EXPERT SPEAK. Mr. Nilesh Shah. August 31, Dear Friends,

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2 EXPERT SPEAK Mr. Nilesh Shah August 31, 2015 Dear Friends, While the month gone by was volatile, it still had a positive note to it. In the debris of the Chinese stock market crash last month, the value of having a structured, institutionalised, efficiently regulated and professionally driven market was well appreciated. It was just in good luck that due to the limited FII access to China, the lesson was learnt relatively less painfully. In a time when Chinese economy and markets are moderating, the projection of India as the fastest growing economy amongst the large nations is significant. For one, it contrast s an investment choice for the FII and FDI investor. Secondly, it brings additional attention to Indian democratic processes and systems, which while slow and deliberative, are relatively transparent and measurable. These traits provide a macro stability and continuity for an investor who is looking to play for the long term. Having said that, India would still need to up its game. The pace of reforms is causing concern amongst the industry. Ways and means would need to be found to obtain operational consensus on key issues, such as GST, land bill, labour reforms, administrative productivity etc. More importantly, the incentive structure in the economy still does not favour manufacturing and production. So much so that in sectors such as steel, it may be cheaper to import from 4000 miles away after having paid duties, rather than to produce in India. This uncompetitiveness in manufacturing is on account of high cost of power, capital and lower efficiency. In market economics, the growth usually stems from the bottom, rather than from the top. Therefore government s attention to push start-ups and scale up entrepreneurship is praiseworthy. However, for enterprise to become pervasive, the cost of entering a business has to be low. Moreover, the non-business reasons for failure have to be minimal, and the fear of failure has to be little. Progress towards bringing down the interest rates to a long term sustainable level; and ensuring a competent bankruptcy code are welcome steps in that direction. On a different note, the initiative to launch the payment bank is a welcome step. This will lead to financial inclusion and last mile integration of the inaccessible and the marginal. If done right, it will reduce the cash component from the economy and expand the savings net. However, in the immediate, the market is likely to remain range bound with bouts of sharp volatility. Equity markets are currently wary of the global risks, and as such are jittery. At that, the impending US Fed rate hike has also caused concerns. In our opinion, these issues have an impact on the global economy; and from that standpoint, it may impact our capital flows. But only in limited way. These declines have brought the stocks into the fair value zone. I can t but glee at the opportunity. This period of next 3-4 months, in our opinion, is a period of accumulation and consolidation. Investors are advised to buy at dips or invest through SIP. Regards, Nilesh Shah Managing Director 1

3 EQUITY VIEW INDIA: Global cues dominate markets; Indian macro remains strong Global markets and currency volatility dominated the month of August 2015 and the impact was felt on the Indian equity markets as well with the large cap Nifty index falling 6.5% and the mid cap index falling 4.8% in INR terms. The fall in equity markets were a combination of (a) concerns about Emerging Market growth (China in particular) (b) the fall in commodity prices (resulting in fears of a global deflationary environment) and (c) market uncertainty over policy responses. The devaluation of the Renminbi by China, in an attempt to bolster exports, led to a rise in fears of growth faltering sharply in the Chinese economy which has been struggling to boost domestic consumption. Global volatility is here to stay. However, India s macro fundamentals remain strong with a much stronger external sector, fiscal deficit under control and early signs of growth revival (we are estimating real GDP growth of ~7.3% in FY16E). Further, the fall in global commodity prices, while negative for other emerging markets, bodes well for India which is a net importer of oil. Indian equity markets saw outflows with FII turning net sellers in the month of August 2015 to the tune of USD2.5bn. However, the outflows from FIIs in the equity markets was compensated by strong flows from the domestic institutional investors (DIIs) to the tune of USD2.4bn. The recently concluded earnings season was muted in terms of growth (BSE Sensex companies reporting a net profit growth of 1.8% YoY). We are however building in a better H2FY16 partly off a low base and partly reflective of slowly improving demand parameters. Post the recent correction, the large cap Nifty Index is trading at attractive valuations of 17.5xFY16E EPS and 14.5xFY17E EPS (free float adjusted). On the domestic front, the monsoon session of the Parliament concluded without the passage of the much awaited GST (Goods and Services Tax) Bill. While there are hopes that the Government would reconvene a special session of Parliament for the same, it does appear that the implementation of GST by April 2016 would in all likelihood get delayed. At the same time, the Government has decided to let the Land Acquisition Ordinance lapse following the completion of 6 weeks from the beginning of the monsoon session of the Parliament. Indian markets relatively better placed to withstand slowdown in China China is clearly at the epicenter of global growth concerns. With a clear intention to improve the competitiveness of Chinese exports, the RMB fixing has been shifted to a new regime of daily fixing rate which now refers to the closing price of USD/CNY spot on previous trading day and also considers demand /supply and market-moves of other major currencies. While the trend in slowdown in China is worrisome, our belief is that it is not a sign of an impending global crisis. Unlike in during the Asian crisis where we saw 40% depreciation in currencies across the region, Central banks today have better forex reserves and lesser reliance on external debt. Further, there is disinflation in the environment and hence Central banks will not be hesitant to inject liquidity. China too still has ample room to ease and in this regard, the People s Bank of China (PBoC) cut lending rates by 25bps and Reserve requirements (RRR) by 50bps to 18%. The cut in rates is the 5th consecutive one and a 50bps cut in RRR results in an injection of around of USD104bn of liquidity. Further with the RRR at 18%, the room to ease further remains. Impact on India: The INR has not been spared the impact of the global turmoil. However, the movement of the INR/USD has been far more stable than other emerging market currencies (YTD the INR has depreciated by 4.7%). We however, continue to believe that the movement of the INR/USD would be towards a depreciating bias given the strength of the USD and the possibility of further devaluation of the Yuan. We expect the INR/USD to move in a trading band of and to average 65 in FY16 (64 earlier; 61.2 in FY15). The key factors which are structurally supportive of INR are : a) The impact of lower crude oil prices implying a lower import bill and hence a far more manageable levels of Current Account Deficit. We are factoring in a CAD of 0.8% of GDP in FY16E (1.4% in FY15). b) With capital flows remaining strong in the last one year, RBI has used the opportunity to build by the forex reserves (USD353bn) which are now close to 9 months of imports. c) INR/USD has been gradually weakening; the performance of the Indian currency in comparison to other countries in the trade weighted basket had led to the appreciation of the INR in terms of the REER (Real Effective Exchange Rate). Hence the recent depreciation helps correct some of the imbalance. RBI: Inflation easing could lead to policy rates cuts by another 25-50bps in Fy16 RBI in their policy meeting on August 4, 2015 left the key policy rates unchanged largely in line with expectations. The key factors that RBI had outlined which would drive policy action going ahead are: a) a greater transmission by banks of the RBI's rate cuts (ii) developments in food prices and the effects of the monsoon (iii) policy efforts to unclog the supply side constraints (iv) US monetary policy. From here on, we believe that CPI (Consumer Price Inflation) will likely average ~5% in FY16 (from earlier expect 5-5.5%) and would end the year lower than the 6% target set by RBI for March While the long term inflation target of 4% remains, lower than expected readings in the near term (July CPI at 3.8%) could prompt the RBI to cut rates by another 25-50bps in FY16 (75bps of rate cuts are behind us). RBI will however be watchful of the current volatility in the currency market and the actions of the US Federal Reserve (though the probability of a rate hike in September 2015 has come down). Monsoons: Cumulative deficit at 12%; Spatial distribution improves; FY16E real GDP growth likely at 7.3% As the monsoon approaches the end of the season, cumulative rainfall deficit remains 12% below normal, but spatial distribution improved somewhat. The highest deficits have been recorded in the states of Maharashtra, Uttar Pradesh and Punjab. While most of the monsoon season is complete, the recent deterioration in rainfall trends could lead to a negative impact on crop yields. In this context, rainfall trend for the next few weeks will be important for ensuring healthy crop yield. We are currently factoring in 2% growth in agriculture (0.2% in FY15E) and real GDP growth at 7.3% in FY16E (on a Gross Value Added basis). Licenses for payment banks: To improve financial inclusion 11 licenses have been awarded by RBI (out of 42 applications) to set up payment banks in the country with a view that these banks would help increase the pace of financial inclusion and improve payment and remittance channels for the common people. The payment banks can essentially accept deposits (capped at INR 100,000per depositor) but by regulation, these banks will not be able to offer loan products and 75% all deposits will be invested in Government securities and the balance in current/time deposits of commercial banks. RBI has stated that in the future, the licenses for payment banks will be available on tap. We believe that while the setting up of payment banks is a new paradigm in the Indian banking sector, these banks will probably be more complementary than threatening to traditional banks and will help in deeper penetration and wider use of technology among banks. Indradhanush scheme: First step to revamp of PSU banks Government announced the PSB (Public Sector Bank) revamp plan-named Indradhanush (or rainbow). The government announced a seven point agenda which includes: (1) Appointments of top management (2) setting up of the Bank Board Bureau, (3) Capitalization of the banks (4) De-stressing banks and improving NPA disclosures, (5) Empowerment, (6) framework of accountability and (7) Governance reforms. The key measures included appointment of MD and CEO of 5 PSBs, Bank Board Bureau (BBB) to be set up replacing the Appointments Board for appointment of Whole-Time Directors and Non-Executive Chairman of PSBs and a new framework of Key Performance Indicators (KPIs) to be measured for evaluating the performance of PSBs. While most of the reforms were along expected lines, the final implementation of the same is a positive and shows intent on part of the Government to carry through reforms even while there is need to monitor execution of the same. 2

4 DEBT VIEW Items Aug-15 Jul-15 Change Reverse Repo* 6.25% 6.25% 0 Repo * 7.25% 7.25% 0 CRR 4% 4% 0 SLR 21.50% 21.50% 0 Mibor Overnight 7.18% 7.20% -2 bps Call(O/N) 7.25% 7.07% 18 bps CBLO 7.16% 7.31% -15 bps 1 yr T Bill 7.53% 7.57% -4 bps 10 G Sec 7.78% 7.80% -2 bps 5 Year AAA 8.35% 8.43% -8 bps USD/INR ps Source: RBI; ICRAonline. Key Events During the Month: GDP for Q1-FY16 came at 7% against the expectation of 7.4%. Headline CPI (Consumer Price Index, New Series) for July 2015 declined to 3.78% from 5.40%, against headline expectation of 4.50%. The core inflation was at 4%. WPI inflation for the July month came at -4%. A straight ninth month in a row negative. Indian monsoon for June-August stands at only -12% below normal. As per IMD forecast, monsoon in August September period may remain below average. On m-o-m basis, the oil prices were flat but saw volatility in the intra-month. Brent Crude Prices dropped during the month from US per barrel levels to a low of US levels, and closed at Post the Yuan devaluation, Rupee depreciated during the month by approx. Rs 3 to Rs REER basis it has done well China slashed its reserve requirements by 50 bps and also reduced its deposit rate by 25 bps RBI Forex Reserves stands at around bn from bn last month, up by 0.79 bn. Global bond yields fell on account of fall in the global equity markets and on the expectation that US Fed may delay the rate hike. Inflation Scenario CPI inflation is ben falling creating a expectation of Rate cut as it remains well within RBI s tolerance level. Monsoon for June- August month has been in deficit of 12% as per IMD. July inflation data shows the spike in prices of pulses and spices. Seasonal factors, wayward rains in summer and deficient rains in July have spiked the prices. Whereas, the low vegetables and sugar prices has helped the inflation to come down.. Outlook RBI decided to hold the key policy rates in its 4th August policy meet. Central banker had highlighted the following as key monitorables in its policy statement: Firstly, they said that they are waiting for additional data on CPI performance (The actual data surprised on the lower side). Secondly, the impact of monsoon was also a concern to the central bank (It is an ongoing event and continues to be in line with IMD). Moreover, the RBI wanted to see the level of rate transmission of the earlier rate cuts into the economy ( HDFC bank cut the base rate by 35 bps, we expect other banks to follow suit). Finally, the RBI also wanted to assess the impact of US Fed action. (Probability of September rate has reduced) With most of the variables having come out as favorable, we believe that the possibility of rate cut on 29th September is high. We believe that Jan-16 inflation figure may be below %. Over the course of one year, we believe there is scope for 50 bps rate cut. Since RBI is working with a 4% long term inflation target in mind, we believe it will create further room for gradual easing over a period of 2 years. 3

5 GOLD VIEW For the month, spot gold closed at 1134 per ounce, up 39 per ounce or 3.56%. Gold extended its best monthly gain since January after the industrial performance gauge in China shrank to a three-year low, deepening concern about the slowdown in the world s second-biggest economy and boosting demand for the yellow metal as a haven. Also the steep losses in global equity markets supported demand for the yellow metal. The Dollar Index was down 1.55% during the month. Going forward the major event of the month for precious metal is the publication of the US non-farm payroll report and the Federal Open Market Committee meets which is on Sept. 16th and 17th. If the report shows a higher than expected gain in number of jobs, this could bring down gold prices. The downbeat data will probably make US Federal Reserve to delay raising interest rates until the end of 2015, which may eventually push gold price higher for the time-being. 4

6 EQUITY SCHEMES KOTAK 50 An Open - Ended Equity INVESTMENT STYLE Style Value Blend Growth Size Large Mid Small To generate capital appreciation from a portfolio of predominantly equity and equity related securities. The portfolio will generally comprise of equity and equity related instruments of around 50 companies which may go up to 59 companies but will not exceed 59 at any point in time. December 29,1998 Fund Manager Mr. Harish Krishnan CNX Nifty AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 52.76% Beta: 1.08 ## Sharpe : 0.76 Standard Deviation : 15.55% Source: ICRA MFI Explorer. Beta, Standard Deviation & Sharpe Ratio are calculated on Annualised basis using 3 years history of monthly returns. ## Risk-free rate assumed to be 7.39% (3 months T-bill yield as on August 31, 2015) Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: i) For redemptions / switch outs (including SIP/STP) within 1 year from the date of allotment of units, irrespective of the amount of investment: 1%. ii) For redemption/switch outs (including SIP/STP) after 1 year from the date of allotment of units, irrespective of the amount of investment: Nil. Note Any exit load charged (net off Service Tax, if any) shall be credited back to the respective scheme. Units issued on reinvestment of dividends shall not be subject to entry and exit load. Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Infosys Ltd. Software 8.70 HDFC Bank Ltd. Banks 7.46 ICICI Bank Ltd. Banks 6.27 Larsen And Toubro Ltd. Construction Project 4.98 Axis Bank Ltd Banks 4.43 Maruti Suzuki India Limited Auto 3.90 Tata Consultancy Services Ltd. Software 3.62 Reliance Industries Ltd. Petroleum Products 3.27 IndusInd Bank Ltd. Banks 3.10 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 3.05 State Bank Of India Banks 2.88 Ultratech Cement Ltd. Cement 2.57 ITC Ltd. Consumer Non Durables 2.53 Power Grid Corporation Of India Ltd Power 2.12 Colgate Palmolive (India ) Ltd. Consumer Non Durables 2.05 HDFC Ltd. Finance 2.02 Tata Motors Ltd. Auto 1.98 HCL Technologies Ltd. Software 1.96 Britannia Industries Ltd. Consumer Non Durables 1.83 MRF Limited Auto Ancillaries 1.78 Tata Motors Ltd - DVR Auto 1.73 Kajaria Ceramics Ltd. Construction 1.58 Shree Cement Ltd. Cement 1.56 Persistent Systems Limited Software 1.41 The Ramco Cements Ltd Cement 1.39 Bharat Petroleum Corporation Ltd.Petroleum Products 1.34 Asian Paints Ltd. Consumer Non Durables 1.27 Notes: Term Deposit as provided above is towards margin for derivatives transactions Total Amount Invested Total Value as on 30th June 2015 (`) Returns (%) CNX Nifty (`)# CNX Nifty Returns (%) S&P BSE SENSEX (`)^ S&P BSE SENSEX Returns (%) SYSTEMATIC INVESTMENT PLAN (SIP) Hero MotoCorp Ltd. Auto 1.27 Tata Communications Ltd Telecom - Services 1.17 Grasim Industries Ltd. Cement 1.13 Siemens Ltd. Industrial Capital Goods 1.11 Tech Mahindra Ltd. Software 1.09 IDFC Limited Finance 1.05 Bharat Electronics Ltd Industrial Capital Goods 1.04 Cadila Healthcare Ltd. Pharmaceuticals 1.03 Tata Chemicals Ltd. Chemicals 0.93 Bank Of Baroda Banks 0.92 Supreme Industries Limited Industrial Products 0.86 Alstom India Limited Industrial Capital Goods 0.85 Titan Company Ltd. Consumer Durables 0.83 Mahindra & Mahindra Ltd. Auto 0.82 Lupin Ltd. Pharmaceuticals 0.76 Sanofi India Ltd. Pharmaceuticals 0.70 Jubilant Foodworks Limited Consumer Non Durables 0.56 Motherson Sumi Systems Ltd. Auto Ancillaries 0.53 Zee Entertainment Enterprises Ltd Media and Entertainment 0.32 Blue Dart Express Ltd. Transportation 0.28 Federal Bank Ltd. Banks 0.28 Listed/Awaiting Listing on Stock Exchange - Total TERM DEPOSITS Kotak Mahindra Bank Ltd Term Deposits - Total 1.08 Collateral Borrowing & Lending obligation 1.13 Net Current /(Liabilities) Systematic Investment Plan (SIP) If you had invested `5,000 every month 1 year 3 years 5 years 10 years Since Inception 60,000 1,80,000 3,00,000 6,00, ,973 2,53,178 4,61,099 12,41,954 61,21, ,715 2,30,159 4,15,980 10,85,011 37,01, ,633 2,29,704 4,15,260 10,77,872 37,94, Inception : - December 29, The returns are calculated by XIRR approach assuming investment of `5,000/- on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows and taking the time of investment into consideration. Since inception returns are assumed to be starting from the beginning of the subsequent month from the date of inception. # ; ^ Kotak 50 NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Banks Software Auto Consumer Non Durables Cement Pharmaceuticals Construction Project Petroleum Products Finance Industrial Capital Goods Others Investors understand that their principal will be at moderately high risk Long term capital growth Investment in portfolio of predominantly equity & equity related securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 5

7 EQUITY SCHEMES KOTAK CLASSIC EQUITY An Open - Ended Equity Growth ( As on August 31, 2015) INVESTMENT STYLE Style Value Blend Growth Size Large Mid Small To generate capital appreciation from a diversified portfolio of equity and equity related securities. July 27, 2005 Fund Manager Mr. Harish Krishnan CNX 100 AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 74.45% Beta: 0.91 ## Sharpe : 0.80 Standard Deviation : 13.33% Source: ICRA MFI Explorer. Beta, Standard Deviation & Sharpe Ratio are calculated on Annualised basis using 3 years history of monthly returns. ## Risk-free rate assumed to be 7.39% (3 months T-bill yield as on August 31, 2015) Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: Nil., (w.e.f December 01, 2014) Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Infosys Ltd. Software 8.04 HDFC Bank Ltd. Banks 7.08 Larsen And Toubro Ltd. Construction Project 5.61 Maruti Suzuki India Limited Auto 5.20 ICICI Bank Ltd. Banks 5.04 HDFC Ltd. Finance 4 Tata Consultancy Services Ltd. Software 3.75 Axis Bank Ltd Banks 3.60 Hindustan Unilever Ltd. Consumer Non Durables 2.85 Reliance Industries Ltd. Petroleum Products 2.75 IndusInd Bank Ltd. Banks 2.43 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 2.38 HCL Technologies Ltd. Software 2.29 IDFC Limited Finance 2.24 PNC INFRATECH LIMITED Construction Project 2.20 The Ramco Cements Ltd Cement 2.19 Mahindra & Mahindra Ltd. Auto 2.08 Tata Motors Ltd. Auto 2.07 Ultratech Cement Ltd. Cement 1.91 Cadila Healthcare Ltd. Pharmaceuticals 1.88 Yes Bank Ltd Banks 1.77 Bharat Heavy Electricals Ltd. Industrial Capital Goods 1.72 Hero MotoCorp Ltd. Auto 1.72 ITC Ltd. Consumer Non Durables 1.54 Lupin Ltd. Pharmaceuticals 1.43 City Union Bank Ltd. Banks 1.29 UPL Ltd Pesticides 1.28 Total Amount Invested SYSTEMATIC INVESTMENT PLAN (SIP) Systematic Investment Plan (SIP) If you had invested `5, 000 every month Total Value as on 30th June 2015 (`) Returns (%) CNX 100 (`)# CNX 100 Returns (%) CNX Nifty (`)^ CNX Nifty Returns (%) Ahluwalia Contracts (India) Ltd. Cement 1.26 Bank Of Baroda Banks 1.26 Bharti Airtel Ltd. Telecom - Services 1.24 MBL Infrastructures Ltd. Construction 1.21 Cairn India Limited Oil 1.19 Gujarat State Petronet Ltd. Gas 1.08 Oil & Natural Gas Corporation Ltd. Oil 1.08 Idea Cellular Ltd. Telecom - Services 1.07 Tata Motors Ltd - DVR Auto 0.97 Hindustan Zinc Ltd. Non - Ferrous Metals 0.94 Tech Mahindra Ltd. Software 0.92 State Bank Of India Banks 0.90 Voltas Ltd. Construction Project 0.90 Multi Commodity Exchange of India Limited Finance 0.77 UFO Moviez Limited Media and Entertainment 0.64 Federal Bank Ltd. Banks 0.55 Power Grid Corporation Of India Ltd Power 0.49 Tata Steel Limited. Ferrous Metals 0.37 Hindalco Industries Ltd Non - Ferrous Metals 0.34 Cipla Ltd. Pharmaceuticals 0.32 Rural Electrification Corporation Ltd Finance 0.19 The Indian Hotels Company Ltd - CCD Hotels 0.10 Listed/Awaiting Listing on Stock Exchange - Total Collateral Borrowing & Lending obligation 2.17 Net Current /(Liabilities) year 3 years 5 years Since Inception 60,000 1,80,000 3,00,000 6,00,000 62,255 2,44,009 4,52,160 12,03, ,362 2,35,255 4,25,785 11,20, ,715 2,30,159 4,15,980 10,84, Inception : - July 27,2005. The returns are calculated by XIRR approach assuming investment of `5,000/- on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows and taking the time of investment into consideration. Since inception returns are assumed to be starting from the beginning of the subsequent month from the date of inception. # ; ^ Kotak Classic Equity NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Banks Software Auto Finance Construction Projects Consumer Non Durables Pharmaceuticals Cement Petroleum Products Telecom - Services Others Investors understand that their principal will be at moderately high risk Long term capital growth Investment in portfolio of predominantly equity & equity related securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 6

