crisil cprstory mar 2010

8/4/2019 Crisil Cprstory Mar 2010

1/44

CRISIL~CPR Mutual Fund Rankings March 2010 Page 1 of 44

CCRRIISSIILL FFuunndd RRaannkkiinnggss iinnttrroodduucceess iinnffrraassttrruuccttuurree ffuunnddss ccaatteeggoorryy

CRISIL has introduced a separate category for infrastructure funds in CRISIL Fund Rankings(CRISIL Composite Performance Rankings CPR) for the quarter ended March 2010. Over thepast few years, the mutual fund industrys exposure to the infrastructure sector has increasedwith several mutual funds launching thematic infrastructure-focused schemes. Introduction of aseparate category for infrastructure funds reflects CRISILs continuous endeavour to helpinvestors take informed investment decisions and keep the ranking abreast with changingmarket dynamics. CRISIL Fund Rankings cover 22 categories across equity, debt and hybrid

funds

With the government increasing its focus on the infrastructure sector over the years, the mutualfund industry has seen good investment opportunities in the sector with many assetmanagement companies introducing infrastructure-based thematic schemes. Accordingly,CRISIL has ranked 12 such schemes in the last quarter; the count is likely to go up in the comingquarters. CRISIL believes this category will help investors identify the superior performingfunds in the infrastructure sector. Birla Sun Life Basic Industries Fund and Birla Sun LifeInfrastructure Fund topped the Thematic-Infrastructure Equity Schemes category with CPR 1rank. However, investors must understand that thematic funds carry an inherent risk ofinvestments concentrated in the theme.

The latest rankings cover 418 open-ended schemes covering almost 80 per cent of average assetsunder management of the Indian mutual funds industry as of March 2010. At a fund houselevel, HDFC Mutual Fund and Reliance Mutual Fund lead the tally of highest ranked fundswith ten CPR 1 ranked funds each, across categories, for the quarter ended March 2010. BirlaSun Life Mutual Fund, with nine CPR 1 ranked funds, was close behind.

A unique feature of the CRISIL Fund Ranking is that unlike most other ranking models that arepurely based on returns or net asset value (NAV), CRISIL uses a combination of NAV andportfolio-based attributes for evaluation. By capturing portfolio-based risks, CRISIL brings in aforward-looking element into the rankings to make them more robust.

The CRISIL Fund Ranking framework provides a single-point mutual fund ranking considering

all factors important in the evaluation of a mutual funds performance such as risk-adjustedreturns, asset concentration, liquidity, asset quality and asset size. The ranking has categories aswell, which specifically focus on long-term consistency in performance. Ranks are assigned on ascale of 1 to 5, with the top rank of CPR 1 indicating Very Good Performance. In any peergroup, the top ten percentile of funds are ranked as CPR 1 and the next twenty are ranked asCPR 2. Investors can use the CRISIL Fund Ranking ranks, which are available oncrisilfundservices.com, as a tool to support their investment decisions.Rankings are updatedregularly on a quarterly basis.

CRISIL~CPRCRISIL Composite Performance Rankings of mutual fund schemesfor the quarter ended March 31, 2010


2/44


The ranking analysed a 2-year-performance of net asset value (NAV) (both on the return andrisk front) in the case of equity (large cap-oriented, diversified equity, small and mid-cap equityfunds, infrastructure equity funds), equity-linked savings schemes (ELSS), income, balanced,gilt funds and monthly income plan (aggressive and conservative) schemes. In the case of liquidfunds (retail, institutional and super institutional options), ultra short-term debt funds (retail,institutional and super institutional options), index funds and short-term debt funds, the NAVperformance for 1 year was considered. This is in addition to the analysis of portfolio-basedparameters in each category. In the case of the Consistent CPR Performer category, CRISIL FundServices analysed the NAV performance of the schemes over a 5-year timeframe in addition tothe performance of schemes on the CRISIL~CPR during the same period. CRISIL FundServicesconsidered the performance of retail options for ranking the schemes, except in the case of theliquid and ultra short-term debt fund categories, where institutional and super institutionaloptions were also ranked as separate categories.

Mutual fund industry highlights

4.0

4.5

5.0

5.5

6.0

6.5

7.0

7.5

8.0

8.5

Mar-09

Apr-09

May-09

Jun-09

Jul-09

Aug-09

Sep-09

Oct-09

Nov-09

Dec-09

Jan-10

Feb-10

Mar-10

AAUMR

strillion

-1800

-1300

-800

-300

200

700

1200

1700

2200

NetInflowsRsbillion

Net Inflows (Rs billion)

Industry Average AUM (Rs tri llion)

The average assets under management (AUM) of the domestic mutual fund industry fell nearly6 per cent to Rs 7.49 trillion in March 2010 from Rs 7.96 trillion in December 2009 (includingfund of funds) making it the first quarterly decline in average AUM following 4 successivequarters of gain. The fall in average AUM, during the quarter, was mainly due to volatility indomestic stocks and outflows from debt funds in March. The industry witnessed highest-evermonthly outflows of Rs 1.6 trillion in March 2010. These redemptions have now become typicalof every financial quarter-end when mutual funds witness withdrawals from corporates andbanks. While corporates withdraw their short-term mutual fund investments (mainly in ultra

short-term debt schemes) to meet their advance tax payments, banks prune mutual fundinvestments every financial quarter-end (this time, a financial year-end as well) to meet balancesheet requirements on capital adequacy. During the current quarter, investments of banks inmutual fund came down, as credit demand picked up with banks lending a record Rs 1.16trillion in the last fortnight of March 2010. As per data available with the Reserve Bank of India(RBI), banks investments in mutual funds stood at Rs 0.56 trillion as of end March 2010.


3/44


Over the last one year, mutual fund assets grew by around 50 per cent from Rs 4173 billion inMarch 2009 to Rs 6140 billion in March 2010, mainly on account of inflows into ultra short-termincome funds and mark-to-market gains in equity funds. Gold Exchange-Traded Funds (ETFs)witnessed steady demand with AUM more than doubling from Rs 7.36 billion in March 2009 toRs 15.90 billion in March 2010. Gilt and liquid funds lost AUM over the year to the tune of Rs 30billion and Rs 125 billion, respectively. Over the year, debt fund assets, on an average, were 70per cent of overall mutual fund assets.

Mutual funds sold equities to the tune of Rs 61 billion during the quarter compared to netselling of Rs 77 billion in the December quarter. For the fiscal year ended March 2010, mutualfunds sold equities to the tune of Rs 102 billion vis--vis net buying of Rs 70 billion in the sameperiod last year. On the debt side, MFs were net buyers to the tune of Rs 340 billion in the

quarter ended March compared to net buying of Rs 611 billion in the December quarter.

There was a surge in the new fund offersings (NFOs) during the quarter as 95 new schemeswere launched in the quarter ended March 2010 compared to 36 offerings in the previous one.Mutual funds mobilised Rs 198 billion via NFOs in this quarter compared to Rs 85 billion in theprevious quarter. FMPs or fixed maturuity plans (FMPs) dominated these offers with seventy-nine of the NFOs belonging to this category. Most of these FMPs were launched in March totake advantage of the double indexation tax benefits available at the end of the financial year.During the quarter, mutual funds moblised Rs 170 billion through FMPs. On the other hand,four new funds launched in the equity category garnered Rs. 16.31 billion.

Over the quarter, 12 out of 38 fund houses recorded a growth in average AUM. Reliance Mutual

Fund remained on top of the asset tally but its average AUM fell by 8 per cent over the quarterto Rs 1.10 trillion. HDFC Mutual Fund occupied the second spot, its average AUM declined bynearly 9 per cent to Rs 888 billion in March 2010. ICICI Prudential Mutual Fund at the thirdposition saw its average AUM fell by around 2 per cent to Rs 811 billion in March 2010. UTIMutual Fund and Birla Sun Life Mutual Fund followed with an AAUM of Rs 802 billion (up 2.6per cent) and Rs 664 billion (down 8.4 per cent), respectively. The share of top five mutualfunds assets decreased to 56 per cent from 58 per cent a year ago while the share of top 10funds assets remained at 79 per cent in March 2010. The bottom 10 fund houses continued tooccupy less than 1 per cent of the AAUM. Peerless Mutual Fund was the latest entrant in theIndian mutual funds arena in February. L&T also entered the Indian asset management space by


4/44


acquiring DBS Chola Mutual Fund in January for a consideration of Rs 450 million; the namechange occurred in February.

Among important regulatory developments, SEBI barred fund houses from tapping the unitpremium reserve to distribute dividends and directed mutual funds to pay dividends only fromrealised gains. SEBI reduced the period for NFOs, except ELSS, to 15 days from the current 30-45days. The reduced NFO period will be applicable to issues launched from July 1. It also said thatNFOs launched from July 1 must offer Application Supported by Blocked Amount (ASBA)facility.

Further, SEBI asked mutual funds to disclose some of their general procedures, such as proxyvoting in investee companies in a move to encourage shareholder activism and improvecorporate governance in listed companies. SEBI also directed mutual funds not to make anychanges in the standard warning displayed in audiovisual advertisements about risks associatedwith fund investments and make all disclosures, about market risks involved with theirproducts, more prominent in their communication.

In order to to ensure that the value of money market and debt securities in the portfolio ofmutual fund schemes reflect the current market scenario, SEBI modified the provisionsregarding valuation of these securities. Accordingly, SEBI directed mutual funds to value debtsecurities of up to 91 days at the weighted average price at which they are traded on thevaluation day. These valuation norms would be applicable from July 1, 2010.

