Welcome UTI - SIP

India Growth Story

India Financials – A Snapshot 1991 – Start Economic reforms in India GDP – US$278 billion 2001- GDP - US$473 billion 2007 – GDP Crossed US$1 trillion FY2010 – GDP US$1.3 trillion Grown more than US$ 300 billion in 3 years Expected to cross US$ 1.5 trillion* in 2011 And beyond US$ 2.5 trillion* by 2015 Absolute growth in 20 years i.e. from 1991 to 2010: 368% *Source: Projection based on OECD,IMF, UN, World Bank and CIA data

India Financials – A Snapshot (Contd..) Savings Rate – around 28% Young Population GDP Growth rate – Between 7-9% At this rate India GDP expected to be at $4.5 trillion very soon Per Capita now- $1017 Expected 2020- $3213

Indian Economy Long term : Bright prospects Demographics, Income growth & ‘India’ story Medium Term : Healthy Outlook India Inc. enjoys higher ROE’s compared to RoW

Healthy Savings

Savings – An Indian Religion 28% France 11.1% Household Savings Rate – A Comparison Germany 10.7% Indians are amongst the highest savers in the world Japan 6.3% UK 5.5% USA 1.4%

Individual Investor: Savings Profile Investors does not seem to use equities to create long term wealth

Inflation is the Enemy

Understanding Inflation Your ENEMY! Inflation Rate 8%* Rs. 10,000 today will be worth … Rs. 6,805 after 5 years… Rs. 4,631 after 10 years… Rs. 2,145 after 20 years… Rs. 993 after 30 years * 1 year average of inflation rates (July 2011)

Value of Money over time Impact of inflation on monthly expenses of Rs. 30,000 today Value of Rs. 100,000 over time 100,000 1,39,829 68,058 95,165 31,524 44,080 21,454 30,000 Today 5 years 15 years 20 years Today 5 years 15 years 20 years Inflation @ 8% Investors need to beat Inflation

Asset Classes

Performances of Various Asset Classes Cumulative annualized returns: 1982 to 2011 16.75% 9.37% 8.96% 6.75% 2.08% WPI Inflation Bank FD* BSE Sensex^ Growth Real Growth Equities outperform other asset classes over the long term Source: IIFL, Internal; *1-3 year deposit rate; ^excluding dividends; data as at end FY2011

The Downside Risk in Equities The Risk of Market Volatility Individual Investors are scared of… The Downside Risk in Equities The Risk of Market Volatility The Risk of Market Timing

Does Timing Work ?

Investing in the BSE Sensex – 25 years Market timing does not matter over the long term 16.90% 16.02% 15.07% Fixed investment at highest sensex value every year Fixed investment at lowest sensex value every year Fixed investment on 1st day of every month Data source: ICRA MFIE

Power of Compounding

The Power of Compounding: Illustration A Table Illustrating the power of compounding (Assumed rate of return: 12% p.a.) Monthly Investments (Rs.) 12% return per annum 5 years 10 years 15 years 20 years 25 years 2,000 1.65 Lakh 4.65 Lakh 10.09 Lakh 19.98 Lakh 37.95 Lakh 5,000 4.12 Lakh 11.62 Lakh 25.23 Lakh 49.96 Lakh 94.88 Lakh 10,000 8.25 Lakh 23.23 Lakh 50.46 Lakh 99.91 Lakh 1.90 Crore 15,000 12.37 Lakh 34.85 Lakh 75.69 Lakh 1.50 Crore 2.85 Crore 20,000 16.50 Lakh 46.47 Lakh 1.01 Crore 2.00 Crore 3.80 Crore 25,000 20.62 Lakh 58.08 Lakh 1.26 Crore 2.50 Crore 4.74 Crore 50,000 41.24 Lakh 1.16 Crore 2.52 Crore 5.00 Crore 9.49 Crore The above table is for illustration purpose only and not an indication of the performance of any of the schemes of UTI Mutual Fund. Calculations are based on assumed rate of return and actual return may be more, or less. Invest Systematically to Benefit from the Power of Compounding Source : Internal

The Power of Compounding: Illustration B Table Illustrating the power of compounding (Assumed rate of return: 15% p.a.) Monthly Investments (Rs.) 15% return per annum 5 years 10 years 15 years 20 years 25 years 2,000 1.79 Lakh 5.57 Lakh 13.54 Lakh 30.32 Lakh 65.68 Lakh 5,000 4.48 Lakh 13.93 Lakh 33.84 Lakh 75.80 Lakh 1.64 Crore 10,000 8.97 Lakh 27.87 Lakh 67.69 Lakh 1.52 Crore 3.28 Crore 15,000 13.45 Lakh 41.80 Lakh 1.02 Crore 2.27 Crore 4.93 Crore 20,000 17.94 Lakh 55.73 Lakh 1.35 Crore 3.03 Crore 6.57 Crore 25,000 22.42 Lakh 69.66 Lakh 1.69 Crore 3.79 Crore 8.21 Crore 50,000 44.84 Lakh 1.39 Crore 3.38 Crore 7.58 Crore 16.42 Crore The above table is for illustration purpose only and not an indication of the performance of any of the schemes of UTI Mutual Fund. Calculations are based on assumed rate of return and actual return may be more, or less. Invest Systematically to Benefit from the Power of Compounding Source : Internal

