Market Update - Equity. Market Update - Derivatives. From The Debt Desk. Monthly Market Update by JM Financial Mutual Fund

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2 Monthly Market Update by JM Financial Mutual Fund Details as on October 31, 2012 Market Update - Equity Economy IIP for Aug at 2.7% was above consensus expectations of 1% and also marked a recovery over the last few months. While Capital Goods continued to be at -1.7%, it did see a sharp improvement over the last few months. Consumer Goods was the other category that saw an improvement up 5% vis-à-vis 0.5% earlier. The WPI for Sept month stood at 7.8%, being higher than in the month of Aug i.e. 7.6%, due to diesel price hike. The core data remained unchanged at 5.6%. Sep CPI came in slightly lower at 9.7% with an improvement across all components. The core CPI however remained unchanged at 8.2%. RBI cut the CRR by 25bps leaving the benchmark repo rate unchanged. The RBI also announced a 75bps increase in provisioning for restructured assets. Following the string of measures that were taken in the month of Sep, the Cabinet announced an increase in FDI limit in the insurance sector to 49% and also permitted FDI in pension funds. However, these changes will require approval by both the Houses of Parliament. STOCK MarkeT Indian equities witnessed consolidation in the month of Oct, following the strong performance in the month of Sep. Nifty went down by 1.5% during the month. After the pick-up in activity last month, several bulk deals were seen, which totaled upto $2bn in the month of Oct. This absorbed fair bit of the FII flow into the country. FIIs continued to be net buyers into Indian equities with the month of Oct seeing them bring in another $2bn. Following this, their overall buying YTD has now clocked $18.1bn. DIIs consistently continue to occupy the other side of the trade net selling another $853mn in the month of Oct. DII YTD net selling stands at $8bn. Within the domestics, both Insurance companies and Mutual Funds contributed equally to the selling of $433mn and $420mn, respectively. Market Update - Derivatives The October expiry level of Nifty was 1% higher than that of September level. The October series witnessed total rollovers of 81 % which is in line with the six month average. Nifty rollovers were at 60% v/s the six month average of 63%. Bank Nifty rolls were at 68% v/s past six months average of 62%. Overall rolls were in line with its three month average of 71%. In Sectors specifically, automobiles, alcoholic beverage & pharmaceuticals saw higher rolls whereas Software, Construction & Cements witnessed lower rolls compared to past six months averages. The total Open Interest at the start of November, 2012 expiry is INR bn as against INR bn at the start of October, 2012 expiry. Volatility in the markets is expected to help churn the arbitrage portfolio and better returns could be expected. Source: Bloomberg and JM AMC Research From The Debt Desk Key data and events October 2012 Monetary & Liquidity Measure: The Cash Reserve Ratio (CRR) of scheduled banks was further reduced by 25 basis point from 4.50% to 4.25% of their Net Demand and Time Liability (NDTL). This will inject around 175 billion of primary liquidity into the banking system. And the other key policy rates were unchanged. WPI Inflation: The provisional inflation for the month of Sept, 2012 was 7.81% as against 7.55% in Aug, 2012 on account of rising fuel prices. The inflation figure has been at its highest level, since Nov IIP: The provisional Index of Industrial Production (IIP) for the month of Aug, 2012 was at 2.7% as against -0.2% in the month of July, Forex reserves: The Forex Reserves as on Oct, 2012 was at USD billion as against USD billion as on Sept, Domestic Liquidity: Liquidity remained tight as RBI received average daily bids of around INR 69,000 crores during the month in the daily LAF repo auction. Fixed Income and Currency data: Indian 10 year government bond: Government bond yields rose marginally as RBI refrained from cutting the repo rate during the review of monetary policy. Indian 5 year corporate Bond yield ended higher as RBI kept the repo rate unchanged Supply pressure pushed 5-year corporate bonds at 9.00% levels, higher by about 10 basis points, as compared to the previous close. 3 Month Certificate of Deposit ended lower at 8.34% as on Oct as against 8.51% for the previous month, in the absence of supply. 12 Month Certificate of Deposit ended lower at 8.58% as on Oct as against 8.85% in the previous month, on improvement in liquidity situation. USD/INR: The local currency ended weaker by about 2% to end the month at to the US dollar Global data: 10 year US bond yield ended higher at 1.69% as compared to 1.63% in the previous month, on improved global clues. Brent Crude ended lower to end at $ per barrel at the end of Oct month as against $ in the previous month. Source: RBI WSS & Bloomberg 2