8 EQUITY SCHEMES KOTAK OPPORTUNITIES An Open - Ended Equity Growth INVESTMENT STYLE Style Value Blend Growth Size Large Mid Small To generate capital appreciation from a diversified portfolio of equity and equity related securities. September 9, 2004 Fund Manager Mr. Harsha Upadhyaya CNX 500 AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan: B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 32.03% Beta: 0.96 ## Sharpe : 1.00 Standard Deviation : 14.58% Source: ICRA MFI Explorer. Beta, Standard Deviation & Sharpe Ratio are calculated on Annualised basis using 3 years history of monthly returns. ## Risk-free rate assumed to be 7.39% (3 months T-bill yield as on August 31, 2015) Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: I) For redemptions / switch outs (including SIP/STP) within 1 year from the date of allotment of units, irrespective of the amount of investment: 1% ii) For redemptions / switch outs (including SIP/STP) after 1 year from the date of allotment of units, irrespective of the amount of investment: NIL iii) Any exit load charged (net off Service Tax, if any) shall be credited back to the respective. iv) Units issued on reinvestment of dividends shall not be subject to exit load Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Infosys Ltd. Software 5.34 HDFC Bank Ltd. Banks 4.79 ICICI Bank Ltd. Banks 4.52 Axis Bank Ltd Banks 3.94 Bajaj Finance Limited Finance 3.72 State Bank Of India Banks 3.66 Larsen And Toubro Ltd. Construction Project 3.56 Maruti Suzuki India Limited Auto 3.39 Shree Cement Ltd. Cement 2.55 Torrent Pharmaceuticals Ltd. Pharmaceuticals 2.50 Bharat Petroleum Corporation Ltd. Petroleum Products 2.48 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 2.46 Hindustan Petroleum Corporation Ltd Petroleum Products 2.37 Ultratech Cement Ltd. Cement 2.35 Britannia Industries Ltd. Consumer Non Durables 2.28 IndusInd Bank Ltd. Banks 2.10 Tech Mahindra Ltd. Software 2.07 Federal Bank Ltd. Banks 2.05 MRF Limited Auto Ancillaries 1.79 HCL Technologies Ltd. Software 1.64 Tata Motors Ltd. Auto 1.59 Indraprastha Gas Ltd. Gas 1.48 ITC Ltd. Consumer Non Durables 1.44 Lupin Ltd. Pharmaceuticals 1.43 Hindustan Unilever Ltd. Consumer Non Durables 1.40 Bank Of Baroda Banks 1.37 Bosch Limited Auto Ancillaries 1.37 Multi Commodity Exchange of India Limited Finance 1.34 CMC Ltd. Software 1.31 UPL Ltd Pesticides 1.31 Cummins India Ltd. Industrial Products 1.30 MBL Infrastructures Ltd. Construction 1.28 Persistent Systems Limited Software 1.24 Notes: Term Deposit as provided above is towards margin for derivatives transactions Total Amount Invested Total Value as on 30th June 2015 (`) Returns (%) CNX 500 (`)# CNX 500 Returns (%) CNX Nifty (`)^ CNX Nifty Returns (%) SYSTEMATIC INVESTMENT PLAN (SIP) Ashok Leyland Ltd. Auto 1.20 The Ramco Cements Ltd Cement 1.20 Arvind Ltd Textile Products 1.13 Motherson Sumi Systems Ltd. Auto Ancillaries 1.12 Petronet LNG Ltd. Gas 1.12 Container Corporation of India Ltd. Transportation 1.05 JK Cement Ltd. Cement 1.02 Colgate Palmolive (India ) Ltd. Consumer Non Durables 1.01 Max India Ltd. Finance 0.99 AIA Engineering Limited Industrial Capital Goods 0.95 Whirlpool of India Ltd. Consumer Durables 0.94 Apollo Tyres Ltd. Auto Ancillaries 0.93 Bharat Forge Ltd. Industrial Products 0.86 CESC Ltd. Power 0.85 D-Link (India) Ltd Hardware 0.84 Prestige Estates Projects Limited Construction 0.75 Techno Electric & Engineering Co Ltd. Construction Project 0.69 SKF India Ltd Industrial Products 0.53 UFO Moviez Limited Media and Entertainment 0.48 Power Grid Corporation Of India Ltd Power 0.47 Swaraj Engines Ltd Industrial Products 0.40 Tourism Finance Corporation of India Ltd. Finance Redm Preference Sh Zee Entertainment Enterprises Ltd Media and Entertainment 0.15 Arvind Infrastructure Ltd Construction Project 0.02 Listed/Awaiting Listing on Stock Exchange - Total Futures Power Grid Corporation Of India Ltd-SEP Futures (Market value represents Notional Value) - Total 0.11 TERM DEPOSITS Kotak Mahindra Bank Ltd Term Deposits - Total 0.52 Collateral Borrowing & Lending obligation 4.76 Net Current /(Liabilities) Systematic Investment Plan (SIP) If you had invested `5, 000 every month 1 year 3 years 5 years 10 years Since Inception 60,000 1,80,000 3,00,000 6,00,000 6,50,000 64,966 2,66,561 4,89,123 13,62,041 17,05, ,567 2,40,046 4,30,390 10,97,639 13,04, ,715 2,30,159 4,15,980 10,84,993 13,00, Inception : - September 09, The returns are calculated by XIRR approach assuming investment of `5,000/ - on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows and taking the time of investment into consideration. Since inception returns are assumed to be starting from the beginning of the subsequent month from the date of inception. # ; ^ Kotak Opportunities NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Banks Software Auto Ancillaries Petroleum Products Auto Pharmaceuticals Finance Consumer Non Durables Cement CBLO & Term Deposits & Rev.Repo Others Investors understand that their principal will be at moderately high risk Long term capital growth Investment in portfolio of predominantly equity & equity related securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 7

9 EQUITY SCHEMES KOTAK SELECT FOCUS FUND An Open - Ended Equity INVESTMENT STYLE Style Value Blend Growth Size Large Mid Small The investment objective of the scheme is to generate long-term capital appreciation from a portfolio of equity and equity related securities, generally focused on a few selected sectors. September 11, 2009 Fund Manager Mr. Harsha Upadhyaya CNX 200 AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 38.00% Beta: 1.01 ## Sharpe : 1.11 Standard Deviation : 15.29% Source: ICRA MFI Explorer. Beta, Standard Deviation & Sharpe Ratio are calculated on Annualised basis using 3 years history of monthly returns. ## Risk-free rate assumed to be 7.39% (3 months T-bill yield as on August 31, 2015) Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: I) For redemptions / switch outs (including SIP/STP) within 1 year from the date of allotment of units, irrespective of the amount of investment:1% ii) For redemptions / switch outs (including SIP/STP) after 1 year from the date of allotment of units, irrespective of the amount of investment: NIL iii) Any exit load charged (net off Service Tax, if any) shall be credited back to the respective. iv) Units issued on reinvestment of dividends shall not be subject to exit load Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Infosys Ltd. Software 5.33 HDFC Bank Ltd. Banks 4.85 Larsen And Toubro Ltd. Construction Project 4.15 Axis Bank Ltd Banks 3.63 Maruti Suzuki India Limited Auto 3.54 State Bank Of India Banks 3.16 ICICI Bank Ltd. Banks 3.06 Ultratech Cement Ltd. Cement 3 Max India Ltd. Finance 2.87 IndusInd Bank Ltd. Banks 2.53 HCL Technologies Ltd. Software 2.52 Britannia Industries Ltd. Consumer Non Durables 2.41 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 2.33 Shree Cement Ltd. Cement 2.30 Bharat Electronics Ltd Industrial Capital Goods 2.23 MRF Limited Auto Ancillaries 2.16 Tata Motors Ltd. Auto 2.14 Bajaj Finance Limited Finance 1.91 The Ramco Cements Ltd Cement 1.86 Hindustan Petroleum Corporation Ltd Petroleum Products 1.84 Colgate Palmolive (India ) Ltd. Consumer Non Durables 1.79 Bharat Petroleum Corporation Ltd. Petroleum Products 1.73 Ashok Leyland Ltd. Auto 1.70 Bosch Limited Auto Ancillaries 1.70 Federal Bank Ltd. Banks 1.63 Indraprastha Gas Ltd. Gas 1.61 Tech Mahindra Ltd. Software 1.58 ITC Ltd. Consumer Non Durables 1.48 Cadila Healthcare Ltd. Pharmaceuticals 1.44 Bank Of Baroda Banks 1.41 Container Corporation Notes: Term Deposit as provided above is towards margin for derivatives transactions Total Amount Invested SYSTEMATIC INVESTMENT PLAN (SIP) of India Ltd. Transportation 1.41 Hindustan Unilever Ltd. Consumer Non Durables 1.31 Petronet LNG Ltd. Gas 1.17 Arvind Ltd Textile Products 1.16 Jk Lakshmi Cement Ltd. Cement 1.16 Bajaj Finserv Ltd. Finance 1.10 Techno Electric & Engineering Co Ltd. Construction Project 0.82 IDFC Limited Finance 0.79 IFB Industries Ltd. Consumer Durables 0.72 Godrej Consumer Products Ltd. Consumer Non Durables 0.71 Lupin Ltd. Pharmaceuticals 0.71 Motherson Sumi Systems Ltd. Auto Ancillaries 0.55 Whirlpool of India Ltd. Consumer Durables 0.55 Apollo Tyres Ltd. Auto Ancillaries 0.54 AIA Engineering Limited Industrial Capital Goods 0.52 CESC Ltd. Power 0.41 Kirloskar Oil Engines Ltd. Industrial Products 0.37 INOX WIND LIMITED Power 0.35 Siemens Ltd. Industrial Capital Goods 0.34 Bayer Cropscience Ltd. Pesticides 0.31 Kec International Ltd. Power 0.30 Navkar Corporation Limited Transportation Redm Preference Sh Zee Entertainment Enterprises Ltd Media and Entertainment 0.03 Arvind Infrastructure Ltd Construction Project 0.02 Pneumatic Holdings Ltd Finance 0.01 Listed/Awaiting Listing on Stock Exchange - Total Futures CNX NIFTY-SEP CNX BANK INDEX-SEP Futures (Market value represents Notional Value) - Total 3.75 TERM DEPOSITS Standard Chartered Bank Ltd 1.22 Kotak Mahindra Bank Ltd Term Deposits - Total 1.95 Collateral Borrowing & Lending obligation 8.87 Net Current /(Liabilities) Systematic Investment Plan (SIP) If you had invested `5, 000 every month Total Value as on 30th June 2015 (`) Returns (%) CNX 200 (`)# CNX 200 Returns (%) CNX Nifty (`)^ CNX Nifty Returns (%) 1 year 3 years 5 years Since Inception 60,000 1,80,000 3,00,000 3,50,000 64,620 2,75,302 5,16,355 6,26, ,458 2,37,170 4,26,187 5,08, ,715 2,30,159 4,15,980 4,99, Inception : - September 11, The returns are calculated by XIRR approach assuming investment of `5,000/- on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows and taking the time of investment into consideration. Since inception returns are assumed to be starting from the beginning of the subsequent month from the date of inception. # ; ^ Kotak Select Focus Fund NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Banks Software Auto Ancillaries Construction Project Auto Pharmaceuticals Finance Consumer Non Durables Cement CBLO & Term Deposits & Rev.Repo Others Investors understand that their principal will be at moderately high risk Long term capital growth Investment in portfolio of predominantly equity & equity related securities generally focussed on a few selected sectors. * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 8

10 EQUITY SCHEMES KOTAK TAX SAVER An Open - Ended Equity Linked Savings INVESTMENT STYLE Style Value Blend Growth Size Large Mid Small To generate long-term capital appreciation from a diversified portfolio of equity and equity related securities and enable investors to avail the income tax rebate, as permitted from time to time. November 23, 2005 Fund Manager Mr. Harsha Upadhyaya CNX 500 AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 36.43% Beta: 1.11 ## Sharpe : 0.76 Standard Deviation : 16.86% Source: ICRA MFI Explorer. Beta, Standard Deviation & Sharpe Ratio are calculated on Annualised basis using 3 years history of monthly returns. ## Risk-free rate assumed to be 7.39% (3 months T-bill yield as on August 31, 2015) Initial Investment: `500 and in multiple of `500 Investment: `500 & in multiples of `500 Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: Exit Load is not applicable for Kotak Tax Saver. (applicable for all plans) Units issued on reinvestment of dividends shall not be subject to exit load (applicable for all plans) Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Infosys Ltd. Software 5.34 HDFC Bank Ltd. Banks 4.81 ICICI Bank Ltd. Banks 4.80 Axis Bank Ltd Banks 3.98 Larsen And Toubro Ltd. Construction Project 3.59 State Bank Of India Banks 3.40 Maruti Suzuki India Limited Auto 3.39 Whirlpool of India Ltd. Consumer Durables 2.78 Britannia Industries Ltd. Consumer Non Durables 2.68 Shree Cement Ltd. Cement 2.63 Bajaj Finance Limited Finance 2.55 IndusInd Bank Ltd. Banks 2.44 Bharat Petroleum Corporation Ltd.Petroleum Products 2.25 Tech Mahindra Ltd. Software 2.22 Hindustan Petroleum Corporation Ltd Petroleum Products 2.06 Ultratech Cement Ltd. Cement 2.06 ITC Ltd. Consumer Non Durables 1.88 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 1.83 SKF India Ltd Industrial Products 1.76 Hindustan Unilever Ltd. Consumer Non Durables 1.75 Reliance Industries Ltd. Petroleum Products 1.74 Techno Electric & Engineering Co Ltd. Construction Project 1.73 Federal Bank Ltd. Banks 1.67 MRF Limited Auto Ancillaries 1.64 HCL Technologies Ltd. Software 1.58 Lupin Ltd. Pharmaceuticals 1.57 Solar Industries India Limited Chemicals 1.57 Cadila Healthcare Ltd. Pharmaceuticals 1.54 Tata Motors Ltd. Auto 1.46 Bank Of Baroda Banks 1.41 Max India Ltd. Finance 1.38 Ashok Leyland Ltd. Auto 1.29 MBL Infrastructures Ltd. Construction 1.25 Cummins India Ltd. Industrial Products 1.23 Multi Commodity Exchange of India Limited Total Amount Invested SYSTEMATIC INVESTMENT PLAN (SIP) Finance 1.23 Bharat Forge Ltd. Industrial Products 1.19 Blue Dart Express Ltd. Transportation 1.18 Bosch Limited Auto Ancillaries 1.18 Container Corporation of India Ltd. Transportation 1.16 Arvind Ltd Textile Products 1.10 Adani Port and Special Economic Zone Limited Transportation 1.08 Navneet Education Ltd. Media and Entertainment 1.03 Colgate Palmolive (India ) Ltd. Consumer Non Durables 0.99 The Ramco Cements Ltd Cement 0.99 AIA Engineering Limited Industrial Capital Goods 0.93 Apollo Tyres Ltd. Auto Ancillaries 0.82 Texmaco Rail & Engineering Ltd. Industrial Capital Goods 0.77 UPL Ltd Pesticides 0.72 Hawkins Cooker Ltd Household Appliances 0.68 CMC Ltd. Software 0.61 IDFC Limited Finance 0.56 Kewal Kiran Clothing Limited. Textile Products 0.54 Thermax Ltd. Industrial Capital Goods 0.48 KSB Pump Ltd Industrial Products 0.47 Tourism Finance Corporation of India Ltd. Finance Redm Preference Sh Zee Entertainment Enterprises Ltd Media and Entertainment 0.14 The Indian Hotels Company Ltd - CCD Hotels 0.11 Listed/Awaiting Listing on Stock Exchange - Total Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Blue Dart Express Ltd ICRA AA 0.03 Corporate Debt/Financial Institutions - Total 0.03 Collateral Borrowing & Lending obligation 2.55 Net Current /(Liabilities) Systematic Investment Plan (SIP) If you had invested `5, 000 every month Total Value as on 30th June 2015 (`) Returns (%) CNX 500 (`)# CNX 500 Returns (%) CNX Nifty (`)^ CNX Nifty Returns (%) 1 year 3 years 5 years Since Inception 60,000 1,80,000 3,00,000 5,80,000 65,713 2,66,471 4,77,565 11,26, ,567 2,40,046 4,30,390 10,30, ,715 2,30,159 4,15,980 10,13, Inception : - November 23, The returns are calculated by XIRR approach assuming investment of `5,000/- on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows and taking the time of investment into consideration. Since inception returns are assumed to be starting from the beginning of the subsequent month from the date of inception. # ; ^ Kotak Tax Saver NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Banks Software Pharmaceuticals Consumer Non Durables Petroleum Products Cement Finance Construction Project Industrial Products Others Auto Investors understand that their principal will be at moderately high risk long term capital growth with a 3 year lock in Investment in portfolio of predominantly equity & equity related securities. * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 9

11 EQUITY SCHEMES KOTAK MID-CAP An Open - Ended Equity Growth INVESTMENT STYLE Style Value Blend Growth Size Large Mid Small To generate capital appreciation from a diversified portfolio of equity and equity related securities. February 24, 2005 Fund Manager Mr. Pankaj Tibrewal CNX Midcap AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 66.91% Beta: 1.01 ## Sharpe : 1.03 Standard Deviation : 19.18% Source: ICRA MFI Explorer. Beta, Standard Deviation & Sharpe Ratio are calculated on Annualised basis using 3 years history of monthly returns. ## Risk-free rate assumed to be 7.39% (3 months T-bill yield as on August 31, 2015) Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: I) For redemptions / switch outs (including SIP/STP) within 1 year from the date of allotment of units, irrespective of the amount of investment:1% ii) For redemptions / switch outs (including SIP/STP) after 1 year from the date of allotment of units, irrespective of the amount of investment: NIL iii) Any exit load charged (net off Service Tax, if any) shall be credited back to the. iv) Units issued on reinvestment of dividends shall not be subject to exit load Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Techno Electric & Engineering Co Ltd. Construction Project 5.64 IndusInd Bank Ltd. Banks 3.10 Atul Ltd. Chemicals 2.87 Persistent Systems Limited Software 2.71 Finolex Cables Ltd. Industrial Products 2.53 The Ramco Cements Ltd Cement 2.53 Federal Bank Ltd. Banks 2.44 Whirlpool of India Ltd. Consumer Durables 2.35 Solar Industries India Limited Chemicals 2.25 Cadila Healthcare Ltd. Pharmaceuticals 2.24 Torrent Pharmaceuticals Ltd. Pharmaceuticals 2.23 MRF Limited Auto Ancillaries 2.22 Supreme Industries Limited Industrial Products 2.19 DB Corp Limited Media and Entertainment 2.16 Britannia Industries Ltd. Consumer Non Durables 2.13 JK Cement Ltd. Cement 2.07 Kewal Kiran Clothing Limited. Textile Products 2.07 Shriram Transport Finance Co Ltd. Finance 1.99 ICICI Bank Ltd. Banks 1.98 Hawkins Cooker Ltd Household Appliances 1.92 HSIL Ltd. Consumer Durables 1.84 SRF Ltd. Textile Products 1.81 Strides Arcolab Ltd. Pharmaceuticals 1.77 PVR Ltd. Media and Entertainment 1.74 Kansai Nerolac Paints Ltd Consumer Non Durables 1.73 Motherson Sumi Systems Ltd. Auto Ancillaries 1.72 Divi s Laboratories Limited Pharmaceuticals 1.62 Tube Investments of India Ltd. Consumer Durables 1.62 Axis Bank Ltd Banks 1.61 MBL Infrastructures Ltd. Construction 1.55 NIIT Technologies Ltd Software 1.54 Bharat Petroleum Corporation Ltd. Petroleum Products 1.52 Total Amount Invested Total Value as on 30th June 2015 (`) Returns (%) CNX Midcap (`)# CNX Midcap Returns (%) CNX Nifty (`)^ CNX Nifty Returns (%) SYSTEMATIC INVESTMENT PLAN (SIP) Fag Bearings India Ltd. Industrial Products 1.52 Bajaj Finance Limited Finance 1.51 Arvind Ltd Textile Products 1.46 Navneet Education Ltd. Media and Entertainment 1.43 Adani Port and Special Economic Zone Limited Transportation 1.36 Bank Of Baroda Banks 1.36 Jubilant Foodworks Limited Consumer Non Durables 1.34 Bharat Forge Ltd. Industrial Products 1.31 LIC Housing Finance Ltd. Finance 1.27 Va Tech Wabag Limited Engineering Services 1.26 WPIL Ltd Industrial Products 1.21 Voltas Ltd. Construction Project 1.17 Zuari Agro Chemicals Ltd Fertilisers 1.16 UPL Ltd Pesticides 1.06 Yes Bank Ltd Banks 1.05 Union Bank Of India Banks 1.02 Tech Mahindra Ltd. Software 1 INOX WIND LIMITED Power 0.96 Mahindra & Mahindra Financial Services Ltd. Finance 0.94 Jk Lakshmi Cement Ltd. Cement 0.91 SKF India Ltd Industrial Products 0.86 Havells India Ltd. Consumer Durables 0.85 Power Mech Projects Ltd Power 0.65 Shree Cement Ltd. Cement 0.62 Arvind Infrastructure Ltd Construction Project 0.03 Listed/Awaiting Listing on Stock Exchange - Total TERM DEPOSITS Standard Chartered Bank Ltd 0.85 Term Deposits - Total 0.85 Collateral Borrowing & Lending obligation 1.18 Net Current /(Liabilities) 0.97 Systematic Investment Plan (SIP) If you had invested `5, 000 every month 1 year 3 years 5 years 10 years Since Inception 60,000 1,80,000 3,00,000 6,00,000 6,25,000 66,455 2,96,289 5,49,193 14,55,677 15,81, ,896 2,64,863 4,65,217 12,43,720 13,53, ,715 2,30,159 4,15,980 10,85,011 11,87, Inception : - February 24,2005. The returns are calculated by XIRR approach assuming investment of `5,000/- on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows and taking the time of investment into consideration. Since inception returns are assumed to be starting from the beginning of the subsequent month from the date of inception. # ; ^ Kotak Mid-cap NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Banks Industrial Products Consumer Durables Pharmaceuticals Cement Finance Textile Products Construction Project Media & Entertainment Software Others Midcap and Small cap stocks as a % age of Net : 85.53% Investors understand that their principal will be at moderately high risk Long term capital growth Investment in equity & equity related securities predominantly in mid cap stocks. * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 10

