SCHEME INFORMATION DOCUMENT

LICMF Unit Linked Insurance Scheme

(Previously known as Dhanraksha-89)
(An Insurance Linked Tax Saving Scheme)
Offer of Units at NAV based price
Name of the Mutual Fund : LIC Mutual Fund
Name of the Asset Management Company : LIC Mutual Fund Asset Management
Company Ltd.
Name of the Trustee Company : LIC Mutual Fund Trustee Company
Pv t. Ltd.
Addresses, W ebsite of the entities LIC Mutual Fund Asset Management
Company Ltd. Industrial Assurance
Bldg., 4 t h Floor Opp. Churchagate Stn.
Mumbai – 400 020.
www.licmutal.com, licmf amc@licmutual.com

The particulars of the scheme have been prepared in accordance with the Securities and
Exchange Board of India (Mutual Funds) Regulations 1996, (herein after referred to as SEBI
(MF) Regulations) as amended till date, and filled with SEBI, along with Due Diligence
Certificate from AMC. T he units being offered for public subscription have not been
approved or recommended by SEBI nor has SEBI certified the accuracy or adequacy of the
Scheme Information Document.
The Scheme Inf ormation Document sets f orth concisely the inf ormation about the scheme that a
prospectiv e investor ought to know bef ore inv esting. Bef ore investing, inv estors should also
ascertain about any f urther changes to thi s Scheme Inf ormation Document after the date of this
Document f rom the Mutual Fund / Investor Service Centres / W ebsite / Distributors or Brokers.
The investors are advised to refer to the Statement of Additional Information (SAI) for d etails
of LIC Mutual Fund, T ax and Legal issues and general information on www.licmutual.com

SAI is incorporated by reference(is legally a part of the Scheme Information Document).

For a free copy of the current SAI, please contact your nearest Investor Service Centre or
log on to our website.

The Scheme Information Document should be read in conjunction with the SAI and not in
isolation.

This Schem e Inform ation Docum ent is dated 31 s t March 2010.

 SR. ITEMS PAGE NO.
I INTRODUCTION
A RISK FACTORS 5
B REQUIREMENT OF MINIMUM INVESTORS IN THE SCHEME 7
C SPECIAL CONSIDERATION, if any 7
D DEFINITIONS 8
E DUE DILIGENCE BY THE ASSET MANGEMENT COMPANY 9
II INFORMATION ABOUT THE SCHEME
A TYPE OF THE INVESTMENT 9
B INVESTMENT OBJECTIVE 9
C ASSET ALLOCATION 9
D SCHEME INVESTMENT 9
E INVESTMENT STRATEGIES 10
F FUNDAMENTAL ATTRIBUTES 13
G BENCHMARK 14
H FUND MANAGERS 14
I INVESTMENT RESTRICTIONS 14
J SCHEME PERFORMANCE 15
III UNITS AND THE OFFER
A NEW FUND OFFER (NFO) 16
B ONGOING OFFER DETAILS 20
C PERIODIC DISCLOSURES 23
D COMPUTATION OF NAV 24
IV FEES AND EXPENSES
A NEW FUND OFFER (NFO) EXPENSES 25
B ANNUAL SCHEME RECURRING EXPENSES 25
C LOAD STRUCTURE 25
V RIGHTS OF UNITHOLDERS 26
VI PENALTIES, PENDING LITIGATION OR PROCEEDINGS, FINDINGS 26
OF INSPECTIONS OR INVESTIGATIONS FOR WHICH ACTION MAY
HAVE BEEN TAKEN OR IS IN THE PROCESS OF BEING TAKEN BY
ANY REGULATORY AUTHORITY.

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SCHEME HIGHLIGHT S

 OBJECTIVES: An open ended scheme which seeks to generate long term capital appreciation
and off er Tax benefits u/s 80C of the Income T ax Act as well as additional benef its of a lif e cover
and f ree accident insurance cov er.
 ISSUE PRICE: On an ongoing basis Sales will be at NAV related prices f or the Single Premium
option as well as Regular Contribution option.
 LIQUIDITY: Repurchase af ter lock-in period of 3 years of inv estment.
 ENT RY / EXIT LOAD: Nil
 OPT IONS: The scheme off ers inv estment under 2 main options:
A) Single Premium and
B) Regular Contribution
Under each of these options inv estment is under the Dividend Reinv estment Plan.
 TERM OF INVESTMENT :
A) Single Premium - 1) 5 Years 2) 10 Years
B) Regular Contribution - 1) 10Years 2) 15 Years

 LIFE AND ACCIDENT INSURANCE BENEFIT S: Lif e Insurance cov er under:
Regular Contribution option equal to balance of target amount subject to a maximum of
Rs.1500000/- under all membership numbers.
Single premium option equal to target amount subject to Maximum of Rs 15000000/- under all
membership numbers.
Free Personal accident cov er equal to lif e cover under both options subject to a maximum of Rs
750000/-, applicable to domestic resident beneficiaries only.
Final Reward on maturity
Under Regular Contribution option: 10% o f target under 10 year term and 15% of target
amount under 15 year term
Under Single Premium option: 5% of the investment for 5 years term and 10% of the
investment for 10 years term.
The Final Reward is payable only at the tim e of m aturity or death in the last year of the schem e, after receipt
of all contributions under the Schem e.
The AMC res erv es the right to m odify / annul the said final reward.

 T RANSPARENCY: Disclosure of NAV on a daily basis at the end of each business day.
Periodical disclosure of portf olio as well as publication of yearly and half -yearly accounts.
 T AX REBAT E AND BENEFITS: Tax rebate on contribution u/s 80C of income tax act.
Capital Gains Tax Benef its, u/s 48 and 112 of the Income Tax Act, 1961 are av ailable. Gift of
units, purchased under the scheme is exempt from gift tax. Units held under the scheme are also
not liable to W ealth Tax. There will be no deduction of tax at source on redemption/repurchase
amount f or resident inv estors.
 T ARGET INVEST MENT
Minimum investment:
Regular Contribution Option -
1) Rs. 10000/- under 10 year term
2) Rs. 15000/- under the 15 year term
Single Premium Option : Rs. 10000/- and thereaf ter in multiples of Rs. 1000/- under both the 5
as well as the 10 year term
Maximum investment:
1) Rs. 15,00,000/- under the Regular Contribution option
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 2) No maximum limit on the Single Premium option
 ELIGIBLE FOR INVESTMENT by Resident Individuals and NRI s, in the age group of 12 to 60
years under the Single Premium Option and the 10 year term of Regular Contribution option and
12 to 55 years f or 15 year term of the Regular Contribution option.
Investors are advised to read the Scheme Information Document carefully before investing.

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I INTRODUCTION

A. RISK FACTORS

STANDARD RISK FACTORS:

 Mutual funds and securities are subject to market risks and there is no assurance and no guarantee that
the objectives of the m utual fund will be achieved.
 The NAV of the units issued under the schem e m ay go up or down depending on the factors and forces
affecting capital m arkets.
 Past performance of the Sponsor/ AMC/ Mutual Fund does not indicate the future perform ance of the
schem es of the Mutual Fund.
 LICMF Unit Linked Insurance Schem e (LICMF ULIS) is the nam e of the schem e and does not in any
manner indicate either the quality of the schem e or its future prospects and returns.
 The sponsor is not liable for any loss resulting from the operation of the schem e beyond the initial
contribution made by it of an am ount of rupees 2 Crore towards setting up of the Mutual Fund.
 Investors in the schem e are not being offered any assured / guaranteed returns.

RISK FACTORS SPECIFIC TO SCHEM E:

 The schem e is an open-end ed schem e. It is not proposed to be listed on any stock exchang e at presen t.
 The value in the investm ents is bound to change with changes in the factors affecting the m arket viz.
changes in interest rates, exchang e rates, price and volum e fluctuations in debt m arkets, taxation, govt.
policies, and other econom ic and political developments.
 The Schem e propos es to invest a m ajor part of its portfolio in equity and equity related s ecurities. Trading
volum es, settlem ent periods and transfer procedures m ay restrict the liquidity of these investm ents.
Different segm ents of Indian financial markets have different settlem ent periods and such periods may be
extend ed significantly by unforeseen circum stances. The inability of the Schem e to m ake intended
securities purchases due to settlem ent problem s could cause the Sch em e to miss certain investm ent
opportunities.
 The Sch em e m ay also invest in overseas financial assets subject to necessary approvals from th e
concerned r egulatory authorities in India within the investm ent objectives of the schem e. To the extent
that the assets of the Sch em e are inv ested in s ecurities denom inated in foreign currencies, the Indian
Rupee equivalent of the net assets, distributions and incom e may be adversely affected by changes in the
value of certain foreign currencies r elative to the Indian Rupee. Th e repatriation of capital to India may
also be ham pered by changes in regulations concerning exchang e controls or political circum stances as
well as the application to it of other restrictions on investm ent.
 All debt securities are expos ed to interest rate risks, credit risks and reinvestm ent risk.
 The schem e m ay also use various derivatives and hedging products from tim e to tim e, as would be
available and perm itted by SEBI, in an attem pt to protect the value of the portfolio and enhance unit
holders interest. In case the sch em e utilizes any derivatives under the regulations, the schem e m ay, in
certain situations, be expos ed to instrum ent specific risks. For details please refer to the para on
Derivatives.
 Liquidity of schem e’s investm ent m ay be inherently restricted by trading volum es and settlem ent periods.
The inability to sell the m oney m arket or debt securities held in the schem e’s portfolio due to the absence
of a well develop ed and liquid secondary m arket for such securities m ay result, at tim es in losses to the
schem e, in case of subsequent decline in the value of such securities.
 The prices of securities m ay be affected by the tim e taken by the Fund for redem ption of units, which
could be significant in the event of r ec eipt of a v ery large num ber of redem ption requests or very la rge
value of redem ption requests. The liquidity of the assets m ay be affected by other factors such as general
market conditions, political events, bank holidays and civil strife. In view of this, the Trustee has the right
in its sole discretion to limit redem ption (including suspension of redem ption) under certain circumstances.
Please r efer to the para "Susp ension of Redem ption/Repurchase of units" for details. Redem ption due to
change in the fundam ental attributes of the Schem e or due to any other reasons may entail tax
consequ ences. Th e Trustee, AMC, Mutual Fund, their directors or their em ployees shall not be liable for
any such tax consequenc es that may arise.
 Incom e / growth appreciation indicated her ein this docum ent are subject to tax laws in force for the tim e
being. The tax ben efits described h er ein this Schem e Inform ation Docum ent are as available under the
present taxation laws with no guarantee whatsoev er on the p eriod for which they m ay be prevalent, and
are available subject to conditions. The inform ation given is included for general purpose only and the Unit
holders should be a ware that the r elevant fiscal rules or their interpretation m ay change. In view of the
individual nature of tax consequenc es, each Unit holder is advised to consult his/ her own tax advisor.
 Investors in the Schem e ar e not b eing offer ed any guaranteed r eturns. The Fund/AMC is also not assuring
or guaranteeing that it will be able to m ake regular dividend distributions to its Unit holders, though, it has
5
 ev ery intention to m anage the portfolio so as to m ake such paym ents to the Unit holders. Dividend
paym ents will be depend ent on the returns achiev ed by the AMC through active m anagem ent of the
portfolio. Further, it should be noted that the actual distribution of dividends and frequ ency ther eof are
indicative and will depend, inter-alia, on availability of distributable surplus. Dividend payouts will be
entirely at the discretion of Trustees.
 As per SEBI Circular SEBI/IMD/CIR No. 10/22701/03 dated Dec em ber 13, 2003, the schem e / plan shall
have minimum 20 investors and no single investor shall account for m ore than 25% of the corpus of the
schem e on quarterly basis. In case of non fulfillment with either of the above two conditions in a three
months tim e period or at the end of succeeding calendar quarter, whichever is earlier, from the close of
the IPO of open end ed sch em es or on an ongoing b asis of each calendar quarter, the schem es/plans shall
be wound up by following the guidelines prescribed by SEBI and the investors’ m oney would be red eem ed
at applicable NAV.
 Risk assoc iated with investment in equitie s: Equity instrum ents carry both company specific and market
risks and hence no assurance of r eturns can be m ade for these inv estm ents. Also trading volumes,
settlem ent periods and transfer procedures m ay restrict the liquidity of these inv estm ents. Different
segm ents of Indian financial markets have different settlem ent periods and such periods may be exten ded
significantly by unforeseen circum stances. The inability of the Schem e to m ake intended s ecurities
purchases due to settlem ent problem s could cause the Schem e to miss certain investm ent opportunities.
 Governm ent policy regarding im plem entation of international treaties like W TO etc. could affect the
fortunes of many of the related com panies where the schem e m ay invest.
 Im position of tariff / non - tariff barriers and restrictions on labour by countries in the target m arkets may
im pact corporate earnings.
 A num ber of com panies in the technology sector gen erate r ev enu es in foreign currencies and m ay hav e
investm ents or exp ens es also denom inated in foreign currencies. Changes in exchang e rates may,
therefore, have a positive or negative impact on companies in the said sector.
 Risk a ssociated with inve stment in derivative instruments: Th e Sch em e m ay invest in derivative
instrum ents. The derivatives will entail a counter-party risk to the ext ent of am ount that can becom e du e
from the party. The cost of hedg e can b e higher than advers e im pact of market m ovem ents. An expos ure
to derivatives in exc ess of the hedging requirem ents can lead to losses. An exposure to derivatives can
also limit the profits from a genuine investm ent transaction. Efficiency of a derivatives m arket dep end s on
the d evelopm ent of a liquid and efficient m arket for underlying securities and also on the suitable and
acceptable benchm arks.
 Risk a ssociated with inve stment in de bt sec urities: All debt s ecurities are expos ed to inter est rate
risks, credit risks and reinvestm ent risk. Different types of s ecurities in which the schem e would inves t as
given in the Schem e Inform ation Docum ent carry different levels and types of risk. Accordingly, the
schem e's risk m ay increase or decreas e d ep ending upon its investm ent pattern e.g. corporate bonds carry
a higher am ount of risk than governm ent securities. Further even am ong corporate bonds, bond which AAA
rated are com paratively less risky than bonds which are AA rated.
 Liquidity of schem e’s investm ent m ay be inherently restricted by trading volum es and settlem ent periods.
The inability to sell the m oney m arket or debt securities held in the schem e’s portfolio due to the absence
of a well develop ed and liquid secondary m arket for such securities m ay result, at tim es in losses to the
schem e, in case of subsequent decline in the value of such securities.
 Risk a ssoc iated with oversea s financia l a sset s: The Scheme may a lso invest in overseas finan cia l
assets subject to necessary approvals from the concerned regulatory authorities in Ind ia w ith in the
investment object ives of the scheme. To the extent that the assets of the Scheme are invested in
securit ies denominated in foreign currencies, the Indian Rupee equ iva lent of the net assets, distribut ions
and income may be adverse ly affected by changes in the value of certain fore ign currenc ies re lat ive to the
Ind ian Rupee. The repatriation of capita l to Ind ia may also be hampered by changes in regulat ions
concerning exchange controls or polit ica l c ircu mstances as well as the applicat ion to it of other restrictions
on investment.-2h
 Risk s Assoc iated with investments in foreign se curitie s: Th e schem es m ay also invest in ADRs/GDRs
and other foreign securities as perm itted by RBI and SEBI. To the ext ent that som e part of the assets of
the schem e m ay be invested in securities denominated in foreign currencies, the Indian Rupee equivalent
of the net assets, distributions and incom e may be adversely affected by the chang es in value of certain
foreign currencies relative to th e Indian rupee. The r epatriation of capital also m ay be ham pered by
changes in regulations concerning exchang e controls or political circumstances as well as the application
to it of other restrictions on investm ent.
 Risk factor s related to sec uritised de bt: Different types of Securitised Debts in which the sch em e wo uld
invest carry different lev els and types of risks. Accordingly the schem e's risk m ay increase or d ecr ease
dep ending upon its investm ents in Securitised Debt s e.g. AAA securitised bonds will have low Cr edit Risk
than a AA securitised bond. Credit Risk on Securitised Bonds m ay also depend upon th e Originator, if the
bonds are issued with Recours e to Originator. A bond with Recourse will have a lower Cr edit Risk than a
bond without Recourse. Underlying assets in Securitised Debt m ay be the rec eivables from Auto Finance,
Credit Cards, Hom e Loans or any such receipts. Credit risk relating to these types of rec eivables d ep end
upon various factors including macro-econom ic factors of these industries and economies. To be more
specific, factors like nature and adequacy of property mortgaged against these borrowings, loan
6
 agreem ent, mortgage deed in case of Hom e Loan, adequacy of docum entation in case of Auto Finance and
Hom e Loan, capacity of borrower to m eet its obligation on borrowings in case of Credit Cards and
intentions of the borrower to influence th e risks relating to the assets (borrowings) underlying the
Securitised Debts. Holders of Securitised Assets may have Low Credit Risk with Diversified Retail Base on
Underlying Assets, especially when Securitised Assets are creat ed by High Credit Rated Tranches. Risk
profiles of Planned Am ortization Class Tranches (PAC), Principal Only Class Tranches (PO) and Inter est
Only Class Tranches (IO) will also differ, dependin g upon the interest rate m ovem ent and Speed of Pre-
paym ents. A change in m arket interest rates/prepaym ents m ay not change the absolute am ount of
receivables for the investors, but affects the reinvestm ent of the periodic cashflows that the investor
receiv es in the securitised paper.

OTHERS:
 All the points m entioned in the Standard Observations have been included in this Schem e Inform ation
Docum ent.
 This Schem e Information Docum ent contains no deviations from, and neither have any subjective
interpretations been applied to, the provisions of any regulations. All contents in this Schem e Information
Docum ent have been check ed and are factually correct.
 No person is authorized to give any inform ation or to make any repres entation not consistent with this
Schem e Information Docum ent in connection with the issue of units of LICMF Unit Linked Insurance
Schem e (LICMF ULIS).
 Any information or representation contained h erein this docum ent must not be relied upon as having been
authorized by the Mutual fund or the Investm ent m anager.

B. REQUIREMENT OF MINIMUM INVESTORS IN THE SCHEME

The Schem e/Plan shall have a minimum of 20 investors and no single investor shall account for m ore

than 25% of the corpus of the Schem e/Plan(s). Howev er, if such limit is breached during the NFO of

the Schem e, the Fund will endeavor to ensure that within a period of three m onths or the end of the

succeeding calendar quarter from the close of the NFO of the Schem e, whichever is earlier, the

Schem e com plies with these two conditions. In case the Schem e / Plan(s) does not have a minimum

of 20 investors in the stipulated period, the provisions of Regulation 39(2)(c) of the SEBI (MF)

Regulations would becom e applicable automatically without any referenc e from SEBI and accordingly
the Schem e / Plan(s) shall be wound up and the units would be redeem ed at applicable NAV. The two

conditions m entioned above shall also be complied within each subsequent calendar quarter

thereafter, on an average basis, as specified by SEBI. If there is a breach of the 25% limit by any

investor over the quarter, a rebalancing period of one m onth would be allowed and thereafter the

investor who is in breach of the rule shall be given 15 days notice to redeem his exposur e over the 25

% limit. Failure on the part of the said investor to redeem his exposure over the 25 % limit within the

aforesaid 15 days would lead to autom atic redem ption by the Mutual Fund on the applicable Net

Asset Value on the 15th day of the notice period. The Fund shall adhere to the requirem ents

prescribed by SEBI from tim e to tim e in this regard.

