Established nearly 40 years ago, FIL Limited operates in markets outside the Americas.

The company and its

subsidiaries manage over $157.3 billion* for major institutions and millions of investors around the world.
Our investment approach
We believe that the reason for our success is our approach to investment. Fidelity encourages fund managers to
develop their individual flair, while basing every investment choice on the most rigorous research. We believe it's only
through first-hand contact - rather than relying purely on bought-in research - that we can fully evaluate an
investment's true potential. FIL Limited, together with our US affiliate, Fidelity Management & Research LLC, has an
unrivalled global team of nearly 1000 investment professionals that covers 95% of world market capitalisation.
Does our philosophy deliver?
Fidelity Mutual Fund has won awards which is indeed a recognition of our investment philosophy. Past performance
may or may not be sustained in future.
At Fidelity, we believe investors' interests are best served by true specialists. The independence we enjoy as a
privately owned company enables us to concentrate on creating funds that enable our clients to make wise
investment choices.
Fidelity has been investing in India for its global clients for more than ten years. In 2005, Fidelity launched its Indian
arm, FIL Fund Management Private Limited with its first mutual fund scheme, the Fidelity Equity Fund, a diversified
fund that invests across cap sizes and sectors.
A year later, it broadened the product range with four more funds: The Fidelity Tax Advantage Fund which offers
ELSS benefits, the Fidelity MultiManager Cash Fund* that combines best-of-breed cash funds in one fund, the
Fidelity India Special Situations Fund which offers investors the benefits of investing in unusual investing
opportunities and the Fidelity Flexi Bond Fund which is the higher income option to cash investments.
The Fidelity Cash Fund launched in November 2006, offers high liquidity, low risk and stable returns. The fund has a
Credit Risk Rating of mfA1+ which is the highest credit quality short-term rating assigned by ICRA to debt funds.
The Fidelity International Opportunities Fund launched in April 2007 invests in the best opportunities in the Indian and
international markets with a high focus on opportunities in Asia-Pacific region including India.
Fidelity launched two more funds in September 2007. The Fidelity India Growth Fund which invests in companies
with strong growth potential and the Fidelity Ultra Short Term Debt Fund has been assigned the Credit Risk Rating
mfA1+ by ICRA.
In the year 2008, we have further expanded our fixed income suite with the launch of Fidelity Flexi Gilt Fund and
Fixed Maturity Plan Series. The Fidelity Flexi Gilt Fund invests purely in government securities which carry no credit
risk while the Fidelity Fixed Maturity Plan Series offers a tax efficient alternative to fixed deposits.
The Fidelity WealthBuilder Fund, launched in January 2009, offers three wealth-building plans to match different risk
profiles with varying levels of equity and debt participation.
In keeping with our charter for India, Fidelity is committed to answering different customer needs with a diverse range
of investment options.
*Please note that this scheme has been merged with Fidelity Cash Fund wef July 10, 2009 and no fresh purchase/ switch-in
will be accepted in this scheme wef July 1, 2009. For further details, please click here.

Should you require any information, contact us or reach us at:

FIL Fund Management Private Limited
56, 5th Floor, Maker Chambers VI
220, Nariman Point, Mumbai - 400 021
Tel: 91 22 6655 4000
Fax: 91 22 6655 4200

Definitions of mutual fund on the Web:

• the pooled money that is invested in assets
• a regulated investment company with a pool of assets that regularly sells
and redeems its shares
wordnetweb.princeton.edu/perl/webwn
• A mutual fund is a professionally managed type of collective investment
scheme that pools money from many investors and invests it in stocks,
bonds, short-term money market instruments, and/or other securities. ...
en.wikipedia.org/wiki/Mutual_fund
• A diversified portfolio of securities invested on behalf of a group of
investors and professionally managed. Individual investors own a percentage
of the value of the fund represented by the number of units they purchased
and thus share in any gains or losses of the fund. ...
www.statcan.gc.ca/nea-cen/gloss/bp-eng.htm
• An open-end investment company.
www.forexrealm.com/forex-for-beginners/forex-glossary-m.html
• An investment company that pools the money of a large group of investors
and purchases a variety of securities to achieve a specific investment
objective.
https://www.scottstringfellow.com/ss/glossary.asp
• A mutual fund brings together money from many people and invests it in
stocks, bonds or other assets. The combined holdings of stocks, bonds or
other assets the fund owns are known as its portfolio. Each investor in the
fund owns shares, which represent a part of these holdings. ...
www.statefarm.com/learning/life_stages/retire/glossary.asp
• A professionally managed, diversified investment that enables investors to
pool money with other investors. ...
www.ivyfunds.com/jsp/index.jsp
• An open-ended fund operated by an investment company which raises
money from shareholders and invests in a group of assets, such as stocks,
bonds and money market instruments. ...
www.confidentstrategies.com/glossary.htm
• An investment company that continually offers new shares and buys
existing shares back on demand and uses its capital to invest in diversified
securities of other companies. Money is collected from individuals and
invested on their behalf in varied portfolios of stocks.
countrystudies.us/united-states/economy-12.htm
• Mutual funds are investment companies whose job it is to handle their
investors’ money by reinvesting it into stocks, bonds, or a combination of
both. Mutual funds are divided into shares and can be bought much like
stocks, allowing mutual funds to have a high liquidity. ...
www.pcjinvest.com/tools/glossary/
• An investment entity that pools shareholder or unit holder funds and
invests in various securities. The units or shares are redeemable by the fund
on demand by the investor. The value of the underlying assets of the fund
influences the current price of units.
www.benefits-plus.ca/definitions.php
 • A single account designed to create a diverse portfolio that may help to
reduce the risk of owning individual investments.
www.401kday.org/participants/glossary/english/default.aspx
• A pool of money invested by an investment company in a number of
securities like stocks, bonds, or government securities. Each mutual fund is
different in it's make-up and philosophy. ...
1stalliedsecurities.com/terms_m.html
• Ah the Mutual Fund- a near perfect way to diversify. A mutual fund is a
collection of stocks, from different companies, combined (or co-mingled)
together to provide one single investment. ...
• Schemes according to Maturity Period:
• A mutual fund scheme can be classified into open-
ended scheme or close-ended scheme depending
on its maturity period.
• Open-ended Fund
• An open-ended Mutual fund is one that is available
for subscription and repurchase on a continuous
basis. These Funds do not have a fixed maturity
period. Investors can conveniently buy and sell units
at Net Asset Value (NAV) related prices which are
declared on a daily basis. The key feature of open-
end schemes is liquidity.
• Close-ended Fund
• A close-ended Mutual fund has a stipulated maturity
period e.g. 5-7 years. The fund is open for
subscription only during a specified period at the time
of launch of the scheme. Investors can invest in the
scheme at the time of the initial public issue and
thereafter they can buy or sell the units of the scheme
on the stock exchanges where the units are listed. In
order to provide an exit route to the investors, some
close-ended funds give an option of selling back the
units to the mutual fund through periodic repurchase
at NAV related prices. SEBI Regulations stipulate that
 at least one of the two exit routes is provided to the
investor i.e. either repurchase facility or through listing
on stock exchanges. These mutual funds schemes
disclose NAV generally on weekly basis.
• Fund according to Investment Objective:
• A scheme can also be classified as growth fund,
income fund, or balanced fund considering its
investment objective. Such schemes may be open-
ended or close-ended schemes as described earlier.
Such schemes may be classified mainly as follows:
• Growth / Equity Oriented Scheme
• The aim of growth funds is to provide capital
appreciation over the medium to long- term. Such
schemes normally invest a major part of their corpus
in equities. Such funds have comparatively high risks.
These schemes provide different options to the
investors like dividend option, capital appreciation,
etc. and the investors may choose an option
depending on their preferences. The investors must
indicate the option in the application form. The mutual
funds also allow the investors to change the options
at a later date. Growth schemes are good for
investors having a long-term outlook seeking
appreciation over a period of time.
• Income / Debt Oriented Scheme
• The aim of income funds is to provide regular and
steady income to investors. Such schemes generally
invest in fixed income securities such as bonds,
corporate debentures, Government securities and
money market instruments. Such funds are less risky
compared to equity schemes. These funds are not
 affected because of fluctuations in equity markets.
However, opportunities of capital appreciation are
also limited in such funds. The NAVs of such funds
are affected because of change in interest rates in the
country. If the interest rates fall, NAVs of such funds
are likely to increase in the short run and vice versa.
However, long term investors may not bother about
these fluctuations.
• Balanced Fund
• The aim of balanced funds is to provide both growth
and regular income as such schemes invest both in
equities and fixed income securities in the proportion
indicated in their offer documents. These are
appropriate for investors looking for moderate growth.
They generally invest 40-60% in equity and debt
instruments. These funds are also affected because
of fluctuations in share prices in the stock markets.
However, NAVs of such funds are likely to be less
volatile compared to pure equity funds.
• Money Market or Liquid Fund
• These funds are also income funds and their aim is to
provide easy liquidity, preservation of capital and
moderate income. These schemes invest exclusively
in safer short-term instruments such as treasury bills,
certificates of deposit, commercial paper and inter-
bank call money, government securities, etc. Returns
on these schemes fluctuate much less compared to
other funds. These funds are appropriate for
corporate and individual investors as a means to park
their surplus funds for short periods.
• Gilt Fund
 •These funds invest exclusively in government
securities. Government securities have no default
risk. NAVs of these schemes also fluctuate due to
change in interest rates and other economic factors
as is the case with income or debt oriented schemes.
• Index Funds

• Index Funds replicate the portfolio of a particular

index such as the BSE Sensitive index, S&P NSE 50

index (Nifty), etc These schemes invest in the
securities in the same weightage comprising of an
index. NAVs of such schemes would rise or fall in
accordance with the rise or fall in the index, though
not exactly by the same percentage due to some
factors known as "tracking error" in technical terms.
Necessary disclosures in this regard are made in the
offer document of the mutual fund scheme. There are
also exchange traded index funds launched by the
mutual funds which are traded on the stock
exchanges.
What Are Mutual Funds?

