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MFs - Arbitrage Funds - an excellent alternative beating NRE / NRO interest rates

Arbitrage Fund makes the most of the difference across markets by investing in cash and futures market in a diversified basket of equity & equity related instruments, derivative and debt and money market instruments in accordance with asset allocation pattern. Unlike NRE/NRO Fixed deposits Arbitrage funds can be liquidated any time or once a month in some cases. And moreover the dividends are totally TAX FREE and both the principal and dividend are fully & freely repatriable too.

Returns of Arbitrage Funds [ Gr. ] upto 1 yr. absolute & over 1 yr. annualized as on 29.08.2008
Arbitrage Funds	NAV	1 Month	3 Month	6 Month	1 Year
IDFC Arbitrage Fund - Plan A (Regular) - Growth	11.40	5.97	5.10	4.72	6.81
IDFC Arbitrage Fund - Plan B (I P) - Growth	11.50	6.47	5.60	5.23	7.34
IDFC Fixed Maturity Arbitrage Fund - S1 - Plan A - Growth	10.52	8.46	8.50	7.12	N.A
JM Arbitrage Advantage Fund - Growth	11.88	6.99	7.08	6.19	8.04
Kotak Equity Arbitrage Fund - Growth	12.49	7.35	6.55	5.51	7.55
Lotus India Arbitrage Fund - Growth	11.16	6.96	6.75	6.04	8.06
SBI Arbitrage Opportunities Fund - Growth	11.65	6.00	5.85	5.17	7.36

Comparative Income Analysis of RBI , NRE , NRO V/s Arbitrage Funds
Particulars	RBI Bonds	NRO Deposit	NRE Deposit	Std Chartered Arbitrage Fund	JM Arbitrage Adv. (Equity)	UTI Spread Fund
Investment by NRI	Not Permissible	Permissible	Permissible	Permissible	Permissible	Permissible
Repatriation	Not Applicable	Not Repatriable	Repatriable	Repatriable	Repatriable	Repatriable
Tenure	6 Yrs.	7 days -10 Yrs.	1to10 Yrs.	Short & Medium term 1 yr view	Short & Medium term 1 yr view	Short & Medium term 1 yr view
Risk	Low	Low	Low	Low to Moderate	Low to Moderate	Low to Moderate
Regulatory Status	Sovereign	Public Sector/Private	Public Sector/Private	Under SEBI Regulation	Under SEBI Regulation	Under SEBI Regulation
Lock in period and Liquidity	6 years	Usually 1 yr (ranging from 7days)	1 Yr.	1 month^ (monthly redeem)	1 months^ (mthl redeem)	6 months^ (mthl redeem)
Return (p.a.)	6.5%	3.5%to 9.25%	3.5% to 4.22%	Esti. Returns 7% TO 9%	Esti. Returns 7% TO 9%	Esti. Returns 7% TO 9%
Post Tax Returns (p.a.)	5.31%	3%-7.33%	3.5%- 4.27%	7% to 9%	7% to 9%	7% to 9%
Tax status Interest/Dividend	Taxable	Taxable	TAX FREE	TAX FREE	TAX FREE	TAX FREE
Tax rate	33.66%*	33.66%	Nil	Divi - NIL LT - NIL*** / ST - 11.22%	Divi - NIL LT - NIL*** / ST - 11.22%	Divi - NIL LT - NIL*** / ST - 11.22%
Notes : - Tax rate Includes 10% surcharge & 2% education cess ^ Subject to applicable Contingent Deferred Sales Charge (CDSC) for JM E&D Fund & exit load for JM Arbitrage Advantage Fund. * As applicable to investor in the highest tax bracket. For JM E&D Fund, short-term capital gains tax is 33.66% & the long term capital gains tax is 11.22% * For JM Arbitrage Adv. Fund, short-term capital gain tax is 11.22% & the long term capital gain tax is 0% ^^ Rate of Dividend Distribution Tax (DDT) NIL.

Fixed Maturity Plans [FMPs]

Salient Features

1 Initial investment is made in Indian Rupee Fixed Maturity Plan of leading Mutual Funds like Standard Chartered, Franklin Templeton Mutual Fund, Tata Mutual Fund and others.

02 The principal amount and fixed returns are both guaranteed.

03 The gains are taxed after indexation.

04 Annualized yield for NRI investor after tax ranges to 9.90 % to 10.10 %.

05 The Principal amount as also gains are fully repatriable.

2. Offers of said FMPs are open for few days only - presently upto 22nd of March. Again a set of FMP will be offered between 25th to 27th of March, wherein the rate of interest may vary.

3. If the offers find your interest, please contact us whereupon we will do the needful for placement of investment / deposit.

FMP Gains with Computation Of Indexation Benefit
		FMP 9%-Dividend		FMP 9%-Growth	Indexation
		Individual & HUF	Corporate	FMP 9%-Growth	Indexation
A	Purchase Price	100	100	100	100
B	Post Expenses Yield	9.00%	9.00%	9.00%	9.00%
C	Repurchase Price A=P*(1+R)^T	110.29	110.29	110.29	110.29
D	GAIN=C-A	10.29	10.29	10.29	10.29
E	INDEXED COST @5%	NA	NA	NA	105.00
F	INDEXED GAIN=C-E	NA	NA	NA	5.29
G	Tax Rate	14.16%	22.66%	11.33%	22.66%
H	Tax	1.28	1.90	1.17	1.20
I	Post Tax Gains	9.01	8.39	9.12	9.09
J	Value of Investment	109.01	108.39	109.12	109.09
K	Post Tax CAGR	8.76%	8.15%	8.87%	8.84%

welcome to - INDIA - the global investment destination -
Indian Equity Mutual Funds with Midas Touch

