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Confidential

Castanea Wealth Management www.castaneawealth.com [Type the phone number]

2011

2011

Dear Mr Pal

We appreciate you having spent time with us on the profiling exercise and appreciate your cooperation in making this a fulfilling and holistic exercise. Today's financial environment is complex and in many regards, uncertain. The decisions you make regarding work, spending, investment, and retirement, both now and in the future, will significantly affect your financial condition over the long term. We are pleased to present you with your Personalised Financial Plan. The purpose of this plan is to

help lay out a roadmap for achieving your goals and objectives. Based on the information that you

have provided, and assumptions we have made about the future, we have analysed your current

financial situation and outlined an action plan that should help you achieve your goals and

objectives.

Our recommendations are based on your investment and risk profile, your financial and lifestyle goals, net worth and financial budgets. This plan also states your areas of "risk" and recommends solutions that will protect your family and your financial assets against future hurdles. Needs or deficiencies are suitably identified, and recommendations are included to illustrate how you may improve your arrangements. This confidential report was created for your personal use and future reference only. Each section is designed to give you a better understanding of your financial circumstances, and what's projected for the future. The report reflects your financial standing today and where you are likely to be in the event of your disability, death or retirement. It will provide valuable information for years to come.

As your financial situation or goals may change overtime, this report should not be considered final

or definitive, but as part of an ongoing, long term planning process. As changes occur in your

financial situation, it is important to update your personal information in order to re-evaluate

whether you are on track to meeting your goals. This plan needs to be reviewed and updated every

6 months to enable you to account for changes in your financial situation or other market related

factors.

This plan is meant to be educational, interactive and easy to understand. Please feel free to contact us if you have any queries. We look forward to reviewing and implementing these recommendations with you and we thank you for giving us an opportunity to assist you in planning for your long-term financial success.

With Warm Regards

On Behalf of CWM Financial Planning Team

2011

2011

WHY HAVE A WRITTEN FINANCIAL PLAN Managing personal finances in today’s complex and rapidly changing world is a very daunting task for most people. Unfortunately, many people choose not to manage important elements of their financial affairs because they believe the benefits of having an exhaustive financial plan are not worth the effort it takes to complete it. Therefore they ignore their realities in the hope that they will somehow go away. This is especially true for people trying to manage their investing themselves. In today’s marketplace, with the continuous entry of new products, services and tax legislation, it is next to impossible to stay emotionally detached and make prudent decisions. A well organized process for completing a comprehensive written financial plan is a very effective way to guard against this tendency to ignore reality by making the task more manageable so more people are willing to complete the task. There are several compelling reasons why most people should have a written financial plan. 1. Helps Control Stress and Emotions A written financial plan that is carefully prepared, and reviewed at least annually to reflect your changing needs, will bring you powerful peace of mind, especially when the going gets tough. The discipline of committing your plans to writing takes a huge burden off. You no longer feel that you need to manage all your financial concerns and risks in your head, especially when you are under stress. Without a financial plan, your emotions can have an undue influence on your choices. 2. Provides a Modular Framework for Making Decisions Your needs, wants and concerns are the foundation for your written financial plan. By fully understanding your situation alongwith your family’s participation, and what impact your goals and dreams will have on your finances, your financial plan becomes the solid framework upon which to make all important decisions. 3. Consolidates the Work of All Your Professional Advisors A comprehensive written financial plan provides you with a central point of reference to coordinate and manage the activities of all your investment, financial, taxation and legal advisors. Your financial advisor is in the best position to provide this central coordination because of the broad scope of their involvement. Having a coordinated approach with the help of your financial advisor will be of great benefit to you and your family.

