expenses borne by the schemes are being        3 . Recurring Expenses of the Scheme
    amortised as per the Regulations.
                                                                      The estimate of the ongoing fees and expenses of operating
The new fund offer expenses of the schemes did not vary               the Scheme on an annual basis, expressed as a percentage
adversely from the estimated expenses of the respective               of the amount of the Scheme’s daily average net assets is
schemes.                                                              given in the table below. The purpose of the table is to
                                                                      assist the investor in understanding various heads of costs
                                                                      and expenses that an investor in the Scheme will bear
                                                                      directly or indirectly.

36
Recurring Expenses                                                  however the expenses charged will not exceed the statutory
                                                                    limit prescribed by the Regulations.
                                                  (% per annum of
                                                                    The above estimates are based on an amount of Rs. 100
                  Description                       daily average   crores for the Scheme and will change to the extent assets
                                                     net assets)    are lower or higher.
 Investment Management and Advisory                    1.250        The recurring expenses under the Scheme (including
 Services Fees payable to AMC                                       investment and advisory fees) will be subject to the following
 Trustee Fees                                          0.050        maximum limits (as a percentage of Weekly Average Net
                                                                    Assets of the Scheme) as per Regulation 52(6). Expenses
 Custodian Fees                                        0.030        over and above the permitted limit under the applicable
 Marketing and Selling Expense                         0.500        Regulations will be borne by the AMC.
 (incl. Agents commission)
                                                                      Weekly Average Net Assets (Rs.)
 Registrar and Transfer Agent Fees                     0.200
                                                                      First 100 crores                             2.25%
 Other Operational Expenses attributable to the        0.220          Next 300 crores                              2.00%
 scheme (including rating fees and service tax)                       Next 300 crores                              1.75%
 TOTAL ANNUAL RECURRING                                2.250          Balance Assets                               1.50%
 EXPENSES (ESTIMATED)                                               The AMC may charge the Scheme with investment and
                                                                    advisory fees subject to the currently applicable maximum
These estimates are made in good faith by the Investment            limits (as a percentage of Weekly Average Net Assets of the
Manager and are subject to change, both inter se and as an          Scheme) as per Regulation 52(2).
increase or decrease in the estimated total annual recurring
expenses. Though the Investment Manager will make efforts            Weekly Average Net Assets outstanding          Fees
to keep the recurring expenses to the minimum, actual                in each accounting year (Rs.)                  chargeable
expenses under any head and / or the total expenses may be           First 100 crores                               1.25%
more or less than the estimates. The Investment Manager
retains the right to charge the actual expenses to the Fund,         On Balance Assets                              1.00%




                                                                                                                                 37
     VII.          UNITHOLDERS’                                 RIGHTS                 AND             SERVICES
A . UNITHOLDERS’ RIGHTS                                                 in stock. The addendum may also be sent alongwith
1.   Unitholders under the Scheme have a proportionate                  the newsletter sent to the Unitholders after the changes.
     right in the beneficial ownership of the assets of the             Arrangements may be made to display the changes/
     Scheme and to the dividend declared, if any, by the                modifications in the offer document in the form of a
     Fund under the Scheme.                                             notice in all the investor service centres and distributors/
                                                                        brokers office.
2.   The Trustee shall be bound to make such disclosures to
     the Unitholders as are essential in order to keep them         B . VOTING RIGHTS OF THE UNITHOLDERS
     informed about any relevant information, especially            Subject to the provisions of the Regulations as amended
     which may have an adverse bearing on their investments.        from time to time, the consent of the Unitholders shall be
3.   If the Fund declares a dividend under the Scheme, it is        obtained, entirely at the option of the Trustee, either at a
     required to dispatch dividend warrants within 30 days          meeting of the Unitholders or through postal ballot. Only
     from the date of declaration of the dividend.                  one Unitholder in respect of each folio or account
                                                                    representing a holding shall vote and he shall have one vote
4.   The Fund is required to dispatch redemption cheques            in respect of each resolution to be passed.
     within 10 Business Days from the date of redemption. If
     the Fund fails to send the redemption cheques after the        C . ACCOUNT STATEMENTS
     said 10 Business days, interest at the rate of 15% p.a. will   An Account Statement, stating the number of Units allotted/
     be paid to the applicant and borne by the AMC for the          redeemed, will be sent to each Unitholder within 30 (Thirty)
     period from the day following the date of expiry of the        days from the date of the transaction. The account statements
     said 10 Business days until the actual date of the refund.     will be sent to Unitholders in accordance with SEBI circular
                                                                    dated November 20, 2006. An Account Statement may be
5.   The appointment of an AMC for the Fund may, with the           sent to a Unitholder using e-mail with the consent of the
     prior approval of SEBI, be terminated by 75% of the            Unitholder. Account Statements to be issued in lieu of Unit
     Unitholders or by a majority of the Board of Directors of      Certificates under the Scheme are non-transferable. These
     the Trustee.                                                   Account Statements shall not be construed as proof of title
6.   Unitholders have the right to inspect all the documents        and are only computer printed statements, indicating the
     listed under the heading “Documents Available for              details of transactions under the Scheme concerned during
     Inspection”.                                                   the relevant financial year and giving the closing balance of
7.   75% of the Unitholders of the Scheme can pass a                Units for the information of Unitholders. The Trustee may
     resolution to wind-up the Scheme.                              issue a Unit Certificate in lieu of Account Statement in respect
                                                                    of Units held, to those Unitholders who request for the same,
8.   The Trustee is obliged to convene a meeting of the             after receipt of a specific request from the Unitholder
     Unitholders of a Scheme on the requisition of 75% of           concerned, at the cost and expense of the Unitholder or
     the Unitholders of the Scheme.                                 otherwise, as may be decided from time to time. Any
9.   The Trustee is obliged to obtain the consent of the            discrepancy in the Account Statement / Unit Certificate should
     Unitholders -                                                  be brought to the notice of the Fund/AMC immediately.
                                                                    Contents of the Account Statement / Unit Certificate will be
     a) whenever required to do so by SEBI in the interest          deemed to be correct if no error is reported within 30 days
        of the Unitholders; or                                      from the date of Account Statement / Unit Certificate. Further,
     b) whenever required to do so on a requisition made by         the Trustee also reserves the right to issue, on an ongoing
        three-fourths of the Unitholders of any Scheme; or          basis, in lieu of Account Statements, Transaction Confirmation
                                                                    Slips, therein indicating the price and the Units debited or
     c) when the majority of the Board of Directors of the
                                                                    credited to the Account of the Investor/Unitholder, along with
        Trustee decides to wind up or prematurely redeem
                                                                    the closing balance of his Account. Under this system, a
        the Units.
                                                                    periodical statement of holdings of the Investor in the relevant
10. The Trustee shall ensure that no change in the                  Scheme of KMMF will be given.
    fundamental attributes of any scheme or the trust or
    fees and expenses payable or any other change which             D . USE OF POSTAL SERVICES FOR DISPATCH OF
    would modify the scheme and affects the interest of                 DIVIDEND WARRANTS AND ACCOUNT
    Unitholders, is carried out unless,                                 STATEMENTS.
     i.   a written communication about the proposed                The investor is aware that the mutual fund needs to use
          change is sent to each Unitholder and an                  intermediaries such as post office, local and international
          advertisement is given in one English daily newspaper     couriers, banks and other intermediaries for correspondence
          having nationwide circulation as well as in a             with the investor and for making payments to the investor
          newspaper published in the language of the region         by cheques, drafts, warrants through ECS etc. The investor
          where the Head Office of the Fund is situated; and        expressly agrees and authorizes the mutual fund to
                                                                    correspond with the investor or make payments to the
     ii. the Unitholders are given an option to exit at the         investor through intermediaries including but not limited
         prevailing Net Asset Value without any Exit Load.          to post office, local and international couriers and banks.
11. For any change in the scheme features, the addendum             The investor clearly understands the mutual fund uses such
    detailing such changes may be attached to the offer             intermediaries for the convenience of the investor and such
    documents and key information memorandum. The                   intermediaries are agents of the investor and not of the
    addendum may be circulated to all the distributors/             mutual fund. The mutual fund is not responsible for delayed
    brokers so that the same can be attached to all offer           receipt or non receipt of any correspondence or payment
    documents and key information memorandum already                through such intermediaries.
38
Applicants / Unit holders may contact our Investor Service                 through an advertisement in one English daily
Centres / their distributors, if any for any additional                    newspaper circulating in the whole of India and in a
information/clarifications. Also, please visit our website                 newspaper published in the language of the region
www.kotakmutual.com for any related information.                           where the Registered Office of the Trustee is situated,
                                                                           before the expiry of one month from the close of each
E . NAV INFORMATION
                                                                           half year, that is the 31st of March and the 30th of
The NAVs of the Scheme will be calculated and announced                    September. The same will also be posted on the website
by the Fund on each Business Day in at least two daily                     of the Fund and that of AMFI.
newspapers. NAV information will also be posted, on each
Business Day, on the Fund’s website - www.kotakmutual.com             3.   A complete statement of the portfolio of the Scheme
and on the AMFI website - www.amfiindia.com.                               will either be sent to all Unitholders, or published by
                                                                           way of an advertisement, before the expiry of one month
Investors may obtain information on loads on any Business                  from the close of each half year, that is the 31st of
Day by calling the office of the AMC or any of the Investor                March and the 30th of September, in one English daily
Service Centers. Information on applicability of loads will                newspaper circulating in the whole of India and in a
also be provided in the Account Statement.                                 newspaper published in the language of the region
F.     DISCLOSURE OF INFORMATION UNDER THE                                 where the head office of the Trustee is situated. The
       REGULATIONS                                                         same will also be posted on the website of the Fund.
1.     The Schemewise Annual Report / an abridged summary             4    In case any company has invested more than 5% of the Net
       thereof, will be prepared and mailed to all Unitholders;            Asset Value of any scheme of the Fund, investment made by
       as soon as may be but not later than six months from the            that scheme or any other scheme of the Fund in that company
       date of closure of the relevant financial year. Whenever            or its subsidiaries will be disclosed, as required by the
       the report is sent in summary form, the full Annual Report          Regulations, to the Trustee and in the half-yearly and annual
       will be made available for inspection at the Registered             accounts, with justification for such investments. As on
       Office of the Trustee and a copy, made available on                 March 31 2008, the following companies have made
       request to the Unitholders on payment of a nominal fee.             investments in the schemes of the Fund in excess of 5% of
                                                                           the net asset value and during this period, other schemes of
2.     The unaudited financial results will be published                   the Fund invested in these companies.
                                                                                                                       (Rupees in Lakhs)
     Company                                 Schemes invested in by                 Investing Scheme/(s)                Aggregate
                                                 the company                                                       investments made
                                                                                                                    by the scheme/(s)
                                                                                                                     in the company
                                                                                                                      for the period
                                                                                                                    under regulation

 AXIS Bank Ltd.                          Kotak Floater Short Term           Kotak 30                                      5280.16
                                                                            Kotak Balance                                  881.08
                                                                            Kotak FMP 3m Series 14                        9845.42
                                                                            Kotak FMP 3m Series 15                         488.56
                                                                            Kotak FMP 3m Series 17                        4375.71
                                                                            Kotak FMP 3m Series 5                          493.37
                                                                            Kotak FMP 3m Series 8                         4374.07
                                                                            Kotak FMP- Series XXI                         2428.83
                                                                            Kotak Liquid                                 24892.77
                                                                            Kotak Flexi Debt                             11494.36
                                                                            Kotak Floater Short Term                      3007.39
                                                                            Kotak Floater Short Term                      3007.39
                                                                            Kotak Income Plus                             1065.81
                                                                            Kotak Lifestyle                               1248.01
                                                                            Kotak Midcap                                   160.24
                                                                            Kotak Opportunities                           1802.06
                                                                            Kotak Tax Saver                               1279.77
                                                                            Kotak Dynamic Asset Allocation                4314.63
                                                                            Kotak Equity Arbitrage Fund                    515.82
                                                                            Kotak Flexi Debt                             11494.36
                                                                                                                         92449.78
 Balaji Telefilms Ltd.                   Kotak Cash Plus                    Kotak Balance                                  166.59
                                                                            Kotak Technology                                93.20
                                                                            Kotak Income Plus                               10.66
                                                                            Kotak Lifestyle                                256.17
                                                                            Kotak Midcap                                   247.16
                                                                                                                           773.78
 Bank of India                           Kotak Floater Short Term           Kotak 30                                       346.84
                                                                            Kotak Balance                                  142.23
                                                                            Kotak Bond Short Term                          500.00

                                                                                                                                        39
                                                                                                        (Rs. In Lakhs)
 Company                    Schemes invested in by          Investing Scheme/(s)                     Aggregate
                                the company                                                     investments made
                                                                                                 by the scheme/(s)
                                                                                                  in the company
                                                                                                   for the period
                                                                                                 under regulation
                                                     Kotak Midcap                                       574.00
                                                     Kotak Opportunities                               1730.01
                                                     Kotak Tax Saver                                    168.12
                                                     Kotak Equity Arbitrage Fund                        362.27
                                                     Kotak Psu Bank ETF                                 312.71
                                                                                                       4136.17
 Bharti Airtel Ltd.       Kotak Floater Short Term   Kotak 30                                         10948.55
                                                     Kotak Balance                                     1183.35
                                                     Kotak MNC                                          666.24
                                                     Kotak Technology                                   256.61
                                                     Kotak Income Plus                                  286.89
                                                     Kotak Lifestyle                                   7245.98
                                                     Kotak Opportunities                               1770.94
                                                     Kotak Tax Saver                                   2020.34
                                                     Kotak Dynamic Asset Allocation                     195.67
                                                     Kotak Equity Arbitrage Fund                         97.84
                                                                                                      24672.42
 Birla Corporation Ltd.   Kotak FMP 13M Series 2     Kotak Liquid                                      5500.00
                                                     Kotak Floater Short Term                          2000.00
                                                     Kotak Floater Short Term                          2000.00
                                                     Kotak Midcap                                       668.57
                                                     Kotak Equity Arbitrage Fund                        193.35
                                                                                                      10361.93
 Corporation Bank         Kotak Floater Short Term   Kotak Bond Short Term                              915.84
                                                     Kotak Floater Long Term                            915.82
                                                     Kotak FMP 12m Series 1                            1846.94
                                                     Kotak Liquid                                      7457.63
                                                     Kotak Flexi Debt                                  5608.95
                                                     Kotak Floater Short Term                          1888.38
                                                     Kotak Floater Short Term                          1888.38
                                                     Kotak Tax Saver                                    456.98
                                                     Kotak FMP 13m Series 2                            2265.58
                                                     Kotak FMP 15m Series 1                            1931.46
                                                     Kotak Flexi Debt                                  5608.95
                                                     Kotak Psu Bank Etf                                 209.14
                                                     Kotak Quarterly Interval Plan-Series II           2454.68
                                                                                                      33448.75
 DLF Limited              Kotak Liquid               Kotak 30                                          3105.61
                                                     Kotak Balance                                       83.24
                                                     Kotak FMP 12m Series 4                            2297.98
                                                     Kotak Liquid                                     58203.43
                                                     Kotak Flexi Debt                                 22355.48
                                                     Kotak Lifestyle                                    554.43
                                                     Kotak Opportunities                               2816.44
                                                     Kotak Tax Saver                                    422.12
                                                     Kotak Dynamic Asset Allocation                      11.06
                                                     Kotak Emerging Equity Scheme                       468.01
                                                     Kotak FMP 13m Series 1                            4787.52
                                                     Kotak FMP 13m Series 2                            4787.52
                                                     Kotak FMP 14m Series 2                            4824.61
                                                     Kotak FMP 16m Series 2                             941.25
                                                     Kotak Flexi Debt                                 22355.48
                                                     Kotak Indo World Infrastructure Fund              1557.52
                                                                                                    129571.67
 ECL Finance Limited      Kotak Liquid               Kotak Liquid                                    47000.00
                                                     Kotak Flexi Debt                                79500.00
                                                     Kotak Flexi Debt                                79500.00
                                                     Kotak Quarterly Interval Plan-Series III         4000.00
40
                                                                                                              (Rs. In Lakhs)
Company                            Schemes invested in by           Investing Scheme/(s)                   Aggregate
                                       the company                                                    investments made
                                                                                                       by the scheme/(s)
                                                                                                        in the company
                                                                                                         for the period
                                                                                                       under regulation

