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1 YB Tel.: , Fax: / Website: This Key Information Memorandum (KIM) sets forth the information, which a prospective investor ought to know before investing. For further details of the scheme/mutual fund, due diligence certificate by the AMC, key personnel, investors' rights & services, risk factors, penalties & pending litigation, associate transactions etc. investor should, before investment, refer to the Scheme Information Document and Statement of Additional Information available free of cost at any of the Investor Service Centres or distributors or from the website The scheme particulars have been prepared in accordance with Securities and Exchange Board of India (Mutual Funds) Regulations 1996, as amended till date, and filed with Securities and Exchange Board of India (SEBI). The units being offered for public subscription have not been approved or disapproved by SEBI nor has SEBI certified the accuracy or adequacy of this KIM. FINAL-09 YB

2 AREA OFFICES AHMEDABAD / ; / BANGALORE / ; / / BHUBANESHWAR ; / / CHENNAI / ; / / / DEHRADUN ; / / ERNAKULAM ; / / GOA ; / / / GUWAHATI ; / HYDERABAD / ; / / INDORE / ; / / JAIPUR ; / / KANPUR / ; / / / / KOLKATA / ; / / / / / / LUCKNOW ; / / / LUDHIANA / ; / / MADURAI ; / MANGALORE ; / MUMBAI - I / ; / / / / / MUMBAI - II ; / / / NAGPUR ; / / NASHIK ; / NEW DELHI / ; / / / / / / PATNA / ; / / / PUNE ; / / RAIPUR / ; / / RANCHI ; / BUSINESS CENTRES AGARTALA : AHMEDNAGAR : ALLAHABAD : ALWAR : AGRA : ALAPUZHA : AMRITSAR : AJMER : AMRAVATI : ANANTPUR : AURANGABAD : BALAGHAT : BALASORE : BANKURA : BEGUSARAI : BERHAMPORE : BELGAUM : BELLARY : BHAVNAGAR : BILASPUR : / BHILAI : / BHOPAL : BHAGALPUR : BHILWARA : BIKANER : BOKARO : BURDWAN : CALICUT : / CHANDIGARH : CHANDRAPUR : COIMBATORE : DALTONGANJ : DEOGHAR : DHANBAD : FARIDABAD : GORAKHPUR : GULBARGA : GAYA : GWALIOR : HAZARIBAG : / HASSAN : HOSHIARPUR : HUBLI : JABALPUR : JAGDALPUR : JALANDHAR : JALGAON : JAMMU : JAMSHEDPUR : JHANSI : JODHPUR : KANNUR : KARIMNAGAR : KHARAGPUR : KHARWAR : KOTTAYAM : KOTA : KOLHAPUR : MADIKERI : MALDA : / MEERUT : MYSORE : MUZAFFARPUR : NANDED : NELLORE : PANIPAT : PATIALA : PONDICHERRY : PURNEA : RAIGARH : RAJAHMUNDRY : RAJKOT : SAMBALPUR : SALEM : SATARA : SATNA : SHADOL : SHILLONG : SHIMLA : SHIMOGA : SILCHAR : SURAT : SILIGURI : THANE : THIRUVELVELI : THIRUVANANTHAPURAM : THRISSUR : TRICHY : TRIVANDRUM : UDAIPUR : UDUPI : VADODARA : VARANASI : VELLORE : VISHAKHAPATNAM : VIJAYWADA : WARANGAL : KARVY CENTRES Agra : , Ahmedabad : , Ajmer : Allahabad : , , Alleppy : NA Alwar : NA Amaravathi : NA Ambala : Amritsar : NA Anand : , Aurangabad : , Balasore : , , Bangalore : Bankura : NA Bareilly : NA Baroda : NA Belgaum : , Bellary : Behrampur (OR) : , , Bhagalpur : NA Bhatinda : NA Bhavnagar : /6, Bhilai : / 32 Bhilwara : NA Bhopal : Bhubaneswar : , Bikaner : NA Bilaspur : NA Bokaro : NA Burdwan : / Calicut : , Chandigarh : , , Chandrapur : NA Chennai : , , (Exclusive for DWS) Cochin : Coimbatore : NA Cuttack : Dehradun : NA Dhanbad : Dharwad : Dindigul : , Erode : , , Gaya : , Ghaziabad : , Gorakhpur : , , Gulbarga : , Gurgaon : , Guwahati : Gwalior : /2/3/4 Haldwani : , , Hassan : Hazaribagh : NA Hoshiarpur : NA Hubli : Hyderabad : NA Indore : Jabalpur : NA Jaipur : , , Jalandhar : , , Jalgaon : Jalpaiguri : NA Jammu : Jamnagar : NA Jamshedpur : / Jhansi : , , , Jodhpur : NA Kannur : , Kanpur : NA Kharagpur : Kolhapur : NA Kolkata : , Kollam : Kota : , Kottayam : , Korba : NA Lucknow : , / 28 Ludhiana : Malda : , Madurai : / 865, , , Mangalore : NA Meerut : NA Moradabad : Mumbai : NA Muzaffarpur : Mysore : , Nagpur : Namakkal : , , Nanded : balaji , ravi Nasik : NA New Delhi : NA Palghat : Panipat : , , Panjim : Patiala : , , Patna : , Pondicherry : & Pune : Raipur : Rajkot : NA Ranchi : , Rourkela : , Salem : , , Sambalpur : , , Shimla : Shimoga : Siliguri : Surat : Thodupuzha : Tirunelveli : , Tiruvalla : NA Trichur : , Trichy : Trivandrum : , , Udaipur : , , Valsad : Varanasi : NA, , Vellore : , Vijayawada : , Visakhapatnam : , , Warangal : NA REGISTRARS M/s. Karvy Computershare Pvt. Ltd. Unit : LIC Mutual Fund Karvy Plaza, House No , Avenue 4, Street No. 1, Banjara Hills, Hyderabad Tel.: / Fax :