3 JM Equity Fund (An Open-Ended ) by sector : To provide optimum capital growth and appreciation. : Sanjay Chhabaria ( M a n a g i n g t h i s f u n d s i n ce December, 2007 & more than 12 yrs of experience in fund management & equity research) : 1st April, 1995 NAV DETAILS : Option (Rs.) : Option (Rs.) : CORPUS (July 12 - Sept 12) Turnover Ratio : Issuer : Qtly - AAUM (Rs.) : Crores % to NAV ICICI Bank $ Housing Development 7.74 Reliance Industries 7.70 Larsen & Toubro 7.65 ITC 6.54 HDFC Bank 6.47 Grasim Industries 5.09 Infosys 4.38 Maruti Udyog 4.23 Associated Cement Companies 3.82 Tata Motors 3.54 Tata Consultancy Service 3.07 Mahindra & Mahindra 2.98 Bharti Airtel 2.76 Dr Reddy's Lab 2.43 Bajaj 2.33 LIC Housing 2.21 Bharat Heavy Electricals 2.20 National Thermal Power Corporation 2.10 Coal India 2.08 Tata Power 2.04 Equity less than 2% of corpus 6.34 Total Equity Holdings $ increase over 10% on account of market movements/change in net assets of the scheme. Banks Cement Consumer Non Durable Petroleum Products Construction Project Software Power Telecom-Services Pharmaceuticals Industrial Capital Goods Mineral/Mining Ferrous Metals Non Ferrous Metals Total Equity: 98.17% 1.42% 0.94% 2.08% 2.76% 2.43% 2.20% 4.14% RISK REPORT Name Beta Sharpe Std. Dev. JM Equity Fund - Option 1.06 (0.38) Source: Mutual Funds India Explorer Note: Standard Deviation & Sharpe are calculated on Annualised basis using 3 years history of monthly returns (using daily frequency). Risk Free rate assumed to be 8.14% (91 day Treasury Bill yield as on Oct 31, 2012) for calculation of Sharpe Ratio. 7.46% 8.16% 7.70% 7.65% 8.9% 11.30% 13.08% 17.94% JM Basic Fund (An Open-Ended Sector ) : To provide capital appreciation to its Unitholders through judicious deployment of the corpus of the in sectors categorized under basic industry in the normal parlance and in context of the Indian economy, including but not limited to, energy, petrochemicals, oil & gas, power generation & distribution and electrical equipment suppliers, metals and building material. The fund would continue to remain open-ended with a sector focus. : Asit Bhandarkar (Managing this fund since December, 2006 & total 9 yrs of experience in fund management & equity research). : 2nd June, 1997 NAV DETAILS : Option (Rs.) : Option (Rs.) : CORPUS (July 12 - Sept 12) Turnover Ratio : Qtly - AAUM (Rs.) : Crores : Issuer % to NAV Larsen & Toubro 8.67 ICICI Bank 8.35 Housing Development 7.85 Maruti Udyog 4.93 Tata Motors 4.90 Associated Cement Companies 4.79 Mahindra & Mahindra 4.10 HDFC Bank 3.85 Tata Iron & Steel 3.37 Reliance Industries 3.31 L&T Holdings 3.24 Infrastructure Development Company 3.16 Thermax 3.11 Jai Prakash Associates 3.10 JSW Steel 3.01 State Bank Of India 2.82 AXIS Bank 2.74 Mahindra & Mahindra Financial Services 2.45 Bajaj 2.42 Power Corporation 2.35 Cairn India 2.29 Exide Industries 2.22 Crompton Greaves 2.00 Equity less than 2% of corpus Total Equity Holdings by sector Banks Industrial Capital Goods Construction Project Ferrous Metals Construction Cement Petroleum Products Oil Ancillaries Non Ferrous Metals Pharmaceuticals Consumer Non Durable Industrial Products Total Equity: 99.88% 0.79% 0.51% 1.84% 1.37% 2.29% 2.22% 3.31% 5.17% 4.79% 6.38% 8.80% 8.66% 16.36% 17.76% 19.64% Details as on October 31, 2012 RISK REPORT Name Beta Sharpe Std. Dev. JM Basic Fund - Option 1.27 (0.59) Source: Mutual Funds India Explorer Note: Standard Deviation & Sharpe are calculated on Annualised basis using 3 years history of monthly returns (using daily frequency). Risk Free rate assumed to be 8.14% (91 day Treasury Bill yield as on Oct 31, 2012) for calculation of Sharpe Ratio. JM Multi Strategy Fund (An Open-Ended Equity Oriented ) : To provide capital appreciation by investing in equity and equity related securities using a combination of strategies. : Sanjay Chhabaria (Managing this fund since February, 2009 & more than 12 years of experience in fund management & equity research). : 23rd September, 2008 NAV DETAILS : Option (Rs.) : Option (Rs.) : CORPUS (July 12 - Sept 12) Turnover Ratio : Qtly - AAUM (Rs.) : Crores : Issuer % to NAV Housing Development 9.97 ICICI Bank 9.62 Larsen & Toubro 9.52 Infosys 5.35 Maruti Udyog 4.93 Associated Cement Companies 4.75 Reliance Industries 4.49 Tata Motors 4.43 Eicher Motors 4.26 HDFC Bank 4.11 Mahindra & Mahindra Financial Services 3.96 Infrastructure Development Company 3.74 Bajaj 3.31 Mahindra & Mahindra 2.70 Bharti Airtel 2.60 Bharat Heavy Electricals 2.45 Dr Reddy's Lab 2.31 LIC Housing 2.19 Hindalco Industries 2.16 Nestle India 2.13 Equity less than 2% of corpus 8.11 Total Equity Holdings

4 by sector 4 Banks Construction Project Software Cement Petroleum Products Industrial Capital Goods Pharmaceuticals Telecom-Services Consumer Non Durable Non Ferrous Metals Construction Ancillaries Ferrous Metals Total Equity: 97.09% RISK REPORT Name Beta Sharpe Std. Dev. JM Multi Strategy Fund (0.48) Option Source: Mutual Funds India Explorer Note: Standard Deviation & Sharpe are calculated on Annualised basis using 3 years history of monthly returns (using daily frequency). Risk Free rate assumed to be 8.14% (91 day Treasury Bill yield as on Oct 31, 2012) for calculation of Sharpe Ratio. JM Tax Gain Fund (An Open-Ended Equity Linked Savings ) : To generate long-term capital growth from a diversified and actively managed portfolio of equity and equity related securities and to enable investors a deduction from total income, as permitted under the Income Tax Act, 1961 from time to time. However, there can be no assurance that the objective of the scheme will be achieved. : Sanjay Chhabaria: (Managing this fund since October 2010 & more than 12 yrs of experience in fund management & equity research). : 31st March, 2008 NAV DETAILS : Option (Rs.) : Option (Rs.) : CORPUS (July 12 - Sept 12) : Qtly - AAUM (Rs.) : Crores Turnover : Ratio 0.19% 1.45% 2.60% 2.32% 2.16% 1.93% 3.72% 3.20% 4.49% 5.36% 4.75% Issuer % to NAV Housing Development 9.93 Eicher Motors 9.02 Larsen & Toubro 7.30 ICICI Bank 6.80 HDFC Bank 6.47 Grasim Industries 5.96 Reliance Industries 5.46 Maruti Udyog 4.91 Divi'S Laboratories 4.59 Associated Cement