12 EQUITY SCHEMES KOTAK EMERGING EQUITY An Open - Ended Equity Growth INVESTMENT STYLE Style Value Blend Growth Size Large Mid Small The investment objective of the scheme is to generate long-term capital appreciation from a portfolio of equity and equity related securities, by investing predominantly in mid and small cap companies. March 30, 2007 Fund Manager Mr. Pankaj Tibrewal S&P BSE Midcap (w.e.f August 1, 2015 benchmark will be S&P BSE MID SMALL CAP) AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 41.69% Beta: 1.03 ## Sharpe : 1.17 Standard Deviation : 19.07% Source: ICRA MFI Explorer. Beta, Standard Deviation & Sharpe Ratio are calculated on Annualised basis using 3 years history of monthly returns. ## Risk-free rate assumed to be 7.39% (3 months T-bill yield as on August 31, 2015) Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: i) For redemptions / switch outs (including SIP/STP) within 1 year from the date of allotment of units, irrespective of the amount of investment: 1%. ii) For redemption/switch outs (including SIP/STP) after 1 year from the date of allotment of units, irrespective of the amount of investment: Nil. Note Any exit load charged (net off Service Tax, if any) shall be credited back to the respective scheme. Units issued on reinvestment of dividends shall not be subject to entry and exit load. Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Whirlpool of India Ltd. Consumer Durables 3.62 IndusInd Bank Ltd. Banks 3.32 The Ramco Cements Ltd Cement 2.96 Persistent Systems Limited Software 2.74 Torrent Pharmaceuticals Ltd. Pharmaceuticals 2.44 Solar Industries India Limited Chemicals 2.40 Shriram City Union Finance Ltd. Finance 2.36 V-Guard Industries Ltd. Industrial Capital Goods 2.34 Strides Arcolab Ltd. Pharmaceuticals 2.32 Federal Bank Ltd. Banks 2.16 Navneet Education Ltd. Media and Entertainment 2.07 Hawkins Cooker Ltd Household Appliances 2.06 PNC INFRATECH LIMITED Construction Project 2.06 PVR Ltd. Media and Entertainment 2.02 DB Corp Limited Media and Entertainment 1.95 MBL Infrastructures Ltd. Construction 1.94 Finolex Cables Ltd. Industrial Products 1.88 Kewal Kiran Clothing Limited. Textile Products 1.85 Ramkrishna Forgings Ltd. Industrial Products 1.82 Supreme Industries Limited Industrial Products 1.81 Britannia Industries Ltd. Consumer Non Durables 1.73 Rural Electrification Corporation Ltd Finance 1.70 Atul Ltd. Chemicals 1.58 Max India Ltd. Finance 1.57 D-Link (India) Ltd Hardware 1.53 Greaves Cotton Ltd. Industrial Products 1.51 Bajaj Finance Limited Finance 1.49 Jk Lakshmi Cement Ltd. Cement 1.49 Blue Dart Express Ltd. Transportation 1.46 Finolex Industries Ltd. Industrial Products 1.35 Oberoi Realty Ltd Construction 1.32 WPIL Ltd Industrial Products 1.32 IFB Industries Ltd. Consumer Durables 1.25 Va Tech Wabag Limited Engineering Services 1.24 Divi s Laboratories Limited Pharmaceuticals 1.22 Kirloskar Brothers Ltd. Industrial Products 1.20 Total Amount Invested SYSTEMATIC INVESTMENT PLAN (SIP) Zuari Agro Chemicals Ltd Fertilisers 1.18 Bank Of Baroda Banks 1.17 Biocon Ltd. Pharmaceuticals 1.06 Shree Cement Ltd. Cement 1.05 Yes Bank Ltd Banks 1.04 ICICI Bank Ltd. Banks 1.03 WABCO India Ltd. Auto Ancillaries 0.96 Amara Raja Batteries Ltd. Auto Ancillaries 0.95 SKF India Ltd Industrial Products 0.95 Motherson Sumi Systems Ltd. Auto Ancillaries 0.94 Maharashtra Seamless Ltd. Ferrous Metals 0.88 Carborundum Universal Ltd. Industrial Products 0.87 Mahindra & Mahindra Financial Services Ltd. Finance 0.84 GMM Pfaudler Ltd. Engineering 0.82 Marksans Pharma Ltd Pharmaceuticals 0.80 Coromandel International Ltd. Fertilisers 0.77 Multi Commodity Exchange of India Limited Finance 0.75 KPIT Technologies LImited Software 0.70 SRF Ltd. Textile Products 0.70 Power Mech Projects Ltd Power 0.69 Pennar Engineered Building Systems Limited Engineering 0.66 Bharat Electronics Ltd Industrial Capital Goods 0.65 Fag Bearings India Ltd. Industrial Products 0.64 Alembic Pharmaceuticals Ltd. Pharmaceuticals 0.62 National Buildings Construction Corporation Limited Construction 0.50 Listed/Awaiting Listing on Stock Exchange - Total Futures Century Textiles & Industries Ltd.-SEP Axis Bank Ltd-SEP IDFC Limited-SEP Futures (Market value represents Notional Value) -Total 2.62 Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Blue Dart Express Ltd ICRA AA 0.01 Corporate Debt/Financial Institutions - Total 0.01 TERM DEPOSITS Standard Chartered Bank Ltd 0.53 Term Deposits - Total 0.53 Collateral Borrowing & Lending obligation 7.02 Net Current /(Liabilities) Systematic Investment Plan (SIP) If you had invested `5, 000 every month Total Value as on 30th June 2015 (`) Returns (%) S&P BSE Midc ap (`)# S&P BSE Midc ap Returns (%) CNX Nifty (`)^ CNX Nifty Returns (%) 1 year 3 years 5 years Since Inception 60,000 1,80,000 3,00,000 5,00,000 67,605 3,17,910 5,91,715 11,61, ,364 2,63,631 4,76,516 9,62, ,715 2,30,159 4,15,980 8,09, Inception : - March 30, The returns are calculated by XIRR approach assuming investment of `5,000/- on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows and taking the time of investment into consideration. Since inception returns are assumed to be starting from the beginning of the subsequent month from the date of inception. # ; ^ Kotak Emerging Equity NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Industrial Products Pharmaceuticals Banks Consumer Durables Finance Cement Media and Entertainment Construction Others Chemicals CBLO & Term Deposits & Rev. RepoAncillaries Midcap and Small cap stocks as a % age of Net : 89.27% Investors understand that their principal will be at moderately high risk Long term capital growth Investment in equity & equity related securities predominantly in mid & small cap companies * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 11

13 EQUITY SCHEMES KOTAK INFRASTRUCTURE & ECONOMIC REFORM FUND (formerly known as PineBridge Infrastructure & Economic Reform Fund ) An Open - Ended Equity INVESTMENT STYLE Style Value Blend Growth Size Large Mid Small The investment objective of the is to generate long-term capital appreciation f ro m a d i v e r s i f i e d p o r t f o l i o o f predominantly (at least 65%) equity and equity-related securities of companies involved in economic development of India as a result of potential investments in infrastructure and unfolding economic reforms. There is no assurance that the investment objective of the will be achieved. February 25, 2008 Fund Manager Mr. Harish Krishnan S&P BSE 100 AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 47.19% Beta: 1.42 Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Kirloskar Oil Engines Ltd. Industrial Products 9.12 Shree Cement Ltd. Cement 8.92 Larsen And Toubro Ltd. Construction Project 7.53 Bharti Airtel Ltd. Telecom - Services 7.09 Indraprastha Gas Ltd. Gas 7.03 Thermax Ltd. Industrial Capital Goods 6.24 SKF India Ltd Industrial Products 5.99 Ultratech Cement Ltd. Cement 5.77 KSB Pump Ltd Industrial Products 5.59 Cummins India Ltd. Industrial Products 5.15 Power Grid Corporation Of India Ltd Power 3.94 Supreme Industries Limited Industrial Products 3.61 AIA Engineering Limited Industrial Capital Goods 3.12 Fag Bearings India Ltd. Industrial Products 3.07 MRF Limited Auto Ancillaries 3.05 Tata Motors Ltd - DVR Auto 2.60 MBL Infrastructures Ltd. Construction 2.22 IDFC Limited Finance 2.14 Adani Port and Special Economic Zone Limited Transportation 1.88 Kajaria Ceramics Ltd. Construction 1.82 Container Corporation of India Ltd. Transportation 1.57 Gateway Distriparks Ltd. Transportation 1.36 Pneumatic Holdings Ltd Finance 0.17 Listed/Awaiting Listing on Stock Exchange - Total Collateral Borrowing & Lending obligation 0.68 Net Current /(Liabilities) 0.34 ## Sharpe : 0.71 Standard Deviation : 20.95% Source: ICRAMFI Explorer. Beta, Standard Deviation &Sharpe Ratio are calculated onannualised basis using 3 years history of monthly returns. ## Risk-free rate assumed to be 7.39% (3 months T-bill yield as on August 31, 2015) Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: I) For redemptions / switch outs (including SIP/STP) within 1 year from the date of allotment of units, irrespective of the amount of investment 1%; ii) For redemptions / switch outs (including SIP/STP) after 1 year from the date of allotment of units, irrespective of the amount of investment NIL; iii) Any exit load charged (net off Service Tax, if any) shall be credited back to the ; iv) Units issued on reinvestment of dividends shall not be subject to entry and exit load. Total Amount Invested SYSTEMATIC INVESTMENT PLAN (SIP) Systematic Investment Plan (SIP) If you had invested `5, 000 every month Total Value as on 30th June 2015 (`) Returns (%) S&P BSE 100 (`)# S&P BSE 100 Returns (%) CNX Nifty (`)^ CNX Nifty Returns (%) 1 year 3 years 5 years Since Inception 60,000 1,80,000 3,00,000 4,45,000 64,439 2,86,109 4,93,866 8,26, ,707 2,31,872 4,17,786 7,13, ,715 2,30,159 4,15,980 7,09, Inception : - February 25, The returns are calculated by XIRR approach assuming investment of `5,000/- on the 1st working day of every month. XIRR helps in calculating return on investments given an initial and final value and a series of cash inflows and outflows and taking the time of investment into consideration. Since inception returns are assumed to be starting from the beginning of the subsequent month from the date of inception. # ; ^ Kotak Infrastructure & Economic Reform Fund NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Industrial Products Cement Power Industrial Capital Goods Telecom - Services Gas Transportation Construction Project Construction Auto Ancillaries Others Investors understand that their principal will be at high risk Long term capital growth Long term capital appreciation by investing in equity and equity related instruments of companies contributing to infrastructure and economic development of India * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 12

14 EQUITY SCHEMES KOTAK BALANCE An Open - Ended Balanced INVESTMENT STYLE Style Maturity Value Blend Growth Size Large Mid Small Short Medium Long Volatility Medium To achieve growth by investing in equity & equity related instruments, balanced with income generation by investing in debt &money market instruments. November 25, 1999 Fund Managers Mr. Pankaj Tibrewal and Mr. Abhishek Bisen Crisil Balanced Fund AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Half Yearly (25th of Mar/Sep) Ratios Portfolio Turnover: % Beta: 1.01 ## Sharpe : 0.71 Standard Deviation : 10.13% Source: ICRA MFI Explorer. Beta, Standard Deviation & Sharpe Ratio are calculated on Annualised basis using 3 years history of monthly returns. ## Risk-free rate assumed to be 7.39% (3 months T-bill yield as on August 31, 2015) Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: I) For redemptions / switch outs (including SIP/STP) within 1 year from the date of allotment of units, irrespective of the amount of investment:1% ii) For redemptions / switch outs (including SIP/STP) after 1 year from the date of allotment of units, irrespective of the amount of investment: NIL iii) Any exit load charged (net off Service Tax, if any) shall be credited back to the respective. iv) Units issued on reinvestment of dividends shall not be subject to exit load Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Infosys Ltd. Software 4.98 HDFC Bank Ltd. Banks 4.58 ICICI Bank Ltd. Banks 4.28 Larsen And Toubro Ltd. Construction Project 4.28 HDFC Ltd. Finance 3.44 Maruti Suzuki India Limited Auto 3.17 Axis Bank Ltd Banks 2.51 HCL Technologies Ltd. Software 2.18 Tata Consultancy Services Ltd. Software 2.08 IndusInd Bank Ltd. Banks 2 Hindustan Unilever Ltd. Consumer Non Durables 1.89 Reliance Industries Ltd. Petroleum Products 1.69 The Ramco Cements Ltd Cement 1.65 IDFC Limited Finance 1.64 Tata Motors Ltd. Auto 1.59 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 1.54 Ultratech Cement Ltd. Cement 1.51 Lupin Ltd. Pharmaceuticals 1.41 ITC Ltd. Consumer Non Durables 1.24 Ahluwalia Contracts (India) Ltd. Cement 1.15 MBL Infrastructures Ltd. Construction 1.05 Voltas Ltd. Construction Project 1.02 PNC INFRATECH LIMITED Construction Project 0.97 Cairn India Limited Oil 0.95 UPL Ltd Pesticides 0.90 JK Cement Ltd. Cement 0.82 Hero MotoCorp Ltd. Auto 0.80 Bank Of Baroda Banks 0.79 Mahindra & Mahindra Ltd. Auto 0.75 Ramkrishna Forgings Ltd. Industrial Products 0.75 Amara Raja Batteries Ltd. Auto Ancillaries 0.73 Colgate Palmolive (India ) Ltd. Consumer Non Durables 0.69 Federal Bank Ltd. Banks 0.69 Bharti Airtel Ltd. Telecom - Services 0.65 Idea Cellular Ltd. Telecom - Services 0.65 State Bank Of India Banks 0.65 Britannia Industries Ltd. Consumer Non Durables 0.63 Cadila Healthcare Ltd. Pharmaceuticals 0.61 Coal India Ltd. Minerals/Mining 0.61 Tech Mahindra Ltd. Software 0.60 Gujarat State Petronet Ltd. Gas 0.42 Tata Motors Ltd - DVR Auto 0.42 Bharat Heavy Electricals Ltd. Industrial Capital Goods 0.41 Cipla Ltd. Pharmaceuticals 0.40 Oil & Natural Gas Corporation Ltd. Oil 0.40 Wipro Ltd. Software 0.38 Yes Bank Ltd Banks 0.38 Power Mech Projects Ltd Power 0.32 Finolex Cables Ltd. Industrial Products 0.27 Container Corporation of India Ltd. Transportation 0.19 Tata Steel Limited. Ferrous Metals 0.18 Hindalco Industries Ltd Non - Ferrous Metals 0.16 Hindustan Zinc Ltd. Non - Ferrous Metals 0.13 Rural Electrification Corporation Ltd Finance 0.13 Power Finance Corporation Ltd. Finance 0.12 MOIL Limited Minerals/Mining 0.11 Kansai Nerolac Paints Ltd Consumer Non Durables 0.06 The Indian Hotels Company Ltd - CCD Hotels 0.04 Listed/Awaiting Listing on Stock Exchange - Total Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions LIC Housing Finance Ltd. CRISIL AAA 0.20 Tata Sons Ltd. CRISIL AAA 0.08 Corporate Debt/Financial Institutions - Total 0.28 Public Sector Undertakings Rural Electrification Corporation Ltd. CRISIL AAA 0.17 Public Sector Undertakings - Total 0.17 Government Dated Securities 9.2 Central Government SOV Central Government SOV Central Government SOV Central Government SOV Central Government SOV 2.38 Government Dated Securities - Total TERM DEPOSITS Notes: Term Deposit as provided above is towards margin for derivatives transactions Standard Chartered Bank Ltd 4.67 Kotak Mahindra Bank Ltd.# 0.78 Term Deposits - Total 5.45 Collateral Borrowing & Lending obligation 1.63 Net Current /(Liabilities) 0.10 Kotak Balance NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Government Dated Securities Pharmaceuticals Banks Software CBLO & Term Deposits & Rev.Repo Finance Consumer Non Durables Auto Cement Construction Project Others Investors understand that their principal will be at moderately high risk Long term capital growth Investment in equity & equity related securities balanced with income generation by investing in debt & money market instruments * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 13

15 EQUITY SCHEMES KOTAK EQUITY ARBITRAGE An Open - Ended Equity Growth INVESTMENT STYLE Style Maturity Value Blend Growth Size Large Mid Small Short Medium Long Volatility Medium The investment objective of the scheme is to generate capital appreciation and income by predominantly investing in arbitrage opportunities in the cash and derivatives segment of the equity market, and by investing the balance in debt and money market instruments. September 29, 2005 Fund Manager Mr. Deepak Gupta Crisil Liquid Fund AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Monthly (Monday preceding the last Thursday of the month), Bimonthly (Monday preceding the last Thursday of the following months - January, March, May, July, September, November) Ratio Portfolio Turnover: % Beta: 1.03 ## Sharpe : 2.03 Standard Deviation : 0.53% Source: ICRA MFI Explorer. Beta, Standard Deviation & Sharpe Ratio are calculated on Annualised basis using 3 years history of monthly returns. ## Risk-free rate assumed to be 7.39% (3 months T-bill yield as on August 31, 2015) Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 3 months & above Entry Load: Nil. Exit Load: I) For redemptions/switch outs (including STP/SWP) within 90 days from the date of allotment of units, irrespective of the amount of investment: 0.50% II) For redemptions/switch outs (including STP/SWP) within 90 days from the date of allotment of units, irrespective of the amount of investment: Nil Note - 1) Any exit load charged (net off Service Tax, if any ) shall be credited back to the. 2) Units issued on reinvestment of dividends shall not be subject to exit load (applicable for all plans), (w.e.f. April 8, 2013) % to Net - Derivatives Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Hedged Reliance Industries Ltd. Petroleum Products Infosys Ltd. Software Cipla Ltd. Pharmaceuticals Axis Bank Ltd Banks HDFC Ltd. Finance ITC Ltd. Consumer Non Durables Aurobindo Pharma Ltd. Pharmaceuticals Yes Bank Ltd Banks HDFC Bank Ltd. Banks Eicher Motors Ltd Auto ICICI Bank Ltd. Banks Maruti Suzuki India Limited Auto Hindustan Petroleum Corporation Ltd Petroleum Products Vedanta Ltd. Minerals/Mining JSW Steel Ltd. Ferrous Metals Britannia Industries Ltd. Consumer Non Durables Ultratech Cement Ltd. Cement Rural Electrification Corporation Ltd Finance Larsen And Toubro Ltd. Construction Project SKS Microfinance Limited Finance Tata Global Beverages Limited Consumer Non Durables Tata Motors Ltd - DVR Auto Hindustan Unilever Ltd. Consumer Non Durables UPL Ltd Pesticides Dewan Housing Finance Corporation Ltd. Finance LIC Housing Finance Ltd. Finance Tata Consultancy Services Ltd. Software Sun TV Limited. Media and Entertainment Reliance Capital Ltd. Finance Wockhardt Ltd. Pharmaceuticals Tech Mahindra Ltd. Software Colgate Palmolive (India ) Ltd. Consumer Non Durables Ambuja Cements Ltd Cement State Bank Of India Banks Tata Chemicals Ltd. Chemicals Adani Port and Special Economic Zone Limited Transportation Century Textiles & Industries Ltd. Cement Tata Communications Ltd Telecom - Services Adani Power Ltd Power Bharat Petroleum Corporation Ltd. Petroleum Products Shriram Transport Finance Co Ltd. Finance Dish TV India Ltd. Media and Entertainment Lupin Ltd. Pharmaceuticals Tata Steel Limited. Ferrous Metals Oracle Financial Services Software Ltd Software Motherson Sumi Systems Ltd. Auto Ancillaries Oil & Natural Gas Corporation Ltd. Oil L&T Finance Holdings Ltd Finance Bharat Electronics Ltd Industrial Capital Goods Bharti Airtel Ltd. Telecom - Services Karnataka Bank Ltd Banks Dr Reddys Laboratories Ltd Pharmaceuticals Just Dial Limited Software Indian Oil Corporation Ltd Petroleum Products Bank Of Baroda Banks Dabur India Ltd Consumer Non Durables Divi s Laboratories Limited Pharmaceuticals Federal Bank Ltd. Banks Biocon Ltd. Pharmaceuticals Siemens Ltd. Industrial Capital Goods Zee Entertainment Enterprises Ltd Media and Entertainment Ajanta Pharma Ltd. Pharmaceuticals Ashok Leyland Ltd. Auto Reliance Power Ltd Power Jain Irrigation Systems Ltd. Industrial Products MRF Limited Auto Ancillaries National Thermal Power Corporation Limited Power Union Bank Of India Banks India Cements Ltd. Cement Mahindra & Mahindra Ltd. Auto Oriental Bank of Commerce Banks Indraprastha Gas Ltd. Gas IRB Infrastructure Developers Ltd Construction Power Finance Corporation Ltd. Finance Bosch Limited Auto Ancillaries UCO Bank Banks Pidilite Industries Ltd. Chemicals Asian Paints Ltd. Consumer Non Durables NHPC Limited Power Coal India Ltd. Minerals/Mining IFCI Ltd. Finance Punjab National Bank Banks Castrol (India ) Ltd. Petroleum Products Hexaware Technologies Ltd. Software Canara Bank Banks Hero MotoCorp Ltd. Auto

16 EQUITY SCHEMES KOTAK EQUITY ARBITRAGE An Open - Ended Equity Growth % to Net - Derivatives Housing Development and Infrastructure Limited Construction Idea Cellular Ltd. Telecom - Services Reliance Communications Ltd. Telecom - Services Amara Raja Batteries Ltd. Auto Ancillaries HCL Technologies Ltd. Software DLF Limited Construction Page Industries Ltd Textile Products SRF Ltd. Textile Products Andhra Bank Banks CEAT Ltd. Auto Ancillaries Jindal Steel & Power Ltd. Ferrous Metals United Breweries Ltd. Consumer Non Durables Industrial Development Bank of India Ltd. Banks Syndicate Bank Banks The South Indian Bank Ltd. Banks Engineers India Ltd. Construction Project Adani Enterprises Ltd Trading Indiabulls Real Estate Ltd Construction Kotak Mahindra Bank Ltd. Banks Kaveri Seed Company Ltd. Consumer Non Durables Grasim Industries Ltd. Cement Hindustan Zinc Ltd. Non - Ferrous Metals Oil India Limited Oil Unitech Ltd Construction Apollo Hospitals Enterprises Ltd. Healthcare Services Tata Power Co. Ltd. Power Bajaj Auto Ltd. Auto CESC Ltd. Power Hindalco Industries Ltd Non - Ferrous Metals Amtek Auto Ltd. Auto Ancillaries Bajaj Finance Limited Finance Jubilant Foodworks Limited Consumer Non Durables Mcleod Russel India Ltd Consumer Non Durables Power Grid Corporation Of India Ltd Power Aditya Birla Nuvo Limited Services Arvind Ltd Textile Products Strides Arcolab Ltd. Pharmaceuticals Wipro Ltd. Software Hedged - Total Listed/Awaiting Listing on Stock Exchange - Total Mutual Fund Units Kotak Liquid Plan A Mutual Fund Units Mutual Fund Units - Total TERM DEPOSITS Kotak Mahindra Bank Ltd IndusInd Bank Ltd Ratnakar Bank Ltd 1.83 Term Deposits - Total Collateral Borrowing & Lending obligation 0.52 Net Current /(Liabilities) 3.09 Notes: Term Deposit as provided above is towards margin for derivatives transactions Kotak Equity Arbitrage NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option), ` (Bimonthly Option), ` (Direct Bimonthly Option) SECTOR ALLOCATION (%) Mutual Fund Units CBLO & Term Deposits & Rev.Repo Banks Pharmaceuticals Finance Auto Petroleum Products Cement Consumer Non Durables Software Others Investors understand that their principal will be at moderately low risk Income from arbitrage opportunities in the equity market Investment in arbitrage opportunities in the cash & derivatives segment of the equity market. * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 15