3 1. LICMF Bond Fund Investment objective: The primary investment objective of the scheme is to generate an attractive returns for its investors by investing in a portfolio of quality debt securities and Money Market Instruments. 2. LICMF G Sec Fund Investment objective: The primary investment objective of the scheme is to generate credit risk free and reasonable returns for its investors through investments in sovereign securities issued by the Central and/or State Government and/or any security unconditionally guaranteed by the Central/State Government for repayment of Principal and interest and/or reverse repos in such securities as and when permitted by RBI. Plan and Option 1. Dividend Debt Money Market 0-40 Note: Debt includes securitized debt & government securities 2. Growth Benchmark Index: Dividend Not Applicable Growth Not Applicable C CompBex G-Sec Upto 100 Debt/MM Upto 40 Note: Debt includes securitized debt. Plan and Option Plan: Option: 1. Regular Plan Dividend 2. PF plan Growth Dividend Not Applicable Growth Not Applicable Mr. Ashish Kumar Benchmark Index I-Sec Composite Gift (as on ) Annualized returns Last 1 year Last 3 year Since Inception LICMF Bond Fund Mr. Ashish Kumar (as on ) Annualized returns Last 1 year Last 3 year Since Inception LICMF G - Sec Fund Return (%) Last 1 year Last 3 year Since Inception 2.00 Last 1 year Last 3 year Since Inception Exit Load: 1% if exit within 1 yr for investment <= 1 Cr Nil for investment > 1 Cr Exit Load:1% if exit within 1 yr for investment <= 1 Cr Nil for investment >1 Cr Recurring Expenses: First Rs. 100 Crore 2.25% Daily NAV Publication: Unitholders Information: Risk Profile: Next Rs. 300 Crore 1.75% Balance 1.50% Actual expenses of the previous Financial year and Accounts statement (on each transaction), Annual financial results, and Half yearly portfolio disclosures shall be provided to investors by post. read the scheme information document carefully for details on risk factors. Recurring Expenses: First Rs. 100 Crore 2.25% Daily NAV Publications: Unit holders information: Risk Profile Next Rs. 300 Crore 1.75% Balance 1.50% Actual expenses of the previous financial year. 1.42% and Account statement (on each transaction), Annual Financial results, and Half yearly portfolio disclosure shall be provided to investor by post. read the Scheme Information carefully for details on risk factor.

4 3. LICMF Children s Fund 4. LICMF Liquid Fund Investment objective: The investment objective of the LICMF Children s Fund is to provide for long term growth of capital through a judicious mix of investments in quality debt securities and equities with relatively low levels of risk. Debt/Money Market Up to 100 Equity Up to - 70 Note: Debt includes securitized debt & government securities Plan and Option Growth Benchmark Index: Growth Not Applicable C Balance Ex Mr. Ashish Kumar (as on ) Annualized returns Last 1 year Last 3 year Since Inception LICMF Children's Fund Investment objective: Investment objective of the scheme is to generate reasonable returns with low risk and high liquidity through judicious mix of investment in money market instruments and quality debt instruments. Money Market Plan and Option 1. Dividend Debt 0-40 Note: Debt includes securitized debt & government securities. 2. Growth Benchmark Index Dividend Not Applicable Growth Not Applicable C-Fund - LX Mr. Ashish Kumar (as on ) Annualized returns Last 1 year Last 3 year Since Inception LICMF Liquid Fund Last 1 year Last 3 year Since Inception Last 1 year Last 3 years Since Inception Exit Load:1% if exit within 3 yrs for investment <= 1 Cr Nil for investment > 1 Cr Exit Load: Nil Recurring Expenses: First Rs. 100 Crore 2.25% Next Rs. 300 Crore 1.75% Balance 1.50% Actual expenses of the previous financial year 2.36% Recurring Expenses: First Rs. 100 Crore 2.25 % Next Rs. 300 Crore 1.75% Balance 1.50% Actual expenses of the previous financial year. 0.47% Daily NAV Publication: and Daily NAV Publication: The NAV will be declared on all days. The NAV of week days will be published in 2 news papers. NAV can also be viewed on and Unitholders Information: Accounts statement (on each transaction), Annual financial results, and Half yearly portfolio disclosures shall be provided to investors by post. Unit holders information: Account statement (on each transaction), Annual Financial results, and Half yearly portfolio disclosure shall be provided to investor by post. Risk Profile: read the scheme information document carefully for details on risk factors. Risk Profile read the scheme information document carefully for details on risk factor.

