Kotak Sensex ETFKotak Sensex ETF

CMYK

CMYK

Buy Kotak Sensex ETF. Buy India

The SENSEX reflects India's growth story

Get your share of it with Kotak Sensex ETF

20 1

CMYK

Why invest in an Index?

Over the past 35 years, American business has delivered terrific results. It should therefore

have been easy for investors to earn juicy returns: All they had to do was piggyback

Corporate America in a diversified, low-expense way. An index fund that they never

touched would have done the job. Instead many investors have had experiences ranging

from mediocre to disastrous.

By periodically investing in a low cost index fund, a know-nothing investor can actually

outperform most investment professionals.

-Warren Buffet

CMYK

18 3

Risk Factors

The Scheme invests in the stocks comprising the index regardless of their investment merit. The Mutual Fund does not attempt to take defensive

positions in declining markets.

As the scheme proposes to invest not less than 90% of the net assets in securities comprising of BSE SENSEX, any deletion of stocks from or

addition to in BSE SENSEX may require sudden and immediate liquidation or acquisition of such stocks at the prevailing market prices irrespective

of whether valuation of stocks is attractive enough. This may not always be in the interest of unitholders.

The scheme will attract provisions of take over regulations, if it invests in more than 10% of the paid up capital of a company and therefore may

not be able to accept further subscriptions.

The performance of the SENSEX will have a direct bearing on the performance of the scheme. Hence any composition change by virtue of

weightage or stocks selection will have an impact on the scheme.

Though Kotak Sensex ETF is proposed to be listed on the stock exchange, there is no assurance that an active secondary market will develop

or be maintained.

Tracking error may have an impact on the performance of the scheme. However KMAMC will endeavour to keep the tracking error as low

as possible.

Investors may note that even though this is an open-ended scheme, they will have to buy or sell units of the scheme on the stock exchanges

where these units are listed for liquidity at the market price, subject to the rules and regulations of the exchange. Buying and selling units on

stock exchange requires the investor to engage the services of a broker and are subject to payment of margins as required by the stock

exchange/broker, payment of brokerage, securities transactions tax and such other costs.

CMYK

CMYK

Why invest in an Index?

Passive investing -

Low costs -

No style drift -

Difficult to outperform -

Eliminates the risk of stock selection and fund managers discretion.

Saves on cost of research and frequent portfolio churns.

Maximum expenses capped @ 1.5%.

The scheme exactly invests as per the index and hence sticks to the mandate.

Globally, over a period of 3 and 5 years, S&P 500 has beaten 64.9%

of the large cap funds and the S&P Midcap 400 has outperformed 80.5% of midcap funds.*

* Source: www.standardandpoors.com

4 17

Risk Factors

General Risks:

Scheme Specific Risk:

Liquidity Risk:

Regulatory Risk:

Market Risk:

Mutual Funds investments are subject to market risks and there is no assurance or guarantee that the objectives of the Schemes will

be achieved. As with any securities investment, the NAV of the Units issued under the Schemes can go up or down depending on the factors and

forces affecting the capital and money markets. Past performance of the Sponsor/AMC/Fund or that of existing Schemes of the Fund does not

indicate the future performance of the Schemes. Kotak Sensex ETF is only the name of the scheme and does not in any manner indicate the quality

of the Scheme, its future prospects or returns.

The Scheme is subject to the principal risks described below. Some or all of these risks may adversely affect Schemes NAV,

trading price, yield, total return and/or its ability to meet its objectives.-The NAV of the units is closely related to the value of stocks that form a part of the benchmark index. The value of this will react to stock market

movements and may result in changes in the NAV of units under the scheme. There could also be movements in the schemes NAV due to changes

in interest rates, marco economic and political developments and over longer periods during market downturns.

Trading in Kotak Sensex ETF may be halted due to market conditions or for reasons that in the view of the Exchange Authorities or

SEBI, trading in Kotak Sensex ETF is not advisable. There could also be trading halts caused by extraordinary market volatility and pursuant to

NSE/BSE and SEBI circuit filter rules. There can be no assurance that the requirements of the exchange necessary to maintain the listing of the

kotak Sensex ETF will continue to be met or will remain unchanged.