C. SPECIAL CONSIDERATIONS: Nil

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D. DEFINITIONS/ABREVIATIONS USED

AMC - ASSET MANAGEMENT COMPANY

IMA - INVESTMENT MANAGEMENT AGREEMENT

LICMFAMC - LIC MUTUAL FUND ASSET MANAGEMENT COMPANY LIMITED

LIC - LIFE INSURANCE CORPORATION OF INDIA

LICMF - LIC MUTUAL FUND

THE MUTUAL FUND - LIC MUTUAL FUND

LICMF ULIS - LICMF UNIT LINKED INSURANCE SCHEME

NAV - NET ASSET VALUE

SEBI - SECURITIES AND EXCHANGE BOARD OF INDIA

SEBI (MF) REGULATIONS - SECURITIES AND EXCHANGE BOARD OF INDIA

1996 (MUTUAL FUNDS) REGULATIONS 1996

RBI - RESERVE BANK OF INDIA, ESTABLISHED UNDER THE RESERVE BANK

OF INDIA ACT, 1934.

TRUSTEES - TRUSTEES OF LIC MUTUAL FUND

BUSINESS DAY - ANY DAY OTHER THAN A SATURDAY, A SUNDAY OR A DAY ON W HICH
BANKS AT THE RESPECTIVE CENTRES ARE NOT REQUIRED OR
OBLIGATED BY LAW OR EXECUTIVE ORDER TO REMAIN CLOSED.

CDSC - CONTINGENT DEFERRED SALES CHARGE.

SW ITCH - SALE OF UNIT IN ONE SCHEME / PLAN AGAINST

PURCHASE OF A UNIT IN ANOTHER OF LIC MUTUAL FUND.

8
E. DUE DILIGENCE CERTIFICATE
LICM F UNIT LINKED INSURANCE SCHEM E (LICMF ULIS)
It is confirm ed that:
I. The Sch em e Information Docum ent forwarded to SEBI is in accordance with the SEBI (MF) Regulations,
1996 and the guidelines and directives issued by SEBI from tim e to tim e.
II. All legal requirem ents connected with the launching of the Sch em e as also the guidelines, instructions,
etc. issued by the gov ernm ent and any other com petent authority in this behalf, have been duly com plied
with.
III. The disclosures made in the Schem e Information Docum ent are true, fair and adequate to enable the
investors to make a well-inform ed decision regarding investm ent in the proposed schem e.
IV. All interm ediaries nam ed in the Sch em e Inform ation Docum ent are r egistered with SEBI and till date such
registration is valid.
Date:31/03/2010
Place: Mum bai
Nam e: P. Ponpandian
Com pliance Officer
LIC Mutual Fund Asset Managem ent Co. Ltd.
Investm ent Managers to
LIC Mutual Fund
Note: The Du e Diligence Certificate as given above was subm itted to Securities and Exchang e Board of India
on 31/03/2010

II. INFORM ATION ABOUT THE SCHEM E

A. TYPE OF THE SCHEM E
An open-end ed Insurance Linked Tax Saving Schem e.
B. INVESTM ENT OBJECTIVE
The inv estm ent Objective of the LICMF Unit Linked Insurance Schem e (LICMF ULIS) is to gen erate
long-term capital appreciation through growth in NAV and reinv estm ent of incom e distributed on units
of the schem e. The schem e offers Tax r ebate on i nvestm ent u/s 80C of Incom e Tax Act as well as a
life cover and a free accident insurance cover.
C. ASSET ALLOCATION

Investm ent pattern:

Approx. Allocation
Instruments (%) of Corpus Risk Profile
(under Normal Condition)

Equity and equity 65-80 Medium to High

related instruments

Debt / Money mkt. 20-35 Low to Medium

Note: Debt includes Government Securities & securitised debt

D. SCHEM E INVESTM ENT

The Schem e proposes to invest in a mix of fixed incom e securities including securitised debt, asset
backed s ecurities, corporate d eb entures, bonds, money m arket instrum ents and equities and equity
related instrum ents with the aim of generating long term capital appreciation.
The Fund proposes to continuously monitor the potential for both debt and equity to arrive at an
optimum asset allocation between the asset classes.
The Sch em e m ay invest in money m arkets instrum ents including call m oney m arket, or any other
alternative p ermitted by Res erv e Bank of India in lieu of Call m oney, term/notice m oney m arket and
repos in order to m eet the liquidity requirem ents or to m eet the defensive nature the portfolio.

9
 The Sch em e m ay also invest in Govt. Securities, which may be those supported by the ability to
borrow from the treasury; those with sovereign or state guarantee or those supported by the state
govt. or the govt. of India in som e other way.
The Fund m ay invest, subject to necessary approvals, in ADR’s / GDR’s of Indian Com panies listed
overseas. The Fund will em ploy necessary m easures to m anage foreign exchange m ovem ents arising
out of such investm ents. The Fund m ay also invest in overseas securities with the approval of
RBI/SEBI, subject to such guidelines as may be issued by RBI/SEBI.
The Fund m ay also use trading in derivatives for the purpose of hedging and portfolio balancing in
accordance with SEBI regulations.
Changes in investment pattern:
Dep ending upon the m arket conditions, m arket opportunities available, the political and econom ic
factors and subject to the Regulations, the percentage investm ents of the fund may vary at tim es,
based on the perception of the Fund Manager within the overall investm ent objective of the schem e.
Investm ent of subscription money:
Pending deploym ent of funds of the schem e in securities in terms of investm ent objectives of the
schem e, the AMC can invest th e funds of the s chem e in m oney m arket instrum ents. The incom e
earn ed on such investm ents will be m erged with the incom e of the schem e.
E. INVESTM ENT STRATEGIES
Approach to investment in equity:
The investm ent approach for investing in equities would be to identify companies with a strong
com petitive position in a good business and h aving quality m anagem ent. The focus would on
fundam entally driven investm ent with scope for future growth.
Approach to investment in debt:
The investm ent in debt securities will usually be in instrum ents, which have been assigned as
investm ent grade ratings by a recognized cr edit rating agency. In case a debt instrum ent is not rated,
prior approval of Board of directors will be obtained for such investm ents. The Maturity profile of debt
instrum ents will be selected in line with the outlook for the m arket. The investm ent strategy would
em phasize investm ents in securities that give consistent returns at low levels of risks.
If the Schem e d ecides to invest in Securitized Debt and or Asset backed securities it is the intention of
the investm ent m anager that such investm ents will not norm ally exceed 30% of the corpus of the
Schem e.
Trading in derivatives:
The Sch em e m ay use derivatives with respect to equities and debt in accordance with SEBI
regulations in an attem pt to protect the portfolio values and unit holder interest. The AMC in
appropriate circumstances m ay use futures, options and other d erivatives subject to applicable
regulations and counter party risk assessm ent as and when they becom e permissible in the Indian
markets subject to necessary authorisation.
In addition subject to applicable regulations and counter party risk assessm ent the sch em e m ay also
borrow or lend stock.
The value of the d erivative contracts outstanding will be limited to 20% of the net ass ets of the
Schem e.
Trading in derivatives shall however b e restricted to hedging and portfolio balancing purposes as
illustrated in the following cases:

Equity m arket Derivatives:

The fund proposes to invest in equity market derivatives such as index futures, stock futures and such
other instrum ents as permitted under SEBI regulations from tim e to tim e.

INDEX FUTURES:
a) When the Investm ent Manager takes a negative view on the m arket:
W hen the investm ent m anager anticipates the m arket to fall from its current levels, he needs to
reduce his exposure to equities. He m ay do so by taking a short position in index futures i.e. by
selling the index forward ther eby r educing the m arket risk and volatility of the portfolio. He can
unwind his position by concurrently selling equities from the investm ent portfolio and
sim ultaneously reverse his position on the index.
b) When the Investm ent Manager takes a positive view on the market:
W hen the investm ent manager anticipates rise from the current market levels, the investm ent
manager needs to m ake the m ost of the opportunity he foresees. The Sch em e being open-end ed
would witness a daily inflow of funds, which in the above case n eed to b e d eployed on a n
10
 imm ediate basis. In such a situation the Investm ent Manager would take a long position in index
futures i.e. he would buy the index and then grad ually revers e his position as the funds actually
get invested in the m arket.
The following table illustrates the underlying effects of derivative trading we assum e a equity corpus of
Rs. 100 crore and a 20% Hedge i.e. futures contract value of Rs. 20 crore
-------------------------------------------------------------------------------------------------------------------
Po r tfo l i o Even t Eq u i ty Po r tfo l i o D er i vati ve F i n al Po r tfo l i o
Gai n / (L o ss) Gai n / (L o ss) Val u e
R s. i n cr o r e R s. i n cr o r e R s. i n cr o r e
-------------------------------------------------------------------------------------------------------------------
W it hout H edge 10 % f all in equit y pric es (10) N il 90
10 % ris e i n equit y pric es 10 N il 110
W it h H edge 10 % f all in equit y pric es (10) 2 92
10 % ris e i n equit y pric es 10 (2) 108
-------------------------------------------------------------------------------------------------------------------