                                                                                                          210000.00
Edelweiss Capital Ltd.         Kotak MNC                    Kotak Balance                                      5.82
                                                            Kotak Liquid                                   36000.00
                                                            Kotak Contra                                       8.75
                                                            Kotak Flexi Debt                               13479.34
                                                            Kotak Income Plus                                  2.24
                                                            Kotak Lifestyle                                   18.05
                                                            Kotak Midcap                                      16.03
                                                            Kotak Opportunities                               18.51
                                                            Kotak Tax Saver                                   25.31
                                                            Kotak Emerging Equity Scheme                      20.49
                                                            Kotak Equity Arbitrage Fund                       15.92
                                                            Kotak Flexi Debt                               13479.34
                                                            Kotak Quarterly Interval Plan-Series II         2485.12
                                                                                                            65574.93
Export-Import Bank of India.   Kotak Floater Short Term     Kotak Bond                                        494.75
                                                            Kotak Liquid                                    22552.13
                                                            Kotak Flexi Debt                                31118.34
                                                            Kotak Floater Short Term                          486.77
                                                            Kotak Floater Short Term                          486.77
                                                            Kotak Wealth Builder Series I                    2139.94
                                                            Kotak Dynamic Asset Allocation                   5049.76
                                                            Kotak Emerging Equity Scheme                      485.77
                                                            Kotak Flexi Debt                                31118.34
                                                                                                            93932.56
Financial Technologies         Kotak Cash Plus              Kotak Technology                                  143.59
(India) Ltd.                                                Kotak Floater Short Term                          476.49
                                                            Kotak Floater Short Term                          476.49
                                                            Kotak Midcap                                      379.39
                                                            Kotak Opportunities                               557.04
                                                            Kotak Tax Saver                                   517.95
                                                            Kotak Emerging Equity Scheme                      684.19
                                                            Kotak FMP 13m Series 1                           1905.82
                                                                                                             5140.95
GMR Infrastructure Ltd.        Kotak Liquid                 Kotak 30                                         2092.82
                                                            Kotak Opportunities                               340.43
                                                            Kotak Tax Saver                                   657.12
                                                            Kotak Emerging Equity Scheme                      748.58
                                                            Kotak Equity Arbitrage Fund                      1162.06
                                                            Kotak Indo World Infrastructure Fund             1573.95
                                                                                                            6574.95
GTL Ltd                        Kotak Floater Short Term     Kotak Equity Arbitrage Fund                      860.61
Global Trade Finance Ltd.      Kotak Floater Short Term     Kotak Bond Short Term                           1700.00
                                                            Kotak Floater Long Term                          600.00
                                                            Kotak FMP 3m Series 1                           1000.00
                                                            Kotak FMP 3m Series 10                          5000.00
                                                            Kotak FMP 3m Series 15                          4200.00
                                                            Kotak FMP 3m Series 16                          4300.00
                                                            Kotak FMP 3m Series 2                           1500.00
                                                            Kotak FMP- Series 20                            1500.00
                                                            Kotak FMP- Series I                             2500.00
                                                            Kotak FMP- Series XII                           3000.00
                                                            Kotak FMP- Series XVI                            500.00
                                                            Kotak FMP- Series XVIII                         3500.00
                                                            Kotak Liquid                                  158767.53
                                                            Kotak Flexi Debt                               18300.00
                                                            Kotak Floater Short Term                        6600.00

                                                                                                                           41
                                                                                                (Rs. In Lakhs)
 Company                      Schemes invested in by          Investing Scheme/(s)           Aggregate
                                  the company                                           investments made
                                                                                         by the scheme/(s)
                                                                                          in the company
                                                                                           for the period
                                                                                         under regulation

                                                       Kotak Floater Short Term                6600.00
                                                       Kotak Flexi Debt                       18300.00
                                                                                            237867.53
 Grasim Industries Ltd.   Kotak Flexi Debt             Kotak 30                               7964.07
                                                       Kotak Balance                           602.35
                                                       Kotak Liquid                          28200.00
                                                       Kotak Contra                            708.93
                                                       Kotak Floater Short Term               3800.00
                                                       Kotak Floater Short Term               3800.00
                                                       Kotak Income Plus                       136.74
                                                       Kotak Tax Saver                         520.44
                                                       Kotak Twin Advantage Sr III            1600.00
                                                       Kotak Dynamic Asset Allocation           42.03
                                                       Kotak Equity Arbitrage Fund             105.14
                                                                                             47479.70
 HDFC Bank Ltd.           Kotak Liquid                 Kotak 30                               2768.59
                                                       Kotak Bond Short Term                   985.60
                                                       Kotak Floater Long Term                3449.60
                                                       Kotak FMP 3m Series 14                 2441.33
                                                       Kotak FMP 3m Series 16                 1470.17
                                                       Kotak FMP 3m Series 17                18338.76
                                                       Kotak FMP 3m Series 22                 2476.49
                                                       Kotak FMP 3m Series 3                 12810.20
                                                       Kotak FMP 3m Series 4                  7873.60
                                                       Kotak FMP 3m Series 5                  4908.15
                                                       Kotak FMP 3m Series 7                   978.75
                                                       Kotak FMP 3m Series 8                  2463.03
                                                       Kotak FMP- Series 19                   2350.59
                                                       Kotak FMP- Series XVIII                2450.01
                                                       Kotak Liquid                         113163.21
                                                       Kotak Flexi Debt                       9494.23
                                                       Kotak Floater Short Term               4756.05
                                                       Kotak Floater Short Term               4756.05
                                                       Kotak Income Plus                         8.50
                                                       Kotak Lifestyle                        3545.67
                                                       Kotak Twin Advantage Sr III             472.27
                                                       Kotak Dynamic Asset Allocation           52.49
                                                       Kotak Flexi Debt                       9494.23
                                                                                            211507.57
 ICICI Bank Ltd.          Kotak Liquid                 Kotak 30                              11147.23
                                                       Kotak Balance                          1112.48
                                                       Kotak Bond                              202.65
                                                       Kotak Bond Short Term                  7530.61
                                                       Kotak Floater Long Term                2858.33
                                                       Kotak FMP 3m Series 10                 1952.77
                                                       Kotak FMP 3m Series 12                 2441.31
                                                       Kotak FMP 3m Series 17                10275.48
                                                       Kotak FMP 3m Series 18                 5691.39
                                                       Kotak FMP 3m Series 3                  2457.32
                                                       Kotak FMP 3m Series 7                  2463.55
                                                       Kotak FMP 3m Series 9                   984.74
                                                       Kotak FMP 6m Series 2                   954.82
                                                       Kotak FMP- Series 13                   3681.41
                                                       Kotak FMP- Series 25                   2488.68
                                                       Kotak FMP- Series XXI                  2478.63
                                                       Kotak Liquid                         301503.58
                                                       Kotak Contra                            724.96
                                                       Kotak Flexi Debt                      84743.70
                                                       Kotak Floater Short Term              18940.30
42
                                                                                                          (Rs. In Lakhs)
Company                               Schemes invested in by            Investing Scheme/(s)           Aggregate
                                          the company                                             investments made
                                                                                                   by the scheme/(s)
                                                                                                    in the company
                                                                                                     for the period
                                                                                                   under regulation

                                                                 Kotak Floater Short Term               18940.30
                                                                 Kotak Global India                      1219.76
                                                                 Kotak Income Plus                        213.71
                                                                 Kotak Lifestyle                        10676.18
                                                                 Kotak Opportunities                     2572.27
                                                                 Kotak Tax Saver                         3291.01
                                                                 Kotak Twin Advantage Sr II              1317.23
                                                                 Kotak Twin Advantage Sr III              479.03
                                                                 Kotak Dynamic Asset Allocation          7781.74
                                                                 Kotak Emerging Equity Scheme            8592.32
                                                                 Kotak Equity Arbitrage Fund             2083.53
                                                                 Kotak FMP 13m Series 1                  7300.45
                                                                 Kotak FMP 13m Series 2                  5555.24
                                                                 Kotak FMP 15m Series 1                   476.69
                                                                 Kotak Flexi Debt                       84743.70
                                                                                                      619877.06
ICICI Securities Primary            Kotak Floater Short Term     Kotak Bond Short Term                  1500.00
Dealership Ltd.                                                  Kotak FMP 3m Series 3                  2000.00
                                                                 Kotak Liquid                          17954.25
                                                                 Kotak Flexi Debt                      16968.69
                                                                 Kotak Flexi Debt                      16968.69
                                                                                                        55391.63
ITC Ltd.                            Kotak Bond Short Term Plan   Kotak 30                                4197.65
                                                                 Kotak Balance                            299.18
                                                                 Kotak MNC                                355.56
                                                                 Kotak Income Plus                         85.25
                                                                 Kotak Lifestyle                         4542.12
                                                                 Kotak Opportunities                     2352.24
                                                                 Kotak Dynamic Asset Allocation           102.45
                                                                 Kotak Equity Arbitrage Fund              475.53
                                                                                                        12409.97
India Infoline Investment           Kotak Liquid                 Kotak Bond Short Term                   2500.00
Services Limited                                                 Kotak Floater Long Term                 1000.00
                                                                 Kotak FMP 3m Series 26                  7500.00
                                                                 Kotak Liquid                           12000.00
                                                                 Kotak Floater Short Term                2500.00
                                                                 Kotak Floater Short Term                2500.00
                                                                                                        28000.00
Indiabulls Financial Services Ltd   Kotak Liquid                 Kotak Bond Short Term                   1003.85
                                                                 Kotak Floater Long Term                  501.92
                                                                 Kotak FMP 12m Series 1                  1009.30
                                                                 Kotak Liquid                           18577.88
                                                                 Kotak Flexi Debt                        8551.14
                                                                 Kotak Floater Short Term                5037.98
                                                                 Kotak Floater Short Term                5037.98
                                                                 Kotak Lifestyle                          348.80
                                                                 Kotak Midcap                             384.32
                                                                 Kotak Opportunities                     1301.17
                                                                 Kotak Tax Saver                          974.18
                                                                 Kotak FMP 13m Series 1                  2523.26
                                                                 Kotak FMP 13m Series 2                  2523.26
                                                                 Kotak FMP 13m Series 4                  4024.10
                                                                 Kotak Flexi Debt                        8551.14
                                                                                                        60350.28
Indian Oiltanking Limited           Kotak Floater Long Term      Kotak Liquid                              1000
Industrial Development              Kotak Floater Short Term     Kotak 30                                1589.63
Bank Of India.                                                   Kotak Balance                           2955.18

                                                                                                                       43
                                                                                                         (Rs. In Lakhs)
 Company                         Schemes invested in by           Investing Scheme/(s)                Aggregate
                                     the company                                                 investments made
                                                                                                  by the scheme/(s)
                                                                                                   in the company
                                                                                                    for the period
                                                                                                  under regulation

                                                          Kotak Bond                                     493.53
                                                          Kotak FMP- Series XIV                          504.58
                                                          Kotak FMP- Series XVI                         2468.60
                                                          Kotak FMP- Series XXI                         1484.18
                                                          Kotak Liquid                                 43600.03
                                                          Kotak MNC                                      528.03
                                                          Kotak Contra                                   522.25
                                                          Kotak Flexi Debt                              7215.27
                                                          Kotak Floater Short Term                      3289.98
                                                          Kotak Floater Short Term                      3289.98
                                                          Kotak Income Plus                             2531.85
                                                          Kotak Midcap                                  2640.26
                                                          Kotak Dynamic Asset Allocation                3643.86
                                                          Kotak Equity Arbitrage Fund                   2639.46
                                                          Kotak FMP 16m Series 1                         471.67
                                                          Kotak Flexi Debt                              7215.27
                                                          Kotak PSU Bank ETF                             293.02
                                                                                                       87376.64
 Kotak Mahindra                Kotak Liquid               Kotak Liquid                                  3007.47
 Investments Ltd.
 Kotak Mahindra Prime Ltd.     Kotak Liquid               Kotak Liquid                                  5527.07
                                                          Kotak Flexi Debt                              6617.86
                                                          Kotak FMP 13m Series 2                        2169.38
                                                          Kotak Flexi Debt                              6617.86
                                                                                                       20932.17
 LIC Housing Finance Ltd.      Kotak Floater Short Term   Kotak Bond                                    1496.55
                                                          Kotak Bond Short Term                         2561.86
                                                          Kotak Liquid                                 20518.99
                                                          Kotak Flexi Debt                             21925.84
                                                          Kotak Floater Short Term                      3000.68
                                                          Kotak Floater Short Term                      3000.68
                                                          Kotak Opportunities                           1158.53
                                                          Kotak Dynamic Asset Allocation                3714.55
                                                          Kotak Emerging Equity Scheme                  1247.50
                                                          Kotak Equity Arbitrage Fund                    302.82
                                                          Kotak Flexi Debt                             21925.84
                                                                                                       80853.85
 Larsen and Toubro Ltd.        Kotak Floater Short Term   Kotak 30                                      5759.17
                                                          Kotak Balance                                  705.93
                                                          Kotak Global India                             226.90
                                                          Kotak Income Plus                               33.60
                                                          Kotak Opportunities                           2342.77
                                                          Kotak Tax Saver                               1129.82
                                                          Kotak Dynamic Asset Allocation                  66.45
                                                          Kotak Equity Arbitrage Fund                    496.51
                                                          Kotak Indo World Infrastructure Fund          3722.95
                                                                                                       14484.09
 Mahindra & Mahindra Ltd.      Kotak Floater Long Term    Kotak 30                                      6452.24
                                                          Kotak Balance                                 1084.17
                                                          Kotak Global India                             265.03
                                                          Kotak Income Plus                               25.99
                                                          Kotak Lifestyle                               2812.67
                                                          Kotak Opportunities                           2808.11
                                                          Kotak Dynamic Asset Allocation                  36.19
                                                          Kotak Equity Arbitrage Fund                     12.38
                                                                                                       13496.76
 Maruti Suzuki India Limited   Kotak QIP Series 4         Kotak 30                                       307.52
44
                                                                                                              (Rs. In Lakhs)
Company                              Schemes invested in by            Investing Scheme/(s)                Aggregate
                                         the company                                                  investments made
                                                                                                       by the scheme/(s)
                                                                                                        in the company
                                                                                                         for the period
                                                                                                       under regulation