17 EQUITY SCHEMES KOTAK EQUITY SAVINGS FUND An Open Ended Equity Fund INVESTMENT STYLE Style Maturity Value Blend Growth Size Large Mid Small Short Medium Long Volatility Medium The investment objective of the scheme is to generate capital appreciation and income by predominantly investing in arbitrage opportunities in the cash and derivatives segment of the equity market, and enhance returns with a moderate exposure in equity & equity related instruments. There is no assurance or guarantee that the investment objective of the scheme will be achieved. October 13, 2014 Fund Managers Mr. Deepak Gupta & Mr. Abhishek Bisen 75% of Crisil Liquid Fund & 25% in CNX Nifty AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Monthly (12th of every month) Quarterly (20th of March, June, September and December of every year) Ratios Portfolio Turnover: % Beta: 0.81 ## Sharpe : Standard Deviation : 3.23% Source: ICRAMFI Explorer. Beta, Standard Deviation & Sharpe Ratio are calculated on Annualised basis using 3 years history of monthly returns. ## Risk-free rate assumed to be 7.39% (3 months T-bill yield as on August 31, 2015) Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 for purchase and for `0.01 for switches Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: I) For exit within 1 year from date of allotment of units: 1%; ii) For exit after 1year from the date of allotment of units: Nil. Any exit load charged (net off Service Tax, if any) shall be credited back to the. iii) Units issued on reinvestment of dividends shall not be subject to entry and exit load. % to Net - Derivatives Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Non-Hedge CNX NIFTY-SEP Strides Arcolab Ltd. Pharmaceuticals Tata Consultancy Services Ltd. Software CMC Ltd. Software 4.89 HDFC Bank Ltd. Banks 1.72 Lupin Ltd. Pharmaceuticals 1.55 Maruti Suzuki India Limited Auto 1.44 HCL Technologies Ltd. Software 1.29 Infosys Ltd. Software 1.27 Shasun Pharmaceuticals Ltd. Pharmaceuticals 1.24 IndusInd Bank Ltd. Banks 1.22 Dr Reddys Laboratories Ltd Pharmaceuticals 1.09 Bharat Petroleum Corporation Ltd. Petroleum Products 1.05 Bosch Limited Auto Ancillaries 0.93 Hindustan Unilever Ltd. Consumer Non Durables 0.84 Axis Bank Ltd Banks 0.81 Bharti Airtel Ltd. Telecom - Services 0.69 Larsen And Toubro Ltd. Construction Project 0.66 Britannia Industries Ltd. Consumer Non Durables 0.60 ICICI Bank Ltd. Banks 0.55 Tata Motors Ltd. Auto 0.47 Bajaj Finance Limited Finance 0.46 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 0.46 Emami Ltd. Consumer Non Durables 0.44 Coal India Ltd. Minerals/Mining 0.43 Idea Cellular Ltd. Telecom - Services 0.38 Eicher Motors Ltd Auto 0.36 State Bank Of India Banks 0.35 Sun Pharma Advance Research Co.Ltd Pharmaceuticals 0.34 Bharti Infratel Ltd. Telecom - Equipment & Accessories 0.32 Cipla Ltd. Pharmaceuticals 0.31 HDFC Ltd. Finance 0.30 Zee Entertainment Enterprises Ltd Media and Entertainment 0.29 Reliance Industries Ltd. Petroleum Products 0.28 Bajaj Finserv Ltd. Finance 0.27 Marico Ltd. Consumer Non Durables 0.23 Dish TV India Ltd. Media and Entertainment 0.22 Bajaj Auto Ltd. Auto 0.20 Yes Bank Ltd Banks 0.20 Ashok Leyland Ltd. Auto 0.18 UPL Ltd Pesticides 0.17 Asian Paints Ltd. Consumer Non Durables 0.16 ITC Ltd. Consumer Non Durables 0.16 Glenmark Pharmaceuticals Ltd Pharmaceuticals 0.15 Power Grid Corporation Of India Ltd Power 0.14 Cadila Healthcare Ltd. Pharmaceuticals 0.12 LIC Housing Finance Ltd. Finance 0.11 Shriram Transport Finance Co Ltd. Finance 0.11 Bank Of Baroda Banks 0.10 Hindustan Petroleum Corporation Ltd Petroleum Products 0.10 Bharat Electronics Ltd Industrial Capital Goods 0.09 Aurobindo Pharma Ltd. Pharmaceuticals 0.08 Bharat Forge Ltd. Industrial Products 0.08 National Buildings Construction Corporation Limited Construction 0.07 Tech Mahindra Ltd. Software 0.07 Pidilite Industries Ltd. Chemicals 0.05 Ultratech Cement Ltd. Cement 0.05 Just Dial Limited Software 0.04 Oracle Financial Services Software Ltd Software 0.04 Container Corporation of India Ltd. Transportation 0.03 Motherson Sumi Systems Ltd. Auto Ancillaries 0.03 Voltas Ltd. Construction Project 0.01 Non-Hedged- Total Hedged HDFC Bank Ltd. Banks Tata Communications Ltd Telecom - Services Reliance Capital Ltd. Finance Jain Irrigation Systems Ltd. Industrial Products ITC Ltd. Consumer Non Durables Power Finance Corporation Ltd. Finance Yes Bank Ltd Banks Dr Reddys Laboratories Ltd Pharmaceuticals Tata Chemicals Ltd. Chemicals Century Textiles & Industries Ltd. Cement SKS Microfinance Limited Finance Strides Arcolab Ltd. Pharmaceuticals Reliance Infrastructure Ltd Power Tata Consultancy Services Ltd. Software UCO Bank Banks IFCI Ltd. Finance HDFC Ltd. Finance Eicher Motors Ltd Auto Axis Bank Ltd Banks Aurobindo Pharma Ltd. Pharmaceuticals NHPC Limited Power Maruti Suzuki India Limited Auto Oracle Financial Services Software Ltd Software Cipla Ltd. Pharmaceuticals Hindustan Unilever Ltd. Consumer Non Durables Castrol (India ) Ltd. Petroleum Products Reliance Industries Ltd. Petroleum Products IRB Infrastructure Developers Ltd Construction

18 EQUITY SCHEMES KOTAK EQUITY SAVINGS FUND An Open Ended Equity Fund % to Net - Derivatives L&T Finance Holdings Ltd Finance Adani Power Ltd Power UPL Ltd Pesticides Sun TV Limited. Media and Entertainment Syndicate Bank Banks Bank Of Baroda Banks Adani Enterprises Ltd Trading Dabur India Ltd Consumer Non Durables Oil & Natural Gas Corporation Ltd. Oil Dewan Housing Finance Corporation Ltd. Finance Britannia Industries Ltd. Consumer Non Durables Tata Global Beverages Limited Consumer Non Durables Andhra Bank Banks Bharat Electronics Ltd Industrial Capital Goods Indiabulls Real Estate Ltd Construction Engineers India Ltd. Construction Project Pidilite Industries Ltd. Chemicals Infosys Ltd. Software Wockhardt Ltd. Pharmaceuticals Adani Port and Special Economic Zone Limited Transportation Colgate Palmolive (India ) Ltd. Consumer Non Durables Petronet LNG Ltd. Gas Mcleod Russel India Ltd Consumer Non Durables Amara Raja Batteries Ltd. Auto Ancillaries Cairn India Limited Oil Karnataka Bank Ltd Banks Industrial Development Bank of India Ltd. Banks Federal Bank Ltd. Banks Jaiprakash Associates Ltd Construction Jubilant Foodworks Limited Consumer Non Durables Shriram Transport Finance Co Ltd. Finance United Breweries Ltd. Consumer Non Durables Bharat Petroleum Corporation Ltd. Petroleum Products Just Dial Limited Software Rural Electrification Corporation Ltd Finance Hedged - Total Listed/Awaiting Listing on Stock Exchange - Total Government Dated Securities 7.88% Central Government SOV % Central Government SOV 1.34 Government Dated Securities - Total 9.88 TERM DEPOSITS Kotak Mahindra Bank Ltd.# Standard Chartered Bank Ltd 1.97 Ratnakar Bank Ltd # 1.85 Term Deposits - Total Collateral Borrowing & Lending obligation 2.22 Net Current /(Liabilities) 2.31 Notes: #Term Deposit as provided above is towards margin for derivatives transactions Kotak Equity Savings Fund NAV as on June 30, 2015: ` (Growth Option), ` (Monthly Dividend Option), ` (Quarterly Dividend Option), ` (Direct Growth Option), ` (Direct Monthly Dividend Option), ` (Direct Quarterly Dividend Option) SECTOR ALLOCATION (%) CBLO & Term Deposits & Rev.Repo Banks Finance Software Pharmaceuticals Government Dated Securities Consumer Non Durables Telecom - Services Auto Petroleum Products Others Investors understand that their principal will be at moderately high risk Income from arbitrage opportunities in the equity market & long term capital growth Investment predominantly in arbitrage opportunities in the cash & derivatives segment of the equity market and equity & equity related securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 17

19 DEBT SCHEMES KOTAK LIQUID An Open - Ended Debt INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium To provide reasonable returns and high level of liquidity by investing in debt and money market instruments of different maturities so as to spread risk across different kinds of issuers in the debt markets Regular Plan - October 5, 2000; Institutional Plan - March 14, 2003; Plan A - November 4, 2003 Fund Managers Mr. Deepak Agrawal CRISIL Liquid Fund AAUM (` In Crores) AAUM as on June 30, 2015: ` Plans: a) Regular & b) Institutional (discontinued for further subscriptions w.e.f. October 1, 2012) c) Plan A (Previously known as Institutional Premium Plan) d) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Daily, Weekly (Every Monday) (applicable for all plans) Ratios Standard Deviation: 0.15%, Modified Duration: 0.09 yrs, YTM: 7.55% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: Plan A - `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investment Horizon: 1-15 days Entry Load: Nil. Exit Load: Nil. Note - Units issued on reinvestment of dividends shall not be subject to exit load Issuer/Instrument Industry/Rating % to Net Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Indiabulls Housing Finance Limited CARE AAA 1.21 Shriram City Union Finance Ltd. CRISIL AA HDFC Ltd. CRISIL AAA 0.24 Corporate Debt/Financial Institutions - Total 2 Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions Vedanta Ltd. CRISIL A HDFC Ltd. ICRA A Adani Transmission Ltd FITCH A1+(IND) 3.63 Aditya Birla Finance Ltd. ICRA A Reliance Jio Infocomm Limited CRISIL A Muthoot Finance Ltd CRISIL A Au Financiers (India) Limited FITCH A1+(IND) 2.40 Reliance Jio Infocomm Limited CARE A Edelweiss Commodities Services Ltd.CRISIL A Mahindra & Mahindra Financial Services Ltd. CRISIL A Adani Port and Special Economic Zone Limited ICRA A Edelweiss Financial Services Limited CRISIL A CESC Ltd. CARE A Sadbhav Engineering Ltd. CARE A Issuer/Instrument Industry/Rating % to Net Religare Finvest Ltd. FITCH A1+(IND) 0.90 Reliance Capital Ltd. CRISIL A Aditya Birla Money Ltd CRISIL A L & T Finance Limited CARE A Gruh Finance Ltd CRISIL A Corporate Debt/Financial Institutions - Total Public Sector Undertakings Export-Import Bank of India. CRISIL A IDBI Bank Ltd. CRISIL A Punjab & Sind Bank CRISIL A Steel Authority of India Ltd. CARE A Corporation Bank CRISIL A Public Sector Undertakings - Total Treasury Bills 91 Days Treasury Bill 10/09/2015 SOV Days Treasury Bill SOV Days Treasury Bill 10/09/2015 SOV Days Treasury Bill 15/10/2015 SOV 0.48 Treasury Bills - Total 6.52 TERM DEPOSITS Syndicate Bank 6.07 Ratnakar Bank Ltd 0.61 Karur Vysya Bank Ltd Term Deposits - Total 7.04 Collateral Borrowing & Lending obligation 8.51 Net Current /(Liabilities) 0.19 Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 0.10 years Kotak Liquid Plan A Fund NAV as on June 30, 2015: ` (Growth Option), ` (Direct Growth Option), ` (Weekly Dividend), ` (Direct Weekly Dividend), ` (Daily Dividend), ` (Direct Daily Dividend) SECTOR ALLOCATION (%) RATING PROFILE Commercial Paper (CP)/Certificate of Deposits (CD) CBLO & Term Deposits & Rev.Repo Debentures and Bonds Treasury Bills A1+, AAA, A1+, A1+(IND), A1+, SOV AA- Net Current CBLO & Term Deposits & Rev.Repo Income over a short term investment horizon Investment in debt & money market securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. Investors understand that their principal will be at low risk 18

20 DEBT SCHEMES KOTAK FLOATER SHORT TERM An Open - Ended Debt INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium To reduce the interest rate risk associated with investments in fixed rate instruments by investing predominantly in floating rate securities, money market instruments and using appropriate derivatives. July 14, 2003 Fund Managers Mr. Deepak Agrawal CRISIL Liquid Fund AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan/Options: Dividend Reinvestment & Growth (applicable for all plans Dividend Frequency Daily Weekly (Every Monday), Monthly (12th of every Month) Ratios Standard Deviation: 0.17%, Modified Duration: 0.10 yrs, YTM: 7.78% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Ideal Investment Horizon: 1-15 days Entry Load: Nil. Exit Load: Nil Note - Units issued on reinvestment of dividends shall not be subject to exit load Issuer/Instrument Industry/Rating % to Net Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions HDFC Ltd. CRISIL AAA 1.53% HDB Financial Services Ltd. CRISIL AAA 0.98% Kotak Mahindra Prime Ltd. CRISIL AA+ 0.34% Hero FinCorp Ltd. CRISIL AA+ 0.31% Corporate Debt/Financial Institutions - Total 3.16% Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions Suraksha Reality Ltd (Secured by Equity shares of Sun Pharmaceuticals Industries Ltd) CARE A % HDFC Ltd. ICRA A % Muthoot Finance Ltd CRISIL A % Edelweiss Financial Services Ltd CRISIL A % Manappuram Finance Ltd CRISIL A % Reliance Capital Ltd. CRISIL A % Religare Enterprises Limited ICRA A % HDFC Ltd. CRISIL A % Hinduja Leyland Finance Ltd. CARE A % Piramal Enterprises Limited CRISIL A % Bharat Alluminum Co. Ltd. CRISIL A1+(SO) 1.94% Reliance Jio Infocomm Limited CARE A % Tata Power Company Ltd. ICRA A % Tata Motors Finance Solutions Private Limited (100% subsidiary of Tata Motors Finance Ltd) CRISIL A % Indiabulls Housing Finance Ltd CRISIL A % RHC Finance Private Limited FITCH A1+(IND)(SO) 1.21% RHC Finance Private Limited FITCH A1+(IND) 1.21% Sundaram Finance Ltd. CRISIL A % Issuer/Instrument Industry/Rating % to Net Muthoot Fincorp Ltd. CRISIL A % Vedanta Ltd. CRISIL A % AXIS Bank Ltd. CRISIL A % L & T Finance Limited CARE A % Vodafone India Limited CRISIL A % Aditya Birla Money Ltd CRISIL A % Aditya Birla Nuvo Limited ICRA A % Edelweiss Commodities Services Ltd. CRISIL A % Tata Capital Housing Finance Ltd; CRISIL A % Corporate Debt/Financial Institutions - Total 56.08% Public Sector Undertakings Export-Import Bank of India. CRISIL A % IDBI Bank Ltd. CRISIL A % Punjab & Sind Bank CRISIL A % Steel Authority of India Ltd. CARE A % Rural Electrification Corporation Ltd. CRISIL A % Bank of India CRISIL A % Andhra Bank CRISIL A % Public Sector Undertakings - Total 31.10% Reverse Repo 1.12% Treasury Bills 91 Days Treasury Bill 10/09/2015 SOV 3.65% 91 Days Treasury Bill 15/10/2015 SOV 2.42% 91 Days Treasury Bill 05/11/2015 SOV 1.20% 182 Days Treasury Bill 24/09/2015 SOV 0.06% 91 Days Treasury Bill 24/09/2015 SOV 0.06% Treasury Bills - Total 7.39% TERM DEPOSITS HDFC Bank Ltd. 7.32% Term Deposits - Total 7.32% Net Current /(Liabilities) -6.17% % Initial Investment: ` U n d e r Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : growth, weekly dividend and monthly 0.10 years dividend option & `1,00,000 under Daily Dividend Reinvestment option, Kotak Floater Short Term Fund NAV as on June 30, 2015: ` (Growth Option), ` (Direct Growth Option), ` (Weekly Dividend), ` (Direct Weekly Dividend), ` (Monthly Dividend), ` (Direct Monthly Investment: `1000 & in Dividend), ` (Daily Dividend), ` (Direct Daily Dividend) multiples of `1 SECTOR ALLOCATION (%) RATING PROFILE (%) Commercial Paper (CP)/Certificate of Deposits (CD) CBLO & Term Deposits & Rev.Repo Net Current Debentures and Bonds Treasury Bills A1+, AAA, A1+, AAA, A1+(IND), A1+(IND)(SO), A1+, SOV A+ CBLO & Term Deposits & Rev.Repo Net Current AA+, AA(IND) Income over a short term investment horizon Investment in floating rate securities, debt & money market securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. Investors understand that their principal will be at low risk 19

21 DEBT SCHEMES KOTAK TREASURY ADVANTAGE FUND (Formerly Known as Kotak Floater Long Term ) An Open Ended Debt INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium The investment objective of the is to generate returns through investments in debt and money market instruments with a view to reduce the interest rate risk. However, there is no assurance or guarantee that the investment objective of the scheme will be achieved August 13, 2004 Fund Manager Mr. Deepak Agrawal CRISIL Liquid Fund AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan/Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Daily Monthly (12th of every Month), Weekly (Every Monday) Ratios Standard Deviation: 0.36%, Modified Duration: 0.47 yrs, YTM: 8.32% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: (i) Dividend Reinvestment & Growth- `5000 & above (ii) Dividend Payout (Weekly) - `1,00,00,000 & above Investment: `1000 & in multiples of `1 Ideal Investment Horizon: 1-3 months Entry Load: Nil. Exit Load: Nil. Note - Units issued on reinvestment of dividends shall not be subject to exit load Issuer/Instrument Industry/Rating % to Net Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions L & T Infrastructure Finance Company Ltd. CARE AA Indiabulls Housing Finance Limited CARE AAA 4.89 Kotak Mahindra Prime Ltd. CRISIL AAA 4.89 Bahadur Chand Investments Private Limited (one of the holding company of Hero Motor Corp Ltd.) ICRA AA 2.78 Tata Capital Financial Services Limited CRISIL AA Adani Power Ltd (lending against shares of Adani Ports and SEZ Ltd) BRICKWORK BWR A1+ (SO) 2.06 Talwandi Sabo Power Limited (backed by unconditional and irrevocable guarantee of Grand View Estate Pvt Ltd (backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd) ICRA AA 1.11 Dewan Housing Finance Corporation Ltd. CARE AAA 0.56 Mandava Holdings Private Limited (backed by unconditional and irrevocable undertaking by Axis Capital) ICRA AAA 0.22 Tata Capital Housing Finance Ltd; CRISIL AA Tata Motors Finance Solutions Private Limited (100 subsidiary of Tata Motors Finance Ltd) CRISIL AA 0.16 Tata Power Company Ltd. CRISIL AA Vedanta Ltd) HPCL Mittal Energy Ltd. CRISIL AA ICRA AA Corporate Debt/Financial Institutions - Total Public Sector Undertakings Export-Import Bank of India. Nabha Power Ltd. (backed CRISIL AAA 4.43 by unconditional and irrevocable guarantee by Larsen & Toubro Ltd.) CRISIL AAA Power Finance Corporation Ltd. CRISIL AAA Public Sector Undertakings - Total 7.32 Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions Piramal Enterprises Limited ICRA A Edelweiss Financial Services Ltd CRISIL A ONGC Manglore Petrochemicals ICRA A Suraksha Reality Ltd (Secured by Equity shares of Sun Pharmaceuticals Industries Ltd) CARE A Adani Power Ltd (Secured by Equity shares of Adani Ports and SEZ Ltd) ICRA A Mahindra & Mahindra Financial Services Ltd. CRISIL A Tata Motors Finance Solutions Private Limited (100 subsidiary of Tata Motors Finance Ltd) CRISIL A HDFC Ltd. ICRA A Shapoorji Pallonji and Company Private Limited ICRA A ICICI Home Finance Company LtdICRA A Sundaram Finance Ltd. CRISIL A Corporate Debt/Financial Institutions - Total Public Sector Undertakings Export-Import Bank of India. Punjab & Sind Bank CRISIL A1+ CRISIL A Public Sector Undertakings - Total Treasury Bills 91 Days Treasury Bill 05/11/2015 SOV 0.03 Treasury Bills - Total 0.03 TERM DEPOSITS HDFC Bank Ltd Term Deposits - Total 0.89 Collateral Borrowing & Lending obligation 1.18 Net Current /(Liabilities) 3.34 Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 0.50 years. K o t a k Tre a s u r y A d v a n t a g e F u n d N AV a s o n J u n e 3 0, : ` ( D a i l y D i v i d e n d O p t i o n ), ` (Daily Dividend - Direct), ` (Growth Option), ` (Monthly Dividend Option), ` (Weekly Dividend Option), ` (Monthly Dividend - Direct), ` (Weekly Dividend - Direct), ` (Growth - Direct Option) RATING PROFILE Commercial Paper (CP)/Certificate of Deposits (CD) Debentures and Bonds Treasury Bills CBLO & Term Deposits & Rev.Repo Net Current BWR A1+ (SO), A1+, AAA, A1+, AAA, A1+, AAA, SOV AA+, AA, AA- Net Current CBLO & Term Deposits & Rev.Repo Income over a short term investment horizon Investment in debt & money market securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. Investors understand that their principal will be at moderately low risk 20