Among other news, IDBIs fully owned unit IDBI Asset Management, received SEBI approvalto launch mutual fund operations. Union Bank of India and Belgium-based KBC AssetManagement would invest 50 million euros in their proposed joint venture asset management

company. The joint venture, Union KBC Asset Management, received in-principal approvalfrom SEBI. DBS Chola Mutual Fund was renamed L&T Mutual Fund from February 16 onwardsafter SEBI approved a change in control at DBS Mutual Fund.

Japan's Shinsei Bank decided to sell its entire stake in its Indian mutual fund arm to twocompanies belonging to Daiwa Securities Group for Rs 490 million. DLF also sold its entire 39per cent stake in its mutual fund joint venture DLF Pramerica Asset Managers to its partnerPrudential Finance as its participation was not in conformity with SEBI's guidelines. As per SEBIguidelines, DLF does not qualify to be a sponsor for a mutual fund with its less than 5 years oftrack record in financial services. Besides, SEBI asked BNP Paribas to submit details regardingthe method of conducting mutual fund business in India. BNP owns Fortis Mutual Fund andholds a stake in Sundaram BNP Paribas Asset Management Company (AMC); regulations

prohibit an entity from having stakes in two Indian AMCs. Accordingly, Sundaram FinanceGroup would buy out BNP Paribass 49.9 per cent stake in their domestic mutual fund jointventure, Sundaram BNP Paribas Asset Management. On another front, S&P and CRISILlaunched the S&P CRISIL Indices Versus Active Funds (SPIVA), a tool for comparing theperformances of equity schemes across various time frames vis--vis respective indices.


5/44


CRISIL~CPR Fund categories

1. Large cap-oriented equity funds2. Diversified equity funds3. Small and mid-cap equity funds4. ELSS5. Infrastructure funds6. Index funds7. Income funds8. Income short9. Balance funds10.Liquid funds11.Liquid funds - Institutional12.Liquid funds - Super institutional

13.Gilt funds - Long14.Monthly income plan (MIP) - Aggressive15.MIP - Conservative16.Ultra short-term debt funds17.Ultra short-term debt funds - Institutional18.Ultra short-term debt funds - Super institutional19.Consistent CPR Performers - Equity funds20.Consistent CPR Performers - Balanced funds21.Consistent CPR Performers - Debt funds22.Consistent CPR Performers - Liquid funds

CRISIL~CPR category definitions

CPR category Interpretation

CRISIL~CPR 1 Very good performance (top 10 percentile of the universe)*

CRISIL~CPR 2 Good performance

CRISIL~CPR 3 Average performance

CRISIL~CPR 4 Below average performance

CRISIL~CPR 5 Relatively weak performance

*If the top 10 percentile figure is not an integer, the same is rounded off to the next integer. Thesame approach is adopted for CPR 2 (11th to 30th percentile), CPR 5 (last 91stto 100th percentile)and CPR 4 (71stto 90th percentile) clusters. The residual schemes in the universe are placed in the

CPR 3 cluster.


6/44


Equity markets overview

Indian benchmark equity indices finished high for the fifth quarter in a row but with marginalgains. The S&P CNX Nifty was up 0.9 per cent while BSE Sensex gained 0.4 per cent over theprevious quarter. Markets were volatile during the quarter as investors awaited key policyannouncements (the Union Budget and the review of the Monetary Policy). Investors tradedcautiously amid policy expectations and their impact as there were fears that RBI may resort tomonetary tightening in its January policy review while the government may rollback thestimulus measures in its budget for 2010-11 (announced on February 26). Intermittent weakoverseas cues, heavy selling by foreign institutional investors (FIIs) in the second half of Januaryand stock specific action due to the quarterly earnings season also weighed on the market.However, markets bounced back post-Budget with strong gains as the Budget had no majornegative surprises and the partial rollback of stimulus measures with regard to excise duties

was in line with market expectations. Although the Budget had raised inflationary concerns andrevised duties related to petroleum products, these concerns waned as the Budget outlined aclear roadmap for fiscal consolidation for the next 3 years. The change in personal tax rates,which would lift disposable incomes in the hand of individuals, reduction in surcharge oncorporate tax for domestic companies to 7.5 per cent from 10 per cent and positive domesticeconomic data, augured well for market sentiments.

This rally coupled with strong foreign institutional inflows and positive global markets furtherhelped the market scale a 2-year high in March 2010. The S&P CNX Nifty breached the 5,300mark while the BSE Sensex surpassed 17,700 levels on March 29, but ended the quarter at 17,528and 5,249 points, respectively. Sentiments were boosted after S&P revised its India ratingsoutlook to "stable" from "negative". But more gains were cut short on profit taking and after RBI

unexpectedly hiked key policy rates on March 19 in its bid to anchor inflationary expectations.

Over the quarter, FIIs bought secondary market equities worth Rs 198 billion versus net buyingof Rs 241 billion in the previous quarter. Midcap and smallcap stocks finished little higher withBSE Midcap index gaining 1.3 per cent and BSE Smallcap index rising 1.7 per cent over thequarter. Among sectoral indices, the BSE Consumer Durables (CD) index gained the most (up11.5 per cent). Gains in index heavyweight Titan Industries, which surged nearly 30 per centover the past quarter, led the BSE CD index higher. BSE Bankex and BSE Healthcare (HC) indexfollowed with 6.2 per cent gains each. Banking shares rose on value buying and on reports thatthe annual growth in bank credit has met the RBI's estimate of 16 per cent for 2009-10. Bankingshares were helped post the governments tabling of the SBI Amendment Bill in Parliament,which would allow the government to pare its stake in the bank to 51 per cent from 55 per cent.

Healthcare stocks gained on positive outlook for the sector after the House of Representativescleared the US healthcare reform bill. Among individual top gainers on the Nifty, Siemensnotched the highest gains, up 27 per cent over the previous quarter.


7/44


Category-wise performance

Large cap-oriented schemes

In this category, 29 schemes qualified for rankings with two new entrants, namely, UTIOpportunities Fund and UTI Top 100 Fund. Ranked schemes in the large-cap category returnedan average 0.6 per cent gain over the quarter, lesser than 0.9 per cent gains posted by thebenchmark S&P CNX Nifty during the same period.

In the CRISIL~CPR 1 cluster, Birla Sun Life Frontline Equity Fund - Plan A and Fidelity IndiaGrowth Fund maintained their ranks, while Franklin India Bluechip Fund moved up one notchfrom the previous quarter. All the schemes in the CRISIL~CPR 1 cluster performed well on theSuperior Return Score (SRS) parameter, which has a 75 per cent weightage in the ranks. The SRSis the relative measure of the return and risk for a scheme in comparison with other schemes in

the peer group.

Birla Sun Life Frontline Equity Fund - Plan A had 61 stocks in its March 2010 portfolio,accounting for over 93 per cent of the total corpus. Additionally, the scheme had exposure instock futures to the tune of 1.6 per cent of the portfolio. The schemes top holdings wereReliance Industries (4.5 per cent of AUM), ICICI Bank (3.9 per cent of AUM), State Bank of India(3.4 per cent of AUM), Tata Consultancy Services (3.2 per cent of AUM) and Oil and NaturalGas Corporation (3.0 per cent of AUM). Among the top stock market gainers in the portfolioover the quarter were Bank of Baroda (25 per cent), Cummins India (20 per cent) and Axis Bank(18 per cent). There were six new stock entrants during this period, aggregating around 6 percent of the latest portfolio (including 1.6 per cent exposure in stock futures). Key among themwere Amtek Auto, IL&FS Transportation Networks and Onmobile Global. At the sector level,

banks had the highest exposure of 15 per cent of AUM followed by IT and power at 8 per centand 7 per cent of AUM, respectively.

Fidelity India Growth Funds portfolio was diversified across 57 scrips, aggregating over 98 percent of the total corpus. The schemes top exposure stocks were Reliance Industries at 7.7 percent of AUM), followed by Infosys Technologies and HDFC Bank at 5.7 and 5 per cent of AUMrespectively. Among the scrips which gave the highest returns over the quarter were MundraPort & Special Economic Zone (43 per cent), Rallis India (32 per cent) and Titan Industries (29per cent). There were four new stock entrants during this period, aggregating around 1.5 percent of the latest portfolio namely, JSW Energy, Redington (India), NATCO Pharma andKirloskar Brothers Investments. At the sector level, banks had the highest exposure of 19 percent of AUM followed by IT and refineries/marketing at around 10 per cent and 8 per cent of

AUM, respectively.

Franklin India Bluechip Fund moved one notch up from the previous quarter to the CP1~1cluster, having 40 scrips in its March 2010 portfolio, accounting for around 93 per cent of thetotal corpus. The schemes top holdings included Infosys Technologies (7.3 per cent of AUM),HDFC Bank (6.6 per cent of AUM) Reliance Industries (6.2 per cent of AUM), Bharti Airtel (5.9per cent of AUM) and ICICI Bank (4.2 per cent of AUM). Among the stocks, which gave thehighest returns over the quarter, were Cadila Healthcare (27 per cent), Siemens Ltd (27 per cent)and Cummins India (20 per cent). There were six new stock entrants during the quarter,aggregating around 6 per cent of the latest portfolio. Key among them were Dr Reddys


8/44


Laboratories, Zee Entertainment Enterprises and Motor Industries. At the sector level, bankshad the highest exposure at around 16 per cent of AUM followed by IT and power equipment at9.4 per cent and 7.6 per cent of AUM, respectively.

Six schemes formed part of the CRISIL~CPR 2 cluster namely, Birla Sun Life Top 100 Fund, DSPBlackRock Top 100 Equity Fund, HDFC Top 200 Fund, ICICI Prudential Power, Principal LargeCap Fund and UTI Opportunities Fund. UTI Opportunities Fund was the new entrant in thiscluster while ICICI Prudential Power Fund moved up one notch to CRISIL~CPR 2 on back ofbetter performance on the SRS criteria.

