Edelweiss Long Term Equity

Fund (TAX SAVING)

ELSS

Equity Linked Savings Scheme commonly known as (ELSS)

One of the better investment options available for saving tax. Amount invested under

this scheme is invested in equity & equity related instruments

Objective of the scheme is to generate long-term capital appreciation with an option of

periodic payouts at the end of the lock-in periods from a portfolio that invests

predominantly in equity and equity related instruments

ELSS has historically provided better returns compared to other tax saving options

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What is Equity Linked Savings Scheme?

AS PER CHANGE IN TAXATION LAWS, CAPITAL GAINS IN ELSS ARE

TAXED@ 10% FOR GAINS IN EXCESS OF RS 1 LAKH ONLY

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Comparison with other Tax Saving Options

ParticularsPublic

Provident Fund

National Saving

Certificate (NSC)

Tax Saving Term

Deposit with Bank

Unit Linked Insurance

Plan (ULIP)

Equity Linked Savings Scheme

(ELSS)

Lock-in Period 15 Years 5-10 Years 5 Years 5 Years 3 Years

MIN Investments

(Rs)500 100 10,000

Premium Dependent

500

Max Investment

for 80C Benefit (Rs)

1,50,000 1,50,000 1,50,000 1,50,000 1,50,000

Returns (%) Yearly

Fixed Fixed FixedMarket Linked

Market Linked

Taxation of Income

Tax Free Taxable TaxableVariable as per IT Laws

Taxable

ELSS - PRUDENT INVESTMENT CUM TAX SAVING OPTION

Tax Free Gains – Profits on redemption of units i.e. Long term capital gains in excess of

Rs. 1 Lakh are taxed at 10% & exempt for amount less than Rs. 1 Lakh

Lesser lock-in period – Compared to traditional investment avenues like PPF, NSC, etc.

under Sec 80C of the Income Tax Act, ELSS has shortest lock-in of 3 Years

Better Return Potential – ELSS invest a large part of it corpus in equities which have a

higher probability to build wealth over long term

Income Tax Benefit – Investment made in ELSS schemes are eligible for tax deduction

from the taxable income under Sec 80C of the Income Tax Act, 1961

Key advantages of investing in ELSS

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IF PLANNED PROPERLY, ELSS CAN HELP YOU SAVE THOSE BUCKS

ELSS helps in saving considerable amount of taxes

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Annual Taxable Income

(Rs)

Applicable Tax Rates

(%)

Tax before Investments in

ELSS (Rs)*

Max amount to invest in

ELSS(Rs)

Taxable Income

post ELSS Investments

(Rs)

Tax afterinvestments

in ELSS (Rs)