Any changes in trading regulations by the stock exchange (s) or SEBI may affect the ability of Authorised Participant to arbitrage

resulting into wider premium/ discount to NAV.

The market in general could under perform returns from the securities or other asset classes. As the scheme proposes to invest not less

than 90% of the net assets in the securities of the benchmark Index, the Scheme is a passively managed scheme and provides exposure to the

benchmark and tracking its performance and yield as closely as possible. The Schemes performance may be affected by a general price decline in

the stock markets.

CMYK

ETFs v/s Index Funds

Attribute ETF Index Fund

CMYK

16 5

Diversification Yes Yes

Can be sold short Yes No

Trade at any brokerage firm Yes No

Real Time Trading Yes No

CMYK

CMYK

About SENSEX

Source: BSE

Ma

r-08

Ma

r-07

Ma

r-06

Ma

r-05

Ma

r-04

Ma

r-03

Ma

r-02

Fe

b-0

1

Fe

b-0

0

Fe

b-9

9

Fe

b-9

8

Fe

b-9

7

Fe

b-9

6

Fe

b-9

5

Fe

b-9

4

Fe

b-9

3

Fe

b-9

2

Fe

b-9

1

Jan

-90

Jan

-89

Jan

-88

Jan

-87

Jan

-86

Jan

-85

Jan

-84

Jan

-83

Jan

-82

Jan

-81

Jan

-80

25000

20000

15000

10000

5000

0

SENSEX since 1980

Scheme Details

Each unit of the Kotak Sensex ETF will be approximately equal to 1/100th of the value of

BSE SENSEX.

No entry load shall be charged on "all direct" applications received by AMC i.e., on application

forms that are not routed through any distributor/agent/broker and submitted to AMC office orcollection centre/investment service centre.

Entry Load during NFO: For investments < Rs 1crore - 1%For investments = > Rs 1 Crore - Nil

Entry Load during continuous offer - Nil

Exit Load - Nil

6 15

Scheme Details

th thNFO period - 7 May to 16 May, 2008.

Purchases During NFO: The minimum investment amount during the New Fund Offer is Rs.10,000 and in multiples

of Rs.1000. In case of investors opting to switch into the Scheme from existing Schemes/Plan/Options of the Fund

during the NFO period, the minimum amount is Rs.10,000 and in multiples of Re.0.01 thereof.

On going purchases directly from the Mutual Fund would be restricted to Authorized Participants provided the

value of units to be purchased is in creation unit size. Authorised Participants may buy the units on any business

day of the scheme directly from the Mutual Fund by paying applicable transaction handling charges and cash

component in cash and by depositing basket of securities comprising BSE SENSEX. Units may be allotted only

realization of cheque where the full consideration for creation unit is paid by cheque and at the value at which

the underlying stocks for the creation unit is purchased against that purchase request.

The units would be listed on BSE to provide liquidity through secondary market. All categories of Investors may

purchase the units through secondary market on any trading day. The AMC will appoint Authorised Participant(s)

to provide liquidity in secondary market on an ongoing basis. The Authorised Participant(s) would offer daily two

way quote in the market.

CMYK

CMYK

About SENSEX

First stock index in the Indian stock market.

Compiled in 1986 with 1979 as base year and 100 as base value.

Basket of 30 stocks captures prominent sectors of the Indian Economy.

Represents 49%* of total free float market cap of BSE.

st* 3 months average ending 31 March, 2008. Source: BSE

14 7

SENSEX Constituents

stData as on 31 March, 2008. Source: BSE

SENSEX is a basket of 30 stocks representing a sample of large and liquid companies.

Scrip Name

Reliance Industries

ICICI Bank

Larsen & Toubro

Infosys

HDFC Ltd.

