Mahindra Manulife Arbitrage Fund

Investment Objective

The investment objective of the Scheme is to generate income by predominantly investing in arbitrage opportunities in the cash and derivatives segment of the equity market and the arbitrage opportunities available within the derivative segment and by investing the balance in debt and money market instruments. However, there can be no assurance that the investment objective of the Scheme will be achieved.

Stated Asset Allocation

Equity & Equity related instruments including Equity Derivatives *: 65% - 100%Debt Instruments through exposure in Certificate of Deposits, government securities with maturities up to 1 year, Overnight Debt Securities and units of mutual funds: 0% - 35%Exchange Traded Commodity Derivatives (ETCDs)@, Gold ETFs and Silver ETFs: 0% - 20% If the arbitrage opportunities in the market are not available / negligible or returns are lower than alternative investment opportunities as per the allocation pattern, then the Fund Manager may choose to follow an alternate asset allocation, keeping in view the interest of the unitholders. In such defensive circumstances, the asset allocation of the Scheme will be as per the below table:Equity & Equity related instruments including Equity Derivatives *: 0% - 65% Debt Instruments through exposure in Certificate of Deposits, government securities with maturities upto 1 year, Overnight Debt Securities and units of mutual funds^: 35% - 100% ETCDs@, Gold ETFs and Silver ETFs: 0% - 20% ^ units of Liquid Fund, Money Market Fund, or mutual fund schemes having Macaulay duration less than 1 year for meeting liquidity and margin requirements. * The Scheme will use derivatives (including index futures, stock futures, index options and stock options) as part of the arbitrage strategy of the Scheme and subject to guidelines issued by SEBI from time to time. The exposure to derivatives shown in the above asset allocation table shall be a hedged exposure taken against the underlying equity investments i.e. in case the Scheme shall have a long position in a security and a corresponding short position in the same security in a different segment, then the exposure for the purpose of asset allocation will be counted only for the long position, in terms of Clause 13.18 of the SEBI Master Circular. The margin money deployed on derivative positions would be included in permissible Debt instruments category as specified in the SID of the Scheme. The total exposure related to option premium paid shall not exceed 20% of the net assets of the Scheme.Note: For detailed Asset Allocation please refer Scheme Information Document of the Scheme available on our website www.mahindramanulife.com

Exit Load

An exit load of 0.25% is payable if Units are redeemed / switched-out on or before completion of 30 days from the date of allotment of Units; Nil - If Units are redeemed / switched-out after completion of 30 days from the date of allotment of Units. Redemption /Switch-Out of Units would be done on First in First out Basis (FIFO).

Fund Managers

FM-1 Mr. Navin MattaFM-2 Mr. Manish LodhaFM-3 Mr. Rahul Pal

FM- 1 PrimaryFM-2 ComanageFM-3 Comanage