Savings

2,50,000 0 - 1,50,000 1,00,000 - -

5,00,000 10 25,750 1,50,000 3,50,000 10,300 15,450

10,00,000 20 128,750 1,50,000 8,50,000 97,850 30,900

15,00,000 30 283,250 1,50,000 13,50,000 236,900 46,800^

*Includes cess @ 4%

^An investor can save upto Rs 46,800 if he/she falls under highest tax bracket

HOW RS 10,000 INVESTED EVERY YEAR SINCE MARCH 2000 IN

ELSS HAS GIVEN DOUBLE RETURNS IN COMPARISON TO PPF

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ELSS VS. PPF

Period End Amount Invested PF Return Nifty 50 TRI

March 2000 Rs 10,000 Rs 10,000 Rs 10,000

March 2001 Rs 10,000 Rs 21,200 Rs 22,920

March 2002 Rs 10000 Rs 33,532 Rs 27,372

March 2003 Rs 10000 Rs 46,718 Rs 37,337

March 2004 Rs 10000 Rs 60,922 Rs 42,953

March 2005 Rs 10000 Rs 75,796 Rs 90,004

March 2006 Rs 10000 Rs 91,860 Rs 115,572

March 2007 Rs 10,000 Rs 109,208 Rs 206,490

March 2008 Rs 10,000 Rs 127,945 Rs 246,066

March 2009 Rs 10,000 Rs 148,181 Rs 317,878

March 2010 Rs 10000 Rs 170,035 Rs 215221

March 2011 Rs 10000 Rs 193,638 Rs 387,254

March 2012 Rs 10000 Rs 219,129 Rs 445,132

March 2013 Rs 10000 Rs 247,974 Rs 418,723

March 2014 Rs 10000 Rs 279,976 Rs 465,256

March 2015 Rs 10000 Rs 314,138 Rs 565,846

March 2016 Rs 10000 Rs 349,583 Rs 735,247

March 2017 Rs 10000 Rs 387,899 Rs 687,719

March 2018 Rs 10000 Rs 418,931 Rs 836,334*

*There is no guarantee that

the performance will be

replicated in coming years

Edelweiss Long Term Equity

Fund (TAX SAVING)

THE OBJECTIVE OF THE SCHEME IS TO

GENERATE LONG TERM CAPITAL APPRECIATION

WITH AN OPTION OF PERIODIC PAYOUTS AT THE

END OF THE LOCK IN PERIODS FROM A

PORTFOLIO THAT INVESTS PREDOMINANTLY IN

EQUITY AND EQUITY RELATED INSTRUMENTS.

Our Investment Objective & Strategy

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Strategy -• Identifying compounding businesses from the

universe of large, mid and small cap stocks• No compromise on quality- higher degree of due

diligence• Aim to benefit from both sources of return

• Compounding of earnings• Valuation re-rating

Scheme Information

Scheme Open Ended Scheme

Inception Date 30th Dec 2008

Fund Manager Harshad Patwardhan

Benchmark Nifty 500 TR Index

Standard Deviation 14.53%

Beta 0.95

Data as on 31st Jan 2019

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Portfolio Allocation Strategy

Strategic Allocation

• Buy and hold kind of a Approach.•Compounding Business•Proven track record over long periods•Structural growth story with a high quality business & management.

Option

•Business offering potentially Large scale-up opportunity•Typically has a higher degree of risk.•Have a 1 or 0 kind of a payoff

Defensive

•It is a position that is more of a defensive posture•Protecting from any probable market downside

4.52%

9.23%

Tactical

•Business in cyclical industry•Well Levered to the upturn•Bought and sold depending on the phase of the cycle and valuations

63.43%

22.82%

Data as on 31st Jan 2019

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Current Portfolio Snapshot

Fund Facts

Top 10 Holding (%) 43.95%

Net Equity 93.49%

Turn over Ratio (Only Equity)

1.22

Top 10 Active Bets

Stock % Holding

HDFC Bank Ltd. 8.69%

ICICI Bank Ltd. 5.56%

Infosys Ltd. 5.56%

Housing Development Finance Corp Ltd. 4.73%

Reliance Industries Ltd. 4.20%

Axis Bank Ltd. 3.99%

Larsen & Toubro Ltd. 3.10%

State Bank of India 2.88%

Hindustan Unilever Ltd. 2.69%

Kotak Mahindra Bank Ltd. 2.56%

Data as on 31st Jan 2019

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Current Portfolio Snapshot

Asset Allocation

Equity Cash and Other Receivables

0.00% 5.00% 10.00%15.00%20.00%25.00%30.00%

Banks

Finance

Consumer Non Durables

Software

Construction Project

Petroleum Products

Consumer Durables

Pharma

Industrial Goods

Chemicals

Sector Allocation

Percentage Allocation

Data as on 31st Jan 2019

Fund Performance

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Edelweiss Long Term Equity Fund (Tax Saving)

Period*

Scheme – Regular PlanBenchmark

(Nifty 500 TR Index)Additional Benchmark

(Nifty 50 TR Index)

ReturnValue of Rs.

10000 invested

ReturnValue of Rs.

10000 invested

ReturnValue of Rs.

