We can take many investment lessons from our ancient traditions and epics. For one, I see a an Ekalavya and a Kumbhakarna way of investing.

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1 June 30, 2017

2 EXPERT SPEAK Mr. Nilesh Shah June 30, 2017 Dear Friends, Investing in markets is about knowledge and discipline. Knowledge answers the 'How To' of investing. Discipline answers the 'Why To' of investing. Knowledge is needed to understand the mechanics of the markets. Discipline is needed to let you use that 'mechanics' gainfully while overriding your fear and greed. In my understanding, there are three primary ways of investing in the equities market using blend of Knowledge and Discipline in various degree. We can take many investment lessons from our ancient traditions and epics. For one, I see a an Ekalavya and a Kumbhakarna way of investing. Ekalavya way demands intense focus, dedicated self-learning, willingness to tolerate mistakes (and to bear their costs), and the self-criticism to learn from it. Here the investor learns the market fundamentals and complexities by him/herself. Such investors follow direct equity investment strategies developed on the basis of their own research. This method demands lot of time, intense analytical expertise and indepth financial knowledge. The returns are also in line with the input. The sharper the knowledge and discipline, the higher the gains. But there is also a cost for those who use this direct approach but have still not reached the expertise level of Ekalavya. Kumbhakarna way is simply to invest a lumpsum into the equities market directly/through mutual funds for long term and then forget about it. In Kumbhakarna way, the investor invests for the long term of years and sleeps through the entire investment period (only figuratively of course). Such investors will find that their investments have grown multifold and the capital created has become substantial during the course. But it is a difficult to be so detached. Not all can be as relaxed as Kumbhakarna or as self-driven as Ekalavya. Here investors need professional advice, portfolio management support and also a steady communication to keep them disciplined. Mutual funds and its distribution business come into picture here. Here the investor allocates between various assets and funds based on the objective, plan and strategy devised on the basis of inputs given by the advisor. They utilise the product and market knowledge of the advisors to allocate between various funds and asset classes. Such investors utilise the dedicated focus of the mutual fund managers to manage their investment portfolio. Finally, the distributors play a key role in keeping investors engaged with the market; and motivate the investors to ride through the volatility and help them create wealth. This is a vital social and economic function that our distributors play. On a slightly off beat note, I want to point out to our distributor brethren the importance of the art of storytelling in the advisory role. People have a tendency to remember and connect with difficult ideas, concepts and changes if they are communicated in a terms and references with the listener can connect and identify. I have been approached many times by investors from remote areas who have recognised me as the person who gives Ramayana's reference towards investing. They still remember the ideas that I presented and the concepts that I clarified using that example. The point is: if distributors can develop their communication style with the popular imagination of their clientele, then they may be able to gel better with the deeper ethos of the investors. In the long run, investors would recognize such concepts with the distributors who said it; and their recall value would go up. Wishing the Best of the Season. Market Valuation/Investor Stance Strategy for Investment in Current Scenario Underweight Neutral Overweight Below Fair Value Lumpsum Lumpsum Leverage Fair Value STP/Lumpsum SIP Partial Profit Booking Above Fair Value STP Partial Profit Booking Take profit home Thanks and Regards, Nilesh Shah Managing Director 1

3 EQUITY VIEW INDIA: GST becomes a reality; Re-architecting India The Indian markets took a breather in the month of June 2017 with the large cap Nifty index declining 1.04% while the Nifty midcap 50 index was marginally higher at 0.72%. On a one year basis though, the nifty is up 14.88%. Performance so far has been aided by momentum in policy reforms, stable macro trends and liquidity support. June 2017 saw India gearing up for its biggest tax reform since independence with the rollout of the Goods and Services Tax (GST) on July 1, Flows into the Indian equity markets remained strong with Foreign Institutional Investors being net buyers to the tune of USD385mn and Domestic Institutional Investors being net buyers to the tune of USD1.01Bn in the month of June GST The new paradigm in the Indian tax system The country has moved to a new paradigm in taxation with the implementation of GST from July 1, GST will create a more efficient taxation system in the country and broaden the tax base by ensuring that the entire value chain comes under the tax net. Further, the implementation of GST is likely to reduce the incidence of tax avoidance and will help India improve its tax-gdp ratio. The adoption of GST would also lead to a migration from the unorganised to the organised sector and result in market share gains of entities in the organised space in sectors which till date have had a large unorganised presence. However, in the near term, the implementation of GST could result in some disruptions as the production process aligns to the new framework GST in summary: Tax rates declared unlikely to be inflationary in nature The GST Council has decided the tax rates while trying to keep the rates closer to present effective rates for most commodities and services. Tax rates under GST will be kept under four specific slabs: 5%, 12%, 18% and 28%. Luxury and sin goods will attract additional cess over the peak rate of 28%. Alcohol for human consumption and electricity are outside the purview of GST while levy on petroleum products (crude, diesel, petrol, natural gas, and ATF) will be recommended by the GST Council at a later date. With tax rates under GST being largely in line with the existing rates, our estimates suggest that GST would largely be inflation neutral from a Consumer Price Index (CPI) standpoint. Minutes of the June RBI meeting suggests members are less hawkish than before; possibility of an August policy rate cut emerges The Minutes of the 6-7th June 2017 Monetary Policy Committee (MPC) meeting released by the RBI show that one member, Mr Ravindra Dholakia, called for a 50bp cut in the repo rates. The other five members voted for status quo. Most members continue to be concerned about non-food inflation, which remains sticky. The RBI governor highlighted upside risk to inflation on Pay Commission hikes and farm loan waivers. We believe that CPI inflation, which surprised on the downside in the May reading, is likely to be followed by a benign print in June and July The approval of the increase in allowances under the 7Th Central Pay Commissions for central government employees would add ~ 90-95bps to March 2018 inflation. However, this is a statistical impact. With inflation likely to remain on an average for the year FY18 close to or below the RBI's medium term target of 4%, we do believe that the August meeting offers scope for RBI to cut policy rates by 25bps. Banking sector NPLs: Need for faster resolution of corporate accounts; RBI directs banks to initiate proceedings under the Bankruptcy Code for 12 corporate accounts Till date, the resolution process for the pool of large corporate loans under stress has been slow. Given the urgency to resolve these loans, the Government of India passed an Ordinance enabling RBI to facilitate the resolution of these assets and directly intervene in the process. RBI has since identified 12 accounts (which are ~25% of the Gross NPLs of the banking system) and has asked banking to initiate the resolution process for these loans under the Indian Bankruptcy Code (IBC). While the resolution process could result in near term impact on the profitability of banks (due to higher provisioning), we believe that the steps are in the right direction. However, with higher provisions, some of the state owned banks which are poorly capitalised would require capital infusion over the next year or so. For those banks which are well capitalised, the speedy resolution of these loans would help clean up their balance sheets. Key Variables & Their Impact On Equities Key Variables Short - term Medium - term Remarks Economy Corporate Earnings FII Flow DII Flow Supply of paper Interest Rates Transmission Policy/Reform Initiative Demonitisation to impact near-term growth, but normalcy to return. Improving operating leverage, falling interest costs and improvement in working capital can accelerate earnings, but a bit back-ended (FY18). Key is improvement in capacity utilisation India stands out among global asset classes with prospects of strong long term growth. Our tax policy has spooked FII couple off times. Budget FY 18 should reassure them. Focus on improving financial savings of households er disinvestment target and repair of leveraged balance sheet to create supply in markets. Fall in interest rates to help revive demand and reduce stress for companies with significant debt. Market expecting better transmission of rates. GST is key reform for government to focus on, can provide a significant fillip 2

4 DEBT VIEW Items Jun-17 May-17 Change Reverse Repo 6.00% 6.00% Nil Repo 6.25% 6.25% Nil CRR 4.00% 4.00% Nil SLR 20.00% 20.50% -50bps Mibor Overnight 6.25% 6.25% Nil Call(O/N) 6.11% 6.02% 9 bps CBLO 6.05% 6.10% -5 bps 1 yr T Bill 6.35% 6.44% -9 bps 10 G Sec 6.51% 6.66% -15 bps 5 Year AAA 7.32% 7.44% - 12 bps USD/INR Source: RBI; Bloomberg. Key Events: Launch of Goods and Services Tax (GST), India's biggest tax reform will help ease of business, increase tax compliance and give a boost to the economy and is a credit positive event as per Moody's Reserve Bank of India (RBI) has kept the Repo rate unchanged at 6.25% in its latest Monetary Policy review while cutting the Statutory Liquid Ratio (SLR) by 50 basis points to 20%, effective 24 June. Five of the six Monetary Policy Committee (MPC) members voted for status quo on rates, while Mr. R Dholakia pleaded for a 50 bps cut at least with immediate effect. RBI also revised the projected real GVA growth for this financial year to 7.3%, down 10 basis points from the earlier projection made in April Consumer price index (CPI), slowed to 2.18 % in May from 2.99 % in April The index of industrial production (IIP) rose by 3.1 % in April led by robust growth in electricity generation. The Federal Reserve hiked the fed-funds rate by a 25 bps to between 1 % and 1.25 %, as expected. The Bank of Japan kept monetary policy steady and upgraded its assessment of private consumption and overseas growth, signalling its confidence that an export-driven economic recovery was broadening and gaining momentum. India's exports rose by 8.32% to USD 24 bn in May, even as the trade deficit shot up to nearly 30-month high of USD bn, mainly due to increase in gold imports. India's imports too increased by 33% to USD bn in May this year. Outlook 3 Short Term Outlook Long Term Outlook We expect short term rate curve up to 2 year to flatten given the renewed possibility of rate cuts going ahead. Short Term rates would move down further in case RBI cut rates or would remain at similar levels in absence of rate cuts. The RBI surprised the market by announcing OMO bond sales worth 10k cr. which probably can create some near term spike in the bond yields. There is a fear emerging that RBI will add duration and sterilise liquidity through OMO, however we believe while the liquidity may get sterilised but RBI will accept large amount of short bonds rather than long bonds and conduct the OMO in non-disruptive manner. As far as liquidity is concerned its available in ample and couple of OMO's of 10k will not disturb the magnitude of surplus liquidity We expect the June CPI reading to be ~ % and Core ~ % which is much below the expectation. This will shift the focus to the rate cut expectation in the coming policy and thus leading to a rally in the 10 yr Gilt. RBI kept the Policy rates unchanged while waiting to be more sure that inflation will stay subdued. We believe that lower inflation and moderating growth would provide the space for RBI to reduce policy rate by 50 bps over the course of next 1 year. The Impact of 7 CPC is likely to be minimal and will be looked through by the MPC. We believe the global bond yields have sold-off considerably and further rise could be low Having said that, we believe that lower inflation and moderating growth would provide the space for RBI to reduce policy rate by 50 bps over the course of next 1 year. In the near term, we expect the new 10 year gilt to trade in the band, RBI policy to give direction to the market and will lead to shift in the trading band but will not alter the long term trend of easy rates. Key Variables & their Impact On Interest Rates in 2017 Key Variables Short - term (3-6 month) Medium term (6month 2 years) Inflation Rupee Credit Demand Government Borrowing RBI Policy Global Event Risk Corporate bond Spread Debt FII flow Liquidity Denotes fall in interest rates 3

5 Market Valuation Indicators Markets Fairly Valued Few Indicators Like PE Indicate Over-valuation, While Other Composite Indicators Like P/B Or Market Cap To GDP Suggest Valuations Still Having Room To Expand 12-month forward Sensex P/B (x) India s Market Cap to GDP (%) Year Avg: 2.7x Average of 78% for the period Jun 07 Jun 08 Jun 09 Jun 10 Jun 11 Jun 12 Jun 13 Jun 14 Jun 15 Jun 16 Jun 17 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 Market Bubble Stretched Fair Value Plus Fair Attractive Cheap Equity Allocaion Exit 5% 10% Under Invested 15% 25% Neutral 35% 45% Neutral 50% Neutral + 65% 75% Over Invested 80% 90% Suggested equity allocation (Assuming 50% equity allocation as neutral) Stretched 18x 20x 18x 20x 12-month forward Sensex P/E (x) Fair 12x 16x Attractive 10x 10x 12x 12x Cheap 9x 10x Fair Value Plus Plus 16x 16 18x 18x Jun 14 Jun 14 Jul 14 Aug 14 Sep 14 Oct 14 Dec 14 Dec 14 Jan 15 Feb 15 Mar 15 Apr 15 May 15 Jun 15 Jul 15 Aug 15 Sep 15 Oct 15 Nov 15 Dec 15 Jan 16 Feb 16 Mar 16 Apr 16 May 16 Jun 16 Jul 16 Aug 16 Sep 16 Oct 16 Nov 16 Dec 16 Jan 17 Feb 17 Mar 17 Apr 17 May 17 Jun 17 GOLD VIEW Gold has been traditionally perceived to be a safe haven currency at the time of geo political risk or Dollar weakening or fed rate cut. In the month of June, the gold prices fell in dollar terms post fed rate hike however as the INR also depreciated therefore remained range bound in Rupee terms. The oil prices were oscillating between mark but pressure on the prices visible and 50 mark testing the technical resistance. There was no material visible impact of GST on Gold Px in INR terms. To sum it up, we expect the gold prices to remain range bound from here other assets particularly bonds and equities may do well. We continue to believe that India story is unfolding and it has a long way to go. Therefore, for long term growth seekers, equities are likely to be a better play followed by bonds and then gold bonds for domestic investors. 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. However, there is no assurance that the objective of the scheme will be realized. December 29,1998 Fund Manager Mr. Harish Krishnan* Nifty 50 AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 70.24% Beta: 1.00 ## Sharpe :0.52 Standard Deviation : 13.41% Source: ICRA MFI Explorer. ## Risk rate assumed to be 6.25% ( FBIL Overnight MIBOR rate as on 30th June 2017) 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 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. Total Expense Ratio ** Regular:2.17% Direct: 1.00% Equity & Equity related (Listed/Awaiting listing on Stock Exchange) HDFC Bank Ltd. Banks 8.71 ITC Ltd. Consumer Non Durables 6.93 ICICI Bank Ltd. Banks 5.82 Infosys Ltd. Software 4.45 Reliance Industries Ltd. Petroleum Products 4.40 IndusInd Bank Ltd. Banks 4.33 Maruti Suzuki India Limited Auto 3.88 Larsen And Toubro Ltd. Construction Project 3.46 State Bank Of India Banks 3.15 Hero MotoCorp Ltd. Auto 3.12 Axis Bank Ltd Banks 2.65 Tata Motors Ltd - DVR Auto 2.30 GAIL (India) Ltd. Gas 2.02 Bharat Petroleum Corporation Ltd. Petroleum Products 1.87 Shree Cement Ltd. Cement 1.86 Zee Entertainment Enterprises Ltd Media and Entertainment 1.80 Cadila Healthcare Ltd. Pharmaceuticals 1.73 Britannia Industries Ltd. Consumer Non Durables 1.62 The Ramco Cements Ltd Cement 1.41 Apollo Hospitals Enterprises Ltd. Healthcare Services 1.40 ICICI Prudential Life Insurance Company Ltd Finance 1.37 Bayer Cropscience Ltd. Pesticides 1.36 Ultratech Cement Ltd. Cement 1.36 Kajaria Ceramics Ltd. Construction 1.27 Fag Bearings India Ltd. Industrial Products 1.23 Persistent Systems Limited Software 1.20 Sun TV Limited. Media and Entertainment 1.17 Bank Of Baroda Banks 1.15 HCL Technologies Ltd. Software 1.12 Strides Shasun Ltd. Pharmaceuticals 1.06 DB Corp Limited Media and Entertainment 1.04 Notes: Term Deposit as provided above is towards margin for derivatives transactions Monthly SIP of Rs Total amount invested (Rs) Total Value as on June 30, 2017(Rs) Returns (%) Nifty 50 (Rs)# Nifty 50 Returns (%) S&P BSE SENSEX (Rs)^ S&P BSE SENSEX Returns (%) SYSTEMATIC INVESTMENT PLAN (SIP) Bharat Electronics Ltd Industrial Capital Goods 1.00 Indraprastha Gas Ltd. Gas 0.97 Torrent Pharmaceuticals Ltd. Pharmaceuticals 0.96 Motherson Sumi Systems Ltd. Auto Ancillaries 0.93 National Thermal Power Corporation Limited Power 0.93 Sanofi India Ltd. Pharmaceuticals 0.93 Supreme Industries Limited Industrial Products 0.92 Arvind Ltd Textile Products 0.91 Laurus Labs Ltd Pharmaceuticals 0.90 Castrol (India ) Ltd. Petroleum Products 0.89 MRF Limited Auto Ancillaries 0.89 Tech Mahindra Ltd. Software 0.87 DR.Lal Pathlabs Ltd Healthcare Services 0.86 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 0.81 Petronet LNG Ltd. Gas 0.79 Solar Industries India Limited Chemicals 0.71 Equitas Holdings Ltd Finance 0.66 HDFC Ltd. Warrants Finance 0.64 Bharat Earth Movers Ltd. Industrial Capital Goods 0.56 Bharat Financial Inclusion Limited Finance 0.49 GE Power India Limited Industrial Capital Goods 0.45 Bata India Ltd. Consumer Durables 0.39 RBL Bank Ltd Banks 0.06 Listed/Awaiting Listing on Stock Exchange - Total Futures RBL Bank Ltd-JUL Futures (Market value represents Notional Value) - Total 0.82 TERM DEPOSITS AXIS Bank Ltd Term Deposits - Total 0.48 Collateral Borrowing & Lending obligation 2.64 Net Current /(Liabilities) Systematic Investment Plan (SIP) If you had invested `10,000 every month 1 year 3 years 5 years 7 years 10 years Since Inception 120, , , ,000 1,200,000 1,540, , , ,788 1,374,905 2,316,349 14,852, , , ,527 1,221,347 2,020,097 8,676, , , ,765 1,197,833 1,975,338 8,719, Inception : - December 29, The returns are calculated by XIRR approach assuming investment of `10,000/- 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, 2017: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) 3.78 SECTOR ALLOCATION (%) Banks Auto Consumer Non Durables Software Others Pharmaceuticals Petroleum Products Gas Construction Project Cement Media and Entertainment 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. * For Fund Manager experience, please refer page For last three dividends, please refer page no For scheme performance, please refer page no 45-53

7 EQUITY SCHEMES KOTAK CLASSIC EQUITY 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. However, there is no assurance that the objective of the scheme will be realized. July 27, 2005 Fund Manager Mr. Deepak Gupta* Nifty 100 AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: % Beta: 0.97 ## Sharpe :0.34 Standard Deviation : 12.88% Source: ICRA MFI Explorer. ## Risk rate assumed to be 6.25% ( FBIL Overnight MIBOR rate as on 30th June 2017) 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 Exit Load: Nil. (applicable for all plans), (w.e.f December 01, 2014) Regular: 2.69% Direct: 1.19% Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Infosys Ltd. Software 5.69 ITC Ltd. Consumer Non Durables 4.48 Hindalco Industries Ltd Non - Ferrous Metals 4.20 Reliance Industries Ltd. Petroleum Products 3.93 Power Grid Corporation Of India Ltd Power 3.77 Tata Consultancy Services Ltd. Software 2.95 Grasim Industries Ltd. Cement 2.91 Hero MotoCorp Ltd. Auto 2.91 Maruti Suzuki India Limited Auto 2.80 National Thermal Power Corporation Limited Power 2.71 GAIL (India) Ltd. Gas 2.60 Bharat Petroleum Corporation Ltd. Petroleum Products 2.43 Oil & Natural Gas Corporation Ltd. Oil 2.11 Yes Bank Ltd Banks 2.02 HDFC Bank Ltd. Banks 1.89 Tata Motors Ltd - DVR Auto 1.74 Tata Communications Ltd Telecom - Services 1.73 HDFC Ltd. Warrants Finance 1.54 IndusInd Bank Ltd. Banks 1.52 Tata Steel Limited. Ferrous Metals 1.50 Hindustan Petroleum Corporation Ltd Petroleum Products 1.36 State Bank Of India Banks 1.32 Vedanta Ltd. Non - Ferrous Metals 1.29 HDFC Ltd. Finance 1.28 Colgate Palmolive (India ) Ltd. Consumer Non Durables 1.22 Piramal Enterprises Limited Pharmaceuticals 1.22 Sun TV Limited. Media and Entertainment 1.22 Tech Mahindra Ltd. Software 1.20 Wipro Ltd. Software 1.20 Petronet LNG Ltd. Gas 1.18 Bajaj Finserv Ltd. Finance 1.13 Laurus Labs Ltd Pharmaceuticals 1.09 Indraprastha Gas Ltd. Gas 0.99 Notes: Term Deposit as provided above is towards margin for derivatives transactions Monthly SIP of Rs Total amount invested (Rs) Total Value as on June 30, 2017 (Rs) Returns (%) Nifty 100 (Rs)# Nifty 100 Returns (%) Nifty 50 (Rs)^ Nifty 50 Returns (%) SYSTEMATIC INVESTMENT PLAN (SIP) AU Small Finance Bank Ltd. Banks 0.96 Muthoot Finance Ltd Finance 0.96 Eris Lifesciences Ltd Pharmaceuticals 0.80 Indian Oil Corporation Ltd Petroleum Products 0.75 The Ramco Cements Ltd Cement 0.72 JSW Steel Ltd. Ferrous Metals 0.60 Avenue Supermarts Ltd Retailing 0.58 Axis Bank Ltd Banks 0.57 S Chand And Company Ltd Media and Entertainment 0.54 Bajaj Finance Limited Finance 0.49 Eicher Motors Ltd Auto 0.47 Aditya Birla Nuvo Limited Services 0.45 HCL Technologies Ltd. Software 0.19 ICICI Bank Ltd. Banks Vedanta Reedemable Preference Shares Non - Ferrous Metals 0.17 Housing & Urban Development Corporation Ltd Finance 0.17 Biocon Ltd. Pharmaceuticals 0.06 RBL Bank Ltd Banks 0.03 Listed/Awaiting Listing on Stock Exchange - Total Futures HDFC Bank Ltd.-JUL ICICI Bank Ltd.-JUL IndusInd Bank Ltd.-JUL ITC Ltd.-JUL Bharat Petroleum Corporation Ltd.-JUL HCL Technologies Ltd.-JUL RBL Bank Ltd-JUL Axis Bank Ltd-JUL Biocon Ltd.-JUL Bajaj Finance Limited-JUL Hindustan Unilever Ltd.-JUL Futures (Market value represents Notional Value) - Total TERM DEPOSITS AXIS Bank Ltd Term Deposits - Total 3.84 Collateral Borrowing & Lending obligation Net Current /(Liabilities) Inception : - July 27,2005. The returns are calculated by XIRR approach assuming investment of `10,000/- 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, 2017: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Systematic Investment Plan (SIP) If you had invested `10,000 every month Banks Software Auto Finance Others Derivatives Petroleum Products Power Consumer Non Durables CBLO & Term Deposits & Rev.Repo Non - Ferrous Metals 1 year 3 years 5 years 7 years 10 years Since Inception 1,20,000 3,60,000 6,00,000 8,40,000 12,00,000 14,40,000 1,30,716 4,26,820 8,55,829 13,47,146 23,17,826 31,21, ,31,077 4,20,980 8,26,219 12,70,231 21,26,679 28,89, ,30,496 4,12,973 7,98,527 12,21,347 20,20,097 27,41, 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. * For Fund Manager experience, please refer page For last three dividends, please refer page no For scheme performance, please refer page no