22 DEBT SCHEMES KOTAK BANKING AND PSU DEBT FUND Earlier known as Kotak Mahindra Gilt Savings Savings Plan. An Open - Ended Debt INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium To generate income by predominantly investing in debt & money market securities issued by Banks & PSUs and Reverse repos in such securities, sovereign securities issued by the Central Government and State Governments, and / or any security unconditionally guaranteed by the Govt. of India. December 29,1998 Fund Manager Mr. Deepak Agrawal Crisil Liquid Fund AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan/Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Daily, Monthly (12th of every Month) & Annual Ratios Standard Deviation: 0.35%, Debt Instruments Debentures and Bonds Public Sector Undertakings Power Finance Corporation Ltd. CRISIL AAA Rural Electrification Corporation Ltd. CRISIL AAA Public Sector Undertakings - Total Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Public Sector Undertakings Export-Import Bank of India. CRISIL A IDBI Bank Ltd. CRISIL A Andhra Bank CRISIL A Vijaya Bank CRISIL A Punjab & Sind Bank CRISIL A1+ 9 Bank of Maharashtra CRISIL A Public Sector Undertakings - Total Treasury Bills 364 Days Treasury Bill 04/08/2016 SOV 5.28 Treasury Bills - Total 5.28 Collateral Borrowing & Lending obligation 1.64 Net Current /(Liabilities 1.18 Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 0.89 years. Kotak Banking And PSU Debt Fund NAV as on June 30, 2015: ` (Growth Option), ` (Direct Growth Option), ` (Monthly Dividend), ` (Direct Monthly Dividend), ` (Daily Dividend Reinvestment), ` (Direct Daily Dividend Reinvestment), ` (Annual Dividend), ` (Direct Annual) Modified Duration: 0.81 yrs, YTM: 7.80% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: Dividend Payout, Dividend Re-investment & Growth `5000 & above. Investment: `1000 & in multiples of `1. Ideal Investment Horizon: 1-3 months Entry Load: Nil. Exit Load: Nil Note - Units issued on reinvestment of dividends shall not be subject to exit load Net Current Debentures and Bonds CBLO & Term Deposits & Rev.Repo A1+, AAA, SOV Net Current CBLO & Term Deposits & Rev.Repo Income over a short to medium term investment horizon Investment in debt & money market securities of PSUs, Banks & government securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. Investors understand that their principal will be at moderately low risk 21

23 DEBT SCHEMES KOTAK DURATION FUND (Formerly known as PineBridge India Short Term Fund) An Open - Ended Debt INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium The primary objective of the is to generate income through investment primarily in low duration debt & money market securities. There is no assurance or guarantee that the investment objective of the scheme will be achieved. March 6, 2008 Fund Manager Mr. Deepak Agrawal CRISIL Liquid Fund AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth (dividend payout is available under monthly dividend only) Dividend Frequency Weekly and Monthly Ratios Standard Deviation: 0.61%, Modified Duration: 0.57 yrs, YTM: 8.87% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: Plan A - `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 for purchase and for `0.01 for switches. Ideal Investment Horizon: 1-3 months Entry Load: Nil. Exit Load: Nil. Any exit load charged (net off Service Tax, if any) shall be credited back to the ; Note - Units issued on reinvestment of dividends shall not be subject to entry and exit load. Issuer/Instrument Industry/Rating % to Net Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions HPCL Mittal Energy Ltd. ICRA AA Dalmia Bharat Ltd ICRA AA Dewan Housing Finance Corporation Ltd. CARE AAA 8.93 Indiabulls Housing Finance Ltd CARE AAA 6.07 Muthoot Fincorp Ltd. CRISIL A 5.03 Pune Solapur Expressways Pvt. Ltd.(toll road project of Tata Realty & Infrastructure Ltd) ICRA A 4.42 Indostar Capital Finance Pvt Ltd CARE AA Lands End Properties Private Ltd (backed by unconditional and irrevocable undertaking by Indian Hotels) CARE AA+(SO) 3.42 Shivprasad Realty Pvt Ltd (backed by unconditional and irrevocable undertaking by Axis Capital) ICRA AAA 2.75 Emami Realty Ltd (Secured by Equity shares of Emami Ltd) BRICKWORK BWR AA-(SO) 2.58 Suraksha Reality Ltd (Secured by Equity shares of Sun Pharmaceuticals Industries Ltd) 2.53 Adani Power Ltd (Secured by Equity shares of Adani Ports and SEZ Ltd) Hero Realty Ltd(Guaranteed by BRICKWORK BWR A1+ (SO) 2.34 Issuer/Instrument Industry/Rating % to Net a Hero Group company) ICRA A HDB Financial Services Ltd. CRISIL AAA 1.66 GE Capital Services India. CRISIL AAA 1.51 Tata Motors Ltd. CARE AA Tata Capital Housing Finance Ltd CRISIL AA Muthoot Finance Ltd CRISIL AA HDB Financial Services Ltd. CARE AAA 0.07 Fullerton India Credit Co. Ltd. ICRA AA Corporate Debt/Financial Institutions - Total Public Sector Undertakings Power Finance Corporation Ltd. CRISIL AAA 2.77 Public Sector Undertakings - Total 2.77 Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions Bharat Alluminum Co. Ltd. CRISIL A Muthoot Finance Ltd CRISIL A1+ 4 Tata Motors Finance Solutions Private Limited (100 subsidiary of Tata Motors Finance Ltd) CRISIL A Edelweiss Commodities Services Ltd. CRISIL A HDFC Ltd. ICRA A Mahindra & Mahindra Financial Services Ltd. CRISIL A Corporate Debt/Financial Institutions - Total Public Sector Undertakings National Bank for Agriculture and Rural Development CRISIL A Public Sector Undertakings - Total 1.21 Collateral Borrowing & Lending obligation 5.74 Net Current /(Liabilities) Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 0.63 years Kotak Duration Fund NAV as on June 30, 2015: ` (Retail Plan-Growth Option), ` (RetailPlan-Weekly Dividend),` (Retail Plan-Monthly Dividend), ` (Standard Plan-Growth Option), ` (Standard Plan-Weekly Dividend), ` (Standard Plan-Monthly Dividend), ` (Direct Plan- Growth Option), ` (Direct Plan- Weekly Dividend), ` (Direct Plan- Monthly Dividend). ` (Direct Plan- Bonus) SECTOR ALLOCATION (%) RATING PROFILE BWR A1+ (SO), AAA, A1+, AAA, A1+, AAA AA+, AA+(SO), AA+, AA, BWR AA-(SO), AA- A+, A Unrated Regular income over short term Income by focusing on low duration securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. Investors understand that their principal will be at moderate risk 22

24 DEBT SCHEMES KOTAK BOND SHORT TERM An Open - Ended Debt INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium The investment objective of the is to provide reasonable returns and high level of liquidity by investing in debt instruments such as bonds, debentures and Government securities; and money market i n s t r u m e n t s s u c h a s t r e a s u r y bills,commercial papers, certificates of deposit, including repos in permitted securities of different maturities, so as to spread the risk across different kinds of issuers in the debt markets. The may invest in the call money/termmoney market in terms of RBI guidelines in this respect. To reduce the risk of the portfolio, the may also use various derivative and hedging products from time to time, in the manner permitted by SEBI.Subject to the maximum amount permitted from time to time, the may invest in offshore securities in the manner allowed by SEBI/RBI, provided such investments are in conformity with the investment objective of the and the prevailing guidelines and Regulations.There is no assurance that the investment objective of the will be realised. May 2, 2002 Fund Manager Mr. Deepak Agrawal Crisil Short - Term Bond Fund AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan/Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Monthly (12th of every Month), Half Yearly (20th of Mar/Sept) Ratios Standard Deviation: 0.94%, Modified Duration: 2.40 yrs, YTM: 8.70% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: (i) Dividend Reinvestment & Growth - `5000 & above (ii) Dividend Payout (Monthly Dividend) - `50,000 & above Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 6 months & above Entry Load: Nil. Exit Load: (w.e.f. December 11, 2014) I) For redemptions/ switch outs (including SIP/STP) within 30 days from the date of allotment of units, irrespective of the amount of investment: 0.25% ii) For redemptions / switch outs (including SIP/STP) after 30 days from the date of allotment of units, irrespective of the amount of investment: NIL iii) Any exit load charged (net off Service Tax, if any) shall be credited back to the. (applicable for all plans) Note - Units issued on reinvestment of dividends shall not be subject to exit load Issuer/Instrument Industry/ % to Net Rating Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Reliance Jio Infocomm Limited CRISIL AAA 8.37 Dewan Housing Finance Corporation Ltd. CARE AAA 6.42 Mandava Holdings Private Limited (backed by unconditional and irrevocable undertaking by Axis Capital) ICRA AAA 5.90 Kotak Mahindra Prime Ltd. CRISIL AAA 4.63 Sterlite Industries (India) Ltd CRISIL AA 4.21 Shriram Transport Finance Co Ltd. CRISIL AA Fullerton India Credit Co. Ltd. CARE AAA 4.10 Adani Power Ltd (Secured by Equity shares of Adani Ports and SEZ Ltd) Mahindra & Mahindra Financial BRICKWORK BWR A1+ (SO) 3.68 Services Ltd. FITCH AAA(IND) 3.45 Tata Capital Financial Services Limited CRISIL AA SP Jammu Udhampur way Ltd (backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd) ICRA AAA 2.41 ECL Finance Limited CARE AA 1.61 HDB Financial Services Ltd. CRISIL AAA 1.54 IOT Utkal Energy Services Ltd. CRISIL AAA(SO) 1.28 Piramal Enterprises Limited ICRA AA 0.71 Tata Motors Finance Ltd CRISIL AA 0.18 Issuer/Instrument Industry/ % to Net Rating L & T Finance Limited CARE AA HDB Financial Services Ltd. CARE AAA 0.04 HDFC Ltd. CRISIL AAA 0.04 IDFC Limited ICRA AAA 0.04 Corporate Debt/Financial Institutions - Total Public Sector Undertakings Power Finance Corporation Ltd. CRISIL AAA Nabha Power Ltd (backed by unconditional and irrevocable guarantee by Larsen & Toubro Ltd.). ICRA AAA 5.95 State Bank Of India. CRISIL AAA 1.79 Rural Electrification Corporation Ltd. CRISIL AAA 1.54 Steel Authority of India Ltd. CARE AAA 0.46 Public Sector Undertakings - Total Government Dated Securities 8.4% Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV 0.17 Government Dated Securities - Total Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Public Sector Undertakings Rural Electrification Corporation Ltd. CRISIL A Export-Import Bank of India. CRISIL A Public Sector Undertakings - Total 4.33 Collateral Borrowing & Lending obligation 0.93 Net Current /(Liabilities) 2.49 Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments :3.19 years. Kotak Bond Short Term Fund NAV as on June 30, 2015: ` (Growth Option), ` (Direct Growth Option), ` (Dividend), ` (Direct Dividend), ` (Half Yearly Dividend), ` (Direct Half Yearly Dividend) SECTOR ALLOCATION (%) CBLO & Term Deposits & Rev.Repo BWR A1+ (SO), AAA, A1+, AAA, AAA(SO), AAA(IND), A1+, AAA, SOV AA+, AA CBLO & Term Deposits & Rev.Repo Income over a medium term horizon Investment in debt & money market securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. Investors understand that their principal will be at moderately low risk 23

25 DEBT SCHEMES KOTAK FLEXI DEBT An Open - Ended Debt INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium To maximize returns through an active management of a portfolio of debt and money market securities. Regular Plan- December 6, 2004 Plan A - May 26, 2008 Fund Manager Mr. Deepak Agrawal CRISIL Composite Bond AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular (discontinued for further subscriptions w.e.f. October 1, 2012) b) Plan A (Previously known as Institutional Plan) c) Direct Plan / Options: Dividend Payout, Dividend Reinvestment, Growth & Bonus Dividend Frequency Daily Dividend Reinvestment, Weekly Dividend Reinvestment (Every Monday), Quarterly Dividend Payout and Reinvestment (20th of March, June, September and December of every year) Ratios Standard Deviation: 2.08%, Issuer/Instrument Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Adani Power Ltd (Secured by Equity Industry/Rating shares of Adani Ports and SEZ Ltd) BRICKWORK % to Net BWR A1+ (SO) Tata Capital Housing Finance Ltd; CRISIL AA Corporate Debt/Financial Institutions - Total Public Sector Undertakings Power Finance Corporation Ltd. CRISIL AAA 0.96 Issuer/Instrument Industry/Rating % to Net Public Sector Undertakings - Total 0.96 Government Dated Securities 1.44% Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV 0.55 Government Dated Securities - Total Collateral Borrowing & Lending obligation 7.17 Net Current /(Liabilities) Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 2.69 years Kotak Flexi Debt Plan A Fund NAV as on June 30, 2015: ` (Growth Option), ` (Direct Growth Option), ` (Weekly Dividend), ` (Direct Weekly Dividend), ` (Daily Dividend), ` (Direct Daily Dividend), ` (Quarterly Dividend), ` (Direct Quarterly Dividend) Modified Duration: 1.90 yrs, YTM: 8.19% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: Plan A - `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investment Horizon: 6 months & above Entry Load: Nil. Exit Load: I) For redemptions/ switch outs (including SIP/STP) within 180 days from the date of allotment of units, irrespective of the amount of investment: 1.00%, ii) For redemptions/ switch outs (including SIP/STP) after 180 days from the date of allotment of units, irrespective of the amount of investment: NIL, iii) Any exit load charged (net off Service Tax, if any) shall be credited back to the. (applicable for all plans) Note - Units issued on reinvestment of dividends shall not be subject to exit load SECTOR ALLOCATION (%) Net Current CBLO & Term Deposits & Rev.Repo Government Dated Securities Debentures and Bonds RATING PROFILE BWR A1+ (SO), AAA, SOV AA+ Net Current CBLO & Term Deposits & Rev.Repo Income over a medium term investment horizon Investment in debt & money market securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. Investors understand that their principal will be at moderately low risk 24

26 DEBT SCHEMES KOTAK INCOME OPPORTUNITIES FUND An Open - Ended Debt INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium The investment objective of the scheme is to generate income by investing in debt /and money market securities across the yield curve and credit spectrum. The scheme would also seek to maintain reasonable liquidity within the fund. There is no assurance that or guarantee that the investment objective of the scheme will be achieved. May 11, 2010 Fund Managers Mr. Deepak Agrawal Crisil Short Term Bond Fund AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan/Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Weekly (Every Monday), Monthly (12th of every Month), Quarterly (20th of March / June / September / December), Annual (12th of March). Ratios Standard Deviation: 0.77%, Modified Duration: 1.81 yrs, YTM: 10.15% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 1 year & above Entry Load: Nil. Exit Load: I) For redemptions/ switch outs (including SIP/ STP) within 1 year from the date of allotment of units,irrespective of the amount of investment: 2%. II) For redemptions/ switch outs (including SIP/ STP) after 1 year from the date of allotment of units, irrespective of the amount of investment: Nil. Any exit load charged (net off Service Tax, if any) shall be credited back to the. Note Units issued on reinvestment of dividends shall not be subject to exit load Issuer/Instrument Industry/ % to Net Rating Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions DLF Emporio Ltd CRISIL AA 8.04 Adani Power Ltd (Secured by Equity shares of Adani Ports and SEZ Ltd) BRICKWORK BWR AA Au Financiers (India) Limited FITCH A+(IND) 7.87 Prestige Estates Projects Limited ICRA A Janalakshami Financial Services Pvt Ltd.ICRA A Sterlite Industries (India) Ltd CRISIL AA 4.29 Bahadur Chand Investments Pvt Ltd (one of the holding company of Hero MotorCorp Ltd.) ICRA AA 3.97 Dalmia Bharat Ltd ICRA AA Haldhar Developers Private Limited (backed by unconditional and irrevocable undertaking by Piramal) ICRA LAA-(SO) 3.33 Dewan Housing Finance Corp Ltd. CARE AAA 3.18 Equitas Micro Finance Pvt Ltd. CARE A 3.18 SBK Properties Pvt Ltd.(Guaranteed by a Kalyani Group company) ICRA AA Reliance Jio Infocomm Limited CRISIL AAA 2.59 Grand View Estate Pvt Ltd (backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd) ICRA AA 2.38 Manappuram Finance Ltd CRISIL A SP Jammu Udhampur way Ltd. ICRA AAA 2 HPCL Mittal Pipelines Ltd. ICRA AA Peninsula Land Limited ICRA A 1.48 Issuer/Instrument Industry/ % to Net Rating Hero Realty Ltd (Guaranteed by a Hero Group company) ICRA A Tata Capital Housing Finance Ltd; CRISIL AA HDB Financial Services Ltd. CRISIL AAA 0.24 HDFC Ltd. CRISIL AAA 0.09 LIC Housing Finance Ltd. CRISIL AAA 0.07 Corporate Debt/Financial Institutions - Total Public Sector Undertakings Indian Overseas Bank BRICKWORK BWR A 3.01 Tamil Nadu Generation & Distribution Corporation Ltd (backed by unconditional and irrevocable guarantee of Tamilnadu State Government) ICRA A-(SO) 1.63 Bank of India BRICKWORK BWR AA State Bank Of India. CRISIL AAA 0.02 Public Sector Undertakings - Total 5.51 Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions HDFC Ltd. ICRA A ICICI Home Finance Company Limited ICRA A Corporate Debt/Financial Institutions - Total 5.90 Public Sector Undertakings Vijaya Bank CRISIL A Public Sector Undertakings - Total 5.55 Collateral Borrowing & Lending obligation 5.65 Net Current /(Liabilities) 4.31 Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 2.23 years. Kotak Income Opportunities Fund NAV as on June 30, 2015: ` (Growth Option), ` (Direct Growth Option), ` (Weekly Dividend), ` (Direct Weekly Dividend), ` (Monthly Dividend), ` (Direct Monthly Dividend), ` (Quarterly Dividend), ` (Annual Dividend), ` (Direct Annual). SECTOR ALLOCATION (%) Debentures and Bonds Commercial Paper (CP)/Certificate of Deposits (CD) Net Current CBLO & Term Deposits & Rev.Repo AA+, AA, BWR AA-, AA-, LAA-(SO) Net Current AAA, A1+, AAA, A1+ CBLO & Term Deposits & Rev.Repo A+, A+(IND), A+, BWR AA, A-, A-(SO), Income over a medium term investment horizon Investment in debt & money market securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. Investors understand that their principal will be at moderately low risk 25

27 DEBT SCHEMES KOTAK CORPORATE BOND FUND (Formerly known as PineBridge India Total Return Bond Fund) An Open - Ended Debt INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium The primary objective of the is to generate income through investment primarily in low duration debt & money market securities. There is no assurance or guarantee that the investment objective of the scheme will be achieved. September 21, 2007 Fund Manager Mr. Deepak Agrawal CRISIL Composite Bond Fund AAUM (` In Crores) AAUM as on June 30, 2015: `24.60 Plans: a) Regular & b) Direct Plan Options: Dividend Payout, Dividend Reinvestment and Growth (applicable for all plans) Dividend Frequency Monthly and Quarterly Ratios Standard Deviation: 2.20%, Modified Duration: 2.43 yrs, YTM: 8.60% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1for purchase and for `0.01 for switches. Ideal Investment Horizon: 1 Year & Above Entry Load: Nil. Exit Load: 1) For redemptions / switch outs (including SIP/STP) within 1 year from the date of allotment of units, irrespective of the amount of investment 2.00%; 2) For redemptions / switch outs (including SIP/STP) after 1 year from the date of allotment of units, irrespective of the amount of investment Nil Issuer/Instrument Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Industry/Rating % to Net HPCL Mittal Energy Ltd. ICRA AA HPCL Mittal Pipelines Ltd. ICRA AA IOT Utkal Energy Services Ltd. CRISIL AAA(SO) HDFC Ltd. CRISIL AAA Shriram Transport Finance Co Ltd CRISIL AA Ultratech Cement Ltd. CRISIL AAA 5.61 Inox Air Products Ltd. CRISIL AA 3.10 Mahindra & Mahindra Financial Services Ltd. ICRA AAA 3.05 Issuer/Instrument Industry/Rating % to Net Corporate Debt/Financial Institutions - Total Public Sector Undertakings Export-Import Bank of India. CRISIL AAA 5.42 Airports Authority of India CRISIL AAA 3.09 Rural Electrification Corporation Ltd CRISIL AAA 3.09 National Bank for Agriculture and Rural Developmet CRISIL AAA 2.78 Steel Authority of India Ltd. CARE AAA 2.49 Public Sector Undertakings - Total Collateral Borrowing & Lending obligation Net Current /(Liabilities) 4.72 Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 2.84 years Kotak Corporate Bond Fund NAV as on June 30, 2015: ` (Standard Plan-Growth Option), ` (Standard Plan-Weekly Dividend),` (Standard Plan-Monthly Dividend), ` (Standard Plan-Quarterly Dividend), ` (Standard Plan-Daily Dividend), ` (Retail Plan-Growth Option), ` (Retail Plan- Weekly Dividend), ` (Retail Plan- Monthly Dividend), ` (Retail Plan-Daily Dividend), ` (Direct Plan- Growth Option), ` (Direct Plan- Monthly Dividend), ` (Institutional Plan-Growth Option) AAA, AAA(SO), AAA Net Current CBLO & Term Deposits & Rev.Repo AA+, AA, AA- Regular income over short term Income by investing in fixed income securities of varying maturities & credit * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. Investors understand that their principal will be at moderately low risk 26