                                                               Kotak Lifestyle                               1474.78
                                                               Kotak Opportunities                           1512.13
                                                               Kotak Dynamic Asset Allocation                  42.97
                                                                                                             3337.40
Mundra Port and Special           Kotak Liquid                 Kotak Balance                                    6.41
Economic Zone Limited                                          Kotak Contra                                     9.57
                                                               Kotak Income Plus                               10.16
                                                               Kotak Midcap                                   232.48
                                                               Kotak Opportunities                            608.97
                                                               Kotak Tax Saver                                584.03
                                                               Kotak Emerging Equity Scheme                   264.89
                                                               Kotak Indo World Infrastructure Fund          2234.78
                                                                                                             3951.30
Patni Computer Systems (P) Ltd.   Kotak QIP Series 1           Kotak Technology                               125.94
                                                               Kotak Opportunities                            238.90
                                                               Kotak Equity Arbitrage Fund                    499.68
                                                                                                              864.52
Raymond Ltd.                      Kotak Flexi Debt             Kotak Floater Long Term                        800.00
                                                               Kotak FMP 3m Series 7                         1100.00
                                                               Kotak Liquid                                 50700.00
                                                               Kotak Flexi Debt                              5700.00
                                                               Kotak Floater Short Term                      6000.00
                                                               Kotak Floater Short Term                      6000.00
                                                               Kotak Global India                               7.91
                                                               Kotak Lifestyle                               1081.24
                                                               Kotak Tax Saver                                120.50
                                                               Kotak Flexi Debt                              5700.00
                                                                                                            77209.65
Reliance Petroleum Ltd.           Kotak Bond Short Term Plan   Kotak 30                                      1380.41
                                                               Kotak Balance                                  398.45
                                                               Kotak Global India                             231.23
                                                               Kotak Income Plus                               45.87
                                                               Kotak Opportunities                            348.71
                                                               Kotak Dynamic Asset Allocation                  53.89
                                                               Kotak Emerging Equity Scheme                  1335.57
                                                               Kotak Equity Arbitrage Fund                   1150.65
                                                                                                             4944.78
Reliance Power Ltd.               Kotak Liquid                 Kotak Opportunities                            738.50
                                                               Kotak Indo World Infrastructure Fund           341.78
                                                                                                             1080.28
Sesa Goa Ltd.                     Kotak Liquid                 Kotak 30                                      1401.31
                                                               Kotak Balance                                  403.05
                                                               Kotak MNC                                      222.73
                                                               Kotak Global India                             692.37
                                                               Kotak Income Plus                               77.94
                                                               Kotak Midcap                                   512.18
                                                               Kotak Opportunities                           2194.21
                                                               Kotak Tax Saver                                802.26
                                                               Kotak Equity Arbitrage Fund                   1523.68
                                                                                                             7829.75
State Bank Of India.              Kotak Liquid                 Kotak   30                                    9161.49
                                                               Kotak   Balance                               1745.51
                                                               Kotak   Bond                                  2582.07
                                                               Kotak   Bond Short Term                      12020.71
                                                               Kotak   Floater Long Term                     2482.57
                                                               Kotak   FMP 3m Series 10                      3907.08
                                                                                                                           45
                                                                                                                   (Rs. In Lakhs)
 Company                              Schemes invested in by            Investing Scheme/(s)                    Aggregate
                                          the company                                                      investments made
                                                                                                            by the scheme/(s)
                                                                                                             in the company
                                                                                                              for the period
                                                                                                            under regulation

                                                                Kotak FMP 3m Series 26                            2917.95
                                                                Kotak FMP 3m Series 7                              983.93
                                                                Kotak FMP 3m Series 8                              972.01
                                                                Kotak Liquid                                    236384.50
                                                                Kotak Flexi Debt                                196168.35
                                                                Kotak Floater Short Term                         20347.28
                                                                Kotak Floater Short Term                         20347.28
                                                                Kotak Income Plus                                   93.00
                                                                Kotak Midcap                                       783.32
                                                                Kotak Opportunities                               2924.84
                                                                Kotak Tax Saver                                   1828.19
                                                                Kotak Twin Advantage Sr II                         943.66
                                                                Kotak Twin Advantage Sr III                        457.32
                                                                Kotak Dynamic Asset Allocation                     101.52
                                                                Kotak Equity Arbitrage Fund                       1181.00
                                                                Kotak FMP 13m Series 1                             914.69
                                                                Kotak FMP 13m Series 2                             920.16
                                                                Kotak FMP 15m Series 1                             964.23
                                                                Kotak FMP 17m Series 1                             964.23
                                                                Kotak Flexi Debt                                196168.35
                                                                Kotak Indo World Infrastructure Fund              4481.88
                                                                Kotak PSU Bank ETF                                3553.92
                                                                Kotak Quarterly Interval Plan-Series 5             963.67
                                                                Kotak Quarterly Interval Plan-Series I            4916.24
                                                                Kotak Quarterly Interval Plan-Series II           1485.75
                                                                Kotak Quarterly Interval Plan-Series III          9764.64
                                                                Kotak Quarterly Interval Plan-Series IV           8340.69
                                                                                                                751772.03
 State Bank of Hyderabad           Kotak Bond Short Term Plan   Kotak Bond Short Term                              509.04
                                                                Kotak FMP 3m Series 13                             493.69
                                                                Kotak FMP 3m Series 8                              965.99
                                                                Kotak Liquid                                     24352.86
                                                                Kotak Flexi Debt                                 61392.38
                                                                Kotak Floater Short Term                           948.42
                                                                Kotak Floater Short Term                           948.42
                                                                Kotak Dynamic Asset Allocation                     493.69
                                                                Kotak Flexi Debt                                 61392.38
                                                                                                                151496.85
 Sterlite Industries (India) Ltd   Kotak Floater Short Term     Kotak 30                                          5666.05
                                                                Kotak Balance                                      706.07
                                                                Kotak Bond Short Term                             2100.00
                                                                Kotak FMP- Series XVI                             1500.00
                                                                Kotak FMP- Series XVIII                           1100.00
                                                                Kotak Liquid                                     42300.00
                                                                Kotak Contra                                      1933.49
                                                                Kotak Flexi Debt                                 11900.00
                                                                Kotak Floater Short Term                          5800.00
                                                                Kotak Floater Short Term                          5800.00
                                                                Kotak Global India                                1372.12
                                                                Kotak Income Plus                                  671.22
                                                                Kotak Opportunities                               3778.05
                                                                Kotak Tax Saver                                   1627.77
                                                                Kotak Twin Advantage Sr III                       1600.00
                                                                Kotak Dynamic Asset Allocation                      44.18
                                                                Kotak Equity Arbitrage Fund                       1432.30
                                                                Kotak Flexi Debt                                 11900.00
                                                                                                                101231.26
 Sundaram Finance Ltd.             Kotak Floater Short Term     Kotak Bond                                          100.00

46
                                                                                                  (Rs. In Lakhs)
Company                 Schemes invested in by              Investing Scheme/(s)               Aggregate
                            the company                                                   investments made
                                                                                           by the scheme/(s)
                                                                                            in the company
                                                                                             for the period
                                                                                           under regulation

                                                   Kotak Bond Short Term                         4074.82
                                                   Kotak Floater Long Term                       2003.22
                                                   Kotak FMP 12m Series 1                        1000.00
                                                   Kotak FMP 3m Series 16                        1469.45
                                                   Kotak Liquid                                100580.60
                                                   Kotak Flexi Debt                             39309.54
                                                   Kotak Floater Short Term                      3505.87
                                                   Kotak Floater Short Term                      3505.87
                                                   Kotak Twin Advantage Sr Ii                    1006.44
                                                   Kotak Twin Advantage Sr Iii                   1006.44
                                                   Kotak Dynamic Asset Allocation                1032.13
                                                   Kotak FMP 13m Series 1                        2500.00
                                                   Kotak FMP 13m Series 2                        1000.00
                                                   Kotak Flexi Debt                             39309.54
                                                   Kotak Indo World Infrastructure Fund           499.13
                                                                                               201903.04
Tata Chemicals Ltd.   Kotak FMP 6M Series 2        Kotak Contra                                   856.35
                                                   Kotak Global India                             252.49
                                                   Kotak Midcap                                   312.63
                                                   Kotak Opportunities                           2213.16
                                                   Kotak Tax Saver                               1114.49
                                                                                                 4749.13
Tata Steel Limited    Kotak Liquid                 Kotak    30                                   5897.47
                                                   Kotak    Balance                               166.81
                                                   Kotak   Contra                                 349.81
                                                   Kotak   Global India                           368.21
                                                   Kotak   Income Plus                             17.06
                                                   Kotak   Dynamic Asset Allocation               124.48
                                                   Kotak   Equity Arbitrage Fund                 1181.92
                                                                                                 8105.77
UCO Bank              Kotak Floater Short Term     Kotak Bond                                     490.74
                                                   Kotak Bond Short Term                         2334.00
                                                   Kotak Floater Long Term                       1017.32
                                                   Kotak FMP 3m Series 10                        2438.44
                                                   Kotak FMP 3m Series 16                        3920.34
                                                   Kotak FMP 3m Series 17                        2440.89
                                                   Kotak FMP 3m Series 3                         4715.36
                                                   Kotak FMP 3m Series 8                         2937.85
                                                   Kotak FMP 6m Series 1                          196.47
                                                   Kotak FMP 6m Series 2                         3790.53
                                                   Kotak FMP- Series 25                          2411.41
                                                   Kotak FMP- Series 26                          1479.73
                                                   Kotak Liquid                                113207.01
                                                   Kotak Flexi Debt                             55962.91
                                                   Kotak Floater Short Term                      7623.59
                                                   Kotak Floater Short Term                      7623.59
                                                   Kotak Twin Advantage Sr Iii                    637.83
                                                   Kotak Emerging Equity Scheme                  1958.11
                                                   Kotak FMP 13m Series 3                        4566.57
                                                   Kotak FMP 14m Series 2                        2413.38
                                                   Kotak FMP 15m Series 2                         728.95
                                                   Kotak Flexi Debt                             55962.91
                                                   Kotak Indo World Infrastructure Fund           490.75
                                                                                               279348.67
Vijaya Bank           Kotak Bond Short Term Plan   Kotak Equity Arbitrage Fund                    443.41
YES Bank Ltd.         Kotak Floater Short Term     Kotak 30                                      1992.55
                                                   Kotak Bond                                     484.30

                                                                                                               47
                                                                                                                          (Rs. In Lakhs)
      Company                                Schemes invested in by                  Investing Scheme/(s)              Aggregate
                                                 the company                                                      investments made
                                                                                                                   by the scheme/(s)
                                                                                                                    in the company
                                                                                                                     for the period
                                                                                                                   under regulation

                                                                              Kotak FMP 3m Series 10                     8477.93
                                                                              Kotak FMP 3m Series 22                     4479.39
                                                                              Kotak FMP 3m Series 26                     1958.53
                                                                              Kotak FMP- Series 26                        985.77
                                                                              Kotak Liquid                              37265.30
                                                                              Kotak MNC                                   156.63
                                                                              Kotak Flexi Debt                          24875.37
                                                                              Kotak Floater Short Term                    959.66
                                                                              Kotak Floater Short Term                    959.66
                                                                              Kotak Midcap                                723.93
                                                                              Kotak Opportunities                         492.21
                                                                              Kotak Tax Saver                             869.24
                                                                              Kotak Dynamic Asset Allocation             2993.84
                                                                              Kotak Emerging Equity Scheme                863.51
                                                                              Kotak Equity Arbitrage Fund                 516.37
                                                                              Kotak FMP 13m Series 1                     1805.87
                                                                              Kotak FMP 14m Series 3                      498.58
                                                                              Kotak Flexi Debt                          24875.37
                                                                                                                       116234.01


G . DURATION OF THE SCHEME                                                    in the assets of the Scheme as on the date when the
The duration of the Scheme(s) is as specified in the Issue                    decision for the winding up was taken.
Highlights. However, the Scheme(s) may be wound up if:-               iii. On completion of the winding up, the Trustee shall
i.      There are changes in the capital markets, fiscal laws or           forward to the Board and the Unitholders, a report on
        legal system, or any event or series of event occurs,              the winding up containing particulars such as
        which, in the opinion of the Trustee, requires the Scheme          circumstances leading to the winding up, steps taken
        to be wound up; or                                                 for the disposal of the assets of the Fund before winding
                                                                           up, expenses of the Fund for winding up, net assets
ii.     75% of the Unitholders of the Scheme pass a resolution             available for distribution to the Unitholders and a
        that the Scheme be wound up; or                                    certificate from the Auditors of the Scheme concerned.
iii. SEBI directs the Scheme to be wound up in the interests          iv.   Notwithstanding anything contained herein, the
     of the Unitholders.                                                    provisions of the Regulations in respect of disclosure of
Where the Scheme is to be wound up pursuant to the above                    half-yearly reports and annual reports shall continue to
Regulations, the Trustee shall give notice of the                           apply.
circumstances leading to the winding up of the Scheme(s):-            After the receipt of the report referred to above under
i.      to SEBI; and                                                  ‘Procedure and Manner of Winding Up’, if SEBI is satisfied
                                                                      that all measures for winding up of the Scheme concerned
ii.     in two daily newspapers having circulation all over India     have been completed, the Scheme shall cease to exist.
        and also in a vernacular newspaper circulating in the
        place where the Mutual Fund is established.                   I . SERVICES TO UNITHOLDERS
H . PROCEDURE AND MANNER OF WINDING UP                                1 . Investor Services
i.      The Trustee shall call a meeting of the Unitholders to        It is the endeavour of the Fund to provide consistently high
        consider and pass necessary resolutions by simple             quality service to its investors. This encompasses all
        majority of the Unitholders present and voting at the         interaction by the clients with the Fund. The Fund strives to
        meeting for authorising the Trustee or any other person       upgrade the quality of services through implementation of
        to take steps for winding up the Scheme concerned.            technology and through ensuring quality consciousness
                                                                      amongst its service personnel and agencies associated with
ii.     a) The Trustee or the person authorised as above, shall       it.
           dispose off the assets of the Scheme concerned in
           the best interest of the Unitholders of that Scheme.       The Fund may allow investors to access their investments
                                                                      over the internet and other access channels including but
        b) The proceeds of the sale made in pursuance of the          not restricted to the telephone, mobile phone and other
           above, shall, in the first instance, be utilised towards   hand-held devices as an investor facilitation measure. The
           discharge of such liabilities as are properly due under    Fund may also allow investors to do select transactions,
           the Scheme and after making appropriate provision          register for various facilities, place requests for modification/
           for meeting the expenses connected with such               updation of their personal / bank account details and profile
           winding up, the balance shall be paid to the               information and / or log queries / grievances for resolution
           Unitholders in proportion to their respective interests    through the above-referred channels. The above facilities