Bharti

ITC Ltd

State Bank of India

ONGC

HDFC Bank

Reliance Communications

Tata Steel

BHEL

Satyam

Hindustan Unilever

Market Cap (Rs. Crore)

329,178.73

85,589.54

88,321.36

81,783.17

67,579.99

156,785.10

77,736.80

100,976.76

209,898.26

46,771.18

104,914.49

50,685.54

100,672.24

26,441.43

49,804.67

Weight in Index (%)

15.35

7.98

7.42

6.49

5.36

5.12

5.08

4.24

3.92

3.49

3.43

3.31

3.29

2.34

2.32

NTPC Ltd

Reliance Energy

TCS

Grasim Industries

DLF Ltd

Jaiprakash Associates

Tata Motors

Hindalco

Mahindra & Mahindra

Wipro Ltd.

Maruti

Ranbaxy

Cipla

Ambuja Cements

ACC

162,435.65

29,593.48

79,355.53

23,603.36

110,217.43

26,524.96

24,033.43

20,217.87

17,095.03

62,133.50

23,966.53

16,375.36

17,080.98

18,428.34

15,500.35

2.27

1.93

1.85

1.65

1.54

1.48

1.35

1.32

1.28

1.16

1.12

1.07

1.04

0.95

0.87

Scrip NameMarket Cap (Rs. Crore)

Weight in Index (%)

CMYK

Who can invest?

Long term Investors -

Short term Investors -

Speculators -

Arbitrageurs -

Institutions, FIIs -

Kotak Sensex ETF provides a low cost long term passive investment strategy.

Since Kotak Sensex ETF would be traded intra-day on a real-time basis,

short term exposure to index is possible.

Can take a view on the market as a whole and implement their strategy through

Kotak Sensex ETF even on intra-day basis.

Kotak Sensex ETF would facilitate arbitrage between Kotak Sensex ETF units and

SENSEX Basket and SENSEX Futures.

Kotak Sensex ETF facilitates asset allocation and hedging.

CMYK

8 13

Kotak Sensex ETF

Diversification:

Trading Flexibility:

Pricing:

Low Cost and Tracking Error:

Strategies for investors:

Convenience:

Low minimum investment:

Exposure to SENSEX with a single order.

Intra-day buying and selling just like any other listed share -

advantage over an Index fund where entry & exit is allowed only at the end of day NAV.

Intra-day indicative price available which will closely track SENSEX value.

- Low Annual Management Fee compared to actively managed funds because of passive investment

- Post listing only brokerage charges apply, no entry/exit load.

Underlying being similar to SENSEX futures, hedging and arbitrage possible.

All transactions in Demat form providing convenience and safety.

Investors can buy as low as 1 unit post listing.

stSource: BSE Index Cell, data as on 31 March, 2008.

Why SENSEX

SENSEX is the first benchmark in India which reflects Free-Float Market Cap methodology.

Provides time data over a fairly long period making it suitable for research purposes.

Various core sectors of the economy are represented in the SENSEX.