RISKS
The strategy of taking a short position in index futures is a hedging strategy and reduces the m arket
risk. The short position is negatively correlated with the m arket and the price of the contract may go up
or down depending on m arket conditions. There is no assurance that the stocks in the portfolio and the
index b ehav e in the sam e way and thus this strategy m ay not be a perfect hedge.
The short position will have as m uch loss as a gain in the underlying index. E.g. if the index
appreciates by 10%, the future valu e falls by 10%. Howev er, this is true for futures contracts held till
maturity. In the ev ent that a futures contract is closed out before its expiry, the quoted price of the
futures contract m ay be different from the gain/loss due to the m ovem ent of the underlying index. This
is called the basis risk.
W hile futures markets are typically more liquid than the underlying cash m arket, there can be no
assurance that ready liquidity would exist at all points in tim e, for the Schem e to purchase or close out
a specific futures contract.
Debt M arket Derivatives:
The d eregulation of interest rates has resulted in presenting an assortm ent of risks to market
participants. To provide an effective h edg e against interest rate risks on account of lending or
borrowings m ade at fixed/variable rates of interest, RBI has allowed the use of such instrum ents as the
Interest Rate swaps (IRS) and Forward Rate Agreem ents (FRAs).
IRS: An IRS is an off balance sheet contract between two counterparties to exchang e a stream of
paym ents on specified dates based on a notional principal.
Pres ently the m ost common form of IRS in the dom estic market is the Overnight Index Swap (OIS),
wher ein a fixed rate is exchang ed with the floating leg linked to the MIBOR (Mum bai Interbank offered
rate/ the call money rate). The tenure of the OIS ranges from 2 to 365 days.
E.g.: The schem e m ay park its funds in the call money m arket from tim e to tim e. The schem e thus
becom es a lend er in the m arket. Say Y - a corporate is a borrower in the call m oney m arket. Suppose
the Fund m anager of the schem e has a view that overnight rates m ay fall, while Y exp ects volatility
and is looking to hedge or lock into a fixed rate. Now the schem e is a fixed rate receiver and Y is the
floating rate receiver. Consider a 3 day OIS at 8.25% for a notional principal of Rs. 1 Crore between
the two.
Now the sch em e would rec eive a fixed rate from Y on the notional principal of Rs. 1 Crore@8.25% for
3 days = Rs. 6780/-.
The sch em e in turn would have to pay Y th e floating rate of interest on th e sam e principal of Rs. 1
Crore which is calculated as follows:
———————————————————————————————
DAY MIBOR PRINCIPAL INTEREST AMOUNT
(%) (Rs.) (Rs.) (Rs.)
———————————————————————————————
1 8.00 10000000 2192 10002192
2 8.25 10002192 2261 10004453
3 7.75 10004453 2124 10006577
———————————————————————————————
TOTAL 6577
———————————————————————————————
As shown in the table the schem e will be required to pay Y a sum of Rs. 6577/-.
Instead of exchanging the gross am ounts Y will pay the sch em e the differenc e am ount i.e. 6780-6577=
Rs. 203.

11
 Thus at the end of the swap th e sch em e has earn ed a fixed rate while Y has b een able to fix the cost
of its funds irrespective of the m ovem ents in the m arket.
FRA(forward rate agreem ent): A FRA is a cash settled agreem ent where 2 parties (the buyer and the
seller) agree to exchang e interest paym ents for a notional principal amount for a specified period on a
settlem ent date. A FRA is quoted by the forward month in which it m atures, for e.g. A 3x6 FRA is a
contract maturing 6 months from now and starting 3 m onths from now.
E.g.: Suppose the schem e has exposure to 91 day T Bills and the Fund manager takes a view that the
yields are going to fall, then using FRAs he can lock into the available rates. Assum e that on the last
day of a given month the spot 91 day T Bill rate is 9.50% and the 3x6 FRA is quoted at 9.40%/9.60 %.
Assum ing a notional principal of 10 Crore the schem e now rec eives fixed 9.40% (and pays the 91 day
T bill rate 3 m onths from now) on the 3x6 FRA for a notional principal of RS. 10 crore. On the
settlem ent date the schem e rec eives the fixed rate from the swap market m aker and pays the floating
rate.
Assum ing the fund m anager’s view is correct and the 91day T-Bill cut off, 3 months from now is 9.25%
then the schem e r eceiv es - Rs.2343562 and pa ys Rs.2306164.The difference Rs.37397 is to be
discounted to settlem ent at a mutually negotiated rate based on the credit of the counter-party.
Assum ing a discounted rate of 10% the actual cash settlem ent =37397/(1+10%)^91/365=Rs. 36488/-

RISKS:
Though these instrum ents are effective in rem oval of the interest rate risk they are still subject to
1. Counterparty risks i.e. default or delay in paym ent settlem ent, as well as
Market risks i.e. liquidity risk which is the ease with which a swap can b e unwound or rev ers ed, basis
risk which is the risk of asset liability mism atch and price risk resulting from unexpect ed changes in
the m arket value of the swap.

Risk control
The ov erall portfolio structuring will be aim ed at controlling risk at a m oderate lev el. Both very
aggressive and v ery def ensive postures would be avoided under norm al m arket conditions. The risk
would also be m inimized through broad diversification of portfolio within the fram ework of the
investm ent objectives of the schem e.

INVESTM ENT BY LICM F UNIT LINKED INSURANCE SCHEM E (LICM F ULIS) IN OTHER SCHEM ES
M ANAGED BY THE AM C:
LICMF Unit Linked Insurance Sch em e (LICMF ULIS) m ay invest its funds with other schem es m anaged
by LICMFAMC subject to regulations 44(1) of the SEBI Regulations 1996 and the AMC shall not charge
any investm ent m anagem ent fee for such investm ents.

PORTFOLIO TURNOVER:
Generally the AMC’s Fund m anagem ent encourages a low portfolio turnover rate. A high portfolio
turnover m ay result in an increase in transaction, brokerage costs. Howev er a high portfolio turnover
may also be repres entative of the arising trading opportunities to enhance th e total return of the
portfolio.

UNDERWRITING
Subject to SEBI Regulations, the Schem e m ay enter into underwriting agreem ents. The Capital Adequacy
norm s for the purpose of underwriting shall be the net assets of the Sch em e and the und erwriting obligation of
the schem e shall not at any tim e exc eed the total net asset value of the Schem e.

12
F. FUNDAM ENTAL ATTRIBUTES

(i) TYPE OF A SCHEM E

An open-end ed Insurance Linked Tax Saving Schem e.
(ii) INVESTM ENT OBJECTIVE
The investm ent Objective of the LICMF Unit Linked Insurance Schem e (LICMF ULIS) is to
gen erate long-term capital appreciation through growth in NAV and reinvestm ent of incom e
distributed on units of the schem e. The sch em e offers Ta x rebat e on investm ent u/s 80C of
Incom e Tax Act as well as a life cover and a free accident insurance cover.
(iii) TERM S OF ISSUE
LIQUIDITY – Repurchase after lock-in period of 3 years from the date of investm ent. On an
ongoing basis, units for sale will be available on all business days.

(iv) LISTING - As the schem e is an open ended, insurance linked tax saving schem e the units

of the Schem e cannot be listed on any Stock Exchange.

G. SUMM ARY OF EXPENSES AND FINANCIAL INFORM ATION

The exp ens e structure of the Schem e, the different fees and their perc entage an inv estor is likely to
bear on purchase or sale of units of the Schem e directly or indirectly are as follows:

EXPENSES OF THE SCHEM E

a) UNITHOLDER TRANSACTION EXPENSES
i) Sales/Entry Load on purchases/Reinvestment of Dividends: Nil

ii) Repurchase / Redem ption / Exit Load

The Schem e has lock-in period of 3 years. At present, there is no exit load,
iii) CDSC : Nil

b) SWITCHOVER /EXCHANGE FEE (as % of the NAV) : Nil

The Fund res erv es th e right to introduce, revise, and review the entry / exit load described abov e
from tim e to tim e within the permissible limits prescribed by SEBI. The revised load will be
applicable to the Unit holders prospectively.

*Any load / fee charg ed will be within the admissible limits under the Regulations in force at
that tim e.
* All loads including CDSC for each schem e shall be m aintained in a separate account and
may be utilized by the AMC towards m eeting the selling and distribution exp ens es.
The following m easures m ay be utilized by the Fund to avoid investor com plaints about investm ent in
the schem e without knowing the loads.

* The add endum detailing the changes in load structure m ay be attached to Schem e
Information Docum ents and abridged Schem e Information Docum ents. The addendum
detailing the changes m ay be circulated to all distributors / brokers so that the sam e can be
attached to all Schem e Information Docum ents and abridged Schem e Information
Docum ents already in stock. The addendum m ay be s ent along with the newslett er to the
unit holders imm ediately after the changes.
* Arrangem ents m ay be m ade to display the c hanges m odifications in the Sch em e
Information Docum ent in the form of a notice in all the investor service centres and
distributors/ brokers office.
* The introduction of the exit load /CDSC along with the details m ay be stamped in the
acknowledgem ent slip issued to the investors on subm ission of the stam ped application

13
 form and may also be disclosed in the statem ent of accounts issued after the introduction
of such load/CDSC.
 Any other m easures the fund m ay feel necessary.
In accordance with Regulation 18(15A) of the SEBI (MF) Regulations, the Trustees shall ensure that
no change in the fundam ental attributes of the Schem e(s) and the Plan(s) / Option(s) thereund er or
the trust or fee and exp enses payable or any other change which would modify the Schem e(s) and
the Plan(s) / Option(s) thereunder and affect the interests of Unitholders is carried out unless:
• A written communication about the proposed change is sent to each Unitholder and an
advertisem ent is given in one English daily newspaper having nationwide circulation as well as in
a newspaper published in the language of the region where the Head Office of the Mutual Fund is
situated; and
• The Unitholders are given an option for a period of 30 days to exit at the pr evailing Net
Asset Value without any exit load.