5 5. LICMF Savings Plus Fund Investment objective: The investment objective of the scheme is to generate income by investing in a quality short term debt securities. There can be no assurance that the investment objective of the scheme will be realized. Debt/MM Up to 100 Note: Debt includes securitized debt & government securities Plan and Option 1. Dividend 2. Growth Benchmark Index: Dividend Not Applicable Growth Not Applicable C Fund Lx Mr. Ashish Kumar (as on ) Annualized returns Last 1 year Last 3 year Since Inception LICMF Floating Rate Fund - Short Term Plan Investment objective: The investment objective of the scheme is to generate consistent return by investing mainly in floating rate instruments/fixed rate instruments swapped for floating rate return so as to minimize the interest rate risk for the investor. Floating rate or fixed rate 65 to 100% instruments swapped for floating rate debt. Fixed rate debt or money 0 to 35% market instruments such as Corporate Bonds, Gilt, CP, CD, Call Money market or any other instruments as permitted by SEBI from time to Time. Note: Debt includes securitized debt. Plan and Option 1. Dividend 2. Growth Benchmark Index Dividend Not Applicable Growth Not Applicable C Fund - LX LICMF Savings Plus Fund Last 1 year Last 3 year Since Inception Mr. Ashish Kumar (as on ) Annualized returns Last 1 year Last 3 year Since Inception LICMF Floating Rate Fund Last 1 year Last 3 years Since Inception Exit Load: NIL Recurring Expenses: First Rs. 100 Crore 2.25 % Daily NAV Publication: Unitholders Information: Risk Profile Next Rs. 300 Crore 1.75% Balance 1.50% Actual expenses of the previous financial year: 0.60% www. licmutual.com and Accounts statement (on each transaction), Annual financial results, and Half yearly portfolio disclosures shall be provided to investors by post. read the scheme information document carefully for details on risk factor. Exit Load: Nil Recurring Expenses: First Rs.100 Crore 2.25% Daily NAV Publication: Unit holders information: Risk Profile Next Rs. 300 Crore 1.75% Balance 1.50% Actual expenses of the previous financial year: 0.50% www. licmutual.com and Account statement (on each transaction), Annual Financial results, and Half yearly portfolio disclosure shall be provided to investor by post. read the scheme information document carefully for details on risk factor.

6 7. LICMF Monthly Income Plan Investment objective: The investment objective of the scheme is to generate regular returns by investing mainly in a portfolio of quality Debt securities and money market instruments. The scheme also seeks to generate capital appreciation by investing some percentage in a mix of equity instruments. There can be no assurance that the investment objective of the Scheme will be realized. Debt/MM Up to 100 Equity Up to 15 Note: Debt includes securitized debt Plan and Option Dividend Growth 1. Monthly Dividend 2. Quarterly Dividend 3. Yearly Dividend Benchmark Index: Monthly Dividend Not Applicable Quarterly Dividend Not Applicable Yearly Dividend Not Applicable Growth Not Applicable C MiPex Mrs. Bichitra Mahapatra (as on ) Annualized returns Last 1 year Last 3 year Since Inception LICMF Equity Fund Investment objective: The main investment objective of the scheme is to provide capital growth by investing mainly in equities. The investment portfolio of the scheme will be constantly monitored and reviewed to optimise capital growth. Equity Upto 100 Debt/Money market Upto 20 Note: Debt includes securitized debt & government securities. Plan and Option 1. Dividend 2. Growth Benchmark Index Dividend Not Applicable Growth Not Applicable BSE Sensex Mr. S. Ramasamy (as on ) Annualized returns 3 Last 1 year Last 3 year Last 5 year Since Inception LICMF Equity Fund LICMF Monthly Income Plan Last 1 year Last 3 year Since Inception Last 1 year Last 3 year Last 5 year Since Inception Exit Load: 1% if exit within 15 months for investment < 1 Cr Nil for investment > =1 Cr Recurring Expenses: First Rs. 100 Crore 2.25 % Next Rs. 300 Crore 1.75% Balance 1.50% Actual expenses of the previous financial year: 1.62% Exit Load: 1% if exit within 1 yr for investment <= 1 Cr Nil for investment > 1 Cr Recurring Expenses: First Rs.100 Crore 2.50% Next Rs. 300 Crore 2.25% Balance 1.75% Actual expenses of the previous financial year: 0.92% Daily NAV Publication: and Daily NAV Publications: and Unitholders Information: Accounts statement (on each transaction), Annual financial results, and Half yearly portfolio disclosures shall be provided to investors by post. Unit holders information: Account statement (on each transaction), Annual Financial results, and Half yearly portfolio disclosure shall be provided to investor by post. Risk Profile read the scheme information document carefully for details on risk factor. Risk Profile read the Scheme Informstion carefully for details on risk factor.

7 9. LICMF Growth Fund Investment objective: The main investment objective of the scheme is to provide capital growth by investing mainly in equities and also in debt and other permitted instruments of capital and money markets. The investment portfolio of the scheme will be constantly monitored and reviewed to optimise capital growth. Equity Upto 100 Debt/MM Upto 20 Note: Debt includes securitized debt & government securities. Plan and Option 1. Dividend 2. Growth Benchmark Index: Dividend 2000 Re.1/- Not Applicable Growth 2000 Re. 1/- Not Applicable BSE Sensex : Mr. S. Ramasamy (as on ) Annualized returns Last 1 year Last 1 year Last 3 year Last 5 year Since Inception LICMF Growth Fund Last 3 year Last 5 year Since Inc eption 10. LICMF Floater MIP Investment objective: The investment objective of the scheme is to generate regular income by investing mainly in floating rate instruments /fixed rate instruments swapped for floating rate return so as to minimize the interest rate risk and at the same time aiming at generating capital appreciation in a long term investing in equity /equity related instruments. Asset Allocation pattern Type of Instruments Normal Allocation Floating rate or fixed rate instruments swapped for floating rate debt or money market instruments such as Corporate Bonds, Gilt, CP, CD, Call Money or any other instrument as permitted by SEBI from time to time. Fixed rate debt or money market 0-35 instruments such as Corporate Bonds, Gift, CP CD, Call Money Market or any other instruments as permitted by SEBI from time to time. Equity and equity related instruments 0-20 Note: Debt includes securitized debt. Plan and Option: Options: Dividend Frequency: 1. Dividend 1. Monthly Dividend 2. Growth 2. Quarterly Dividend 3. Yearly Dividend Minimum application Option Fresh Additional Repurchase Amount/ Number of Units: Purchase Purchase Benchmark Index: Monthly Dividend Not Applicable Quarterly dividend Not Applicable Yearly Dividend Not Applicable Growth Not Applicable C MiPex Mrs. Bichitra Mahapatra (as on ) Annualized returns Last 1 year Last 3 year Since Inception LIC MF Floater MIP Exit Load: 1% if exit within 1 yr for investment <= 1 Cr Nil for investment > 1 Cr Recurring Expenses: First Rs. 100 Crore 2.50% Last 1 year Last 3 year Since Inception Daily NAV Publication: Unitholders Information: Risk Factors. Next Rs. 300 Crore 2.25% Balance 1.75% Actual Expenses of the previous financial year : 0.19% and Accounts statement (on each transaction), Annual financial results, and Half yearly portfolio disclosures shall be provided to investors by post. read the scheme information document carefully for details on risk factor. Exit Load: 1% if exit within 15 months for investment < 1 Cr Nil for investment >= 1 Cr Recurring Expenses: First Rs. 100 Crore 2.25% Daily NAV Publications: Unit holders information: Risk Profile Next Rs. 300 Crore 1.75% Balance 1.50% Actual expenses of the previous financial year: 1.47% and Account statement (on each transaction), Annual Financial results, and Half yearly portfolio disclosure shall be provided to investor by post. read the Scheme Information carefully for details on risk factor.