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. However, there is no assurance that the objective of the scheme will be realized. September 9, 2004 Fund Manager Mr. Harsha Upadhyaya* Nifty 500 AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 51.96% Beta: 1.02 ## Sharpe :0.80 Standard Deviation :13.88% Source: ICRA MFI Explorer. ## Risk rate assumed to be 6.25% ( FBIL Overnight MIBOR rate as on 30th June 2017) 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 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. (applicable for all plans) iv) Units issued on reinvestment of dividends shall not be subject to exit load (applicable for all plans) Regular:2.13% Direct: 0.98% Equity & Equity related (Listed/Awaiting listing on Stock Exchange) HDFC Bank Ltd. Banks 6.24 ITC Ltd. Consumer Non Durables 5.09 Reliance Industries Ltd. Petroleum Products 4.59 Hero MotoCorp Ltd. Auto 3.80 ICICI Bank Ltd. Banks 3.38 State Bank Of India Banks 3.27 IndusInd Bank Ltd. Banks 3.13 Maruti Suzuki India Limited Auto 2.84 Shree Cement Ltd. Cement 2.56 HDFC Ltd. Finance 2.44 Larsen And Toubro Ltd. Construction Project 2.37 GAIL (India) Ltd. Gas 2.33 Infosys Ltd. Software 2.04 Hindustan Petroleum Corporation Ltd Petroleum Products 1.99 Dalmia Bharat Ltd. Cement 1.94 UPL Ltd Pesticides 1.90 Axis Bank Ltd Banks 1.88 Coromandel International Ltd. Fertilisers 1.84 Britannia Industries Ltd. Consumer Non Durables 1.74 Max Financial Services Ltd. Finance 1.72 Petronet LNG Ltd. Gas 1.63 Zee Entertainment Enterprises Ltd Media and Entertainment 1.63 Torrent Pharmaceuticals Ltd. Pharmaceuticals 1.59 Ultratech Cement Ltd. Cement 1.56 Bharat Petroleum Corporation Ltd. Petroleum Products 1.53 Indraprastha Gas Ltd. Gas 1.50 ICICI Prudential Life Insurance Company Ltd Finance 1.42 Bajaj Finance Limited Finance 1.41 Healthcare Global Enterprises Ltd Healthcare Services 1.37 Avenue Supermarts Ltd Retailing 1.36 Arvind Ltd Textile Products 1.30 DR.Lal Pathlabs Ltd Healthcare Services 1.30 Mahindra & Mahindra Ltd. Auto 1.29 Tata Motors Ltd. Auto 1.14 Notes: Term Deposit as provided above is towards margin for derivatives transactions Monthly SIP of Rs Total amount invested (Rs) Total Value as on June 30, 2017(Rs) Returns (%) Nifty 500 (Rs)# Nifty 500 Returns (%) Nifty 50 (Rs)^ Nifty 50 Returns (%) SYSTEMATIC INVESTMENT PLAN (SIP) Inception : - September 09, The returns are calculated by XIRR approach assuming investment of `10,000/- 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, 2017: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) Banks Finance Cement SECTOR ALLOCATION (%) Systematic Investment Plan (SIP) If you had invested `10,000 every month Auto Gas Others Pharmaceu cals Petroleum Products Industrial Products Consumer Non Durables Construction Project The Ramco Cements Ltd Cement 1.12 Fag Bearings India Ltd. Industrial Products 1.08 Linde India Ltd. Chemicals 1.00 Multi Commodity Exchange of India Limited Finance 0.96 MRF Limited Auto Ancillaries 0.95 SRF Ltd. Textile Products 0.93 JK Cement Ltd. Cement 0.91 Techno Electric & Engineering Co Ltd. Construction Project 0.91 AIA Engineering Limited Industrial Products 0.84 Bata India Ltd. Consumer Durables 0.81 Equitas Holdings Ltd Finance 0.78 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 0.76 National Buildings Construction Corporation Limited Construction 0.75 Bharat Earth Movers Ltd. Industrial Capital Goods 0.74 Va Tech Wabag Limited Engineering Services 0.71 Lupin Ltd. Pharmaceuticals 0.64 Whirlpool of India Ltd. Consumer Durables 0.64 Ashok Leyland Ltd. Auto 0.58 Persistent Systems Limited Software 0.58 Bank Of Baroda Banks 0.55 Container Corporation of India Ltd. Transportation 0.51 Cummins India Ltd. Industrial Products 0.51 HDFC Ltd. Warrants Finance 0.43 Swaraj Engines Ltd Industrial Products 0.43 SKF India Ltd Industrial Products % Redm Preference Sh Zee Entertainment Enterprises Ltd Media and Entertainment 0.07 Listed/Awaiting Listing on Stock Exchange - Total TERM DEPOSITS AXIS Bank Ltd Term Deposits - Total 0.82 Collateral Borrowing & Lending obligation 1.69 Net Current /(Liabilities) year 3 years 5 years 7 years 10 years Since Inception 120, , , ,000 1,200,000 1,540, , , ,627 1,559,355 2,693,432 4,705, , , ,279 1,323,137 2,190,654 3,434, , , ,527 1,221,347 2,020,057 3,234, 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 * For Fund Manager experience, please refer page For last three dividends, please refer page no For scheme performance, please refer page no 45-53

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. However, there is no assurance that the objective of the scheme will be realized. September 11, 2009 Fund Manager Mr. Harsha Upadhyaya* Nifty 200 AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 39.49% Beta: 1.02 ## Sharpe : 0.86 Standard Deviation : 13.98% Source: ICRA MFI Explorer. ## Risk rate assumed to be 6.25% ( FBIL Overnight MIBOR rate as on 30th June 2017) 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 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. (applicable for all plans) iv) Units issued on reinvestment of dividends shall not be subject to exit load (applicable for all plans) Regular: 1.98% Direct: 1.00% Equity & Equity related (Listed/Awaiting listing on Stock Exchange) HDFC Bank Ltd. Banks 6.41 ITC Ltd. Consumer Non Durables 5.31 Reliance Industries Ltd. Petroleum Products 4.52 State Bank Of India Banks 4.05 Hero MotoCorp Ltd. Auto 3.99 Maruti Suzuki India Limited Auto 3.42 IndusInd Bank Ltd. Banks 3.25 ICICI Bank Ltd. Banks 3.17 Ultratech Cement Ltd. Cement 2.99 GAIL (India) Ltd. Gas 2.68 HDFC Ltd. Finance 2.51 The Ramco Cements Ltd Cement 2.40 Larsen And Toubro Ltd. Construction Project 2.33 Shree Cement Ltd. Cement 2.27 Axis Bank Ltd Banks 1.99 Bharat Electronics Ltd Industrial Capital Goods 1.99 Hindustan Petroleum Corporation Ltd Petroleum Products 1.98 Bajaj Finance Limited Finance 1.93 Indraprastha Gas Ltd. Gas 1.91 Mahindra & Mahindra Ltd. Auto 1.86 Petronet LNG Ltd. Gas 1.84 Britannia Industries Ltd. Consumer Non Durables 1.75 Infosys Ltd. Software 1.70 Max Financial Services Ltd. Finance 1.70 Arvind Ltd Textile Products 1.55 ICICI Prudential Life Insurance Company Ltd Finance 1.36 RBL Bank Ltd Banks 1.26 MRF Limited Auto Ancillaries 1.11 Bharat Petroleum Corporation Ltd. Petroleum Products 1.09 Godrej Consumer Products Ltd. Consumer Non Durables 1.05 Bayer Cropscience Ltd. Pesticides 1.04 Tata Motors Ltd. Auto 1.04 Cadila Healthcare Ltd. Pharmaceuticals 0.95 Notes: Term Deposit as provided above is towards margin for derivatives transactions Monthly SIP of Rs Total amount invested (Rs) Total Value as on June 30, 2017(Rs) Returns (%) Nifty 200 (Rs)# Nifty 200 Returns (%) Nifty 50 (Rs)^ Nifty 50 Returns (%) SYSTEMATIC INVESTMENT PLAN (SIP) Bajaj Finserv Ltd. Finance 0.93 Federal Bank Ltd. Banks 0.86 Equitas Holdings Ltd Finance 0.79 HCL Technologies Ltd. Software 0.79 Container Corporation of India Ltd. Transportation 0.68 Jk Lakshmi Cement Ltd. Cement 0.66 Ashok Leyland Ltd. Auto 0.65 Laurus Labs Ltd Pharmaceuticals 0.65 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 0.65 Lupin Ltd. Pharmaceuticals 0.62 Kec International Ltd. Construction Project 0.58 Techno Electric & Engineering Co Ltd. Construction Project 0.57 AIA Engineering Limited Industrial Products 0.47 Solar Industries India Limited Chemicals 0.47 Bata India Ltd. Consumer Durables 0.46 Bank Of Baroda Banks 0.35 Max India Limited Healthcare Services 0.30 Whirlpool of India Ltd. Consumer Durables 0.27 HDFC Ltd. Warrants Finance 0.25 Navkar Corporation Limited Transportation 0.23 Avenue Supermarts Ltd Retailing 0.21 Kirloskar Oil Engines Ltd. Industrial Products Redm Preference Sh Zee Entertainment Enterprises Ltd Media and Entertainment 0.01 Listed/Awaiting Listing on Stock Exchange - Total Futures CNX NIFTY-JUL RBL Bank Ltd-JUL Futures (Market value represents Notional Value) - Total 2.89 TERM DEPOSITS AXIS Bank Ltd Term Deposits - Total 1.04 Collateral Borrowing & Lending obligation 3.75 Net Current /(Liabilities) 2.32 Inception : - September 11, The returns are calculated by XIRR approach assuming investment of `10,000/- 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, 2017: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) Banks Finance Others SECTOR ALLOCATION (%) Systematic Investment Plan (SIP) If you had invested `10,000 every month CBLO & Term Deposits & Rev.Repo Derivatives Consumer Non Durables Auto Cement Gas Construction Project Petroleum Products 1 year 3 years 5 years 7 years Since Inception 1,20,000 3,60,000 6,00,000 8,40,000 9,40,000 1,34,283 4,65,758 10,23,153 16,60,901 19,53, ,31,643 4,25,454 8,40,713 12,87,418 14,82, ,30,496 4,12,973 7,98,527 12,21,347 14,11, 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. * For Fund Manager experience, please refer page For last three dividends, please refer page no For scheme performance, please refer page no

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. However, there is no assurance that the objective of the scheme will be realized. November 23, 2005 Fund Manager Mr. Harsha Upadhyaya* Nifty 500 AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout & Growth ( a p p l i c a b l e f o r a l l p l a n s ) Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 52.53% Beta: 1.09 ## Sharpe : 0.73 Standard Deviation : 14.99% Source: ICRA MFI Explorer. ## Risk rate assumed to be 6.25% ( FBIL Overnight MIBOR rate as on 30th June 2017) Initial Investment: `500 and in multiple of `500 Investment: `500 & in multiples of `500 Ideal Investments Horizon: 3 years & above 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) Regular: 2.39% Direct: 1.16% 9 Equity & Equity related (Listed/Awaiting listing on Stock Exchange) HDFC Bank Ltd. Banks 6.13 Reliance Industries Ltd. Petroleum Products 4.42 ITC Ltd. Consumer Non Durables 4.02 Hero MotoCorp Ltd. Auto 3.43 IndusInd Bank Ltd. Banks 3.20 Shree Cement Ltd. Cement 3.15 ICICI Bank Ltd. Banks 2.84 Hindustan Petroleum Corporation Ltd Petroleum Products 2.76 Mahanagar Gas Ltd Gas 2.65 Infosys Ltd. Software 2.60 Dalmia Bharat Ltd. Cement 2.48 Ultratech Cement Ltd. Cement 2.45 RBL Bank Ltd Banks 2.39 Bharat Petroleum Corporation Ltd. Petroleum Products 2.37 Axis Bank Ltd Banks 2.36 State Bank Of India Banks 2.31 HDFC Ltd. Finance 2.25 GAIL (India) Ltd. Gas 2.10 Cadila Healthcare Ltd. Pharmaceuticals 2.03 Whirlpool of India Ltd. Consumer Durables 1.85 Larsen And Toubro Ltd. Construction Project 1.83 Techno Electric & Engineering Co Ltd. Construction Project 1.74 SKF India Ltd Industrial Products 1.70 The Ramco Cements Ltd Cement 1.61 UPL Ltd Pesticides 1.56 Solar Industries India Limited Chemicals 1.43 Tata Motors Ltd. Auto 1.41 Federal Bank Ltd. Banks 1.40 Bajaj Finance Limited Finance 1.38 Max Financial Services Ltd. Finance 1.32 Amara Raja Batteries Ltd. Auto Ancillaries 1.30 Laurus Labs Ltd Pharmaceuticals 1.14 Maruti Suzuki India Limited Auto 1.12 Arvind Ltd Textile Products 1.11 Monthly SIP of Rs Total amount invested (Rs) Total Value as on June 30, 2017 (Rs) Returns (%) Nifty 500 (Rs)# Nifty 500 Returns (%) Nifty 50 (Rs)^ Nifty 50 Returns (%) SYSTEMATIC INVESTMENT PLAN (SIP) AIA Engineering Limited Industrial Products 1.08 SRF Ltd. Textile Products 1.07 Navneet Education Ltd. Media and Entertainment 1.04 HCL Technologies Ltd. Software 1.03 Ashok Leyland Ltd. Auto 1.02 SpiceJet Ltd. Transportation 1.02 Multi Commodity Exchange of India Limited Finance 1.01 Strides Shasun Ltd. Pharmaceuticals 1.01 Bata India Ltd. Consumer Durables 1.00 Linde India Ltd. Chemicals 1.00 AU Small Finance Bank Ltd. Banks 0.93 S Chand And Company Ltd Media and Entertainment 0.91 Tejas Networks Ltd Telecom - Equipment & Accessories 0.91 Container Corporation of India Ltd. Transportation 0.89 Bank Of Baroda Banks 0.87 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 0.86 Mahindra & Mahindra Ltd. Auto 0.83 Lupin Ltd. Pharmaceuticals 0.82 Thermax Ltd. Industrial Capital Goods 0.80 Hawkins Cooker Ltd Household Appliances 0.68 Blue Dart Express Ltd. Transportation 0.62 LIC Housing Finance Ltd. Finance 0.57 KSB Pump Ltd Industrial Products 0.46 Cummins India Ltd. Industrial Products % Redm Preference Sh Zee Entertainment Enterprises Ltd Media and Entertainment 0.12 Listed/Awaiting Listing on Stock Exchange - Total Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Blue Dart Express Ltd ICRA AA 0.02 Corporate Debt/Financial Institutions - Total 0.02 Collateral Borrowing & Lending obligation 1.43 Net Current /(Liabilities) Inception : - November 23, The returns are calculated by XIRR approach assuming investment of `10,000/- 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, 2017: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) * For Fund Manager experience, please refer page For last three dividends, please refer page no For scheme performance, please refer page no Systematic Investment Plan (SIP) If you had invested `10,000 every month Banks Cement Petroleum Products 1 year 3 years 5 years 7 years 10 years Since Inception 120, , , ,000 1,200,000 1,400, , , ,408 1,476,413 2,461,444 3,091, , , ,279 1,323,137 2,190,810 2,773, , , ,527 1,221,347 2,020,097 2,580, Software Auto Finance Consumer Non Durables Pharmaceuticals Gas Industrial Products Others 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.