48
would be offered to investors who specifically subscribe to
same and agree to abide by the terms and conditions subject
                                                                   Description No. of                 Resolved within             Pending
to which the facility is offered. The Fund may either offer
                                                                                queries
these services on its own or through its Registrar or through
                                                                               received
select online distribution partners. These channels would                                  1 Day    2 Days   3 Days     >3 Days
be specifically recognized by the Fund as Official Acceptance
Points for acceptance of Financial Transactions.                   Change of       62004   54929     4740      1092        1243       0
                                                                   Address
The Fund strives to provide a high degree of convenience
for the investors’ dealings with itself and it is the constant     Change of       60732   54310     3474      1348        1600       0
endeavour of the Fund to increase this level of convenience.       Bank Mandate

2 . Facilitating Enquiries and Transactions                        Non- receipt      768      608       94       57           9       0
                                                                   of account
a) Investor Service Centres in important cities                    Statement
CAMS, which is the Registrar to the Fund, provides Investor
Services through its ISCs. Unitholders’ enquiries and              Others Queries 205990   146971   21061     10506       27378      74
transactions during business hours are entertained at the          Total          329494 256818     29369    13003      30230       74
ISCs at the addresses listed elsewhere in this Offer Document.     Service        100.00   77.94     8.91     3.95        9.17     0.02
Besides in other locations, CAMS provides investors a facility     Standard
to lodge their transaction and service requirement request
through a network of Transaction Points.                            J   TAX BENEFITS OF INVESTING IN THE MUTUAL
                                                                        FUND
b) Master Account
                                                                    The information set out below outlines the tax implications
Unless otherwise requested by the Unitholder, one Master            with respect to the Unit holders of the Scheme and with
Account number is assigned for one entity investing in              respect to the Mutual Fund and is based on relevant
different Schemes of the Fund, provided while investing for         provisions of the Indian Income Tax Act, 1961 and Wealth
a second time or any time thereafter, the Unitholder quotes         Tax Act, 1957 (collectively known as “the relevant
his existing Account Number. In such a case, on specific            provisions”), and prevailing as on March 12, 2008.
request, one consolidated account statement is provided.
                                                                    Further, for this purpose the proposals of the Finance
c) Meeting in Person                                                Bill, 2008 (Budget 2008) are also considered as the same
A responsible official of the Asset Management Company              has been presented in the Parliament and will become law
will be available every business day between 3.00 p.m. and          after it is approved by both the Houses of Parliament and
4.00 p.m. for a personal meeting with any Unitholder at the         receive the assent from the President of India. Since the
registered office of the AMC. The purpose of this facility is       information below is based on the relevant provisions as on
to discuss the investment needs of the client, address any          March 12, 2008 any subsequent changes in the relevant
queries on the Mutual Fund and to provide other services.           provisions could affect tax implications.
3 . Finding Solutions to Problems                                   Price Waterhouse does not make any representation on the
                                                                    procedures for ascertaining the tax implications nor do they
The Fund will follow up with the Investor Service Centres
                                                                    make any representations regarding any legal interpretations.
and the Registrar on complaints and enquiries received from
                                                                    Further, except for the above procedure, Price Waterhouse
investors. The Fund will strive to speedily resolve investor
                                                                    has not performed any other services in connection with any
complaints.
                                                                    other data or information included in the Offer Document.
4 . Unitholder Grievances Redressal Mechanism                       THE FOLLOWING INFORMATION IS PROVIDED FOR GENERAL
Investor grievances will normally be received at the AMC            INFORMATION PURPOSES ONLY. IN VIEW OF THE INDIVIDUAL
office or at any of the Investor Services Centres or directly by    NATURE OF TAX IMPLICATIONS, EACH INVESTOR IS ADVISED
the Registrar. All grievances will then be forwarded to the         TO CONSULT HIS OR HER OWN TAX ADVISER WITH RESPECT
Registrar, if required, for necessary action. The complaints        TO THE SPECIFIC TAX IMPLICATIONS ARISING OUT OF HIS
will closely be followed up with the Registrar to ensure timely     OR HER PARTICIPATION IN THE SCHEME.
redressal and prompt investor service.
                                                                    A . For the Unit holders
Mr. R. Chandrasekaran has been appointed as the Investor
                                                                    1. Income from Mutual Fund received by Unit holders
Relations Officer for the Fund. All related queries should be
                                                                        would be tax free in the hands of the Unit holders as
addressed to:
                                                                        per the provisions of section 10(35) of the Income-tax
Mr. R. Chandrasekaran                                                   Act, 1961 (the Act).
Kotak Mahindra Asset Management Company Limited                     2.     The characterization of gains / losses arising from sale /
1ST Floor Dani Corporate Park                                              transfer of units as capital gains or business income would
158, CST Road, Kalina                                                      depend on the classification of the said units by the unit
Santacruz East, Mumbai – 400 093                                           holder. It would depend on whether the unit holder has
                                                                           classified such units as capital assets or as stock in trade.
Tel: 67084501 Fax: 66384455
e-mail: mutual@kotak.com                                            3.     Under Section 2(29A) of the Act, read with section 2(42A)
                                                                           of the Act, a unit of a Mutual Fund is treated as a long
c.. History of Investor Queries/Complaints for                             term capital asset if the same is held for more than 12
    the period April 1, 2005 to June 30, 2008                              months. If the unit is held for 12 months or less, the
These were mostly in the nature of queries and requests,                   same is treated as a short term capital asset.
and were attended to as follows:                                    4.     Long term capital gains on sale of units, will be taxed
                                                                           under section 112 of the Act. Under Section 112 of the

                                                                                                                                          49
     Act, capital gains arising on the transfer of long term capital              the loss incurred on the original units shall not be allowed
     assets are subject to tax at the rate of 20%. The capital                    to be set off against other gains but shall be deemed to be
     gains will be computed by deducting the expenditure                          the cost of acquisition of the bonus units.
     incurred wholly and exclusively in connection with such                 9.   However, in cases which are not covered by clause 6 above,
     transfer and the cost inflated as indexed cost of acquisition                the cost of acquisition of bonus units for the investors
     of the unit from the sale consideration. However, the                        would be NIL, as provided by section 55(2) of the Act.
     maximum tax payable on long term capital gains on units
     is restricted to 10% of capital gains calculated without                10. The long term capital gains on transfer of units would be
     indexation of the cost of acquisition.                                      exempt from tax under Section 54EC of the Act, subject to
                                                                                 fulfillment of certain conditions specified in the section. This
     Further, in case of an individual or HUF, being a resident,                 section requires investments in specified bonds. However, if
     the total income as reduced by the long term capital gains                  the amount invested is less than the capital gains realized,
     is below the maximum amount not chargeable to tax1 (i.e.                    only proportionate capital gains would be exempt from tax.
     Rs. 110,000 in case of all individuals, to Rs. 145,000 in
     case of women and to Rs.195, 000 in case of senior citizens),           11. No deduction of tax at source shall be made from income
     the long term capital gains shall be reduced to the extent                  credited or paid by a mutual fund to a Unitholder.
     of the shortfall and only the balance long term capital                 12. As per circular no. 715 dated August 8, 1995 issued by
     gains will be subject to the flat rate of taxation.                         the CBDT in case of resident Unitholder, no tax is required
     1
        As per the Budget proposal the limits are proposed to be increased       to be deducted at source from capital gains arising at the
     to Rs. 150,000 in case of all individuals, to Rs. 180,000 in case of        time of repurchase or redemption of the units.
     women and to Rs.225, 000 in case of senior citizens. These changes           However, under Section 195 of the Act, the Mutual Fund
     if accepted would be effective April 1, 2008.                                is required to deduct tax at source at the rate of 20% on
     In addition to the aforesaid tax, in the case of an individual,              any long term capital gains chargeable to tax if the payee
     HUF or Association of Persons (AOP), where the income                        Unitholder is a non resident. In respect to short-term capital
     exceeds Rs. 1,000,000 a surcharge of 10%, in the case of                     gains, tax is required to be deducted at source at the rate
     domestic companies, where the income exceeds                                 of 30% if the payee Unitholder is a non-resident non-
     Rs. 10,000,000 a surcharge of 10%; in case of foreign                        corporate and at the rate of 40% if the payee Unitholder
     companies, where the income exceeds Rs. 10,000,000 a                         is a foreign company.
     surcharge of 2.5% and in case of an artificial juridical                     The provisions related to minimum amount not chargeable
     person a surcharge of 10%, of such tax liability is also                     to tax, surcharge and education cess described at para 4
     payable. A 3% education cess (inclusive of 1% of an                          would also apply to such short-term capital gains.
     additional cess for Secondary and Higher Education) on
     total income tax (including surcharge) is payable by all                13. As per circular no. 728 dated October 30, 1995 issued by
     categories of taxpayers.                                                    the CBDT, in the case of a remittance to a country with
                                                                                 which a Double Tax Avoidance Agreement (DTAA) is in force,
5.   Short term capital gains arising to a unit holder will be                   the tax should be deducted at the rate provided in the
     taxed at the normal rate applicable to that unit holder as                  Finance Act of the relevant year or at the rate provided in the
     per the provisions of the Act. The capital gains will be                    DTAA, whichever is more beneficial to the assessee. In order
     computed by deducting expenditure incurred in                               for the Unitholder to obtain the benefit of a lower rate
     connection with such transfer and cost of acquisition of                    available under a DTAA, the Unitholder will be required to
     the unit from the sale consideration.                                       provide the Mutual Fund with a certificate obtained from
     The taxable/total income and the tax payable arising from                   his Assessing Officer stating his eligibility for the lower rate.
     short term capital gains shall be computed in accordance                14. Mutual Fund units are exempt from wealth tax.
     with the tax rates applicable to the investor.
                                                                             B. For the Mutual Fund
     The provisions related to minimum amount not chargeable
                                                                             1. Kotak Mahindra Mutual Fund is a Mutual Fund
     to tax, surcharge and education cess described at para 4
                                                                                 registered with SEBI and as such is eligible for benefits
     would also apply to such short-term capital gains.
                                                                                 under Section 10(23D) of the Act. Accordingly, its entire
6.   The short term capital loss resulting from sale of units would              income is exempt from tax.
     be available for setting off against any other capital gains
                                                                             2.   Mutual Funds are required to pay dividend distribution
     made by the investor and would reduce the tax liability of
                                                                                  tax at the rate of 14.1625% in the case of distributions
     the investor to that extent. However, losses on transfer of
                                                                                  to individuals and HUFs. An increased rate of 22.66% is
     long term capital assets would be allowed to be set-off only
                                                                                  applicable for distributions made to persons other than
     against gains from transfer of long-term capital assets and
                                                                                  an individual or a HUF.
     the balance long-term capital loss may be carried forward
     separately for a period of eight assessment years to be set             3.   Mutual funds which are ‘Money Market Mutual Fund’*
     off only against long-term capital gains.                                    or ‘Liquid Fund’** are required to pay dividend
                                                                                  distribution tax at the rate of 28.325% (including
7.   Where a person buys any units within a period of three
                                                                                  surcharge @10%, education cess @2% and Secondary
     months before the record date and sells such units within
                                                                                  and higher education cess at the rate of 1%).
     nine months after such date, the dividend income on such
     units being exempt from tax, then the capital loss, if any,
     on such sale to the extent of dividend income cannot be                 *    Money market mutual fund means a money market mutual fund as
     set off against other gains.                                                 defined in sub-clause (p) of clause 2 of the SEBI (Mutual Funds)
                                                                                  Regulations, 1996.”
8.   Where a person buys units (original units) within a period
     of three months before the record date, receives bonus                  ** “liquid fund” means a scheme or plan of a mutual fund which is
     units on such original units, and then sells all or any of the             classified by the SEBI as a liquid fund in accordance with the
     original units within a period of nine months from the                     guidelines issued by it in this behalf under the SEBI Act, 1992 or
     record date and continues to hold the bonus units, then                    regulations made thereunder.

50
                                           VIII.       OTHER                      MATTERS


A . POWER TO MAKE RULES                                                  C . TRANSACTIONS WITH ASSOCIATE COMPANIES
Subject to the Regulations, the Trustee may, from time to                The Fund may from time to time, for the purpose of
time, prescribe such terms and make such rules as may be                 conducting its normal business, use the services of Kotak
necessary for the purpose of giving effect to the Scheme,                Securities Limited, which is a stock-broking company (an
with power to the AMC to add to, alter or amend all or any               associate company), the Sponsor and various subsidiaries
of the terms and rules that may be framed from time to                   of the Sponsor. These subsidiaries of the Sponsor, as on the
time.                                                                    date of this Offer Document, include Kotak Mahindra
B . POWER TO REMOVE DIFFICULTIES                                         Investments Limited (formerly known as Hamko Financial
                                                                         Services Limited) an investment company; Kotak Mahindra
If any difficulty arises in giving effect to the provisions of the       Trustee Company Limited (Trustee to the Fund); Kotak
Scheme, the Trustee may, subject to the Regulations, do                  Mahindra Prime Limited, an auto finance company; Kotak
anything not inconsistent with such provisions, which                    Mahindra Securities Limited, a broker on NSE in the Regular
appears to it to be necessary, desirable or expedient, for the           debt market segment; Kotak Mahindra Capital Company
purpose of removing such difficulty. Without diluting in any             Limited, a Category 1 Merchant Banker registered with SEBI
way the powers granted to the Trustee as aforesaid, the                  and a Primary Dealer appointed by RBI; Kotak Mahindra
Trustee has the following powers:                                        (International) Limited; Kotak Mahindra (UK) Limited; Global
1.   Right to change the load structure;                                 Investment Opportunities Fund Limited, an investment
2.   Right to change minimum amounts of purchase and                     company, the subsidiary companies of Kotak Mahindra
     redemption;                                                         Capital Company Limited; Kotak Mahindra Old Mutual Life
                                                                         Insurance Company Limited, the life insurance joint venture
3.   Right to determine frequency and amount of dividend;                of Kotak Mahindra Bank Limited; Kotak Mahindra Private -
     and the right not to declare dividend, where distributable          Equity Trustee Company Limited, a private venture fund and
     surplus is inadequate; and                                          Kotak Forex Brokerage Limited, a company dealing in foreign
4.   Right to add to or alter the modes of payment by the                exchange and Kotak Mahindra Inc.
     investor for purchase of Units.                                     The Fund has neither invested in Group Companies, nor
The exercise of these powers, reserved by the Trustee under              taken any underwriting obligations with respect to issues
this Offer Document vis-a-vis prospective investments in any             of associate companies.
of the scheme, shall not constitute change in the                        Following subscriptions have been made in issues lead
fundamental attributes of the Scheme.                                    managed, arranged or book-running lead managed by Kotak
                                                                         Mahindra Capital Company Limited during the period from
                                                                         April 1, 2005 to March 31, 2008.