H. BENCHM ARK
The Schem e b eing an op en ended balance sch em e, it will broadly track the C BalanceEX based on th e
specified asset allocation pattern herein.

I. FUND M ANAGER
NAME AGE QUALIFICATION EXPERIENCE OTHER SCHEMES HANDLED
Ms. Bichitra 43 M.Sc., CFP C M Worked in LIC of India in LIC MF MONTHLY INCOME
Mahapatra Different Cadres – 11 Years PLAN
AGM (Finance) – LICMFAMC LI C MF FLOATER MIP PLAN
(5 yrs) A
At present DGM (Finance) – LIC LI C MF FLOATER MIP PLAN
Mutual Fund B
LIC MF BALANCED FUND
LIC MF ULIS

J. INVESTM ENT RESTRICTIONS

Pursuant to the Securities and Exchange Board of India (Mutual Funds) Regulations 1996 [ Regulations
44(1)], the following investm ent and other limitations are presently applicable to the schem e: -
1) Not m ore than 15% of the sch em es NAV shall be invested in d ebt instrum ents issued by a single
issuer rated not below investm ent grade by an authorized credit rating agency. Such an investm ent
limit may be raised to 20% of the schem e’s NAV provided that the specific approval of the AMC shall
be taken for investm ent. These limits shall not apply for investm ents in Governm ent securities and
money m arket instrum ents.
2) Not m ore than 10% of the schem e’s NAV shall be invested in unrated debt instrum ents issued by a
single issuer and the total investm ent in such instrum ents shall not exceed 25% of the sch em e’s
NAV provided that the specific approval of the AMC and Trustee Board shall be taken for
investm ent.
3) Not m ore than 10% of a schem e’s NAV shall be inv ested in equity shares or equity related
instrum ents of any company.
4) No loans for any purpose will be advanced by the schem e for any purpose. Lending of securities will
be in accordance with the stock-lending schem e of SEBI.
5) Transfers of investm ents from one schem e to another in the mutual fund shall be allowed only if: -
i) Such transfers are done at the prevailing market price for quoted instrum ents on spot basis.
ii) The s ecurities so transferred shall be in conformity with the investm ent objective of the sch em e
to which such transfer has been m ade.
14
 6) The investm ent manager may, from tim e to tim e invest its own funds in the schem e at its discretion.
Howev er, the investm ent manager shall not be entitled to charge any fees on its investm ents in the
schem e.
7) A schem e m ay invest in another schem e under the sam e AMC or any other Mutual Fund without
charging any fees, provided th e aggr egate inter-schem e investm ent m ade by all schem es und er the
sam e m anagem ent com pany shall not exc eed 5% of the net asset assets of the mutual fund.
8) The Mutual Fund m ay borrow to m eet liquidity needs, for the purpose of repurchase, r ed em ption of
units or paym ent of interest or dividend to the uni t holders and such borrowings shall not exc eed
20% of the net assets of the schem e and duration of the borrowing shall not exceed 6 m onths.
9) The Mutual Fund’s schem es shall not invest in any unlisted securities of the group/associate
com pany of the sponsor and in any privately placed security issued by associate or group company
of the sponsor. LIC Mutual Fund will also ensure that the aggregate investm ent by any schem e in
the listed securities of the group com panies of the sponsor shall not exc eed 25% of the n et assets
of the schem e.
10) The sal e and purchase of s ecurities shall take place on the basis of deliveries and in all cases of
purchases the Mutual fund shall take delivery of relative securities and in all cases of sale deliver
the s ecurities and shall in no case put itself in a position whereby it has to m ake a short sale or
carry forward transactions or engage in badla. Howev er the Mutual fund m ay enter into derivative
transactions in a recognized stock exchang e for the purpose of h edging or portfolio balancing in
accordance with the guidelines issued by the board.
11) The Mutual fund shall get the securities purchased or transferred in the nam e of the m utual fund on
account of the schem e, wherev er investm ents are intended to be of a long-term nature.
12) Pending deploym ent of funds of the schem e in securities in term s of the investm ent objectives of the
schem e the m utual fund can invest the funds of the sch em e in short term deposits of scheduled
comm ercial banks.
13) Aggregate value of ‘illiquid securities’ which are d efined as non-traded, thinly traded and unlisted
equity shares, shall not exc eed 15% of the total assets of the schem e.
14) The Trustee of the Mutual Fund may alter these limitations from tim e to tim e to the extent the SEBI
regulations change so as to perm it the schem e to m ake its investm ents in the full spectrum of
permitted investm ents for the Mutual Fund in order to achieve its investm ent objectives. All
investm ents of the Schem e will be m ade in accordance with the SEBI (Mutual Funds) Regulations,
1996, including Schedule VII thereof.

K. SCHEM E PERFORM ANCE

Compounded Annualised Returns Scheme Returns % Benchmark Returns %

Returns for the last 1 year 35.34 48.70
Returns for the last 3 year 3.38 10.01
Returns for the last 5 year 12.08 15.48
Returns since inception 12.11 16.38

LICMF ULIS

60.00
50.00
Returns (%)

40.00
Scheme returns (%)
30.00
Benchmark returns (%)
20.00
10.00
0.00
Last 1 year Last 3 year Last 5 year Since
Inception

III. UNITS AND OFFER

A. NEW FUND OFFER (NFO)

15
This section provides details you need to know for investing in the schem e.
LICMF UNIT LINKED INSURANCE SCHEME (LICMF ULIS) is a unique schem e, which offers m ultiple ben efits
in the form of long-term investm ent opportunity, Tax r ebate on investm ent u/s 80C of IT Act, Life insurance
cover, personal accident insurance cover and final reward (Bonus) on m aturity.

TARGET AMOUNT, MINIM UM AND M AXIM UM INVESTM ENT:

THE TARGET AMOUNT

Under the sch em e investor has a choice to participate under Regular Premium option or Single Premium
option for an aggregate am ount called “Target amount”.
REGULAR CONTRIBUTION OPTION -
Under this option investor can choose either a 10 year term or 15 year term of investm ent. The investor needs
to invest a uniform amount every year i.e. 1/10 of target am ount under 10 year term and 1/15 of target amount
under 15 year term . The investor has a choice of making this investm ent either once in a year i.e. on a yearly
basis or twice a year i.e. on a half yearly basis as per his convenience.

The Minim um Target am ount is

1. Rs. 10000/- under 10 year term Rs. 12000/ under SIP 10 year
2. Rs. 15000/- under 15 year term Rs. 18000/ under SIP 15 year
The Ma xim um Target Am ount is Rs. 1500000/- under both term s.
Under the Regular Contribution option the target amount should be in multiples of Rs.1000 / 1500 for 10/15
year term respectively.

Subsequent/Renewal contribution under Regular Contribution option

After joining the schem e subsequ ent/ren ewal contribution can be paid either on yearly or half yearly or
monthly basis depending upon the m ode chosen. If a 10 year term is chosen the yearly contribution is 1/10 of
target am ount and half yearly contribution is 1/20 of target amount. Similarly in 15 year term yearly
contribution is 1/15 of target amount and half yearly contribution is 1/30 of the target amount. For example:
———————————————————————————————
Scheme term/mode Tar get amount and contr ibution
———————————————————————————————
Target amount 15000 30000 60000 75000 150000
10 Year term
Yearly 1500 3000 6000 7500 15000
Half yearly 750 1500 3000 3750 7500
15 year ter m
Yearly 1000 2000 4000 5000 10000
Half yearly 500 1000 2000 2500 5000
———————————————————————————————
Paym ent Date: The Renewal contribution under the above plan should be paid by the due dates shown below:

Date of joining the scheme Renewal con tr ibution due dates

Year ly Mode Half Year ly Mode
1st Jan to 31st March 16th Feb 16th Feb & 16 Aug
1st April to 30th June 16th May 16th May & 16th Nov
1st July to 30th September 16th Aug 16th Aug & 16th Feb
1st October to 31st December 16th Nov 16th Nov & 16th May

Once a m ode of paym ent is chosen, it cannot be altered. A grace p eriod of 15 days is allowed for making
paym ent from the due date. If the renewal contribution is not paid in tim e the investor ceases to participate in
the sch em e and the insurance cov er both life an d accident will be not be available to him/her. In case of
th
monthly option due date is 15 of every m onth and 12 PDCs have to be given in the beginning of each year.
SINGLE PREMIUM OPTION:
Under this option investor can chose either a 5-yea r term or 10-year term. The entire am ount for the targeted
period will have to be invested in single contribution.
Minim um Investm ent Single Premium Option: Rs. 10000/- and thereafter in m ultiples of Rs. 1000/- under
both the 5 as well as the 10 year term
Regular contribution Option: Rs. 10000/ under 10-year term and Rs. 15000/- under 15-year term

16
Maximum Investm ent: No upper limit on Single Premium option
. Rs. 1500000/- under Regular contribution option

The Fund res erv es the right to change minimum and m axim um target am ounts if and when it is considered
nec essary. Howev er the chang e will be applicable to those investors who will be joining the schem e after such
a change is made effective.

INSURANCE COVER:
The Insurance Ben efits are payable to all unit holders only when the contributions under the Schem e are m ade
in tim e and up to date. Th e insurance covers (life and accident) will cease to b e applicable on c om plete
repurchase of units by the unit holder.