Companies 4.21 Mahindra & Mahindra Financial Services 4.09 Crompton Greaves 4.01 Mahindra & Mahindra 3.82 Jai Prakash Associates 3.61 Tata Motors 3.38 Infrastructure Development Company 3.33 Thermax 3.32 Bajaj 2.92 SKF India % 14.66% 19.64% 21.13% Sundaram 2.59 Equity less than 2% of corpus 0.75 Total Equity Holdings by sector RISK REPORT Name Beta Sharpe Std. Dev. JM Tax Gain Fund - Option 1.05 (0.28) Source: Mutual Funds India Explorer Note: Standard Deviation & Sharpe are calculated on Annualised basis using 3 years history of monthly returns (using daily frequency). Risk Free rate assumed to be 8.14% (91 day Treasury Bill yield as on Oct 31, 2012) for calculation of Sharpe Ratio. JM Balanced Fund (An Open-Ended Balanced ) Banks Cement Industrial Capital Goods Construction Project Petroleum Products Pharmaceuticals Construction Industrial Products Total Equity: 99.24% : To provide steady current income as well as long term growth of capital. : Sanjay Chhabaria (Managing this fund since February, 2008 & more than 12 years of experience in fund management & equity research). : 1st April, 1995 NAV DETAILS : Option (Rs.) : Option (Rs.) : CORPUS (July 12 - Sept 12) : Qtly - AAUM (Rs.) : 7.56 Crores Turnover : Ratio 2.77% 5.46% 4.59% 4.36% 7.33% 7.30% 10.17% 13.27% 19.94% 24.04% Issuer % to NAV Larsen & Toubro 8.34 ICICI Bank 7.92 Associated Cement Companies 7.58 Eicher Motors 6.61 Maruti Udyog 6.26 Housing Development 5.98 HDFC Bank 5.27 Mahindra & Mahindra Financial 4.38 Services Sun Pharmaceuticals Industries 4.36 State Bank Of India 4.06 ITC 3.79 Punjab National Bank 3.71 Cairn India 3.57 Thermax 3.21 Equity less than 2% of corpus 0.04 Total Equity Holdings Details as on October 31, 2012 by sector Construction Project Pharmaceuticals Consumer Non Durable Industrial Capital Goods Petroleum Products Total Equity: 75.08% JM Core 11 Fund (An Open-Ended equity oriented scheme) : To provide long-term growth by i nve s t i n g p re d o m i n a ntly i n a concentrated portfolio of equity / equity related instruments : Asit Bhandarkar (Managing this fund since February, 2009 & total 9 yrs of experience in fund management & equity research). : 5th March, 2008 NAV DETAILS : Option (Rs.) : Option (Rs.) : CORPUS (July 12 - Sept 12) Turnover Ratio Banks Cement Oil 0.04% 3.79% 3.57% 3.21% : Qtly - AAUM (Rs.) : Crores : Issuer % to NAV Maruti Udyog 9.56 Dr Reddy's Lab 9.46 Infrastructure Development Company 9.40 Infosys 9.09 Yes Bank 9.07 ICICI Bank 9.04 Larsen & Toubro 8.92 Tata Motors 8.39 Power Corporation 8.25 Bajaj 8.24 Tata Iron & Steel 7.98 Total Equity Holdings by sector Banks Pharmaceuticals Software Construction Project Ferrous Metals Total Equity: 97.40% 4.36% 8.34% 7.58% 9.09% 8.92% 7.98% 9.46% 10.36% 12.87% 18.11% 17.64% 20.96% 26.19%

5 RISK REPORT Name Beta Sharpe Std. Dev. JM Core 11 Fund - Option 1.42 (0.31) Source: Mutual Funds India Explorer Note: Standard Deviation & Sharpe are calculated on Annualised basis using 3 years history of monthly returns (using daily frequency). Risk Free rate assumed to be 8.14% (91 day Treasury Bill yield as on Oct 31, 2012) for calculation of Sharpe Ratio. JM MIP Fund (An Open-Ended Monthly Income Fund with no assured return. Monthly Income is not assured and is subject to the availability of the distributable surplus.) : To generate regular income, primarily through s in fixed income securities so as to make monthly, quarterly and annual dividend distribution, declare bonus in the growth option. The Fund would also aim to achieve capital appreciation through investing a portion of its assets in equity and equity related securities. : Shalini Tibrewala (Managing this fund since September, 2003 & over 14 years of experience in fund management & financial services sector). : 18th September, 2003 NAV DETAILS : Option (Rs.) : Option - Monthly (Rs.): Option - Quarterly (Rs.): Option - Annual (Rs.): CORPUS (July 12 - : Qtly - AAUM (Rs.) : 5.55 Crores Sept 12) Associated Cement Companies 3.52 Cairn India 1.95 HDFC Bank 4.27 Larsen & Toubro 4.96 Total Equity Holdings Money Market Instruments Commercial Paper Religare Finvest ICRA A1+ Vodafone India CRISIL A1+ Corporate Debt 3.04 Britannia Industries 3.04 CRISIL AAA Total Debt Holdings by sector Money Market Instruments Larsen & Toubro HDFC Bank Associated Cement Companies Corporate Debt Cairn India 1.95% 4.96% 4.27% 3.53% 3.04% 35.65% 46.61% Kindly Refer Page No. 10 statistics Current Yield 8.79% Duration years Average Maturity years JM Arbitrage Advantage Fund (An Open-Ended Equity Oriented Interval ) : To generate income through arbitrage opportunities emerging out of mispricing between the cash market and the derivatives market and through deployment of surplus cash in fixed income instruments. : Chaitanya Choksi (Managing this fund since Feb 1, 2011 and has around 10 years of work experience in the field of equity research and capital markets.) : 18th July, 2006 NAV DETAILS : Option (Rs.) : Option (Rs.) : CORPUS (July 12 - Sept 12) : Qtly - AAUM (Rs.) : Crores Turnover : Ratio Issuer Market Value (Rs. In Lacs) % to NAV Market Value (Rs. In Lacs) Futures Ancillaries (100.40) Apollo Tyre Apollo Tyre - Futures (100.40) Banks (306.28) Indian Overseas Bank Indian Overseas Bank - Futures (14.43) Karnataka Bank Karnataka Bank - Futures (114.53) Punjab National Bank Punjab National Bank - Futures (130.31) UCO Bank UCO Bank - Futures (47.01) Cement (166.93) Grasim Industries Grasim Industries - Futures (166.93) Consumer Non Durable (107.83) Tata Tea Tata Tea - Futures (60.32) United Spirits United Spirits - Futures (47.51) (214.23) Housing Development Housing Development (122.39) - Futures IFCI Details as on October 31, 2012 IFCI - Futures (91.84) Gas (62.05) Indraprastha Gas Indraprastha Gas - Futures (62.05) Hotels (20.30) Indian Hotels Co Indian Hotels Co - Futures (20.30) Media & Entertainment (45.54) Dish TV Dish TV - Futures (45.54) Power (301.13) GVK Power & Infrastructure GVK Power & Infrastructure - (10.71) Futures National Hydroelec Power Corporation National Hydroelec Power (244.16) Corporation - Futures PTC India PTC India - Futures (46.26) Retailing (188.50) Pantaloon Retail (India) Pantaloon Retail (India) - (188.50) Futures Software (43.84) I-Flex Solutions I-Flex Solutions - Futures (43.84) Textile Products (58.91) Alok Industries Alok Industries - Futures (58.91) Total Equity Holdings ( ) Fixed Deposit HDFC Bank Yes Bank Total Debt Holdings Total Assets Note: Nifty Futures that are sold is a complete hedge against the purchase of Nifty Basket. by sector Banks Power Retailing Cement Consumer Non Durable Ancillaries Gas Textile Products Media & Entertainment Software Hotels Total Equity: 68.46% 0.86% 1.93% 1.86% 2.63% 2.50% 4.57% 4.25% 12.98% 12.72% Although classified under Equity category, Risk ratios are not calculated for JM Arbitrage Advantage Fund as the scheme is benchmarked to CLFI. 7.07% 7.97% 9.10% 5

6 JM High Liquidity Fund (An Open - Ended Liquid ) Fund Manager 6 : To provide income by way of dividend (dividend plans) and capital gains (growth plan) through investing in debt and money market instruments. : Shalini Tibrewala (Managing this fund since December, 1997 & over 14 years of experience in fund management & financial services sector). : Option: 31st December, 1997 Weekly Option: 31st December, 1997 Daily Option: 2nd July, 2001 Quarterly Option.: 23rd Sept, 2003 Bonus Option: 17th August, 2002 Institutional Plan - : 4th April, 2003 Institutional Plan - WDO: 4th April, 2003 Institutional Plan - DDO: 28th July, 2003 Super Institutional Plan - :19th May, Super Institutional Plan - DDO:19th May, Super Institutional Plan - WDO: 19th May, NAV DETAILS : Option (Rs.): Weekly Option (Rs.): Daily Option (Rs.): Bonus Option (Rs.): Quarterly Option (Rs.): Institutional Plan Option (Rs.): Weekly Option (Rs.): Daily Option (Rs.): Super Institutional Plan Option (Rs.): Weekly Option (Rs.): Daily Option (Rs.): CORPUS (July 12 - Sept 12) : Qtly - AAUM (Rs.) : Crores Money Market Instruments Certificate of Deposits Allahabad Bank 2.00 ICRA A1+ Andhra Bank 4.49 CARE A1+ Bank of Maharashtra 1.00 CRISIL A1+ Canara Bank 2.49 CRISIL A1+ Central Bank of India 4.00 CARE A1+ Corporation Bank 1.00 CRISIL A1+ ICICI Bank 2.49 ICRA A1+ Indian Bank 1.49 FITCH A1+ IndusInd Bank 0.90 CRISIL A1+ Kotak Mahindra Bank 1.00 CRISIL A1+ Oriental Bank of Commerce 3.19 CRISIL A1+ Punjab & Sind Bank 2.00 ICRA A1+ Punjab National Bank 2.99 CARE A1+ State Bank of Mysore 4.97 ICRA A1+ State Bank of Bikaner & Jaipur 1.00 CRISIL A1+ Syndicate Bank 1.99 CARE A1+ UCO Bank 1.99 CRISIL A1+ Union Bank of India 1.00 CRISIL A1+ Commercial Paper Berger Paints India 2.20 CRISIL A1+ Blue Star 0.40 CARE A1+ Century Textiles & Industries 1.99 CARE A1+ Deepak Fertilisers & 0.99 CARE A1+ Petrochemicals Corpn. Dewan Housing 0.99 CRISIL A1+ Corporation Ericsson India 1.00 ICRA A1+ Essel Mining & Industries 1.00 ICRA A1+ First Blue Home 0.50 CRISIL A1+ Godrej & Boyce Mfg. Company 0.79 CRISIL A1+ HCL Infosystems 1.60 ICRA A1+ India Infoline 1.00 ICRA A1+ Indian Oil Corporation 2.49 ICRA A1+ Jindal Saw 1.98 ICRA A1+ Jindal Steel & Power 2.97 ICRA A1+ National Housing Bank 4.58 ICRA A1+ Redington India 0.99 ICRA A1+ Reliance Capital 0.99 CRISIL A1+ Religare Securities 0.99 CRISIL A1+ Srei Equipment 1.99 ICRA A1+ Sundaram BNP Paribas Home 0.99 CRISIL A1+ Tata Teleservices 2.48 CARE A1+ Transport Corporation of India 0.20 ICRA A1+ Vardhman Textiles 1.98 CRISIL A1+ Vodafone India 0.98 CRISIL A1+ Treasury Bills Days T- Bill 0.08 GOI SOV Total Debt Holdings Money Market Instruments Treasury Bills Kindly Refer Page No. 10 statistics Current Yield 8.47% Duration years Average Maturity years JM Money Manager Fund - Regular Plan (An Open - Ended Debt ) : To generate stable long term returns with low risk strategy and capital appreciation/accretion through s in debt instruments and related securities besides preservation of capital. : Vikas Agrawal (Managing this fund since July, 2011 & has total 9 years of experience in fixed income market). : Regular Plan - : 27th Sept, 2006 Regular Plan - DDO: 27th Sept, 2006 Regular Plan - WDO: 26th July, 2007 Regular Plan - FDO: 26th Sept, 2008 NAV DETAILS : Regular Plan - Option (Rs.) : Daily Option (Rs.) : Weekly Option (Rs.) : Fortnightly Option (Rs.) : CORPUS (July 12 - Sept 12) 0.08% : Qtly - AAUM (Rs.) : Crores Money Market Instruments Certificate of Deposits Allahabad Bank 8.26 ICRA A1+ Indusind Bank CRISIL A1+ Commercial Paper Alkem Laboratories CRISIL A1+ Cholamandalam & 23.87% 76.06% ICRA A1+ Kindly Refer Page No. 10 Details as on October 31, 2012 HSIL ICRA A1+ India Infoline ICRA A1+ National Housing Bank ICRA A1+ RHC Holding ICRA A1+ (SO) Total Debt Holdings (1.36) Money Market Instruments statistics Current Yield 9.36% Duration years Average Maturity years JM Money Manager Fund - Super Plan (An Open - Ended Debt ) (1.36%) % : To generate stable long term returns with low risk strategy and capital appreciation/ accretion through s in debt instruments and related securities besides preservation of capital. : Vikas Agrawal (Managing this fund since July, 2011 & has total 9 years of experience in fixed income market). : Super Plan - : 27th Sept, 2006 Super Plan - DDO: 27th Sept, 2006 Super Plan - WDO: 12th October, 2007 Super Plan - FDO: 2nd April, 2008 NAV DETAILS : Super Plan Option (Rs.) : Daily Option (Rs.) : Weekly Option (Rs.) : Fortnightly Option (Rs.) : CORPUS : Qtly - AAUM (Rs.) : Crores (July 12 - Sept 12) Money Market Instruments Certificate of Deposits Allahabad Bank ICRA A1+ Andhra Bank CARE A1+ Canara Bank CRISIL A1+ Punjab National Bank 4.65 CARE A1+ Commercial Paper Blue Star 6.97 CARE A1+ India Infoline ICRA A1+ RHC Holding ICRA A1+ (SO) Shriram City Union CRISIL A1+ Tata Teleservices CARE A1+ Total Debt Holdings