2011

The Financial Planning Process

The Six Step Process of Personal Financial Planning Personal financial planning focuses on the individual. In order to best serve an individual’s needs, the professional financial planning practitioner employs a complete Financial Planning Process comprising these six distinct steps: Step 1 Clarify Your Present Situation The financial planner clarifies the your present situation by collecting and assessing all relevant financial data such as lists of assets and liabilities, tax returns, records of transactions, insurance policies, , pension plans etc. Step 2 Identify Goals and Objectives The financial planner helps you identify both financial and personal goals and objectives as well as clarify your financial and personal values and attitudes. These may include providing for children’s education, supporting elderly parents or relieving immediate financial pressures which would help maintain your current lifestyle and provide for retirement. These considerations are important in determining the best financial planning strategy for you. Step 3 Identify Financial Problems The financial planner identifies financial problems that create barriers to achieving financial independence. Problem areas can include too little or too much insurance coverage, or a high tax burden. Your cash flow may be inadequate, or the current investments may not be winning the battle with changing economic times. These possible problem areas must be identified before solutions can be found. Step 4 Recommendations The financial planner provides written recommendations and alternative solutions. The length of the recommendations will vary with the complexity of your situation, but they should always be structured to meet the your needs without undue emphasis on purchasing certain investment products. Step 5 Implement Strategies A financial plan is only helpful if the recommendations are put into action. Implementing the right strategy will help you reach the desired goals and objectives. The financial planner should assist you in either actually executing the recommendations, or in coordinating their execution with other knowledgeable professionals. Step 6 Monitor and Review The financial planner provides periodic review and revision your financial plan to assure that the goals are achieved. Your financial situation should be re-assessed at least once a year to account for changes in your life and current economic conditions.

2011

Executive Summary

This report uses financial models to present a picture of your current financial situation and illustrations of possible directions your finances may take. Future economic and market conditions are unknown, and will change. The assumptions used are representative of economic and market conditions that could occur, and are designed to promote a discussion of appropriate actions that may need to be taken, now or in the future, to help you manage and maintain your financial situation under changeable conditions. Your Current Situation: Your Goals: Analysis Details: Retirement Analysis You have assets of approximately xxxxx You have liabilities of approximately xxxx Your net worth is approximately xxx To meet your education goals you need to save xxxx annually (xxxx monthly). You will need the income until the last life expectancy of age xxxx. Monthly after-tax income needed at that time is xxxxx. Using the information you provided, calculations have been made to estimate whether your current retirement plan will meet your stated retirement goals. The analysis begins now and extends through life expectancy. The analysis calculates growth and depletion of capital assets over time. This analysis is the basis for the following summarized statement. Asset Allocation: Type of Investor - Somewhat Aggressive Long-term care assets at risk: xxxxx Net Estimated Life Insurance Needs Shortage: xxxx Actions: The analysis projects that you will have xxxx left at your life expectancy (not including insurance proceeds). This amount should be considered marginal, since your analysis may not have considered the possibility of expensive long-term care during the final years, premature disability or some other economic downturn that might affect your investments.

2011

Risk Profile Assumed

Your Investment Profile Before embarking on a savings and investment strategy, you need to choose an investment style that best suits your circumstances. Factors affecting your individual risk profile include: Your willingness to take risk Investments and risk go hand in hand, and the relationship between potential return and amount of risk is called the risk/return ratio. The smaller the risk, the smaller the potential return; the greater the risk, the greater the potential for profit. For your financial plan to be successful it must take into account your willingness – or unwillingness - to accept risk. Generally, there are three distinct investment objectives, with correspondingly different risk factors: 1. Safety You want minimal risk and are willing to trade off lower returns. You want to protect your capital typically because your time horizon is relatively short or you are uncomfortable with risk. 2. Income You are willing to accept a moderate degree of risk in exchange for the potential of having regular income added to your plan. 3. Growth You are willing to accept higher risk to maximize the potential returns. Typically you will have a longer time horizon or sufficient assets to accommodate the increased risk. Your time horizon The younger you are, the more time you have for your investments to grow. Typically, this means the more risk you may be willing to accept in exchange for the potential of higher returns. The older you are, the less time you have to weather the ups and downs. As a result, you may be more comfortable with predictable investments as opposed to more volatile, potentially higher growth opportunities. Your financial position The higher your income and net worth, the more risk you may be willing to accept since potential losses from riskier investments in your portfolio are more easily absorbed if you have other cash and asset reserves. Your level of investment knowledge Generally, the higher your knowledge about investments, the higher the risk you would be willing to take.