Extent of Life Insurance Cover

Risk on the unit holders life is covered to the ext en t of balance of TARGET AMOUNT i.e., Contributions yet to
be m ade for the unexpired p eriod of the Sch em e in case of the Regular Contribution option and to the full
extent in cas e of the Single pr em ium option subject to a m axim um of Rs. 1500000/- under all m em berships for
both options. In case of fem ales who have no reg ular and independ ent incom e, the Life Risk Cover will be
limited to 50% even if the target amount is higher.
The Life Risk Cov er is not available during the first six m onths. In case of unfortunate death during the first
six m onths, the prem ium paid to LIC of India will be refunded.
In case death occurs during the next six m onths only 50% of the cover is available. Death by suicide during
the first year will not be covered for insurance purpose.
In case of death by accident at any tim e during the first year, full Life Insurance Cover will be available.
In case of partial repurchases the life / accident cover will be proportionately reduced.
The Insurance Cover will be provided on the basis of declaration of good health.

UNIFORM COVER OPTION AND REDUCING COVER OPTION FOR INSURANCE COVER

The investor has to choose either Uniform Cover or Reducing Cover plan to enable the AMC to det ermine and
deduct premium accordingly from the am ount invested. In case of Uniform Cover, the life insurance cover
rem ains the sam e throughout the term of plan and under reducing Cover, the life insurance cover reduces
during the term of the plan and at any point of tim e it is equal to the outstanding contributions that are yet to
be m ade.
If the insurance cover option is not chosen by the investor, by default, the cover will be taken as reducing
cover plan. Also once the option of insurance cover is chosen, the sam e cannot be altered.
Free Accident Benefit
Accident Cover is available absolutely free to the m em ber under the Schem e, including in the First year. The
am ount of Cover is equal to the am ount of Life Insurance Cov er subject to a m axim um of Rs.750, 000/-, under
all m em berships for both options. Applicants should have no deformity and should be enjoying good health.
Life Insurance and Accident cover is available to the first nam ed person who is the m em ber of the Schem e
and not to the second nam ed person in the application.
The Personal accident cover is applicable to the resident unit holders for death by accident or Perm anent total
disability sustained due to accident in India. The personal accident insurance cover will begin from the date of
allotm ent of units till such tim e as the units are prematurely redeem ed.

Revival of Lapsed M embership

Investors can revive their lapsed m em bership and insurance cover, within one year from the date of default in
paym ent of renewal contribution by paying up to date arrears without any interest. However in such cases, Life
cover will be restricted as applicable to fresh m em bers in the first year. Mem bers whose m em bership is lapsed
and who have not revived in within one year will not be eligible for any insurance cover in future. They will be
paid only repurchase value of their units standing to their credit subject to a m inimum lock in period of three
years.
In case of lapsed m em bership, no further instalm ents will be accept ed till revival is effected. Any remittance,
either direct or through ECS etc., received befor e the insurance cover is duly revived, will be refunded to the
investors without interest. A fresh declaration of Good Health is to be submitted along with arrears of
instalm ents before effecting revival. This is to be done each tim e revival is effected. The insurance cover m ay
be r evived on r ec eipt of arrears and the Declaration of Good health, subject to the Declaration being found in
order and acceptable to LIC Mutual fund. The clause regarding lien on claim payable in fresh cases would be
applicable each tim e the insurance cover is revived.

17
SETTLEM ENT OF CLAIMS:
Death Claims:
The LIC Of India through LIC Mutual fund will settle all death claims. In case of unfortunate death of the
m em ber during the schem e period, the second applicant /nominee / successor may file the claim supported by
all valid docum ents. They will be entitled to receiv e the following benefits.
1.Repurchase Price of Capital and Dividend Units to the investor’s credit
2.Am ount of Life Insurance Cover
3.Am ount of Accident Insurance Cover in case death occurs due to Accident

All insurance claims will be settled in India and shall be payable in Indian Rupees only.
Accident Claim s:
In case of an accident r esulting in death or permanent total disability of the resident unit holder, the l egal
nom inee / unit holder m ay file the claim supported by all valid docum ents. The paym ent of the claim shall be
made to the nominee / unit holder by the insurance com pany through LICMF. All insurance claim s will be
settled in India and shall be payable in Indian Rupees only.
The t erm s and conditions of the life and personal a ccident insurance cover and guid elines for filing claim s will
be m ailed separately.
Note:
The b en efit of the life as well as accident cover shall be subject to such term s, provisions, exclusions, and
conditions express ed or endorsed in the policy the AMC m ay procure from the insurer for the ben efit of the
m em ber.
The Trustee, AMC, Mutual Fund or their Directors will not be liable for any claims (including but not limited to
rejection of any claim, non settlem ent, delays etc.) arising out of the personal accident insurance cov er
provided to the unit holder.
The AMC r es erves the right to m odify / annul the said personal accident insurance cover on a prospective
basis. The AMC also reserv es the right to change the insurance com pany from tim e to tim e.
FINAL ADDITIONAL BENEFITS/M ATURITY BONUS
Maturity bonus will be paid subject to all renewal contribution in tim e.

Single Premium Plan: 5% of target amount for 5 year term plan

10% of target am ount for 10 year term plan

Regular Premium Plan: 10% of target am ount for 10 year term plan
15% of target am ount for 15 year term plan
OPTION ON M ATURITY:
Maturity intim ation letter will be s ent to the unit holder, one m onth in advance to the m aturity date, giving the
options as m entioned below:
1. To continue in the schem e without insurance cover and exit at any tim e later on at the applicable NAV
as on the date of receipt of redem ption request.
2. To switch the maturity proceeds into any of our ongoing schem es
3. To redeem the units as on the date of m aturity.

In case no option is exercised and duly intim ated to us befor e the date of m aturity, the d efault option will be
as per 1 above
DECLARATION OF GOOD HEALTH
This declaration should be m ade in the presenc e of an authorized person. Magistrate, Justice of Peac e,
Gazetted Officer, Civil Surgeon, Officer of LIC, LIC Mutual fund/LICMF AMC Ltd. authorized LIC Mutual Fund
Chief Agents/Marketing Associates and Agents W ho will counter sign the declaration.
Standard Age Proof like School or College Certificate, Authenticated extract from School or College Record
containing the Date of Birth, Certified extract from Municipal or other records of Birth, Certificate of Baptism or
Certified extract from family Bible containing Date of Birth or age or Passport will be required to support the
age furnished in the Application.
18
The ag e proof will be produced before th e Authorized Official who will record your age in the form .
Applications without the declaration and age proof will not be entertained

WORKING OF THE SCHEM E:

On joining the Schem e the investor will becom e a mem ber of the Schem e.
Under the Regular Contribution Option every y ear, the investor will contribute a fixed sum of m oney through
the chosen m ode (Yearly / Half Yearly), during the period of the Schem e.
In case of the Single premium option the investor will pay the entire target am ount through just one
contribution at the tim e of application.
Out of the contribution the prem ium amount will paid to the Life Insurance Corporation of India for securing
the Life Risk Cover and the balance contribution will be converted into units of LICMF Unit Linked Insurance
Schem e (LICMF ULIS) at the pr evailing Sale Price, on the date of contribution or due date whichev er is later.
The units have a face value of Rs. 10/- each. The units allotted against periodical contributions are called
Capital Units. Dividend declared on the accum ulated units is also reinvested in the Schem e and converted into
Dividend Units.
At the end of th e Plan period, i.e. on m aturity, you will receive the entire units standing to your credit, both
Capital and Dividend units at the prevailing Repurchase Rates, along with Final Reward.
In case of unfortunate death of the Mem ber during the Schem e period, the second
applicant/nominee/succ essor will be entitled to receive the following benefits.
1. Repurchase Price of Capital and Dividend Units to the Investor’s credit.
2. Am ount of Life Insurance Cover.
3. Am ount of Accident Insurance Cover in case death occurs due to Accident.

INVESTM ENT PLAN:

The Schem e offers investm ent under the DIVIDEND REINVESTMENT PLAN: Under this plan the dividends
declared would be reinvest ed in the schem e at the prevailing NAV, subject to the prevailing load structure.
Thus additional units of the schem e based on the am ount of dividend payable will be credited to the unit
holder’s account separately as dividend units. The plan thus offers regular saving of incom e.
Thes e dividend units shall be exem pt from income ta x at th e hands of th e unit holders as p er th e existing
provisions of the Incom e-tax Act, 1961.
Im portant
The Insurance Ben efits are payable only wh en th e contributions under the Sch em e are m ade in tim e and up to
date and the m em ber (unit holders) is eligible for Insurance Cover.

DECLARATION OF DIVIDENDS:
Declaration of Dividend and /or issue of Bonus units to the unit holder will be on the basis of incom e earn ed
and other factors including the taxation angle and at the absolute discretion of the Trustees.

SWITCH OVER FACILITY:

Facility of switchover to / from other LIC Mutual Fund schem es are available on all Business days. Switch over
will be allowed at the NAV as p er existing regulations. The switch over will be effected by way of red em ption
of units in the current schem e and a r einvestm ent of the r ed em ption proceeds in another sch em e(s) subject to
lock in period under each schem e.
To effect a switch over, an investor must provide clear instructions. A separate form should be filled for
effecting switch over and sent to the authorized center. A fresh statem ent of account reflecting the n ew
holdings will be issued by the Fund.

ALLOTM ENT OF UNITS

Allotm ent of units will be m ade after realisation of Chequ e / DD for the am ount invested dep ending upon the
NAV of the units, subject to the prevailing load structure in fractional Units up to 3 decim als.
From the investm ent/contribution amount an amount (As per the life cover premium rates given by LIC as
given in the table) will be deducted towards the life premium. The Balance amount will be converted into units
at the Sale price applicable on the date of depositing the contribution into the bank.