Average equity holding among the ranked schemes in the category increased marginally from94 per cent in December 2009 to 95 per cent as of March 2010. According to CRISIL's PopularityIndex for March 2010, Reliance Industries continued to be the most popular stock in thiscategory, followed by ICICI Bank, Infosys Technologies, Larsen & Toubro, and State Bank ofIndia. Banks continued to be the most sought-after industry with fund managers in this categoryfollowed by IT, refineries/marketing, power equipment and power. CRISIL's Popularity Indexmeasures the propensity of a fund manager to invest in a particular company/industry. Thepropensity is measured on the percentage holding of a scheme in a particularcompany/industry.

CRISIL~CPR rankings

Large cap-oriented equity category - quarter ended March 31, 2010

Timeframe - 2 years (April 1, 2008 to March 31, 2010)


9/44


Equity diversified schemes

In the equity diversified category, 68 schemes were eligible for ranking. Diversified equity fundsoutperformed the broader S&P CNX 500 index, but trailed behind the CRISIL Fund~eX (tracksdiversified equity funds). Ranked schemes in the category gained an average of 1.8 per cent overthe quarter vis--vis 0.4 per cent decline in S&P CNX 500 index and 4.2 per cent gains in CRISILFund~eX over the same period.

The CRISIL~CPR 1 cluster comprised seven schemes namely, Birla Sun Life Dividend YieldPlus, HDFC Equity Fund, ICICI Prudential Dynamic Plan, Reliance Equity Opportunities Fund,Reliance Growth Fund, Templeton India Growth Fund and UTI Dividend Yield Fund. Amongthese, Birla Sun Life Dividend Yield Plus and Reliance Growth Fund moved up one notch to thetop cluster, while others maintained their ranks. All the schemes in the CRISIL~CPR 1 cluster

did well on the SRS parameter, which has a 75 per cent weightage in the rankings.

Birla Sun Life Dividend Yield Plus had a diversified portfolio comprising 54 stocks, aggregatingaround 93 per cent of the March 2010 AUM. The schemes highest exposure was in Wyeth Ltd(4.3 per cent of the AUM) followed by GlaxoSmithKline Consumer Healthcare and South IndianBank (around 4 per cent of the AUM each). Goodyear India (49 per cent), Oriental Bank ofCommerce (28 per cent) and Kansai Nerolac Paints (21 per cent) were key stock gainers over thequarter. During the quarter, the scheme included three new stocks in its portfolio namely, ICIIndia Ltd, Esab India and Kirloskar Brothers Investments, which accounted for around 2 percent of its March 2010 AUM. On the industry front, banks had the highest exposure, accountingfor 15.4 per cent of AUM followed by pharmaceuticals (9.4 per cent) and paints (5 per cent).

HDFC Equity Funds portfolio was spread across 61 stocks accounting for around 98 per cent ofthe AUM. State Bank of India (7.1 per cent of the AUM) had the highest exposure in theportfolio, followed by ICICI Bank (6.3 per cent of the AUM) and Oil & Natural Gas Corporation(5.6 per cent of the AUM). Top gainers in the portfolio, during the quarter, were Apollo Tyres(45 per cent), Titan Industries (29 per cent) and Emami (26 per cent). The scheme saw seven newentrants accounting for over 6 per cent of March 2010 portfolio. Some of these entrants wereTata Steel, ITC and Hero Honda Motors. At the industry level, banks had the highest exposure,accounting for around 21 per cent of AUM followed by pharmaceuticals (11 per cent) and oilexploration (6.8 per cent).

ICICI Prudential Dynamic Plan had a portfolio comprising 36 stocks, aggregating around 77 percent of the March 2010 AUM. Additionally, the scheme had marginal exposure in stock futures

and options. The schemes highest exposure stock was Reliance Industries (7 per cent of theAUM) followed by Infosys Technologies (5 per cent of the AUM) and Bharti Airtel (around 5 percent of the AUM). Among the stocks, which gave high returns were, Coromandel International(33 per cent), Cadila Healthcare (27 per cent) and Axis Bank (18 per cent). During the quarter,the scheme added three new stocks in its portfolio accounting for 8 per cent of the AUM. Someof these new entrants were, Bajaj Finserv Ltd, Oil India Ltd and State Bank of India. On theindustry exposure front, banks had the highest exposure, accounting for 10 per cent of AUMfollowed by pharmaceuticals (9.5 per cent) and IT (8 per cent).


10/44


Reliance Equity Opportunities Funds portfolio, comprising 33 stocks, accounted for around 98per cent of the AUM. The scrip with the highest exposure in the portfolio was Divis Laboratories(5.3 per cent of the AUM) followed by Aventis Pharma (4.9 per cent of the AUM) and TrentLimited (4.6 per cent of the AUM). Unichem Laboratories (34 per cent), Cummins India (20 percent) and Zee News (16 per cent) were top gainers in the portfolio during the quarter. Thescheme saw seven new entrants accounting for 16 per cent of March 2010 portfolio. Some ofthese entrants were Indian Metals & Ferro Alloys, Larsen & Toubro and Info Edge (India) Ltd.At the industry level, pharmaceuticals had the highest exposure, accounting for 15.3 per cent ofAUM followed by banks (8.4 per cent) and retailing (8.1 per cent).

Reliance Growth Fund had 40 stocks in its March 2010 portfolio, aggregating over 93 per cent ofthe March 2010 AUM. The schemes highest exposure was in Lupin (around 4.7 per cent of theAUM) followed by Jindal Saw (3.8 per cent of the AUM) and Bank of Baroda (3.5 per cent of theAUM). Among the stocks, which gave high returns were, Strides Arcolab (41 per cent), BombayDyeing & Manufacturing Co (37 per cent) and Shiv-Vani Oil & Gas Exploration Services (26 percent). During the quarter, the scheme added four new stocks in its portfolio accounting for 5 percent of the AUM. Some of these new entrants were Cairn India, DB Realty and RuralElectrification Corporation. On the industry front, banks had the highest exposure, accountingfor around 10 per cent of AUM followed by pharmaceuticals (8.4 per cent) and IT (5.8 per cent).

Templeton India Growth Funds portfolio consisted of 31 stocks accounting for over 90 per centof the AUM. The stock with the highest exposure in the portfolio was Tata Chemicals (9.4 percent of the AUM) followed by Tata Investment Corporation (6.2 per cent of the AUM) and UshaMartin (6 per cent of the AUM). Top gainers in the portfolio, during the quarter, were ApolloTyres (45 per cent), Gujarat Gas Company (21 per cent) and Sesa Goa (15 per cent). The schemesaw only one new entrant namely Usha Martin Ltd, accounting for 6 per cent of March 2010

portfolio. At the industry level, banks had the highest exposure, accounting for 14 per cent ofAUM followed by fertilisers-phosphatic (9.4 per cent) and steel products (6.8 per cent).

UTI Dividend Yield Funds portfolio was diversified across 50 stocks in March 2010,aggregating around 90 per cent of the March 2010 AUM. The schemes highest exposure was inInfosys Technologies (around 7 per cent of the AUM) followed by ICICI Bank (5.5 per cent of theAUM) and National Thermal Power Corporation (around 5 per cent of the AUM). Oriental Bankof Commerce (28 per cent), Bank of Baroda (25 per cent) and Cummins India (20 per cent) gavehigh returns. During the quarter, the scheme added four new stocks in its portfolio accountingfor 3.4 per cent of the AUM. Some of these new entrants were Ambuja Cements Ltd, BallarpurIndustries Limited and Industrial Development Bank of India. On the industry front, banks hadthe highest exposure, accounting for over 17 per cent of AUM followed by IT (11.4 per cent) and

power (7.3 per cent).

Average equity exposure of ranked schemes in the category fell marginally from 96 per cent inDecember 2009 to 95 per cent as of March 2010. As per the CRISIL Popularity Index, InfosysICICI Bank, Infosys Technologies, Reliance Industries, State Bank of India and Tata ConsultancyServices were the most popular stocks in this category while banks, IT, pharmaceuticals,refineries/marketing, and power were popular industries.


11/44


CRISIL~CPR rankings

Equity diversified category - quarter ended March 31, 2010



12/44


Small and mid-cap equity schemes

In this category, the 24 schemes qualified for ranking and outperformed the respective indicesby returning an average of 2.2 per cent over the quarter compared to 1.3 per cent returns of theBSE Midcap index and 1.7 per cent returns posted by BSE Smallcap index during the sameperiod. Birla Sun Life MNC Fund, Tata Dividend Yield Fund and SBI Magnum Sector Umbrella- Emerging Business Fund were the new inclusions in the rankings. The CRISIL~CPR 1 clusterincluded DSP BlackRock Small and Midcap Fund, ICICI Prudential Discovery Fund and UTIMaster Value Fund. ICICI Prudential Discovery Fund and UTI Master Value Fund maintained

their ranks, while DSP BlackRock Small and Midcap Fund jumped one notch from theCRISIL~CPR 2 cluster. All the three schemes scored well on the SRS parameter, which has a 75per cent weightage in the ranking. DSP BlackRock Small and Midcap Fund also had a goodscore on the Company Concentration criteria.

UTI Master Value Funds portfolio consisted of 66 equity stocks, accounting for around 98 percent of the December 2009 AUM. The schemes top holdings were Lupin (4.7 per cent exposure),Timken India (4.4 per cent exposure) and Crompton Greaves (3.7 per cent exposure). Among thetop stock performers, Indoco Remedies recorded the highest quarterly market returns (up 57 percent) followed by Kalyani Steels (up 48 per cent) and Hindustan Zinc (up 47 per cent). During


13/44


the quarter, the scheme took fresh exposure in eight stocks, accounting for 5 per cent of theDecember 2009 portfolio. Some of the newly added stocks included Bajaj Hindustan, Ess DeeAluminium and Cadila Healthcare. On the sectoral front, pharmaceuticals and banks had thehighest exposures of around 9.4 per cent and 8.8 per cent, respectively.