8 11. LICMF Balanced Fund Investment objective: An open ended Income and Growth scheme which seeks to provide regular returns and capital appreciation accordingly to the selection of plan by investing un Debt and Equity instruments. Equity/Equity Related Debt*/Money Market Note: Debt includes securitized debt & government securities. Plan and Option 1. Dividend 2. Growth Benchmark Index: Dividend Not Applicable Growth Not Applicable C BalanceEx Mrs. Bichitra Mahapatra (as on ) Annualized returns Last 1 year Last 3 year Last 5 year Since Inception LICMF Tax Plan Investment objective: Investment objective of the scheme is to provide capital growth along with tax rebate and tax relief to our investors through prudent investments in the stock markets. Equity Upto 100 Debt/Money market Upto 20 Note: Debt includes securitized debt & government securities. Plan and Option 1. Dividend 2. Growth Dividend Not Applicable Growth Not Applicable Benchmark Index BSE Sensex Mr. S. Ramasamy (as on ) Annualized returns Last 1 year Last 3 year Last 5 year Since Inception LICMF Balanced Fund Last 1 year Last 3 year Last 5 year Since Inception LICMF Tax Plan Last 1 year Last 3 year Last 5 year Since Inception Exit Load: 1% if exit within 1 yr for investment <= 1 Cr Nil for investment > 1 Cr Recurring Expenses: First Rs. 100 Crore 2.50% Next Rs. 300 Crore 2.25% Exit Load: Nil Recurring Expenses: First Rs.100 Crore 2.50% Next Rs. 300 Crore 2.25% Balance 1.75% Daily NAV Publication: Unitholders Information: Actual expenses of the previous financial year:2.17% and Accounts statement (on each transaction), Annual financial results, and Half yearly portfolio disclosures shall be provided to investors by post. Daily NAV Publications: Unit holders information: Balance 1.75% Actual expenses of the previous financial year : 1.59% and Account statement (on each transaction), Annual Financial results, and Half yearly portfolio disclosure shall be provided to investor by post. Risk Profile: read the scheme information document carefully for details on risk factors. Risk Profile read the Scheme Information carefully for details on risk factors.

9 13. LICMF ULIS Investment objective: The scheme seeks to generate long term capital appreciation and offer tax benefits u/s 80C of the Income Tax Act as well as additional benefits of a life cover and free accident insurance cover. Debt*/Money Market Equity/Equity Related Note: Debt includes securitized debt & government securities. Plan and Option Plan Dividend Reinvestment Option Single Contribution 5 year term Single Contribution 10 year term Regular Contribution 10 year term Regular Contribution 15 year term Minimum application Option Target Additional Repurchase Amount/ Number of Units: Amount Purchase Benchmark Index: Single Contribution Not Not 5 year term Applicable Applicable Single Contribution- Not Not 10 year term Applicable Applicable Regular Contribution Not Not -10 year term Applicable Applicable Regular Contribution Not Not -15 year term Applicable Applicable C Balance Ex Mrs. Bichitra Mahapatra (as on ) Annualized returns Last 1 year Last 3 year Last 5 year Since Inception Exit Load: Nil Recurring Expenses: First Rs. 100 Crore 2.50% Daily NAV Publication: Unitholders Information: Risk Profile LICMF ULIS Last 1 year Last 3 year Last 5 year Since Inception Next Rs. 300 Crore 2.25% Balance 1.75% Actual expenses of the previous financial year:2.50% and Accounts statement (on each transaction), Annual financial results, and Half yearly portfolio disclosures shall be provided to investors by post. read the Scheme Information carefully for details on risk factors. WORKING OF SCHEME : Under the scheme investor has a choice to participate under Regular Premium Option or Single Premium Option for an aggregate amount called Target Amount The scheme offers two options for life insurance cover viz., Uniform Cover & Reducing Cover. Under uniform cover the life insurance cover remains same throughout the term and under reducing cover, the life insurance cover reduces during the duration of the term. REGULAR CPNTRIBUTION OPTION : Under this option investor can choose either a 10 year term or 15 year term of investment. The investor needs to invest a uniform amount every year i.e. 1/10 of target amount under 10 year term and 1/15 of target amount under 15 year term. The investor has a choice of making this investment either once in a year i.e. on a yearly basis or twice a year i.e. on a half yearly basis or on a monthly basis as per his convenience. The minimum target amount is 1. Rs /- under 10 year term 2. Rs /- under 15 year term 3. Rs /- under monthly SIP 10 year term 3. Rs /- under monthly SIP 15 year term The Maximum Target Amount is Rs. 15,00,000/- under both terms. Under the Regular Contribution option the target amount should be in multiple of Rs. 1000/ 1500 for 10/15 year term respectively and minimum installment amount should be Rs. 100/- in monthly option. Subsequent/Renewal contribution under Regular Contribution option: After joining the scheme subsequent/renewal contribution can be paid either on yearly or half yearly or monthly basis depending upon the mode chosen. If a 10 year term is chosen the yearly contribution is 1/10 of target amount and half yearly contribution is 1/20 of target amount and monthly contribution is 1/120 of target amount. Similarly in 15 year term yearly contribution is 1/15 of target amount and half yearly contribution is 1/30 of the target amount and monthly contribution is 1/180 of target amount. Payment Date : The Renewal contribution under the above plan should be paid by the due dates shown below : Date of joining Renewal contribution due dates the scheme Yearly Mode Half Yearly Mode 1 st Jan to 31 st March 16 th Feb 16 th Feb & 16 th Aug 1 st April to 30 th June 16 th May 16 th May & 16 th