 Financial Year 2005-06                                              Amount Subscribed (Rs. In Lakhs)
 Security Instrument                                  Nature of         Kotak         Kotak         Kotak           Kotak      Kotak
                                                      Subscribed         30        Opportunities   Balance       Income Plus    Tech

 Allahabad Bank                                       Equity            575.36        230.25            153.46      153.46     -
 Allsec Technologies                                  Equity            -             -                 -           -          249.96
 IL&FS Investsmart Ltd.                               Equity            437.50        187.50            125.00      125.00     -
 Infrastructure Development Finance Company Limited   Equity            1474.85       633.35            325.04      390.73     -
 HT Media Ltd.                                        Equity            1313.85       590.72            575.77      305.79     -
 PVR Ltd.                                             Equity            -             732.00            660.00      396.00     -
 Punj Lloyd Ltd.                                      Equity            1890.00       728.00            616.00      406.00     -
 Andhra Bank                                          Equity            1890.00       877.50            535.95      -          -
 Bank of Baroda                                       Equity            293.25        -                 -           -          -
 Gujarat State Petronet Ltd.                          Equity            -             996.30            583.20      486.00     -
 GVK Power & Infrastructure Ltd.                      Equity            1407.40       694.40            353.40      347.20     -
 Union Bank of India                                  Equity            2288.00       1072.50           671.00      434.50     -
 Mahindra & Mahindra Financial Services Ltd.          Equity            2170.00       1134.00           644.00      588.00     -




                                                                                                                                        51
 Financial Year 2005-06                                                                   Amount Subscribed (Rs. In Lakhs)
 Security Instrument                                          Nature of            Kotak          Kotak         Kotak                    Kotak      Kotak Equity
                                                              Subscribed         Tax Saver      Lifestyle      Midcap                    Contra      Arbitrage
 Allahabad Bank                                                 Equity               -              -            959.33                     -
 Allsec Technologies                                            Equity               -              -            249.96                     -
 IL&FS Investsmart Ltd.                                         Equity               -              -           1125.00                     -
 Infrastructure Development Finance Company Limited             Equity               -              -           3388.24                  5946.94
 HT Media Ltd.                                                  Equity               -              -           2655.87                     -
 PVR Ltd.                                                       Equity             684.00           -           2364.00                     -
 Punj Lloyd Ltd.                                                Equity             693.00           -           2380.00                  3395.00
 Andhra Bank                                                    Equity             715.50           -           2295.00                  2700.00
 Bank of Baroda                                                 Equity               -              -              -                     724.50
 Gujarat State Petronet Ltd.                                    Equity             783.00           -           2484.00                  2902.50
 GVK Power & Infrastructure Ltd.                                Equity             545.60           -           1661.60                  1953.00
 Union Bank of India                                            Equity               -              -              -                     2684.00
 Mahindra & Mahindra Financial Services Ltd.                    Equity             840.00        1442.00        2471.00                  2583.00
 BHPC Auto Securitisation Trust Sept 05 Series-A 15/06/2007      Debt                -              -              -                        -           992.80

 Financial Year 2006-07                                                         Amount Subscribed (Rs. In Lakhs)
 Security Instrument                        Nature of         Kotak                Kotak         Kotak         Kotak                     Kotak         Kotak
                                            Subscribed         30               Opportunities   Balance     Income Plus                   MNC           Tech
 Sun TV Limited                                 Equity        2558.50              1781.50             731.50              736.75
 Tech Mahindra Ltd.                             Equity        2125.76              2093.64             767.96              858.48        369.38         340.18
 Sobha Developers Ltd.                          Equity        2867.20              2137.60             787.20              553.60          -              -
 Global Broadcast News Ltd                      Equity        1587.50               887.50             325.00              325.00          -              -
 Power Finance Corporation Ltd.                 Equity                             2040.00             788.80              518.16
 Indian Bank                                    Equity                             2037.26             781.46              682.50
 MindTree Consulting Ltd.                       Equity                             1933.54             752.25              675.75                       363.38
 ICRA Limited.                                  Equity        2854.50                 -                  -                   -           280.50           -
 India Loan Securitisation Trust V PTC
 A – 20/12/2009
 Financial Year 2006-07                                                         Amount Subscribed (Rs. In Lakhs)
 Security Instrument                        Nature of    Kotak Twin                Kotak        Kotak          Kotak                    Kotak          Kotak
                                            Subscribed Advantage Series-II      Global India Tax Saver       Lifestyle                  Midcap         Contra
 Sun TV Limited                                 Equity                                                 1064.00             6685.00      2814.00        2800.00
 Tech Mahindra Ltd.                             Equity                             911.04               877.46                          1871.72        1763.68
 Sobha Developers Ltd.                          Equity                                                 1164.80             3174.40      1894.40        1331.20
 Global Broadcast News Ltd                      Equity                                -                 562.50             1300.00       825.00         525.00
 Power Finance Corporation Ltd.                 Equity                                                 1445.00                          1972.00        1203.60
 Indian Bank                                    Equity                                                 1470.79                          1958.78        1213.49
 MindTree Consulting Ltd.                       Equity                             894.41              1420.99                          1851.94        1147.50
 ICRA Limited.                                  Equity                               -                    -                   -            -              -
 India Loan Securitisation Trust V PTC           Debt         933.94
 A – 20/12/2009
 Financial Year 2007-08                                                                          Amount Subscribed (Rs. In Lakhs)
 Security Instrument                                              Nature of                    Kotak         Kotak                    Kotak           Kotak
                                                                  Subscribed                Tax Saver      Opportunities             Balance       Income Plus
 Fortis Healthcare Limited                                             Equity                   -                   -                  -                -
 DLF Limited                                                           Equity                602.91              495.83                -                -
 Housing Development & Infrastructure Ltd                              Equity                1943.27             1469.72             679.14           449.12
 IVR PRIME Urban Developers LTD.                                       Equity                1808.58             1297.08             590.16           364.74
 Central Bank of India                                                 Equity                2082.94             1481.71             676.38           418.00
 PURAVANKARA Projects LTD.                                             Equity                813.51              566.24                -                -
 Power Grid Corporation Of India Ltd                                   Equity                2174.45             1434.29             656.05           316.10
 Mundra Port and Special Economic Zone Ltd.                            Equity                2719.20             1907.40             645.48           254.10
 Godrej Industries Ltd.                                                Equity                                     430.00
 Edelweiss Capital Ltd.                                                Equity                2887.17             2111.67              662.97          256.41
 BGR Energy Systems Ltd.                                               Equity                3197.71             2631.55              687.45          257.37
 PTC India Ltd.                                                        Equity                 480.00
 Future Capital Holdings Ltd.                                          Equity                3604.06             3698.31              702.88          243.88
 Bank of India                                                         Equity                1440.00
52
 Financial Year 2007-08                                                              Amount Subscribed (Rs. In Lakhs)
 Security Instrument                                     Nature of     Kotak         Kotak     Kotak         Kotak         Kotak     Kotak Emerging
                                                         Subscribed     30            WIF    Lifestyle      Midcap         Contra        Equity

 Fortis Healthcare Limited                                 Equity        -             -        881.76         -              -             -
 DLF Limited                                               Equity        -             -        791.89         -              -           668.47
 Housing Development & Infrastructure Ltd                  Equity        -             -       2459.94      1976.38         980.00       2071.51
 IVR Prime Urban Developers Limited                        Equity        -             -       2170.86      2046.66         862.56       1815.60
 Central Bank of India                                     Equity        -             -          -         2337.41         988.38       2120.95
 Purvankara Projects Ltd                                   Equity        -             -        976.82       900.32         366.71        773.91
 Power Grid Corporation of India Ltd.                      Equity        -             -          -         2091.25         907.73       1959.49
 Mundra Port and Special Economic Zone Ltd.                Equity        -             -                    1741.08         963.60       2191.20
 Edelweiss Capital Ltd.                                    Equity        -             -       2059.20      1828.53         997.92       2338.24
 BGR Energy Systems Ltd.                                   Equity        -             -          -         1876.89        1033.53       2387.28
 PTC India Ltd.                                            Equity      480.00        640.00       -            -              -             -
 Reliance Power Ltd.                                       Equity        -          7220.61       -            -              -             -
 Future Capital Holdings Ltd.                              Equity        -          5147.83    1985.02      1910.78        1057.23       2401.97

During the last three fiscal years, the Fund has had the following transactions with associate companies:
                                                                                                                                       (Rs. in Lakhs)

                                                                            KOTAK SECURITIES LIMITED
 Nature of Transactions                       Commission/Promotional Expenses                              Brokerage Towards Purchase
                                                  for distribution of units                                   and Sale of Investments

                                        2005-06            2006-07              2007-08          2005-06              2006-07           2007-08
 Kotak Gilt Savings Plan                  0.15               0.09                 0.21               -                    -                 -
 Kotak Gilt Investment Plan               7.01               2.12                 2.47               -                    -                 -
 Kotak Bond                               5.21                 -                  5.09               -                    -                 -
 Kotak Bond Short Term Plan               1.01               0.52                 0.26               -                    -                 -
 Kotak 30                                17.30               22.30                22.1             6.71                 3.05              34.93
 Kotak Balance                            5.65               4.91                  2.5             0.56                 1.47              4.71
 Kotak Tech                               2.88               2.28                 1.52             0.40                   -                 -
 Kotak MNC                                1.17               0.98                 0.87             2.61                 0.05                -
 Kotak Income Plus                        1.04               1.53                 2.97             0.32                 0.20              0.74
 Kotak Global India                      13.88               7.38                 3.16             3.03                 1.36              0.83
 Kotak Liquid                            120.14              86.65               133.81              -                    -                 -
 Kotak Floater Short Term                 7.88               1.98                 0.42               -                    -                 -
 Kotak Dynamic Income                       -                  -                 11.48               -                    -               59.16
 Kotak FMP (8)
 Kotak Equity FOF                         3.66               1.92                 0.07               -                    -                 -
 Kotak Opportunities                     29.06               9.60                 23.2             1.06                 6.37              20.17
 Kotak Floater Long Term                  3.52               1.00                 0.14               -                    -
 Kotak Midcap                            72.90               12.20                9.22             8.87                 4.52              3.57
 Kotak Dynamic FOF                        0.75                                                       -
 Kotak Flexi Debt                         0.25               0.10                 5.94               -                    -                 -
 Kotak Contra                            115.84              10.05                8.03             14.64                4.69              4.03
 Kotak FMP Series IV                        -                                                        -
 Kotak FMP Series I                         -                  -                                     -                    -
 Kotak Equity Arbitrage Fund              3.88               0.65                 2.23             16.53                12.32             21.2
 Kotak Flexi Fund of Funds                0.05                 -                                     -                    -
 Kotak Tax Saver                         57.14               13.99               20.12             1.36                 1.32              18.59
 Kotak Lifestyle Fund                    132.67              12.41               11.02               -                  9.23              11.39
 Kotak FMP Series 26                                         0.08                                                         -
 Kotak Flexi Fund of Funds Series II                         0.19                                                         -
 Kotak Twin Advantage Series II                              2.34                 0.38                                  0.41                -
 Kotak Twin Advantage Series III                             13.84                 1.4                                  3.01                -
 Kotak FMP 13M Series 1                                      1.68                                                         -
 Kotak FMP 13M Series 2                                      0.08                                                         -
 Kotak FMP 14M Series 1                                      0.04                                                         -
 Kotak FMP 14M Series 2                                      0.48                                                         -
                                                                                                                                                   53
                                                                                                                                   (Rs. in Lakhs)
                                                                          KOTAK SECURITIES LIMITED
 Nature of Transactions                    Commission/Promotional Expenses                            Brokerage Towards Purchase
                                               for distribution of units                                 and Sale of Investments
                                       2005-06           2006-07             2007-08      2005-06             2006-07              2007-08
 Kotak FMP 15M Series 1                                    0.03                                                   -
 Kotak FMP 15M Series 2                                    0.01                                                   -
 Kotak FMP 3M Series 12                                    0.02                0.13                               -                   -
 Kotak FMP 3M Series 13                                      #                                                    -
 Kotak FMP 3M Series 14                                      #                 0.01
 Kotak Dynamic Asset Allocation                            86.76              11.48                             23.78               59.16
 Kotak Wealth Builder Series 1                             89.13               8.93                             0.67                  -
 Kotak Emerging Equity                                     75.04              103.51                              -                  5.7
 Kotak Gold ETF                                                                1.49                                                   -
 Kotak FMP 3M Series 15                                                        0.01                                                   -
 Kotak FMP 3M Series 16                                                        0.03                                                   -
 Kotak FMP 3M Series 17                                                        0.08                                                   -
 Kotak FMP 15M Series 3                                                        0.18                                                   -
 Kotak FMP 3M Series 18                                                        0.01                                                   -
 Kotak FMP 3M Series 19                                                        0.01                                                   -
 Kotak FMP 3M Series 20                                                          #                                                    -
 Kotak FMP 3M Series 21                                                        0.01                                                   -
 Kotak FMP 12M Series 1                                                        0.10                                                   -
 Kotak FMP 12M Series 2                                                        0.02                                                   -
 Kotak FMP 3M Series 22                                                          #                                                    -
 Kotak FMP 3M Series 24                                                          #                                                    -
 Kotak FMP 3M Series 25                                                          #                                                    -
 Kotak Global Emerging Market                                                 82.34                                                   -

                                                                                                                                   (Rs. in Lakhs)

                                                                      KOTAK MAHINDRA BANK LIMITED
 Nature of Transactions                          Commission/Promotional Expenses                   Charges on Banking Services
                                                     for Distribution of Units

