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The following summary outlines the various provisions related to investments by
Non-Resident Indians ('NRI's'), Persons of Indian Origin ('PIO s') and Foreign Institutional
Investors ('FII s') in the Schemes of the Mutual Fund and is based on the relevant
provisions of the Income-tax Act, 1961 (the 'Act'), regulations issued under the
Foreign Exchange Management Act, 1999 and the Wealth-tax Act, 1957 (collectively
called 'the relevant provisions'), as they stand on the date of this abridged Offer
Document.
The following information is provided for general information only. However, in
view of the individual nature of the implications, each investor is advised to consult
with his or her own tax advisors / authorized dealers with respect to the specific
tax and other implications arising out of his or her participation in the schemes.
Purchase Applications
1. NRI s and other overseas investors can invest in a Mutual Fund
Schemes on Repatriable /Non-Repatriable basis as per the provisions of Schedule
5 of the Foreign Exchange Management (Transfer or Issue of Security by a Person
Resident Outside India) Regulations, 2000 (the 'Regulations') as explained below.
A Common Application Form duly completed together with cheques or bank drafts should
be remitted through Investor Service Centres ('ISC').
2. All Cheque/demand drafts accompanying the application form
must be made in favour of "Selected Mutual Fund - Scheme Name" and crossed "A/c
payee" only and should be made payable at a city where the application is accepted
by the Mutual fund ISC or any Karvy ISC.
3. Once an account is opened the investor may purchase additional
units by filling-up the Common Application Form or by simply filling in the account
number in the application form and mailing the same to a Mutual FUND ISC, along
with the cheque or the bank draft.
Repatriable Basis - NRI s, PIO s
In case of NRI's, PIO's seeking to apply for purchase of units on a repatriable
basis, payments may be made by way of inward remittances, or by way of cheques drawn
on the NRE/FCNR Account of the investor [Clause 3(2) of the Regulations] payable
at the city where the application form is accepted by any Mutual Fund ISC.
Non-Repatriable Basis - NRI s, PIO s
In case of NRI s/PIO s seeking to apply for units on a non-repatriable basis, payments
may be made by way of inward remittances, or by way of cheques/demand drafts drawn
on the NRE/FCNR/NRO account of the investor [Clause 3(3) of the Regulations], payable
at the city where the application form is accepted by any Mutual Fund ISC.
FII Investors
FII s may pay for their subscription amounts out of funds held in Foreign Currency
Account or Non-resident Rupee Account maintained in a designated branch of an authorized
dealer [Clause 3(1) of the Regulations]. Payments may be made by way of cheques
payable at a city where the application is accepted by any Mutual Fund ISC.
Similarly, in case of an application made under a Power of Attorney or by an FII,
the original Power of Attorney (or a duly notarized certified true copy thereof),
or the relevant resolution/authority to make the application, along with a certified
copy of the Memorandum and Articles of Association and/or bye laws and Certificate
of Registration should be submitted to the nearest ISC. The officials should sign
the application under their official designation.
The NRI s/PIO s/FII s shall also be required to furnish such other documents as
may be desired by the Fund in connection with the investment in the Schemes.
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