Nov 1 st July to 30 th September 16 th Aug 16 th Aug & 16 th Feb 1 st October to 31 December 16 th Nov 16 th Nov & 16 th May Once a mode of payment is chosen, it cannot be altered. A grace period of 15 days is allowed for making payment from the due date. If the renewal contribution is not paid in time the investor ceases to participate in the scheme and the insurance cover both life and accident will be not be available to him/her. In case of monthly option due date is 15 th of every month and 12 PDCs have to be given in the beginning of each year. UNIFORM COVER AND REDUCING COVER FOR INSURANCE COVER The investor has to choose either Uniform Cover or Reducing Cover plan to enable the AMC to determine and deduct premium accordingly from the amount invested. In case of Uniform Cover, the life insurance cover remains the same throughout term of plan and under Reducing Cover, the life insurance cover reduces during the term of plan and at any point of time it is equal to the outstanding contributions that are yet to be made. If the insurance cover is not chosen by the investor, by default, the cover will be taken as Reducing Cover Plan. Also once the option of insurance cover is chosen, the same can not be altered. SINGLE PREMIUM OPTION: Under this option investor can chose either a 5-year term or 10 year term. The entire targete amount will have to be invested in single contribution. Minimum Investment Rs /- and thereafter in multiples of Rs. 1000/- under both the 5 as well as the 10 year term Maximum Investment: No upper limit. ELIGIBLE FOR INVESTMENT: By Resident Individuals and NRIs, in the age group of 12 to 60 years under Single Premium Option and 10 year term of Regular Contribution Option and 12 to 55 years for 15 years term of the Regular Contribution Option. INSURANCE COVER : Only First Class lives are eligible for Insurance. The Insurance Benefits are payable to all unit holders only when the contributions under the scheme are made in time and up to date. The insurance covers (life and accident) will cease to be applicable on complete repurchase of units by the unit holder.

10 14. LICMF OPPORTUNITIES FUND Extent of Life Insurance Cover Risk on the unitholders life is covered to the extent of balance of TARGET AMOUNT in case of reducing cover mode and equal to target amount in case of uniform cover made and single premium option subject to a maximum of Rs /- under all memberships for both options. In case of females who have no regular and independent income, the Life Risk Cover will be limited to 50% even if the target amount is higher. The Life Risk Cover is not available during the first six months. In case of unfortunate death during the first six months, the premium paid to LIC of India will be refunded. In case death during the next six months only 50% of the cover is available. Death by suicide during the first year will not be covered insurance purpose. In case of death by accident at any time during the first year, full Life Insurance cover will be available. In case of partial repurchases the life/ accident cover will be proportionately reduced. The Insurance Cover will be provided on the basis of declaration of good health. Free Accident Benefit Accident Cover is available absolutely free to the to the member under the Scheme, including in the First year. The amount of Cover is equal to the amount of Life Insurance Cover subject to maximum of Rs /-, under all memberships for both options. Applicants should have no deformity and should be enjoying good health. Life Insurance and Accident cover is available to the first named person who is the member of the Scheme and not to the second named person in the application. The Personal accident cover is applicable to the resident unitholders for death by accident or Permanent total disability sustained due to accident in India. The personal accident insurance cover will begin from the date of allotment of units till such time as the units are prematurely redeemed. Revival of Lapsed Membership Investors can revive their lapsed membership and insurance cover, within one year form the date of default in payment of renewal contribution by paying upto date arrears without any interest. However in such cases, Life cover will be restricted as applicable to fresh members in the first year. Members whose membership is lapsed and who have not revived in within one year will not be eligible for any insurance cover in future. They will be paid only repurchase value of their units standing to their credit subject to a minimum lock in period of three years. SETTLEMENT OF CLAIMS: Death Claims: All death claims will be settled by the LIC of India through LIC Mutual fund. In case of unfortunate death of the Member during the Scheme period, the second applicant / nominee/successor will be entitled to receive the following benefits. 1. Repurchase Price of Capital and Dividend Units to the investor s credit. 2. Amount of Life Insurance Cover. 3. Amount of Accident Insurance Cover in case death occurs due to Accident. All insurance claims will be settled in India and shall be payable in Indian Rupees only. Accident Claims: In case of an accident resulting in death or permanent total disability of the resident unit holder the legal nominee/unit holder may file the claim supported by all valid documents. The payment of the claim shall be made to the nominee/ unit holder by the insurance company through LICMF. All insurance claims will be settled in India and shall be payable in Indian Rupees only. FINAL ADDITONAL BENEFIT / MATURITY BONUS Maturity Bonus will be paid subject to payment of all renewal contributions in time. Single Premium Plan : 5% of target amount for 5 year term plan 10% of target amount for 10 year term plan Regular Premium Plan : 10% of target amount for 10 year term plan 15% of target amount for 15 year term plan OPTION ON MATURITY: Maturity Intimation Letter will be sent to the unitholder, one month in advance to the maturity date, giving the options as mentioned below: 1) To continue in the scheme without insurance cover and exit at any time later on at the applicable NAV as on the date of receipt of redemption request. 