                                       2005-06           2006-07             2007-08        2005-06            2006-07             2007-08
 Kotak Gilt Savings Plan                0.43                0.40                              0.02               0.01                  #
 Kotak Gilt Investment Plan             6.93                2.59                                #                  #                   #
 Kotak Bond                             0.06                1.37               5.97           0.01               0.01                0.04
 Kotak Bond Short Term Plan             5.70                8.01               3.73             #                  -                   #
 Kotak 30                               64.98              131.25             133.48          3.63               6.31                9.03
 Kotak Balance                          26.61              13.11               3.91           0.84               1.54                0.46
 Kotak Tech                             0.35                0.22               0.10           0.12               0.07                  #
 Kotak MNC                              3.00                0.28               0.07           1.01               0.09                0.02
 Kotak Income Plus                      1.78                1.94               1.26           1.35               0.90
 Kotak Global India                     10.86               8.05               1.82           0.46               0.93                0.21
 Kotak Liquid                           57.16              80.70              44.43           0.02               0.05                  #
 Kotak Mahindra Fixed Maturity Plans                                           0.53                                                  0.41
 Kotak Floater Short Term               11.66              14.70               8.28            #                  -
 Kotak Dynamic Income
 Kotak FMP (8)
 Kotak Equity FOF                        9.84               1.92               0.12             #                  -
 Kotak Opportunities                    98.46              137.10             101.86          0.50               2.87                3.88
 Kotak Floater Long Term                 5.74               2.16               0.70             #                  -
 Kotak Midcap                           326.25             52.15              19.85           1.31               1.06                0.09
 Kotak Dynamic FOF                         -                                                    -
 Kotak Flexi Debt                       12.61              11.33              102.74          0.01               0.01                0.04
 Kotak Contra                           697.51             24.68                7.5           1.39               0.61                0.69
54
                                                                       KOTAK MAHINDRA BANK LIMITED
Nature of Transactions                          Commission/Promotional Expenses               Charges on Banking Services
                                                    for Distribution of Units

                                      2005-06           2006-07            2007-08       2005-06          2006-07           2007-08
Kotak FMP Series VIII
Kotak FMP Series II                    0.06                                                  #
Kotak FMP Series IV                    0.13                                                  -
Kotak FMP Series I                     2.58               0.42                               #               -
Kotak Equity Arbitrage Fund            4.73               3.62               8.99         10.77            10.32             26.13
Kotak Flexi Fund of Funds             1106.52            10.00                             0.10              -
Kotak Tax Saver                        64.13             18.58              33.84          0.02            1.64              2.71
Kotak Lifestyle Fund                  1638.13            100.19             40.25          1.57            2.57              1.43
Kotak FMP Series 26                    0.05               0.08                                               #
Kotak Flexi Fund of Funds Series I                        2.48                                               -
Kotak Flexi Fund of Funds Series II   1372.84                                                              0.12
Kotak Twin Advantage Series II         75.86                                7.42                           1.70              1.74
Kotak Twin Advantage Series III       251.24                                17.56                          9.06              12.47
Kotak FMP 13M Series 1                 3.82                                                                  -
Kotak FMP 13M Series 2                 8.42                                                                  -
Kotak FMP 14M Series 1                 0.27                                                                  #
Kotak FMP 14M Series 2                 1.12                                                                  -
Kotak FMP 15M Series 1                 0.05                                                                  #
Kotak FMP 15M Series 2                 0.77                                                                  #
Kotak FMP 24                           0.56                                                                  -
Kotak FMP 25                             -                                                                   #
Kotak FMP 3M Series 8                    -                                                                   #
Kotak FMP 3M Series 9                    -                                                                   #
Kotak FMP 3M Series 10                   -                                                                   #
Kotak FMP 3M Series 11                   -                                                                   #
Kotak FMP 3M Series 12                 0.09                                  0.68                            -
Kotak FMP 3M Series 13                 0.04                                                                  -
Kotak FMP 3M Series 14                 0.03                                                                  -                 -
Kotak FMP Series 13                      -                                                                   #
Kotak FMP 6M Series 2                    -                                                                   #
Kotak FMP 6M Series 3                    -                                                                   #
Kotak Dynamic Asset Allocation        2241.69                               355.97                         32.70            151.43
Kotak Wealth Builder Series 1         314.47                                29.47                          2.13             20.98
Kotak Emerging Equity                 399.03                                512.7                            -              16.16
Kotak Gold ETF                                                               4.78                                             -
Kotak FMP 3M Series 15                                                       1.03                                             -
Kotak FMP 3M Series 16                                                       0.63                                             -
Kotak FMP 3M Series 17                                                       4.53                                             -
Kotak FMP 15M Series 3                                                       0.88                                             -
Kotak FMP 3M Series 18                                                       0.13                                             -
Kotak FMP 3M Series 19                                                       0.06                                             -
Kotak FMP 3M Series 20                                                       0.01                                             -
Kotak FMP 3M Series 21                                                       0.56                                             -
Kotak FMP 12M Series 1                                                       1.59                                             -
Kotak FMP 12M Series 2                                                       0.74                                             -
Kotak FMP 3M Series 22                                                       0.42                                             -
Kotak FMP 3M Series 24                                                       0.28                                             -
Kotak FMP 3M Series 25                                                       0.36                                             -
Kotak FMP Quarterly                                                          0.91                                             -
Interval Fund Series II
Kotak Global Emerging Market                                               1076.95                                           1.42
Kotak FMP Quarterly                                                         1.54                                               #
Interval Fund Series I

                                                                                                                                      55
                                                                                                                                                    (Rs. in Lakhs)
                                                  KOTAK MAHINDRA                                                 KOTAK MAHINDRA INC.
                                              CAPITAL COMPANY LIMITED
  Nature of Transactions                     Commission/Promotional Expenses                                      Brokerage Towards Purchase
                                                 for distribution of units                                           and Sale of Investments
                                          2005-06             2006-07               2007-08             2005-06               2006-07               2007-08
 Kotak Gilt Savings Plan                    0.06                0.02                                        -                     -
 Kotak Gilt Investment Plan                 0.01                 #                                          -                     -
 Kotak Bond                                  -                    -                                         -                     -
 Kotak Bond Short Term Plan                 0.01                0.01                  0.01                  -                     -
 Kotak 30                                    -                    -                   0.03                0.11                  0.15                  0.12
 Kotak Balance                               -                    -                                         -                     -
 Kotak Liquid                               0.25                  -                   2.48                0.54                  1.49                  1.03
 Kotak Floater Short Term                    -                    -                                         -                     -
 Kotak Floater Long Term                     -                    -                                         -                     -
 Kotak Flexi Debt                            -                    -                                         -                     -
 Kotak Contra                                -                    -                   0.25                6.65                  0.84                  0.20
 Kotak Twin Advantage Series III                                                                                                                      0.12
 Kotak FMP Series 13                                              -                                                               #

# Less than 0.05 lacs
These transactions were made at arms length and within                              Commission and brokerage were paid at the same rates as
the limits set by the Regulations, wherever applicable.                             were applied to other distributors and brokers



D . PENALTIES, PENDING LITIGATION OR PROCEEDINGS
 a.    All cases of penalties (indicating nature of penalty) awarded by SEBI under the SEBI Act or any of its regulations against the                   None
       Sponsor of the Mutual Fund or any company associated with the Sponsor in any capacity including the Asset Management
       Company, Trustee Company/Board of Trustees, or any of the directors or key personnel (specifically the fund managers) of the
       Asset Management Company and Trustee Company.
       For Sponsor and its associates, other than the penalties as mentioned above, the penalties awarded by any financial                              None
       regulatory body, including stock exchanges, for defaults in respect of shareholders, debenture holders and depositors shall
       also be disclosed. Additionally, penalties awarded for any economic offence and violation of any securities laws.
       Details of all cases of suspensions and cancellation of certificate of registration (for irregularities / violations in financial services
       sector or for defaults in respect of share holders, debenture holders and depositors) of the AMC, Trustee Company and                            None
       sponsor or any associate of the sponsor shall be disclosed for the last 10 years.
 b.    Any pending material litigation proceedings incidental to the business of the Mutual Fund to which the Sponsor of the
                                                                                                                                                        None
       Mutual Fund or any company associated with the Sponsor in any capacity including the AMC, Board of Trustees /Trustee
       Company or any of the directors or key personnel is a party.
       Any pending criminal cases against the Sponsor or any company associated with the Sponsor in any capacity including the
       AMC, Board of Trustees/Trustee Company or any of the directors or key personnel.                                                                 None
 c.    Any deficiency in the systems and operations of the Sponsor of the Mutual Fund or any company associated with the sponsor
       in any capacity including the AMC or the Trustee Company which SEBI has specifically advised to be disclosed in the offer
       document, or which has been notified by any other regulatory agency.

 d.    Any enquiry/adjudication proceedings under the SEBI Act and the Regulations made thereunder, that are in progress against                        None
       the Sponsor of the Mutual Fund or any company associated with the Sponsor in any capacity such as the AMC, Board of
       Trustees/Trustee Company or any of the Directors or key personnel of the Asset Management Company.

The above information has been disclosed in good faith as per the information available to the AMC.




56
E . OMNIBUS CLAUSE                                               10. Copy of the SEBI (Mutual Funds) Regulations, 1996
Subject to SEBI Regulation permitting:                           11. Copy of the Indian Trusts Act, 1882.
Besides the AMC, the Trustee/Sponsor may also absorb             All points mentioned in the Standard Observations
expenditures in addition to the limits laid down under           issued by SEBI vide their ‘Instructions for filing
Regulation 52 of SEBI Regulations.                               Offer Document with SEBI dated December 26, 2003
Further, any amendment/clarification and guidelines in the       have been incorporated in this Offer Document.
form of notes or circulars issued from time to time by SEBI      Notwithstanding anything contained in this Offer
for the operation and management of mutual fund shall be         Document, the provisions of the SEBI (Mutual
applicable.                                                      Funds) Regulations, 1996 and the Guidelines
F.    DOCUMENTS AVAILABLE FOR INSPECTION                         thereunder shall be applicable.
Following documents are available for inspection by the          Investors may ascertain about any further change
prospective investors between 11.00 a.m. and 1.00 p.m. on        after the date of this Offer Document from the
any day (excluding Saturdays, Sundays and public holidays),      ISCs, as given on the inside back cover of the Offer
at the office of the Mutual Fund:-                               Document, or the registered office of AMC or from
                                                                 distributors/brokers.
1.    Copy of the Registration Certificate from SEBI
                                                                 Note: The Scheme under this Offer Document was
2.    Copy of the Trust Deed and the Deed of Amendment.          approved by the Trustee at their meeting held on March 26,
3.    Copy of the Investment Management Agreement and            2008
      the supplemental agreement.                                           For and on behalf of the Board of Directors of
4.    Copy of the Memorandum and Articles of Association                   KOTAK MAHINDRA ASSET MANAGEMENT
      of the Trustee.                                                                              COMPANY LIMITED
                                                                                  [Asset Management Company for Kotak
5.    Copy of the Memorandum and Articles of Association
                                                                                                  Mahindra Mutual Fund]
      of the AMC.
6.    Copy of the Custodian agreement
                                                                 Place : Mumbai                         Sandesh Kirkire
7.    Copy of the Registrar agreement
                                                                 Date : July 8, 2008                Chief Executive Officer
8.    Consent of Auditors to act in the said capacity
9.    A copy of this Offer Document




The following short names have been used in this Offer Document:
     Short Name Used                                    Scheme / Plan Name
     Kotak   Gilt Savings                               Kotak   Mahindra Gilt Unit Scheme ’98 - Savings Plan
     Kotak   Gilt Investment                            Kotak   Mahindra Gilt Unit Scheme ’98 - Investment Plan
     Kotak   30                                         Kotak   Mahindra 30 Unit Scheme
     Kotak   Bond                                       Kotak   Mahindra Bond Unit Scheme 99
     Kotak   Bond Short Term                            Kotak   Mahindra Bond Unit Scheme 99 - Short Term Plan
     Kotak   Balance                                    Kotak   Mahindra Balance Unit Scheme 99
     Kotak   Tech                                       Kotak   Mahindra Technology Scheme
     Kotak   MNC                                        Kotak   Mahindra MNC Scheme
     Kotak   Liquid                                     Kotak   Mahindra Liquid Scheme
     Kotak   Income Plus                                Kotak   Mahindra Income Plus Scheme
     Kotak   Midcap                                     Kotak   Midcap Scheme
     Kotak   Global India                               Kotak   Mahindra Global India Scheme
     Kotak   Flexi Debt                                 Kotak   Mahindra Flexi Debt Scheme
     Kotak   Contra                                     Kotak   Contra Scheme
     Kotak   Dynamic FOF                                Kotak   Dynamic Fund of Funds Scheme
     Kotak   Equity Arbitrage                           Kotak   Equity Arbitrage Fund
     Kotak   Lifestyle Fund                             Kotak   Lifestyle
     Kotak   Taxsaver Scheme                            Kotak   Taxsaver