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. However, there is no assurance that the objective of the scheme will be realized. February 24, 2005 Fund Manager Mr. Pankaj Tibrewal* Nifty Midcap 100 AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 46.75% Beta: 1.01 ## Sharpe : 1.00 Standard Deviation : 15.33% Source: ICRA MFI Explorer. ## Risk rate assumed to be 6.25% ( FBIL Overnight MIBOR rate as on 30th June 2017) 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 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.(applicable for all plans) iv) Units issued on reinvestment of dividends shall not be subject to exit load (applicable for all plans) Regular: 2.38% Direct: 1.10% Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Techno Electric & Engineering Co Ltd. Construction Project 2.83 V.S.T Tillers Tractors Ltd Auto 2.65 Strides Shasun Ltd. Pharmaceuticals 2.51 ICICI Bank Ltd. Banks 2.47 Apollo Hospitals Enterprises Ltd. Healthcare Services 2.42 IndusInd Bank Ltd. Banks 2.36 Federal Bank Ltd. Banks 2.35 Motherson Sumi Systems Ltd. Auto Ancillaries 2.35 Shriram City Union Finance Ltd. Finance 2.34 Fag Bearings India Ltd. Industrial Products 2.33 Atul Ltd. Chemicals 2.32 Solar Industries India Limited Chemicals 2.30 Laurus Labs Ltd Pharmaceuticals 2.07 Persistent Systems Limited Software 2.07 JK Cement Ltd. Cement 2.01 Torrent Pharmaceuticals Ltd. Pharmaceuticals 1.99 Finolex Cables Ltd. Industrial Products 1.89 Sundaram Finance Ltd. Finance 1.88 Amara Raja Batteries Ltd. Auto Ancillaries 1.83 Eveready Industries India Ltd. Consumer Non Durables 1.83 Allcargo Global Logistics Ltd. Transportation 1.81 Sun TV Limited. Media and Entertainment 1.80 Hawkins Cooker Ltd Household Appliances 1.71 SRF Ltd. Textile Products 1.70 DB Corp Limited Media and Entertainment 1.65 Bharat Forge Ltd. Industrial Products 1.64 Whirlpool of India Ltd. Consumer Durables 1.63 Va Tech Wabag Limited Engineering Services 1.60 The Ramco Cements Ltd Cement 1.59 S Chand And Company Ltd Media and Entertainment 1.58 Hindustan Petroleum Corporation Ltd Petroleum Products 1.55 Navneet Education Ltd. Media and Entertainment 1.52 Cadila Healthcare Ltd. Pharmaceuticals 1.49 Thermax Ltd. Industrial Capital Goods 1.49 BSE Ltd Finance 1.47 Note: Term Deposit as provided above is towards margin for derivatives transactions Monthly SIP of Rs Total amount invested (Rs) Total Value as on June 30, 2017 (Rs) Returns (%) Nifty Free Float Midcap 100 (Rs)# Nifty Free Float Midcap 100 Returns (%) Nifty 50 (Rs)^ Nifty 50 Returns (%) SYSTEMATIC INVESTMENT PLAN (SIP) Mcleod Russel India Ltd Consumer Non Durables 1.44 Avenue Supermarts Ltd Retailing 1.43 SKF India Ltd Industrial Products 1.40 Supreme Industries Limited Industrial Products 1.40 Kewal Kiran Clothing Limited. Textile Products 1.35 ICICI Prudential Life Insurance Company Ltd Finance 1.34 Mahindra & Mahindra Financial Services Ltd. Finance 1.31 UPL Ltd Pesticides 1.27 Kajaria Ceramics Ltd. Construction 1.25 Arvind Ltd Textile Products 1.24 Castrol (India ) Ltd. Petroleum Products 1.22 Bajaj Finserv Ltd. Finance 1.20 Shriram Transport Finance Co Ltd. Finance 1.16 Divi s Laboratories Limited Pharmaceuticals 1.13 Bank Of Baroda Banks 1.12 Axis Bank Ltd Banks 1.02 MRF Limited Auto Ancillaries 0.99 Voltas Ltd. Construction Project 0.93 Bajaj Finance Limited Finance 0.90 Jk Lakshmi Cement Ltd. Cement 0.89 AU Small Finance Bank Ltd. Banks 0.87 WPIL Ltd Industrial Products 0.65 Pennar Engineered Building Systems Limited Ferrous Metals 0.64 Zuari Agro Chemicals Ltd Fertilisers 0.63 Listed/Awaiting Listing on Stock Exchange - Total Futures RBL Bank Ltd-JUL Futures (Market value represents Notional Value) - Total 2.01 TERM DEPOSITS AXIS Bank Ltd Term Deposits - Total 0.29 Collateral Borrowing & Lending obligation 3.25 Net Current /(Liabilities) Inception : - February 24,2005. The returns are calculated by XIRR approach assuming investment of `10,000/- 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, 2017: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Textile Products Finance Industrial Products Banks Others Cement Pharmaceuticals Media and Entertainment Chemicals Construction Project Auto Ancillaries Midcap and Small cap stocks as a % age of Net : 73.70% * For Fund Manager experience, please refer page For last three dividends, please refer page no For scheme performance, please refer page no Systematic Investment Plan (SIP) If you had invested `10,000 every month year 3 years 5 years 7 years 10 years Since Inception 1,20,000 3,60,000 6,00,000 8,40,000 12,00,000 14,90,000 1,35,376 4,86,231 11,26,327 18,30,673 33,02,721 47,04, ,34,812 4,72,197 10,19,960 15,66,050 27,06,471 39,86, ,30,496 4,12,973 7,98,527 12,21,347 20,20,097 29,76, 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. However, there is no assurance that the objective of the scheme will be realized. March 30, 2007 Fund Manager Mr. Pankaj Tibrewal* S&P BSE MID SMALL CAP AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 30.69% Beta: 0.93 ## Sharpe :1.17 Standard Deviation : 15.05% Source: ICRA MFI Explorer. ## Risk rate assumed to be 6.25% ( FBIL Overnight MIBOR rate as on 30th June 2017) 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 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%. Equity & Equity related (Listed/Awaiting listing on Stock Exchange) IndusInd Bank Ltd. Banks 3.33 Fag Bearings India Ltd. Industrial Products 2.94 Federal Bank Ltd. Banks 2.49 Apollo Hospitals Enterprises Ltd. Healthcare Services 2.47 Motherson Sumi Systems Ltd. Auto Ancillaries 2.37 Strides Shasun Ltd. Pharmaceuticals 2.31 Bata India Ltd. Consumer Durables 2.21 Atul Ltd. Chemicals 2.18 Persistent Systems Limited Software 2.17 Navneet Education Ltd. Media and Entertainment 2.11 Bharat Earth Movers Ltd. Industrial Capital Goods 2.08 Sundaram Finance Ltd. Finance 2.03 Shriram City Union Finance Ltd. Finance 2.02 Solar Industries India Limited Chemicals 2.01 Finolex Cables Ltd. Industrial Products 2.00 Whirlpool of India Ltd. Consumer Durables 1.95 Kirloskar Oil Engines Ltd. Industrial Products 1.90 ICICI Bank Ltd. Banks 1.87 Kajaria Ceramics Ltd. Construction 1.87 V-Guard Industries Ltd. Industrial Capital Goods 1.86 Coromandel International Ltd. Fertilisers 1.76 SKF India Ltd Industrial Products 1.72 Allcargo Global Logistics Ltd. Transportation 1.71 Ramkrishna Forgings Ltd. Industrial Products 1.71 SRF Ltd. Textile Products 1.71 Kewal Kiran Clothing Limited. Textile Products 1.68 Amara Raja Batteries Ltd. Auto Ancillaries 1.64 Eveready Industries India Ltd. Consumer Non Durables 1.64 Hawkins Cooker Ltd Household Appliances 1.61 Torrent Pharmaceuticals Ltd. Pharmaceuticals 1.60 The Ramco Cements Ltd Cement 1.59 Va Tech Wabag Limited Engineering Services 1.59 DB Corp Limited Media and Entertainment 1.58 Thermax Ltd. Industrial Capital Goods 1.58 Laurus Labs Ltd Pharmaceuticals 1.57 Britannia Industries Ltd. Consumer Non Durables 1.54 Bank Of Baroda Banks 1.49 Note: Term Deposit as provided above is towards margin for derivatives transactions Monthly SIP of Rs Total amount invested (Rs) Total Value as on June 30, 2017(Rs) Returns (%) S&P BSE MidSmallCap (Rs)# S&P BSE MidSmallCap Returns (%) Nifty 50 (Rs)^ Nifty 50 Returns (%) SYSTEMATIC INVESTMENT PLAN (SIP) Mahindra & Mahindra Financial Services Ltd. Finance 1.49 Carborundum Universal Ltd. Industrial Products 1.35 Supreme Industries Limited Industrial Products 1.33 Equitas Holdings Ltd Finance 1.32 Zee Entertainment Enterprises Ltd Media and Entertainment 1.30 Oberoi Realty Ltd Construction 1.22 ICICI Prudential Life Insurance Company Ltd Finance 1.20 PNC INFRATECH LIMITED Construction 1.19 Kec International Ltd. Construction Project 1.10 Shriram Transport Finance Co Ltd. Finance 1.02 Castrol (India ) Ltd. Petroleum Products 0.96 Divi s Laboratories Limited Pharmaceuticals 0.96 Jk Lakshmi Cement Ltd. Cement 0.92 Bajaj Finance Limited Finance 0.87 Indraprastha Gas Ltd. Gas 0.80 RBL Bank Ltd Banks 0.77 Zuari Agro Chemicals Ltd Fertilisers 0.76 Kirloskar Brothers Ltd. Industrial Products 0.74 D-Link (India) Ltd Hardware 0.71 Maharashtra Seamless Ltd. Ferrous Metals 0.70 Pennar Engineered Building Systems Limited Ferrous Metals 0.62 Sheela Foam Ltd Consumer Durables 0.59 WPIL Ltd Industrial Products 0.49 Listed/Awaiting Listing on Stock Exchange - Total Futures RBL Bank Ltd-JUL Futures (Market value represents Notional Value) - Total 1.14 TERM DEPOSITS AXIS Bank Ltd Term Deposits - Total 0.73 Collateral Borrowing & Lending obligation 4.70 Net Current /(Liabilities) Inception : - March 30, The returns are calculated by XIRR approach assuming investment of `10,000/- 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, 2017:` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) 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. SECTOR ALLOCATION (%) 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 Regular:2.10% Direct: 0.89% Industrial Products Finance Banks Others CBLO & Term Deposits & Rev.Repo Pharmaceuticals Construction Chemicals Consumer Durables Industrial Capital Goods Media and Entertainment Midcap and Small cap stocks as a % age of Net : 88.17% 11 * For Fund Manager experience, please refer page For last three dividends, please refer page no For scheme performance, please refer page no Systematic Investment Plan (SIP) If you had invested `10,000 every month 1 year 3 years 5 years 7 years 10 years Since Inception 120, , , ,000 1,200,000 1,240, , ,628 1,196,255 1,965,941 3,425,666 3,567, , ,539 1,024,461 1,563,883 2,623,763 2,745, , , ,527 1,221,347 2,020,097 2,115, 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.however, there is no assurance that the objective of the scheme will be realized. February 25, 2008 Fund Manager Mr. Harish Krishnan S&P BSE 100 AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 42.70% Beta: 0.91 ## Sharpe :0.68 Standard Deviation : 14.92% Source: ICRAMFI Explorer. ## Risk rate assumed to be 6.25% ( FBIL Overnight MIBOR rate as on 30th June 2017) 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 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. (applicable for all plans) Regular: 2.54% Direct: 1.14% Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Shree Cement Ltd. Cement 6.51 Indraprastha Gas Ltd. Gas 5.04 Bharat Earth Movers Ltd. Industrial Capital Goods 4.97 Larsen And Toubro Ltd. Construction Project 4.89 Kirloskar Oil Engines Ltd. Industrial Products 4.38 Container Corporation of India Ltd. Transportation 4.30 SKF India Ltd Industrial Products 4.27 National Thermal Power Corporation Limited Power 3.79 AIA Engineering Limited Industrial Products 3.57 GAIL (India) Ltd. Gas 3.39 Fag Bearings India Ltd. Industrial Products 3.18 Cummins India Ltd. Industrial Products 3.14 Kajaria Ceramics Ltd. Construction 3.14 Ultratech Cement Ltd. Cement 3.10 Thermax Ltd. Industrial Capital Goods 3 Solar Industries India Limited Chemicals 2.81 Bharti Airtel Ltd. Telecom - Services 2.59 KSB Pump Ltd Industrial Products 2.44 Allcargo Global Logistics Ltd. Transportation 2.34 Monthly SIP of Rs Total amount invested (Rs) Total Value as on June 30, 2017 (Rs) Returns (%) S&P BSE 100 (Rs)# S&P BSE 100 Returns (%) Nifty 50 (Rs)^ Nifty 50 Returns (%) SYSTEMATIC INVESTMENT PLAN (SIP) Mahanagar Gas Ltd Gas 2.11 Somany Ceramics Ltd. Construction 2.07 Tejas Networks Ltd Telecom - Equipment & Accessories 2.01 Linde India Ltd. Chemicals 1.90 Petronet LNG Ltd. Gas 1.74 The Ramco Cements Ltd Cement 1.66 Bharat Electronics Ltd Industrial Capital Goods 1.65 Jk Lakshmi Cement Ltd. Cement 1.65 Gujarat Gas Company Ltd Gas 1.64 MRF Limited Auto Ancillaries 1.63 Supreme Industries Limited Industrial Products 1.60 GE Power India Limited Industrial Capital Goods 1.37 Gateway Distriparks Ltd. Transportation 1.32 PNC INFRATECH LIMITED Construction 0.98 GP Petroleums Limited Petroleum Products 0.94 AU Small Finance Bank Ltd. Banks 0.90 Dalmia Bharat Ltd. Cement 0.84 Listed/Awaiting Listing on Stock Exchange - Total Collateral Borrowing & Lending obligation 0.81 Net Current /(Liabilities) 2.33 Inception : - February 25, The returns are calculated by XIRR approach assuming investment of `10,000/- 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, 2017: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Systematic Investment Plan (SIP) If you had invested `10,000 every month Industrial Products Gas Power Telecom - Services Industrial Capital Goods Transportation Construction Construction Project Chemicals Others Cement 1 year 3 years 5 years 7 years Since Inception 120, , , ,000 1,130, , ,098 1,033,266 1,570,460 2,430, , , ,995 1,250,833 1,938, , , ,527 1,221,347 1,888, 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. For last three dividends, please refer page no For scheme performance, please refer page no

14 EQUITY SCHEMES KOTAK BALANCE An Open - Ended Balanced Style Value INVESTMENT STYLE Maturity 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. However, there is no assurance that the objective of the scheme will be realized. November 25, 1999 Fund Managers Mr. Pankaj Tibrewal and Mr. Abhishek Bisen* Crisil Balanced Fund AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Half Yearly (25th of Mar/Sep) Ratios Portfolio Turnover: 18.22% Beta: 1.17 ## Sharpe : 0.52 Standard Deviation : 10.74% Source: ICRA MFI Explorer. ## Risk rate assumed to be 6.25% ( FBIL Overnight MIBOR rate as on 30th June 2017) 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 Exit Load: i) For redemption/switch out of upto 10% of the initial investment amount (limit) purchased or switched in within 1 year from the date of allotment: Nil. ii) If units redeemed or switched out are in excess of the limit within 1 year from the date of allotment: 1%. iii) If units are redeemed or switched out on or alter 1 year from the date of allotment: Nil. iv) Any exit load charged (net off Service Tax, if any) shall be credited back to the respective. (applicable for all plans) v) Units issued on reinvestment of dividends shall not be subject to exit load (applicable for all plans) Regular:2.14% Equity & Equity related (Listed/Awaiting listing on Stock Exchange) State Bank Of India Banks 2.84 ICICI Bank Ltd. Banks 2.47 HDFC Bank Ltd. Banks 2.18 Tata Motors Ltd. Auto 1.93 V.S.T Tillers Tractors Ltd Auto 1.82 Fag Bearings India Ltd. Industrial Products 1.80 Larsen And Toubro Ltd. Construction Project 1.75 GAIL (India) Ltd. Gas 1.68 Apollo Hospitals Enterprises Ltd. Healthcare Services 1.59 Zee Entertainment Enterprises Ltd Media and Entertainment 1.57 Motherson Sumi Systems Ltd. Auto Ancillaries 1.55 Axis Bank Ltd Banks 1.53 Infosys Ltd. Software 1.50 Maruti Suzuki India Limited Auto 1.49 IndusInd Bank Ltd. Banks 1.40 Thermax Ltd. Industrial Capital Goods 1.40 Strides Shasun Ltd. Pharmaceuticals 1.39 Bank Of Baroda Banks 1.36 ITC Ltd. Consumer Non Durables 1.36 JK Cement Ltd. Cement 1.29 GlaxoSmithkline Consumer Healthcare Ltd Consumer Non Durables 1.28 Atul Ltd. Chemicals 1.25 Kajaria Ceramics Ltd. Construction 1.24 Techno Electric & Engineering Co Ltd. Construction Project 1.21 Laurus Labs Ltd Pharmaceuticals 1.13 Gujarat Gas Company Ltd Gas 1.10 Whirlpool of India Ltd. Consumer Durables 1.04 HDFC Ltd. Finance 1.03 Mahindra & Mahindra Ltd. Auto 1.01 S Chand And Company Ltd Media and Entertainment 1.01 Sun TV Limited. Media and Entertainment 1.01 Mcleod Russel India Ltd Consumer Non Durables 0.91 Reliance Industries Ltd. Petroleum Products 0.88 HCL Technologies Ltd. Software 0.86 ICICI Prudential Life Insurance Company Ltd Finance 0.86 DB Corp Limited Media and Entertainment 0.82 Eris Lifesciences Ltd Pharmaceuticals 0.82 Cipla Ltd. Pharmaceuticals 0.81 Finolex Cables Ltd. Industrial Products 0.80 BSE Ltd Finance 0.79 Bharat Forge Ltd. Industrial Products 0.77 Solar Industries India Limited Chemicals 0.76 Federal Bank Ltd. Banks 0.73 Persistent Systems Limited Software 0.71 SRF Ltd. Textile Products 0.71 Shriram Transport Finance Co Ltd. Finance 0.70 Kirloskar Oil Engines Ltd. Industrial Products 0.69 Note: Term Deposit as provided above is towards margin for derivatives transactions Monthly SIP of Rs Total amount invested (Rs) Total Value as on June 30, 2017 (Rs) Returns (%) CRISIL Balanced Fund (Rs)# CRISIL Balanced Fund Returns (%) Nifty 50 (Rs)^ Nifty 50 Returns (%) SECTOR ALLOCATION (%) Direct: 0.94% Banks Software Finance Debentures and Bonds Government Dated Securities Auto Media and Entertainment Industrial Products Pharmaceuticals Others Consumer Non Durables * For Fund Manager experience, please refer page For last three dividends, please refer page no For scheme performance, please refer page no SYSTEMATIC INVESTMENT PLAN (SIP) Music Broadcast Limited Media and Entertainment 0.69 Lupin Ltd. Pharmaceuticals 0.63 Mahindra & Mahindra Financial Services Ltd. Finance 0.63 Va Tech Wabag Limited Engineering Services 0.61 Ramkrishna Forgings Ltd. Industrial Products 0.60 Tata Consultancy Services Ltd. Software 0.55 Divi s Laboratories Limited Pharmaceuticals 0.51 Equitas Holdings Ltd Finance 0.50 The Ramco Cements Ltd Cement 0.48 Arvind Ltd Textile Products 0.44 Carborundum Universal Ltd. Industrial Products 0.39 Navkar Corporation Limited Transportation 0.30 HDFC Ltd. Warrants Finance 0.19 RBL Bank Ltd Banks 0.01 Listed/Awaiting Listing on Stock Exchange - Total Futures RBL Bank Ltd-JUL Futures (Market value represents Notional Value) - Total 1.45 Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions LIC Housing Finance Ltd. CRISIL AAA 0.03 Tata Sons Ltd. CRISIL AAA 0.01 Corporate Debt/Financial Institutions - Total 0.04 Public Sector Undertakings U P Power Corporation Ltd ( Guaranteed By UP State Government ) FITCH IND AA(SO) 4.00 Bank of India CRISIL A Punjab & Sind Bank ICRA A Vijaya Bank ICRA AA Syndicate Bank CARE AA Allahabad Bank FITCH IND A 0.59 Power Finance Corporation Ltd. CRISIL AAA 0.45 Konkan Railway Corporation Ltd. ICRA AAA 0.31 Public Sector Undertakings - Total Government Dated Securities 7.61% Central Government SOV % Central Government SOV % State Government SOV % State Government SOV % State Government SOV % State Government SOV % State Government SOV % Central Government SOV 0.01 Government Dated Securities - Total TERM DEPOSITS AXIS Bank Ltd Term Deposits - Total 0.27 Collateral Borrowing & Lending obligation 1.48 Net Current /(Liabilities) 6.89 Systematic Investment Plan (SIP) If you had invested `10,000 every month 1 year 3 years 5 years 7 years 10 years Since Inception 120, , , ,000 1,200,000 2,120, , , ,606 1,331,931 2,236,493 9,579, , , ,425 1,218,979 2,012,569 NA NA 130, , ,527 1,221,347 2,020,097 7,718, Inception : - November 25,1999. The returns are calculated by XIRR approach assuming investment of `10,000/- 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 Balance NAV as on June 30, 2017: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option) ` (Direct Growth Option) 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.

15 EQUITY SCHEMES KOTAK EQUITY ARBITRAGE An Open - Ended Equity Growth Style Value INVESTMENT STYLE Maturity 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. However, there is no assurance that the objective of the scheme will be realized. September 29, 2005 Fund Manager Mr. Deepak Gupta* Nifty 50 Arbitrage AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Fortnightly (Every alternate Monday from the 1st record date), 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: 0.48 ## Sharpe : 1.17 Standard Deviation : 0.49% Source: ICRA MFI Explorer. ## Risk rate assumed to be 6.25% ( FBIL Overnight MIBOR rate as on 30th June 2017) 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 Exit Load: 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 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) Regular: 0.89% Direct: 0.41% % to Net Derivatives Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Hedged Infosys Ltd. Software Hindustan Zinc Ltd. Non - Ferrous Metals Vedanta Ltd. Non - Ferrous Metals Indiabulls Housing Finance Ltd. Finance Yes Bank Ltd Banks Oil & Natural Gas Corporation Ltd. Oil Federal Bank Ltd. Banks Mahindra & Mahindra Ltd. Auto IDFC Bank Limited Banks Glenmark Pharmaceuticals Ltd Pharmaceuticals Bank Of Baroda Banks State Bank Of India Banks Bharat Electronics Ltd Industrial Capital Goods Power Finance Corporation Ltd. Finance Tata Steel Limited. Ferrous Metals UPL Ltd Pesticides JSW Steel Ltd. Ferrous Metals Zee Entertainment Enterprises Ltd Media and Entertainment Shriram Transport Finance Co Ltd. Finance HDFC Ltd. Finance Max Financial Services Ltd. Finance Bajaj Finserv Ltd. Finance Asian Paints Ltd. Consumer Non Durables Sun Pharmaceuticals Industries Ltd. Pharmaceuticals Castrol (India ) Ltd. Petroleum Products Bajaj Finance Limited Finance Ultratech Cement Ltd. Cement Century Textiles & Industries Ltd. Cement Hindalco Industries Ltd Non - Ferrous Metals Apollo Tyres Ltd. Auto Ancillaries DLF Limited Construction Sun TV Limited. Media and Entertainment Escorts Ltd. Auto Tata Communications Ltd Telecom - Services Tata Global Beverages Limited Consumer Non Durables Titan Company Ltd. Consumer Durables Aditya Birla Nuvo Limited Services Piramal Enterprises Limited Pharmaceuticals Tata Motors Ltd - DVR Auto Mahindra & Mahindra Financial Services Ltd. Finance IDFC Limited Finance Tata Motors Ltd. Auto The South Indian Bank Ltd. Banks Dewan Housing Finance Corporation Ltd. Finance Divi s Laboratories Limited Pharmaceuticals Strides Shasun Ltd. Pharmaceuticals India Cements Ltd. Cement Bharat Forge Ltd. Industrial Products Bosch Limited Auto Ancillaries Fortis Healthcare India Ltd Healthcare Services Adani Port and Special Economic Zone Limited Transportation NMDC Ltd. Minerals/Mining GAIL (India) Ltd. Gas Can Fin Homes Ltd. Finance Hero MotoCorp Ltd. Auto Exide Industries Ltd Auto Ancillaries Maruti Suzuki India Limited Auto Gujarat State Fertilizers & Chemicals Ltd. Fertilisers Bajaj Auto Ltd. Auto Reliance Capital Ltd. Finance Tata Chemicals Ltd. Chemicals Muthoot Finance Ltd Finance Ashok Leyland Ltd. Auto Jain Irrigation Systems Ltd. Industrial Products Jindal Steel & Power Ltd. Ferrous Metals Karnataka Bank Ltd Banks PVR Ltd Media and Entertainment IRB Infrastructure Developers Ltd Construction NCC Limited Construction Project Bata India Ltd. Consumer Durables Bharat Petroleum Corporation Ltd. Petroleum Products Havells India Ltd. Consumer Durables JSW Energy Ltd. Power Reliance Power Ltd Power Apollo Hospitals Enterprises Ltd. Healthcare Services Rural Electrification Corporation Ltd Finance Tata Elxsi Ltd. Software Indian Bank Banks CESC Ltd. Power * For Fund Manager experience, please refer page For last three dividends, please refer page no For scheme performance, please refer page no