● Our Objective	:	Wealth creation and value addition to client's investments.
● Our Philosophy	:	creation of portfolios optimising by way of - minimum risks and maximum returns.
● Our Team	:	Qualified chartered accountants and mutual fund advisors.
● Our Style	:	Simplicity of personalised professional services as reflected in our strategies of : ● NO open ended NFOs as our research shows initial 3 to 6 months of investment NFOs languish. ● NO CHURNING nor profit bookings with every swing of the stock- market. ● Expertise of FEMA , TAX & MF Planning & portfolio Services from qualified professionals under one umbrella. ● And ofcourse the real advantage - nrimutualfunds.com is - being Independent Financial Advisors [ IFA ] senior executives are constantly available to you, not playing musical chairs - an attrition menace of the Industry.
● Our Services	:	As AMFI registered Corporate Mutual Fund Advisors, our services comprise of : ● Suggesting investment strategy balancing risks and returns suitably for each investor. ● Provide detailed Asset Allocation Plan [ AAP ] and opting for purchase averaging. ● Preparation of all necessary applications and other paper work being dispatched to investor for signatures ● Maintenance and reporting of portfolio on quarterly basis. ● Advising profit booking and/or switch from time to time & further reinvestment of sale proceeds on an ongoing basis. ● Advising tax matters and providing annual statement of Dividend and Gains.
● Your Security & Convenience	: :	All investments are made in name of the investor- under his own signature & as MF schemes are electronically linked to investor's notified bank account, error free transfers for investment & realization are ensured. The investor has only to sign the dotted line as completed application forms and necessary paper work is prepared and dispatched by our Office.
● Our Fees	:	As Mutual Fund Houses offer mobilization charges, investors are not required to pay any advisory or management fees.

To initiate Mutual Fund Investment & avail our Mutual Fund Portfolio Services, please provide

MF Equity Schemes & BSE, NSE, FTSE, Dow 1 / 2 / 3 Years Performance as on 30.09.2008
Rank	1 year - Gain		2 years - Gain		3 years - Gain
Rank	Fund Name	Gain %	Fund Name	Gain %	Fund Name	Gain %
1	Principal Focussed Advantage Fund	19.98%	Reliance Diversified Power Sector Fund	111.72%	Reliance Diversified Power Sector Fund	194.32%
2	Reliance Diversified Power Sector Fund	17.39%	IDFC Premier Equity Fund	73.05%	Tata Infrastructure Fund	115.94%
3	Jm Healthcare Sector Fund	15.91%	ICICI Prudential Infrastructure Fund	66.04%	DSP Merrill Lynch Top 100 Equity Fund	112.13%
4	Reliance Regular Savings Fund	14.98%	Reliance Banking Fund	59.54%	Sundaram BNP Paribas Select Focus	111.40%
5	Reliance Index Fund	12.29%	DWS Investment Opportunity Fund	54.10%	DWS Investment Opportunity Fund	109.48%
6	Uti Growth Sector Fund - Pharma And Healthcare	11.53%	Reliance Regular Savings Fund	52.27%	DWS Alpha Equity Fund	106.88%
7	Uti Wealth Builder Fund	10.19%	Principal Focussed Advantage Fund	49.29%	Reliance Regular Savings Fund	101.60%
8	Uti Long Term Advantage Fund	9.95%	Tata Infrastructure Fund	47.32%	HDFC Top 200 Fund	101.13%
9	ICICI Prudential Infrastructure Fund	9.35%	Reliance Growth Fund	46.19%	HDFC Growth Fund	100.69%
10	Uti - Spread Fund	8.54%	TATA Equity PE Fund	46.03%	Franklin India Growth Fund	100.68%
11	Lotus India Arbitrage Fund	7.86%	Uti Leadership Equity Fund	45.75%	DSP Merrill Lynch India T.I.G.E.R. Fund	98.50%
12	Jm - Arbitrage Advantage Fund	7.85%	HDFC Growth Fund	43.83%	Kotak 30 Equity Scheme	96.26%
13	Kotak Equity Arbitrage Fund	7.34%	DSP Merrill Lynch Technology.com Fund	43.70%	Kotak Opportunities	95.81%
14	Sbi Arbitrage Opportunities Fund	7.25%	Templeton India Equity Income Fund	42.77%	Jm Basic Fund	93.29%
15	IDFC Arbitrage Fund	7.05%	Franklin India Growth Fund	42.70%	ICICI Prudential Dynamic Plan	92.76%
16	DWS Investment Opportunity Fund	6.69%	Sundaram BNP Paribas Select Focus	42.32%	Birla Sun Life Frontline Equity Fund	92.73%
17	IDFC Premier Equity Fund	6.65%	Kotak Opportunities	42.05%	Reliance Index Fund - Sensex Plan\	91.59%
18	IDFC Arbitrage Fund	6.51%	DSP Merrill Lynch Top 100 Equity Fund	41.84%	Reliance Growth Fund	89.81%
19	Franklin Pharma Fund	6.12%	Sundaram BNP Paribas Tax Saver	40.30%	Uti Thematic Infrastructure Fund	89.55%
20	Uti Leadership Equity Fund	5.89%	Jm Basic Fund	39.88%	Principal Focussed Advantage Fund	87.58%
21	NSE	-2.94%	NSE	13.46%	NSE	27.23%
22	BSE Sensex	-4.92%	BSE Sensex	12.25%	BSE Sensex	8.16%
23	FTSE 100 - £	-10.58%	DOW JONES - $	0.71%	DOW JONES - $	3.38%
24	DOW JONES - $	-13.58%	FTSE 100 - £	-2.28%	FTSE 100 - £	2.14%

To initiate Mutual Fund Investment & avail our Mutual Fund Portfolio Services,
Pl. provide your details at : nrimf@femaonline.com