                                                                                                                       57
                                                                                      OFFICIAL COLLECTION CENTRES (For New Fund Offer)
 I. KMAMC AUTHORISED COLLECTION CENTRES
   Ahmedabad : 9,10,11- 2nd floor, Siddhi Vinayak complex, Shivranjani Cross Roads, Satellite. Ahmedabad - 380015. Amritsar : Kapoor Arcade, Office No 2,First Floor, M M Malviya Road,Crystal Chowk, Amritsar 143001. Aurangabad: 3rd floor, Kandi Towers, CTS NO. 12995,
above Kotak Mahindra bank, Jalana Rd, Aurangabad - 431001 Bangalore : 2nd Fl., Umiya Landmark, 10/7, Lavelle Road, Bangalore - 560001. Bhavnagar: 209, Shopper's Point, Waghawadi Road, Parimal Chowk, Bhavnagar - 364002. Bhubaneshwar: 2nd Flr, Building No. 24, SCR
Janpath, Bapji Nagar, Bhubaneswar - 751001. Bhilai : Block No 2A, Street 30, Sector 5, Bhilai, Dist. Durg, Chattisgarh - 490006 Calicut: 3rd Floor, Elite Arcade, Chakorathkulam, Kannur Road, Calicut - 673011. Chandigarh: SCO 2475-2476, 1st flr, Sector 22 C, Chandigarh -
160 017. Chennai: 1st Floor, Eldorado Building, 112 Nungambakkam High Road, Chennai - 600034. Cochin: Shop No. 56-57, 2 nd floor Jacob DD Mall, M. G. Rd Shenoy Junction, Cochin - 682 011. Coimbatore: S. S. Complex, 554B/1, 2nd Floor, D.B. Road, R S Puram, Coimbatore
- 641 002. Dehradun: 9A & B, 1st Floor, India Trade Centre, 97, Rajpur Road, Dehradun - 248001. Goa : 3rd Floor, Mathias Plaza, 18th June Road, Panaji, Goa Guwahati: 5th Floor, Amaze Shopping Mall (Above Vishal Mega Mart) A.T. Road Guwahati-781001 Hubli : Gr.
Flr V A Kalburagi Complex, 3rd floor, behind Pizza Hut, Desai Cross, Deshpande Nagar, Hubli - 580029. Hyderabad: 6-3-1109/1 2nd Floor, Navbharat Chember, Rajbhavan Rd., Somaji Guda, Hyderabad - 500 082 Indore: M-5, Mezzanine Floor, Starlit Tower, 29/1, Y N Road,
Indore - 452001 Jaipur: 202, Mall-21, Opp. Raj Mandir Cinema, Bhagwandas Road, Jaipur 302001 Jallandhar: 207-A, 2nd Floor, Grand Mall Building, G T Road, Jalandhar 144001 Jamshedpur: 1st Floor, Sanghi Mension, main Rd sakshi, Boulebard Rd, Ram Mandir Area, biustupur,
Jamshedpur - 831001. Kanpur : Room No. 107,1st floor, Ratan Squire, 14/144 Chunni ganj, Kanpur 208001 Kolhapur : Office no 59, Upper Ground Floor, Raobahadur Dajirao Vichare Complex, GEMSTONE, 517 A/2, New Shahupuri, Near Central Bus Stand, Kolhapur 416 002
   Kolkata : 1st Floor, Horizon 57 Chaowranghe Rd, Kolkata - 700 071 Ludhiana: Ground Floor, S.C.O. 120, Feroze Gandhi Market, Ferozepur Road, Ludhiana - 141001. Madurai : A R Plaza,No. 16 and 17, North Veli Street, Madurai - 625001. Mangalore : 2nd Floor,
Manasa Tower, M G Rd, Kodialbail, Manglore - 575 003 Muradabad : A - 5, Murt Complex, gandhi Nagar, Near Sabka Bazar, Muradabad - 244001. Mumbai : 1st Floor, Dani Corporate Park, 158 CST Road, Kalina, Santacruz East, Mumbai 400098. Nagpur: B
- 101, Mahalaxmi Appartment, Near Ajit Bakery, Kharetoen, Dharampeth, Nagpur - 440010. Nasik: Shop no.6,Ground Floor Krishnaratna,Opp. Hotel Potoba, New Pandit Colony, Nasik-422001 New Delhi : 12-14, Upper Ground Floor, Ambadeep Building, 14, Kasturba Gandhi Marg,
New Delhi - 110 001. Panipat: Royal 1Bldg, Besment, Adjoining Gurdwara, Opp Naval Cinema, G T Road,Panipat 132103 Patna: 5th Floor, Sahi Building, Exhibition Road. Patna - 1 Pune: Office No. 31, 3rd Floor, "Yeshwant", Plot No. 37/10B Opp. Lane No. 9, Prabhat Road,
Erandwana, Pune - 411004 Raipur: GF-04, Millennium Plaza, Banstal Road,Near Indian Coffee House, Raipur - 492001. Rajkot: 1st Floor, 124 Star Plaza, Phulchhab Chowk, Rajkot - 360001. Ranchi: 2nd Floor, Anandmayee Building, M G Rd. Opp. GEL, Church Complex main
Rd, Ranchi - 834001. Surat: Ground Floor, Kotak House , K.G. Point, Near Ganga palce, Ghod-dod Rd, Surat - 395 007. Shrinagar : Kotak Mahindra Asset Manegement Company Ltd. C/o Kotak Securities, Samarth Complex, Kak sarai chowk, Karan Nagar, Shrinagar - 190
010 Thane : 101-102, 1st Floor, Lotus Plaza, Gokhale Road, Naupada, Thane (West) – 400602 Trivandrum : S.1. White Heaven, Vellayambalam, Trivandrum-10 Udaipur: C/o Kotak Securities, 1 st Floor, Moomal Towers, above IDBI Bank, 222/16 Saheli Marg, Saheli Nagar, Udaipur
- 313001. Vadodara: 202, Gold Croft. Opp. only parathas Retaurant, Jetalpur Road, Vadodara - 390007 VAPI: Office No.10, 1st Floor, Sahara Market, Vapi-Silvassa Road,Vapi - 396191. Varanasi: D-58/53-54, Shiva Complex, Shop No. 9, Rathyatra crossing,Varanasi
- 221010 Vijayawada: 40-1-29, above Kuttons showroom, 2nd floor, Near Fortune Murli Park Hotel, M G Rd, Vijayawada - 522008. Vishakhapatnam: Visakha Executive Centre, 47-11-1/5, 1st Floor, Eswar Arcade, 1st Lane, Dwaraka Nagar, Visakhapatnam - 530016.
 II. COLLECTION BANKS
 HDFC Bank
   Ahmedabad : HDFC Bank House, Near Mithakali Six Roads, Navrangpura - 380 009 Amritsar : 1st Floor, R. S Towers, Hall Bazar, Amritsar - 143 001 Amravati: C/O Rasik Plaza, Jaistambh Chowk, Morshi Road, Amravati - 444601
   Aurangabad : Sshivani Chambers, Manjeet Nagar, Jalna Road, Opp Akashwani Aurangabad - 431001 Bangalore : No 8 / 24 Salco Centre, Richmond Road, Bangalore - 560 025 Bhavnagar : Gopi Arcade, Opp Takhteshwar Post Office,
Bhavnagar Bhilai: Chauhan Estate, G.e Road, Supela, Bhilai - 490023 Bhubaneshwar : Junction of Janpath & Gandhi Marg, Hotal Jajati Complex, Kharvelanagar, Unit - III , Master Canteen Square, Bhubaneshwar - 751 001 Calicut
: Malabar Palace, G. H. Road , Calicut - 673 001 Chandigarh : SCO, 371/372, Sector 35-B, Chandigarh - 160 034 Chennai : 751 - B Anna Salai, Mariam Centre, Chennai - 600 002 Cochin : 2nd Floor, Elmar Square,M.G Road, Ravipuram,
Cochin - 682 016 Coimbatore : 1635 Classic Tower, Trichy Road, Coimbatore - 641 018 Dehardhun : 56, Rajpur Road, Uttaranchanchal, Dehardhun - 248001 Guwahati : House No 126, Opp Times of India, Bhangagarh, Guwahati
- 781 005 Hubli: T B Revankar Complex, Vivekanand Hospital Road, Hubli - 580029 Hyderabad : 6-1-73 3rd Floor Saeed Plaza, Lakadikapaul, Hyderabad - 500 004 Indore : 3rd Floor, 9/1A, U. V. House, South Tukonj, Indore -
452 001 Jaipur : 1st Floor, O - 10, Ashok Marg, Ahimsa Circle, C Scheme, Jaipur - 302 001. Jalandhar : 911, Near Narinder Cinema, G T Road, Jalandhar - 144 001. Jalgaon: Plot No 134 / 135 , Dsp Chowk, Facing Mahal
Road, Jalgaoan - 425001 Jamshedpur : C/o Mithila Motors Ltd, Near Ram Mandir, Bistupur, Jamshedpur - 831 001 Jodhpur : Plot No 57 / B , 9th Chopasani Road, Jodhpur - 342 003 Kanpur : Navin Market Branch, 15/46 Civil Lines
, Kanpur - 280 001 Kolkata : Abhilasha II, 6, 1st Floor, 6 Royd Street, Kolkata - 700 016 Kolhapur: Gem Stone , Raosaheb Vichare Complex, 517 , E Ward , New Shahupuri , Near Central Bus Stand And Parikh Pool, Kolhapur
- 416001 Lucknow : Pranay Tower, Darbari Lal Sharma Marg, Beside Pratibha Cinema, Lucknow - 226 001 Ludhiana : CMS Dept, 5th Floor, Mall Road, Ludhiana - 141 001 Madurai : 7 - A, West Veli Street, Opp Railway Station,
Madurai - 625 001 Mangalore : M. N. Towers, Kadri, Mangalore - 575 002 Moradabad : Chadda Shopping Complex, GMDRoad, Moradabad - 244001 Mumbai : Maneckjiwadia Building, Nanik Motwani Marg, Mumbai - 400 023.
Nagpur: 303 & 304 3rd Floor, Wardh Road, 12, Milestone, Near Lokmat Square, Nagpur - 440 010 Nasik : Archit Centre, 3rd Floor, Chandak Circle Link Road, Opp Sandeep Hotel, Near Mahamarg Bus Stand, Nasik - 422 002 New
Delhi : Figops, Ist Floor, Kailash Building, 26 K G Marg, New Delhi - 110 001 Panipat : 801/4, GT Road Panipat - 132103 Panjim : Swami Vivekanand Road, 301, Milroc Lar Menezes, Opp Gomantak Maratha Samaz, Panjim - 403 001
  Patna : Rajendra Ram Plaza, Exhibition Road, Patna - 800 001. Pune : 5th Floor Millennium Tower, Bhandarkar Road, Shivaji Nagar, Pune - 411 004. Raipur : Chawla Complex, Near Vanijya Bhawan, Sai Nagar, Devendra Nagar Road,
Raipur - 492 009 Rajkot : Opp Alfred High School, 2nd Floor, Panchratna Bldg, Jawahar Road, Rajkot - 360 001 Ranchi : Shop No 3 & 4, Ranchi Club Shopping Complex, Main Road, Ranchi - 834 001 Srinagar : M. S. Shopping
Mall, Residency Road, Srinagar - 190 001 Surat : 7th Floor,Kashi Plaza, Next To Dr Bipin Desai Children Hospital , Majura Gate, Surat - 395 002 Tirupur : 160, Chidambaram Complex, Kumaran Road, Tiruppur - 641 604 Trivandrum
: Kenton Towers, Vazhuthacaud, Trivandrum - 695 014 Udaipur : 358 Post Office Road, Chetak Circle, Adjacent to Chetak Cinema, Udaipur - 313 001 Vadodara : 5th Floor, Midway Heights, Next to Panchmukhi Hanuman Temple,
Lokmanya Tilak Road, Kirti Mandir, Near Kala Ghoda, Raopura, Vadodaraa - 390 001 Varanasi : D 58 / 2 Kuber Complex, Rathyatra Crossing, Varanasi - 221 010 Vijayawada : 40 - 1 -48 / 2 , M. G. Road, Labbipet, Vijayawada -
520 010 Visakhapatnam: 1st Floor , Poduri Castle, Above Raymond Showroom, Dwarka Nagar, Visakhapatnam - 530 016.

                                                                                          OFFICIAL ACCEPTANCE POINTS (For Redemption)
 KOTAK MAHINDRA ASSET MANAGEMENT COMPANY LIMITED
  Ahmedabad: 9,10,11- 2nd floor, Siddhi Vinayak complex, Shivranjani Cross Roads, Satellite,.Ahmedabad - 380015. Bangalore : 2nd Fl., Umiya Landmark, 10/7, Lavelle Road, Bangalore - 560001. Borivali : B-601, 6th Floor, Sai Leela
Building, S V Road, Opp. Moksh Plaza Borivali (West), Mumbai - 400092. Bhikaji Cama : UGF-11, Mohta Building, 4, Bhikaji Cama Place, New Delhi - 110066. Bhubaneswar: Centre Point, Unit-A, 2nd Flr, Kharvela Nagar, Janpath, Bhubaneswar
751001. Chandigarh : SCO 2475-2476, 1st flr, Sector 22 C, Chandigarh - 160 017 Chennai: 1st Floor, Eldorado Building, 112 Nungambakkam High Road, Chennai 600034. Ghatkopar : 305, 3rd Floor, Rupa Plaza, Jawahar Road, Ghatkopar
Station, Ghatkopar (East), Mumbai - 400077 Hyderabad: 6-3-1109/1 2nd Floor, Navbharat Chember, Rajbhavan Rd, Somaji Guda, Hyderabad - 500 082 Jaipur: 202, Mall-21, Opp. Raj Mandir Cinema, Bhagwandas Road, Jaipur 302001
Indore: M-5, Mezzanine Floor, Starlit Tower, 29/1, Y N Road, Indore - 452001 Kanpur: Room No. 107,1st floor, Ratan Squire, 14/144 Chunni ganj, Kanpur 208001 Karkardooma : F-8, 1st Floor, Pankaj Plaza II, Community Centre,
Karkardooma, New Delhi – 110092 Khar : 503, 5th Floor, Ambasadan, 325 Linking Rd, Khar (W) Mumbai - 400 052 Kolkata : 1st Floor, Horizon 57 Chaowranghe Rd, Kolkata - 700 071 Lucknow : Room No.9, 3rd Floor, Saran Chambers II, 5
Park Road, Lucknow - 226 001. Madurai: A R Plaza, No. 16 and 17, North Veli Street, Madurai - 625001. Mumbai : 1st Floor, Dani Corporate Park, 158 CST Road, Kalina, Santacruz East, Mumbai 400098. New Delhi : 12-14, Upper Ground
Floor, Ambadeep Building, 14, Kasturba Gandhi Marg, New Delhi - 110 001. Pune : Office No. 31, 3rd Floor, "Yeshwant", Plot No. 37/10B, Opp. Lane No. 9, Prabhat Road, Erandwana, Pune - 411004. Thane : 101-102, 1st Floor, Lotus
Plaza, Gokhale Road, Naupada, Thane (West) – 400602 Vadodara: 202, Gold Croft. Opp. only parathas Retaurant, Jetalpur Road, Vadodara - 390007