RENEWAL CONTRIBUTION DUE INTIM ATION:

Unit holders under Regular Contribution option will be intimated of the due date of paym ent of ren ewal
contribution before th e du e dat es as a m atter of information/courtesy. LICMF will not be responsible for non-
19
receipt/delayed rec eipt of intimation for whatever r eason. In case intimation is not received r en ewal,
installm ent can be paid by quoting m embership number and installm ent number. Renewal prem ium form can
be collected from the corporate office and the area offices of AMC.

HOW TO REPURCHASE / REDEEM THE UNITS OF THE SCHEM E

Unit holders may repurchase / redeem their holding subject to term s m entioned below:
Unit holders must submit the red em ption request in the form available at the authorized centres duly filled in,
furnishing their m em bership / Account num bers, and duly signed as per the application form.
The Fund shall repurchase / r ed eem the units of the sch em e regularly, subject to exit load after the initial lock
in period of 3 years from the date of allotm ent of units on all business days exc ept during the period of book
closure if any.
Unit holders desirous of tendering 10 lakh units or m ore for redem ption at a tim e are required to give du e
notice of 15 days to the LICMF AMC Corporate O ffice / concern ed authorized c entre excluding the date of
presentation of duly discharged statem ent of account / unit certificate for redem ption.
The repurchase / red em ption price will be calculated and declared on a daily basis. The Mutual Fund will
arrange to publish in at least two daily newspaper s once a week, the Repurchase / Red em ption Price of th e
schem e in accordance with the SEBI guidelines from tim e to tim e.
Repurchase / red em ption shall be effected on rec eipt of the repurchase / redem ption request along with the
duly discharged certificate/Statem ent of Account m entioning the num ber of units offered am ount sought for
repurchase / redem ption at the registrars office. On complete red em ption of the holdings the unit holder
ceas es to be a m em ber of the Schem e and would not be entitled to any further benefits from the Schem e.

Choice For Redemption Am ount

Unit holders m ay redeem their entire holdings either in full or in part. They have also the option to req uest the
red em ption:
a. Of a Specified am ount in Rupees
or
b. Of a Specified num ber of Units of the Schem e
W here the redem ption request is for both a specified am ount and for a specified num ber of units, the Specified
Unit request is considered as definite. In case of a Specified request for an amount in rupees the number of
units to be red eem ed will be d et ermined on the ba sis of the applicable repurchase price. Sim ilarly wher e th e
requ est is for a specified num ber of Units for redemption, the red em ption am ount payable will be the num ber
of units multiplied by the applicable repurchase price. W here the requ est for redem ption exceeds the holdings
of the Unit holders, the account of the Unit holder will be closed and the entire holding to the investor’s credit
will be redeem ed at the applicable repurchase price.
Partial repurchase / redem ption of units is allowed subject to the following minimum balance of units or
am ounts:
———————————————————————————————
Option Term Minim um Balance
Years Am ount Units
———————————————————————————————
Regular Contribution 10 10000 1000
15 15000 1500
Single Premium 5 10000 1000
10 10000 1000
———————————————————————————————
The m inimum am ount for repurchase is Rs. 1000/- and the m inim um no. of units to be repurchased is 100 and
multiples thereof.
NOMINATION FACILITY:
Nomination facility to receiv e the m oney due in case of d eath of th e first holder is available. The name of th e
nom inee should be clearly written in the space provided in the Application form. Minors also can be
nom inated. In case th e nom inee is a m inor, nam e of a m ajor Appointee / Guardian, other than the applicant
/s’, should be m entioned in the space provided for. Nomination / Alternate Nomination / change of Nomination

20
facility can also be availed of after issue of the Statem ent of Account by writing to the Registrars to the
schem e. The Alternate nom inee shall be entitled to rec eive th e am ount due in resp ect of Units of the
dec eas ed Unit holders only in the ev ent of th e first nam ed nominee pred ec easing all the unit holders. The
nom ination /s will becom e invalid on repurchase/ redem ption / transfer of units.
It may be m entioned however, that such nomination is subject to the other provisions of law. In the ev ent of
dispute between h eirs and consequent litigation in that behalf, resulting in a court order directing devolvem ent
on a basis different from that indicated in the n om ination, then such court order would prevail over th e
nom ination and to that ext ent, the nom ination facility is not final. As between th e Mutual Fund and the
nom inee, the nom ination is binding and effective subject to above.
TRANSFERABILITY/TRANSM ISSION OF UNITS
Since the schem e is an insurance linked tax saving schem e the units of the schem e are not transferable.

B. ONGOING OFFER DETAILS

Ongoing Offer Period Being an open end ed schem e, units will be offered at
NAV based price
This is the date from which the schem e will reopen for
subscriptions / redem ptions after the closure of t he
NFO period

Ongoing price for subscription (purchase)/switch-in At the applicable NAV subject to prevailing entry load.
(from other schem es / plans of the Mutual Fund) by
investors.

This is the price you need to pay for purchase /

switch-in.

Exam ple: If the applicable NAV is Rs. 10/-, entry load

is 2% then the sales price will be:

Rs.10*(1+0.02) = Rs. 10.20

Ongoing price of redem ption (sale) / switch-outs (to At the applicable NAV subject to prevailing exit load.
other schem es / plans of the Mutual Fund) by
investors.

This is the price you will receiv e for red em ption /

switch-outs.

Exam ple: If the applicable NAV is Rs. 10/-, exit load

is 2% then the redem ption price will be:
Rs.10*(1-0.02) = Rs. 9.80

Cut off timing for subscriptions/redem ptions/switches.
This is the tim e before which your application
(com plete in all respects) should reach the official
points of acceptance.
For purchase, valid applications received upto 3 p.m.
by at the authorised centres alongwith a local
chequ e/DD payable at par at the place wher e
application is receiv ed, the closing NAV of the day on
which application is received shall be applicable. If
the application is received after 3 p.m., the closing
NAV of the next business day on which the
application is receiv ed shall be applicable. Howev er,
in respect of valid applications with outstation
chequ es/DD not payable at par at the place wh ere t he
application is receiv ed, closing NAV of the day on
which cheque/DD is credited shall be applicable. For
red em ptions, valid application received upto 3 p.m. at
the authorised centr es, sam e day's closing NAV shall
be applicable. If received after 3 p.m., closing NAV of
the next business day shall be applicable. Howev er,
in respect of purchase of units in Incom e / Debt
oriented schem es with amount equal to or more than
Rs. 1 crore, irrespective of the tim e of receipt of
21
 application, the closing NAV of the day the funds are
available for utilization shall be applicable.
Valid applications for "switch out" shall be treated
as redem ptions and for "switch in" shall be
treated as purchase and the above m entioned
guidelines shall be applicable.

W here can the applications for purchase / red em ption
switches be submitted?
Dom estic investors -
Duly filled in applications with subscriptions can be
subm itted at the authorized collection centres along
with local cheques/DD payable at the authorized
centres only. Paym ent by cash may not be accepted .

NRI’s on a fully repatriable basis-

In case of NRIs, paym ent m ay be m ade by m eans of a
Draft in Indian Rupees purchased abroad or by
chequ e/DD drawn on Non resident (Ext ernal) /FCNR
Accounts, payable at the authorized c entres on ly.
Paym ents m ay also be m ade through Dem and drafts
or other instrum ents permitted under the Foreign
Exchang e Manag em ent Act.
NRI’s on a non-repatriable basis-
NRIs can invest by chequ es/DD’s drawn out of Non
resident (Ordinary) Accounts.
Pres ently area offices of LICMFAMC and Chief Agent
/ Marketing Associate centres are collection centres
for the Schem e. The AMC m ay at its sole discretion
change its authorised centres at a later date.
Note:

The application form no. should be noted on the

reverse of all cheques and bank drafts
accom panying the application form.

Minim um am ount for purchase/redem ption/switches Under Regular Contribution option

Minimum : 1)Rs.10,000/- under 10 year term 2) Rs.
15000/- under the 15 year term.
M aximum : Rs 1500000/- under both the terms
Under Single Premium option
Minimum : Rs 10000/- under 5 year and 10 year term
M aximum : No Limit .

Minim um balance to be m aintained and consequ enc es
of non-maintenance
The M utual Fund m ay close an investor’s account
whenever, for any reasons, the number of units
falls below the minim um balance of 10000/-for
single premium; Rs. 1000/- for regular premium
yearly option; Rs. 500/- for regular premium
monthly option and the investor fails to invest
sufficient amount to bring the num ber of units to
1000,100 and 50 within 30 days from the date of
notice sent by LIC Mutual Fund.

Special Products available SYSTEMATIC INVESTMENT PLAN (SIP) /

SYSTEMATIC TRANSFER PLAN (STP)

Accounts statem ents For norm al transactions (other than SIP/STP)

during ongoing sales and repurchases:

The AMC shall issue to the investor whose application

(other than SIP/STP) has been accept ed, an account
statem ent specifying the num ber of units allotted
22
 (state the service standard for the sam e)

For those unitholders who have provided an e-mail

address, the AMC will send the account statem ent by
e-m ail.
The unitholder m ay request for a physical account
statem ent by writing/calling the AMC/ISC/R&T. (state
procedure)

For SIP/STP transactions:

Account statem ent for SIP and STP will be dispatched

once ev ery quarter ending March, June, Sept ember
and Dec em ber within 10 working days of the end of
the respective quarter.

A soft copy of the Account statem ent statem ent shall

be m ailed to the investors under SIP / STP to their e-
mail address on a monthly basis, if so m andated.
Howev er, the first account statem ent under SIP/STP
shall be issued within 10 working days of the initial
investm ent/transfer.
In case of specific request rec eived from investors,
Mutual Funds shall provide the account statement
(SIP/STP) to the investors within 5 working days from
the receipt of such request without any charges.