ASSUMED RISK PROFILE

Risk Profile Assessed by us

Risk Profile Suggested by you

Ultimate Risk Profile Adopted

2011

Income Expenses – Current Picture

Income Split

Own inc,

30

Spouse

inc, 0

Rent, 0

Rs. Lakh

Expense Split

Utilities,

1.2

Food, 1.2

Transpor

t, 1.8

EMIs,

10.8

Vacation

s, 4.0

Rs. Lakh

2011

Your Current Networth Statement

Why Prepare a Net Worth Statement? Your net worth is the difference between all the things of value that you own, and all the debts you owe. In financial terms, your net worth is your assets minus your liabilities. Before you can reach a financial goal, you need to know where you stand now. Your net worth is a reference point on your financial road map. Once you know your net worth, you can set a budget to reach your goals. There are several good practical reasons for knowing your financial worth: Money Management You can make better use of your income and maintain better control of your expenditures if you have a clear idea of what you own and what you owe. A net worth statement will show how much liquidity you have and identify the best sources for cash, should you need it. Saving Knowing precisely how much is left over after deducting current liabilities provides a strong incentive to save. As you see your net worth increase, you will be encouraged to help it grow. Financial Planning Net worth is an essential component of all financial planning. It helps you make appropriate decisions about your investments and lets you judge how much to set aside for buying a home, paying your children’s education, establishing a new career or business of your own or providing for retirement. Estate Planning Everyone needs to make a will, and almost everyone needs to know how much he or she is worth before deciding how the wealth is to be divided up. Insurance Planning You’ll be better able to protect assets. Determining the worth of your valuables is not only necessary to figure out your net worth, it also helps you get the proper insurance coverage. Borrowing If you need to borrow cash or arrange a loan, you will be required to provide the lender with an accurate and up-to-date account of your existing assets and liabilities. Your net worth will determine the credit limit that the lender is prepared to offer.

2011

Current Net Worth

The Following is a consolidated picture of all your assets and loans as disclosed during our

meeting.

Asset Type Rs. Lakh % of NW

Bank Account

Short Term Debt/ Debt Funds

Long Term Debt – Locked

Long Term debt – On Call

Equity and Equity Funds

Portfolio Management Schemes

Commodity & Gold Investments

Real Estate – self occupied

Real estate investment

Provident Fund Accumulation

Gratuity Accumulation

Other total

Total Assets

Type of loan Rs. Lakh % of NW

Home Loan

Car

Personal Loan

Total Loans

Net-worth Rs. Lakh % of NW

Net-worth

Comment

2011

Liquid & Contingency Fund

We recommend a safety net of in terms of liquid assets you should have to deal with emergencies,

unforeseen changes in your financial set-up and such other contingencies. You should ideally set

aside 6 months’ of expenses:

Rs.(Lakh)

Your Current Savings Account Balance

Current Liquid Investments

Your Required Balance

You should increase the savings account balance by xxxx lakh

The contingency reserve should be held in easy to liquidate assets e.g. fixed deposits, liquid plus

funds, short term debt funds etc. At present we are recommending the following instruments being

suitable for the same:

Recommended Investments Rs.(Lakhs)

2011

Key Goals

The table below shows your milestones:

Goal Amount in

today's rupees (in lacs)

Horizon (months)

Inflation Rate Expected

Inflation adjusted Amount

The following table shows your preparedness towards each goal:

Goal Amount in

today's rupees Current

Contribution Gap to be

filled Level of

Criticality

2011

Retirement Plan Status

Retirement Tradeoffs Planning for retirement involves tradeoffs. The amount of retirement capital you need will often depend on when you start investing, when you retire, the return on your investments, your income expectations, your current saving levels and the amount of pension income you expect to receive. An important aspect of your financial plan is to ensure that you are financially secure during your retirement years. In this retirement plan, we compare your income needs to your income sources during retirement to determine if you have enough capital to sustain your desired lifestyle. Based on the information you provided and the assumptions outlined on the attached page, the results of your retirement plan are summarized below:

Key Assumptions:

Life Expectancy

Inflation pre retirement

Inflation post retirement

Monthly Income required after retirement to maintain lifestyle

Analysis:

Long Term Asset Buildup

Instrument Current Value Growth No. Of Years

Annual Planned Additions

Projected Value

Total Need

Resources Available

Funding Deficit

Observation:

Your current savings will not be sufficient to meet your retirement goal.

2011

Recommendation:

To meet the shortfall of 1.46 Cr you need to follow our recommended investment plan which is as

follows:

Year of Goal

No. of Years to achieve

Target Corpus Funding Required Annual Growth

Assumed

Where to Invest:

Product Monthly

Contribution Characteristics

In case you follow our recommendations, your retirement corpus will look like this :

Instrument Amount Invested Annual Future

Additions Projected Value after 14

Yrs Return

Assumed

2011

Children's Education - Current Picture

Investing for Education Your children will need high levels of training and education to secure employment in a world that is becoming increasingly competitive and technology driven. And that may have to be at any part of the world. Obtaining a post-secondary education to meet these demands is also becoming more expensive as private education remains in high demand. The current cost for four years of university education is approximately xxxxxx. This includes tuition, rent, food, books and additional fees. In eighteen years in 2022, the total cost of a four-year university education will be xxxx , assuming costs increase by 7.5% per year. If you start now and invest xxxx per month in an instrument that earns xxxx% per year, you will be able to pay for your child’s university education.

Key Assumption: Rate of Inflation

Analysis:

Asset Base to be used:

Instrument Current Value Growth No. Of Years

Annual Planned Additions

Projected Value

Total Need

Resources Available

Funding Deficit

Observation:

Your current savings will not be sufficient to meet your retirement goal.

Recommendation:

To meet the shortfall of xxx, you need to follow our recommended investment plan which is as

follows:

Year of Goal No. of Years to

achieve Target Corpus(Rs.

In Lakh)

Monthly Contribution

required

Annual Growth in Contribution

2011

Instruments Recommended

Following are the specific recommendations:

Product Monthly

Contribution Characteristics

2011

Children's Marriage

Assumptions:

Rate of Inflation

Analysis:

Recommendation:

Year of Goal No. of Years to

achieve

Target Corpus(Rs. In

Lakh)

Monthly Contribution

required

Annual Growth in Contribution

2028 19 51 3000 10%

2031 23 61 2000 10%

Where to invest:

Product Monthly

Contribution Characteristics

2011

Asset Allocation

Asset Allocation is a tool designed to maximize the return on your portfolio (to meet your goals) while minimizing risk (keeping in mind your risk profile and deficit status). It involves structuring a diversified portfolio from four broad asset classes - Stocks, Bonds, Fixed Income and Cash – based on your income and growth needs and your risk tolerance. Research has shown that choosing among asset classes has a greater impact on your investment returns than the specific investments you select or how well you time the market.

As per your discussion with us, the recommended asset allocation for your portfolio is as follows.

Asset class Allocation % Allocation Rs lakh

Current Targeted Current Targeted

1

2

3

4

5

6

7

8

Comments on Asset Allocation

2011

Recommended Investments

As per the asset allocation and rebalancing required; following instruments are suggested

