Quantum Equity Fund of Funds

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Quantum Equity Fund of Funds

• Fund Investing. Simplified
• NFO Opens - 26-June-09
• NFO Closes - 13-July-09
• Researched by PersonalFN, a division of Quantum
  Information Services Pvt. Ltd

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Statutory Details, Scheme Particulars, and Risk
Factors

• Investment Objective The investment objective of
  the scheme is to generate long-term capital
  appreciation by investing in a portfolio of
  open-ended diversified equity schemes of mutual
  funds registered with SEBI.
• Asset Allocation - 90-100 in equity schemes of
  mutual funds 0-10 in money market instruments
• Terms of Issue The scheme is an open-ended fund
  of funds scheme offering Growth, and Dividend
  \Plans. The units can be subscribed /redeemed at
  the applicable NAV, subject to applicable load,
  on all business days during the continuous offer.
  
• Entry Load Nil.
• Exit Load 1.5 within 1 year from the date of
  allotment
• Statutory Details Quantum Mutual Fund (the Fund)
  has been constituted as a Trust under the Indian
  Trusts Act, 1882.
• Sponsor Quantum Advisors Private Limited.
  (liability of Sponsor limited to Rs. 1,00,000/-)
• Trustee Quantum Trustee Company Private Limited.
  
• Investment Manager Quantum Asset Management
  Company Private Limited (AMC). The Sponsor,
  Trustee and the Investment Manager are
  incorporated under the Companies Act, 1956.
• Risk Factors Investments in mutual funds are
  subject to market risks including uncertainty of
  dividend distributions and the NAV of the schemes
  may go up or down depending upon the factors and
  forces affecting the securities markets and there
  is no assurance or guarantee that the objectives
  of the scheme will be achieved. The past
  performance of the Sponsor has no bearing on the
  expected performance of the scheme.
• Quantum Equity Fund of Funds is the name of the
  scheme and does not in any manner indicate either
  the quality of the Scheme, its future prospects
  or returns.
• Scheme specific risk The scheme is the first
  fund of funds (FOF) scheme being launched by the
  AMC. The AMC has no previous experience in
  managing FOF schemes. The scheme proposes to
  invest predominantly in the diversified equity
  schemes of Mutual Funds, registered with SEBI.
  Hence the schemes performance will depend upon
  the performance of the underlying schemes. Any
  change in the investment policies or the
  fundamental attributes of the
• underlying schemes may affect the
  performance of the scheme.
• Please read the Scheme Information Document
  before investing. SID/Key Information
  Memorandum/Application Form available at the
  Quantum AMC Office at 107, Regent Chambers,
  Nariman Point, Mumbai-400021.
  
  
  

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• Convinced about Indias Long term growth
  prospects
• But
• Confused about which equity mutual funds to buy

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Too many choices.
38 All Mutual Funds
(277) Total Equity Funds
(193) Diversified Equity Funds
(55) Sector/Thematic Funds
(29) Index Funds
(652) Plans / Options
Source Crisil, AMFI
WHICH IS THE BEST SUITED FOR YOU?
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You could end up in the wrong fund in the short
term
Source Crisil Fund Analyzer, AMFI Data till
5th June 09
Returns Range (-53) to (25) Funds with below
average returns 84/193
The probability of choosing a poor performing
fund is high
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even in the long run
Return Range (-20) to (35) Funds with below
average returns 72/150
Source Crisil Fund Analyzer, AMFI Data till
5th June 09
The probability of choosing a poor performing
fund is high
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Fund Investing. Simplified

• The advice from a broker/ distributor / wealth
  manager could be
• Biased
• Unsuitable for you
• Complex
• Cumbersome
• Expensive
• There is a Simpler option Invest in the
  Quantum Equity Fund of Funds

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Quantum Equity Fund of Funds

• Invests in equity mutual funds.
• Identifies schemes and fund houses worthy of your
  investment.
• Reduces the risk of selecting the wrong funds.
• Reduces the hassles of making multiple
  investments.
• Is a one-stop solution for your Investments into
  mutual funds

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The Quantum Equity Fund of Funds..

• Is an Equity oriented mutual fund of funds scheme
• Investing in 5-10 diversified equity funds
• Researched by PersonalFN, a division of Quantum
  Information Services Pvt. Ltd.
• Using a proprietary quantitative and qualitative
  research and selection process
• Simplifying the way you invest in mutual funds

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Invest in Quantum Equity Fund of Funds

• To reduce manager selection risk which fund
  house?
• To reduce scheme selection risk which equity
  scheme?
• To benefit from proven research expertise and
  risk control
• To invest in the best performing funds
• To diversify across fund management styles
• To invest without paying Entry Loads and
  distributor commissions
• To invest without bias fund house bias,
  distributors bias

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The Fund Selection Process

• Quantitative Criteria
• To select funds with consistent performance
• To avoid risk of Portfolio concentration
• To strike a balance between risk and return
• Qualitative criteria
• Adherence to the Investment Objective of the
  scheme
• Investment strategy, style and process
• Fund management and research team
• The funds will be researched by PersonalFN, a
  division of Quantum Information Services Pvt.
  Ltd.