Annual Account Statement:

The Mutual funds shall provide the account statement

to the unitholders who hav e not transacted during the
last six m onths prior to the date of g en eration of
account statem ents. The account statem ent shall
reflect the latest closing balance and value of t he
units prior to the account statem ent.

The account statem ents in such cases m ay be

gen erated and issued along with the portfolio
statem ent or Annual report of the schem e.

Alternately, soft copy of the account statem ents shall

be m ailed to the investors’ e-m ail address, instead of
physical statem ent, if so mandated.

Dividend Depending upon the earnings, returns in the shape

of dividend will be declared subject to availability
of distributable surplus. The dividend incom e will
be reinvested in the scheme units at the prevailing
Selling Price. However declaration of Dividend and
/or issue of Bonus units to the unit holder will be
on the basis of incom e earned and other factors
including the taxation angle and at the absolute
discretion of the Trustees. The dividend warrants
shall be dispatched to the unitholders within 30 days
of the date of declaration of the dividend.

Red em ption The r ed em ption or repurchase proceeds shall be

dispatched to the unitholders within 10 working days
from the date of redem ption or repurchase.

Delay in paym ent of redem ption / repurchase The Asset Manag em ent Company shall be liable to
proceeds pay interest to the unitholders at such rate as m ay be
specified by SEBI for the period of such delay
(presently @ 15% per annum).

23
C. PERIODIC DISCLOSURES
Net Asset Value
This is the value p er unit of the sch em e
on a particular day. You can ascertain
the value of your investm ents by
multiplying the NAV with our unit
balance.
Half yearly disclosures: Portfolio
Financial results
This is a list of securities wher e the
corpus of the schem e is currently
invested. The m arket value of these
investm ents is also stated in portfolio
disclosures.
Half yearly results
Annual Report01
Associate Transactions
Taxation
Investor services
D. COMPUTATION OF NAV
The Mutual Fund shall declare the Net Asset value of the schem e
on ev ery business day on AMFI’s website www.amfiindia.com by
9:00 p.m.and also on our website at www.licm utual.com
/ The m utual fund shall publish a com plete statem en t of the sch em e
portfolio and the unaudited financial results, within one m onth from
the close of each half year (i.e. 31st March and 30th Septem ber),
by way of an advertisem ent at least, in one National English daily
and one r egional newspap er in the language of the r egion wher e
the head office of the m utual fund is located.
The m utual fund m ay opt to send the portfolio to all unit holders in
lieu of the advertisem ent (if applicable).
The Trustees and the AMC shall, at the close of each half year, i.e.
31st March & 30th Septem ber, publish the unaudited Half yearly
financial results of the schem es in one English daily newspaper
and in a local vernacular newspaper before the expiry of 1 month.
In addition the portfolio can also be obtained upon specific request
at the authorized centres of the Fund and on its web site
‘www.licm utual.com ’.
The sch em e-wise Annual Report of the Mutual Fund or an abridged
summ ary thereof shall be published as soon as may be but not
later than 6 m onths from the date of closure of the relevant
accounts year as per the Eleventh schedule of the regulations.
An Abridged sch em e-wise annual report and th e p ortfolio shall be
mailed to all Unit holders not later than 6 m onths from the date of
closure of the relevant accounting year and the full annual report
shall be available for inspection at the corporate office of LIC
Mutual Fund and a copy shall be m ade available the Unit holders
on request on paym ent of nominal fees, if any.
Please r efer to Statem ent of Additional Information (SAI)
For details on taxation please refer to the clause of taxation in
the SAI.
Ms. ARLEENE D’SOUZA
A.G.M.
LIC M utual Fund
4TH FLOOR, INDUSTRIAL ASSURANCE BUILDING,
OPP. CHURCHGATE STATION, MUM BAI – 400 020.
TELEPHONE NO. – 022 22880633
EM AIL: redressal@licm utual.com
24
CALCULATION OF NET ASSET VALUE:
The NAV shall be calculated and declared on each business day in accordance with the SEBI guidelines from
tim e to tim e and will be displayed / made available at the Corporate office, Registrars office and other
Authorized Centers such as th e Ar ea Offices. The NAV along with the sale and r epurchase prices will also be
published in atleast 2 daily newspapers along with the sale and repurchase price on all business days
accordance with SEBI guidelines, and m ade available on our website and AMFI website on a daily basis. NAV
shall be calculated upto 4 decim al places as follows.

T ot al U ni t C ap . + R es er ves + i nc om e
(n et of exp ens es & pr o vis i ons ) + (-) Ap pr ec i at i on /
(D epr ec i at i on) in i n ves t m en t
NAV = ——— —— —— —— ——— —— —— —— —— ——— —— —
N o. of U ni ts ou ts t an di n g

IV. FEES AND EXPENSES

This section outlines the exp ens es that will be charged to the schem e.

A. NEW FUND OFFER (NFO) EXPENSES

B. ANNUAL SCHEM E RECURRING EXPENSES: (as a % of average weekly net assets)
The following are the estimated recurring exp ens es as percentage of average weekly net assets.
Particulars % of Net Assets
Investm ent Managem ent & 1.25%
Advisory fee
Custodial fees 0.15%
Registrar & Transfer agent fees 0.10%
including cost related to providing
accounts statem ents, dividend /
red em ption cheques / warrants etc.
Marketing & s elling exp ens es 0.75%
including agents commission and
statutory advertisem ent.
Brokerage & transaction cost
pertaining to the distribution of
units.
Audit fees / fees and exp ens es of
trustees.
Costs related to investors
comm unications
Costs of fund transfer from
location to location
Other exp ens es *
Total Recurring Expenses 2.25%

The purpos e of the abov e table is to assist the investor in understanding the various costs and exp en ses that
he will bear directly or indirectly.
The total annual recurring schem e exp ens es is estimated at 2.25% of the averag e weekly n et assets and the
total exp enses of the sch em e excluding issue or red em ption exp ens es wh eth er initially borne by the m utual
fund or by the AMC, but including the m anagem ent and advisory fees (together with additional m anagem ent
fee, if levied) shall not exc eed th e following Statutory limits on the total annual recurring exp ens es of the
schem e as prescribed under Regulation 52(6) of the SEBI Regulations:

First 100 crore Next 300 Next 300 Balance

net assets crore crore
2.25% 2.00% 1.75% 1.50%

25
The initial issue exp enses incurred under the Schem e, were subject to a m axim um of 6% of the fund
mobilization during the Initial Offer Period of the Schem e.
INSURANCE PREM IUM:

The Accident insurance cover offered by the schem e is not directly deducted from the investors
contribution but debited to the fund. The Fund has availed the Group insurance cover from Life
Insurance Corporation of India for this purpose.
The insurance prem ium for the Life cover will be deducted from the investm ent contribution and the units will
be issued for the balance am ount.
These estimates have been m ade in good faith as per the information available to the Investm ent
manager based on past experience and are subject to change inter-se. Types of expenses charged shall
be as per the SEBI (MF) Regulations.

C. LOAD STRUCTURE

Load is an am ount which is paid by the investor to subscribe to the units or to redeem the units from the
schem e. This am ount is used by the AMC to pay commissions to the distributor and to take care of other
marketing and selling exp ens es. Load am ounts are variable and are subject to change from tim e to tim e. For
the current applicable structure, please ref er to the website of the AMC (www.licmutual.com) or may call at
Area offices / Business Centers or your distributor.

Type of Load Load chargeable (as %age of NAV)

Entry Nil

Exit* Nil( 3 years lock-in period)

Load exem ptions, if any: (e.g. Fund of Funds)

Bonus units and units issued on reinvestm ent of dividends shall not be subject to entry and exit load.

All loads including Contingent Def erred Sal es Charge (CDSC) for the sch em e shall be m aintained in a
separate account and m ay be utilized towards m eeting the selling and distribution exp ens es. Any surplus in
this account may be credited to the schem e, when ever felt appropriate by the AMC.

The investor is requested to check the prevailing load structure of the schem e before investing.
For any change in th e load structure the AMC will issue an add endum and display it on the website / investor
service centres.

V. RIGHTS OF UNITHOLDERS

Please refer to SAI for details

VI. PENALTIES, PENDING LITIGATION OR PROCEEDINGS, FINDINGS OF INSPECTIONS OR

INVESTIGATIONS FOR WHICH ACTION M AY HAVE BEEN TAKEN OR IS IN THE PROCESS OF BEING
TAKEN BY ANY REGULATORY AUTHORITY.
Ther e are no enforcem ent actions taken by SEBI in the last three years and/ or pending with SEBI for the
violation of SEBI Act, 1992 and Rules and Regulations fram ed there under including debarm ent and/ or
suspension and/ or cancellation and/ or im position of monetary penalty/adjudication/enquiry proceedin gs,
if any, to which the Sponsor(s) and/ or the AMC and/ or the Board of Trustees /Trustee Com pany and/ or
any of the directors and/ or key personnel (especially the fund managers) of the AMC and Trustee Company
wer e/ are a party.
“Notwithstanding anything contained in the Schem e Inform ation Docum ent the provisions of the SEBI
(M utual Funds) Regulations, 1996 and the guidelines there under shall be applicable.”
This Schem e Inform ation Document contains no clause, which limits the jurisdiction for settlement of
claims of the investors to a specific place/region.
The Board of Trustees has approved the m odifications to this Schem e Inform ation Docum ent. The revised
Schem e Inform ation Docum ent has been submitted to SEBI as per regulations on 31/03/2009

For and on behalf of the Board of Directors of the

Asset Managem ent Com pany of the Mutual Fund

sd/-
Place: Mum bai M r. Sushobhan Sarker
Date: 31/03/2010 Chief Executive Officer
26
27