2) To switch the maturity proceeds into any of our ongoing schemes. 3) To redeem the units as on the date of maturity. In case no option is exercised and duly intimated to us before the date of maturity, the default option will be as per 1 above. DECLARATION OF GOOD HEALTH: This declaration should be made in the presence of an authorized person. Magistrate, Justice of Peace, Gazetted Officer, Civil Surgeon, Officer of LIC,LIC Mutual fund/licmf AMC Ltd. Authorized LIC Mutual Fund Chief Agents/Marketing Associates and Agents who will counter sign the declaration. Standard Age Proof like School or College Certificate, Authenticated extract from School or College Record containing the Date of Birth, Certificate extract from Municipal or other records of Birth, Certificate of Baptism or Certified extract from family Bible containing Date of Birth or age or Passport will be required to support the age furnished in the Application. The age proof will be produced before the Authorised Official who will record your age in the form. Applications without the declaration and age proof will not be entertained. Investment objective: The investment objective of the scheme is to provide capital growth in long term with reasonable risk levels by investing mainly in companies which are in sector/s, which have a high growth potential at that point of time. Equity and Equity related instruments 85 to 100% such as convertible debentures, warrants, derivatives of opportunities. Fixed rate debt or money market 0 to 15% instruments Corporate Bonds, Gilt, CP, CD, Call Money Markets or any other instruments as permitted by SEBI from time to time. Note : Debt includes securitized debt. Plan and Option 1. Dividend 2. Growth Minimum application Option Fresh Additional Repurchase Amount/ Number of Units: Purchase Purchase Benchmark Index: BSE 200 Dividend Not Applicable Growth Not Applicable : Mr. S. Ramasamy (as on ) Annualized returns Last 1 year Last 3 year Since Inception Exit Load: 1% if exit within 1 yr for investment <= 1 Cr Nil for investment > 1 Cr Recurring Expenses: First Rs. 100 Crore 2.50% Daily NAV Publication: Unit holders information: Risk factor: LIC MF Opportunities Fund Last 1 year Last 3 year Since Inception Next Rs. 300 Crore 2.25% Balance 1.75% Actual expenses of the previous financial year. 1.89% and Account statement (on each transaction), Annual Financial results, and Half yearly portfolio disclosure shall be provided to investor by post. read the Scheme Information Document carefully for details on risk factors.

11 15. LICMF Index Fund Investment objective: The main investment objective of the fund is to generate returns commensurate with the performance of the index either Nifty/Sensex based on the plans, by investing in the respective index stocks subject to tracking errors. Equity (Index Stocks) Upto 100 Equity (outside Index stocks only for Sensex Advantage Plan) Money Market Up to 10 Note: Debt includes securitized debt & government securities. Plan and Option Plan Option Sensex Plan Nifty Plan Dividend Growth Sensex Advantage Plan Benchmark Index: Sensex 2000/- Re.1/- Not Applicable Sensex 2000/- Re.1/- Not Applicable Advantage Nifty 2000/- Re.1/- Not Applicable BSE Sensex (For Sensex & Sensex Advantage Plan) NSE Nifty (For Nifty Plan) Mr. S. Ramaswamy (as on ) Annualized returns Sensex Plan Last 1 year Since inception Nifty Plan Last I year Since inception Sensex Advantage Plan Last 1 year Exit Load: 1% if exit within 1 yr for investment <= 1 Cr Nil for investment > 1 Cr Recurring Expenses: First Rs. 100 Crore 1.50% Next Rs. 300 Crore 1.50% Next Rs. 300 Crore 1.50% Balance 1.50% Actual expenses of the previous financial year: 1.50% - Sensex Plan 1.50% - Nifty Plan 1.12% - Sensex Advantage Plan Daily NAV Publication: and Unitholders Information: Accounts statement (on each transaction), Annual financial results, and Half yearly portfolio disclosures shall be provided to investors by post. Risk Profile: read the scheme information document carefully for details on risk factors. 16. LICMF Income Plus Fund Investment objective: An open ended debt scheme which seeks to provide reasonable possible current income consistent with preservation of capital and providing liquidity from investing in a diversified portfolio of short term money market and debt securities. Money Market Debt* 0-35 Note: Debt includes securitized debt upto 35% Plan and Option Options Dividend frequency 1. Dividend Payout 1. Daily & Reinvestment 2. Growth 2. Weekly 3. Monthly Dividend Re.1/- Not Applicable Growth Re.1/- Not Applicable Benchmark Index C.Fund-LX Mr. Ashish Kumar Performance of the scheme Scheme Benchmark (as on ) Last 1 Year Since Inception LICMF Income Plus Fund Since inception LICMF Index Fund - Sensex Plan Last 1 year Since Inception LICMF Index Fund - Nifty Plan Last 1 year Since Inception LICMF Index Fund - Sensex Advantage Plan Last 1 year Since Inception Exit Load: Nil Recurring Expenses: First Rs.100 Crore 2.25% Daily NAV Publication: Unit holders information: Risk Profile: Annualised Return 1% 9.00% 8.00% 7.00% 6.00% 5.00% 4.00% 3.00% 2.00% 1.00% % Last 1 Year Period Since Inception Scheme Return Benchmark Return Next Rs. 300 Crore 1.75% Balance 1.50% Actual expenses of the previous financial year: 0.43% and Account statement (on each transaction), Annual Financial results, and Half yearly portfolio disclosure shall be provided to investor by post. read the scheme information document carefully for details on risk factors.