DSP BlackRock Small and Midcap Funds portfolio consisted of 62 equity stocks, accounting foraround 96 per cent of the March 2010 AUM. The schemes top holdings were Cadila Healthcare(4.4 per cent exposure), Bayer Cropscience (3 per cent exposure) and Power TradingCorporation of India (2.9 per cent exposure). Among the top stock performers, TorrentPharmaceuticals notched the highest quarterly market returns (up 38 per cent) followed byBombay Dyeing & Manufacturing Co (up 37 per cent) and Fortis Healthcare (up 34 per cent).During the quarter, the scheme took fresh exposure in twelve new stocks, accounting for 12 percent of the March 2010 portfolio. Some of the newly added stocks included Federal Bank Ltd,Oriental Bank of Commerce and Mercator Lines Ltd. On the sectoral front, pharmaceuticals andhotels had the highest exposures of around 11 per cent and 4.4 per cent, respectively.

ICICI Prudential Discovery Fund had a portfolio comprising 49 scrips, accounting for around 91per cent of the March 2010 AUM. The scheme had highest exposure in Bharti Airtel (6.1 percent), Oil & Natural Gas Corporation (5.4 per cent) and Cadila Healthcare (around 5 per cent).Among the top stock performers in the portfolio, Rallis India recorded the highest quarterlymarket returns of 32 per cent followed by Zuari Industries (up 30 per cent) and CadilaHealthcare (up 27 per cent). During the quarter, the scheme took new exposure in fourteen newstocks, accounting for over 15 per cent of the March 2010 portfolio. Some of the newly addedstocks included Tata Tea Ltd, Oil India Ltd and Amara Raja Batteries. At the sectoral level,banks had the highest exposure of 10.5 per cent of the AUM closely followed bypharmaceuticals (10.4 per cent) and oil exploration (8.4 per cent).

UTI Master Value Fund had a well diversified portfolio of 71 stocks, accounting for around 97per cent of the March 2010 AUM. The scheme had highest exposure in Lupin (around 5 percent), Navneet Publications (around 4 per cent) and Crompton Greaves Ltd (3.4 per cent).Among the top stock performers in the portfolio, Petron Engineering Construction recorded thehighest quarterly market returns of 51 per cent followed by Apollo Tyres (up 45 per cent) andIFGL Refractories (up 34 per cent). During the quarter, the scheme took new exposure in tennew stocks, accounting for 7.6 per cent of the March 2010 portfolio. Some of the newly addedstocks included Bharti Airtel, Polaris Software Lab and India Cements. On the sectoral front,pharmaceuticals had the highest exposure of 10 per cent of the AUM followed by banks (9.5 percent) and sugar (5.4 per cent).

Five schemes figured in CRISIL~CPR 2 cluster namely, Birla Sun Life Midcap Fund - Plan A,Birla Sun Life MNC Fund, Franklin India Prima Fund, Tata Dividend Yield Fund and UTIThematic - Mid Cap Fund. Among these, Birla Sun Life MNC Fund and Tata Dividend YieldFund were the new entrants, while Franklin Pharma Fund moved one notch up given goodperformance in all the parameters considered. Meanwhile, Birla Sun Life Midcap Fund - Plan Aand UTI Thematic - Mid Cap Fund maintained their ranks vis--vis the previous quarter.

Average equity exposure in the Small & Midcap category remained unchanged at 95 per cent asof March 2010 as compared to the previous quarter. The most popular stocks in this categorywere Lupin followed by Mphasis, Crompton Greaves and Shree Renuka Sugars, whilepharmaceuticals, banks, IT, power equipment and power were the popular industries.


14/44


CRISIL~CPR rankings

Small and mid-cap equity category - quarter ended March 31, 2010



15/44


Index category

Index schemes, for the purpose of CRISIL~CPR ranking, are defined as schemes launched withan objective of generating returns that are commensurate with the performance of theirbenchmark's Total Return Index (TRI), subject to tracking errors. The ranking is purely based ontracking error, which is a measure of divergence between the scheme and its benchmark's TRI.The lower the tracking error, the closer is the performance of the scheme to its benchmark.Hence, lower the tracking error of the scheme, the better is the ranking assigned.

Fourteen schemes qualified for ranking under this category, with a new entrant in the form ofKotak Sensex ETF. New entrant Kotak Sensex ETF straightaway occupied the CPR~1 clusterwith lowest tracking error. The Nifty Benchmark Exchange Traded Scheme (Nifty BeES)continued to be ranked at CRISIL~CPR 1 for the thirteenth consecutive quarter, with the lowtracking error, indicating its closeness to the S&P CNX Nifty.

Franklin India Index Fund - BSE Sensex Plan, Franklin India Index Fund - NSE Nifty Plan andUTI Nifty Index Fund formed the CPR~2 cluster, with latter two maintaining their ranks fromthe previous quarter.

CRISIL~CPR rankings

Index schemes - quarter ended March 31, 2010

Timeframe - 1 year (April 1, 2009 to March 31, 2010)


16/44


Infrastructure category

The Infrastructure theme as a separate category is being introduced for the first time in March2010 CRISIL CPR ranking. The infrastructure sector is expected to play an increasing role inIndias economic growth and is also the flavour with many fund houses. The ranking was donefor twelve schemes.

The topmost cluster was occupied by Birla schemes including Birla Sun Life Basic IndustriesFund and Birla Sun Life Infrastructure Fund. Both of them did well on SRS parameter which has75 per cent weightage.

Birla Sun Life Basic Industries Fund had a portfolio comprising 54 stocks, forming around 94per cent of the March 2010 portfolio. The scheme had highest exposure in Reliance Industries(4.5 per cent of the AUM) followed by Crompton Greaves (3.7 per cent) and Bharat Electronics

(around 3 per cent of the AUM). The top quarterly equity gainers in the portfolio were TRF Ltd(up 32.5 per cent), McNally Bharat Engineering (27 per cent) and Cummins India (up 20 percent). There were thirteen new entrants over the quarter, which accounted for 18 per cent of theportfolio. The schemes highest sectoral exposure was in power equipment (8 per cent), power(7 per cent) and banks (around 6.5 per cent).

Birla Sun Life Infrastructure Funds March 2010 portfolio constituted of 60 stocks, accounting for93 per cent of the AUM. Additionally, the scheme had exposure to stock futures and indexoptions constituting over 3 per cent of the AUM. The scheme had highest exposure in RelianceIndustries (3.8 per cent of the AUM) followed by Oil & Natural Gas Corporation (3.3 per cent)and ICICI Bank (3.2 per cent of the AUM). The top quarterly equity gainers in the portfolio wereUsha Martin Ltd (up 25 per cent), Bank of Baroda (25 per cent) and Gujarat Gas Company (up 21

per cent). The quarter saw eleven new additions in the portfolio accounting for 7.4 per cent ofthe AUM (including a 3.3 per cent exposure in stock futures and index options). The schemeshighest sectoral exposure was in banks (12.4 per cent), power (10.4 per cent) and powerequipment (5.9 per cent).

Average equity exposure in the Infra category stood at 94 per cent as of March 2010. The BharatHeavy Electricals Ltd, Reliance Industries, L&T, Crompton Greaves and ONGC were the mostpopular stocks in this category; power equipment, power, banks, refineries/marketing andconstruction projects were popular industries.

The CPR~2 cluster constituted three schemes namely, Reliance Diversified Power Sector Fund,Sundaram BNP Paribas CAPEX Opportunities Fund and Canara Robeco Infrastructure. All

these schemes showed relatibvely good performance in the Superior Returns Score parameter,which has 75 per cent weightage.


17/44


CRISIL~CPR rankings

Infrastructure schemes - quarter ended March 31, 2010


Equity-linked savings schemes

In this category, 25 schemes qualified for ranking. In the CRISIL~CPR 1 cluster, Fidelity TaxAdvantage Fund and ICICI Prudential Tax Plan maintained their ranks from the previousquarter while Canara Robeco Equity Tax Saver Fund moved up one notch. These schemes didwell on the SRS parameter, which has an 80 per cent weightage in the ranks. The SRS is therelative measure of the return and risk for a scheme in comparison with other schemes in the

peer group.

Canara Robeco Equity Tax Saver Fund, which moved up one rank, had 54 stocks in the March2010 portfolio, accounting for around 90 per cent of the total corpus. The schemes top equityholdings were HDFC Bank Ltd and Bharti Airtel Ltd (over 4 per cent of AUM each), followed byZee News Ltd and Sun T V Network Ltd (3.5 per cent of the AUM each). The schemes portfolioconsisted of eight stocks that returned over 20 per cent gains during the quarter, with the topthree individual stock gainers being Piramal Life Sciences Ltd (52 per cent), TorrentPharmaceuticals Ltd (38 per cent) and Oriental Bank of Commerce (28 per cent). There were 10new stock entrants during this period, aggregating around 14 per cent of the latest portfolio.Key among them were Jubilant Foodworks Ltd, Allahabad Bank, Sobha Developers Ltd andAndhra Bank. At the sector level, banks had the highest exposure of 24 per cent of AUM

followed by pharmaceuticals at 9 per cent of AUM.