Sector Representation In SENSEX

Industry Name Weightage

Finance

Oil & Gas

Information Technology

Capital Goods

Telecom

FMCG

Housing Related

Metal,Metal Products & Mining

Power

Transport Equipments

Healthcare

Diversified

21.07

19.27

11.84

10.70

8.54

7.40

4.84

4.63

4.21

3.74

2.11

1.65

CMYK

CMYK

12 9

Consistent Performance

stReturns as on 31 March, 2008. Source: Yahoo Finance

SENSEX v/s World Indices

INDEX 10 Yr Rank5 Yr Rank3 Yr Rank1 Yr Rank10 Years5 Years3 Years1 Year

SHANGHAI COMPOSITE

SENSEX

JAKARTA COMPOSITE

BOVESPA

HANG SENG

STRAITS TIMES

DOW JONES INDUSTRIAL AVERAGE

FTSE 100

NASDAQ

S & P 500

NIKKEI 225

NA

3

2

1

4

5

6

9

7

8

10

6

3

1

2

4

5

11

8

7

10

9

1

2

3

4

5

6

7

8

9

10

11

5

3

1

2

4

9

6

10

7

8

11

NA

14.92%

16.42%

17.70%

7.09%

6.32%

3.37%

-0.39%

2.19%

1.84%

-2.73%

18.84%

38.69%

44.15%

40.15%

21.49%

18.86%

8.94%

9.55%

11.19%

9.29%

9.46%

44.72%

34.06%

31.87%

31.83%

19.12%

11.99%

5.30%

5.22%

4.46%

3.86%

2.39%

12.44%

19.68%

35.30%

33.10%

15.39%

-6.93%

-0.74%

-9.61%

-5.89%

-6.91%

-27.55%

CMYK

CMYK

Difficult to outperform

Most actively managed mutual funds find it difficult to outperform the SENSEX withoutdrifting from style.

st* Source: ICRA Online, returns as on 31 March, 2008.

Avg. Diversifiedequity Funds

BSE SENSEX

1 Yr Ret (%) 2 Yr Ret (%) 3 Yr Ret (%) 5 Yr Ret (%)

19.04

19.57

12.19

17.74

29.19

34.03

41.04

38.66

10 11

Consistent Performance

stReturns as on 31 March, 2008. Source: Yahoo Finance

SENSEX v/s World Indices

INDEX 10 Yr Rank5 Yr Rank3 Yr Rank1 Yr Rank10 Years5 Years3 Years1 Year

SHANGHAI COMPOSITE

SENSEX

JAKARTA COMPOSITE

BOVESPA

HANG SENG

STRAITS TIMES

DOW JONES INDUSTRIAL AVERAGE

FTSE 100

NASDAQ

S & P 500

NIKKEI 225

NA

3

2

1

4

5

6

9

7

8

10

6

3

1

2

4

5

11

8

7

10

9

1

2

3

4

5

6

7

8

9

10

11

5

3

1

2

4

9

6

10

7

8

11

NA

14.92%

16.42%

17.70%

7.09%

6.32%

3.37%

-0.39%

2.19%

1.84%

-2.73%

18.84%

38.69%

44.15%

40.15%

21.49%

18.86%

8.94%

9.55%

11.19%

9.29%

9.46%

44.72%

34.06%

31.87%

31.83%

19.12%

11.99%

5.30%

5.22%

4.46%

3.86%

2.39%

12.44%

19.68%

35.30%

33.10%

15.39%

-6.93%

-0.74%

-9.61%

-5.89%

-6.91%

-27.55%

CMYK

CMYK

Difficult to outperform

Most actively managed mutual funds find it difficult to outperform the SENSEX withoutdrifting from style.

st* Source: ICRA Online, returns as on 31 March, 2008.

Avg. Diversifiedequity Funds

BSE SENSEX

1 Yr Ret (%) 2 Yr Ret (%) 3 Yr Ret (%) 5 Yr Ret (%)

19.04

19.57

12.19

17.74

29.19

34.03

41.04

38.66

10 11

Kotak Sensex ETF

Diversification:

Trading Flexibility:

Pricing:

Low Cost and Tracking Error:

Strategies for investors:

Convenience:

Low minimum investment:

Exposure to SENSEX with a single order.

Intra-day buying and selling just like any other listed share -

advantage over an Index fund where entry & exit is allowed only at the end of day NAV.

Intra-day indicative price available which will closely track SENSEX value.

- Low Annual Management Fee compared to actively managed funds because of passive investment

- Post listing only brokerage charges apply, no entry/exit load.

Underlying being similar to SENSEX futures, hedging and arbitrage possible.

All transactions in Demat form providing convenience and safety.

Investors can buy as low as 1 unit post listing.

stSource: BSE Index Cell, data as on 31 March, 2008.

Why SENSEX

SENSEX is the first benchmark in India which reflects Free-Float Market Cap methodology.

Provides time data over a fairly long period making it suitable for research purposes.

Various core sectors of the economy are represented in the SENSEX.