7 Details as on October 31, 2012 Money Market Instruments 2.93% Kindly Refer Page No % Rural Electrification Corporation 1.14 CRISIL AAA Treasury Bills Days T- Bill 0.23 GOI SOV Total Debt Holdings Kindly Refer Page No % statistics Current Yield 9.24% Duration years Average Maturity years Money Market Instruments Corporate Debt 1.49% 1.27% Treasury Bills 0.23% 97.01% statistics Current Yield 7.93% Duration years Average Maturity years JM Money Manager Fund - Super Plus Plan (An Open - Ended Debt ) : To generate stable long term returns with low risk strategy and capital appreciation/ accretion through s in debt instruments and related securities besides preservation of capital. : Shalini Tibrewala (Managing this fund since September, 2006 & has over 14 years of experience in fund management & financial services sector). : Super Plus Plan - : 27th Sept, 2006 Super Plus Plan - DDO: 27th Sept, 2006 Super Plus Plan - WDO: 16th July, 2007 Super Plus Plan - FDO: 12th July, 2007 NAV DETAILS : Super Plus Plan - Option (Rs.) : Daily Option (Rs.) : Weekly Option (Rs.) : Fortnightly Option (Rs.) : CORPUS (July 12 - : Qtly - AAUM (Rs.) : Crores Sept 12) Money Market Instruments Certificate of Deposits Bank of Maharashtra 5.67 CRISIL A1+ Canara Bank 5.66 CRISIL A1+ ICICI Bank 5.67 ICRA A1+ Punjab National Bank 1.70 CARE A1+ South Indian Bank 5.67 CARE A1+ The Ratnakar Bank 2.83 ICRA A1+ UCO Bank 5.66 CRISIL A1+ Commercial Paper Alembic Pharmaceuticals 5.61 CRISIL A1+ Alkem Laboratories CRISIL A1+ Century Textiles & Industries 5.65 CARE A1+ Ericsson India 2.81 ICRA A1+ HCL Infosystems 5.11 ICRA A1+ India Infoline ICRA A1+ Reliance Capital 8.47 CRISIL A1+ Religare Finvest 5.53 ICRA A1+ RHC Holding 5.62 ICRA A1+ (SO) Corporate Debt 1.49 ICICI Bank 0.35 CARE AAA Kindly Refer Page No. 10 statistics Current Yield 9.23% Duration years Average Maturity years JM Floater Fund - Long Term Plan (An Open-Ended Income ) : To provide regular income and capital appreciation through in floating rate debt instruments, fixed rate debt instruments swapped for floating rate returns and also fixed rate instruments and money market instruments. : Shalini Tibrewala (Managing this fund since March, 2006 & has over 14 years of experience in fund management & financial services sector). : : 25th June, 2003 : 25th June, 2003 Daily Option: 22nd May, 2007 Weekly Option: 22nd May, 2007 Premium Plan - : 13th October, 2004 Premium Plan - : 13th October, 2004 Premium Plan - DDO: 15th May, 2007 Premium Plan - WDO: 18th May, 2007 NAV DETAILS : Option (Rs.): Option (Rs.): Daily Option (Rs.): Wkly Option (Rs.): CORPUS (July 12 - Sept 12) Premium Plan - Option (Rs.): Option (Rs.): Daily Option (Rs.): Wkly Option (Rs.): : Qtly - AAUM (Rs.) : 1.06 Crores JM Floater Fund - Short Term Plan (An Open-Ended Liquid ) : 25th June, 2003 NAV DETAILS CORPUS (July 12 - Sept 12) : To provide regular income and capital appreciation through in floating rate debt instruments, fixed rate debt instruments swapped for floating rate returns and also fixed rate instruments and money market instruments. : Shalini Tibrewala (Managing this fund since September, 2006 & over 14 years of experience in fund management & financial services sector). : Floater Fund Short Term Plan Option (Rs.) : Daily Option (Rs.) : : Qtly - AAUM (Rs.) : 4.39 Crores Kindly Refer Page No % statistics Current Yield 7.93% Duration Years Avg. Maturity Years 7

8 JM Short Term Fund (An Open-Ended Income ) : To generate regular returns and high level of liquidity with low risk strategy and capital appreciation / accretion through in debt instruments and related securities besides preservation of capital. : Girish Hisaria (Managing this fund since July 2009 & has total 7 years of experience in Fixed Income Markets). : Regular Plan - : 24th June, 2002 Regular Plan - : 24th June, 2002 Regular Plan - DDO: 31st March, 2011 : 4th April, 2003 : 4th April, 2003 Daily Option: 6th April, 2011 NAV DETAILS : option (Rs.): option (Rs.): Daily option (Rs.): Regular Plan - option (Rs.): option (Rs.): Daily option (Rs.): CORPUS (July 12 - Sept 12) : Qtly - AAUM (Rs.) : Crores Money Market Instruments Certificate of Deposits Corporation Bank 9.27 CRISIL A1+ Punjab National Bank CARE A1+ Commercial Paper India Infoline 9.49 ICRA A1+ Power Corportion 9.04 CRISIL A1+ RHC Holding 9.43 ICRA A1+ (SO) Vodafone India 1.89 CRISIL A1+ Corporate Debt Export Import Bank of India 3.79 CRISIL AAA Hindalco Industries 1.93 CRISIL AA+ Power Corporation 1.90 CRISIL AAA Reliance Gas Transportation Infrastructure 1.94 CRISIL AAA Rural Electrification Corporation 5.74 CRISIL AAA Shriram Transport Company 1.92 CARE AA+ Sterlite Industries 1.92 CRISIL AA+ Bajaj 3.83 ICRA AA+ Export Import Bank of India 1.92 CRISIL AAA Rural Electrification Corporation 1.54 CRISIL AAA Sundaram BNP Paribas Home 3.82 CARE AA+ Treasury Bills Days T- Bill 0.76 GOI SOV Total Debt