The Power of Compounding: Illustration C Table Illustrating the power of compounding (Assumed rate of return: 20% p.a.) Monthly Investments (Rs.) 20% return per annum 5 years 10 years 15 years 20 years 25 years 2,000 2.07 Lakh 7.65 Lakh 22.69 Lakh 63.23 Lakh 1.73 Crore 5,000 5.17 Lakh 19.12 Lakh 56.71 Lakh 1.58 Crore 4.31 Crore 10,000 10.35 Lakh 38.24 Lakh 1.13 Crore 3.16 Crore 8.63 Crore 15,000 15.52 Lakh 57.35 Lakh 1.70 Crore 4.74 Crore 12.94 Crore 20,000 20.69 Lakh 76.47 Lakh 2.27 Crore 6.32 Crore 17.25 Crore 25,000 25.86 Lakh 95.59 Lakh 2.84 Crore 7.90 Crore 21.57 Crore 50,000 51.73 Lakh 1.91 Crore 5.67 Crore 15.81 Crore 43.13 Crore The above table is for illustration purpose only and not an indication of the performance of any of the schemes of UTI Mutual Fund. Calculations are based on assumed rate of return and actual return may be more, or less. Invest Systematically to Benefit from the Power of Compounding Source : Internal

Rupee Cost Averaging

Benefit of SIP - Rupee Cost Averaging Takes the guesswork out of “timing” the market Involves investing a set amount of money at regular intervals over a long period of time You automatically buy more units when prices are lower and fewer units when prices are higher Month Amount Invested (Rs.) Purchase Price No. of units purchased 1 1000 10 100.00 2 9 111.11 3 4 11 90.91 5 12 83.33 6 7 8 125.00 Example for illustration purpose only Total Investment Rs. 12,000, total no. of units purchased 1206.82 Average cost per unit 9.94 < 10 Lower average cost per unit over time

Huge Opportunity

MF Penetration in India is very low Large untapped market MF Penetration in India is very low AUM to GDP Ratio less than 10% presently MF AUM to GDP Ratio for similar size economies around 20% If this happens in India – MF AUM likely to be 40 lakh Cr by 2020 from 7 lakh Cr presently .... Certainly looks Bright!!

SIP Returns

UTI SIP Returns UTI - DIVIDEND YIELD FUND UTI - MASTERSHARE SIP Returns as on 31st August 2011   Investment Amount ( Rs.) Investment Value Yield ( % ) Fund BSE 100 1 year 12000 11142 10433 -13.07 -23.37 3 years 36000 46553 40240 17.48 7.39 5 years 60000 86786 67318 14.77 4.56 since inception 75000 124212 94756 15.99 UTI - MASTERSHARE SIP Returns as on 31st August 2011   Investment Amount ( Rs.) Investment Value Yield ( % ) Fund BSE 100 1 year 12000 11025 10433 -14.77 -23.37 3 years 36000 42818 40240 11.63 7.39 5 years 60000 74038 67318 8.35 4.56 since inception @ 81000 118279 109764 11.06 8.88 UTI - OPPORTUNITIES FUND SIP Returns as on 31st August 2011   Investment Amount ( Rs.) Investment Value Yield ( % ) Fund BSE 100 1 year 12000 11474 10433 -8.06 -23.37 3 years 36000 47371 40240 18.72 7.39 5 years 60000 86422 67318 14.60 4.56 since inception 73000 113859 90056 14.48 6.83 Note : SIP returns are worked out assuming investment of Rs.1000/- every month at NAV per unit of the scheme as on the first working day for the respective time periods. The loads have not been taken into account. @ : Since inception return for above mentioned schemes is taken for the period Dec 2004 to July 2011 ( Since SIP facility was introduced in November 2004 ).

UTI SIP Returns UTI - EQUITY FUND SIP Returns as on 31st August 2011   Investment Amount ( Rs.) Investment Value Yield ( % ) Fund BSE 100 1 year 12000 11025 10433 -14.62 -23.37 3 years 36000 44728 40240 14.66 7.39 5 years 60000 79072 67318 11.00 4.56 since inception 81000 125721 109764 12.84 8.88 UTI - MASTER VALUE FUND SIP Returns as on 31st August 2011   Investment Amount ( Rs.) Investment Value Yield ( % ) Fund BSE 100 1 year 12000 11018 10383 -14.87 -24.07 3 years 36000 50147 40496 22.82 7.82 5 years 60000 87013 67585 14.87 4.71 since inception 81000 132141 108873 14.29 8.64 Note : SIP returns are worked out assuming investment of Rs.1000/- every month at NAV per unit of the scheme as on the first working day for the respective time periods. The loads have not been taken into account. @ : Since inception return for above mentioned schemes is taken for the period Dec 2004 to July 2011 ( Since SIP facility was introduced in November 2004 ).

What is in it for me ?

(including upfront + additional upfront as incentive + trail) What is in it for me ? If you do …. Monthly SIP Amount – Rs.10,000/- Tenure – 10 yrs. No. of SIPs you plan to do – 250 Expected rate of return – 15% Your earning per application – Rs.61,900/- Your total AUM will be – Rs. 68,81,79,689/- - Earnings of Rs. 1,54,75,010/- (including upfront + additional upfront as incentive + trail) The earnings figure is based on the assumption that if you do 250 SIPs of Rs.10,000/- monthly for tenure of 10 yrs. and if expected rate of return is 15% then the upfront commission + additional upfront commission as incentive + trail commission up to 10 yrs.

(including upfront + additional upfront as incentive + trail) What is in it for me ? If you do …. Monthly SIP Amount – Rs.10,000/- Tenure – 15 yrs. No. of SIPs you plan to do – 250 Expected rate of return – 15% Your earning per application – Rs.1,78,156/- Your total AUM will be – Rs.167,15,55,675/- - Earnings of Rs. 4,45,38,950/- (including upfront + additional upfront as incentive + trail) The earnings figure is based on the assumption that if you do 250 SIPs of Rs.10,000/- monthly for tenure of 15 yrs. and if expected rate of return is 15% then the upfront commission + additional upfront commission as incentive + trail commission up to 10 yrs.

Thank You