16 EQUITY SCHEMES KOTAK EQUITY ARBITRAGE An Open - Ended Equity Growth 15 % to Net Derivatives TV18 Broadcast Ltd Media and Entertainment Aurobindo Pharma Ltd. Pharmaceuticals GMR Infrastructure Ltd. Construction Project Indraprastha Gas Ltd. Gas Balrampur Chini Mills Ltd Consumer Non Durables Bharat Heavy Electricals Ltd. Industrial Capital Goods Cadila Healthcare Ltd. Pharmaceuticals Reliance Defence & Engineering Ltd Industrial Capital Goods Torrent Power Ltd Power Dr Reddys Laboratories Ltd Pharmaceuticals Reliance Infrastructure Ltd Power Tech Mahindra Ltd. Software Indiabulls Real Estate Ltd Construction National Buildings Construction Corporation Limited Construction Raymond Limited Textile Products Engineers India Ltd. Construction Project IFCI Ltd. Finance ITC Ltd. Consumer Non Durables Britannia Industries Ltd. Consumer Non Durables Godfrey Phillips India Ltd. Consumer Non Durables Hindustan Construction Co.Ltd Construction Project Granules India Ltd. Pharmaceuticals Oil India Limited Oil PTC India Ltd. Power Shree Cement Ltd. Cement Suzlon Energy Ltd. Industrial Capital Goods Balkrishna Industries Ltd Auto Ancillaries Marico Ltd. Consumer Non Durables PC Jeweller Ltd Consumer Durables Bharat Earth Movers Ltd. Industrial Capital Goods Jaiprakash Associates Ltd Cement Adani Power Ltd Power Berger Paints (I) Ltd. Consumer Non Durables Coal India Ltd. Minerals/Mining Container Corporation of India Ltd. Transportation Housing Development and Infrastructure Limited Construction Bharat Financial Inclusion Limited Finance MindTree Ltd. Software Ujjivan Financial Services Ltd Finance Biocon Ltd. Pharmaceuticals CG Power and Industrial Solutions Limited Industrial Capital Goods Dalmia Bharat Ltd. Cement Indian Oil Corporation Ltd Petroleum Products Jet Airways (India) Ltd. Transportation KPIT Technologies LImited Software The Ramco Cements Ltd Cement United Spirits Ltd. Consumer Non Durables Equitas Holdings Ltd Finance Godrej Industries Ltd Consumer Non Durables Grasim Industries Ltd. Cement L&T Finance Holdings Ltd Finance Wockhardt Ltd. Pharmaceuticals ACC Ltd. Cement Sintex Industries Ltd. Industrial Products V-Guard Industries Ltd. Industrial Capital Goods Andhra Bank Banks Bharti Infratel Ltd. Telecom - Equipment & Accessories Pidilite Industries Ltd. Chemicals Siemens Ltd. Industrial Capital Goods SREI Infrastructure Finance Ltd Finance United Breweries Ltd. Consumer Non Durables Capital First Ltd Finance Cholamandalam Investment and Finance Company Ltd Finance Power Grid Corporation Of India Ltd Power Adani Enterprises Ltd Trading Ajanta Pharma Ltd. Pharmaceuticals Nestle India Ltd. Consumer Non Durables NHPC Limited Power Indo Count Industries Ltd. Textiles - Cotton IndusInd Bank Ltd. Banks Kajaria Ceramics Ltd. Construction Motherson Sumi Systems Ltd. Auto Ancillaries Syndicate Bank Banks Tata Power Co. Ltd. Power SRF Ltd. Textile Products Mahanagar Gas Ltd Gas Manappuram Finance Ltd Finance Reliance Industries Ltd. Petroleum Products Voltas Ltd. Construction Project ICICI Prudential Life Insurance Company Ltd Finance National Aluminium Company Ltd Non - Ferrous Metals Reliance Communications Ltd. Telecom - Services Ambuja Cements Ltd Cement

17 EQUITY SCHEMES KOTAK EQUITY ARBITRAGE An Open - Ended Equity Growth % to Net Derivatives Cummins India Ltd. Industrial Products Hindustan Petroleum Corporation Ltd Petroleum Products Hindustan Unilever Ltd. Consumer Non Durables MRF Limited Auto Ancillaries Amara Raja Batteries Ltd. Auto Ancillaries Axis Bank Ltd Banks Chennai Petroleum Corporation Ltd Petroleum Products Hedged - Total Listed/Awaiting Listing on Stock Exchange - Total Mutual Fund Units Kotak Corporate Bond Fund 0.78 Mutual Fund Units - Total 0.78 Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Indiabulls Housing Finance Limited ICRA AAA 3.08 AXIS Bank Ltd. CRISIL AA Kotak Mahindra Prime Ltd. CRISIL AAA 1.32 Corporate Debt/Financial Institutions - Total 6.17 Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions Bajaj Finance Limited CRISIL A Corporate Debt/Financial Institutions - Total 7.60 TERM DEPOSITS AXIS Bank Ltd IndusInd Bank Ltd HDFC Bank Ltd Ratnakar Bank Ltd 0.75 Kotak Mahindra Bank Ltd Term Deposits - Total Collateral Borrowing & Lending obligation 3.90 Net Current /(Liabilities) Notes: Term Deposit as provided above is towards margin for derivatives transactions Kotak Equity Arbitrage NAV as on June 30, 2017: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option), ` (Bimonthly Option), ` (Direct Bimonthly Option),` (Fortnightly Dividend,` (Direct Fortnightly Dividend) SECTOR ALLOCATION (%) Software Finance Others Pharmaceuticals CBLO & Term Deposits & Rev.Repo Debentures and Bonds Commercial Paper (CP)/Certi cate of Deposits (CD) Auto Banks Consumer Non Durables Non - Ferrous Metals 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. 16

18 EQUITY SCHEMES KOTAK EQUITY SAVINGS FUND An Open Ended Equity Fund Style Value INVESTMENT STYLE Maturity 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. However, there is no assurance that the objective of the scheme will be realized. October 13, 2014 Fund Managers Mr. Deepak Gupta & Mr. Abhishek Bisen* 75% of Nifty 50 Arbitrage index and 25% in Nifty 50 AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Monthly (12th of every month) Quarterly (20th of March, June, September and December of every year) Ratios Portfolio Turnover: % 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 redemption / switch out of upto 10% of the initial investment amount (limit) purchased or switched in within 1 year from the date of allotment: Nil. ii) If units redeemed or switched out are in excess of the limit within 1 year from the date of allotment: 1%. iii) If units are redeemed or switched out on or after 1 year from the date of allotment: Nil. iv) Any exit load charged (net off Service Tax, if any) shall be credited back to the respective. Units issued on reinvestment of dividends shall not be subject to entry and exit load. Regular: 2.08% Direct: 1.64% % to Net - Derivatives Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Non-Hedge ITC Ltd. Consumer Non Durables 2.43 HDFC Ltd. Warrants Finance 1.46 HDFC Ltd. Finance CNX NIFTY-JUL IndusInd Bank Ltd. Banks 1.11 Power Grid Corporation Of India Ltd Power 1.08 Bharat Petroleum Corporation Ltd. Petroleum Products 1.07 Varun Beverages Ltd Consumer Non Durables 1.03 Reliance Industries Ltd. Petroleum Products 0.92 Yes Bank Ltd Banks 0.89 Infosys Ltd. Software 0.82 Aditya Birla Nuvo Limited Services 0.81 National Thermal Power Corporation Limited Power 0.79 Bharat Earth Movers Ltd. Industrial Capital Goods 0.71 Bajaj Finance Limited Finance 0.65 Tata Motors Ltd - DVR Auto 0.63 Godfrey Phillips India Ltd.-JUL2017 Consumer Non Durables 0.52 Maruti Suzuki India Limited Auto 0.62 Laurus Labs Ltd Pharmaceuticals 0.59 Tata Steel Limited. Ferrous Metals 0.58 Eris Lifesciences Ltd Pharmaceuticals 0.55 Hero MotoCorp Ltd. Auto Zee Entertainment Enterprises Ltd Media and Entertainment 0.49 Mcleod Russel India Ltd Consumer Non Durables 0.46 Petronet LNG Ltd. Gas 0.46 The Ramco Cements Ltd Cement 0.38 Indraprastha Gas Ltd. Gas Tata Consultancy Services Ltd. Software 0.34 Muthoot Finance Ltd Finance 0.30 Piramal Enterprises Limited Pharmaceuticals 0.30 Hindustan Unilever Ltd. Consumer Non Durables 0.28 JSW Steel Ltd. Ferrous Metals 0.28 Vedanta Ltd. Non - Ferrous Metals 0.28 Colgate Palmolive (India ) Ltd. Consumer Non Durables 0.27 GAIL (India) Ltd. Gas 0.26 HCL Technologies Ltd. Software 0.24 Bajaj Finserv Ltd. Finance 0.23 ICICI Bank Ltd. Banks 0.23 Indian Oil Corporation Ltd Petroleum Products 0.23 Housing & Urban Development Corporation Ltd Finance 0.17 RBL Bank Ltd-JUL Oil & Natural Gas Corporation Ltd. Oil 0.15 Wipro Ltd. Software 0.15 Hindustan Petroleum Corporation Ltd Petroleum Products 0.11 Central Depository Services (India) Ltd Finance 0.09 Tata Communications Ltd Telecom - Services 0.09 Tata Motors Ltd. Auto 0.08 Tech Mahindra Ltd. Software 0.08 State Bank Of India-JUL HDFC Bank Ltd. Banks Grasim Industries Ltd. Cement 0.05 Axis Bank Ltd Banks S Chand And Company Ltd Media and Entertainment 0.04 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 0.04 Chennai Super Kings Cricket Ltd. Media and Entertainment 0.02 Biocon Ltd. Pharmaceuticals Non-Hedged- Total Hedged Fortis Healthcare India Ltd Healthcare Services Vedanta Ltd. Non - Ferrous Metals Hindalco Industries Ltd Non - Ferrous Metals 3.13 CNX NIFTY-JUL GMR Infrastructure Ltd. Construction Project Jaiprakash Associates Ltd Cement Jain Irrigation Systems Ltd. Industrial Products Bharat Electronics Ltd Industrial Capital Goods Infosys Ltd. Software IDFC Bank Limited Banks Reliance Capital Ltd. Finance IDFC Limited Finance Tata Communications Ltd Telecom - Services The South Indian Bank Ltd. Banks Century Textiles & Industries Ltd. Cement India Cements Ltd. Cement Ashok Leyland Ltd. Auto Bata India Ltd. Consumer Durables Indiabulls Real Estate Ltd Construction JSW Energy Ltd. Power HDFC Ltd. Finance Dewan Housing Finance Corporation Ltd. Finance Aditya Birla Nuvo Limited Services Kaveri Seed Company Ltd. Consumer Non Durables Dalmia Bharat Ltd. Cement Tata Elxsi Ltd. Software Wockhardt Ltd. Pharmaceuticals Castrol (India ) Ltd. Petroleum Products Yes Bank Ltd Banks * For Fund Manager experience, please refer page For last three dividends, please refer page no For scheme performance, please refer page no 45-53

19 EQUITY SCHEMES KOTAK EQUITY SAVINGS FUND An Open Ended Equity Fund % to Net - Derivatives Grasim Industries Ltd. Cement Tata Steel Limited. Ferrous Metals Oil & Natural Gas Corporation Ltd. Oil Ujjivan Financial Services Ltd Finance CESC Ltd. Power Sun Pharmaceuticals Industries Ltd. Pharmaceuticals Escorts Ltd. Auto Mahindra & Mahindra Financial Services Ltd. Finance Aurobindo Pharma Ltd. Pharmaceuticals Hindustan Zinc Ltd. Non - Ferrous Metals Glenmark Pharmaceuticals Ltd Pharmaceuticals IRB Infrastructure Developers Ltd Construction Apollo Tyres Ltd. Auto Ancillaries Bajaj Finance Limited Finance Housing Development and Infrastructure Limited Construction Tata Global Beverages Limited Consumer Non Durables Asian Paints Ltd. Consumer Non Durables Indian Bank Banks Sun TV Limited. Media and Entertainment UPL Ltd Pesticides Adani Power Ltd Power Hindalco Industries Ltd Non - Ferrous Metals Maruti Suzuki India Limited Auto NCC Limited Construction Project Capital First Ltd Finance Bajaj Auto Ltd. Auto Britannia Industries Ltd. Consumer Non Durables Exide Industries Ltd Auto Ancillaries IFCI Ltd. Finance Voltas Ltd. Construction Project Pidilite Industries Ltd. Chemicals Reliance Power Ltd Power Andhra Bank Banks Tata Motors Ltd. Auto The Ramco Cements Ltd Cement Bosch Limited Auto Ancillaries Granules India Ltd. Pharmaceuticals Gujarat State Fertilizers & Chemicals Ltd. Fertilisers Jindal Steel & Power Ltd. Ferrous Metals KPIT Technologies LImited Software Oracle Financial Services Software Ltd Software Power Finance Corporation Ltd. Finance TV18 Broadcast Ltd Media and Entertainment Bajaj Finserv Ltd. Finance Bharat Heavy Electricals Ltd. Industrial Capital Goods Federal Bank Ltd. Banks ITC Ltd. Consumer Non Durables JSW Steel Ltd. Ferrous Metals Balrampur Chini Mills Ltd Consumer Non Durables Siemens Ltd. Industrial Capital Goods PC Jeweller Ltd Consumer Durables Rural Electrification Corporation Ltd Finance Hedged - Total Listed/Awaiting Listing on Stock Exchange - Total Preference Shares (Listed/Awaiting listing on Stock Exchange) 3DPLM Software Solutions Ltd Software % Vedanta Reedemable Preference Shares Non - Ferrous Metals 0.62 Preference Shares - Total 0.74 Mutual Fund Units Kotak Floater Short Term Direct Growth Mutual Fund Units 7.82 Mutual Fund Units - Total 7.82 Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions HDFC Bank Ltd. CRISIL AA Kotak Mahindra Prime Ltd. CRISIL AAA 3.30 Indiabulls Housing Finance Limited CARE AAA 2.70 Corporate Debt/Financial Institutions - Total 9.31 Government Dated Securities 8.53% State Government SOV 0.68 Government Dated Securities - Total 0.68 TERM DEPOSITS AXIS Bank Ltd HDFC Bank Ltd IndusInd Bank Ltd Kotak Mahindra Bank Ltd Term Deposits - Total Collateral Borrowing & Lending obligation 2.26 Net Current /(Liabilities) 5.64 Notes: Term Deposit as provided above is towards margin for derivatives transactions Kotak Equity Savings Fund NAV as on June 30, 2017: ` (Growth Option), ` (Monthly Dividend Option), ` Quarterly Dividend Option), ` (Direct Growth Option), ` (Direct Monthly Dividend Option), ` (Direct Quarterly Dividend Option) 18

20 EQUITY SCHEMES KOTAK EQUITY SAVINGS FUND An Open Ended Equity Fund Systematic Investment Plan (SIP) If you had invested `10,000 every month SYSTEMATIC INVESTMENT PLAN Monthly SIP of Rs year Since Inception Total amount invested (Rs) Total Value as on June 30, 2017 (Rs) Returns (%) 75% NIFTY 50 ARBITRAGE + 25% Nifty 50 (Rs)# 75% NIFTY 50 ARBITRAGE + 25% Nifty 50 Returns (%) Nifty 50 (Rs)^ Nifty 50 Returns (%) SYSTEMATIC INVESTMENT PLAN (SIP) 1,20,000 3,30,000 1,26,628 3,72, ,24,932 3,63, ,30,496 3,76, Inception : - October 13, The returns are calculated by XIRR approach assuming investment of `10,000/- 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. # ; ^ SECTOR ALLOCATION (%) Finance Software Others Mutual Fund Units CBLO & Term Deposits & Rev.Repo Non - Ferrous Metals Consumer Non Durables Healthcare Services Pharmaceuticals Banks Cement 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. 19

21 EQUITY SCHEMES KOTAK INDIA GROWTH FUND SERIES I 3 years Close- Ended Equity INVESTMENT STYLE Style Value Blend Growth Size Large Mid Small The investment objective of the scheme is to generate capital appreciation from a diversified portfolio of equity & equity related instruments across market capitalisation and sectors. However, there is no assurance that the objective of the scheme will be realized. May 06, 2015 Fund Manager Mr. Harish Krishnan Nifty 200 AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout (applicable for all plans) & Growth Equity & Equity related (Listed/Awaiting listing on Stock Exchange) HDFC Bank Ltd. Banks 8.44 ICICI Bank Ltd. Banks 7.96 Reliance Industries Ltd. Petroleum Products 6.11 IndusInd Bank Ltd. Banks 6.05 Maruti Suzuki India Limited Auto 5.49 Larsen And Toubro Ltd. Construction Project 5.18 Hero MotoCorp Ltd. Auto 5.05 Shree Cement Ltd. Cement 4.31 Britannia Industries Ltd. Consumer Non Durables 4.19 Infosys Ltd. Software 4.04 Tata Motors Ltd - DVR Auto 3.73 State Bank Of India Banks 3.68 Axis Bank Ltd Banks 3.53 Sun TV Limited. Media and Entertainment 3.15 Bharat Earth Movers Ltd. Industrial Capital Goods 3.14 Persistent Systems Limited Software 3.10 Kajaria Ceramics Ltd. Construction 2.97 GAIL (India) Ltd. Gas 2.89 Laurus Labs Ltd Pharmaceuticals 2.83 Motherson Sumi Systems Ltd. Auto Ancillaries 2.10 Note: Term Deposit as provided above is towards margin for derivatives transactions Equitas Holdings Ltd Finance 1.99 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 1.89 Ultratech Cement Ltd. Cement 1.80 Entertainment Network (India) Ltd. Media and Entertainment 1.41 Zee Entertainment Enterprises Ltd Media and Entertainment 1.12 BSE Ltd Finance 0.83 Godfrey Phillips India Ltd. Consumer Non Durables 0.09 Avenue Supermarts Ltd Retailing 0.03 Listed/Awaiting Listing on Stock Exchange - Total Futures Godfrey Phillips India Ltd.-JUL Zee Entertainment Enterprises Ltd-JUL Futures (Market value represents Notional Value) - Total 1.52 TERM DEPOSITS AXIS Bank Ltd Term Deposits - Total 0.45 Collateral Borrowing & Lending obligation 0.71 Net Current /(Liabilities) 0.22 Dividend Frequency Trustee s Discretion Ratios Portfolio Turnover: 36.45% The scheme is a close ended scheme. The units of the scheme can be traded on the stock exchange. Exit Load: Nil. (applicable for all plans) Regular: 2.48% Direct: 1.98% Kotak India Growth Fund Series I NAV as on June 30, 2017: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Banks Others Auto Industrial Capital Goods Software Petroleum Products Pharmaceuticals Cement Media and Entertainment Construction Project Consumer Non Durables Investors understand that their principal will be at moderately high risk Long term capital growth Investment in equity and equity related securities across market capitalisation and sectors * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. 20

22 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. However, there is no assurance that the objective of the scheme will be realized. November 4, 2003 Fund Managers Mr. Deepak Agrawal* CRISIL Liquid Fund AAUM (` In Crores) `14, AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Daily, Weekly (Every Monday) (applicable for all plans) Ratios Standard Deviation: 0.13%, Modified Duration: 0.13yrs, Portfolio Yield: 6.47% 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 Investment Horizon: 1-15 days Exit Load: Nil. (applicable for all plans) Note - Units issued on reinvestment of dividends shall not be subject to exit load (applicable for all plans) Regular: 0.15% Direct: 0.11% Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Kotak Mahindra Prime Ltd. CRISIL AAA 0.79 Corporate Debt/Financial Institutions - Total 0.79 Public Sector Undertakings Power Finance Corporation Ltd. CRISIL AAA 2.70 Rural Electrification Corporation Ltd. CRISIL AAA 1.10 Public Sector Undertakings - Total 3.80 Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions HDFC Bank Ltd. CRISIL A HDFC Ltd. ICRA A AXIS Bank Ltd. CRISIL A Reliance Industries Ltd. ICRA A IDFC Bank Limited CRISIL A Piramal Finance Limited ICRA A Shriram Transport Finance Co Ltd. CRISIL A Bajaj Finance Limited CRISIL A Tata Steel Limited FITCH A1+(IND) 2.17 Aditya Birla Finance Ltd. ICRA A India Infoline Finance Limited ICRA A Reliance Jio Infocomm Limited CARE A IIFL Wealth Finance Ltd. ICRA A Hindustan Zinc Ltd CRISIL A Investors understand that their principal will be at low risk ICICI Bank Ltd. ICRA A Barclays Investments & Loan (India) Ltd. ICRA A Ford Credit India Pvt. Ltd. FITCH IND A IndusInd Bank Ltd. CRISIL A Indiabulls Housing Finance Limited CRISIL A Corporate Debt/Financial Institutions - Total Public Sector Undertakings National Bank for Agriculture & Rural Development CRISIL A Steel Authority of India Ltd. CARE A Small Industries Development Bank Of India. CRISIL A PNB Housing Finance Ltd. CRISIL A Public Sector Undertakings - Total Reverse Repo 4.05 Treasury Bills 91 Days Treasury Bill 07/09/2017 SOV Days Cash Management Treasury Bill 16/08/2017 SOV Days Treasury Bill 24/08/2017 SOV Days Treasury Bill 14/09/2017 SOV 1.25 Treasury Bills - Total Collateral Borrowing & Lending obligation 0.03 Net Current /(Liabilities) Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 0.13 years Kotak Liquid Fund NAV as on June 30, 2017: ` (Growth Option), ` (Direct Growth Option), ` (Weekly Dividend), ` (Direct Weekly Dividend), ` (Daily Dividend), ` (Direct Daily Dividend) SECTOR ALLOCATION (%) Net Current Treasury Bills Commercial Paper (CP)/Certificate of Deposits (CD) CBLO & Term Deposits & Rev.Repo Debentures and Bonds RATING PROFILE A1+, A1+(IND), AAA, IND A1+, SOV CBLO & Term Deposits & Rev.Repo Net Current 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. 21 * For Fund Manager experience, please refer page For scheme performance, please refer page no