ICICI Prudential Tax Plan had 49 equity stocks in its March 2010 portfolio, which accounted foraround 91 per cent of the AUM. The schemes largest holdings were Reliance Industries Ltd (8.2per cent of AUM), followed by Infosys Technologies Ltd (5.6 per cent of AUM), SterliteIndustries (India) Ltd (4.9 per cent of AUM), Bharti Airtel Ltd (4.8 per cent of AUM) and CadilaHealthcare Ltd (4.6 per cent of AUM). The scheme had seven stocks, which returned over 20 percent gains over the quarter, with the top four individual stock gainers being Precot Meridian Ltd(50 per cent), Wabco-Tvs (India) Ltd (33 per cent), followed closely by Sundaram Brake LiningsLtd and Zuari Industries Ltd (around 31 per cent each). Further, there were seven new stock


18/44


entrants during this period, which formed around 13 per cent of the March 2010 portfolio. Keyentrants were Sterlite Industries (India) Ltd and Tata Power Co Ltd At the sector level,pharmaceuticals, refineries/marketing and computer-software accounted for the highestexposure at around 8 per cent of the AUM each.

Fidelity Tax Advantage Fund continued to occupy the top slot with 69 equity stocks in its March2010 portfolio, constituting 99 per cent of the AUM. The top three holdings were RelianceIndustries Ltd (6.6 per cent of AUM), Infosys Technologies Ltd (4.7 per cent of AUM), andHDFC Bank Ltd (4.6 per cent of AUM). The scheme had seven stocks, which returned over 20per cent gains over the quarter, with the top three individual stock gainers being Mundra Port &Special Economic Zone Ltd (43 per cent), Rallis India Ltd (32 per cent) and Titan Industries Ltd(29 per cent). Further, there were six new stock entrants during this period, which formedaround 2 per cent of the March 2010 portfolio. Key entrants were JSW Energy Ltd and NATCOPharma Ltd. At the sector level, banks had the highest exposure, accounting for 17 per cent ofthe AUM, followed by pharmaceuticals and computer-software at 9 per cent and 8 per cent ofAUM respectively.

Five schemes qualified for the CRISIL~CPR 2 rankings with DSP BlackRock Tax Saver Fundmoving up one notch from the previous quarter while Franklin Taxshield Fund, Reliance TaxSaver Fund and Religare Tax Plan retained their ranks in this cluster. DSP BlackRock Tax SaverFund did well on the company concentration parameter along with a decent performance in theSRS score. The funds that maintained their rankings in this quarter performed reasonably wellin their SRS score, while Reliance Tax Saver Fund also scored well in the industry concentrationparameter.

Average equity holding among ranked schemes in the category remained constant over the

March quarter at around 95 per cent. According to CRISIL's Popularity Index for March 2010,Reliance Industries continued to be the most popular stock in this category, followed by ICICIBank, Infosys Technologies, State Bank of India and L&T. Banks continued to be the mostsought-after industry with fund managers in this category followed by pharmaceuticals,computer-software, refineries/marketing, and power equipment, among others.


19/44


CRISIL~CPR rankings

ELSS category - quarter ended March 31, 2010



20/44


Debt markets overview

Overnight rates stayed between 3.25-3.35 per cent for most of the quarter due to sufficientliquidity in the system. But liquidity did tighten after the RBI hiked the cash reserve ratio (CRR)by 75 bps to 5.75 per cent on February 13. Further pressure was seen in March as banksrefrained from lending ahead of the financial year end. Consequently, call rates spiked to 8-8.55per cent on March 23 due to this liquidity mismatch. Banks also parked significantly lesseramount of funds at RBI's reverse repo tender in the latter half of the quarter due to the tightliquidity conditions. Further rise in call rates, however, was capped on overall ample liquidityin the system.

Overnight MIBOR %

3

4

5

6

31-Mar-09

30-Apr-09

31-May-09

30-Jun-09

31-Jul-09

31-Aug-09

30-Sep-09

31-Oct-09

30-Nov-09

31-Dec-09

31-Jan-10

28-Feb-10

31-Mar-10

During the quarter, gilt prices fell sharply with prices pressurised for most times. Prices hadfallen early in the quarter ahead of RBIs monetary policy review meeting on fears of monetarytightening by the Central Bank. However, the RBI, in its monetary policy review of January,hiked the cash reserve ratio (CRR) of banks by 75 bps to 5.75 per cent and left key ratesunchanged. In February, prices fell given concerns about the expected size of government'smarket borrowing for 2010-11. Even though the Budget detailed net market borrowing for 2010-11 at Rs 3.45 trillion, which was lower from Rs 3.98 trillion in 2009-10, it still raised concernsregarding the borrowings successful process.

Gilts were under pressure during the last month of the quarter on views that the government

may front-load a major part its borrowing in the first half of 2010-11. Consequently, the 10-yearbenchmark yield rose to 8.01 per cent YTM on March 12, its highest level in around 18 months.Selling was also seen in the current benchmark as investors exited the bond earlier in the Marchon views that a new 10-year benchmark would be issued in April. The move by the CentralBank to hike repo and reverse repo rates by 25 bps to 5 per cent and 3.5 per cent on March 19,however, did not affect the market much as gilt prices had already factored in the rise in therates. Prices did rise in the absence of bond supply during the end of quarter and expectation oflow inflation. Prices recovered all losses after the government detailed a lower than expectedborrowing plan of Rs 2.87 trillion for the half-year ending September 2010 (forms 63 per cent ofgross borrowing of 2010-11). The 10-year benchmark 6.35 per cent 2020 paper closed the quarterat 7.85 per cent yield on March 31 compared to 7.59 per cent on December 31.


21/44


Among major developments in the gilt markets, RBI released its Annual Policy on April 20 andhiked the Repo, Reverse Repo and Cash Reserve Ratio (from April 24) by a uniform 25 basispoints. RBI allowed Separate Trading of Registered Interest and Principal Securities (STRIPS) ingilts from April 1 and said that such STRIPS will retain the Statutory Liquidity Ratio (SLR)status of the government bond. The government gave two additional years to banks and non-banking financial companies or NBFCs to align their accounting practices with the InternationalFinancial Reporting Standards.

10-Year Benchmark G-Sec Yield

7.50%

7.61%

7.72%

7.83%

7.94%

8.05%

31-Dec-09

05-Jan-10

08-Jan-10

13-Jan-10

18-Jan-10

21-Jan-10

26-Jan-10

29-Jan-10

03-Feb-10

08-Feb-10

11-Feb-10

17-Feb-10

22-Feb-10

25-Feb-10

03-Mar-10

08-Mar-10

11-Mar-10

17-Mar-10

22-Mar-10

26-Mar-10

31-Mar-10

Income schemes

The CRISIL CompBex (benchmark long-term bond funds index) rose by 1.29 per cent in thequarter ended March 2010 compared to a rise of 1.48 per cent in the quarter ended December2009. In this segment, 27 schemes were eligible for ranking in the March quarter, with ICICIPrudential Long-Term Plan (on meeting the AUM criteria), Templeton India Income BuilderAccount - Plan A and Religare Active Income Fund (on meeting the AUM criteria) being thenew entrants.

The CRISIL~CPR 1 cluster included Canara Robeco Income Plan, Fortis Flexi Debt Fund andING Income Fund. While Canara Robeco Income Plan maintained its top rank, the other twoschemes moved one notch up this quarter. Canara Robeco Income Plan did well in the SRSparameter and Fortis Flexi Debt Fund moved up with a superior performance in the SRS and

good performances in the average maturity and debt company concentration parameters.Meanwhile, ING Income Fund moved higher because of superior performance in debt sectoralconcentration and good performances in the SRS and average maturity parameters.

Canara Robeco Income had an average maturity of 2.47 years in March 2010 as compared to 2.49years in December 2009. The scheme reduced its gilt exposure to almost 17 per cent in March2010 compared to 51 per cent in December 2009. Fortis Flexi Debt Funds average maturity roseto 1.04 years in March 2010 from 0.68 years a quarter ago. During the quarter, its gilt exposurefell to nil from around 13 per cent of its AUM in December 2009.


22/44


ING Income Fund reduced its average maturity to 0.55 years in March 2010 from 2 years inDecember 2009. Its exposure to CDs rose to 81 per cent of the March 2010 AUM from 11 per centof December 2009 AUM.

The CRISIL~CPR 2 cluster comprised DWS Premier Bond Fund,HSBC Flexi Debt Fund,HSBCIncome Fund - Investment Plan, ICICI Prudential Income Plan, Kotak Bond Regular andReliance Income Fund. DWS Premier Bond Fund and Reliance Income Fund moved up by onenotch while HSBC Income Fund - Investment Plan and Kotak Bond Regular maintained theirrank.

During the quarter, average maturity across ranked schemes fell to around 2.0 years vis--vis 3.9years in December 2009 with expectations of hardening in yields.

Average Maturity in years (Income Funds)

0.00

2.00

4.00

6.00

8.00

10.00

12.00

Mar-08

Apr-08

May-08

Jun-08

Jul-08

Aug-08

Sep-08

Oct-08

Nov-08

Dec-08

Jan-09

Feb-09

Mar-09

Apr-09

May-09

Jun-09

Jul-09

Aug-09

Sep-09

Oct-09

Nov-09

Dec-09

Jan-10

Feb-10

Mar-10

Years


23/44


CRISIL~CPR rankings

Income category - quarter ended March 31, 2010


Income short-term schemes

CRISIL STBEX, the benchmark for short-term income schemes, returned 1.24 per cent in thequarter ended March 2010 compared to 1.30 per cent gains in the previous quarter.

In this category, 25 schemes were eligible for ranking. Birla Sun Life Medium Term Plan (as itmet the inception criteria), AIG Short-Term Fund as it met the AUM criteria), Canara RobecoShort-Term Fund (as it met the inception criteria), Templeton India Short-Term Income Plan andReliance Regular Savings Fund Debt were the new entrants.