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Diversified Equity Funds With a Track Record
Equity Funds Universe (277)
Funds Disqualified (84)
No Sector Index Funds
Diversified Equity Funds (193)
Less than 3 year (80)
Diversified Equity Funds with a 3-Yr track
record (113)
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A Diversified portfolio with Superior Return
Diversified Equity Funds with a 3-Yr track
record (113)
Analyze the top holdings for concentration risk
Funds Disqualified (33)

• Quantitative Ranking
• Consistency bias
• (80)

Select Funds with a diversified portfolio and
superior returns (29)
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Qualitative Portfolio Assessment
Selected list of funds 29
Apply Qualitative criteria
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Portfolio Construction

• Minimum number of funds in a portfolio - 5
• Maximum number of funds in a portfolio - 10
• Funds with a 3-Yr track record
• - Not more than 20 holding in a single fund.
• - Not more than 40 of the portfolio.
• Funds with a 5-Yr track record
• - Less than 25 holding in a single fund.
• Minimum investment in any single fund - 10 of
  the portfolio.

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Portfolio and Fund Review

• Monthly review of chosen funds
• Quantitative Performance Ranking
• Portfolio Characteristics
• Adherence to mandate
• Qualitative assessment - Meet fund managers
  atleast once every 6 months
• Create and monitor a pool of investible funds
• Re-balancing to be done every month
• Portfolio Funds not meeting the criteria to be
  given 6 months cooling period

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Profit with Process

• Returns over 1-Yr are compounded annualized.
• The Portfolio is a notional portfolio of equal
  weighted allocation to the Top 10 recommended
  funds.
• The Portfolio returns are calculated based on
  the performance of those funds on a 1 year and 3
  year basis.
• The returns are on historical basis and notional
  in nature and in no way indicates that the
  Quantum Equity Fund of Funds will generate such
  returns.
• Source Crisil Fund Analyzer, Data till 5th
  June, 2009

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Some Drawbacks / Risks
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Scheme Details
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Invest in the Quantum Equity Fund of Funds

• A diligently chosen long term equity funds
  portfolio
• With a well-researched process of scheme
  selection
• With all the risk controls on investing
• An aggregated holding of your investments
• A one-stop solution for all your long term equity
  mutual fund investments
• Fund Investing. Simplified

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About PersonalFN

• Division of Quantum Information Services.
• Specializes in Financial Planning and Research.
• Comprehensive financial solutions.
• Team of competent advisors to provide
  personalized, honest and unbiased advice.
• Fee based, therefore not commission driven.

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Quantum - An established Investment Manager
Research and Sub-Advisory for FII clients
Domestic Investors
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A Very Respected Global Client BaseThe
biggest global investors have trusted us for
their India asset allocation across equity,
fixed income and real estate

by geographical location of client Canada
2 Continental Europe
1 Switzerland 3 UK 1 USA 3
by charter of client College Endowment
2Pension 3 Foundation 1Family
Trust 1Insurance Company 1Private
Banks 2
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Board of DirectorsQuantum Trustee Company
Private Limited

• Jagdish Capoor
• Chairman of HDFC Bank Ltd and Bombay Stock
  Exchange (BSE)
• Former Deputy Governor of the Reserve Bank of
  India, Former Chairman of Unit Trust of India and
  the Deposit Insurance and Credit Guarantee
  Corporation of India.
• Hormazdiyaar Vakil
• Partner, Mulla Mulla Craige Blunt Caroe
  Advocate and Solicitor, Supreme Court of England
• Satish Mehta
• Former CEO of CIBIL Indias first Credit Bureau
  and Former President, Financial Infrastructure
  and Credit Bureaus - Dun and Brad Street SAME
  Ltd.
• Suresh Lulla
• MD of Qimpro Consultants Private Limited -
  focused quality management Consultancy.

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Board of DirectorsQuantum Asset Management
Company Private Limited

• Ajit Dayal
• President Chairman Quantum AMC CEO CIO of
  QIEF Management LLC
• Mahesh Vyas
• MD CEO of CMIE provider of reliable economic
  data in India.
• C. Srinivasan
• Ex-Director, Finance of BHEL - manufacturer and
  supplier of power equipment.
• I. V. Subramaniam, CFA
• CIO of Quantum Advisors Pvt. Ltd.- SEBI
  registered Portfolio Manager.

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Talk to us!

• To invest or to know more contact
• Arvind Chari, Fund Manager (91-98208-95207) or
  Arvind_at_QuantumAMC.com
• Harshad Chetanwala, AVP - Sales (91-93203-44998)
  or Harshad_at_QuantumAMC.com
• Toll Free Number 1800 - 22 3863 or
  Info_at_QuantumAMC.com
• To Invest Online Visit www.QuantumAMC.com