23 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. However, there is no assurance that the objective of the scheme will be realized. July 14, 2003 Fund Managers Mr. Deepak Agrawal* CRISIL Liquid Fund AAUM (` In Crores) `14, AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout (w.e.f May 15, 2017, Under Monthly Dividned option only), Dividend Reinvestment & Growth (applicable for all plans Dividend Frequency Daily, Weekly (Every Monday) and Monthly (12th of every Month) Ratios Standard Deviation: 0.13%, Modified Duration:0.14 yrs, Portfolio Yield: 6.57% Source: ICRAMFI Explorer. Standard Deviation is calculated on Annualised basis using 3 years history of monthly returns. Initial Investment: ` U n d e r growth, weekly dividend and monthly dividend option & `1,00,000 under Daily Dividend Reinvestment option, Investment: `1000 & in multiples of `1 Ideal Investment Horizon: 1-15 days Exit Load: Nil (applicable for all plans) Note - Units issued on reinvestment of dividends shall not be subject to exit load (applicable for all plans) Regular: 0.19% Direct: 0.13% Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Kotak Mahindra Prime Ltd. CRISIL AAA 1.85 Fullerton India Credit Co. Ltd. CARE AAA 1.08 Bhanu Vyapaar Private Limited ( Secured by Equity shares of Emami Ltd ) FITCH IND AA LIC Housing Finance Ltd. CARE AAA 0.41 Corporate Debt/Financial Institutions - Total 3.78 Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions Reliance Industries Ltd. ICRA A HDFC Bank Ltd. CRISIL A Piramal Finance Limited ICRA A Muthoot Finance Ltd CRISIL A HDFC Ltd. ICRA A IndusInd Bank Ltd. CRISIL A Tata Steel Limited FITCH IND A Suraksha Realty Ltd ( Secured by Equity shares of Sun Pharmaceuticals Industries Ltd ) ICRA A1+(SO) 4.05 ECL Finance Limited CRISIL A AXIS Bank Ltd. CRISIL A Reliance Jio Infocomm Limited CARE A Dewan Housing Finance Corporation Ltd. CRISIL A India Infoline Finance Limited ICRA A Suraksha Realty Ltd ( Secured by Equity shares of Sun Pharmaceuticals Industries Ltd ) CARE A1+(SO) 2.64 IIFL Wealth Finance Ltd. ICRA A Bajaj Finance Limited CRISIL A Tata Steel Limited FITCH A1+(IND) 2.24 Suraksha Realty Ltd ( Secured by Equity shares of Sun Pharmaceuticals Industries Ltd ) CRISIL A1+(SO) 1.77 Manappuram Finance Ltd CRISIL A Hindustan Zinc Ltd CRISIL A Tata Power Company Ltd. ICRA A Shriram City Union Finance Ltd. CARE A IDFC Bank Limited ICRA A Nirma Ltd. CRISIL A Adani Transmission Ltd FITCH IND A1+(SO) 0.89 Tata Motors Finance Solutions Private Limited CARE A Indostar Capital Finance Private Limited CRISIL A Trapti Trading & Investments Private Limited ICRA A Hero Cycles Ltd. CRISIL A Corporate Debt/Financial Institutions - Total Public Sector Undertakings National Bank for Agriculture & Rural Development CRISIL A Steel Authority of India Ltd. CARE A Small Industries Development Bank Of India. CRISIL A Public Sector Undertakings - Total Treasury Bills 63 Days Cash Management Bill 08/08/2017 SOV Days Treasury Bill 24/08/2017 SOV Days Cash Management Treasury Bill 16/08/2017 SOV Days Treasury Bill 10/08/2017 SOV Days Treasury Bill 07/09/2017 SOV 2.11 Treasury Bills - Total Collateral Borrowing & Lending obligation 0.23 Net Current /(Liabilities) Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 0.14 years Kotak Floater Short Term Fund NAV as on June 30, 2017: ` (Growth Option), ` (Direct Growth Option), ` (Weekly Dividend), ` (Direct Weekly Dividend), ` (Monthly Dividend), ` (Direct Monthly Dividend), ` (Daily Dividend), ` (Direct Daily Dividend) SECTOR ALLOCATION (%) Net Current Treasury Bills Commercial Paper (CP)/Certificate of Deposits (CD) CBLO & Term Deposits & Rev.Repo Debentures and Bonds Investors understand that their principal will be at low risk IND AA RATING PROFILE (%) A1+, A1+(IND), A1+(SO), AAA, IND A1+, IND, A1+(SO), SOV CBLO & Term Deposits & Rev.Repo Net Current 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. * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no

24 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) `8, AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Daily, Monthly (12th of every Month) and Weekly (Every Monday) Ratios Standard Deviation:0.46%, Modified Duration:0.55 yrs, Portfolio Yield: 7.09% 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 Exit Load: Nil.(applicable for all plans) Note - Units issued on reinvestment of dividends shall not be subject to exit load (applicable for all plans) Regular: 0.60% Direct: 0.25% Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Reliance Jio Infocomm Limited(^) CRISIL AAA 9.04 HDFC Ltd.(^) CRISIL AAA 4.36 Nabha Power Ltd. ( backed by unconditional and irrevocable guarantee by Larsen & Toubro Ltd ) (^) ICRA AAA 4.25 Shriram Transport Finance Co Ltd. FITCH IND AA Kotak Mahindra Prime Ltd.(^) CRISIL AAA 3.43 Indiabulls Housing Finance Limited CARE AAA 2.70 Sheba Properties Ltd. CARE AA Indiabulls Housing Finance Limited(^) ICRA AAA 2.48 ICICI Home Finance Company Limited(^) ICRA AAA 2.37 Mahindra & Mahindra Financial Services Ltd. FITCH IND AAA 2.31 LIC Housing Finance Ltd. CRISIL AAA 2.05 Tata Motors Finance Ltd CRISIL AA 1.38 Tata Motors Finance Ltd CARE AA Kotak Mahindra Investments Ltd. CRISIL AAA 1.25 Vedanta Ltd. CRISIL AA 1.07 Tata Capital Financial Services Limited ICRA AA IDFC Bank Limited ICRA AAA 0.92 LIC Housing Finance Ltd. CARE AAA 0.65 Tata Motors Ltd.(^) CARE AA Family Credit Ltd. CARE AA Mandava Holdings Private Limited ( backed by unconditional and irrevocable undertaking by Axis Capital ) ICRA AAA 0.42 Cholamandalam Investment and Finance Company Ltd ICRA AA 0.06 Tata Sons Ltd. CRISIL AAA 0.02 Corporate Debt/Financial Institutions - Total Public Sector Undertakings National Bank for Agriculture & Rural Development(^) CRISIL AAA Power Finance Corporation Ltd.(^) CRISIL AAA 5.74 Canara Bank CRISIL AAA 0.75 Export-Import Bank of India. CRISIL AAA 0.38 PNB Housing Finance Ltd.(^) CARE AAA 0.32 Rural Electrification Corporation Ltd. CRISIL AAA 0.32 National Housing Bank CRISIL AAA 0.10 Allahabad Bank CRISIL AA Indian Railway Finance Corporation Ltd. CRISIL AAA 0.07 Power Grid Corporation of India Ltd. CRISIL AAA 0.06 Public Sector Undertakings - Total Government Dated Securities 7.61% Central Government SOV % State Government SOV % State Government SOV % State Government SOV % State Government SOV % Central Government SOV 0.01 Government Dated Securities - Total 3.34 Futures 7.61% GS 09/05/2030-JUL Futures (Market value represents Notional Value) - Total Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions Nabha Power Ltd. ( Backed by Letter of Comfort from L&T ) ICRA A Larsen and Toubro Ltd. CRISIL A Tata Motors Ltd. ICRA A HDFC Ltd. ICRA A Tata Capital Financial Services Limited CRISIL A Tata Motors Ltd. CRISIL A IndusInd Bank Ltd. CRISIL A HDFC Bank Ltd. CARE A Canfin Homes Ltd ICRA A IDFC Bank Limited ICRA A AXIS Bank Ltd. CRISIL A Corporate Debt/Financial Institutions - Total Public Sector Undertakings Indian Railway Finance Corporation Ltd. CRISIL A Power Finance Corporation Ltd. CRISIL A Andhra Bank CARE A Public Sector Undertakings - Total 4.25 Reverse Repo 2.41 Treasury Bills 91 Days Treasury Bill 07/09/2017 SOV Days Treasury Bill 21/09/2017 SOV 0.63 Treasury Bills - Total 2.78 Collateral Borrowing & Lending obligation 0.36 Net Current /(Liabilities) 1.22 Notes: ^ Fully or Party blocked against Interest Rate Swap (IRS),Hedging Position through Interest Rate Swaps as on 30 Jun 2017 is 24.83% of the net assets. Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 0.65 years. Kotak Treasury Advantage Fund NAV as on June 30, 2017: ` ( Daily Dividend Option), ` (Daily Dividend - Direct), ` (Growth Option), ` (Monthly Dividend Option), ` (Weekly Dividend Option), ` (Monthly Dividend - Direct), ` (Weekly Dividend - Direct), ` (Growth - Direct Option) SECTOR ALLOCATION (%) RATING PROFILE Treasury Bills CBLO & Term Deposits & Rev.Repo Net Current A1+, AAA, IND AAA, SOV Commercial Paper (CP)/Certificate of Deposits (CD) Derivatives CBLO & Term Deposits & Rev.Repo Derivatives Debentures and Bonds Government Dated Securities Net Current AA+, IND AA+, AA, AA 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 23 * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no 56-58

25 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. However, there is no assurance that the objective of the scheme will be realized. December 29,1998 Fund Manager Mr. Deepak Agrawal* CRISIL Short Term Bond Fund Index(w.e.f February 1, 2017 ) AAUM (` In Crores) `1, AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Daily, Monthly (12th of every Month) & Annual Ratios Standard Deviation: 2.15%, Modified Duration: 2.31 yrs, Portfolio Yield: 7.67% 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 Exit Load: Nil (applicable for all plans) Note - Units issued on reinvestment of dividends shall not be subject to exit load (applicable for all plans) Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions AXIS Bank Ltd. CRISIL AA Corporate Debt/Financial Institutions - Total 3.99 Public Sector Undertakings U P Power Corporation Ltd ( Guaranteed By UP State Government ) FITCH IND AA(SO) Bank Of Baroda CARE AA 9.13 Power Finance Corporation Ltd. CRISIL AAA 5.64 National ways Authority Of India CRISIL AAA 5.01 State Bank Of India. CRISIL AA Union Bank of India CRISIL AAA 3.56 State Bank of Travancore CRISIL AAA 3.52 State Bank Of India. CRISIL AAA 3.07 Canara Bank CRISIL AAA 3.04 Punjab National Bank CARE AA 3.01 Union Bank of India CARE AA 2.54 Andhra Bank CRISIL AA Indian Railway Finance Corporation Ltd. CRISIL AAA 2.48 Oriental Bank of Commerce ICRA A 2.44 Bank Of Baroda CARE AA Power Finance Corporation Ltd. ICRA AAA 2.07 Rural Electrification Corporation Ltd. CRISIL AAA 1.91 Powergrid Vizag Transminssion Ltd. ( backed by unconditional and irrevocable guarantee by Powergrid Corp ) CRISIL AAA(SO) 1.35 National Bank for Agriculture & Rural Development CRISIL AAA 0.51 Steel Authority of India Ltd. FITCH IND AA 0.40 Power Grid Corporation of India Ltd. CRISIL AAA 0.10 Public Sector Undertakings - Total Government Dated Securities 8.53% State Government SOV % State Government SOV % State Government SOV 0.50 Government Dated Securities - Total 6.42 Collateral Borrowing & Lending obligation Net Current /(Liabilities) Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments 2.97 years. Kotak Banking And PSU Debt Fund NAV as on June 30, 2017: ` (Growth Option), ` (Direct Growth Option), ` (Monthly Dividend), ` (Direct Monthly Dividend), ` (Daily Dividend Reinvestment), ` (Direct Daily Dividend Reinvestment), ` (Annual Dividend), ` (Direct Annual Dividend) Debentures and Bonds Net Current Government Dated Securities CBLO & Term Deposits & Rev.Repo Investors understand that their principal will be at moderately low risk AAA, AAA(SO), SOV Net Current CBLO & Term Deposits & Rev.Repo AA+, AA, IND AA, IND AA(SO), AA- A 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. Regular:0.50% Direct: 0.15% * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no

26 DEBT SCHEMES KOTAK DURATION 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. However, there is no assurance that the objective of the scheme will be realized. March 6, 2008 Fund Manager Mr. Deepak Agrawal * CRISIL Liquid Fund AAUM (` In Crores) `5, AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (dividend payout is available under monthly dividend only) (applicable for all plans) Dividend Frequency Weekly (every Monday), Monthly (12th of every month)and Normal (as decided by Trustees) Ratios Standard Deviation: 0.77%, Modified Duration: 1.03 yrs, Portfolio Yield: 8.12% 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 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. Regular: 0.99% Direct: 0.24% Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Vedanta Ltd. CRISIL AA HDFC Ltd. CRISIL AAA 6.53 S D Corporation Private Limited ( DSRA Guarantee from Shapoorji Pallonji and Company Private Limited) CARE AA+(SO) 5.96 Manappuram Finance Ltd(^) ICRA AA Piramal Finance Limited ICRA AA 4.74 Innovador Traders Pvt Ltd ( backed by unconditional and irrevocable undertaking by Piramal ) ICRA AA-(SO) 4.22 Sahyadri Agencies Ltd ( Secured by Equity shares of Jyothy Laboratories Ltd ) BRICKWORK BWR A(SO) 3.63 Muthoot Finance Ltd(^) CRISIL AA 3.56 Nirma Ltd.(^) CRISIL AA 3.55 Varun Beverages Limited CRISIL AA Karelides Traders Private Ltd.. ( backed by unconditional and irrevocable undertaking by a wholly owned subsidiary of Piramal Enterprises Ltd ) ICRA AA-(SO) 2.81 Adani Power Ltd ( Secured by Equity shares of Adani Ports and SEZ Ltd, Adani Transmission and Adani Enterprises) BRICKWORK BWR AA-(SO) 2.18 Indiabulls Housing Finance Limited ICRA AAA 1.96 Nuvoco Vistas Corporation Ltd.(^) CRISIL AA 1.80 Pune Solapur Expressways Pvt. Ltd. ( toll road project of Tata Realty & Infrastructure Ltd, 100 subsidiary of Tata Sons ) ICRA A 1.73 ECL Finance Limited CARE AA 1.61 AXIS Bank Ltd.(^) CRISIL AA Altico Capital India Pvt Ltd FITCH IND AA-(SO) 1.28 Intime Properties Ltd. FITCH IND AAA 1.17 HPCL Mittal Energy Ltd. ICRA AA 0.88 India Infoline Housing Finance Ltd. ICRA AA 0.79 Indiabulls Housing Finance Limited CARE AAA 0.70 Altico Capital India Pvt Ltd FITCH IND AA Mandava Holdings Private Limited ( backed by unconditional and irrevocable undertaking by Axis Capital ) ICRA AAA 0.67 Muthoot Fincorp Ltd. CRISIL A Trends In Vogue Pvt Ltd. ( backed by unconditional and irrevocable undertaking by Axis Capital ) ICRA AAA(SO) 0.55 Vedanta Ltd. CRISIL AA Indostar Capital Finance Private Limited CARE AA Edelweiss Agri Value Chain Limited ( Unconditional and irrevocable guarantee from Edelweiss Financial Services Limited) CARE AA(SO) 0.38 LIC Housing Finance Ltd.(^) CRISIL AAA 0.38 SP Jammu Udhampur way Ltd. ( backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd ) ICRA AAA 0.26 Reliance Jio Infocomm Limited CRISIL AAA 0.20 HDB Financial Services Ltd. CRISIL AAA 0.10 Nabha Power Ltd. ( backed by unconditional and irrevocable guarantee by Larsen & Toubro Ltd ) ICRA AAA 0.10 Aspire Home Finance Corporation Ltd ICRA AA Shapoorji Pallonji Energy Gujarat Private Limited ( backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd ) ICRA AA(SO) 0.06 Grand View Estates Pvt Ltd ( backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd ) ICRA AA 0.02 Corporate Debt/Financial Institutions - Total Public Sector Undertakings National Bank for Agriculture & Rural Development(^) CRISIL AAA 4.41 National ways Authority Of India CRISIL AAA 2.48 Power Finance Corporation Ltd. CRISIL AAA 2.44 Bank Of Baroda(^) CARE AA 2.09 Oriental Bank of Commerce(^) ICRA A 2.05 Andhra Bank(^) CRISIL AA Export-Import Bank of India. CRISIL AAA 0.87 Allahabad Bank CRISIL AA Rural Electrification Corporation Ltd. CRISIL AAA 0.23 Public Sector Undertakings - Total Government Dated Securities 8.15% State Government SOV % State Government SOV 0.14 Government Dated Securities - Total 2.37 Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions S D Corporation Private Limited ( DSRA Guarantee from Shapoorji Pallonji and Company Private Limited) CARE A1+(SO) 2.96 Shapoorji Pallonji and Company Private Limited ICRA A IndusInd Bank Ltd. CRISIL A JM Financial Products Limited CRISIL A Reliance Infrastructure Ltd ( Backed by SBLC of ICICI Bank) FITCH IND A1+(SO) 0.57 HDFC Ltd. ICRA A Canfin Homes Ltd ICRA A Corporate Debt/Financial Institutions - Total Public Sector Undertakings PNB Housing Finance Ltd. CARE A Public Sector Undertakings - Total 5.06 Collateral Borrowing & Lending obligation 0.13 Net Current /(Liabilities) Note: ^ Fully or Party blocked against Interest Rate Swap (IRS),Hedging Position through Interest Rate Swaps as on 30 Jun 2017 is 17.61% of the net assets. Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 1.22 years Kotak Duration Fund NAV as on June 30, 2017: ` (Normal 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) SECTOR ALLOCATION (%) RATING PROFILE A, BWR A(SO), A- Net Current Net Current Government Dated Securities A1+, A1+(SO), AAA, AAA(SO), IND A1+(SO), IND, AAA, SOV Debentures and Bonds AA+, AA+(SO), AA, AA(SO), AA-, AA-(SO), BWR AA- (SO), IND AA-, IND AA-(SO) CBLO & Term Deposits & Rev.Repo 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 25 * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no 56-58

27 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. However, there is no assurance that the objective of the scheme will be realized. May 2, 2002 Fund Manager Mr. Deepak Agrawal* Crisil Short - Term Bond Fund AAUM (` In Crores) `7, AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Monthly (12th of every Month), Half Yearly (20th of Mar/Sept) and normal (as decided by Trustees) Ratios Standard Deviation: 2.08%, Modified Duration: 2.26 yrs, Portfolio Yield: 7.33% 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 Exit Load: Nil Total Expense Ratio Regular: 1.10%; Direct: 0.25% Issuer/Instrument Industry/ % to Net Rating Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Nabha Power Ltd. ( backed by unconditional and irrevocable guarantee by Larsen & Toubro Ltd ) (^) ICRA AAA 7.01 LIC Housing Finance Ltd. CRISIL AAA 6.28 Kotak Mahindra Prime Ltd. CRISIL AAA 6.17 Mahindra & Mahindra Financial Services Ltd.(^) FITCH IND AAA 5.95 HDFC Ltd.(^) CRISIL AAA 5.30 Reliance Jio Infocomm Limited CRISIL AAA 5.12 Gruh Finance Ltd CRISIL AAA 3.31 Indiabulls Housing Finance Limited CARE AAA 2.50 Bajaj Finance Limited FITCH IND AAA 2.08 Dewan Housing Finance Corporation Ltd. CARE AAA 1.61 Fullerton India Credit Co. Ltd.(^) CARE AAA 1.34 BMW India Financial Services Private Limited CRISIL AAA 1.32 HDB Financial Services Ltd. CRISIL AAA 1.24 Kotak Mahindra Investments Ltd. CRISIL AAA 0.66 Tata Sons Ltd. CRISIL AAA 0.66 IOT Utkal Energy Services Ltd. CRISIL AAA(SO) 0.45 East-North Interconnection Company Limited CRISIL AAA(SO) 0.07 Corporate Debt/Financial Institutions - Total Public Sector Undertakings Power Finance Corporation Ltd.(^) CRISIL AAA ONGC Manglore Issuer/Instrument Industry/ % to Net Rating Notes: ^ Fully or Party blocked against Interest Rate Swap (IRS), Hedging Position through Interest Rate Swaps as on 30 Jun 2017 is 14.47% of the net assets. Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 2.96 years. Kotak Bond Short Term Fund NAV as on June 30, 2017: ` (Growth Option), ` (Direct Growth Option), ` (Monthly Dividend), ` (Direct Monthly Dividend),` (Half Yearly Dividend), ` (Direct Half Yearly Dividend) SECTOR ALLOCATION (%) Debentures and Bonds Net Current 0.21 Government Dated Securities Investors understand that their principal will be at moderately low risk Petrochemicals Ltd. FITCH IND AAA 5.10 Small Industries Development Bank Of India. CARE AAA 4.57 Rural Electrification Corporation Ltd.(^) CRISIL AAA 2.01 Export-Import Bank of India. CRISIL AAA 2.00 National Bank for Agriculture & Rural Development CRISIL AAA 1.88 PNB Housing Finance Ltd. CARE AAA 1.20 Indian Railway Finance Corporation Ltd. CRISIL AAA 0.17 Steel Authority of India Ltd. FITCH IND AA 0.04 Public Sector Undertakings - Total Government Dated Securities 6.79% Central Government SOV % State Government SOV % State Government SOV % State Government SOV % State Government SOV % Central Government SOV % State Government SOV % State Government SOV % State Government SOV % State Government SOV % State Government SOV % Central Government SOV % Central Government SOV 0.07 Government Dated Securities - Total Net Current /(Liabilities) Net Current AAA, AAA(SO), IND AAA, SOV IND AA 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. * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no