In the CRISIL~CPR 1 cluster, HSBC Income Fund - Short Term Plan and IDFC Super SaverIncome Fund - Medium Term each moved up one rank over the quarter while UTI Short TermIncome Fund maintained its rank from the last quarter. HSBC Income Fund Short-Term Planperformed well on the sectoral concentration, asset quality, average maturity and liquidityparameters. IDFC Super Saver Income Fund - Medium Term scored well on parameters likemean return, sectoral concentration and asset quality. The schemes average maturity reduced to2 years in the quarter ended March 2010 from 3.3 years in December 2009. UTI Short-TermIncome Fund had good scores on parameters like sectoral concentration mean return andliquidity. Its average maturity reduced to 181 days from 244 days over the quarter.


24/44


Five schemes were part of the CRISIL~CPR 2 cluster namely, Birla Sun Life Dynamic BondFund, Birla Sun Life Medium-Term Plan, Fortis Short-Term Income Fund,HDFC Short-TermPlan and SBI Short Horizon Debt Fund Short-Term Fund. Birla Sun Life Medium-Term Planwas new entrant in CRISIL~CPR 2 cluster while Birla Sun Life Dynamic Bond Fund and SBIShort Horizon Debt Fund Short-Term Fund moved up one notch to CRISIL~CPR 2 rank. FortisShort-Term Income Fund and HDFC Short-Term Plan maintained their previous quarter rank.

The average maturity of all ranked schemes in the category fell marginally from 400 days inDecember 2009 to 317 days in March 2010 owing to expectations of hardening in yields.

CRISIL~CPR rankingsIncome - Short-term category - quarter ended March 31, 2010



25/44


Monthly income plans

The MIP category is sub-categorised into MIP - Conservative and MIP - Aggressive. The MIP -Conservative category includes schemes with a maximum equity component of less than 15 percent, whereas MIP Aggressive comprises schemes with a maximum equity investment of up to30 per cent. A common feature of both categories is the regular declaration of dividends (mostlymonthly). The CRISIL MIPEX (benchmark for MIP schemes) returned a lower 1.28 per cent overthe March 2010 quarter compared to 1.67 per cent in the previous quarter.

MIP - Aggressive

In the quarter ended March 2010, 21 schemes qualified for ranking under this category. Therewere two new entrants - L&T Monthly Income Plan, on meeting the AUM criteria, andSundaram BNP Paribas Monthly Income Plan - Moderate Plan.

The CRISIL~CPR 1 cluster comprised Reliance Monthly Income Plan, HDFC Monthly IncomePlan LTP, both of which retained their ranks while HSBC MIP Savings moved up one rankover the quarter. All schemes scored well on the SRS criteria with Reliance Monthly IncomePlan also doing well on the industry concentration parameter and HDFC Monthly Income Plan LTP performing well on the company concentration parameter. The new entrant in the topcluster, HSBC MIP Savings, did well on the debt asset quality criteria apart from SRS.

Reliance Monthly Income Plans equity component rose from around 15.7 per cent to around17.6 per cent over the quarter. The average maturity of the scheme fell to 1.24 years from 3.13years over the 3-month period. The schemes highest equity exposure was in State Bank of Indiaat 2.37 per cent of its AUM.

HDFC Monthly Income Plan LTPs equity exposure was at around 23 per cent in March 2010from 22 per cent in the quarter ended December 2009. The average maturity of the scheme fellfrom 2.31 years to 2.09 years during the 3-month period.

HSBC MIP Savings equity exposure stood at around 21 per cent in the quarter ended March2010. The scheme had an average maturity of 1.26 years and had the highest equity exposure toCrompton Greaves at 1.8 per cent of its AUM.

The CRISIL~CPR 2 cluster consisted of five schemes, Birla Sun Life MIP II - Wealth 25 Plan,DSPBlackRock Savings Manager Fund Aggressive and Principal MIP - MIP Plus maintained theirrank while Canara Robeco Monthly Income Plan and HDFC Monthly Income Plan STP moved

up by one notch. Canara Robeco Monthly Income Plan did well on equity liquidity and averagematurity parameters while HDFC Monthly Income Plan STP scored on Industry concentrationand company concentration parameters.

The average maturity for all ranked schemes in the category dropped to 1.21 years in March2010 compared to 2.57 years in the previous quarter, while average equity holding fellmarginally from around 18.0 per cent in December 2009 to 17.5 per cent in March 2010.


26/44


CRISIL~CPR rankings

MIP - Aggressive category - quarter ended March 31, 2010


MIP - Conservative

Eleven schemes qualified for the rankings in this category for the March 2010 quarter. There

were no new entrants in the category for the quarter.

Two schemes made up the CRISIL~CPR 1 cluster - UTI Monthly Income Scheme maintained itsrank in the cluster by performing well on the SRS parameter. It reduced its equity exposurefrom 14 per cent of the December 2009 AUM to 12.5 per cent while its average maturity rose toaround 2.0 years in March 2010 from 1.75 years in December 2009.

Birla Sun Life Monthly Income moved up one rank to make it to the top cluster. The schemescored mainly on SRS, which has a 60 per cent weightage in the ranks. The scheme also did wellon the debt asset quality, debt liquidity and average maturity parameters. The schemes equityexposure fell to 10.24 per cent from 12.08 per cent in the previous quarter.

Three schemes formed CRISIL~CPR 2 cluster namely, Birla Sun Life MIP, Birla Sun Life MIP II -Savings 5 Plan and HSBC MIP Regular. Birla Sun Life MIP moved up by one notch whileHSBC MIP Regular retained its previous quarter ranking.

The average maturity of all ranked schemes in this category declined to 1.14 years in March 2010from around 3.0 years in December 2009.


27/44


CRISIL~CPR rankings

MIP - Conservative category - quarter ended March 31, 2010


Liquid schemes

The benchmark liquid fund index CRISIL Liquifex returned 0.92 per cent gains over the 3month ended March 2010 higher compared to 0.67 per cent in the similar period endedDecember 2009. In the retail category of liquid schemes, 26 schemes qualified for ranking withone new entrant namely, L&T Liquid Fund Regular Plan, which qualified for ranking on

meeting AUM criteria.

The CRISIL~CPR 1 cluster included three schemes out of which two schemes such as HDFCLiquid Fund and Reliance Liquid Fund - Treasury Plan maintained their ranks over theprevious quarter. The third scheme in the cluster, HDFC Cash Management Fund - SavingsPlan, moved up two notches over the quarter.

HDFC Liquid Fund maintained its rank in the top cluster for the second consecutive quartergiven good performance on the asset size criterion besides performing reasonably well on meanreturn, downside risk probability, asset quality, company concentration and liquidityparameters.

Reliance Liquid Fund - Treasury Plan maintained its top rank for the fourth consecutive quarterdue to relatively good performance in mean return, volatility, asset size, downside riskprobability and liquidity parameters. The schemes average maturity fell marginally to 55 daysin March 2010 from 58 days in December 2009.

HDFC Cash Management Fund - Savings Plan moved up two ranks over the quarter on the backof good performance in mean return, asset size, downside risk probability, asset quality,company concentration and liquidity parameters. Meanwhile, the schemes average maturityended almost flat at around 59 days over the quarter.


28/44


The CRISIL~CPR 2 cluster consisted of six schemes out which three schemes such as CanaraRobeco Floating Rate STP Plan, SBI Magnum InstaCash Plan and SBI Magnum InstaCash -Liquid Floater Plan moved up one notch over the quarter. Meanwhile, IDFC Cash Fund - PlanA and Reliance Floating Rate Fund maintained their ranks over the quarter.

CRISIL~CPR rankings

Liquid category - quarter ended December 31, 2009


Liquid - Institutional plans

Thirteen schemes qualified for rankings in the Liquid - Institutional category, including threenew entrants such as Baroda Pioneer Liquid Fund Institutional Plan, JM High Liquidity Fund Institutional Plan and ICICI Prudential Liquid Plan Institutional Plus. All three schemesmade it to the ranking space this quarter on meeting the AUM criterion. The CRISIL~CPR 1cluster comprised Birla Sun Life Cash Manager Institutional Plan and Reliance Liquid Fund -Treasury Plan - Institutional. Birla Sun Life Cash Manager Institutional Plan continued tomaintain its rank for the second quarter, mainly on account of good performance on the mean

return, average maturity, asset quality and liquidity parameters. The schemes average maturityfell from 40 days to 33 days during the quarter. Reliance Liquid Fund - Treasury Plan Institutional maintained its position for the fourth consecutive quarter and scored well on themean return, volatility and downside risk probability parameters. The schemes averagematurity fell marginally to 55 days from 58 days at the start of the quarter.

There were three schemes in the CRISIL~CPR 2 cluster, namely, Birla Sun Life Cash Plus Institutional Plan, Tata Liquid Fund SHIP and UTI Liquid Cash Plan - Institutional Plan. Allthree maintained their ranks over the quarter. Birla Sun Life Cash Plus Institutional Planperformed well on asset size and liquidity parameters, Tata Liquid Fund SHIP scored well on


29/44


volatility and company concentration criteria, while UTI Liquid Cash Plan - Institutional Plancame up with decent scores in mean return, volatility and asset size parameters.

CRISIL~CPR rankings

Liquid - Institutional category - quarter ended March 31, 2010


Liquid - Super Institutional plan

Fourteen schemes were ranked in the Liquid - Super Institutional category with no new entrantsover the quarter. The CRISIL~CPR1 cluster consisted of two schemes out of which RelianceLiquidity Fund maintained its rank in the cluster for the tenth consecutive quarter on the backof high scores in mean return, volatility, asset size and asset quality parameters. HDFC LiquidFund - Premium Plus Plan, the other scheme in the cluster, moved up one notch over thequarter on the back of good scores in asset size, asset quality, mean return, companyconcentration and liquidity parameters.