10000 invested

1 Year -11.20% 8,880 -5.95% 9,405 -0.35% 9,965

3 Years 9.20% 13,031 13.80% 14,753 14.20% 14,910

5 Years 13.90% 19,174 15.15% 20,256 13.61% 18,930

Since Inception

15.77% 43,850 15.77% 43,858 15.01% 41,007

Different plans shall have different expense structure. The performance details provided herein are of Regular Plan of Edelweiss Long Term EquityFund (Tax Savings). Returns are for Growth Option only. In case the start/end date is non business day, the NAV of previous day is used forcomputation. The scheme is currently managed by Mr. Harshad Patwardhan (managing this fund from September 18, 2017). Standard Deviation &Sharpe Ratio are annualized. Please click on http://edelweissmf.com/Download/factsheet.aspx for performance of other funds managed by fundmanager. Performance as on 31st Jan 2019.

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True-to-Label – Bill Board

AUM (Rs. Crore) 77.68Top 10 Stocks (%) 43.95

Active Management

45% of the portfolio is away from the

benchmark.

Market Cap

Well Diversified

• 59 Stocks• 10 Sectors

Data as on 31st Jan 2019

Only Equity (Excluding Cash)

Large Cap Mid Cap Small Cap

Important Parameters

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Scheme Details

Categories ELSS

Investment Objective The primary objective of the scheme is to generate long-term capital appreciation with anoption of periodic payouts at the end of lock-in periods, from a portfolio that investspredominantly in equity and equity related instruments. However, there is no assurance thatthe investment objective of the Scheme will be realized and the Scheme does not assure orguarantee any returns.

Benchmark NIFTY 500 TRI

Options Available Growth and Dividend (Default Option : Growth)

Facilities (Under Dividend Option)

Payout and Sweep Facility (Default - Dividend Payout)

Minimum Application Amount

Minimum of Rs. 500 and in multiples of Rs. 500/- thereafter

Minimum Additional Investment Amount

Minimum of Rs. 500 and in multiples of Rs. 500/- thereafter

Minimum Redemption Amount

For Edelweiss ELSS Fund Minimum Redemption Amount can be Re.1/- or any number ofunits. For demat transactions, minimum redemption would be mandatorily 50 units.3 years lock-in period would commence from the date of allotment of the Units.

Entry Load NIL

Exit Load NIL

CHIEF INVESTMENT OFFICER – CIO EQUITY, EDELWEISS ASSET

MANAGEMENT L IMITED

HARSHAD PATWARDHAN

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With education from IIT/IIM, CFA charter and 25 years of industry experience, meet our CIO Equities – Mr. Harshad Patwardhan. Harshad was the CIO Equities at JPMorgan Asset Management for over a decade and continued as the CIO Equities of Edelweiss Asset Management after the schemes changed hands in the year 2016. He’s responsible for long only equity mutual funds at Edelweiss Asset Management Limited.

When not occupied with work, he loves to swim or read about a wide range of topics. His resilience to come out of difficult times has been an inspiration to many.

He has worked for 12 years on the sell side with various MNC brokerage firms and has been a rated research analyst by several large & prominent FIIs. He believes that the first-hand experience of covering stocks/sectors and interacting with experienced fund managers has been extremely valuable for his investment management career.

Disclaimer

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This document is intended for Distributors Only. This document is for information purposes and private

circulation only and is not an offer to sell or a solicitation to buy any mutual fund units / securities or to have

business relations with Sponsor/ AMC/ Trustee Company and its associates or Edelweiss Mutual Fund. These

views alone are not sufficient and should not be used for the development or implementation of an investment

strategy.

Mutual Fund investments are subject to market risks, read all scheme related documents carefully.

All opinions, figures and estimates included in this document (unless as specified in the document) are as of this date and are subject to change without notice. It should not be construed as investment advice to any party. Neither Sponsor/ AMC/ Trustee Company and its associates nor Edelweiss Mutual Fund or any person connected with it, accepts any liability arising from the use of this information. Utmost care has been exercised while preparing the document, and Sponsor/ AMC/ Trustee Company and its associates or Edelweiss Mutual Fund does not warrant the completeness or accuracy of the information and disclaims all liabilities, losses and damages arising out of the use of this information. The recipient of this material should rely on their investigations and take their own professional advice. Investment decisions of the AMC may not always be profitable.