Holdings statistics Current Yield 9.21% Duration Years Avg. Maturity Years JM Income Fund (An Open-Ended Income ) : To generate stable long term returns with low risk strategy and capital appreciation / accretion through in debt instruments and related securities besides preservation of capital. : Girish Hisaria (Managing this fund since July 2009 & has total 7 years of experience in Fixed Income Markets). : Option: 1st April, 1995 Option: 1st April, 1995 Bonus Option: 18th March, 2002 NAV DETAILS : Option (Rs.) : Option (Rs.) : Bonus Option (Rs.) : CORPUS (July 12 - Sept 12) : Qtly - AAUM (Rs.) : 9.87 Crores Money Market Instruments Certificate of Deposits AXIS Bank CRISIL A1+ Canara Bank 4.91 CRISIL A1+ Vijaya Bank CARE A1+ Yes Bank ICRA A1+ Government Securities % GOI GOI SOV Corporate Debt Rural Electrification Corporation CRISIL AAA Total Debt Holdings Money Market Instruments Government Securities Corporate Debt 10.25% 21.87% 32.05% 35.84% statistics Current Yield 8.47% Duration Years Avg. Maturity Years Details as on October 31, 2012 JM G-Sec Fund (An Open-Ended Dedicated Gilt ) : To provide ultimate level of safety to its unitholders through s in sovereign securities issued by the Central and State Government. : Girish Hisaria (Managing this fund since July 2009 & has total 7 years of experience in Fixed Income Markets). : Regular Plan - Option : 29th September, 1999 Regular Plan - Option : 29th September, 1999 Regular Plan - Bonus Option : 30th November, 2002 NAV DETAILS : Regular Plan - Option (Rs.) : Option (Rs.) : Bonus Option (Rs.) : CORPUS (July 12 - : Qtly - AAUM (Rs.) : Crores Sept 12) Government Securities % GOI GOI SOV 8.97% GOI GOI SOV Treasury Bills Days T- Bill 8.80 GOI SOV Total Debt Holdings Government Securities Treasury Bills 8.80% 35.58% 55.62% statistics Current Yield 8.27% Duration Years Avg. Maturity Years Money Market Instruments Corporate Debt Treasury Bills 0.76% 11.69% 30.25% 57.29% 8 (*) Others may include net receivables / payables, cash, cash equivalents, stocks in transition and other instruments such as warrants, convertibles etc.

9 ANNEXURE FOR RETURNS OF ALL THE SCHEMES Performance as on September 30, 2012 Name Equity s Funds Managed by Sanjay Chhabaria Sept 30, 2011 to Sept 30, 2012 Sept 30, 2010 to Sept 30, 2011 Sept 30, 2009 to Sept 30, 2010 Details as on October 31, 2012 Since inception till Sept 30, 2012 (CAGR) Inception Date@ JM Balanced Fund (15.30) Apr-95 Bench Mark Crisil Balanced Fund Index (10.04) N A N A Crisil 1 Year T Bill* S & P Nifty Index* (18.02) JM Equity Fund (22.92) Apr-95 Bench Mark BSE Sensex (18.01) S & P Nifty Index* (18.02) JM Multi Strategy Fund (29.43) Sep-08 Bench Mark BSE (20.02) S & P Nifty Index* (18.02) JM Tax Gain Fund (26.02) (8.71) 31-Mar-08 Bench Mark BSE (20.02) S & P Nifty Index* (18.02) Funds Managed by Asit Bhandarkar JM Basic Fund (38.20) 9937 (0.63) June-97 Bench Mark BSE 200 Index (19.85) S & P Nifty Index* (18.02) JM Core 11 Fund (35.98) (20.20) 5-Mar-08 Bench Mark BSE Sensex (18.01) S & P Nifty Index* (18.02) Funds Managed by Chaitanya Choksi JM Arbitrage Advantage Fund July-06 Bench Mark Crisil Liquid Fund Index S & P Nifty Index # (18.02) # performance may not be strictly comparable with that of its Additional Benchmark since the scheme does not take directional call in equity markets but is limited to availing arbitrage opportunities, etc. Performance as on September 30, 2012 Name Debt s Funds Managed by Girish Hisaria Sept 30, 2011 to Sept 30, 2012 Sept 30, 2010 to Sept 30, 2011 Sept 30, 2009 to Sept 30, 2010 Since inception till Sept 30, 2012 (CAGR) Inception Date@ JM Gsec Fund Sep-99 Bench Mark I Sec Composite Index N A N A Crisil 10 Year G Sec Paper* N A N A JM Income Fund Apr-95 Bench Mark Crisil Composite Bond Fund Index N A N A Crisil 10 Year G Sec Paper* N A N A JM Short Term Fund June-02 Bench Mark Crisil Liquid Fund Index Crisil 1 Year T Bill*

10 ANNEXURE FOR RETURNS OF ALL THE SCHEMES Details as on October 31, 2012 Name Funds Managed by Vikas Agrawal Sept 30, 2011 to Sept 30, 2012 Sept 30, 2010 to Sept 30, 2011 Sept 30, 2009 to Sept 30, 2010 Since inception till Sept 30, 2012 (CAGR) Inception JM Money Manager Fund Regular Plan Sep-06 Bench Mark Crisil Liquid Fund Index Crisil 1 Year T Bill* JM Money Manager Fund Super Plan Sep-06 Bench Mark Crisil Liquid Fund Index Crisil 1 Year T Bill* Funds Managed by Shalini Tibrewala JM Floater Fund - Long Term Plan June-03 Bench Mark Crisil Liquid Fund Index Crisil 1 Year T Bill* JM MIP Fund Sep-03 Bench Mark Crisil MIP Blended Index S & P Nifty Index* (16.29) Crisil 1 Year T Bill* JM Money Manager Fund Super Plus Plan Sep-06 Bench Mark Crisil Liquid Fund Index Crisil 1 Year T Bill* Performance for Liquid s Name Funds Managed by Shalini Tibrewala Sept 30, 2011 to Sept 30, 2012 Sept 30, 2010 to Sept 30, 2011 Sept 30, 2009 to Sept 30, 2010 Since inception till Sept 30, 2012 (CAGR) Inception Date@ JM High Liquidity Fund Dec-97 Bench Mark Crisil Liquid Fund Index N A N A Crisil 1 Year T Bill* JM Floater Fund - Short Term Plan June-03 Bench Mark Crisil Liquid Fund Index Crisil 1 Year T Bill* Performance for Liquid s Simple Annualised Name 7 Days 15 Days 1 mth 3 mths 6 mths Funds Managed by Shalini Tibrewala Inception Date@ JM High Liquidity Fund Dec-97 Bench Mark Crisil Liquid Fund Index Crisil 1 Year T Bill* JM Floater Fund - Short Term Plan June-03 Bench Mark Crisil Liquid Fund Index Crisil 1 Year T Bill* *Additional Inception Date is considered as the date of first time allotment of units. Past performance may or may not be sustained in future and the same may not necessarily provide the basis for comparison with other. Absolute returns are computed on s of Rs 10,000. are computed on Compounded Annual Rate (CAGR) basis. Load is not considered for computation of returns. Option has been considered for calculating the performance of the above mentioned schemes. Mutual Fund s are subject to market risks, read all scheme related documents carefully. 10