Sector Representation In SENSEX

Industry Name Weightage

Finance

Oil & Gas

Information Technology

Capital Goods

Telecom

FMCG

Housing Related

Metal,Metal Products & Mining

Power

Transport Equipments

Healthcare

Diversified

21.07

19.27

11.84

10.70

8.54

7.40

4.84

4.63

4.21

3.74

2.11

1.65

CMYK

CMYK

12 9

SENSEX Constituents

stData as on 31 March, 2008. Source: BSE

SENSEX is a basket of 30 stocks representing a sample of large and liquid companies.

Scrip Name

Reliance Industries

ICICI Bank

Larsen & Toubro

Infosys

HDFC Ltd.

Bharti

ITC Ltd

State Bank of India

ONGC

HDFC Bank

Reliance Communications

Tata Steel

BHEL

Satyam

Hindustan Unilever

Market Cap (Rs. Crore)

329,178.73

85,589.54

88,321.36

81,783.17

67,579.99

156,785.10

77,736.80

100,976.76

209,898.26

46,771.18

104,914.49

50,685.54

100,672.24

26,441.43

49,804.67

Weight in Index (%)

15.35

7.98

7.42

6.49

5.36

5.12

5.08

4.24

3.92

3.49

3.43

3.31

3.29

2.34

2.32

NTPC Ltd

Reliance Energy

TCS

Grasim Industries

DLF Ltd

Jaiprakash Associates

Tata Motors

Hindalco

Mahindra & Mahindra

Wipro Ltd.

Maruti

Ranbaxy

Cipla

Ambuja Cements

ACC

162,435.65

29,593.48

79,355.53

23,603.36

110,217.43

26,524.96

24,033.43

20,217.87

17,095.03

62,133.50

23,966.53

16,375.36

17,080.98

18,428.34

15,500.35

2.27

1.93

1.85

1.65

1.54

1.48

1.35

1.32

1.28

1.16

1.12

1.07

1.04

0.95

0.87

Scrip NameMarket Cap (Rs. Crore)

Weight in Index (%)

CMYK

Who can invest?

Long term Investors -

Short term Investors -

Speculators -

Arbitrageurs -

Institutions, FIIs -

Kotak Sensex ETF provides a low cost long term passive investment strategy.

Since Kotak Sensex ETF would be traded intra-day on a real-time basis,

short term exposure to index is possible.

Can take a view on the market as a whole and implement their strategy through

Kotak Sensex ETF even on intra-day basis.

Kotak Sensex ETF would facilitate arbitrage between Kotak Sensex ETF units and

SENSEX Basket and SENSEX Futures.

Kotak Sensex ETF facilitates asset allocation and hedging.

CMYK

8 13

Scheme Details

th thNFO period - 7 May to 16 May, 2008.

Purchases During NFO: The minimum investment amount during the New Fund Offer is Rs.10,000 and in multiples

of Rs.1000. In case of investors opting to switch into the Scheme from existing Schemes/Plan/Options of the Fund

during the NFO period, the minimum amount is Rs.10,000 and in multiples of Re.0.01 thereof.

On going purchases directly from the Mutual Fund would be restricted to Authorized Participants provided the

value of units to be purchased is in creation unit size. Authorised Participants may buy the units on any business

day of the scheme directly from the Mutual Fund by paying applicable transaction handling charges and cash

component in cash and by depositing basket of securities comprising BSE SENSEX. Units may be allotted only

realization of cheque where the full consideration for creation unit is paid by cheque and at the value at which

the underlying stocks for the creation unit is purchased against that purchase request.

The units would be listed on BSE to provide liquidity through secondary market. All categories of Investors may

purchase the units through secondary market on any trading day. The AMC will appoint Authorised Participant(s)

to provide liquidity in secondary market on an ongoing basis. The Authorised Participant(s) would offer daily two

way quote in the market.

CMYK

CMYK

About SENSEX

First stock index in the Indian stock market.

Compiled in 1986 with 1979 as base year and 100 as base value.

Basket of 30 stocks captures prominent sectors of the Indian Economy.