28 DEBT SCHEMES KOTAK MEDIUM TERM FUND An Open - Ended Debt INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium The investment objective of the scheme is to generate regular income and capital appreciation by investing in a portfolio of medium term debt and money market instruments. There is no assurance or guarantee that the investment objective of the scheme will be achieved. March 28, 2014 Fund Manager Mr. Deepak Agrawal CRISIL Composite Bond Fund AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan/Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Quarterly (20th of March / June / September / December), Annually (12th of March) Ratios Standard Deviation: 1.30%, Modified Duration: 2.75 yrs, YTM: 10.41% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Purchase: `5,000/- and in multiples of 1 for purchases and for `0.01 for switches. Purchase: `1000 & in multiples of `1.for purchases and for `0.01 for switches. Ideal Investment Horizon: 2.5 years & above Entry Load: Nil. Exit Load: i) For exit on or within 18 months from date of allotment of units: 2%, ii) For exit after 18 months from the date of allotment of units: Nil (applicable for all plans) Any exit load charged (net off Service Tax, if any) shall be credited back to the. Note - Units issued on reinvestment of dividends shall not be subject to entry and exit load. Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Reliance Jio Infocomm Limited CRISIL AAA SBK Properties Pvt Ltd. ICRA AA HPCL Mittal Pipelines Ltd. ICRA AA Dewan Housing Finance Corporation Ltd. CARE AAA 7.05 Prestige Estates Projects Limited ICRA A Muthoot Finance Ltd ICRA AA Haldhar Developers Pvt Ltd ICRA LAA-(SO) 5.39 Adani Power Ltd BRICKWORK BWR AA Ashirvad Microfinance Pvt Ltd CARE A Janalakshami Financial Services Pvt Ltd. ICRA A Intime Properties Ltd. FITCH AAA(IND) 3.61 Peninsula Land Ltd ICRA A 3.49 Equitas Micro Finance Pvt Ltd. CARE A 3.21 Tata Power Company Ltd. CRISIL AA Bahadur Chand Investments Pvt Ltd ICRA AA 2.29 SP Jammu Udhampur way Ltd ICRA AAA 2.12 Powergrid Vizag Transminssion Ltd CRISIL AAA(SO) 1.83 IOT Utkal Energy Services Ltd. CRISIL AAA 1.44 Aasan Developers and Constructions Pvt Ltd ICRA A Fullerton India Credit Co. Ltd. CARE AAA 0.91 IOT Utkal Energy Services Ltd. CRISIL AAA(SO) 0.80 India Infoline Finance Limited CARE AA 0.28 ECL Finance Limited CARE AA 0.16 Corporate Debt/Financial Institutions - Total Public Sector Undertakings Power Finance Corporation Ltd. CRISIL AAA 2.48 Bank of India BRICKWORK BWR AA Public Sector Undertakings - Total 4.65 Government Dated Securities 1.44% Central Government SOV 2.37 Government Dated Securities - Total 2.37 Collateral Borrowing & Lending obligation 1.77 Net Current /(Liabilities) 2.35 Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 3.62 years Kotak Medium Term Fund NAV as on June 30, 2015: ` (Growth Option), ` (Direct Growth Option), ` (Quarterly Dividend), ` (Direct Quarterly Dividend), ` (Annual Dividend), ` (Direct Annual) Debentures and Bonds Net Current Government Dated Securities CBLO & Term Deposits & Rev.Repo RATING PROFILE AAA, AAA(SO), AAA(IND),AAA, SOV A+, A, A- BWR AA+, AA, BWR AA-,AA-, LAA-(SO) Net Current CBLO & Term Deposits & Rev.Repo Investors understand that their principal will be at moderate risk Income over a medium term investment horizon Investment in debt, government securities & money market instruments with a portfolio weighted average maturity between 3-7 years * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 27

29 DEBT SCHEMES KOTAK BOND An Open - Ended Debt INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium To create a portfolio of debt and money market instruments of different maturities so as to spread the risk across a wide maturity horizon & different kinds of issuers in the debt market. November 25, 1999 Fund Manager Mr. Abhishek Bisen Crisil Composite Bond Fund AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Deposit (discontinued for further subscriptions w.e.f. October 1, 2012) B) Plan A (Previously known as Regular Plan) C) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Quarterly (20th of Mar/Jun/Sep/Dec), Half Yearly (20th of Mar/Sept), Annual (12th of Mar) Ratios Standard Deviation: 4.07% Modified Duration: 8.26 yrs YTM: 8.12% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: Plan A `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 1 year & above Entry Load: Nil. Exit Load: Nil. Note - Units issued on reinvestment of dividends shall not be subject to exit load Issuer/Instrument Industry/ % to Net Rating Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions HPCL Mittal Energy Ltd. ICRA AA HPCL Mittal Pipelines Ltd. ICRA AA Reliance Jio Infocomm Limited CRISIL AAA 0.72 Reliance Utilities And Power Private Limited CRISIL AAA 0.05 IOT Utkal Energy Services Ltd. CRISIL AAA(SO) 0.03 Corporate Debt/Financial Institutions - Total 6.31 Public Sector Undertakings Bank of India Tamil Nadu Generation & Distribution Corporation Ltd (backed by unconditional and irrevocable guarantee of BRICKWORK BWR AA Tamilnadu State Government) ICRA A-(SO) 1.18 Power Finance Corporation Ltd. CRISIL AAA 0.30 Public Sector Undertakings - Total 3.45 Issuer/Instrument Industry/ % to Net Rating Government Dated Securities 7.88% Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV % State Government SOV % Central Government SOV % Central Government SOV % State Government SOV 0.01 Government Dated Securities - Total Collateral Borrowing & Lending obligation 0.32 Net Current /(Liabilities) 3.32 Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments :17.53 years. Kotak Bond Plan A Fund NAV as on June 30, 2015: ` (Growth Option), ` (Direct Growth Option), ` (Quarterly Dividend), ` (Direct Quarterly Dividend), ` (Annual Dividend), ` (Direct Annual Dividend), ` (Plan A-Bonus Plan), ` (Deposit Dividend), ` (Bond Plan A-Direct HF dividend) SECTOR ALLOCATION (%) AAA, AAA(SO), SOV Net Current BWR AA+, AA- Income over long term investment horizon Investment in debt & money market securities * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. Investors understand that their principal will be at moderate risk 28

30 DEBT SCHEMES KOTAK GILT INVESTMENT An Open - Ended Dedicated Gilt Unit INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium To generate risk-free returns through investments in sovereign securities issued by the Central and /or State Government(s) and/ or reverse repos in such securities. Regular Plan - December 29, 1998; PF & Trust Plan - November 11, 2003 Fund Manager Mr. Abhishek Bisen ISEC Composite AAUM (` In Crores) AAUM as on June 30, 2015: ` Plans- A) Regular Non Direct Plan, B) PF & Trust Non Direct Plan, C) Regular Direct Plan, D) PF & Trust Direct Plan/ Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Quarterly (20th of Mar/Jun/Sep/Dec) Ratios Standard Deviation: A) Regular Plan: 4.44%, B) PF & Trust Plan: 4.46%, Modified Duration: 8.51 yrs, YTM: 7.95% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 1 year & above Entry Load: (a) Regular Plan - Entry: Nil. (b) PF & Trust Plan - Entry: Nil. (applicable for all plans) Exit Load: (a) Regular Plan - Exit: Nil. (b) PF&Trust Plan - Exit: Nil. (applicable for all plans) Note - Units issued on reinvestment of dividends shall not be subject to exit load Issuer/Instrument Industry/ % to Net Rating Government Dated Securities 7.88% Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV 5.22 Issuer/Instrument Industry/ % to Net Rating 7.72% Central Government SOV % Central Government SOV 1.96 Government Dated Securities - Total Net Current /(Liabilities) 6.29 Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments :18.34 years. Kotak Gilt Investment Fund NAV as on June 30, 2015: ` (Regular-Growth), ` (Regular-Growth-Direct), ` (Regular-Dividend), ` (Regular-Dividend-Direct), ` (PF & Trust-Growth), ` ( PF & Trust-Growth Direct), ` (PF & Trust-Dividend) SECTOR ALLOCATION (%) Government Dated Securities Net Current Investors understand that their principal will be at moderate risk Income over a long investment horizon Investments in sovereign securities issued by the Central and/or State Government(s) and / or reverse repos in such securities. * Investors should consult their financial advisors if in doubt about whether the product is suitable for them

31 DEBT SCHEMES KOTAK MONTHLY INCOME PLAN An Open Ended Income. Monthly Income is not assured & is subject to availability of distributable surplus INVESTMENT STYLE Style Maturity Value Blend Growth Size Large Mid Small Short Medium Long Volatility Medium To enhance returns over a portfolio of Debt Instruments with a moderate exposure in Equity and Equity related Instruments. December 02, 2003 Fund Managers Mr. Devender Singhal & Mr. Abhishek Bisen CRISIL MIP Blended AAUM (` In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan/Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Monthly (12th of every Month) Quarterly (20th of Mar/Jun/Sep/Dec) Ratios Standard Deviation: 3.97%, Modified Duration: 5.53 yrs, YTM: 7.99% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: (i) Dividend Reinvestment & Growth and Dividend Payout (Quarterly) - `5000 & above (ii) Dividend Payout (Monthly) - `50,000 & above Investment: `1000 & in multiples of `1 Ideal Investments Horizon - 1 year & above Entry Load: Nil. Exit Load: i) For redemptions / switch outs (including SIP/STP) within 1 year from the date of allotment of units, irrespective of the amount of investment: 1%. ii) For redemption/switch outs (including SIP/STP) after 1 year from the date of allotment of units, irrespective of the amount of investment: Nil. Note Any exit load charged (net off Service Tax, if any) shall be credited back to the respective scheme. Units issued on reinvestment of dividends shall not be subject to entry and exit load. Issuer/Instrument Industry/ % to Net Rating Infosys Ltd. Software 1.68 HDFC Bank Ltd. Banks 0.99 Maruti Suzuki India Limited Auto 0.90 Larsen And Toubro Ltd. Construction Project 0.82 Axis Bank Ltd Banks 0.77 State Bank Of India Banks 0.75 Tata Consultancy Services Ltd. Software 0.74 ITC Ltd. Consumer Non Durables 0.73 HCL Technologies Ltd. Software 0.67 Tata Motors Ltd. Auto 0.65 Ultratech Cement Ltd. Cement 0.65 ICICI Bank Ltd. Banks 0.54 IDFC Limited Finance 0.49 Hindustan Petroleum Corporation LtdPetroleum Products 0.45 Reliance Industries Ltd. Petroleum Products 0.45 PVR Ltd. Media and Entertainment 0.43 Bharti Airtel Ltd. Telecom - Services 0.40 Finolex Cables Ltd. Industrial Products 0.40 PNC INFRATECH LIMITED Construction Project 0.40 Colgate Palmolive (India ) Ltd. Consumer Non Durables 0.39 Hero MotoCorp Ltd. Auto 0.38 Persistent Systems Limited Software 0.38 Adani Port and Special Economic Zone Limited Transportation 0.34 Power Mech Projects Ltd Power 0.34 Supreme Industries Limited Industrial Products 0.33 Bank Of Baroda Banks 0.32 Techno Electric & Engineering Co Ltd. Construction Project 0.32 Wipro Ltd. Software 0.32 Issuer/Instrument Industry/ % to Net Rating IndusInd Bank Ltd. Banks 0.31 JK Cement Ltd. Cement 0.31 Federal Bank Ltd. Banks 0.30 Strides Arcolab Ltd. Pharmaceuticals 0.29 HSIL Ltd. Consumer Durables 0.26 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 0.25 Yes Bank Ltd Banks 0.25 Mahindra & Mahindra Ltd. Auto 0.24 Shriram Transport Finance Co Ltd. Finance 0.23 Atul Ltd. Chemicals 0.22 Oil & Natural Gas Corporation Ltd. Oil 0.16 D-Link (India) Ltd Hardware 0.04 Listed/Awaiting Listing on Stock Exchange - Total Debt Instruments Debentures and Bonds Public Sector Undertakings Indian Overseas Bank BRICKWORK BWR A 7.15 Public Sector Undertakings - Total 7.15 Government Dated Securities 7.88% Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV 8.77 Government Dated Securities - Total TERM DEPOSITS Standard Chartered Bank Ltd 7.99 Term Deposits - Total 7.99 Collateral Borrowing & Lending obligation 0.60 Net Current /(Liabilities) 6.49 Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments :11.02 years. Kotak Monthly Income Plan Fund NAV as on June 30, 2015: ` (Growth Option), ` (Direct Growth Option), ` (Monthly Dividend), ` (Direct Monthly Dividend), ` (Quarterly Dividend), ` (Direct Quarterly Dividend) SECTOR ALLOCATION (%) SOV RATING PROFILE BWR A Investors understand that their principal will be at moderate risk Income & capital growth over a long term horizon Investment in a portfolio of debt instruments with a moderate exposure in equity & equity related Instruments. * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 30

32 DEBT SCHEMES KOTAK MULTI ASSET ALLOCATION FUND An Open - Ended Debt INVESTMENT STYLE Style Maturity Value Blend Growth Size Large Mid Small Short Medium Long Volatility Medium The investment objective of the scheme is to generate income by investing predominantly in debt and money market securities, to generate growth by taking moderate exposure to equity and equity related instruments and provide diversification by investing in Gold ETFs. January 21, 2011 Fund Managers Mr. Deepak Gupta & Mr. Abhishek Bisen 75% CRISIL Short Term Bond Fund, 15% CNX Nifty and 10% Price of Gold. AAUM (` In Crores) AAUM as on June 30, 2015: `43.67 A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth ) Dividend Frequency Monthly (12th of Every Month), Quarterly (20th of Mar/Jun/Sep/Dec), Annual (12th of March) Ratios Standard Deviation: 3.24%, Modified Duration: 5.36 yrs, YTM: 7.84% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: `10000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 1 year & above Entry Load: Nil. Exit Load: i) For exit within 1 year from the date of allotment of units: 1%. ii) For exit after 1 year from the date of allotment of units: Nil. iii) Any exit load charged (net off Service Tax, if any) shall be credited back to the. Note - Units issued on reinvestment of dividends shall not be subject to exit load Issuer/Instrument Industry/ % to Net Rating HDFC Bank Ltd. Banks 1.22 Lupin Ltd. Pharmaceuticals 1.15 Maruti Suzuki India Limited Auto 1.11 Infosys Ltd. Software 1.05 Dr Reddys Laboratories Ltd Pharmaceuticals 1.00 HCL Technologies Ltd. Software 0.99 IndusInd Bank Ltd. Banks 0.94 Hindustan Unilever Ltd. Consumer Non Durables 0.92 Axis Bank Ltd Banks 0.68 Bosch Limited Auto Ancillaries 0.67 Bharat Petroleum Corporation Ltd Petroleum Products 0.65 Larsen And Toubro Ltd. Construction Project 0.50 Britannia Industries Ltd. Consumer Non Durables 0.47 Bharti Airtel Ltd. Telecom - Services 0.45 ICICI Bank Ltd. Banks 0.44 Tata Motors Ltd. Auto 0.41 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 0.37 Power Mech Projects Ltd Power 0.32 Bajaj Finance Limited Finance 0.30 Idea Cellular Ltd. Telecom - Services 0.30 Eicher Motors Ltd Auto 0.29 HDFC Ltd. Finance 0.29 Emami Ltd. Consumer Non Durables 0.28 Coal India Ltd. Minerals/Mining 0.26 ITC Ltd. Consumer Non Durables 0.25 Sun Pharma Advance Research Co.Ltd Pharmaceuticals 0.24 Cipla Ltd. Pharmaceuticals 0.23 Reliance Industries Ltd. Petroleum Products 0.21 Yes Bank Ltd Banks 0.20 Bajaj Finserv Ltd. Finance 0.17 Bharti Infratel Ltd. Telecom - Equipment & Accessories 0.17 Marico Ltd. Consumer Non Durables 0.17 UPL Ltd Pesticides 0.16 Zee Entertainment Enterprises Ltd Media and Entertainment 0.16 Tata Consultancy Services Ltd. Software 0.15 Tech Mahindra Ltd. Software 0.14 Asian Paints Ltd. Consumer Non Durables 0.13 Ashok Leyland Ltd. Auto 0.12 Bajaj Auto Ltd. Auto 0.12 Bharat Electronics Ltd Industrial Capital Goods 0.12 National Buildings Construction Corporation Limited Construction 0.11 Power Grid Corp Of India Ltd Power 0.11 Issuer/Instrument Industry/ % to Net Rating Dish TV India Ltd. Media and Entertainment 0.09 Aurobindo Pharma Ltd. Pharmaceuticals 0.08 Bharat Forge Ltd. Industrial Products 0.08 Cadila Healthcare Ltd. Pharmaceuticals 0.08 Glenmark Pharmaceuticals Ltd Pharmaceuticals 0.08 Shriram Transport Finance Co Ltd Finance 0.08 Motherson Sumi Systems Ltd. Auto Ancillaries 0.07 Pidilite Industries Ltd. Chemicals 0.05 IRB Infrastructure Developers Ltd Construction 0.04 TVS Motors Company Ltd Auto 0.04 Container Corporation of India Ltd.Transportation 0.03 Hindustan Petroleum Corp Ltd Petroleum Products 0.03 Siemens Ltd. Industrial Capital Goods 0.03 Ultratech Cement Ltd. Cement 0.03 Dabur India Ltd Consumer Non Durables 0.02 Shree Cement Ltd. Cement 0.02 Colgate Palmolive (India ) Ltd. Consumer Non Durables 0.01 Jubilant Foodworks Limited Consumer Non Durables 0.01 Listed/Awaiting Listing on Stock Exchange - Total Mutual Fund Units Kotak Mutual Fund - Kotak Gold ETF Mutual Fund Units 7.16 Mutual Fund Units - Total 7.16 Futures Hindustan Unilever Ltd.-SEP Dr Reddys Laboratories Ltd-SEP CNX NIFTY-SEP Futures (Market value represents Notional Value) - Total Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Hindalco Industries Ltd. CRISIL AA Corporate Debt/Financial Institutions - Total 2.09 Government Dated Securities 7.88% Central Government SOV % Central Government SOV % State Government SOV Government Dated Securities - Total TERM DEPOSITS Kotak Mahindra Bank Ltd.# 2.63 Standard Chartered Bank Ltd 2.63 Term Deposits - Total 5.26 Collateral Borrowing & Lending obligation 6.72 Net Current /(Liabilities) 3.80 Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments:11.22 years. Note: #Term Deposit as provided above is towards margin for derivatives transactions Kotak Multi Asset Allocation Fund NAV as on June 30, 2015: ` (Growth Option), ` (Direct Growth Option), ` (Monthly Dividend), ` (Direct Monthly Dividend), ` (Quarterly Dividend), ` (Direct Quarterly Dividend), ` (Annual Dividend), ` (Direct Annual) Derivatives Net Current Unrated SOV Unrated AA Derivatives Investors understand that their principal will be at moderate risk Income & capital growth over a long term horizon Investment in a portfolio of debt instruments with a moderate exposure in equity & equity related instruments and provides diversification by investing in Gold ETFs * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 31

33 Details of exposure across all Debt Funds of Kotak Mahindra Mutual Fund as on 31st August 2015 Issuer Name %age of Exposure to Debt AUM AXIS Bank Ltd Aasan Developers and Constructions Private Limited (Guaranteed by a Piramal Group company) 0.17 Adani Port and Special Economic Zone Limited 0.82 Adani Power Ltd (Secured by Equity shares of Adani Ports and SEZ Ltd) 1.17 Adani Transmission Ltd 0.72 Aditya Birla Finance Ltd Aditya Birla Money Ltd 0.10 Aditya Birla Nuvo Limited 0.02 Airports Authority of India 0.06 Andhra Bank 0.16 Ashirvad Microfinance Private Limited (85% subsidiary of Manappuram Finance Ltd) 0.12 Au Financiers (India) Limited 0.71 Bahadur Chand Investments Private Limited (one of the holding company of Hero MotorCorp Ltd.) 0.48 Bajaj Finance Limited 0.72 Bank of India 0.43 Bank of Maharashtra 0.06 Bhanu Vyapaar Private Limited (Secured by Equity shares of Emami Ltd) 0.10 Bharat Alluminum Co. Ltd CBLO/REVERSE REPO 3.33 CESC Ltd Central Government Corporation Bank 0.01 DLF Emporio Ltd 0.24 Dalmia Bharat Ltd 0.59 Dewan Housing Finance Corporation Ltd ECL Finance Limited 0.16 Edelweiss Commodities Services Ltd Edelweiss Financial Services Limited 2.21 Edelweiss Housing Finanance Limited 0.26 Emami Enclave Markets Pvt Ltd. (Secured by Equity shares of Emami Ltd) 0.10 Emami Realty Ltd (Secured by Equity shares of Emami Ltd) 0.25 Equitas Micro Finance Pvt Ltd Export-Import Bank of India Fullerton India Credit Co. Ltd GE Capital Services India GSPC Distribution Networks Ltd. (backed by unconditional and irrevocable guarantee of Gujarat State Petroleum Corp group) 0.03 Grand View Estate Pvt Ltd (backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd) 0.20 Gruh Finance Ltd 0.01 HDB Financial Services Ltd HDFC Bank Ltd HDFC Ltd HPCL Mittal Energy Ltd HPCL Mittal Pipelines Ltd Haldhar Developers Private Limited (backed by unconditional and irrevocable undertaking by Piramal) 0.24 Hero FinCorp Ltd Hero Realty Ltd(Guaranteed by a Hero Group company) 0.42 Hindalco Industries Ltd Hinduja Leyland Finance Ltd ICICI Home Finance Company Limited 0.19 IDBI Bank Ltd IDFC Limited 0.21 IOT Utkal Energy Services Ltd India Infoline Finance Limited 0.24 India Infoline Housing Finance Ltd Indiabulls Housing Finance Limited 1.31 Indian Overseas Bank 0.11 Indian Railway Finance Corporation Ltd Indostar Capital Finance Private Limited 0.23 Infrastructure Leasing & Financial Services Limite 0.02 Inox Air Products Ltd Intime Properties Ltd JM Financial Products Limited 0.15 Janalakshami Financial Services Pvt Ltd Jyothy Laboratories Limited 0.13 Karur Vysya Bank Ltd Kotak Mahindra Bank Ltd Kotak Mahindra Prime Ltd L & T Finance Limited 0.45 L & T Infrastructure Finance Company Ltd LIC Housing Finance Ltd Industry / Sector Issuer Name %age of Exposure to Debt AUM Lands End Properties Private Limited (backed by unconditional and irrevocable undertaking by Indian Hotels) 0.23 Mahindra & Mahindra Financial Services Ltd Manappuram Finance Ltd 1.11 Mandava Holdings Private Limited (backed by unconditional and irrevocable undertaking by Axis Capital) 0.42 Muthoot Finance Ltd 2.00 Muthoot Fincorp Ltd NHPC Limited 0.01 Nabha Power Ltd. (backed by unconditional and irrevocable guarantee by Larsen & Toubro Ltd.) 1.13 National Bank for Agriculture and Rural Developmen 0.43 National Housing Bank 0.31 ONGC Manglore Petrochemicals Ltd PNB Housing Finance Ltd Peninsula Land Limited 0.14 Piramal Enterprises Limited 1.93 Power Finance Corporation Ltd Power Grid Corporation of India Ltd Powergrid Vizag Transminssion Ltd. (backed by unconditional and irrevocable guarantee by Powergrid Corp) 0.05 Prestige Estates Projects Limited 0.48 Pune Solapur Expressways Pvt. Ltd. (toll road project of Tata Realty & Infrastructure Ltd, 100% subsidiary of Tata Sons) 0.21 Punjab & Sind Bank 3.10 RHC Finance Private Limited 0.48 Ratnakar Bank Ltd 0.12 Raymond Ltd Reliance Capital Ltd Reliance Jio Infocomm Limited 2.66 Reliance Media Works Limited (backed by unconditional and irrevocable guarantee of Reliance Capital Ltd) 0.03 Reliance Utilities And Power Private Limited 0.01 Religare Enterprises Limited 0.72 Religare Finvest Ltd Rural Electrification Corporation Ltd SBK Properties Pvt Ltd. (Guaranteed by a Kalyani Group company) 0.30 SP Jammu Udhampur way Ltd (backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd) 0.28 Sadbhav Engineering Ltd Sahyadri Agencies Ltd (Secured by Equity shares of Jyothy Laboratories Ltd) 0.15 Shapoorji Pallonji and Company Private Limited 0.23 Shivprasad Realty Pvt Ltd (backed by unconditional and irrevocable undertaking by Axis Capital) 0.13 Shriram City Union Finance Ltd Shriram Transport Finance Co Ltd Sneha Abasan Pvt Ltd (Secured by Equity shares of Emami Ltd) 0.08 Sneha Enclave Pvt Ltd (Secured by Equith shares of Emami Ltd) 0.05 Standard Chartered Bank Ltd 0.06 State Bank Of India State Bank of Hyderabad 0.12 State Government 2.13 Steel Authority of India Ltd Sterlite Industries (India) Ltd 0.42 Sundaram BNP Paribas Home Finance Ltd 0.11 Sundaram Finance Ltd Suraksha Reality Ltd (Secured by Equity shares of Sun Pharmaceuticals Industries Ltd) 1.79 Syndicate Bank 1.20 Talwandi Sabo Power Limited (backed by unconditional and irrevocable guarantee of Vedanta Ltd) 0.19 Tamil Nadu Generation & Distribution Corporation Ltd (backed by unconditional and irrevocable guarantee of Tamilnadu State Government) 0.19 Tata Capital Financial Services Limited 0.84 Tata Capital Housing Finance Ltd; 0.86 Tata Motors Finance Ltd 0.09 Tata Motors Finance Solutions Private Limited (100% subsidiary of Tata Motors Finance Ltd) 0.84 Tata Motors Ltd Tata Power Company Ltd Tata Sons Ltd Ultratech Cement Ltd Vedanta Ltd Vijaya Bank 0.40 Vizag General Cargo Berth Private Limited (backed by unconditional and irrevocable guarantee of Vedanta Ltd) 0.02 Vodafone India Limited 0.06 Total %age of Exposure to Debt AUM BANK CASH(CBLO/REVERSE REPO) 3.33 CORPORATES FINANCIAL SERVICES GOI/TBILLS NBFC REAL ESTATE 4.18 Total includes Hybrid schemes - debt scheme schemes having equity exposure 32