11 Details as on October 31, 2012 DIVIDEND HISTORY (for past 3 years) JM Equity Fund Financial Year Record Date (Rs. per unit) FY NIL - FY NIL - FY NIL - The face value per unit is Rs. 10/-. JM Basic Fund Financial Year Record Date (Rs. per unit) FY NIL - FY NIL - FY NIL - The face value per unit is Rs. 10/- JM Balanced Fund Financial Year Record Date (Rs. per unit) Plan FY NIL - FY NIL - FY NIL - The face value per unit is Rs. 10/-. JM Multi Strategy Fund Financial Year Record Date (Rs. per unit) Plan FY NIL - FY NIL - FY NIL - The face value per unit is Rs. 10/-. JM Tax Gain Fund Financial Year Record Date (Rs. per unit) Plan FY NIL - FY NIL - FY NIL - The face value per unit is Rs. 10/-. JM Core 11 Fund Financial Year Record Date (Rs. per unit) Plan FY NIL - FY NIL - FY NIL - The face value per unit is Rs. 10/-. JM MIP Fund JM MIP Fund - Option - Monthly Financial Year Record Date (Rs. per unit) FY $ Oct 12 - Dec July 12 - Sept April 12 - June FY $ Jan 12 - Mar Oct 11 - Dec July 11 - Sept FY $ Jan 11 - March 11 NIL Oct 10 - Dec July 10 - Sept JM MIP Fund - Option - Quarterly Financial Year Record Date (Rs. per unit) FY $ - - FY $ - - FY $ - - JM MIP Fund - Option - Annual Financial Year Record Date (Rs. per unit) FY $ NIL - FY $ NIL - FY $ NIL - taxes wherever applicable. Past performance may or may not be sustained in future. The face value per unit is Rs. 10/-. $ Includes Distribution Tax. JM Arbitrage Advantage Fund Financial Year Record Date (Rs. per unit) Plan FY September June FY March December September June FY March December September June The face value per unit is Rs. 10/- JM High Liquidity Fund Financial Plan Year (Rs. per unit) FY $ Weekly Option Daily Option Quarterly Option - Inst. Plan - Weekly option Inst. Plan - Daily option Super Inst. Plan - Weekly Div. option Super Inst. Plan - Daily Div. option FY $ Regular Plan - Weekly Option Regular Plan - Daily Option Regular Plan - Quarterly Option - Inst. Plan - Weekly option Inst. Plan - Daily option Super Inst. Plan - Weekly Div. option Super Inst. Plan - Daily Div. option FY $ Regular Plan - Weekly Option Regular Plan - Daily Option Regular Plan - Quarterly Option - Inst. Plan - Weekly option Inst. Plan - Daily option Super Inst. Plan - Weekly Div. option Super Inst. Plan - Daily Div. option The face value per unit is Rs.10/-. $ Includes Distribution Tax JM Money Manager Fund Financial Plan Year (Rs. per unit) FY $ Regular Plan - Daily option Regular Plan - Weekly option Regular Plan - Fortnightly option Super Plan - Daily option Super Plan - Weekly option Super Plan - Fortnightly option Super Plus Plan - Daily option Super Plus Plan - Weekly option Super Plus Plan - Fortnightly option FY $ Regular Plan - Daily option Regular Plan - Weekly option Regular Plan - Fortnightly option Super Plan - Daily option Super Plan - Weekly option Super Plan - Fortnightly option Super Plus Plan - Daily option Super Plus Plan - Weekly option Super Plus Plan - Fortnightly option FY $ Regular Plan - Daily option Regular Plan - Weekly option Regular Plan - Fortnightly option Super Plan - Daily option Super Plan - Weekly option Super Plan - Fortnightly option Super Plus Plan - Daily option Super Plus Plan - Weekly option Super Plus Plan - Fortnightly option The face value per unit is Rs.10/-. $ Includes Distribution Tax. JM Floater Fund - LTP Financial Year Plan (Rs. per unit) FY $ option - Daily option Weekly option Premium Plan - option Premium Plan - Weekly option Premium Plan - Daily Option FY $ Regular Plan - option - Regular Plan - Daily option Regular Plan - Weekly option Premium Plan - option Premium Plan - Weekly option Premium Plan - Daily Option FY $ Regular Plan - option - Regular Plan - Daily option Regular Plan - Weekly option Premium Plan - option Premium Plan - Weekly option Premium Plan - Daily Option The face value per unit is Rs. 10/-. $ Includes Distribution Tax. JM Floater Fund - STP Financial Year Plan (Rs. per unit) FY $ Short Term Plan - Daily Option FY $ Short Term Plan - Daily Option FY $ Short Term Plan - Daily Option The face value per unit is Rs.10/-. $ Includes Distribution Tax JM Short Term Fund Financial Year Plan (Rs. per unit) FY $ Regular - Option Option Regular - Daily Option Daily Option FY $ Regular Plan - Option Inst. Plan - Option Regular Plan - Daily Option Inst. Plan - Daily Option FY $ Regular Plan - Option Inst. Plan - Option The face value per unit is Rs. 10/-. $ Includes Distribution Tax. JM Income Fund Option (Rs. per unit) FY $ - FY $ - FY $ - The face value per unit is Rs.10/-. $ Includes Distribution Tax. JM G-Sec Fund Regular Plan - Option (Rs. per unit) FY $ - FY $ - FY $ 0.25 The face value per unit is Rs.10/-. $ Includes Distribution Tax. 11