12 Applicable NAV (after the Scheme 1. FOR ALL SCHEMES EXCEPT LICMF LIQUID FUND : opens for repurchase and sale): Purchase & Switch In: If the application is received upto 3.00 p.m. alongwith local Cheque or DD payable at par then the closing NAV of the day on which the application is received will be applicable. However, if the application is received after 3.00 p.m. alongwith local Cheque or DD payable at par then the closing NAV of the next working day on which the application is received will be applicable. If the application with outstanding Cheques/DD not payable at par is received at the authorised centers, then the closing NAV of the day on which Cheque/DD is credited will be applicable. However, in respect of purchase of units in Income/Debt oriented schemes with amount equal to or more than Rs. 1 crore, irrespective of the time of receipt of application, the closing NAV of the day on which the funds are available for utilization shall be applicable. Redemption & Switch out: If the application is received upto 3.00 p.m. then the closing NAV of the day on which the application is received will be applicable; however if the application is received after 3.00 p.m. then the closing of the next working day on which the application is received will be applicable. NAV will be calculated and declared on all business days. LICMF ULIS & LICMF TAX PLAN Redemption/Switch out allowed after lock in period of 3 years from the date of investment. 2. FOR LICMF LIQUID FUND : Purchase & Switch In : If the application is received upto noon on a day and funds are available for utilization on the same day - the closing NAV of the day immediately preceding the day of application shall be applicable. Where the application is received after noon on a day and funds are available for utilization on the same day - the closing NAV of the day immediately preceding the next business day shall be applicable. Irrespective of the time of receipt of application, where the funds are not available for utilization on the day of the application the closing NAV of the day immediately preceding the day on which the funds are available for utilization shall be applicable. Redemption & Switch out: If the application is received upto 3.00 p.m. then the closing NAV of the day on which the application is received will be applicable; however if the application is received after 3.00 p.m. then the closing of the next working day on which the application is received will be applicable. NAV will be calculated and declared on all days. Despatch of Repurchase (Redemption) Within 10 working days of the receipt of the redemption request at the authorized centre of the LIC Mutual Fund. Request: Dividend Policy: Under the dividend option the Fund expects to declare dividend on a monthly/quarterly /yearly basis, as applicable subject to availability of distributable surpluses. Dividends declared under the Dividend option will either be disturbed or will be reinvested in the scheme at the prevailing NAV. Unitholders may select to either receive or reinvest their Dividend in additional units of the scheme by indicating their decision in the application form. Dividend amount will be automatically reinvested in to the scheme if the same is below Rs. 250/-. Dividend Transfer Plan (DTP) DTP has been introduced in all our schemes w.e.f. 01/07/2009. If an investor wants to opt for DTP, he can do so by filling of the transaction slip available at our offices. There is no assurance or guarantee to the unitholder as to rate of income distribution and regularity in declaration of income distribution. Though It is the intention of the Fund to make monthly/quarterly/yearly income distribution under the above options. Waiver of Entry Load As per SEBI Circular SEBI/IMD/CIR No.4/168230/09 dt.30/06/2009 a) There shall be no entry load for all mutual fund schemes b) Upfront commission to distributors will be paid by the investor directly to the distributor, based on his assessment of various factors including the service rendered by the distributor. c) Of the exit load or CDSC charged to the investor, a maximum of 1% of the redemption proceeds shall be maintained in a separate account which can be used by the AMC to pay commissions to the distributor and to take care of other marketing and selling expenses. Any balance shall be credited to the scheme immediately. d) The distributors shall disclose all the commission (in the form of trail commission or any other mode) payable to them for the different competing schemes of various mutual funds from amongst which the scheme is being recommended to the investor. The above said circular shall be applicable for a) Investments in mutual fund schemes (including additional purchases and switch-in to a scheme from other schemes) with effect from August 1, 2009 b) Redemptions from mutual fund schemes (including switch-out from other schemes) with effect from August 1, 2009 c) New mutual fund schemes launched on and after August 1, 2009 d) Systematic Investment Plans (SIP) registered on or after August 1, 2009 Name of the Trustee Company LIC Mutual Fund Trustee Company Private Limited Tax Treatment for the Investors As per the taxation laws in force at the date of this document, the tax benefits that are available to the investors are stated below. This (Unitholders): information is provided for only general information purpose. Each investor is advised to consult his or her own tax consultant with respect to the specific tax implications arising out of their participation in the scheme. FOR DEBT SCHEMES As per the taxation laws in force at the date of this document, the tax benefits that are available to the investors are stated below. This information is provided for only general information purpose. Each investor is advised to consult his or her own tax consultant with respect to the specific tax implications arising out of their participation in the scheme. Income Tax Income Distributed by the Mutual Fund Consequent upon the amendments proposed by the Finance bill, 2005 to the Income Tax Act, 1961, income in respect of units of Mutual funds will continue to remain tax free in the hands of the investors. But in case of debt related schemes the fund is required to pay dividend distribution 12.5% plus surcharge plus cess on income distributed to individual/huf unitholders. However, in case of non- individual/huf unitholders the Fund is required to pay dividend distribution 20% plus surcharge plus cess. The above mentioned provisions will continue as per the Finance Bill As per the Finance Bill 2007 effective from , where the income is distributed by any Money market Mutual Fund and Liquid fund, the fund is required to pay dividend distribution 25% plus surcharge plus cess.