Asset class

Instrument Manufacturer Amount (Rs lakh) Lock in LTCG

2011

Cash Flow Projection

Why Prepare a Cash Flow Statement? Controlling your financial affairs requires a budget or cash flow statement. Budgeting and tracking your expenses gives you a strong sense of where your money goes and can help you reach your financial goals, whether they are saving for a down payment on a house, starting a college fund for your children, buying a new car, paying off the credit cards or planning for retirement. A cash flow statement provides you with the following benefits: Know where you stand A cash flow statement allows you to know exactly how much money you have. The statement shows you how your funds are allocated, how they are working for you, what your plans are for them, and how far along you are toward reaching your goals. The statement will also: • Indicate your ability to save and invest • Let you analyze your standard of living • Indicate if you’re living within or beyond your means • Highlight any problem areas Control A budget is the key to enabling you to take charge of your finances. With a budget, you have the tools to decide exactly what is going to happen to your hard-earned money—and when. Communication A budget is a communication tool with other family members to discuss the priorities for where your money should be spent. Identify opportunities Knowing the exact state of your personal monetary affairs, and being in control of them, allows you to take advantage of opportunities that you might otherwise miss. Extra money A budget may produce extra money for you to do with as you wish. Unnecessary expenditures, once identified, can be stripped out. Savings, even small ones, can be invested and made to work for you.

Assumptions and workings (all numbers are real - not with inflation)

2011

Comments:

Comments

2011

Life Insurance

What Insurance Pays For Although the basic purpose of life insurance is to provide your dependents with a continuing source of income if you die, it also provides for other financial needs. • Pay off the mortgage on your home • Pay off any outstanding taxes • Provide for your children’s education • Pay off any outstanding debts • Maintain your family’s standard of living Life insurance is one of the most important investments you can make to protect your family’s financial security. It is used to guarantee that your family will have a lump sum to pay off large financial obligations, a source of income to meet daily living expenses and be able to meet future expenses such as your children’s education. Life insurance benefits payable to a designated beneficiary are non-taxable.

You currently have the following policies:

Policy Name Sum Assured Annual Premium Maturity

Currently your total life insurance cover is Rs. lakhs and you pay annual premium of.xxxx.

Following table shows the insurance cover required:

Description Amount(in Lakhs)

Details Expected Expenses p.m.

2011

Life Insurance Recommendations

Insurance Rationale

Required Cover

Existing Cover

Gap Recommended Policy

Comments:

2011

Client Comments

2011

Disclaimer

These recommendations are given for your benefit only and are subject to review at the time of placement of your investments because circumstances law and economic conditions can change.

Returns from each recommended investment will vary in line with market conditions and investment policies of the fund manager. Income and growth assumptions are intended as a guide only and should be treated with caution. No warranty is given for the accuracy of the same. Most long equity/ growth investment are long term in nature and significant variations including capital loss, may occur over shorter periods. Neither the authorized representative nor the company guarantees the performance or return of capital on any of these investments.

These recommendations are based on the information you have supplied. If any material information has been withheld or any inaccurate, these recommendations could prove to be inappropriate for you.

Matters relating to taxation should be cleared with your own Tax Consultant.

The information contained in this plan is strictly confidential and meant solely for the selected recipient and may not be altered in any way, transmitted to, copied or distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written consent.

The information contained herein is solely for informational purpose and may not be used or considered as an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial instruments.

Nothing in this plan constitutes investment, legal, accounting and tax advice or a representation that any investment or strategy is suitable or appropriate to your specific circumstances. The securities discussed and opinions expressed in this plan may not be suitable for all investors, who must make their own investment decisions, based on their own investment objectives, financial positions and needs of specific recipient.

This plan may not be taken in substitution for the exercise of independent judgment by any recipient. The recipient should independently evaluate the investment risks.

The firm may receive applicable brokerage from all the above investments recommended from the product providers.

The Investor should always be cognizant that they have the ultimate responsibility for the investment of their own assets. The Advisor shall assist the Investor to discharge this responsibility with due care, skill, prudence and diligence under the circumstances then prevailing, that a prudent person, acting in a like capacity and familiar with such matters, would use in such conduct with like aims.

2011

X_________________________________________________________________________________

Client's Signature Client's Name

X_________________________________________________________________________________

Client's Signature Client's Name

Signed at ________________________________, _____________

(City/Town) (State)

Planner's Signature _____________________________

Date ____________________