28 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. However, there is no assurance that the objective of the scheme will be realized. May 26, 2008 Fund Manager Mr. Deepak Agrawal* CRISIL Composite Bond Fund AAUM (` In Crores) `1, AUM (` In Crores) AUM as on June 30, 2017: ` A)Regular Plan B)Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Daily Dividend Reinvestment, Weekly Dividend Reinvestment (Every Monday), Monthly Dividend Payout and Reinvestment (12th of every Month) (w.e.f June 1, 2017), Quarterly Dividend Payout and Reinvestment (20th of March, June, September and December of every year) (applicable for all plans) Ratios Standard Deviation: 4.53%, Modified Duration: 4.81yrs, Portfolio Yield: 7.46% 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 Investment Horizon: 6 months & above Exit Load: Nil Regular:0.90% Direct: 0.35% Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Bajaj Finance Limited CARE AAA Mahindra & Mahindra Financial Services Ltd.(^) CARE AAA 7.52 Bhopal Dhule Transmission Company Ltd. CRISIL AAA 4.50 Reliance Ports And Terminals Limited CRISIL AAA 3.15 Reliance Jio Infocomm Limited(^) CRISIL AAA 1.91 AXIS Bank Ltd. CRISIL AA Indiabulls Housing Finance Limited CARE AAA 0.45 SP Jammu Udhampur way Ltd. ( backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd ) ICRA AAA 0.14 Corporate Debt/Financial Institutions - Total Public Sector Undertakings Bank Of Baroda CARE AA 2.29 Power Grid Corporation of India Ltd. CRISIL AAA 1.40 PNB Housing Finance Ltd. CARE AAA 0.46 Export-Import Bank of India. CRISIL AAA 0.09 Power Finance Corporation Ltd. CRISIL AAA 0.05 Rural Electrification Corporation Ltd. CRISIL AAA 0.04 Public Sector Undertakings - Total 4.33 Government Dated Securities 7.68% Central Government SOV % State Government SOV % Central Government SOV % State Government SOV % State Government SOV % State Government SOV % State Government SOV % Central Government SOV % State Government SOV % State Government SOV % State Government SOV % State Government SOV 0.18 Government Dated Securities - Total Collateral Borrowing & Lending obligation 1.24 Net Current /(Liabilities) 1.17 Note: ^ Fully or Party blocked against Interest Rate Swap (IRS),Hedging Position through Interest Rate Swaps as on 30 Jun 2017 is 8.95% of the net assets. Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 6.86 years Kotak Flexi Debt Fund NAV as on June 30, 2017: ` (Growth Option), ` (Direct Growth Option), ` (Weekly Dividend), ` (Direct Weekly Dividend), ` (Daily Dividend), ` (Direct Daily Dividend), ` (Quarterly Dividend), ` (Direct Quarterly Dividend) SECTOR ALLOCATION (%) Net Current CBLO & Term Deposits & Rev.Repo Government Dated Securities Debentures and Bonds Investors understand that their principal will be at moderately low risk 2.74 Net Current AAA, SOV RATING PROFILE CBLO & Term Deposits & Rev.Repo AA+, AA 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. 27 * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no 56-58

29 AA-, 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. However, there is no assurance that the objective of the scheme will be realized. May 11, 2010 Fund Managers Mr. Deepak Agrawal* Crisil Short Term Bond Fund AAUM (` In Crores) `4, AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Weekly (Every Monday), Monthly (12th of every Month), Quarterly (20th of Mar, Jun, Sep and Dec of every Year), Annual (12th of March). Ratios Standard Deviation: 2.02%, Modified Duration:2.00yrs, Portfolio Yield: 8.42% 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 Exit Load: I) For redemption / switch out of upto 10% of the initial investment amount (limit) purchased or switched in within 1 year from the date of allotment: Nil. II) If units redeemed or switched out are in excess of the limit within 1 year from the date of allotment: 1%. iii) If units are redeemed or switched out on or after 1 year from the date of allotment: Nil. iv) Any exit load charged (net off Service Tax, if any) shall be credited back to the respective. Units issued on reinvestment of dividends shall not be subject to entry and exit load. Issuer/Instrument Industry/ % to Net Rating Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Vedanta Ltd.(^) CRISIL AA 9.58 Innovador Traders Pvt Ltd ( backed by unconditional and irrevocable undertaking by Piramal ) ICRA AA-(SO) 4.64 HPCL Mittal Pipelines Ltd. ICRA AA 4.55 Reliance Jio Infocomm Limited(^) CRISIL AAA 3.90 HPCL Mittal Energy Ltd. ICRA AA 3.80 Tata Power Renewable Energy Ltd. ( Guaranteed by Tata Power Company Ltd) CARE AA(SO) 3.28 India Infoline Housing Finance Ltd. ICRA AA 2.79 Karelides Traders Private Ltd. ( backed by unconditional and irrevocable undertaking by a wholly owned subsidiary of Piramal Enterprises Ltd ) ICRA AA-(SO) 2.43 DLF Emporio Ltd(^) CRISIL AA 2.40 AU Small Finance Bank Ltd. FITCH IND A Nirma Ltd.(^) CRISIL AA 2.33 Indiabulls Housing Finance Limited ICRA AAA 2.32 Janalakshami Financial Services Ltd.(^) ICRA A 2.32 K Raheja IT Park (Hyderabad) Ltd. FITCH IND AAA(SO) 2.32 Vizag General Cargo Berth Private Limited ( backed by unconditional and irrevocable guarantee of Vedanta Ltd ) CRISIL AA(SO) 2.10 Nuvoco Vistas Corporation Ltd. CRISIL AA 2.02 ECL Finance Limited(^) ICRA AA 1.90 Tata Power Company Ltd. CRISIL AA Indiabulls Housing Finance Limited CARE AAA 1.82 HDFC Ltd. CRISIL AAA 1.77 Prestige Estates Projects Limited ICRA A Reliance Ports And Terminals Limited(^) CRISIL AAA 1.40 Muthoot Finance Ltd CRISIL AA 1.35 ECL Finance Limited BRICKWORK BWR AA 1.29 Ananta Landmarks Pvt Ltd. UNRATED 1.17 Edelweiss Agri Value Chain Limited ( Unconditional and irrevocable guarantee from Edelweiss Financial Services Limited) CARE AA(SO) 1.17 Tata Steel Limited(^) BRICKWORK BWR AA 1.16 AXIS Bank Ltd.(^) CRISIL AA Asirvad Microfinance Private Limited ( 85 subsidiary of Manappuram Finance Ltd ) CRISIL A Dalmia Cement (Bharat) Ltd ICRA AA 0.80 ECL Finance Limited CARE AA 0.61 Piramal Finance Limited(^) ICRA AA 0.61 Kolte-Patil Developers Limited CRISIL A Manappuram Finance Ltd CRISIL AA SP Jammu Udhampur way Ltd. ( backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd ) ICRA AAA 0.59 SBK Properties Pvt Ltd. ( Guaranteed by a Kalyani Group Regular: 1.60% Direct: 0.90% Investors understand that their principal will be at moderately low risk * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no Issuer/Instrument Industry/ % to Net Rating company ) ICRA AA Bhopal Dhule Transmission Company Ltd. CRISIL AAA 0.42 Continental Drug Company P Ltd ( Secured by Equity shares of Zee Entertainment Enterprises Ltd ) BRICKWORK BWR A Nabha Power Ltd. ( backed by unconditional and irrevocable guarantee by Larsen & Toubro Ltd ) ICRA AAA 0.35 Tata Capital Financial Services Limited ICRA AA Essel Lucknow Raebareli Toll Roads Limited CARE AAA 0.34 Family Credit Ltd. CARE AA Piramal Enterprises Limited ICRA AA 0.23 Mandava Holdings Private Limited ( backed by unconditional and irrevocable undertaking by Axis Capital ) ICRA AAA 0.19 Indostar Capital Finance Private Limited CARE AA Shriram Transport Finance Co Ltd. CRISIL AA LIC Housing Finance Ltd. CRISIL AAA 0.02 Corporate Debt/Financial Institutions - Total Public Sector Undertakings U P Power Corporation Ltd ( Guaranteed By UP State Government ) (^) FITCH IND AA(SO) 2.71 Union Bank of India CARE AA 1.51 Indian Railway Finance Corporation Ltd. CRISIL AAA 1.50 Oriental Bank of Commerce ICRA A 1.27 Corporation Bank CRISIL A 1.25 PNB Housing Finance Ltd. CARE AAA 1.18 Punjab & Sind Bank ICRA A Bank of India CRISIL A Power Grid Corporation of India Ltd. CRISIL AAA 0.84 Bank Of Baroda CARE AA 0.82 Power Finance Corporation Ltd. CRISIL AAA 0.81 Syndicate Bank CARE AA Allahabad Bank CRISIL AA Canara Bank CRISIL AAA 0.23 Bank of India BRICKWORK BWR AA Konkan Railway Corporation Ltd. ICRA AAA 0.12 Steel Authority of India Ltd. FITCH IND AA 0.02 Public Sector Undertakings - Total Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions JM Financial Products Limited CRISIL A S D Corporation Private Limited ( DSRA Guarantee from Shapoorji Pallonji and Company Private Limited) CARE A1+(SO) 1.02 Corporate Debt/Financial Institutions - Total 3.22 Public Sector Undertakings PNB Housing Finance Ltd. CARE A Public Sector Undertakings - Total 0.11 Collateral Borrowing & Lending obligation 0.54 Net Current /(Liabilities) 2.31 Note: ^ Fully or Party blocked against Interest Rate Swap (IRS),Hedging Position through Interest Rate Swaps as on 30 Jun 2017 is 16.17% of the net assets. Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 2.59 years. Kotak Income Opportunities Fund NAV as on June 30, 2017: ` (Growth Option), ` (Direct Growth Option), ` (Weekly Dividend), ` (Direct Weekly Dividend), ` (Monthly Dividend), ` (Direct Monthly Dividend), ` (Quarterly Dividend), ` (Direct Quarterly Dividend), ` (Annual Dividend), ` (Direct Annual Dividend). SECTOR ALLOCATION (%) Debentures and Bonds CBLO & Term Deposits & Rev.Repo Net Current Commercial Paper (CP)/Certi cate of Deposits (CD) AA+, AA, AA(SO), BWR AA, IND AA, IND AA(SO), AA-(SO), BWR AA- A1+, A1+(SO), AAA, IND AAA(SO) Net Current Unrated A+, BWR A+, IND A+, A 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. 28

30 DEBT SCHEMES KOTAK CORPORATE BOND FUND An Open - Ended Debt INVESTMENT STYLE Maturity Short Medium Long Volatiliy Medium The Fund seeks to generate income and capital appreciation largely through a focus on investments in corporate debt securities. However, 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) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Monthly (12th of every Month), Quarterly (20th of Mar, Jun, Sep and Dec of every Year) Ratios Standard Deviation: 1.33%, Modified Duration: 1.85yrs, Portfolio Yield: 7.28% 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 Exit Load: Nil Regular: 0.50% Direct: 0.30% Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Bhopal Dhule Transmission Company Ltd. CRISIL AAA 7.80 Mahindra & Mahindra Financial Services Ltd.(^) FITCH IND AAA 7.59 Reliance Jio Infocomm Limited(^) CRISIL AAA 7.34 Nabha Power Ltd. ( backed by unconditional and irrevocable guarantee by Larsen & Toubro Ltd ) ICRA AAA 4.79 Indiabulls Housing Finance Limited CARE AAA 4.22 Dewan Housing Finance Corporation Ltd. CARE AAA 2.82 ICICI Home Finance Company Limited ICRA AAA 2.61 LIC Housing Finance Ltd. CRISIL AAA 0.99 SP Jammu Udhampur way Ltd. ( backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd ) ICRA AAA 0.65 HDFC Ltd. CRISIL AAA 0.55 IOT Utkal Energy Services Ltd. CRISIL AAA(SO) 0.53 Bajaj Finance Limited FITCH IND AAA 0.24 Ultratech Cement Ltd. CRISIL AAA 0.17 Corporate Debt/Financial Institutions - Total Public Sector Undertakings National ways Authority Of India CRISIL AAA 8.84 National Bank for Agriculture & Rural Development CRISIL AAA 7.92 Power Finance Corporation Ltd.(^) CRISIL AAA 7.90 Power Grid Corporation of India Ltd. CRISIL AAA 6.74 PNB Housing Finance Ltd. CARE AAA 4.64 Export-Import Bank of India. CRISIL AAA 3.98 ONGC Manglore Petrochemicals Ltd. FITCH IND AAA 3.97 Canara Bank CRISIL AAA 2.02 Rural Electrification Corporation Ltd. CRISIL AAA 0.98 National Housing Bank CRISIL AAA 0.75 Powergrid Vizag Transminssion Ltd. ( backed by unconditional and irrevocable guarantee by Powergrid Corp ) CRISIL AAA(SO) 0.67 Airports Authority of India CRISIL AAA 0.09 Public Sector Undertakings - Total Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions BMW India Financial Services Private Limited CRISIL A Corporate Debt/Financial Institutions Collateral Borrowing & Lending obligation 5.80 Net Current /(Liabilities) 1.31 Note: (^) Fully or Party blocked against Interest Rate Swap (IRS), Hedging Position through Interest Rate Swaps as on 30 Jun 2017 is 9.27% of the net assets. Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 2.23 years Kotak Corporate Bond Fund NAV as on June 30, 2017: ` (Standard Plan-Growth Option), ` (Standard Plan- Monthly Dividend), ` (Standard Plan-Quarterly Dividend), ` (Direct Plan- Growth Option), ` (Direct Plan- Monthly Dividend) Debentures and Bonds Commercial Paper (CP)/Certi cate of Deposits (CD) Net Current CBLO & Term Deposits & Rev.Repo Investors understand that their principal will be at moderately low risk A1+, AAA, AAA(SO), IND AAA CBLO & Term Deposits & Rev.Repo Net Current 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. 29 * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no 56-58

31 EQUITY SCHEMES Equity Fund Ready Reckoner (as on June 30, 2017) Kotak 50 Kotak Classic Equity Kotak Opportuni es Kotak Select Focus Fund Kotak Tax Saver Kotak Midcap Kotak Emerging Equity Kotak Infrastructure & Economic Reform Fund Kotak Balance Fund Kotak Equity Arbitrage Fund Kotak Equity Savings Fund Investment Theme Large cap Large cap Diversified Mul Cap ELSS Mid cap Mid and Small Cap Thema c: Infrastructure Balanced Equity Arbitrage Equity Savings Product Posi oning Invest with industry leaders Long term wealth creators Spo ng the hidden gems Focus on few selected sectors Tax advantage with poten al equity growth Spot them young, watch them grow Emerging leaders True to label Best of both worlds: equity & debt Arbitrage opportuni es MIP with equity tax efficiency Key Features a. Favours industry leaders in cost,innova on, brand, competence, etc. with a proven execu on track record across cycles b. convic on and long term calls taken a. Focus on sustainable large cap stories which can withstand market shocks b. These are companies with pricing power for their compe ve advantage or entry barriers Iden fies investment opportuni es across market capitalisa on and sectors a. Invests in a few sectors as the various sectors of the economy tend to perform differently at different points of me b. Flexibility to move across market caps depending on their a rac veness during the economic phase a. Por olio is diversified across sectors and market capitaliza on segments b. Offers dual benefits of growth and tax savings a.iden fies the hidden growth poten al of mid cap sized companies b. Por olio exhibits higher vola lity than large caps however tends to have a larger return base c. Buy and hold strategy a. Stands for winning investment ideas across the mid & small cap range offering decent growth trajectory over the medium to long term horizon b. Buy and hold strategy c. Riskier than a large cap fund but offers faster growth rate since it has a smaller base d. 15% 20% alloca on to large cap opportuni es as tac cal plays a. Iden fies "flow related" companies These benefit from spending from government, private and household (in terms of proper es). They are not asset owners. b. Focus on high quality companies exhibi ng superior ROE, posi ve cash flow, low leverage in an otherwise challenging environment a. Equity por on: Mul cap strategy to iden fy outstanding companies having well managed and durable businesses with predictable earnings power b. Debt por on: Ac vely managed with medium to long term maturity c. er vola lity than a pure equity or debt fund a. Discovers arbitrage opportuni es by simultaneously entering transac ons of long posi on in cash and exactly off se ng short posi on in futures b. Equity posi on is completely hedged Conserva ve por olio with a blend of: a. Income genera on through arbitrage opportuni es & debt investment b. Growth poten al through moderate par cipa on in equity markets c. Tax efficiency through equity orienta on Incep on Date 29 Dec Jul Sep Sep Nov Feb Mar Feb Nov Sep Oct 14 Fund Manager Mr. Harish Krishnan Mr. Deepak Gupta Mr. Harsha Upadhyaya Mr. Harsha Upadhyaya Mr. Harsha Upadhyaya Mr. Pankaj Tibrewal Mr. Pankaj Tibrewal Mr. Harish Krishnan Mr. Pankaj Tibrewal & Mr. Abhishek Bisen Mr. Deepak Gupta Mr. Deepak Gupta & Mr. Abhishek Bisen Ni y 50 Ni y 100 Ni y 500 Ni y 200 Ni y 500 Ni y Midcap 100 S&P BSE Mid Small Cap S&P BSE 100 Crisil Balanced Fund Ni y 50 Arbitrage Index 75% of Ni y 50 Arbitrage Index + 25% of Ni y 50 Monthly AAUM (Rs. Crs) 1, , , , , , Mcap (%) 74.82% Large Cap 23.31% Mid Cap 0.45% Small Cap 1.42% Cash 87.49% Large Cap 11.24% Mid Cap 0.54% Small Cap 0.72% Cash 69.46% Large Cap 21.61% Mid Cap 4.41% Small Cap 4.52% Cash 76.04% Large Cap 15.75% Mid Cap 1.09% Small Cap 7.11% Cash 63.01% Large Cap 28.91% Mid Cap 6.74% Small Cap 1.34% Cash 22.95% Large Cap 54.65% Mid Cap 20.25% Small Cap 2.15% Cash 13.98% Large Cap 64.19% Mid Cap 17.27% Small Cap 4.56% Cash N/A 33.23% Large Cap 26.41% Mid Cap 7.15% Small Cap 33.21% Debt and Cash N/A N/A Overweight 1. Industrial Manufacturing 2. Media & Entertainment 3. Cement & Cement Products 1. Energy 2. Metals 3. IT 1. Cement & Cement Products 2. Fer lisers & Pes cides 3. Energy 1. Cement & Cement Products 2. Energy 3. Automobile 1. Cement & Cement Products 2. Energy 3. Chemicals 1. Media & Entertainment 2. Industrial Manufacturing 3. Chemicals 1. Industrial Manufacturing 2. Media & Entertainment 3. Chemicals N/A N/A N/A N/A Underweight 1. Financial Services 2. IT 3. Metals 1. Financial Services 2. Consumer Goods 3. Construc ons 1. Informa on technology 2. Metals 3. Consumer Goods 1. Informa on technology 2. Metals 3.Consumer Goods 1. Consumer Goods 2. Informa on technology 3. Metals 1. Energy 2. Consumer Goods 3. Informa on technology 1.Energy 2. Consumer Goods 3. Automobile N/A N/A N/A N/A Beta Sharpe Standard Devia on 13.41% 12.88% 13.88% 13.98% 14.99% Details provided are as on June 30, Ratio Source: ICRA MFI Explorer. Risk rate assumed to be 6.25%. *For Kotak Midcap Fund & Kotak Emerging Equity Fund the stocks falling within the mcap range in Nifty Midcap 100 & S&P BSE Mid Small Cap, respectively, would be considered as midcap stocks. Any stock which would have mcap above the highest mcap of these benchmarks would be considered as largecap, and any stock would have mcap below the lowest mcap would be considered as smallcap. N/A: Field not applicable to the scheme owing to its investment theme. Risk Factor: Mutual Fund investments are subject to market risks, read all scheme related documents carefully. Continuous offer of units of all schemes available at NAV based prices. Large cap (>23515 crs)* Mid cap (23515 to 1881 crs)* Small cap (<1881 crs)* 15.33% 15.05% 14.92% 10.74% 0.49% 3.36

32 DEBT SCHEMES Debt Fund Ready Reckoner (as on June 30, 2017) Kotak Liquid Kotak Floater Short Term Kotak Treasury Advantage # Kotak Dura on Fund Kotak Corporate Bond Fund Kotak Banking & PSU Debt Fund Kotak Bond Short Term Kotak Flexi Debt Kotak Income Opportuni es Fund Kotak Medium Term Kotak Bond Fund Kotak Gilt Investment Current Posi oning Liquid Conserva ve Liquid Aggressive UST^ Conserva ve UST^ Aggressive UST^ Aggressive Banking and PSU STP^^ Conserva ve Dynamic STP Accrual Accrual Income Aggressive Gilt Aggressive Crisil Liquid Fund Index Crisil Liquid Fund Index Crisil Liquid Fund Index CRISIL Liquid Fund CRISIL Composite Bond Fund Crisil Short Term Bond Fund Index Crisil Short Term Bond Fund CRISIL Composite Bond Crisil Short Term Bond Fund CRISIL Composite Bond Fund Crisil Composite Bond Fund ISEC Composite Monthly Avg. AUM (Rs crores) 14, , , , , , , , , , Current Por olio Quality** 100% AAA 99.56% AAA 0.44%AA 87.83% AAA 12.17% AA 32.13% AAA 59.86% AA 51.23% AA 100% AAA 50.81% AAA, 6.43% Gilt 40.32% AA 80.05% AAA, 19.91% Gilt 0.04% AA 32.89% AAA 64.38% Gilt 2.73% AA 26.30% AAA 59.70% AA 33.21% AAA, 55.60% AA, 0.36% Gilt 9.40% AAA 74.04% Gilt 13.78% AA 100% Gilt Ideal Investment Horizon 1 15 days 1 15 days 1 3 Months 1 3 Months 6 Months and above 6 Months and above 6 Months and above 6 Months and above 1 Year and above 2.5 Years and above 1 Year and above 1 Year and above Key Differen ator Maturity < 91 days Maturity < 91 days Modified dura on < 6 months Modified dura on between 6 12 months % corporate bond exposure quality Banking & PSU assets Avg Mat between 1 3 years Dynamic strategy, dura on has never gone above 5 years. Upto 65% in > 1 yr papers, try to capitalize on mispriced credits Avg Mat between 3 7 years Dynamic strategy, no cap on dura on Dynamic strategy, no cap on dura on YTM % Average Maturity (years) Modified Dura on (years) Exit Load Nil Nil Nil Nil Nil Nil Nil Nil Withdrawal up to 10% of investment amt within 1 yr: NilWithin 1 year : 1%, A er 1 year : Nil Withdrawal up to 15% of investment amt within 1 yr: Nil Within 18 months : 2%, A er 18 months : Nil Nil Nil Risk Factor: Mutual Fund investments are subject to market risks, read all scheme related documents carefully. Con nuous Offer of units of all schemes available at NAV based prices. Note: ^UST = Ultra Short Term plan, ^^STP= Short Term plan. **AAA also includes A1+,A1+(SO), AAA(SO), IND AAA, Net current, CBLO, Term Deposit and Rev repo. For Kotak Gilt Fund: Cash and Cash Equivalent is included under Gilt. For Liquid schemes ( Kotak Liquid and Kotak Floater Short Term ) and Liquid plus schemes (Kotak Treasury Advantage and Kotak Dura on) T bill is included in AAA. AA includes AA,AA+,AA.