13 Tax deduction at source (All unitholders) In view of the exemption of income in the hands of the unitholders, no income tax is deductible at source, on income distribution by the Mutual Fund, under the provision of section 194K and 196A of the act. However, as per the section 196B of the act, tax is required ot be withheld at the rate of 10.25% from dividend payable to approved overseas financial organization. Capital Gains Tax Foreign Institutional investors Long term capital gains on sale of Units, held for a period of more than twelve months, would be taxed at the rate of 10% under Section 115AD of the Act. Such gains, would be calculated without indexation of cost of acquisition. Short term capital gains would be taxed at 30%. The above tax rates would be increased by applicable surcharge, of 10% thereon, in case of, non-corporate Unitholders, where the income exceeds Rs. 10,00,000 and 2.5% surcharge in case of corporate Unitholders plus cess. Specified overseas financial organizations As per the provision of section 115AB of the Act, long-term capital gains on transfer of units arising to specified overseas financial organizations on transfer of units purchased by them in foreign currency shall be liable to tax at the concessional rate of 10 per cent plus applicable surcharge thereon. However, such gains shall be computed without the benefit of cost indexation. Short-term capital gains would be taxed at 40% plus applicable surcharge in case of foreign companies and 30% plus applicable surcharge in case of others. Other Unitholders Long term capital gains in respect of Units, held for a period of more than twelve months, will be chargeable under Section 112 of the Act, 10% without cost inflation index benefit or 20% with cost inflation index benefit, whichever is lower, plus applicable surcharge plus cess. The following amounts would be deductible from the full valve of consideration, to arrive at the amount of capital gains: Cost of acquisition of Units as adjusted by Cost Inflation Index notified by the Central Government, and Expenditure incurred wholly and exclusively in connection with such transfer. Where redemption is made during the minority of the Child, tax will be levied on either of the parents, whose income is greater. When the child attains majority, such tax liability will be on the child. In case of Individuals and Hindu Undivided Families, where taxable income as reduced by long-term capital gains, is below the basic exemption limit, the long term capital gains will be reduced to the extent of the shortfall and only the balance long-term capital gains will be subjected to the flat rate of income- tax. However, where the tax payable on such long-term capital gains, computed before indexation, exceeds 10% as increased by the applicable surcharge, of the amount of capital gains, such excess tax shall not be payable by the Unitholder. Short term capital gains would be taxed as 35% plus applicable surcharge in case of companies and firms. Short term capital gains arising to individuals and HUFs are taxable on progressive basis, as given below: Nil, where total income for a tax year (April to March) is less than or equal to Rs /-for men, Rs /- for women, and Rs. 240,000/ - for senior citizen, plus 10% of the amount by which the total income exceeds Rs for men, Rs. 190,000/- for women and Rs. 240,000/- for senior citizen but less than or equal to Rs. 300,000 plus 20% of the amount by which the total income exceeds Rs. 300,000/- for men, women and senior citizen but is less than or equal to Rs. 500,000/- plus 30% of the amount by which the total income exceeds Rs. 500,000. All Unitholders Under the provisions of Section94(7) of the Act, loss arising on sale of Units, which are bought within 3 months prior to the record date(i.e. the date fixed by the Mutual fund for the purposes of entitlement of the Unitholders to receive the income) and sold within 9 months after the record date, shall be ignored for the purpose of computing income chargeable to tax to the extent of exempt income received or receivable on such Units. Tax Deduction at source Domestic Unitholders No income-tax id deductible at source from income by way of capital gains under the provisions of the Act and as per Circular no. 715 dated August 8, 1995 issued by the CBDT. Foreign Institutional Investors Under Section 196B of the Act, no Deduction shall made from any income by way of capital gains, in respect of transfer of securities referred to in Section 115AD of the Act. Specified overseas financial organizations As per the provisions of sections 196B of the Act, long-term capital gains on transfer of units arising to specified overseas financial organization on transfer of units purchased by them in foreign currency shall be liable to tax deduction at source at the rate of 10% plus applicable surcharge. Short term capital gains arising to such organizations shall be subject to tax deduction at source at 40% plus applicable surcharge in case of foreign companies and 30% plus applicable surcharge in case of others. Other Non-resident Unitholders Part II of the First Schedule to the Finance Act, 2005, provides for deduction of tax at source from capital gains at the rate of 20 %, where they relate to long-term capital gains and at the marginal rates, viz. at 30 % in case of non-corporate Unitholders and at 40% in case of corporate Unitholders, in case of short-term capital gains. Surcharge on income-tax will be levied at 10%, on such tax, in respect of all Unit holders, other than corporate Unitholders, where the income exceeds Rs. 10,00,000 and in respect of all Unitholders at 2.5% of such tax. In Accordance with the provision of Circular no.728 dated October 30, 1995 issued by the Central Board of Direct Taxes (CBDT), in case of nonresident Unitholder who is a resident of a country with which India has signed a double taxation avoidance agreement (which is in force) the tax should be deducted at source under section 195 of the Act at the rate provided in the Finance Act Of the relevant year or the rate provided