Represents 49%* of total free float market cap of BSE.

st* 3 months average ending 31 March, 2008. Source: BSE

14 7

CMYK

CMYK

About SENSEX

Source: BSE

Ma

r-08

Ma

r-07

Ma

r-06

Ma

r-05

Ma

r-04

Ma

r-03

Ma

r-02

Fe

b-0

1

Fe

b-0

0

Fe

b-9

9

Fe

b-9

8

Fe

b-9

7

Fe

b-9

6

Fe

b-9

5

Fe

b-9

4

Fe

b-9

3

Fe

b-9

2

Fe

b-9

1

Jan

-90

Jan

-89

Jan

-88

Jan

-87

Jan

-86

Jan

-85

Jan

-84

Jan

-83

Jan

-82

Jan

-81

Jan

-80

25000

20000

15000

10000

5000

0

SENSEX since 1980

Scheme Details

Each unit of the Kotak Sensex ETF will be approximately equal to 1/100th of the value of

BSE SENSEX.

No entry load shall be charged on "all direct" applications received by AMC i.e., on application

forms that are not routed through any distributor/agent/broker and submitted to AMC office orcollection centre/investment service centre.

Entry Load during NFO: For investments < Rs 1crore - 1%For investments = > Rs 1 Crore - Nil

Entry Load during continuous offer - Nil

Exit Load - Nil

6 15

Risk Factors

General Risks:

Scheme Specific Risk:

Liquidity Risk:

Regulatory Risk:

Market Risk:

Mutual Funds investments are subject to market risks and there is no assurance or guarantee that the objectives of the Schemes will

be achieved. As with any securities investment, the NAV of the Units issued under the Schemes can go up or down depending on the factors and

forces affecting the capital and money markets. Past performance of the Sponsor/AMC/Fund or that of existing Schemes of the Fund does not

indicate the future performance of the Schemes. Kotak Sensex ETF is only the name of the scheme and does not in any manner indicate the quality

of the Scheme, its future prospects or returns.

The Scheme is subject to the principal risks described below. Some or all of these risks may adversely affect Schemes NAV,

trading price, yield, total return and/or its ability to meet its objectives.-The NAV of the units is closely related to the value of stocks that form a part of the benchmark index. The value of this will react to stock market

movements and may result in changes in the NAV of units under the scheme. There could also be movements in the schemes NAV due to changes

in interest rates, marco economic and political developments and over longer periods during market downturns.

Trading in Kotak Sensex ETF may be halted due to market conditions or for reasons that in the view of the Exchange Authorities or

SEBI, trading in Kotak Sensex ETF is not advisable. There could also be trading halts caused by extraordinary market volatility and pursuant to

NSE/BSE and SEBI circuit filter rules. There can be no assurance that the requirements of the exchange necessary to maintain the listing of the

kotak Sensex ETF will continue to be met or will remain unchanged.

Any changes in trading regulations by the stock exchange (s) or SEBI may affect the ability of Authorised Participant to arbitrage

resulting into wider premium/ discount to NAV.

The market in general could under perform returns from the securities or other asset classes. As the scheme proposes to invest not less

than 90% of the net assets in the securities of the benchmark Index, the Scheme is a passively managed scheme and provides exposure to the

benchmark and tracking its performance and yield as closely as possible. The Schemes performance may be affected by a general price decline in

the stock markets.

CMYK

ETFs v/s Index Funds

Attribute ETF Index Fund

CMYK

16 5

Diversification Yes Yes

Can be sold short Yes No

Trade at any brokerage firm Yes No

Real Time Trading Yes No

Risk Factors

The Scheme invests in the stocks comprising the index regardless of their investment merit. The Mutual Fund does not attempt to take defensive

positions in declining markets.

As the scheme proposes to invest not less than 90% of the net assets in securities comprising of BSE SENSEX, any deletion of stocks from or

addition to in BSE SENSEX may require sudden and immediate liquidation or acquisition of such stocks at the prevailing market prices irrespective

of whether valuation of stocks is attractive enough. This may not always be in the interest of unitholders.