12 JM EQUITY SCHEMES AT A GLANCE Introduction of no Entry Load and treatment of Exit Load. In accordance with the requirements specified by the SEBI circular no. SEBI/IMD/CIR No.4/168230/09 dated June 30, 2009, no entry load will be charged for fresh purchase / additional purchase / switch-in transactions accepted by the Fund with effect from August 1, Similarly, no entry load will be charged with respect to applications for fresh registrations under Systematic Plan/Systematic Transfer Plan accepted by the Fund with effect from August 1, Also, in compliance with SEBI Circular no. SEBI / IMD / CIR No. 7 / / 2009 dated August 17, 2009, parity among all classes of unit holders in terms of charging exit load shall be made applicable at the portfolio level with effect from August 24, Load Structure: Entry Load: NIL for all Open-ended Equity s. Exit Load: As mentioned in the table hereunder: Minimum criteria for & Redemption Purchase : As mentioned in the reckoner table for normal transactions other than through SIP/STP. Additional Purchase : Rs. 1,000/- or any amount thereafter in all schemes except JM Tax Gain Fund. Repurchase : Minimum redemption from existing Unit Accounts for normal transactions other than through STP/SWP would be a) Rs. 500 and any amount thereafter OR b) 50 units or any number of units there after subject to keeping a minimum balance of 500 units or Rs. 5000/- whichever is less. c) for all the units in the folio for the respective plan if the available balance is less than Rs. 500/- or less than 50 units on the day of submission of valid redemption request. Reckoner and Default Options In case an investor fails to specify his preference of Options/Sub-Options, in the below mentioned schemes, the default Options/ Sub-Options would be as under : Sr. no. 1 s JM - Arbitrage Advantage Fund Allotment Date Min. amnt. 4 JM Core 11 Fund March 5, JM Multi Strategy Fund 7 JM Tax Gain Fund September 23, 2008 March 31, 2008 Rs. 500/- or in multiples of Rs. 500/- each EQUITY SCHEMES Currently available facilities Payout / Payout / Payout / Payout / Payout / Payout / Payout Default Sub Option July 18, 2006 Rs. 5000/- 2 JM Balanced Fund April 1, 1995 Rs. 5000/- 3 JM Basic Fund June 2, 1997 Rs. 5000/- Rs. 5000/- 5 JM Equity Fund April 1, 1995 Rs. 5000/- Rs. 5000/- Exit Lock-in 0.50% 30 Days 1.00% 365 Days 1.00% 365 Days 1.00% 365 Days 1.00% 365 Days 1.00% 365 Days Payout NIL && Options Sub Options Default Option Redemption Time# T+3 (*) Business Days T+3 Business Days T+3 Business Days T+3 Business Days T+3 Business Days T+3 Business Days T+3 Business Days && JM Tax Gain Fund :- The scheme falls in the ELSS category and is eligible for tax benefits under section 80C of Income Tax Act. There is a lock-in period of 3 years under the. # AMC would adhere to the aforesaid service standards for redemption payments on best efforts basis under normal circumstances subject to the overall 10 business days as stipulated by SEBI. *JM - Arbitrage Advantage Fund: The redemption shall be in terms of Interval Period defined hereinbelow. Redemption request can be submitted to the official point of acceptance on any business day till 3.00 pm. All redemption requests received till Friday (in case such Friday is a holiday then the last business day) of the week preceding the interval period, would be processed at the NAV of the Interval Period. The Interval period will be the settlement Thursday (the settlement day for derivatives segment in the NSE which is currently last Thursday of the month) or any day which is declared as the settlement day for Derivatives segment by the NSE. Illustrative Example: Interval Cycle Cut-off for for redemption / switch-out requests Applicable NAV for redemption / switchout For Nov-Dec 2010 All redemptions / switch-out requests received till before 3 p.m. NAV of For Dec - Jan 2011 All redemptions / switch-out requests received after 3 p.m. on till 3.00 pm NAV of It is clarified that the cut-off timings will also be applicable to s made through The exit load shown in the above table are applicable for allotment of units for made through fresh purchases/switch-in/shift-in or through respective SIP/STP/SWP Instalments out of the fresh registration effected during the period when above exit load rates are applicable. The exit load are subject to change at any time. Hence, all Investors are advised to check the current exit load from the nearest Investor Service Centers before. Intra & Inter Equity Switches: No exit load for inter and intra equity switches except in case of (i) switches by SIP/STP investors within 24 months (for cases registered from up to ) and within 12 months (for cases registered upto ) of respective SIP/STP installments (ii) switches by STP investors (for cases registered w.e.f ) within 24 months of respective STP installments (iii) switches by SIP investors (for cases registered w.e.f ) within 12 months of respective SIP installments (iv) switches to / from JM Arbitrage Advantage Fund to any equity schemes. Exit load on intra-scheme redemptions/switch outs:it load on intra-scheme redemptions/switch outs : The applicable exit load, if any, will be charged for redemptions/ switch outs of the scheme (i.e. at portfolio level) before the completion of the stipulated load/lock-in period. The stipulated load/lock-in period will be reckoned from the date of allotment of units for a particular transaction in the scheme (i.e. at portfolio level) till the date of redemption/ switch out from that scheme, irrespective of the number of intra-scheme switches by the investor between the aforementioned two dates (e.g switches between options/sub-options within the scheme having the same portfolio). However, Government levies eg. STT (wherever applicable) will continue to be deducted for every intra-scheme and inter-scheme switch-out/redemption transactions. The above details are subject to provisions laid down in the respective Information Documents and Addenda issued from time to time.