Birla Sun Life Commodity Equities Fund - NFO

Name of theScheme Birla Sun Life Commodity Equities Fund
Structure An Open Ended Growth Scheme
Investment Objective
An open-ended Growth Scheme with the objective to offer long term growth of capital, by investing in
(1) stocks of commodity companies, i.e., companies engaged in or focusing on or benefiting from the specified commodity business and/or
(2) scheme(s), that invest predominantly in commodity linked stocks. If and when allowed by the regulator, the Fund may also invest in commodity derivatives or such mutual fund Schemes that invest in commodity derivatives.

These securities could be issued in India or overseas.

Issue Open: 15th Sept, 2008

Issue Closes: 14th Oct, 2008

Plans

• Birla Sun Life Commodity Equities Fund - Global Energy Plan
• Birla Sun Life Commodity Equities Fund - Global Precious Metals Plan
• Birla Sun Life Commodity Equities Fund - Global Agri Plan
• Birla Sun Life Commodity Equities Fund - Global Water Plan
• Birla Sun Life Commodity Equities Fund - Global Multi Commodity Plan
• Birla Sun Life Commodity Equities Fund - India Multi Commodity Plan
Each Plan shall have a Separate Portfolio. BSLAMC shall have full discretion to decide the date of launch of each Plan offered under the Scheme.

Options
The Scheme will have Retail and Institutional Options with a common portfolio. Each Option will have Dividend and Growth sub options. Dividend sub option shall have Payout, Reinvestment and Sweep facility. Default sub option / facility - Growth Option / Dividend Reinvestment.

Liquidity
The scheme being offered through this Offer Document is an open ended Scheme. The Scheme will offer for purchase/switch-in and redemption/switch-out of units at NAV based prices on every Business Day on an ongoing basis, commencing not later than 30 days from the closure of NFO Period. The Mutual Fund shall dispatch the Redemption proceeds within 10 working days from the date of acceptance of the Redemption request.

Flexibility
The Mutual Fund will allow investors the flexibility to switch their investments from any other scheme(s)/ plans offered by the Mutual Fund to Birla Sun Life Commodity Equities Fund during the New Fund Offer period (subject to completion of lock-in period, if any, of the units of the scheme(s) from where the units are being switched) subject to applicable loads, if any.

Minimum Application Amount
Retail Plan: Minimum of Rs. 5,000/- and in multiples of Re. 1/- thereafter during the NFO period and ongoing basis.
Institutional Plan: Minimum of Rs. 5,00,00,000/ and in multiples of Re. 1/- thereafter during the NFO period and ongoing basis.

Minimum Additional Application Amount
Retail Plan: Minimum of Rs. 1,000/- and in multiples of Re 1/- thereafter on an ongoing basis.
Institutional Plan: Minimum of Rs. 10,000/- and in multiples of Re 1/- thereafter on an ongoing basis.

Minimum Redemption Amount
In Multiples of Re. 1/-

Minimum Target Amount to be raised
Rs. 1,00,00,000/- during the New Fund Offer Period.

New Fund Offer Price
Rs. 10/- per unit for cash plus applicable entry load.

Transparency
The AMC will calculate and disclose the first NAVs of the scheme not later than 30 days from the closure of New Fund Offer Period. The NAV of the Scheme will be calculated up to four decimal places on all business day and released to the Press, News Agencies and the Association of Mutual Funds of India (AMFI). NAVs will also be displayed on the Website of the Mutual Fund.
As presently required by the SEBI Regulations, a complete statement of the Scheme portfolio would be published by the Mutual Fund as an advertisement in a newspaper within one month from the close of each half year (i.e. March 31 & September 30) or mailed to the Unit holders.

Repatriation Facility
NRIs, FIIs and PIOs may invest in the scheme on a full repatriation basis.

Taxation (as per applicable Tax Laws)
As per the present tax laws, the income distributed by the Scheme is exempt in the hands of investors. Units of the Scheme are not subject to Wealth Tax and Gift Tax. There will also be no tax deduction at source on redemption irrespective of the redemption amount for resident investors.

Benchmark Index
There will be different benchmark index for Global and Indian Plans.
All the Global Plans (i.e. Global Energy Plan, Global Water Plan, Global Precious Metals Plan, Global Agri Plan and Global Multi Commodity Plan) will be benchmarked to MSCI World. However, India Multi Commodity Plan will be benchmarked to BSE 200. The fund reserves the right to change the benchmark for evaluation of the performance of the scheme from time to time, subject to SEBI Regulations and other prevailing guidelines if any.

Entry Load
For Purchase / Switch-in of units less than Rs. 3 crores in value: 2.50%.
For Purchase / Switch-in of equal to / greater than Rs. 3 crores but less than Rs. 5 crores in value: 1%.
For Purchase / Switch-in of units equal to greater than Rs. 5 crores in value: Nil.

Exit Load
For Repurchase / Switch out of Units of less than Rs. 5 crores in value, an Exit load of 1.00% is payable if units are Re-deemed / Switched out
within 1 year from the date of allotment.
For Repurchase / Switch out of Units equal to or greater than Rs. 5 crores in value, no exit load is payable.

For our analysis, please visit www.vjondalalstreet.com/mf.php