34 FUND OF FUNDS Style INVESTMENT STYLE Maturity KOTAK ASSET ALLOCATOR FUND An Open Ended Fund of Funds (Earlier known as Kotak Equity FOF ) Value Blend Growth Size Large Mid Small Short Medium Long Volatility Medium The investment objective of the scheme is to generate long-term capital appreciation from a portfolio created by investing in specified open-ended equity, and debt schemes of Kotak Mahindra Mutual Fund. However, there is no assurance that the investment objective of the will be realized. August 9, 2004 Fund Manager Mr. Deepak Gupta Crisil Balanced Fund AAUM (` In Crores) AAUM as on June 30, 2015: `26.76 A) Regular Plan B) Regular Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Trustee s Discretion Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: I) 1% if exit before 1 year from date of allotment. II) Nil if exit after 1 year from the date of allotment. Ÿ Ÿ Ÿ Ÿ Exit Load shall be applicable incase of switch from Regular Plan (where broker code is mentioned) to Direct Plan Exit Load shall not be applicable: Incase of switch from Regular Plan (where no broker code is mentioned) to Direct Plan In case of switch from Direct Plan to Regular Plan. III) Any exit load charged (net off Service Tax, if any) shall be credited back to the. Note - Units issued on reinvestment of dividends shall not be subject to entry and exit load. Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Mutual Fund Units Kotak Liquid Plan A Debt Kotak Select Focus Fund Direct Growth Equity Kotak Mahindra Bond Plan Debt Kotak Floater Long Term Direct Growth Debt Mutual Fund Units - Total Net Current /(Liabilities) Kotak Asset Allocator Fund NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Debt scheme Equity Others Investors understand that their principal will be at moderate risk Long term capital growth Investment in open-ended diversified equity schemes and debt schemes of Kotak Mahindra Mutual Fund * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 33

35 FUND OF FUNDS KOTAK US EQUITY FUND (formerly known as PineBridge India US Equity Fund) An Open Ended Fund of Funds Investing Overseas INVESTMENT STYLE Style Value Blend Growth Size Large Mid Small The primary investment objective of the scheme is to provide long term capital appreciation by investing in units of a fund that invests predominantly in equity and equity related securities of companies having assets, products or operations in the United States. However, there is no assurance that the investment objective of the will be realized. December 20, 2013 Fund Manager Mr. Deepak Gupta Standard & Poor's 500 Total Return Net Index in USD is the benchmark of the underlying scheme. The same converted into INR using RBI reference rate will be the benchmark for the scheme. AAUM (` In Crores) AAUM as on June 30, 2015: `8.01 A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Trustee s Discretion Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: I) For redemptions / switch outs (including SIP/STP) within 1 year from the date of allotment of units, irrespective of the amount of investment 1%; ii) For redemptions / switch outs (including SIP/STP) after 1 year from the date of allotment of units, irrespective of the amount of investment NIL; iii) Any exit load charged (net off Service Tax, if any) shall be credited back to the ; Note - Units issued on reinvestment of dividends shall not be subject to entry and exit load. Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Mutual Fund Units Pinebridge US Large Cap Research Enhance Fund Overseas Mutual Fund Mutual Fund Units - Total Net Current /(Liabilities) Kotak US Equity Fund NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Overseas Mutual Fund Others Investors understand that their principal will be at high risk Long term capital growth Long term capital appreciation by investing in Units of PineBridge US Large Cap Research Enhanced Fund which in turn invests in equity and equity related securities of companies having assets, products or operations in the United States. * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 34

36 FUND OF FUNDS KOTAK GLOBAL EMERGING MARKET FUND An Open - Ended Equity INVESTMENT STYLE Style Value Blend Growth Size Large Mid Small The investment objective of the scheme is to generate long-term capital appreciation by investing in an overseas mutual fund scheme that invest in a diversified portfolio of securities as prescribed by SEBI from time to time in global emerging markets. September 26, 2007 Fund Managers Mr. Deepak Gupta (Dedicated fund manager for Fund Managers overseas investment) & Mr.Abhishek Bisen MSCI Emerging Market AAUM (` In Crores) AAUM as on June 30, 2015: `39.79 A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Trustee s Discretion Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: I) For exit within 1 year from the date of allotment of units: 1%. ii) For exit after 1 year from the date of allotment of units: Nil iii) Any exit load charged (net off Service Tax, if any) shall be credited back to the. Note - Units issued on reinvestment of dividends shall not be subject to exit load Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Mutual Fund Units MGF Asian Small Equity Fund Class I Overseas Mutual Fund ishares MSCI Emerging Markets ETF Overseas Mutual Fund Mutual Fund Units - Total Collateral Borrowing & Lending obligation 6.13 Net Current /(Liabilities) 0.15 Kotak Global Emerging Market Fund NAV as on June 30, 2015: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Overseas Mutual Fund CBLO & Term Deposits & Rev.Repo Others Investors understand that their principal will be at high risk Long term capital growth Investment in overseas mutual fund schemes that invest in a diversified portfolio of securities in global emerging markets * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 35

37 FUND OF FUNDS KOTAK WORLD GOLD FUND (formerly known as PineBridge World Gold Fund ) An Open Ended Fund of Funds INVESTMENT STYLE Style Value Blend Growth Size Large Mid Small The primary investment objective of the is to provide long term capital appreciation by investing predominantly in units of Falcon Gold Equity Fund. The may, at the discretion of the Investment Manager, also invest in the units of other similar overseas mutual fund schemes. The may also invest a certain portion of its corpus in debt and money market securities and/or units of debt/liquid schemes of Mutual Funds, in order to meet liquidity requirements from time to time. However, there is no assurance that the investment objective of the will be realized. June 6, 2008 Fund Manager Mr. Deepak Gupta Financial Times Gold Mines Total Price Index, in USD is the benchmark of Falcon Gold Equity Fund. The above translated to INR using the RBI Reference Rate will be the benchmark of Kotak World Gold Fund. AAUM (` In Crores) AAUM as on June 30, 2015: `48.47 A) Regular Plan B) Direct Plan / Options: Dividend Payout, Dividend Reinvestment & Growth Dividend Frequency Trustee s Discretion Initial Investment: `5000 and in multiple of `1 for purchase and for `0.01 for switches Investment: `1000 & in multiples of `1 for purchase and for `0.01 for switches Ideal Investments Horizon: 3 years & above Entry Load: Nil. Exit Load: I) For redemptions / switch outs (including SIP/STP) within 1 year from the date of allotment of units, irrespective of the amount of investment 1%; ii) For redemptions / switch outs (including SIP/STP) after 1 year from the date of allotment of units, irrespective of the amount of investment NIL; iii) Any exit load charged (net off ServiceTax, if any) shall be credited back to the ; Note - Units issued on reinvestment of dividends shall not be subject to entry and exit load. Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Mutual Fund Units Falcon Gold Equity ASIA Overseas Mutual Fund Mutual Fund Units - Total Collateral Borrowing & Lending obligation 4.53 Net Current /(Liabilities) Kotak World Gold Fund NAV as on June 30, 2015: `6.335 (Dividend Option), `6.406 (Direct Dividend Option), `7.642 (Growth Option), `7.785 (Direct Growth Option) SECTOR ALLOCATION (%) Overseas Mutual Fund Others CBLO & Term Deposits & Rev.Repo Investors understand that their principal will be at high risk Long term capital growth Long term capital appreciation by investing in units of Falcon Gold Equity Fund which in turn invests in international securities of gold production, processing and marketing companies * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 366

38 ETF SCHEMES KOTAK GOLD ETF An Open Ended Gold Exchange Traded Fund The investment objective of Kotak Gold ETF is to generate returns that are in line with the returns on investment in physical gold, subject to tracking error. July 27, 2007 Fund Manager Mr. Abhishek Bisen Physical Gold AAUM (`In Crores) AAUM as on June 30, 2015: ` A) Regular Plan B) Direct Plan Through Exchange:10 Units, Through AMC: Units, Ideal Investment Horizon: 3 years and above Entry Load: Nil. Exit Load: Nil Issuer / Instrument Industry/ % to Net Rating Gold Gold Fineness99.5 Gold Listed/Awaiting Listing on Stock Exchange - Total Kotak Gold ETF NAV as on June 30, 2015: ` NAV Issuer / Instrument Industry/ % to Net Rating Net Current /(Liabilities) Sector Allocation (%) 0.07 Gold Others Investors understand that their principal will be at moderate risk Returns in line with physical gold over medium to long term, subject to tracking error Investment in physical gold * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 37

39 ETF SCHEMES KOTAK NIFTY ETF An Open Ended Exchange Traded Fund [Eligible scheme under Rajiv Gandhi Equity Savings (RGESS)] The investment objective of the scheme is to provide returns before expenses that closely correspond to the total returns of the CNX Nifty subject to tracking errors. February 8, 2010 Fund Manager Mr. Deepak Gupta CNX Nifty AAUM (`In Crores) AAUM as on June 30, 2015: `98.23 A) Regular Plan B) Direct Plan Ratios Portfolio Turnover: % Through Exchange:1 Unit, Through AMC: 5000 Units, Ideal Investment Horizon: 3 years and above Entry Load: Nil. Exit Load: Nil Issuer / Instrument Industry/ % to Net Rating Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Infosys Ltd. Software 7.74 HDFC Bank Ltd. Banks 7.17 HDFC Ltd. Finance 6.63 ITC Ltd. Consumer Non Durables 6.46 ICICI Bank Ltd. Banks 5.72 Reliance Industries Ltd. Petroleum Products 5 Larsen And Toubro Ltd. Construction Project 4.65 Tata Consultancy Services Ltd. Software 4.65 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 3.47 Axis Bank Ltd Banks 3.03 State Bank Of India Banks 2.71 Kotak Mahindra Bank Ltd. Banks 2.37 Tata Motors Ltd. Auto 2.28 Hindustan Unilever Ltd. Consumer Non Durables 2.16 Mahindra & Mahindra Ltd. Auto 2 Maruti Suzuki India Limited Auto 1.95 Dr Reddys Laboratories Ltd Pharmaceuticals 1.94 HCL Technologies Ltd. Software 1.91 Bharti Airtel Ltd. Telecom - Services 1.73 Coal India Ltd. Minerals/Mining 1.67 Lupin Ltd. Pharmaceuticals 1.65 Oil & Natural Gas Corporation Ltd. Oil 1.52 IndusInd Bank Ltd. Banks 1.48 Asian Paints Ltd. Consumer Non Durables 1.36 Wipro Ltd. Software 1.30 Cipla Ltd. Pharmaceuticals 1.23 Tech Mahindra Ltd. Software 1.11 Bajaj Auto Ltd. Auto 1.08 Issuer / Instrument Industry/ % to Net Rating Ultratech Cement Ltd. Cement 1.05 Hero MotoCorp Ltd. Auto 1.04 Power Grid Corporation Of India Ltd Power 1.02 National Thermal Power Corporation Limited Power 0.89 Bharat Petroleum Corporation Ltd. Petroleum Products 0.81 Yes Bank Ltd Banks 0.80 Grasim Industries Ltd. Cement 0.78 Zee Entertainment Enterprises Ltd Media and Entertainment 0.75 Bosch Limited Auto Ancillaries 0.74 Bharat Heavy Electricals Ltd. Industrial Capital Goods 0.73 Idea Cellular Ltd. Telecom - Services 0.62 Bank Of Baroda Banks 0.61 Ambuja Cements Ltd Cement 0.57 Tata Steel Limited. Ferrous Metals 0.53 GAIL (India) Ltd. Gas 0.49 ACC Ltd. Cement 0.44 Tata Power Co. Ltd. Power 0.39 Punjab National Bank Banks 0.38 Vedanta Ltd. Minerals/Mining 0.38 Hindalco Industries Ltd Non - Ferrous Metals 0.36 Cairn India Limited Oil 0.30 NMDC Ltd. Minerals/Mining 0.28 Listed/Awaiting Listing on Stock Exchange - Total Net Current /(Liabilities) 0.07 NAV Kotak Nifty ETF NAV as on June 30, 2015 : ` Sector Allocation (%) Banks Software Consumer Non Durables Auto Pharmaceuticals Finance Petroleum Products Construction Project Cement Telecom - Services Others Investors understand that their principal will be at moderate risk Long term capital growth Investment in stocks comprising the underlying index and endeavours to track the benchmark index * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 38

40 ETF SCHEMES KOTAK SENSEX ETF An Open Ended Exchange Traded Fund [Eligible scheme under Rajiv Gandhi Equity Savings (RGESS)] The investment objective of the scheme is to provide returns before expenses that closely correspond to the total returns of the BSE SENSEX subject to tracking errors. June 6, 2008 Fund Manager Mr. Deepak Gupta S&P BSE SENSEX AAUM (`In Crores) AAUM as on June 30, 2015: ` 8.57 A) Regular Plan B) Direct Plan Ratios Portfolio Turnover: 14.40% Through Exchange:1 Unit, Through AMC: Units, Ideal Investment Horizon: 3 years and above Entry Load: Nil. Exit Load: Nil Issuer / Instrument Industry/ % to Net Rating Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Infosys Ltd. Software 9.14 HDFC Bank Ltd. Banks 8.70 HDFC Ltd. Finance 8.10 ITC Ltd. Consumer Non Durables 7.89 ICICI Bank Ltd. Banks 6.98 Reliance Industries Ltd. Petroleum Products 6.11 Larsen And Toubro Ltd. Construction Project 5.68 Tata Consultancy Services Ltd. Software 5.65 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 4.20 Axis Bank Ltd Banks 3.69 State Bank Of India Banks 3.31 Tata Motors Ltd. Auto 2.76 Hindustan Unilever Ltd. Consumer Non Durables 2.66 Mahindra & Mahindra Ltd. Auto 2.43 Issuer / Instrument Industry/ % to Net Rating Bharti Airtel Ltd. Telecom - Services 2.14 Coal India Ltd. Minerals/Mining 2 Lupin Ltd. Pharmaceuticals 1.99 Oil & Natural Gas Corporation Ltd. Oil 1.86 Wipro Ltd. Software 1.65 Cipla Ltd. Pharmaceuticals 1.49 Bajaj Auto Ltd. Auto 1.30 Hero MotoCorp Ltd. Auto 1.24 National Thermal Power Corporation Limited Power 1.08 Bharat Heavy Electricals Ltd. Industrial Capital Goods 0.89 Tata Steel Limited. Ferrous Metals 0.65 GAIL (India) Ltd. Gas 0.60 Vedanta Ltd. Minerals/Mining 0.47 Hindalco Industries Ltd Non - Ferrous Metals 0.44 Listed/Awaiting Listing on Stock Exchange - Total Maruti Suzuki India Limited Auto 2.39 Dr Reddys Laboratories Ltd Pharmaceuticals 2.38 Net Current /(Liabilities) 0.13 NAV Kotak Sensex ETF NAV as on June 30, 2015 : ` Sector Allocation (%) Banks Software Auto Consumer Non Durables Pharmaceuticals Finance Petroleum Products Construction Project Telecom - Services Others Minerals/Mining Investors understand that their principal will be at moderate risk Long term capital growth Investment in stocks comprising the underlying index and endeavours to track the benchmark index * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 39

41 ETF SCHEMES KOTAK BANKING ETF An Open Ended Exchange Traded Fund The investment objective of the scheme is to provide returns before expenses that closely correspond to the total returns of stocks as represented by the CNX Bank Index subject to tracking errors. There can be no assurance or guarantee that the investment objective of the plan will be achieved. December 11, 2014 Fund Manager Mr. Deepak Gupta CNX Bank AAUM (`In Crores) AAUM as on June 30, 2015: ` Option - Dividend Payout Ratios Portfolio Turnover: 15.90% Through Exchange:1 Unit, Through AMC: Units, Ideal Investment Horizon: 3 years and above Entry Load: Nil. Exit Load: Nil Issuer / Instrument Industry/ % to Net Rating Equity & Equity related (Listed/Awaiting listing on Stock Exchange) HDFC Bank Ltd. Banks ICICI Bank Ltd. Banks Axis Bank Ltd Banks State Bank Of India Banks Kotak Mahindra Bank Ltd. Banks 9.50 IndusInd Bank Ltd. Banks 5.94 Yes Bank Ltd Banks 3.20 Bank Of Baroda Banks 2.47 Kotak Banking ETF NAV as on June 30, 2015: ` NAV Issuer / Instrument Industry/ % to Net Rating Punjab National Bank Banks 1.53 Federal Bank Ltd. Banks 1.50 Canara Bank Banks 0.58 Bank of India Banks 0.43 Listed/Awaiting Listing on Stock Exchange - Total Net Current /(Liabilities) 0.06 Sector Allocation (%) Investors understand that their principal will be at moderate risk Banks Others Long term capital growth Investment in stocks comprising the underlying index and endeavours to track the benchmark index * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 40

42 ETF SCHEMES KOTAK PSU BANK ETF An Open Ended Exchange Traded Fund The investment objective of the scheme is to provide returns that closely correspond to the total returns of CNX PSU Bank Index, subject to tracking errors. November 8, 2007 Fund Manager Mr. Deepak Gupta CNX PSU Bank AAUM (`In Crores) AAUM as on June 30, 2015: `27.20 A) Regular Plan B) Direct Plan Ratios Portfolio Turnover: 91.55% Through Exchange:1 Unit, Through AMC: Units, Ideal Investment Horizon: 3 years and above Entry Load: Nil. Exit Load: Nil Issuer / Instrument Industry/ % to Net Rating Equity & Equity related (Listed/Awaiting listing on Stock Exchange) State Bank Of India Banks Bank Of Baroda Banks Punjab National Bank Banks 8.53 Union Bank Of India Banks 3.53 Canara Bank Banks 3.24 Bank of India Banks 2.40 Industrial Development Bank of India Ltd. Banks 1.82 Kotak PSU Bank ETF NAV as on June 30, 2015: ` NAV Issuer / Instrument Industry/ % to Net Rating Allahabad Bank. Banks 1.47 Syndicate Bank Banks 1.38 Oriental Bank of Commerce Banks 1.32 Andhra Bank Banks 1.25 Indian Overseas Bank Banks 0.89 Listed/Awaiting Listing on Stock Exchange - Total Net Current /(Liabilities) Sector Allocation (%) Banks Others Investors understand that their principal will be at moderate risk Long term capital growth Investment in stocks comprising the underlying index and endeavours to track the benchmark index * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 41

43 Performances as on June 30, 2015 Kotak 50 - Dividend CNX Nifty # (%) S&P BSE Sensex ## ( `) #( `) # # (`) Since Inception till Jun 30, ,33,349 95,898 91,196 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Classic Equity - Growth CNX 500 #(%) CNX Nifty ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,562 33,837 36,085 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Opportunities Fund - Growth CNX 500 #(%) CNX Nifty ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,556 49,324 50,749 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Select Focus Fund - Growth CNX 200 #(%) CNX Nifty ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,866 17,421 17,328 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). 42

44 Kotak Tax Saver - Growth CNX 500 #(%) CNX Nifty ## (%) ( `) #( `) # # (`) Since Inception till Jun 30, ,146 30,579 32,080 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Midcap Fund - Growth CNX Midcap #(%) CNX Nifty ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,235 43,809 40,717 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Emerging Equity - Growth S&P BSE Midcap #(%) CNX Nifty ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,788 29,244 21,898 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Infrastructure & Economic Reform Fund - Growth S&P BSE 100 #(%) CNX Nifty ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,411 15,565 16,091 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. # Name of. ## Name of. ^Past performance may or may not be sustained in future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate)

45 Kotak Balance CRISIL Balanced Fund # (%) CNX Nifty ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, NA ,882 NA 59,408 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Equity Arbitrage Fund - Growth Crisil Liquid Fund #(%) CNX Nifty ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,028 20,068 32,048 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. # Name of. ## Name of. ^Past performance may or may not be sustained in future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Liquid - Plan A - Growth Crisil Liquid Fund #(%) CRISIL 1 Year T-Bill ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,203 21,737 19,198 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. For (Debt s): classification of schemes in short term & long termis based on the average maturity of the scheme. # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Note-With effect from October 1, 2012 the scheme features has been changed. For more details please refer page 23. Kotak Floater - ST - Growth Crisil Liquid Fund #(%) CRISIL 1 Year T-Bill ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,405 22,015 19,506 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. For (Debt s): classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of. ## Name of. ^Past performance may or may not be sustained in future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). 44