33 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. However, there is no assurance that the objective of the scheme will be realized. March 21, 2014 Fund Manager Mr. Deepak Agrawal* CRISIL Composite Bond Fund AAUM (` In Crores) ` 4, AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Quarterly (20th of Mar, Jun, Sep and Dec of every Year), Annually (12th of March) Ratios Standard Deviation: 2.52%, Modified Duration: 2.67yrs, Portfolio Yield: 8.47% 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 Exit Load: i) For redemption / switch out of upto 15% of the initial investment amount (limit) purchased or switched in within 18 months from the date of allotment: Nil. ii) If units redeemed or switched out are in excess of the limit within 18 months from the date of allotment: 2%. iii) If units are redeemed or switched out on or after 18 months from the date of allotment: Nil. iv) Any exit load charged (net off Service Tax, if any) shall be credited back to the respective. Units issued on reinvestment of dividends shall not be subject to entry and exit load. Regular: 1.70% Direct: 0.96% Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Reliance Jio Infocomm Limited(^) CRISIL AAA 8.39 K Raheja IT Park (Hyderabad) Ltd. FITCH IND AAA(SO) 4.56 Nuvoco Vistas Corporation Ltd.(^) CRISIL AA 4.54 HPCL Mittal Energy Ltd. ICRA AA 3.32 Piramal Finance Limited(^) ICRA AA 3.29 Vizag General Cargo Berth Private Limited ( backed by unconditional and irrevocable guarantee of Vedanta Ltd ) CRISIL AA(SO) 3.09 Dalmia Cement (Bharat) Ltd ICRA AA 3.07 Tata Power Company Ltd.(^) CRISIL AA Vedanta Ltd.(^) CRISIL AA 2.44 Sundaram BNP Paribas Home Finance Ltd ICRA AA inance Ltd ICRA AA Birla Corporation Ltd. CARE AA 2.06 Nirma Ltd.(^) CRISIL AA 2.05 AXIS Bank Ltd. CRISIL AA ECL Finance Limited ICRA AA 1.86 Prestige Estates Projects Limited ICRA A Reliance Utilities And Power Private Limited CRISIL AAA 1.67 Tata Steel Limited CARE AA 1.54 The Indian Hotels Company Ltd. CARE AA HPCL Mittal Pipelines Ltd. ICRA AA 1.28 Ananta Landmarks Pvt Ltd. UNRATED 1.15 Edelweiss Agri Value Chain Limited ( Unconditional and irrevocable guarantee from Edelweiss Financial Services Limited) CARE AA(SO) 1.13 Bhopal Dhule Transmission Company Ltd. CRISIL AAA 1.09 Indiabulls Housing Finance Limited CARE AAA 1.03 Tata Steel Limited BRICKWORK BWR AA 1.02 Muthoot Finance Ltd CRISIL AA 0.92 Janalakshami Financial Services Ltd. ICRA A 0.90 Essel Lucknow Raebareli Toll Roads Limited CARE AAA 0.81 Tata Power Renewable Energy Ltd. ( Guaranteed by Tata Power Company Ltd) CARE AA(SO) 0.77 SBK Properties Pvt Ltd. ( Guaranteed by a Kalyani Group company ) ICRA AA AU Small Finance Bank Ltd. FITCH IND A East-North Interconnection Company Limited CRISIL AAA(SO) 0.59 Bajaj Finance Limited CARE AAA 0.58 L & T Housing Finance Ltd. CARE AA Reliance Ports And Terminals Limited(^) CRISIL AAA 0.57 ECL Finance Limited BRICKWORK BWR AA 0.46 Asirvad Microfinance Private Limited ( 85 subsidiary of Manappuram Finance Ltd ) CRISIL A Intime Properties Ltd. FITCH IND AAA 0.33 IOT Utkal Energy Services Ltd. CRISIL AAA(SO) 0.23 Nabha Power Ltd. ( backed by unconditional and irrevocable guarantee by Larsen & Toubro Ltd ) ICRA AAA 0.23 Tata Capital Financial Services Limited ICRA AA Edelweiss Housing Finance Limited ICRA AA 0.21 Mandava Holdings Private Limited ( backed by unconditional and irrevocable undertaking by Axis Capital ) ICRA AAA 0.14 LIC Housing Finance Ltd. CRISIL AAA 0.11 SP Jammu Udhampur way Ltd. ( backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd ) ICRA AAA 0.11 Corporate Debt/Financial Institutions - Total Public Sector Undertakings U P Power Corporation Ltd ( Guaranteed By UP State Government ) FITCH IND AA(SO) 6.32 Power Finance Corporation Ltd. CRISIL AAA 3.54 PNB Housing Finance Ltd.(^) CARE AAA 3.04 Indian Railway Finance Corporation Ltd. CRISIL AAA 1.92 Bank Of Baroda CARE AA 1.73 Andhra Bank(^) CRISIL AA Union Bank of India CARE AA 1.39 Oriental Bank of Commerce ICRA A 1.37 Bank of India CRISIL A Punjab & Sind Bank ICRA A Corporation Bank CRISIL A 1.00 IDBI Bank Ltd ICRA BBB Syndicate Bank CARE AA Export-Import Bank of India. CRISIL AAA 0.57 Union Bank of India FITCH IND AA 0.57 Bank of India BRICKWORK BWR AA Bank of Maharashtra CRISIL A State Bank of Travancore CRISIL AAA 0.26 Konkan Railway Corporation Ltd. ICRA AAA 0.12 Bank Of Baroda CARE AA Public Sector Undertakings - Total Government Dated Securities 1.44% Central Government SOV 0.36 Government Dated Securities - Total 0.36 Money Market Instruments Commercial Paper(CP)/Certificate of Deposits(CD) Corporate Debt/Financial Institutions BMW India Financial Services Private Limited CRISIL A Corporate Debt/Financial Institutions - Total 0.11 Collateral Borrowing & Lending obligation 0.20 Net Current /(Liabilities) 2.98 Note: ^ Fully or Party blocked against Interest Rate Swap (IRS),Hedging Position through Interest Rate Swaps as on 30 Jun 2017 is 16.97% of the net assets. Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : 3.55 years Kotak Medium Term Fund NAV as on June 30, 2017: ` (Growth Option), ` (Direct Growth Option), ` (Quarterly Dividend), ` (Direct Quarterly Dividend), ` (Annual Dividend), ` (Direct Annual Dividend). Government Dated Securities Net Current Commercial Paper (CP)/Certi cate of Deposits (CD) Debentures and Bonds CBLO & Term Deposits & Rev.Repo Investors understand that their principal will be at moderate risk * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no RATING PROFILE A+, IND A+, A, A- BBB- AA+, AA, AA(SO), BWR AA, IND AA, IND AA(SO), AA-, BWR AA- A1+, AAA, AAA(SO), IND AAA, IND AAA(SO), SOV Unrated Net Current CBLO & Term Deposits & Rev.Repo 0.20 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. 30

34 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. However, there is no assurance that the objective of the scheme will be realized. November 25, 1999 Fund Manager Mr. Abhishek Bisen* Crisil Composite Bond Fund AAUM (` In Crores) `3, AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Quarterly (20th of Mar/Jun/Sep/Dec), Half Yearly (20th of Mar/Sept), Annual (12th of Mar) (applicable for all plans) Ratios Standard Deviation: 7.33% Modified Duration: 8.19yrs Portfolio Yield: 7.50% 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 Exit Load: Nil. Note - Units issued on reinvestment of dividends shall not be subject to exit load (applicable for all plans) Regular: 1.80% Direct: 0.90% Issuer/Instrument Industry/ % to Net Rating Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions Bajaj Finance Limited CRISIL AAA 6.47 East-North Interconnection Company Limited CRISIL AAA(SO) 0.76 HDFC Ltd. CRISIL AAA 0.03 Vedanta Ltd. CRISIL AA 0.03 Hindalco Industries Ltd. CRISIL AA Corporate Debt/Financial Institutions - Total 7.30 Public Sector Undertakings U P Power Corporation Ltd ( Guaranteed By UP State Government ) FITCH IND AA(SO) 8.39 Andhra Bank CRISIL AA Allahabad Bank FITCH IND A 1.65 Bank Of Baroda CARE AA Syndicate Bank CARE AA Bank of India CRISIL A National Bank for Agriculture & Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : years. Kotak Bond Fund NAV as on June 30, 2017: ` (Growth Option), ` (Direct Growth Option), ` (Quarterly Dividend), ` (Direct Quarterly Dividend), ` (Annual Dividend), ` (Direct Annual Dividend) SECTOR ALLOCATION (%) Net Current CBLO & Term Deposits & Rev.Repo Debentures and Bonds Government Dated Securities 0.36 Investors understand that their principal will be at moderate risk Issuer/Instrument Industry/ % to Net Rating Rural Development CRISIL AAA 0.30 IDBI Bank Ltd ICRA BBB State Bank Of India. CRISIL AA Public Sector Undertakings - Total Government Dated Securities 7.61% 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 % State Government SOV % Central Government SOV 0.04 Government Dated Securities - Total Collateral Borrowing & Lending obligation 0.36 Net Current /(Liabilities) CBLO & Term Deposits & Rev.Repo Net Current A+, IND A AAA, AAA(SO), SOV AA+, AA, IND AA(SO), AA- BBB- 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. 31 * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no 56-58

35 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. However, there is no assurance that the objective of the scheme will be realized. Regular Plan - December 29, 1998; PF & Trust Plan - November 11, 2003 Fund Manager Mr. Abhishek Bisen* ISEC Composite AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` 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: 8.32%, B) PF & Trust Plan: 8.32%, Modified Duration: 9.61 yrs, Portfolio Yield:7.11% 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 (applicable for all plans) Regular: 1.40% Direct: 0.40% Issuer/Instrument Industry/ % to Net Rating Government Dated Securities 7.73% Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV % Central Government SOV % State Government SOV % State Government SOV % State Government SOV % State Government SOV % State Government SOV % State Government SOV % State Government SOV 0.08 Issuer/Instrument Industry/ % to Net Rating 8.39% State Government SOV 0.07 Government Dated Securities - Total Net Current /(Liabilities) 1.26 Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments : years. Kotak Gilt Investment Fund NAV as on June 30, 2017: ` (Regular-Growth), ` (Regular-Growth-Direct), ` (Quarterly-Dividend), ` (Quarterly-Dividend Direct), ` (PF & Trust-Growth), ` (PF & Trust-Growth Direct), ` (PF & Trust-Quarterly Dividend ), SECTOR ALLOCATION (%) Net Current Government Dated Securities Investors understand that their principal will be at moderate risk Net Current 1.26 SOV 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. * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no

36 DEBT SCHEMES KOTAK MONTHLY INCOME PLAN An Open Ended Income. Monthly Income is not assured & is subject to availability of distributable surplus Style Value INVESTMENT STYLE Maturity 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. However, there is no assurance that the objective of the scheme will be realized. December 02, 2003 Fund Managers Mr. Devender Singhal & Mr. Abhishek Bisen* CRISIL MIP Blended AAUM (` In Crores) ` AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) Dividend Frequency Monthly (12th of every Month) Quarterly (20th of Mar/Jun/Sep/Dec) Ratios Standard Deviation:4.56% Modified Duration: 4.44yrs Portfolio Yield: 7.71% 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 Exit Load: i) For redemption / switch out of upto 10% of the initial investment amount (limit) purchased or switched in within 1 year from the date of allotment: Nil. ii) If units redeemed or switched out are in excess of the limit within 1 year from the date of allotment: 1%. iii) If units are redeemed or switched out on or after 1 year from the date of allotment: Nil. iv) Any exit load charged (net off Service Tax, if any) shall be credited back to the respective. Units issued on reinvestment of dividends shall not be subject to entry and exit load. Regular: 2.28% Direct: 1.78% Issuer/Instrument Industry/ % to Net Rating Equity & Equity related (Listed/Awaiting listing on Stock Exchange) ITC Ltd. Consumer Non Durables 2.11 ICICI Bank Ltd. Banks 1.04 Bata India Ltd. Consumer Durables 0.96 Tata Communications Ltd Telecom - Services 0.94 Sun TV Limited. Media and Entertainment 0.93 Eris Lifesciences Ltd Pharmaceuticals 0.91 Infosys Ltd. Software 0.91 State Bank Of India Banks 0.89 Tata Motors Ltd. Auto 0.89 Hero MotoCorp Ltd. Auto 0.83 Colgate Palmolive (India ) Ltd. Consumer Non Durables 0.76 Maruti Suzuki India Limited Auto 0.68 Whirlpool of India Ltd. Consumer Durables 0.66 Bombay Burmah Trading Corporation Ltd. Consumer Non Durables 0.60 Manpasand Beverages Ltd. Consumer Non Durables 0.60 Godfrey Phillips India Ltd. Consumer Non Durables 0.56 MindTree Ltd. Software 0.53 DR.Lal Pathlabs Ltd Healthcare Services 0.51 Federal Bank Ltd. Banks 0.49 VST Industries Limited Consumer Non Durables 0.43 Phillips Carbon Black Ltd. Chemicals 0.40 GP Petroleums Limited Petroleum Products 0.39 GAIL (India) Ltd. Gas 0.37 Tata Steel Limited. Ferrous Metals 0.36 Bharat Earth Movers Ltd. Industrial Capital Goods 0.35 HDFC Ltd. Warrants Finance 0.35 ICICI Prudential Life Insurance Company Ltd Finance 0.31 Mcleod Russel India Ltd Consumer Non Durables 0.28 Tech Mahindra Ltd. Software 0.26 The Ramco Cements Ltd Cement 0.25 Granules India Ltd. Pharmaceuticals 0.17 AU Small Finance Bank Ltd. Banks 0.16 Bharat Electronics Ltd Industrial Capital Goods 0.15 Tata Motors Ltd - DVR Auto 0.11 JK Cement Ltd. Cement 0.01 Listed/Awaiting Listing on Stock Exchange - Total Notes: Term Deposit as provided above is towards margin for derivatives transactions Issuer/Instrument Industry/ % to Net Rating Debt Instruments Debentures and Bonds Corporate Debt/Financial Institutions LIC Housing Finance Ltd. CRISIL AAA 0.84 Corporate Debt/Financial Institutions - Total 0.84 Public Sector Undertakings Punjab & Sind Bank ICRA A Vijaya Bank ICRA AA Syndicate Bank CARE AA Canara Bank CRISIL AAA 1.66 Rural Electrification Corporation Ltd. CRISIL AAA 0.03 Public Sector Undertakings - Total Government Dated Securities 7.61% Central Government SOV % State Government SOV % Central Government SOV % State Government SOV % Central Government SOV % State Government SOV 2.83 Government Dated Securities - Total TERM DEPOSITS AXIS Bank Ltd Term Deposits - Total 0.20 Collateral Borrowing & Lending obligation 1.22 Net Current /(Liabilities) Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments 6.75 years. Kotak Monthly Income Plan Fund NAV as on June 30, 2017: ` (Growth Option), ` (Direct Growth Option), ` (Monthly Dividend), ` (Direct Monthly Dividend), ` (Quarterly Dividend), ` (Direct Quarterly Dividend) SECTOR ALLOCATION (%) CBLO & Term Deposits & Rev.Repo Investors understand that their principal will be at moderate risk RATING PROFILE AA- Equities AAA, SOV Net Current CBLO & Term Deposits & Rev.Repo A+ 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. 33 * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no 56-58

37 DEBT SCHEMES KOTAK MULTI ASSET ALLOCATION FUND An Open - Ended Hybrid Style Value INVESTMENT STYLE Maturity 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. However, there is no assurance that the objective of the scheme will be realized. January 21, 2011 Fund Managers Mr. Deepak Gupta & Mr. Abhishek Bisen* 65% CRISIL Short Term Bond Fund, 25% Nifty 50 and 10% Price of Gold. (w.e.f April 12, 2017) AAUM (` In Crores) `16.02 AUM (` In Crores) AUM as on June 30, 2017: `15.77 A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans)) Dividend Frequency Monthly (12th of Every Month), Quarterly (20th of Mar/Jun/Sep/Dec), Annual (12th of March) Ratios Standard Deviation: 3.47%, Modified Duration: 2.20yrs, Portfolio Yield: 7.31% 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 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 (applicable for all plans) Regular:2.38% Direct: 0.53% Issuer/Instrument Industry/ % to Net Rating Equity & Equity related (Listed/Awaiting listing on Stock Exchange) ITC Ltd. Consumer Non Durables 0.94 Bharat Petroleum Corporation Ltd. Petroleum Products 0.89 Power Grid Corporation Of India Ltd Power 0.89 Grasim Industries Ltd. Cement 0.81 Tata Steel Limited. Ferrous Metals 0.80 IndusInd Bank Ltd. Banks 0.79 Hindalco Industries Ltd Non - Ferrous Metals 0.74 Yes Bank Ltd Banks 0.73 Reliance Industries Ltd. Petroleum Products 0.70 National Thermal Power Corporation Limited Power 0.69 Infosys Ltd. Software 0.68 Hero MotoCorp Ltd. Auto 0.57 Bajaj Finance Limited Finance 0.55 Laurus Labs Ltd Pharmaceuticals 0.54 Hindustan Unilever Ltd. Consumer Non Durables 0.46 Maruti Suzuki India Limited Auto 0.42 Petronet LNG Ltd. Gas 0.37 HDFC Ltd. Finance 0.36 Tata Motors Ltd. Auto 0.32 The Ramco Cements Ltd Cement 0.31 ICICI Bank Ltd. Banks 0.29 Zee Entertainment Enterprises Ltd Media and Entertainment 0.29 Axis Bank Ltd Banks 0.28 Piramal Enterprises Limited Pharmaceuticals 0.27 Tata Consultancy Services Ltd. Software 0.27 Eicher Motors Ltd Auto 0.26 JSW Steel Ltd. Ferrous Metals 0.23 Vedanta Ltd. Non - Ferrous Metals 0.20 Housing & Urban Development Corporation Ltd Finance 0.19 Larsen And Toubro Ltd. Construction Project 0.19 Bajaj Finserv Ltd. Finance 0.18 Muthoot Finance Ltd Finance 0.18 State Bank Of India Banks 0.17 Tata Motors Ltd - DVR Auto 0.16 HCL Technologies Ltd. Software 0.15 Indian Oil Corporation Ltd Petroleum Products 0.14 S Chand And Company Ltd Media and Entertainment 0.12 Wipro Ltd. Software 0.12 HDFC Bank Ltd. Banks 0.10 Oil & Natural Gas Corporation Ltd. Oil 0.10 Central Depository Services (India) Ltd Finance 0.09 Indraprastha Gas Ltd. Gas 0.09 Notes: Term Deposit as provided above is towards margin for derivatives transactions Issuer/Instrument Industry/ % to Net Rating Hindustan Petroleum Corporation Ltd Petroleum Products 0.08 Tata Communications Ltd Telecom - Services 0.07 Tech Mahindra Ltd. Software 0.06 Biocon Ltd. Pharmaceuticals 0.05 Hindustan Zinc Ltd. Non - Ferrous Metals 0.03 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 0.02 Listed/Awaiting Listing on Stock Exchange - Total Mutual Fund Units Kotak Mutual Fund - Kotak Gold ETF Mutual Fund Units 9.85 Mutual Fund Units - Total 9.85 Futures CNX NIFTY-JUL 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 5.41 Government Dated Securities 8.45% State Government SOV % State Government SOV % State Government SOV Government Dated Securities - Total TERM DEPOSITS AXIS Bank Ltd Term Deposits - Total 1.59 Collateral Borrowing & Lending obligation 6.59 Net Current /(Liabilities) Average Maturity of the portfolio based on total maturity of fixed rate and immediate reset date of floating rate instruments: 2.80 years. Kotak Multi Asset Allocation Fund NAV as on June 30, 2017: ` (Growth Option), ` (Direct Growth Option), ` (Monthly Dividend), ` (Quarterly Dividend), ` (Direct Quarterly Dividend), ` (Annual Dividend), ` (Direct Annual Dividend) Government Dated Securities Mutual Fund Units Debentures and Bonds Net Current Derivatives Investors understand that their principal will be at moderate risk Derivatives AA SOV Mutual Fund Units Income & capital growth over a long term horizon Investment in a portfolio of diversified asset classes of debt, equity & gold * Investors should consult their financial advisors if in doubt about whether the product is suitable for them. * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no