 COMPUTER AGE MANAGEMENT SERVICES PRIVATE LIMITED (CAMS) - INVESTOR SERVICE CENTRES
   Ahmedabad: 111-113, 1st Floor - Devpath Building, Off C G Road, Behind Lal Bungalow, Ellis Bridge, Ahmedabad 380 006. Bangalore : Trade Centre, 1st Floor, 45, Dikensen Road. ( Next to Manipal Centre ) Bangalore - 560 042. Bhubaneswar
: 101/ 5, Janpath, Unit III, Near Hotel Swosti, Bhubaneswar - 751 001. Chandigarh : Deepak Towers, SCO 154/155, 1 st flr, Sector 17-C, Chandigarh - 160 017 Chennai : Ground Floor No.178/10, Kodambakkam High Road, Opp. Hotel Palmgrove,
Nungambakkam, Chennai -600 034. Cochin : 40 / 9633 D, Veekshanam Road, Near International hotel, Cochin - 682 035. Coimbatore : Old # 66 New # 86, Lokamanya Street (West), Ground Floor, R.S.Puram, Coimbatore - 641 002. Durgapur
: 4/2, Bengal Ambuja Housing Development Ltd, Ground Floor, City Centre, Dist - Burdwan, West Bengal, Durgapur - 713 216. Goa : No.108, 1st Floor, Gurudutta Bldg, Above Weekender, M G Road, Panaji (Goa) - 403 001. Hyderabad : 208,
2nd Floor, Jade Arcade, Paradise Circle, Secunderabad - 500 003. Indore : 101, Shalimar Corporate Centre, 8-B, South tukogunj, Opp.Greenpark, Indore - 452 001. Jaipur : G-III, Park Saroj, Behind Ashok Nagar Police Station, R-7, Yudhisthir
Marg ,C-Scheme, Jaipur - 302 001. Kanpur : G-27, 28 Ground Floor, City Centre, 63/ 2, The Mall, Kanpur- 208 001. Kolkata : "LORDS Building" 7/1,Lord Sinha Road, Ground Floor, Kolkata -700071. Lucknow : Off # 4,1st Floor,Centre Court
Building,3/c, 5 - Park Road, Hazratganj, Lucknow-226 001. Ludhiana : U/ GF, Prince Market, Green Field, Near Traffic Lights, Sarabha Nagar Pulli, Pakhowal Road, Above Dr. Virdi's Lab, P.O Model Town, Ludhiana-141 002. Madurai :86/71A,
Tamilsangam Road, Madurai-625 001 Mangalore : No. G 4 & G 5, Inland Monarch, Opp. Karnataka Bank, Kadri Main Road, Kadri, Mangalore - 575 003 Mumbai : Rajabahdur Compound, Ground Floor, Opp Allahabad Bank, Behind ICICI Bank
30, Mumbai Samachar Marg, Fort, Mumbai - 400 023. Nagpur: 145 Lendra, Behind Indus Ind Bank, New Ramdaspeth, Nagpur - 440 010. New Delhi : 304-305 III Floor, Kanchenjunga Building, 18, Barakhamba Road, Cannaugt Place, New
Delhi - 110 001. Patna : Kamlalaye Shobha Plaza (1st Floor), Behind RBI Near Ashiana Tower, Exhibition Road, Patna - 800 001. Pune : Nirmiti Eminence, Off No. 6, I Floor, Opp Abhishek Hotel Mehandale Garage Road, Erandawane, Pune
- 411 004. Surat :Office No 2 Ahura -Mazda Complex, First Floor, Sadak Street, Timalyawad, Nanpura, Surat - 395 001. Vadodara : 109 - Silver Line, Besides world Trade Centre, ayajigunj, Vadodara -390 005. Vijayawada : 40-1-68, Rao
& Ratnam Complex Near Chennupati Petrol Pump, M.G Road, Labbipet, Vijayawada 520 010. Visakhapatnam : 47/ 9 / 17, 1st Floor, 3rd Lane , Dwaraka Nagar Visakhapatnam - 530 016.

 COMPUTER AGE MANAGEMENT SERVICES PRIVATE LIMITED (CAMS) - TRANSACTION POINT
   Agra : No.8, 2nd floor, Maruti Tower, Sanjay Place, Agra - 282002. Ahmednagar : 203-A Mutha Chambers Old Vasant Talkies, Market Yard Road, Ahmednagar – 414001. Ajmer : Shop No.S-5, Second Floor, Swami Complex, Ajmer - 305001.
Akola: Opp. RLT Science College, Civil Lines, Akola – 444001. Allahabad : No.7 Ist Floor, Bihari Bhawan, 3, S.P. Marg, Civil Lines, Allahabad-211001. Aligarh: City Enclave, Opp. Kumar Nursing Home,Ramghat Road, Aligarh- 202001. Alwar : 256A,
Scheme No:1, Arya Nagar, Alwar-301001. Amaravati : 81, Gulsham Tower, 2nd Floor, Near Panchsheel Talkies, Amaravati - 444601. Amritsar : 378-Majithia Complex, 1st Floor, M. M. Malviya Road, Amritsar - 143001. Anand : 101, A.P. Tower,
B/H, Sardhar Gunj, Next to Nathwani Chambers, Anand- 388001. Anantapur:- 15-570-33, I Floor, Pallavi Towers,Anantpur 515001 Ankleshwar : G-34, Ravi Complex, Valia Char Rasta, G.I.D.C., Ankleshwar- Bharuch -393 002 Asansol : Block G
1st Floor, P C Chatterjee Market Complex, Rambandhu Talab P O Ushagram, Asansol - 713303. Aurangabad : Office No. 1, 1st Floor, Amodi Complex, Juna Bazar Aurangabad-431001. Balasore: B C Sen Road, Balasore - 756001. Bareilly:- F-62-
63 Butler Plaza,Civil Lines,Bareilly 243001 Belgaum : Tanish Tower, CTS No. 192/A, Guruwar Peth, Tilakwadi, Belgaum-590006 Bellary : No.18A, 1st Floor, Opp. Ganesh Petrol Pump, Parvathi Nagar Main Road, Bellary - 583103. Berhampur : First Floor,
Upstairs of Aaroon Printers, Gandhi Nagar Main Road, Ganjam Dt Orissa Berhampur-760001. Bhagalpur : Dr R P Road,Khalifabagh Chowk, Bhagalpur- 812001 Bhavnagar: 305-306, Sterling Point, Waghawadi Road, OPP. HDFC BANK Bhavnagar -
364002. Bhilai : 209 , Khichariya Complex, Opp IDBI Bank,Nehru Nagar Square, Bhilai-490020 Bhilwara : C/o Kodwani & Associates, F-20-21, Apsara Complex, Azad Market, Bhilwara-311001. Bhopal : C-12, Near City Bank, Above Delhi Prakashan
Agency, Zone-I, M.P.Nagar, Bhopal-462011. Bhuj : Data Solution, Office No:17 I st Floor Municipal Building Opp Hotel Prince Station Road, Bhuj - Kutch-370001. Bokaro: HC-3, Ist Floor, CityCentre, Sector-4, Bokaro Steel City, Bokaro - 827004. Burdwan
: 399, G T Road, Opposite of Talk of the Town, Burdwan-713101. Calicut : 17/28 G, H 1st Floor, Manama Building, Mavoor Road, Calicut-673001. Cuttack : Near Allahabad Bank, Cantonment Road, Cuttack-753001. Davenegere :13, Ist Floor, Akkamahadevi
Samaj Complex, Church Road, P.J.Extension, Devengere- 577002. Dehradun : 204/121 Nari Shilp Mandir Marg, Old Connaught Place, Dehradun - 248001. Deoghar:- S S M Jalan Road,Ground Floor,Opp Hotel Ashoke,Caster Town,Deoghar 814112
   Dhanbad : Urmila Towers, Room No: 111(1st Floor), Bank More, Dhanbad- 826001. Dhule: H. No. 1793 / A, J.B. Road,Near Tower Garden, Dhule- 424001 Erode:- 197,Seshaiyer Complex, Agraharam Street,Erode 638001 Faridhabad: B-49,
Ist Floor, Nehru Ground, Behind Anupam Sweet House, NIT, Faridhabad -121001. Ghaziabad : 207/A-14, IInd Floor, Devika Chamber, RDC Raj nagar, Gazhiabad-201002. Gorakhpur : Shop No. 3, Second Floor, Cross Road, A.D. Chowk, Bank Road,
Gorakhpur-273001. Guntur : Door No 5-38-44, 5/1 BRODIPET, Near Ravi Sankar Hotel, Guntur - 522002. Gurgoan : SCO - 17, 3rd Floor, Sector-14, Gurgoan - 122001. Guwahati Old post office lane, A. K. Azad Lane, Rehabari, Guwahati - 781008.
   Gwalior: 1st Floor, Singhal Bhavan, Daji Vitthal Ka Bada, Old High Court Road, Gwalior - 474001. Hazaribagh:- Muncipal Market,Annada Chowk,Hazaribagh 825301 Hosur : Shop No.8 J D Plaza, OPP TNEB Office, Royakotta Road, Hosur-635109.
Hubli : 206 & 207. 1st Floor, 'A' Block, Kundagol Complex, Opp Court, Club road, Hubli-580029, Jabalpur : 975,Chouksey Chambers, Near Gitanjali School, 4th Bridge, Napier Town, Jabalpur-482001. Jalandhar : 367/8, Central Town, Opp. Gurudwara
Diwan Asthan, Jalandhar - 144001. Jalgoan:- Rustomji Infotech Services,70, Navipeth,Opp old Bus Stand,Jalgoan 425001 Jammu : 660- A Near Digital Wares, Lane opposite Dushara Ground, Front Gate, Gandhi Nagar, Jammu-180004 Jamnagar
: 217/218, Manek Centre, P.N. Marg, Jamnagar-361001. Jamshedpur : Millennium Tower, Room No:15 First Floor, R- Road, Bistupur, Jamshedpur-831001. Jodhpur :1/5, Nirmal Tower, Ist Chopasani Road, Jodhpur-342003. Junagadh : Circle Chowk,
Near Choksi Bazar Kaman, Gujarat Junagadh-362001. Jhansi: Babu Lal Karkhana Compound,Opp.SBI Credit Branch, Gwalior Road, Jhansi- 284001 Kalyani : A - 1/50, Block - A, Nadia Dt Kalyani - 741235. Kapada: Door No.1-1625, DNR Laxmi
Plaza, Opp. Rajiv Marg, Railway Station Road, Yerramukkapalli, Kapada- 516004. Karimnagar:- Hno 7-1-257,Upstairs S B H,Mangammthota,Karimnagar 505001 Kestopur : AA 101, Prafulla Kanan, Sreeparna Appartment, Ground Floor, Kolkata Kestopur
- 700101 Kollam : Kochupilamoodu Junction,Near VLC, Beach Road, Kollam- 691001. Kannur:- Room No. 14/435,Casa Marina Shopping Centre,Talap,Kannur 670004 Kolhapur : AMD Sofex Office No.7, 3rd Floor, Ayodhya Towers, Station Road, Kolhapur-
416001. Kota : B-33 'Kalyan Bhawan, Triangle Part ,Vallabh Nagar, Kota-324007. Kottayam : Door No. IX / 1276, Amboorans Building, Manorama Junction, Kottayam-686001. Kumbakonam : Jailani Complex,47, Mutt Street, Kumbakonam- 612001.
   Manipal : Academy Annex, First Floor, Opposite Corporation Bank, Upendra Nagar, Manipal-576104. Mathura : 159/160 Vikas Bazar, Mathura - 281001. Meerut : 108 Ist Floor Shivam Plaza, Opposite Eves Cinema, Hapur Road, Meerut -250002.
   Mehsana:- 1St Floor, Subhadra Complex, Urban Bank Road,Mehsana 384002 Moradabad : B-612 'Sudhakar'Lajpat Nagar, Moradabad-244001. Muzzafarpur : Brahman toli, Durga Asthan Gola Road, Muzaffarpur-842001. Mysore : No.1, 1st Floor,
CH.26 7th Main, 5th Cross, (Above Trishakthi Medicals), Saraswati Puram Mysore-570009 Nasik : “Varsha Bungalow" 1st Floor, Near Rungtha High School, 493, Ashok Stambh, Nasik, 422001. Navsari : Dinesh Vasani & Associates, 103 -Harekrishna
Complex, above IDBI Bank, Nr. Vasant Talkies, Chimnabai Road, Navasari- 396445. Nellore:- 97/56, I Floor Immadisetty Towers,Ranganayakulapet Road,Santhapet,Nellore 524001 Panipat : 83, Devi Lal Shopping Complex, Opp ABN Amro Bank, G.T.Road,
Panipat - 132103 Patiala : 35, New lal Bagh Colony, Patiala-147001 Pondicherry : S-8, 100, Jawaharlal Nehru Street, (New Complex, Opp. Indian Coffee House), Pondicherry - 605001. Porbander:- 1st Floor, Silver Complex,S.T. Road,Porbandar 360575
   Raipur:- C-24,Sector 1,Devendra Nagar,Raipur 492004 Rajahmundry : Cabin 101 D.no 7-27-4, 1st Floor Krishna Complex, Baruvari Street, T Nagar Rajahmundry-533101 Rajkot : 111, Pooja Complex, Harihar Chowk Near GPO, Rajkot - 360001
   Ranchi : 223,Tirath Mansion (Near Over Bridge),1st Floor, Main Road, Ranchi - 834001. Ratlam : Dafria & Co 81, Bajaj Khanna Ratlam - 457001. Rohtak : 205, 2ND Floor, Blg. No. 2, Munjal Complex, Delhi Road, Rohtak - 124001. Rourkela : 1st
Floor , Mangal Bhawan , Phase II Power House Road, Rourkela - 769001. Sagar : Opp. Somani Automoblies, Bhagwanganj, Sagar - 470 002. Salem:- No. 2,I Floor Vivekananda Street,New Fairlands,Salem 636016 Sambalpur : C/o Raj Tibrewal
& Associates, Opp.Town High School,Sansarak, Sambalpur-768001. Satara : 117 / A / 3 / 22,Shukrawar Peth,Sargam Apartment, Satara. Shimla: 1st Floor, Opp Panchayat Bhawan Main Gate, Bus Stand, Shimla - 171001 Siliguri : No 8, Swamiji
Sarani, Ground Floor, Hakimpara Siliguri - 734401. Solapur : 4, Lokhandwala Tower, 144, Sidheshwar Peth, Near Z.P. Opp. Pangal High School, Solapur 413001 Surendranagar:- 2 M I Park, Near Commerce College,Wadhwan City,Surendranagar 363035
   Thiruppur : 1(1), Binny Compound, Iind Street, Kumaran Road, Thiruppur-641601. Tirunelveli : III Floor, Nellai Plaza, 64-D, Madurai Road, Tirunelveli - 627001. Tirupathi : Shop No14, Boligala Complex, 1st Floor, Door No. 18-8-41B Near Leela Mahal
Circle Tirumala Byepass Road Tirupathi - 517501 Trichur : Adam Bazar, Room no.49, Ground Floor, Rice Bazar (East), Trichur-680001. Trichy : No 8, I Floor, 8th Cross West Extn, Thillainagar, Trichy-620018. Trivandrum : R S Complex, Opposite of LIC
Building, Pattom PO Trivandrum - 695004. Udaipur : 32 Ahinsapuri Fatehpura Circle, Udaipur-313004 Valsad:- Ground Floor,Yash kamal-“B”,Near Dreamland Theater,Tithal Road,Valsad 396001 Varanasi : C 27/249 - 22A, Vivekanand Nagar Colony, Maldhaiya,
Varanasi-221002 Vashi : Mahaveer Center, Office No:17, Plot No:77, Sector 17, Vashi -400703. Vellore : No:54, Ist Floor, Pillaiyar Koil Street, Thotta Palayam, Vellore-632004, Warangal : F13, 1st Floor, BVSS Mayuri Complex, Opp. Public Garden,
Lashkar Bazaar, Hanamkonda Warangal -506001. Yamuna Nagar : 124 B/R, Model Town, Yamuna Nagar – 135001.

				
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