46 Kotak Treasury Advantage Fund - Growth Crisil Liquid Fund #(%) CRISIL 1 Year TBill ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,736 21,090 18,615 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. For (Debt s): classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of. ## Name of. ^Past performance may or may not be sustained in future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Banking and PSU Debt Fund - Growth Crisil Liquid Fund #(%) CRISIL 1 Year TBill ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, NA ,753 NA 28,710 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. For (Debt s): classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Duration Fund - Growth CRISIL Liquid Fund #(%) CRISIL 1 Year T-Bill ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,085 17,226 15,657 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRAMFI Explorer. # Name of. ## Name of. ^Past performance may or may not be sustained in future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year:cagr(compounded Annualised Growth Rate). Kotak Bond Short Term Plan - Growth Crisil Short Term Bond Fund #(%) CRISIL 1Year T-Bill ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,515 24,566 21,003 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. For (Debt s): classification of schemes in short term& long termis based on the average maturity of the scheme. # Name of. ## Name of. ^Past performance may or may not be sustained in future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). 45

47 Kotak Flexi Debt Fund - Plan A - Growth Crisil Composite Bond Fund #(%) CRISIL 1 Year T-Bill ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,459 16,724 15,437 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. For (Debt s): classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Income Opportunities Fund - Growth Crisil Short Term Bond Fund #(%) CRISIL 1 Year TBill ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,222 15,054 13,968 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. For (Debt s): classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of. ## Name of. ^Past performance may or may not be sustained in future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Corporate Bond Fund - Growth Crisil Composite Bond Fund #(%) CRISIL 1 Year Gilt ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,419 17,468 16,043 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. # Name of. ## Name of. ^Past performance may or may not be sustained in future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Medium Term Fund - Growth CRISIL Composite Bond Fund #(%) CRISIL 10 Year Gilt ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,373 11,538 11,463 30/06/2014 To 30/06/ /06/2013 To 30/06/2014 N.A Not applicable 29/06/2012 To 30/06/2013 N.A N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. For (Debt s): classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). 46

48 Kotak Bond - Plan A - Growth Crisil Composite Bond Fund #(%) CRISIL 10 Year Gilt ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, N.A N.A 39,425 N.A N.A 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. For (Debt s): classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Gilt - Investment Regular Plan - Growth ISEC Composite #(%) CRISIL 10 Year Gilt ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, N.A N.A 47,189 N.A N.A 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ Kotak Gilt Investment PF & Trust Plan - Growth ISEC Composite #(%) CRISIL 10 Year Gilt ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,294 22,063 17,431 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. For (Debt s): classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Monthly Income Plan - Growth Crisil MIP Blended #(%) CRISIL 10 Year Gilt ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,213 24,131 17,554 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. For (Debt s): classification of schemes in short term& long term is based on the average maturity of the scheme. # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). 47

49 Kotak Multi Asset Allocation Fund - Growth 75% Crisil Short term Bond Fund,15% CNX Nifty & 10% Prices of Gold #(%) CRISIL 10 Year Gilt ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,236 14,718 13,280 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. #Name of. ## Name of. ^Past performance may or may not be sustained in future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak US Equity Fund - Growth Standard & Poor s 500 Total Return Net #(%) CNX Nifty ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,602 12,021 13,338 30/06/2014 To 30/06/ /06/2013 To 30/06/2014 N.A Not applicable 30/06/2012 To 30/06/2013 N.A N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. #Name of. ## Name of. ^Past performance may or may not be sustained in future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak World Gold Fund - Growth Financial Times Gold Mines Total-Price #(%) CNX Nifty ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,642 5,927 18,083 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. # Name of. ## Name of. ^Past performance may or may not be sustained in future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Gold ETF Physical Gold Price #(%) CRISIL 10 Year Gilt ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,713 30,496 16,314 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailingnav. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). 48

50 Kotak Nifty ETF CNX Nifty #(%) S&P BSE Sensex ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,706 17,579 17,433 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak SENSEX ETF S&P BSE Sensex #(%) CNX Nifty ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,099 17,840 18,083 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak PSU Bank ETF CNX PSU Bank #(%) CNX Nifty ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,300 11,187 14,685 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). Kotak Global Emerging Equity Market Fund MSC Emerging Market Index #(%) CNX Nifty Index ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,955 13,190 16,939 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). 49

51 Kotak Asset Allocator Fund - Growth CRISIL Balanced Fund #(%) S&P BSE SENSEX ##(%) ( `) #( `) # # (`) Since Inception till Jun 30, ,323 37,086 53,086 30/06/2014 To 30/06/ /06/2013 To 30/06/ Not applicable 30/06/2012 To 30/06/ N.A stands for data not available. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer # Name of. ## Name of. ^ Past performance may or may not be sustained in the future. All payouts during the period have been reinvested in the units of the scheme at the then prevailing NAV. Returns <= 1 year: Absolute; Returns > 1 year: CAGR (Compounded Annualised Growth Rate). FMP's and Gold Fund Performance as on June 30, 2015 Kotak FMP - Series 131 (1061 Days) - Reg - Growth Crisil Short Term Bond Fund #(%) CRISIL 1 Year T-Bill ##(%) ( `) #( `) ## (`) Dec 23, 2013 (Since Inception) ,841 11,530 11,316 30/06/2014 To 30/06/ /06/2013 To 30/06/2014 N.A Not applicable 30/06/2012 To 30/06/2013 N.A Kotak FMP - Series 127 (730 Days) - Reg - Growth Crisil Short Term Bond Fund #(%) CRISIL 1 Year T-Bill ##(%) ( `) #( `) ## (`) Nov 28, 2013 (Since Inception) ,701 11,602 11,375 30/06/2014 To 30/06/ /06/2013 To 30/06/2014 N.A Not applicable 30/06/2012 To 30/06/2013 N.A Kotak FMP - Series 153 (790 Days) - Reg - Growth Crisil Short Term Bond Fund #(%) CRISIL 1 Year T-Bill ##(%) ( `) #( `) ## (`) Mar 28, 2014 (Since Inception) ,315 11,235 11,081 30/06/2014 To 30/06/ /06/2013 To 30/06/2014 N.A Not applicable 30/06/2012 To 30/06/2013 N.A

52 OTHER PERFORMANCE Kotak FMP - Series 146 (388 Days) - Reg - Growth Crisil Short Term Bond Fund #(%) CRISIL 1 Year T-Bill ##(%) ( `) #( `) ## (`) Mar 14, 2014 (Since Inception) ,133 11,300 11,132 30/06/2014 To 30/06/ /06/2013 To 30/06/2014 N.A Not applicable 30/06/2012 To 30/06/2013 N.A Kotak FMP - Series 151 (388 Days) - Reg - Growth Crisil Short Term Bond Fund #(%) CRISIL 1 Year T-Bill ##(%) ( `) #( `) ## (`) Mar 28, 2014 (Since Inception) ,082 11,235 11,081 30/06/2014 To 30/06/ /06/2013 To 30/06/2014 N.A Not applicable 30/06/2012 To 30/06/2013 N.A Kotak FMP - Series 147 (384 Days) - Reg - Growth Crisil Short Term Bond Fund #(%) CRISIL 1 Year T-Bill ##(%) ( `) #( `) ## (`) Mar 20, 2014 (Since Inception) ,102 11,275 11,112 30/06/2014 To 30/06/ /06/2013 To 30/06/2014 N.A Not applicable 30/06/2012 To 30/06/2013 N.A Kotak Gold Fund Physical Gold Price #(%) CRISIL 10 Year Gilt ##(%) ( `) #( `) ## (`) Mar 25, 2011 (Since Inception) ,500 12,759 12,953 Jun 30, 2014 To Jun 30, Jun 30, 2013 To Jun 30, Jun 30, 2012 To Jun 30, N.A stands for data not available. Past Performance may or may not be sustained in future. Note: Point to Point (PTP) Returns in INR show the value of `10,000/- investment made at inception. Source: ICRA MFI Explorer. For (Debt s): classification of schemes in short term & long term is based on the average maturity of the scheme. # Name of ## Name of ^ Past performance may or may not be sustained in the future All payouts during the period have been reinvested in the units the scheme at the then prevailingnav. Returns <= 1 year:absolute; Returns > 1 year:cagr(compoundedannualised Growth Rate). 51

53 ABOUT OUR FUND MANAGERS Name: Mr. Harsha Upadhyaya (experience in managing these funds since) Kotak Opportunities (Aug 1, 12), Kotak Select Focus Fund (Aug 1, 12), Kotak Tax Saver (Aug. 25,'15) Business Experience Mr. Harsha has nearly two decades of rich experience spread over Equity Research and Fund Management. His prior stints have been with companies such as DSP BlackRock, UTI Asset Management, Reliance Group and SG Asia Securities. Mr. Harsha is a Bachelor of Engineering (Mechanical) from National Institute of Technology, Suratkal, a Post Graduate in Management (Finance) from Indian Institute of Management, Lucknow and Chartered Financial Analyst from the CFA Institute. Name: Mr. Harish Krishnan (experience in managing these funds since) Kotak 50 (Nov. 15, 13), Kotak Infrastructure & Economic Reform Fund (Jan31,'15), Kotak Classic Equity (Aug. 25,'15) Business Experience Mr. Harish has a decade of experience spread over Equity Research and Fund Management. Prior to joining Kotak Mutual Fund, he was based out of Singapore and Dubai, managing Kotak's offshore funds. Mr. Harish has also worked at Infosys Technologies Ltd in his earlier stint. He is a Bachelor of Technology (Electronics & Communications) from Government Engineering College, Trichur, a post Graduate in Management from Indian Institute of Management, Kozhikode and a Chartered Financial Analyst from the CFA Institute. Name: Mr. Pankaj Tibrewal (experience in managing these funds since) Kotak Midcap (Jan. 21, 10), Kotak Emerging Equity (May 27,'10), Kotak Balance (Aug. 25,'15) Business Experience Mr. Pankaj is a graduate in Commerce from St. Xavier's College, Kolkata and holds a Master's degree in Finance from Manchester University. He has been associated with the mutual fund industry since 2003 where he has managed several debt and equity schemes. He has been a part of the organization since January Mr. Pankaj's earlier stint was with Principal Mutual Fund. Name: Mr. Deepak Gupta (experience in managing these funds since) Kotak Equity Arbitrage (Sept.1, 08), Kotak Asset Allocator Fund (Earlier Know as Kotak Equity FOF) (Sept.1, 08), Kotak Global Emerging Market Fund (Apr.4, 11), (Dedicated fund manager for over seas investment), Kotak Balance (Aug. 25,'15), Kotak Multi Asset Allocation Fund (Sept.10, 13), Kotak Equity Savings Fund (Oct. 13, '14), Kotak World Gold Fund (Jan.31, 15), Kotak US Equity Fund (Jan.31, 15), Kotak PSU Bank ETF (Nov. 8, 07), Kotak SENSEX ETF (Jun. 6, 08), Kotak NIFTY ETF (Feb. 8, 10), Kotak Banking ETF (Dec. 11, 14) Business Experience Mr. Deepak has almost 10 years of experience in the mutual fund industry. He had joined the Equity Fund Management team as a research analyst. He is now an Equity Fund Manager. Mr. Deepak is a Graduate in Commerce from Mumbai University. He is a qualified Chartered Accountant, a Cost Accountant and has cleared the AIMR CFA Level 3. Performance of top 3 and bottom 3 schemes of the Fund Manager Fund Manager Top 3 Bottom 3 Mr. Deepak Gupta Refer Page No. Kotak Tax Saver 9 Kotak Asset Allocator Fund 33 Kotak US Equity Fund 34 Kotak Global Emerging Market Fund 35 Kotak PSU Bank ETF 41 Kotak World Gold Fund 36 52

54 Name: Mr. Abhishek Bisen (experience in managing these funds since) Kotak Balance (Apr. 15, 2008), Kotak Monthly Income Plan (Apr. 15, 08), Kotak Bond (Plan A) (Apr 15, 2008), Kotak Gilt Investment (Regular & PF-Trust) (Apr. 15, 08), Kotak Global Emerging Market Fund (Apr. 15, 08), Kotak Multi Asset Allocation Fund (Jan. 21, 11), Kotak Equity Savings Fund (Oct. 13, '14), Kotak Gold ETF (Jul. 27, 07), Kotak Gold Fund (Mar. 25, '11) Business Experience Mr. Abhishek has been associated with the company since October 2006 and his key responsibilities include fund management of debt schemes. Prior to joining Kotak AMC, Me, Abhishek was working with Securities Trading Corporation Of India Ltd where he was looking at Sales & Trading of Fixed Income Products apart from doing Portfolio Advisory. He has been awarded twice as one of the ly Commended Investors in Indian Rupees Bonds from the Asset magazine Hong Kong. His educational background is B.A (Management) and MBA (Finance). Performance of top 3 and bottom 3 schemes of the Fund Manager Fund Manager Top 3 Bottom 3 Mr. Abhishek Bisen Refer Page No. Kotak Balance 13 Kotak Monthly Income Plan 30 Kotak Gilt - Investment 29 Kotak Global Emerging Market Fund 34 Kotak Gold ETF 37 Kotak Gold Fund 51 Name: Mr. Deepak Agrawal (experience in managing these funds since) (Kotak Bond Short Term (Apr. 14, 08), Kotak Flexi Debt (Jul. 11, 07), Kotak Floater Short Term (Jul. 11, 07), Kotak Liquid (Jul. 11, 07), Kotak Kotak Banking and PSU Debt Fund (Apr. 14, 08), Kotak Treasury Advantage Fund (Formerly Known as Kotak Floater Long Term ) (Jul. 11, 07), Kotak Income Opportunities Fund (May 11, '10), Kotak Medium Term Fund (Mar. 21, 14), Kotak Duration Fund (Jan. 31, 15), Kotak Corporate Bond Fund (Jan. 31, 15), All Fix Maturity Plans in existence (Aug. 13,'15), All Quarterly Interval Plans (QIPs) (Aug. 13,'15) Business Experience Mr. Deepak's career has started from Kotak AMC when he joined the organization in December 2002 where he was initially in Research, Dealing and then moved into Fund Management from November Mr. Deepak is a Post Graduate in Commerce, Chartered Account and Company Secretary. Performance of top 3 and bottom 3 schemes of the Fund Manager Fund Manager Top 3 Bottom 3 Mr. Deepak Agrawal Refer Page No. Kotak FMP - Series 131 (1061 Days) 50 Kotak FMP - Series 127 (730 Days) 50 Kotak FMP - Series 153 (790 Days) 50 Kotak FMP - Series 146 (388 Days) 50 Kotak FMP - Series 151 (388 Days) 51 Kotak FMP - Series 147 (384 Days) 51 Name: Mr. Devender Singhal (experience in managing these funds since) Kotak Monthly Income Plan (Aug. 25, 15) Business Experience Mr. Devender has been associated with the Kotak Group since July He is responsible for the research coverage of FMCG, Automobiles and Media sectors at Kotak AMC since Feb Devender has an overall working experience of 14 years in equity research and fund management. Prior to joining Kotak AMC, Devender worked with the PMS divisions of Kotak, Religare, Karvy and P N Vijay Financial Services. 53

55 DIVIDEND HISTORY Equity s Kotak Equity Arbitrage Fund Record Date Cum Dividend NAV `/Unit Aug Jul Jun May Mar Feb Jan Dec Nov Oct Sep Aug Jul Jun May Apr Mar Feb Jan Dec Nov Oct Sep Aug Jul Jun May Apr Mar Feb Jan Kotak 50 - Dividend Record Date Cum Dividend NAV `/Unit Jun Dec Feb Feb Feb Jan Jan Mar Feb Jan July Dec Dec Jun Nov Jan Oct Dec Oct Kotak Classic Equity Record Date Cum Dividend NAV `/Unit Jul Jan Jul Kotak Opportunities Record Date Cum Dividend NAV Kotak Asset Allocator Fund (Earlier Know as Kotak Equity FOF) `/Unit Aug Aug Sept Nov May Sept Mar Jan Sept Sept Mar Feb Kotak Midcap Record Date Cum Dividend NAV `/Unit Feb Feb Feb Feb Apr Aug Kotak Tax Saver Record Date Cum Dividend NAV `/Unit Dec Nov Feb Feb Kotak Emerging Equity Record Date Record Date Cum Dividend NAV `/Unit Aug Individual/ HUF: Others: Aug Jul Jun May Apr Mar Feb Kotak Infrastructure and Economic Reform Record Date Cum Dividend NAV Cum Dividend NAV `/Unit Apr May May Apr Kotak Select Focus Record Date Cum Dividend NAV `/Unit Sept Oct Kotak Equity Saving Fund - Monthly Dividend Option Record Date Cum Dividend NAV `/Unit `/Unit Jun

56 Hybrid s Kotak Balance Record Date Cum Dividend NAV `/Unit Mar Sep Mar Sep Mar Sep Mar Sept Mar Sept Mar Sept Mar Sept Sept Mar Dec May ETF SCHEMES Kotak PSU Bank ETF Record Date Nov Feb Kotak SENSEX ETF Record Date Kotak Nifty ETF Record Date Cum Dividend NAV Cum Dividend NAV Cum Dividend NAV `/Unit `/Unit Nov June `/Unit Nov Jan May Kotak Monthly Income Plan - Monthly Dividend Record Date Kotak Monthly Income Plan - Quarterly Dividend Record Date Cum Dividend NAV Cum Dividend NAV `/Unit Aug Individual/ HUF: Others: Jul Individual/ HUF: Others: Jun Individual/ HUF: Others: May Individual/ HUF: Others: `/Unit Jun Individual/ HUF: Others: Mar Individual/ HUF: Others: Dec Individual/ HUF: Others: Sep Individual/ HUF: Others:

57 NOTES 56

58 SERVICES & FACILITIES Network of Transaction Acceptance Points: Submit transaction requests at your convenience across our 27 Investor Service Centres and 171 Transaction Points of CAMS. (To locate these, visit the Contact Us section on our website, Electronic Credit of Dividends and Redemption Proceeds: Now get your dividend payouts and redemption proceeds paid directly into your bank account with any bank, provided the same is connected under Core Banking System of RBI. Ensure your complete core banking account details are updated at our end. Systematic Investments, Withdrawals and Transfers: Our Systematic Investment Facility provides you with the option of investing a fixed amount over a period of time, in a disciplined manner. Through this process, you benefit from Rupee Cost Averaging (buying more Units at lower NAV), and avoid the uncertainties involved with trying to time the market. Through our Systematic Withdrawal Facility, withdraw fixed amounts, or the entire appreciation on your investment, in any scheme periodically and benefit by averaging out on market fluctuations. To systematically transfer investments from one Kotak scheme to another, try our Systematic Transfer Facility. This tool also helps you manage your investment portfolio among Kotak Mutual s, in line with your asset allocation plan. Dividend Transfer Plan: Avail of the facility to transfer your dividend proceeds from one scheme to another. This facility is available for physical units held by an investor under the Dividend Options (other than Daily Reinvestment Sub-option) of all open ended s of Kotak Mahindra Mutual Fund. Internet Transaction: Invest Online. Hassle-free transaction processing at your fingertips. You can now purchase, switch, redeem and invest in NFO, electronically through our Internet Transaction Facility. You can also view/ download your account statement at any time. This facility has been extended to new investors of Kotak Mutual Fund as well. You need not be an existing investor of Kotak Mutual Fund to transact online. New investor just need to log onto to our Internet Transaction Portal & start investing. For more details please log on to: assetmanagement.kotak.com Mobile Transaction: Have the convenience of transacting, on the go! Use the Kotak Mutual Fund Mobile App for transacting. You can simply download this app from your App Store (Google Play, Windows 8 or Ios) and use the Internet transaction PIN to start transacting. Communication: Opt in for value-added information through , Daily NAV and Dividend Updates, Monthly Updates and more. You can also receive your account statement and your transaction confirmation details by updation of your address at our end. To update your address, you just need to give a call on (toll-free) from your registered contact number, and your address will be recorded after due verification. Website Utilities: Plan and track your investments better. Use our Risk Profiler to assess your risk appetite, Life goal planner to know the future value of your financial goals and the funds that you need to invest per month to fulfill these goals, and our SIP-O-Meter to know how much returns SIP can generate for you. Just log on to our website (assetmanagement.kotak.com) and access all these facilities. For details contact us at: KOTAK MAHINDRA ASSET MANAGEMENT COMPANY LIMITED 6th Floor, Kotak Infiniti, Building No. 21, Infinity Park, Off Western Express way, Gen. A. K. Vaidya Marg, Malad (East), Mumbai Tel.: Fax: mutual@kotak.com Website: assetmanagement.kotak.com Corporate Office of Asset Management Company: 3rd floor, Sheil Estate Building, Dani Corporate Park, 159-A, C S T Road, Kalina, Santacruz (E), Mumbai RISK FACTORS Mutual Fund investments are subject to market risks, read all scheme related documents carefully. *The rating indicates highest degree of safety regarding timely receipt of payments from the investments that the has made. The ratings should, however, not be construed as an indication of expected returns, prospective performance of the Mutual Fund, NAV or of volatility in its returns. Disclaimer on market outlooks: The outlook provided is only a subjective understanding of an uncertain market phenomena, which may or may not occur, and may also not have any effect on the performance of the scheme, clement or otherwise. This outlook should not be construed as a reason for investment into the scheme based on prospect of future performance, which may not accrue as anticipated by the statement. Contact Details Agra: Ahmedabad: / Ajmer: Aligarh: Allahabad: Ambala: /71 Amritsar: / Anand: Aurangabad: Bangalore: / 51 Bareilly: Bhavnagar: Bhilai: Bhopal: Bhubaneshwar: / Bhuj: Calicut: Chandigarh: / Chennai: / Cochin: / Coimbatore: Cuttack: / Dehradun: / Dhanbad: / Durgapur: / Goa: Gorakpur: Gurgaon: Guwahati: Hubli: Hyderabad: / 41/ 42 Indore: Jaipur: / Jalandhar: Jalgaon: / 32 Jammu: Jamnagar: Jamshedpur: / / Jodhpur: Kanpur: / Kolhapur: / 91 Kolkata: / 12/ 13/ 14 Kottayam: Lucknow: / Ludhiana: / Mangalore: Meerut: Mumbai: Mumbai: (Thane): / 186 Muradabad: Mysore: Nagpur: /8577 Nashik: New Delhi: / 02 Panipat: Patiala: Patna: Pondicherry: Pune: / Raipur: Rajkot: Ranchi: / / Rourkela: / Salem: Shimla: / Silliguri: Surat: / Trichur: Trichy: Trivandrum: Udaipur: Vadodara: / Vapi: / Varanasi: Vijayawada: Vishakapatnam:

59 Long term capital growth Investment in portfolio of predominantly equity & equity related securities generally focussed on a few selected sectors. * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. Investors understand that their principal will be at moderately high risk 58