Three schemes made up the CRISIL~CPR 2 cluster, out of which Birla Sun Life Cash Plus -Institutional Premium Plan and IDFC Cash Fund - Plan C - (Super Institutional) maintainedtheir rankings over the quarter. Birla Sun Life Cash Plus - Institutional Premium Plan came upwith good scores in mean return and liquidity parameters, while IDFC Cash Fund - Plan C -(Super Institutional) scored well on volatility, downside risk probability and liquidity criteria.


30/44


CRISIL~CPR rankings

Liquid - Super institutional category - quarter ended March 31, 2010


Ultra short-term debt schemes

Thirty six schemes were eligible for ranking in the retail category of ultra short term debtschemes, including three new entrants namely, Birla Sunlife Ultra Short Term Fund, ICICIPrudential Flexible Income Plan Regular and JM Money Manager Fund - Super Plan. Amongthe three new entrants, ICICI Prudential Flexible Income Plan Regular and JM Money ManagerFund - Super Plan were included on meeting the AUM criteria, while Birla Sunlife Ultra ShortTerm Fund was included due to scheme reclassification.

The CRISIL~CPR 1 cluster consisted four schemes out of which Birla Sun Life Floating RateFund - Long Term Plan, HDFC Cash Management Fund - Treasury Advantage Plan andReliance Medium Term Fund maintained their ranks, while the fourth scheme - Tata FloaterFund, moved up a notch over the quarter. On the performance parameter, Birla Sun LifeFloating Rate Fund - Long Term Plan scored well on the mean return parameter (which has thehighest weightage among all parameters), while it also performed reasonably well on thedownside risk probability score. HDFC Cash Management Fund - Treasury Advantage Planscored well on asset size, company concentration and liquidity parameters and also performedreasonably well on the average maturity criteria. Reliance Medium Term Fund performed wellon downside risk probability, asset quality and liquidity criteria while also coming up withdecent scores in mean return and asset size criteria. Tata Floater Fund, the new entrant in thecluster, scored well on the downside risk probability parameter, while also notching up decent

scores in mean return, asset size, asset quality and liquidity criteria.

The CRISIL~CPR 2 cluster consisted of eight schemes, out of which, three schemes such as ICICIPrudential Floating Rate Plan - Option A, Kotak Floater - Long Term and Reliance MoneyManager Fund - Retail Plan maintained their ranks. IDFC Money Manager Fund - InvestmentPlan - Plan A moved up a notch from the previous quarter on the back of a good performance indownside risk probability criterion and also due to decent scores in the mean return and assetquality parameters. Among the three new entrants in this category, Birla Sunlife Ultra ShortTerm Fund Retail Plan and ICICI Prudential Flexible Income Plan Regular Plan made theirdebut in the CRISIL~CPR 2 cluster. While Birla Sunlife Ultra Short Term Fund Retail Plan


31/44


scored reasonably well on the asset quality and liquidity parameters; ICICI Prudential FlexibleIncome Plan Regular Plan performed well on asset size and liquidity parameters.

CRISIL~CPR rankings

Ultra short-term debt category - quarter ended March 31, 2010

Timeframe - 1-year (April 1, 2009 to March 31, 2010)

Ultra short-term debt institutional schemes

Under this category, 28 schemes were eligible for ranking with four new entrants namely, BirlaSun Life Floating Rate Fund - Long Term - Institutional Plan, ICICI Prudential Floating RatePlan - Option B (both on meeting AUM criteria), DSP BlackRock Strategic Bond Fund -

Institutional Plan, and Birla Sun Life Ultra Short Term Fund Institutional Plan (both on schemereclassification). The CRISIL~CPR 1 cluster included three schemes out of which HDFC CashManagement Fund - Treasury Advantage Plan - Wholesale Option and ICICI Prudential FlexibleIncome Plan Premium maintained their ranks in this quarter. While HDFC Cash ManagementFund performed well on parameters such as asset size, company concentration and liquidity;ICICI Prudential Flexible Income Plan Premium performed well on asset size and liquidityparameters. The third scheme in the CRISIL~CPR 1 cluster was a new entrant in this categoryviz., Birla Sun Life Floating Rate Fund - Long Term Institutional Plan that made it to the topgrade on the back of good performance in the mean return parameter (which has the highestweightage among all parameters).


32/44


The CRISIL~CPR 2 cluster was made up by Birla Sun Life Savings Fund Institutional, DSPBlackRock Strategic Bond Fund Institutional, ICICI Prudential Floating Rate Plan - Option B,Reliance Money Manager Fund Institutional, SBI Short Horizon Debt Fund - Ultra Short-TermFund Institutional and UTI Treasury Advantage Fund Institutional. SBI Short Horizon DebtFund - Ultra Short-Term Fund Institutional moved up one rank in the March quarter due to asuperior performance in company concentration criterion.

CRISIL~CPR rankings

Ultra short-term debt institutional category - quarter ended March 31, 2010



33/44


Ultra short-term debt super institutional schemesTen schemes were eligible for ranking under this category with one new entrant - Taurus Ultra

Short Term Bond Fund - Super Institutional Plan. The scheme was included as it met the AUMcriteria. ICICI Prudential Floating Rate Plan - Option D continued to occupy the CRISIL~CPR 1cluster in this category on the back of superior scores in asset quality and liquidity parameters.AIG India Treasury Fund - Super Institutional and IDFC Money Manager Fund - Treasury Plan- Plan C - (Super Institutional) continued to occupy the second cluster.

CRISIL~CPR rankings

Ultra short-term debt super institutional category - quarter ended March 31, 2010


Gilt - Long schemes

Gilt schemes fared reasonably well in the March quarter by giving an average 0.6 per centreturns over the quarter as against 0.3 per cent given by the benchmark CRISIL MF~Gilt Index(which tracks gilt funds). Sixteen schemes were eligible for ranking in this category.

ICICI Prudential Gilt - Investment - PF Option and Kotak Gilt Investment Plan continued to bein the CRISIL~CPR 1 cluster, with ICICI Prudential Gilt - Investment - PF Option continuing totop the category for the seventh consecutive quarter, while Kotak Gilt Investment Planmaintaining its rank for the second consecutive quarter. Both schemes were helped by a higherSRS score, which has a 75 per cent weightage in the ranking criteria. On the portfolio front,Kotak Gilt Investment Plans average maturity fell to around 4 years in March 2010 from 4.5years in December 2009. ICICI Prudential Gilt - Investment - PF Options average maturity fellto 1.57 years in March 2010 from 12 years in December 2009.

The CRISIL~CPR 2 cluster consisted of four schemes namely, DSP BlackRock Govt Sec Fund,ICICI Prudential Gilt Investment, ICICI Prudential Gilt - Treasury - PF Option AAPP andTempleton India G-Sec Fund - Long Term Plan. ICICI Prudential Gilt - Treasury - PF Option AAPP jumped one notch from the previous quarter, while all others maintained their ranks.Good scores on asset quality and a relatively good SRS score helped all schemes in this cluster.DSP BlackRock Government Securities Fund performed relatively well on all the parametersconsidered. Meanwhile, average maturity of all ranked schemes in the category fell to 2.2 yearsin March 2010 as compared to 7.17 years in December 2009 as yields hardened.


34/44


Average Maturity in Years (Gilt Funds)

0

2

4

6

8

10

12

14

16

Mar-08

Apr-08

May-08

Jun-08

Jul-08

Aug-08

Sep-08

Oct-08

Nov-08

Dec-08

Jan-09

Feb-09

Mar-09

Apr-09

May-09

Jun-09

Jul-09

Aug-09

Sep-09

Oct-09

Nov-09

Dec-09

Jan-10

Feb-10

Mar-10

Years

CRISIL~CPR rankings

Gilt - Long category - quarter ended March 31, 2010



35/44


Balanced schemes

In the balanced schemes category, 19 schemes were eligible for ranking. HDFC Prudence Fundand Reliance Regular Savings Fund Balanced occupied the top cluster of CPR~1. RelianceRegular Savings Fund Balanced topped for the fourth consecutive quarter while HDFCPrudence Fund maintained its rank for the second consecutive quarter.

HDFC Prudence Fund performed well on the SRS parameter, which had 75 per cent weightagein the rankings. The scheme had 67 stocks in its equity portfolio, accounting for around 75 percent of the March 2010 AUM. ICICI Bank, Bank of Baroda and State Bank of India were topequity holdings with over 3 per cent exposure. The top equity gainers in the schemes portfolio

were Ahmednagar Forgings with 85 per cent gains over the quarter followed by Apollo TyresLimited (45 per cent) and Zydus Wellness (40 per cent). There were six new entrants over thequarter, forming around 4 per cent of the March 2010 portfolio; this included around 1.5 percent exposure in debt instruments. Key equity holdings among them were National ThermalPower Corporation Ltd, Brigade Enterprises Ltd and Tube Investments of India. On theindustry front, banks had the highest exposure of over 18 per cent of AUM, followed byfinancial institution (11.5 per cent exposure) and pharmaceuticals with around 7 per centexposure each as of March 2010.

Reliance Regular Savings Fund Balanced performed well on the SRS parameter, which has a75 per cent weightage, as well as on the equity liquidity parameter. The schemes equityportfolio comprised 26 stocks, forming 64 per cent of the March 2010 portfolio, and including 3.6

per cent exposure in stock futures. The scheme had highest exposure in stocks of RelianceInfrastructure at around 4 per cent of AUM, followed by Power Finance Corporation (3.9 percent) and Zee Entertainment Enterprises (3.5 per cent of the AUM). The top quarterly equitygainers for the scheme were Aventis Pharma (up 6.3 per cent), United Spirits (5 per cent) andZee Entertainment Enterprises (up 4.6 per cent). There were 18 new entrants over the quarter,which accounted for 61 per cent of the portfolio, including 39 per cent in debt instruments and3.6 per cent in stock futures. At the industry level, the schemes highest sectoral exposure wasin Banks (29 per cent), financial institutions (20 per cent) and IT (8 per cent).