A simple concept, a smart investment.

What is a mutual fund?

A mutual fund is an
investment that pools
together multiple stocks,
bonds, and other securities
to perform as one
investment.
How do they work?

Mutual funds combine money

from many investors and
place the money in either
stocks, bonds, other
securities, or a combination
of the three. They are
managed by a professional
portfolio manager who
actively adjusts the funds'
portfolio to try to increase
their value.
Why should I invest in mutual
funds?

Mutual funds can offer

investors the advantages of
diversification and
professional management for
those who do not have the
time nor expertise to do it
themselves. Over 80 million
Americans currently invest in
mutual funds today.
How much do I need to get
started?

Open a Fidelity retirement

account for as little as $200
per month. Or start a Fidelity
non-retirement account for
just $2,500. Remember,
there are no account fees.
Money Market Funds

What are money market funds?

Money market funds invest in Treasury bills, certificates of

deposit, and other stable, short-term investments. They
help investors reach short-term financial goals because
they usually deliver a fixed, modest return over a short
period of time. Similar to bond funds, money market funds
are sometimes referred to as "fixed-income" funds. Money
Market funds can be a smart place to invest your cash.

Why invest in money market funds?

If you're looking for a conservative, comparatively safe

investment, this may be the one. Money market funds are
a smart way to balance out aggressive investments held in
your portfolio. They help turn capital into steady income,
and they can give you easy access to your money if you
ever need it. However, past performance is no guarantee
of future results.

Investor Profile

• Investment goals have a short time horizon.

• Low tolerance for risk or looking to diversify with a
more conservative investment.
• Might be looking to generate fixed income.
• Needs investment to be liquid.

An investment in a money market fund is not insured or

guaranteed by the Federal Deposit Insurance
Corporation or any other government agency.
Although the fund seeks to preserve the value of your
investment at $1.00 per share, it is possible to lose
money by investing in the fund.
Bond Funds

What are bonds?

Bonds are debt issued by corporations or state and local

governments. The buyer of a bond is paid interest on
that debt as well as return of principal on the bond’s
maturity date. Bonds are sometimes referred to as
“fixed-income” investments because every year they
should deliver a predefined interest payment, in the
form of dividends, with minimal risk as compared to
equities.

What are bond funds?

Bond funds are mutual funds that invest primarily in

bonds. There are many categories of bond funds,
including those that invest across multiple types of
bonds, as well as specialized funds that focus only on
certain sectors of the bond market.

Why invest in bond funds?

Bond funds can be a great way to balance out a

portfolio that may be heavy in more aggressive
investments, like international stock funds. Because the
equity and bond markets do not move in lockstep with
each other, bond funds have the potential to decrease
overall portfolio volatility. Also, the income generated
from some bonds can be exempt from federal and state
income taxes.

Investor Profile

• Looking for steady growth potential.

• Low tolerance for risk or looking to diversify with a
more conservative investment.
• Wants to generate income or preserve capital.

In general, the bond market is volatile, bond prices rise

when interest rates fall and vice versa. This effect is
usually pronounced for longer-term securities. Any
fixed income security sold or redeemed prior to
maturity may be subject to a substantial gain or loss.
Domestic Stock Funds

What is a domestic stock fund?

Stock represents ownership interest in a company. And

domestic stock funds consist of stocks of companies based
in the United States. Stock investments have the potential
to deliver high returns. However, with that potential there
may also be some risk.

Why invest in stock funds?

Stock funds can give investors a diversified portfolio for a

low initial investment, plus the added advantage that
comes with professional investment management. They
also offer the potential for a high return. That's why stock
funds can be such an integral part of portfolios with long-
term investment goals, like retirement.

Investor Profile

• Tolerance for risk.

• Looking to build a diversified portfolio.

• Long-term investment timeline.

International Funds

What are international stock funds?

Like domestic stock funds, international stock funds invest

in companies. However, international stock funds primarily
invest in the common stocks of companies based in
overseas markets.

Why invest in international stock funds?

These days, we live in a truly global economy. Invest

solely in domestic stock funds, and your portfolio may be
missing out. For many investors, international funds can
be a good way to diversify their existing portfolios.
Investor Profile

• Higher risk tolerance. Find out more about the

risks of international investing.
• Comfortable with price volatility.

• Looking to further diversify a portfolio.

How to Evaluate Funds

Helping to make sure a fund is right for you.
To make sound investment decisions, you need to know your way around a
fund detail page on this site. A fund detail page holds valuable information. Roll
your mouse over a highlighted section for a better understanding of what it's
telling you.