38 Details of exposure across all Debt Funds of Kotak Mahindra Mutual Fund as on June 30, 2017 Issuer Name %age of Exposure to Debt AUM AU Small Finance Bank Ltd AXIS Bank Ltd Aasan Corporate Solutions Private Limited ( Guaranteed by a Piramal Group Company ) 0.10 Adani Power Ltd ( Secured by Equity shares of Adani Ports and SEZ Ltd, Adani Transmission and Adani Enterprises) 0.30 Adani Transmission Ltd 0.14 Aditya Birla Finance Ltd Airports Authority of India 0.04 Allahabad Bank 0.14 Altico Capital India Pvt Ltd 0.14 Ananta Landmarks Pvt Ltd Andhra Bank 0.43 Asirvad Microfinance Private Limited ( 85% subsidiary of Manappuram Finance Ltd ) 0.08 Aspire Home Finance Corporation Ltd 0.10 BMW India Financial Services Private Limited 0.22 Bajaj Capital Ventures Pvt. Ltd. ( Secured by Equity shares of Bajaj Corp. Ltd ) 0.11 Bajaj Finance Limited 1.95 Bank Of Baroda 0.59 Bank of India 0.27 Bank of Maharashtra 0.03 Barclays Investments & Loan (India) Ltd Bhanu Vyapaar Private Limited ( Secured by Equity shares of Emami Ltd ) 0.07 Bhopal Dhule Transmission Company Ltd Birla Corporation Ltd CBLO/REVERSE REPO 1.97 Camden Industries Ltd. ( backed by unconditional and irrevocable undertaking of Axis Capital ) 0.07 Canara Bank 0.18 Canfin Homes Ltd 0.07 Central Government Cholamandalam Investment and Finance Company Ltd 0.01 Continental Drug Company P Ltd ( Secured by Equity shares of Zee Entertainment Enterprises Ltd ) 0.33 Corporation Bank 0.14 DLF Emporio Ltd 0.15 Dalmia Cement (Bharat) Ltd 0.29 Dewan Housing Finance Corporation Ltd ECL Finance Limited 1.10 East-North Interconnection Company Limited 0.08 Edelweiss Agri Value Chain Limited ( Unconditional and irrevocable guarantee from Edelweiss Financial Services Limited) 0.42 Edelweiss Commodities Services Ltd Edelweiss Housing Finance Limited 0.06 Edisons Utility Works Pvt.Ltd. ( Secured by Equity shares of Zee Entertainment Enterprises Ltd ) 0.17 Emami Enclave Makers Pvt Ltd. ( Secured by Equity shares of Emami Ltd ) 0.07 Essel Lucknow Raebareli Toll Roads Limited 0.07 Export-Import Bank of India Family Credit Ltd Ford Credit India Pvt. Ltd Fullerton India Credit Co. Ltd Grand View Estates Pvt Ltd ( backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd ) 0.27 Gruh Finance Ltd 0.36 HDB Financial Services Ltd HDFC Bank Ltd HDFC Ltd HPCL Mittal Energy Ltd HPCL Mittal Pipelines Ltd Hero Cycles Ltd Point Properties Pvt LTD ( backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd ) 0.12 Hindalco Industries Ltd Hinduja Leyland Finance Ltd Hindustan Zinc Ltd 0.43 ICICI Bank Ltd ICICI Home Finance Company Limited 0.45 IDBI Bank Ltd 0.06 IDFC Bank Limited 0.84 IIFL Wealth Finance Ltd IL & FS Transportation Networks Limited ( Secured by Equity shares of IL & FS Ltd ) 0.11 IOT Utkal Energy Services Ltd India Infoline Finance Limited 0.72 India Infoline Housing Finance Ltd Indiabulls Housing Finance Limited 1.48 Indian Oil Corporation Ltd Indian Railway Finance Corporation Ltd Indostar Capital Finance Private Limited 0.22 IndusInd Bank Ltd Innovador Traders Pvt Ltd ( backed by unconditional and irrevocable undertaking by Piramal ) 0.60 Intime Properties Ltd JM Financial Products Limited 0.34 Janalakshami Financial Services Ltd K Raheja IT Park (Hyderabad) Ltd Karelides Traders Private Ltd. ( backed by unconditional and irrevocable undertaking by a wholly owned subsidiary of Piramal Enterprises Ltd ) 0.36 Industry / Sector Issuer Name %age of Exposure to Debt AUM Kolte-Patil Developers Limited 0.06 Konkan Railway Corporation Ltd Kotak Mahindra Investments Ltd Kotak Mahindra Prime Ltd L & T Housing Finance Ltd LIC Housing Finance Ltd Larsen and Toubro Ltd MA MULTI TRADE PVT LTD ( Secured by Equity shares of Bajaj Corp. Ltd ) 0.11 Mahindra & Mahindra Financial Services Ltd Manappuram Finance Ltd 0.96 Mandava Holdings Private Limited ( backed by unconditional and irrevocable undertaking by Axis Capital ) 0.20 Muthoot Finance Ltd 1.27 Muthoot Fincorp Ltd Nabha Power Ltd. ( Backed by Letter of Comfort from L&T ) 0.56 Nabha Power Ltd. ( backed by unconditional and irrevocable guarantee by Larsen & Toubro Ltd ) 1.78 National Bank for Agriculture & Rural Development 4.29 National ways Authority Of India 0.39 National Housing Bank 0.18 Nirma Ltd Nuvoco Vistas Corporation Ltd ONGC Manglore Petrochemicals Ltd Oriental Bank of Commerce 0.35 PNB Housing Finance Ltd Piramal Enterprises Limited 0.01 Piramal Finance Limited 2.16 Power Finance Corporation Ltd Power Grid Corporation of India Ltd Powergrid Vizag Transminssion Ltd. ( backed by unconditional and irrevocable guarantee by Powergrid Corp ) 0.03 Prestige Estates Projects Limited 0.29 Pune Solapur Expressways Pvt. Ltd. ( toll road project of Tata Realty & Infrastructure Ltd, 100% subsidiary of Tata Sons ) 0.13 Punjab & Sind Bank 0.22 Punjab National Bank 0.04 Reliance Industries Ltd Reliance Infrastructure Ltd ( Backed by SBLC of ICICI Bank) 0.04 Reliance Jio Infocomm Limited 3.34 Reliance Ports And Terminals Limited 0.17 Reliance Utilities And Power Private Limited 0.11 Rural Electrification Corporation Ltd S D Corporation Private Limited ( DSRA Guarantee from Shapoorji Pallonji and Company Private Limited) 0.72 SBK Properties Pvt Ltd. ( Guaranteed by a Kalyani Group company ) 0.07 SP Jammu Udhampur way Ltd. ( backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd ) 0.11 Sahyadri Agencies Ltd ( Secured by Equity shares of Jyothy Laboratories Ltd ) 0.27 Shapoorji Pallonji Energy Gujarat Private Limited ( backed by unconditional and irrevocable guarantee of Shapoorji Pallonji & Co Pvt Ltd ) 0.09 Shapoorji Pallonji and Company Private Limited 0.21 Sheba Properties Ltd Shriram City Union Finance Ltd Shriram Transport Finance Co Ltd Small Industries Development Bank Of India Sneha Abasan Pvt Ltd ( Secured by Equity shares of Emami Ltd ) 0.06 Sneha Enclave Pvt Ltd ( Secured by Equity shares of Emami Ltd ) 0.03 State Bank Of India State Bank of Travancore 0.07 State Government 2.67 Steel Authority of India Ltd Sundaram BNP Paribas Home Finance Ltd 0.22 Sundaram Finance Ltd Suraksha Realty Ltd ( Secured by Equity shares of Sun Pharmaceuticals Industries Ltd ) 1.35 Syndicate Bank 0.17 Tata Capital Financial Services Limited 0.49 Tata Capital Housing Finance Ltd; 0.09 Tata Motors Finance Ltd 0.31 Tata Motors Finance Solutions Private Limited 0.14 Tata Motors Ltd Tata Power Company Ltd Tata Power Renewable Energy Ltd. ( Guaranteed by Tata Power Company Ltd) 0.25 Tata Sons Ltd Tata Steel Limited 1.69 The Indian Hotels Company Ltd Trapti Trading & Investments Private Limited 0.07 Trends In Vogue Pvt Ltd. ( backed by unconditional and irrevocable undertaking by Axis Capital ) 0.25 U P Power Corporation Ltd ( Guaranteed By UP State Government ) 1.22 Ultratech Cement Ltd Union Bank of India 0.31 Varun Beverages Limited 0.22 Vedanta Ltd Vijaya Bank 0.06 Vizag General Cargo Berth Private Limited ( backed by unconditional and irrevocable guarantee of Vedanta Ltd ) 0.33 Total %age of Exposure to Debt AUM BANK CASH(CBLO/REVERSE REPO) 1.97 CORPORATES FINANCIAL SERVICES GOI/TBILLS NBFC REAL ESTATE 1.08 Total Includes Hybrid schemes - debt schemes having equity exposure 35

39 FUND OF FUNDS KOTAK ASSET ALLOCATOR FUND An Open Ended Fund of Funds (Earlier known as Kotak Equity FOF ) Style Value INVESTMENT STYLE Maturity 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) `31.93 AUM (` In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Regular Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) 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 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. 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 (applicable for all plans). Note - Units issued on reinvestment of dividends shall not be subject to entry and exit load. (applicable for all plans) Regular: 1.70% Direct: 1.11% Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Mutual Fund Units Kotak Treasury Advantage Fund Direct Growth Debt Kotak Mahindra Bond Plan Debt Kotak Select Focus Fund Direct Growth Equity 9.60 Kotak Liquid Regular Direct Growth Debt 8.56 Mutual Fund Units - Total Net Current /(Liabilities) 1.73 Kotak Asset Allocator Fund NAV as on June 30, 2017: ` (Dividend Option), ` (Direct Dividend Option), `73.709(Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) Equity Debt 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. * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no

40 FUND OF FUNDS KOTAK 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) ` 4.77 AUM (` In Crores) AUM as on June 30, 2017: ` 4.71 A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) 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 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. Regular:1.40% Direct: 0.62% 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) 4.63 Kotak US Equity Fund NAV as on June 30, 2017: ` (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. 37 * For Fund Manager experience, please refer page For scheme performance, please refer page no

41 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. However, there is no assurance that the objective of the scheme will be realized. 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) `27.47 AUM (` In Crores) AUM as on June 30, 2017: `27.47 A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) 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 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. (applicable for all plans) Note - Units issued on reinvestment of dividends shall not be subject to exit load (applicable for all plans) Regular: 1.84% Direct: 0.71% 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 Net Current /(Liabilities) 1.32 Kotak Global Emerging Market Fund NAV as on June 30, 2017: ` (Dividend Option), ` (Direct Dividend Option), ` (Growth Option), ` (Direct Growth Option) SECTOR ALLOCATION (%) 1.32 Overseas Mutual Fund 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. * For Fund Manager experience, please refer page For scheme performance, please refer page no

42 FUND OF FUNDS KOTAK 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) `42.45 AUM (` In Crores) AUM as on June 30, 2017:`41.50 A) Regular Plan B) Direct Plan Options: Dividend Payout, Dividend Reinvestment & Growth (applicable for all plans) 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 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. Regular: 1.90% Direct: 1.14% Equity & Equity related (Listed/Awaiting listing on Stock Exchange) Mutual Fund Units Falcon Gold Equity ASIA Overseas Mutual Fund Mutual Fund Units - Total Net Current /(Liabilities) Kotak World Gold Fund NAV as on June 30, 2017: `7.444 (Dividend Option), `7.706 (Direct Dividend Option), `8.980 (Growth Option), `9.254 (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 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. 39 * For Fund Manager experience, please refer page For scheme performance, please refer page no

43 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. However, there is no assurance that the investment objective of the will be realized July 27, 2007 Fund Manager Mr. Abhishek Bisen* Price of Gold AAUM (`In Crores) ` AUM (`In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan 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, 2017: ` Tracking Error: 0.06% Sector Allocation (%) 0.49 NAV Issuer / Instrument Industry/ % to Net Rating Net Current /(Liabilities) 0.49 Through Exchange:10 Units, Through AMC: Units, Ideal Investment Horizon: 3 years and above 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. Exit Load: Nil (applicable for all plans) Regular: 1.00% Direct: NA * For Fund Manager experience, please refer page For scheme performance, please refer page no

44 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. However, there is no assurance that the investment objective of the will be realized. February 2, 2010 Fund Manager Mr. Deepak Gupta* Nifty 50 AAUM (`In Crores) ` AUM (`In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Ratios Portfolio Turnover:75.87% Tracking Error: 0.08% Through Exchange:1 Unit, Through AMC: 5000 Units, Ideal Investment Horizon: 3 years and above Exit Load: Nil (applicable for all plans) Regular:0.10% Direct: NA Issuer / Instrument Industry/ % to Net Rating Equity & Equity related (Listed/Awaiting listing on Stock Exchange) HDFC Bank Ltd. Banks 9.28 ITC Ltd. Consumer Non Durables 7.63 HDFC Ltd. Finance 7.11 Reliance Industries Ltd. Petroleum Products 6.34 Infosys Ltd. Software 5.18 ICICI Bank Ltd. Banks 5.15 Larsen And Toubro Ltd. Construction Project 3.84 Tata Consultancy Services Ltd. Software 3.48 Kotak Mahindra Bank Ltd. Banks 3.22 State Bank Of India Banks 2.81 Maruti Suzuki India Limited Auto 2.66 Axis Bank Ltd Banks 2.44 Tata Motors Ltd. Auto 2.25 Hindustan Unilever Ltd. Consumer Non Durables 2.14 IndusInd Bank Ltd. Banks 2.06 Mahindra & Mahindra Ltd. Auto 1.74 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 1.70 Yes Bank Ltd Banks 1.48 Bharti Airtel Ltd. Telecom - Services 1.39 Asian Paints Ltd. Consumer Non Durables 1.38 HCL Technologies Ltd. Software 1.35 Hero MotoCorp Ltd. Auto 1.33 Power Grid Corporation Of India Ltd Power 1.28 Vedanta Ltd. Non - Ferrous Metals 1.28 Oil & Natural Gas Corporation Ltd. Oil 1.23 Ultratech Cement Ltd. Cement 1.14 Indian Oil Corporation Ltd Petroleum Products 1.09 National Thermal Power Kotak Nifty ETF NAV as on June 30, 2017: ` Sector Allocation (%) NAV Issuer / Instrument Industry/ % to Net Rating Corporation Limited Power 1.09 Bajaj Auto Ltd. Auto 1.05 Tata Steel Limited. Ferrous Metals 1.01 Eicher Motors Ltd Auto 1.00 Indiabulls Housing Finance Ltd. Finance 0.96 Bharat Petroleum Corporation Ltd. Petroleum Products 0.92 Wipro Ltd. Software 0.91 Dr Reddys Laboratories Ltd Pharmaceuticals 0.90 Coal India Ltd. Minerals/Mining 0.88 Adani Port and Special Economic Zone Limited Transportation 0.81 Cipla Ltd. Pharmaceuticals 0.78 Hindalco Industries Ltd Non - Ferrous Metals 0.77 Zee Entertainment Enterprises Ltd Media and Entertainment 0.75 Bharti Infratel Ltd. Telecom - Equipment & Accessories 0.73 Lupin Ltd. Pharmaceuticals 0.70 Tech Mahindra Ltd. Software 0.66 GAIL (India) Ltd. Gas 0.64 Bosch Limited Auto Ancillaries 0.59 Aurobindo Pharma Ltd. Pharmaceuticals 0.53 Ambuja Cements Ltd Cement 0.50 Bank Of Baroda Banks 0.42 Tata Power Co. Ltd. Power 0.40 ACC Ltd. Cement 0.37 Tata Motors Ltd - DVR Auto 0.37 Listed/Awaiting Listing on Stock Exchange - Total Net Current /(Liabilities) Finance Non - Ferrous Metals Banks Software Consumer Non Durables Auto Petroleum Products Power Pharmaceuticals Construction Project 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 * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no 56-58

45 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. However, there is no assurance that the investment objective of the will be realized. June 6, 2008 Fund Manager Mr. Deepak Gupta* S&P BSE SENSEX AAUM (`In Crores) `11.98 AUM (`In Crores) AUM as on June 30, 2017: `11.90 A) Regular Plan B) Direct Plan Ratios Portfolio Turnover: 20.06% Tracking Error: 0.12% Through Exchange:1 Unit, Through AMC: Units, Ideal Investment Horizon: 3 years and above Exit Load: Nil (applicable for all plans) Regular: 0.25% Direct: NA Issuer / Instrument Industry/ % to Net Rating Equity & Equity related (Listed/Awaiting listing on Stock Exchange) HDFC Bank Ltd. Banks ITC Ltd. Consumer Non Durables 9.34 HDFC Ltd. Finance 8.71 Reliance Industries Ltd. Petroleum Products 7.76 Infosys Ltd. Software 6.34 ICICI Bank Ltd. Banks 6.31 Larsen And Toubro Ltd. Construction Project 4.59 Tata Consultancy Services Ltd. Software 4.27 Kotak Mahindra Bank Ltd. Banks 3.52 Maruti Suzuki India Limited Auto 3.26 State Bank Of India Banks 3.20 Axis Bank Ltd Banks 2.94 Tata Motors Ltd. Auto 2.84 Hindustan Unilever Ltd. Consumer Non Durables 2.62 Mahindra & Mahindra Ltd. Auto 2.13 Sun Pharmaceuticals Industries Ltd. Pharmaceuticals 2.03 Bharti Airtel Ltd. Telecom - Services 1.70 Asian Paints Ltd. Consumer Non Durables 1.69 Hero MotoCorp Ltd. Auto 1.60 Kotak Sensex ETF NAV as on June 30, 2017: ` Sector Allocation (%) Banks Consumer Non Durables Software Power Auto Finance Pharmaceuticals Construction Project Telecom - Services Others Petroleum Products NAV Issuer / Instrument Industry/ % to Net Rating Power Grid Corporation Of India Ltd Power 1.57 Oil & Natural Gas Corporation Ltd. Oil 1.44 National Thermal Power Corporation Limited Power 1.33 Bajaj Auto Ltd. Auto 1.29 Tata Steel Limited. Ferrous Metals 1.24 Dr Reddys Laboratories Ltd Pharmaceuticals 1.12 Wipro Ltd. Software 1.11 Adani Port and Special Economic Zone Limited Transportation 1.09 Coal India Ltd. Minerals/Mining 1.03 Cipla Ltd. Pharmaceuticals 0.95 Lupin Ltd. Pharmaceuticals 0.86 Tata Motors Ltd - DVR Auto 0.45 Listed/Awaiting Listing on Stock Exchange - Total Net Current /(Liabilities) 0.30 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. * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no

46 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 scheme will be achieved. December 04, 2014 Fund Manager Mr. Deepak Gupta* Nifty Bank AAUM (`In Crores) ` AUM (`In Crores) AUM as on June 30, 2017: ` Option - Dividend Payout Ratios Portfolio Turnover: 39.28% Tracking Error: 0.08% Through Exchange:1 Unit, Through AMC: Units, Ideal Investment Horizon: 3 years and above Exit Load: Nil (applicable for all plans) Regular:0.20% Direct: NA Issuer / Instrument Industry/ % to Net Rating Equity & Equity related (Listed/Awaiting listing on Stock Exchange) HDFC Bank Ltd. Banks ICICI Bank Ltd. Banks Kotak Mahindra Bank Ltd. Banks State Bank Of India Banks 9.97 Axis Bank Ltd Banks 8.64 IndusInd Bank Ltd. Banks 7.29 Yes Bank Ltd Banks 5.25 Federal Bank Ltd. Banks 1.91 Bank Of Baroda Banks 1.50 Kotak Banking ETF NAV as on June 30, 2017: ` Sector Allocation (%) Banks Derivatives Others NAV Issuer / Instrument Industry/ % to Net Rating Punjab National Bank Banks 1.00 IDFC Bank Limited Banks 0.71 Canara Bank Banks 0.65 Listed/Awaiting Listing on Stock Exchange - Total Futures CNX BANK INDEX-JUL Futures (Market value represents Notional Value) - Total 0.50 Net Current /(Liabilities) 0.08 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. 43 * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no 56-58

47 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. However, there is no assurance that the investment objective of the will be realized. November 8, 2007 Fund Manager Mr. Deepak Gupta* Nifty PSU Bank AAUM (`In Crores) ` AUM (`In Crores) AUM as on June 30, 2017: ` A) Regular Plan B) Direct Plan Ratios Portfolio Turnover: % Tracking Error: 0.25% Through Exchange:1 Unit, Through AMC: Units, Ideal Investment Horizon: 3 years and above Exit Load: Nil (applicable for all plans)total Regular:0.49% Direct: NA 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 6.86 Canara Bank Banks 4.47 Union Bank Of India Banks 2.51 Bank of India Banks 2.37 Industrial Development Bank of India Ltd. Banks 1.33 Kotak PSU Bank ETF NAV as on June 30, 2017: ` Sector Allocation (%) Banks Others NAV Issuer / Instrument Industry/ % to Net Rating Oriental Bank of Commerce Banks 1.15 Syndicate Bank Banks 1.03 Allahabad Bank. Banks 1.01 Andhra Bank Banks 0.85 Listed/Awaiting Listing on Stock Exchange - Total Net Current /(Liabilities) 0.08 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. * For Fund Manager experience, please refer page For scheme performance, please refer page no For last three dividends, please refer page no