The average equity holding of all ranked schemes in this category remained same at around 69percent as of March 2010.

Four schemes, Birla Sun Life 95 Fund, DSP BlackRock Balanced Fund, HDFC Balanced Fundand Tata Balanced Fund, constituted the CPR~2 cluster. All of them maintained their ranks fromthe previous quarter given consistent performance in the Superior Returns Score parameter.


36/44


CRISIL~CPR rankingsBalanced category - quarter ended March 31, 2010



37/44


Consistent CPR performers

Consistency in performance is imperative for an avid investor, and is usually centrally factoredinto all investment decisions. The Consistent CPR Performer category evaluates schemes forconsistency in performance over a specified time period. The rankings seek to highlight schemesthat have turned in the most consistent risk-adjusted performance as well as a superiorperformance on the CRISIL~CPR over the last 5 years, and act as complementary inputs to theexisting ranking categories. The rankings for the Consistent CPR Performers have been includedunder the equity, balanced, debt and liquid categories.

The Consistent CPR Performer Equity category saw one new entrant - UTI Master Value Fund.

CRISIL~CPR rankings

Consistent CPR Performer: Equity - quarter ended March 31, 2010



38/44


CRISIL~CPR rankingsConsistent CPR Performer: Debt - quarter ended March 31, 2010


CRISIL~CPR rankings

Consistent CPR Performer: Balanced - quarter ended March 31, 2010



39/44


CRISIL~CPR rankingsConsistent CPR Performer: Liquid - quarter ended March 31, 2010



40/44


Annexure I - Category definition for CRISIL~CPR categoriesNote: Only open-ended schemes are eligible for the selection criteria under thefollowing categories:

General equity category

Schemes that predominantly invest in equity instruments (excluding hybrid schemes) areclassified under this broad category. The schemes with the following features will beexcluded from the ranking universe:

Schemes not open to investors at large and open only to a specific set of investors.

Schemes whose offer document permits dynamic asset allocations, where the normalasset allocations for both debt and equity components could vary between 0 and 100per cent. However, upon receipt of an undertaking from the AMC, assuringpredominant investment in equity, the scheme will be considered for ranking.

Schemes for which there is a delay in receipt of portfolios from the fund house.

Schemes with a stated objective to predominantly invest in derivatives.

Schemes with dedicated mandate to invest in overseas equity markets.

All the other schemes will be filtered through the eligibility criteria. Eligible schemes arethen classified into the following sub-categories:

Large cap-oriented equity category

Large cap-oriented equity schemes have been defined as schemes that have at least 75 percent exposure in CRISIL-defined large cap stocks in the preceding 24 months. Large capstocks are defined for four blocks of 6 months each. Large cap-oriented schemes need tohave a minimum exposure of 75 per cent in these large cap stocks for a minimum of 4 out of6 months in each block. CRISIL-defined large cap stocks include the top 100 scrips, based on6-month daily average market capitalisation on the NSE as of the 6-month-ended September2008, March 2009, September 2009 and March 2010. The universe of large cap stocks and theschemes classification thereby would be reviewed every quarter. Exposure to Nifty futuresis considered as a large cap exposure.

Small and mid-cap-oriented equity category

Small and mid-cap-oriented equity schemes have been defined as schemes that have lessthan 45 per cent exposure in CRISIL-defined large cap stocks for the preceding 24 months.Large cap stocks are defined for four blocks of 6 months each. Small and mid-cap-orientedschemes need to have less than 45 per cent exposure in these large cap stocks for a minimum


41/44


of 4 out of 6 months in each block. CRISIL-defined large cap stocks include the top 100scrips, based on 6-month daily average market capitalisation on the NSE as of the 6-monthended September 2008, March 2009, September 2009 and March 2010. The universe of largecap stocks and the schemes classification thereby will be reviewed every quarter. Exposureto Nifty futures is considered as a large cap exposure.

Thematic Infrastructure equity category

This category comprises of schemes with investment objective to invest in infrastructure andrelated sectors. CRISIL defined infrastructure sectors are: Energy, Construction, IndustrialCapital Goods, Industrial Manufacturing, Metals, Cement & Cement Products, Services andTelecom.

ELSS

This category comprises schemes investing in equity and equity-related instruments, and isaimed at enabling investors to avail tax rebates under Section 80 C of the Income Tax Act.There is a statutory lock-in period of 3 years for investments in any ELSS scheme.

Diversified Equity category

The remaining eligible equity schemes will be ranked under this category.

Index category

Index schemes, for the purpose of CRISIL~CPR ranking, are defined as schemes launchedwith an objective to generate returns that are commensurate with the performance of theirbenchmarks TRI, subject to tracking errors. These schemes are managed passively, withinvestments in stocks in a proportion that is as close as possible to the weightages of thesestocks in their benchmark indices. The investment strategy would revolve around reducingthe tracking error to the least possible through regular rebalancing of the portfolio, takinginto account the change in weights of stocks in the benchmark index as well as theincremental collections/redemptions in the scheme. Open-ended exchange traded funds(ETFs), whose objective is to realise returns that, before expenses, closely corresponds to thereturns of securities as represented by their benchmark index, would also form a part of theindex scheme ranking universe. However, index schemes with the following features will beexcluded:

Index schemes whose objective is to invest a majority of their net assets in the samestocks and weightage proportion as their benchmark index, and the remainingamount of their net assets in stocks which do not form a part of their benchmarkindex.

Index schemes that allow the fund manager to take overweight investment positionson stocks that comprise their benchmark index.

Index schemes having sectoral indices as benchmarks.


42/44


Balanced category

Schemes investing more than 60 per cent, but less than 80 per cent, of the AUM in equitysecurities, and 20-40 per cent in long-term bonds/government securities will be ranked asbalanced schemes. Speciality schemes with the above asset allocation but having a specialfocus such as children, pension, unit-linked insurance, young citizens, charity, andretirement, would not be considered.

MIP category

Those schemes, where investment into equity is restricted to a maximum of 30 per cent andgenerally declare monthly dividends are classified under this category.

MIP - Aggressive: Schemes wherein the objective limits investment in equity

securities to 15-30 per cent of the corpus.

MIP - Conservative: Schemes wherein the objective limits investment in equitysecurities to up to 15 per cent of the corpus.

Debt - Long category

This category comprises schemes that predominantly invest in long-term corporate debtpapers and government securities (G-Secs). These schemes also invest in short-term andmoney market securities. However, the following exceptions are made in the selection

criteria:

Schemes investing 60 per cent or more in G-Secs will not be included in the peers forthe Income category.

Debt - Short term category

This category comprises schemes that predominantly invest in short term corporate debtpapers, CDs, money market and G-Secs.

Gilt - Long category

This category includes schemes that predominantly invest in long-term securities issued byCentral and state governments, including government securities and T-bills, of varyingmaturities, with a view to generating credit risk-free return. Schemes offering pension andinvestment options with distinct portfolios will be ranked separately.


43/44


Liquid category

Liquid fund schemes and plans of mutual funds have the following characteristics withregard to their portfolio:

Constituted of money market instruments and short-term debt instruments with aresidual maturity of up to 91 days.

Schemes offering sweep options, and the like, would not be included.

Depending on the minimum investment amount disclosed in the offer documents, liquidfunds are further classified into:

Retail - Minimum investment less than Rs 1 million

Institutional - Minimum investment from Rs 1 million, but less than Rs 50 million

Super Institutional - Minimum investment of more than Rs 50 million

Ultra short term debt category

Schemes that are named as ultra short term debt schemes are considered under this

category. Upon receipt of an undertaking from the AMC, assuring positioning of the schemeas ultra short term debt, schemes positioned as ultra short term debt schemes will beconsidered for ranking if the risk-return characteristics for that scheme is in line with therisk-return characteristics for the peer set.

Based on the minimum investment amount disclosed in the offer documents, the ultra shortterm debt funds are further classified into:

Retail - Minimum investment less than Rs 1 million

Institutional - Minimum investment from Rs 1 million, but less than Rs 50 million

Super Institutional - Minimum investment of more than Rs 50 million

Consistent CPR performers

This category comprises schemes that have rankings in all quarterly CRISIL~CPRs over the5-year timeframe as on the date of the rankings.

Note: While the above classification will be the guide in selection and creation of peers forthe purpose of ranking, CRISIL will be free to take a subjective call on theinclusion/exclusion of a scheme from among the peers in a ranking category.


44/44

Note: An entity wishing to use the CRISIL~CPR rankings in its prospectus / offer document /

advertisement / promotion/ sales literature, or wishing to re-disseminate these rankings, may do

so only after obtaining the written permission of the ranking entity, CRISIL FundServices,

CRISIL Limited.

DISCLAIMER: CRISIL has taken due care and caution in compilation of data for this analysis.

Information has been obtained by CRISIL from sources, which it considers reliable. However,

CRISIL does not guarantee the accuracy, adequacy or completeness of any information and is

not responsible for any errors or omissions or for the results obtained from the use of such

information. CRISIL especially states that it has no financial liability whatsoever to the users of

this report. Neither CRISIL, nor any director, employee or representative of CRISIL can accept

liability for any direct or consequential loss arising from the use of this data.

For the methodology log on to www.crisil.com or www.crisilfundservices.com

For further details on CRISIL Composite Performance Ranking (CRISIL~CPR), please contact:

Vinaya Dongre / Deepak Mittal

CRISIL FundServices

CRISIL Limited

CRISIL House, 8th Floor,

Central Avenue,

Hiranandani Business Park

Powai,

Mumbai- 400 076, IndiaTel: +91 (22) 3342 8025 / 3342 8031 / (B) 3342 3000

Fax: +91 (

crisil cprstory mar 2010

Documents