1. How to achieve Goals in Life

2. Let us begin with a little quiz 25 Years What is the Average Age when one starts Earning?

3. What is the Average Retirement Age? 60 Years

4. Rs.15,000/- p.m. What is an Average Income of an Middle-Class House-hold?

5. Rs.5,000/- p.m. How much can a person save on a regular basis?

6. If a person can save Rs.5,000/- per month What will be his wealth when he retires? Assuming: He increases his investments by 5% every year Invests in an Asset class that gives returns of 20%

7. At Age 60 his wealth would have been Rs.27 Crores

8. Creating Wealth is Easy We can all be Wealthy THE TRUTH

9. Start Saving Early The longer you save, the more you make Save in the Right Asset Class This will dictate how much wealth you create … Save Regularly Even a small amount saved regularly, is good How can you create wealth?

10. 4.90 Crores* 27 Crores* 40 years 25 years60 years RamShyam Savings Starting Age2540 Savings - Monthly SIPRs.5,000/-Rs.15,000/- Saving Years till age 6035 years20 years Total Amount Saved (appx.) Rs.57 lacsRs.62 lacs Starting Early Give time to your investments rather than timing Assumptions: (a) Savings grows at 5% annually (b) Returns assumed at 20% CAGR Power of Compounding

11. Sensex Company Deposits Bank Deposits Inflation Gold Equity market (represented by BSE Sensex) has outperformed all other investment avenues Selecting Right Asset Class

12. In past 27 years BSE Sensex has given about 18% returns Past Performance (BSE Sensex) YearSensexInvestment Rs. 19791001,00,0000 200610,0001,00,00,000 This is in spite of … Two wars At least three major financial scandals Assassination of 2 prime ministers At least 3 recessionary periods 10 different governments and An unfair share of natural disasters

13. 18.57% 0 / 13 Equities: Not Risky in Long Run

14. Twin Benefits of Investing Regularly Disciplined Investing through Systematic Investment Plans (SIPs) is the ideal way to reduce risk Rupee Cost Averaging Average Purchase cost will be less Automatic Timing At higher prices – less units At lower prices – more units Rising Market Falling Market MarketUnits PurchasedMarketUnits Purchased Save Regularly

15. You do an SIP of Rs.10,000 per month Total Amount Invested Mutual Fund Equity Schemes BSE Sensex Invt. Value Ann. Returns Invt. Value Ann. Returns During last 5 yearsRs. 6 lacs18.64 lacs47.0913.96 lacs34.93 During last 10 yearsRs.12 lacs89.94 lacs37.8930.65 lacs17.92 Past Performance (SIP) Performance of Systematic Investment Plans (SIPs) in Mutual Fund Equity oriented schemes Also Equity Mutual Funds have outperformed Sensex, as shown above Figures are as on 30 th June 2006. For MF SIP performance for 5 year & 10 years around 30 and 5 large schemes respectively, have been considered. Mutual fund investments are subject to market risks. Past performance may or may not be sustained in future. Please read the offer document offer investing.

16. “We do not need to be wealthy to be an investor …But we can be wealthy if we are investors” The Right way to create wealth … Buying potential big winning stocks Successfully timing the markets Following Expert Advisors recommendations Saving a lot of money Wealth can be successfully created if we just follow the three basic principles... Starting early and saving for long Investing in the right asset class Investing Regularly – big or small Wisdom X X X X

17. Child Marriage We all have goals in life like… Car Child Education Dream House Using the Wisdom

18. We can direct our savings in such a manner that we achieve our goals, the way we wish DISCIPLINED SAVINGS + SUFFICIENT TIME + RIGHT ASSET CLASS = GOAL ACHIEVEMENT

19. Penetration of Financial Products Investor Base Across Various Financial Products 240 16 40 17 110 15 1.5 0 50 100 150 200 250 Banking Credit Cards Debit Cards Mutual Funds Life Insurance General Insurance Online Trading Penetration of Mutual Funds is very low … Going forward, the opportunity is big … Source: www.rbi.org.in www.irdaindia.org www.sebi.gov.inwww.rbi.org.in www.irdaindia.org Customers in millions

20. Few people have been exposed to the idea & advantages of mutual funds and even fewer actually invest in mutual funds, because of lack of adequate no. of advisors *Figures are approx. *for House Holds savings Low Penetration MeasureUSIndia Rupees invested in Mutual Funds out of 100 > 30< 2 MF Industry size as % size of economy (GDP) 83%6% Total size / value of MF industry (Rs. Lac Crores) > 469> 3.4 Opportunity to offer such products to clients … Every person can be a customer !!

21. In past 28 years Equities have outperformed all asset classes giving over 19% returns (BSE Sensex) every year, making every 1 Re. grow 130 times. Last 28 Years - Over 18% Annual Returns IndexRs. 1st April 19791001 Lac 1st April 200713,072130 Lacs Mutual Fund Equity schemes have delivered very attractive returns in last 5 years, giving over 39% returns annually Excellent Past Performance

22. Mutual Fund Equity schemes have delivered very attractive returns in last 5 years, giving over 39% returns annually Opportunity for you to offer your clients with such equity-related products for long-term wealth creation Scheme Name3 Years 5 Years 7 Years 10 Years Average of Diversified Mutual fund Schemes 35.1739.3219.7229.66 BSE 30 (Sensex)32.7630.1714.7113.96 NSE 5029.2327.4113.9914.33 No. of Diversified Schemes considered 3323178 Excellent Past Performance

23.  Superior earnings for Mutual Funds V/s Other products Assuming 2% upfront 0.30% trail in MF, 4% upfront in Postal, 1% upfront on NSC & PPF and 20%, 10%, 5% for 1, 2 & subsequent years in Insurance Comparison (Rs. In Lacs) 15th Year20th Year25th Year30th Year Insurance9.5012.0014.5017.00 PPF / NSC1.502.002.503.00 Postal6.008.0010.0012.00 Mutual Funds10.7923.4048.83100.06 Sustainable Earnings Yearly mobilisation of 10 Lacs in each Insurance, PPF, NSC & Postal Schemes vs. only 1 Mutual Fund SIP of Rs.10 lacs (yearly) for 30 years For illustrative purpose only … Total Earnings for the Year

24. Professional Management Portfolio Diversification Reduction in Risk Choice of Products Flexibility and convenience Liquidity Transparency Low Transaction Cost MFs also offer great tax benefits : no long term capital gains on equity funds, tax free dividends & eligibility u/s 80C Mutual Funds – A Great Product Great product for investment, wealth protection, creation, preservation …

25.  Mutual Funds is suitable for any investor I. big or small, II. aggressive or conservative & III. long-term or short-term IV. with any investment objective  There are over 30 AMCs with hundreds of schemes for choice  You can offer any product / asset class of choice - equities (domestic & international), debt, gold, commodities, derivatives, etc Suitability for Any One

26.  For clarification and more details please dial -8986636047. 9031326165 or write to us on yourinvestment@rediffmailcom.  Contact for all types of Investment and Financial Advice  Sanchita Dey (ARN – 82297) N J Investments – 63285  Sanjeev Dey 9204065873 Thank you very much