The scheme will attract provisions of take over regulations, if it invests in more than 10% of the paid up capital of a company and therefore may

not be able to accept further subscriptions.

The performance of the SENSEX will have a direct bearing on the performance of the scheme. Hence any composition change by virtue of

weightage or stocks selection will have an impact on the scheme.

Though Kotak Sensex ETF is proposed to be listed on the stock exchange, there is no assurance that an active secondary market will develop

or be maintained.

Tracking error may have an impact on the performance of the scheme. However KMAMC will endeavour to keep the tracking error as low

as possible.

Investors may note that even though this is an open-ended scheme, they will have to buy or sell units of the scheme on the stock exchanges

where these units are listed for liquidity at the market price, subject to the rules and regulations of the exchange. Buying and selling units on

stock exchange requires the investor to engage the services of a broker and are subject to payment of margins as required by the stock

exchange/broker, payment of brokerage, securities transactions tax and such other costs.

CMYK

CMYK

Why invest in an Index?

Passive investing -

Low costs -

No style drift -

Difficult to outperform -

Eliminates the risk of stock selection and fund managers discretion.

Saves on cost of research and frequent portfolio churns.

Maximum expenses capped @ 1.5%.

The scheme exactly invests as per the index and hence sticks to the mandate.

Globally, over a period of 3 and 5 years, S&P 500 has beaten 64.9%

of the large cap funds and the S&P Midcap 400 has outperformed 80.5% of midcap funds.*

* Source: www.standardandpoors.com

4 17

CMYK

Why invest in an Index?

Over the past 35 years, American business has delivered terrific results. It should therefore

have been easy for investors to earn juicy returns: All they had to do was piggyback

Corporate America in a diversified, low-expense way. An index fund that they never

touched would have done the job. Instead many investors have had experiences ranging

from mediocre to disastrous.

By periodically investing in a low cost index fund, a know-nothing investor can actually

outperform most investment professionals.

-Warren Buffet

CMYK

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Risk Factors

Statutory:

The market price of ETF units, like any other listed security, is largely dependent on two factors, viz., (1) the intrinsic value of the unit (or NAV),

and (2) demand and supply of units in the market. Sizeable demand or supply of the units in Exchange may lead to market price of the units to

quote at premium or discount to NAV. However since the eligible investors can transact with the AMC for units beyond the creation unit size

there should not be a significant variance from the NAV. Hence the price of ETF is less likely to hold significant variance (large premium or

discount) from the latest declared NAV all the time.

Capital Gains Impact: Investors who trade in Kotak Sensex ETF may be subject to Long Term Capital Gains or Short Term Capital Gains. Investors

are requested to consult their tax/legal consultants before investing in the scheme.

The units will be issued only in demat form through depositories. The records of the depository are final with respect to the number of units

available to the credit of unit holder. Settlement of trades, repurchase of units by the mutual fund depends up on the confirmations to be

received from depository (ies) on which the mutual fund has no control.

All rights in the SENSEX vest in Bombay Stock Exchange Limited (BSE). BSE and SENSEX are trademarks of BSE and are used by Kotak Mahindra Asset

Management Company under license and governed by the Index License Agreement. BSE shall not be liable in any manner whatsoever (including in

negligence) for any loss arising to any person whosoever out of use of or reliance on the SENSEX by any person.

Kotak Mahindra Mutual Fund has been established as a trust under the Indian Trusts Act, 1882, by Kotak Mahindra Bank Limited (liability

Rs. NIL) with Kotak Mahindra Trustee Company Limited as the Trustee and with Kotak Mahindra Asset Management Company Limited as the

Investment Manager. Kotak Mahindra Bank Limited is not liable or responsible for any loss or shortfall resulting from the operations of the Scheme.

Before investing, please read the Offer Document for full understanding of the Scheme and detailed risk factors.

Kotak Sensex ETFKotak Sensex ETF

CMYK

CMYK

Buy Kotak Sensex ETF. Buy India

The SENSEX reflects India's growth story

Get your share of it with Kotak Sensex ETF

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