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Page 1: Invest in Mirae Asset Global Commodity Stocks Fund€¦ · Salient features o India’s first Global Commodity ... Emerging Market funds, Mirae Asset India leverages ... Mirae Asset

Invest in Mirae Asset Global Commodity Stocks Fund

(An open ended equity fund)

Commodities touch every aspect of our life, whether it is about consumable commodities like sugar, onion, wheat or precious metals like silver, gold or indirect consumption in terms of steel, aluminum used in cars, refrigerators etc. For most of us, the word ‘commodity’ resembles rising prices, inflation etc., however, there is another side to commodities, the investment side.

Page 2: Invest in Mirae Asset Global Commodity Stocks Fund€¦ · Salient features o India’s first Global Commodity ... Emerging Market funds, Mirae Asset India leverages ... Mirae Asset

COMMODITY AS AN ASSET CLASS

More and more prudent investors today are leveraging on the negative correlation between commodities and equities. While India still needs to catch up on this asset class, it is only a matter of time that investments in commodities will gain larger share of the Indian retail investor’s wallet.

BENEFITS

l Correlation among different commodities - Commodities display low or no correlation amongst themselves. The below table helps you to gauge the correlation in an easy way.

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Correlation between Metal & Agricommodities

0.21 0.33 0.15 0.26 0.17 0.31 0.45 0.24 0.77 0.53 0.45 0.66 0.20 0.37 0.21

Correlation between Energy & Agricommodities

0.01 0.04 0.16 0.12 0.02 0.30 0.27 0.18 0.68 0.54 0.33 0.55 0.40 0.24 0.14

Correlation between Energy & Metal 0.07 0.06 0.16 0.10 0.22 0.33 0.51 -0.01 0.71 0.66 0.76 0.70 0.34 0.39 0.27

Correlation between Gold & Energy 0.04 0.02 0.01 0.05 0.07 0.31 0.46 0.35 0.37 0.18 0.38 0.39 0.26 0.39 0.02

Source: Bloomberg, 31st December, 2014

l Diversified asset class - commodities are diversified asset classes each of the major sector having its own driver as summarized below:

o Precious metals - are acknowledged for their safe haven status and a momentum in the economic activity boosts their prices.

o Base metals - increased infrastructure development and rising industrial production propels the prices of base metals.

o Agriculture and livestock - shorter price cycles and supply issues create a upsurge in this sector.

o Energy and transportation - demand and supply imbalances is the key driver.

Why Mirae Asset Global Commodity Stocks Fund?

Salient features

o India’s first Global Commodity

Stocks Fund

(Source: www.amfiindia.com)

o Primarily invests in commodity related stocks in Asia Pacific and emerging markets thus offering investors a global investment opportunity and diversification benefits.

o Geographical and sectoral diversification - Leverage on commodity plays across countries & thus seek to reduce risks

o Mirae Asset’s Expertise : Mirae Asset Financial Group has considerable experience in managing Asia Pacific and Emerging Market funds, Mirae Asset India leverages this advantage while managing the fund by seeking non-binding advisory services from Mirae Asset Global Investments (Hong Kong) Ltd.

South Korea

Page 3: Invest in Mirae Asset Global Commodity Stocks Fund€¦ · Salient features o India’s first Global Commodity ... Emerging Market funds, Mirae Asset India leverages ... Mirae Asset

Marketcap*

Large Mid Small

Growth

Blend

Value

Sty

le

* The Fund positioning may be changed by Fund Manager, in accordance with the market scenario

WHAT IS MIRAE ASSET GLOBAL COMMODITY STOCKS FUND?Mirae Asset Global Commodity Stocks Fund is a unique fund that invests in stocks of companies that are directly or indirectly engaged in commodity and commodities related sectors / subsectors / industries. The fund also focuses on companies located in Asia Pacific & Pacific and Emerging Markets given that these locations are rich in commodity reserves.

INVESTMENT STYLEl Actively Managed Portfolio.

l Global Companies with Large cap Bias.

l Absolute Return Bias.

INVESTMENT DETAILSNature of the Scheme An open ended equity fund

Investment Objective

The investment objective of the scheme is to generate long term capital appreciation through an actively managed portfolio investing in equity and equity related securities of companies that are engaged in commodity and commodities related sectors / sub sectors / industries, with at least 65% of the corpus invested overseas in Asia Pacific and Emerging Markets. There is no assurance or guarantee of returns

Benchmark S&P Pan Asia Large Midcap Commodity & Resources Capped Index

Fund Managers Gopal Agrawal & Bharti Sawant (Overseas Investment)

Inception date August 20, 2008

Investment Options

Regular and Direct Plans with Growth & Dividend Options Minimum Investment: 5,000/- (multiples of Re.1/- thereafter)Systematic Investment Plan (SIP):Minimum 6 installments (monthly) Rs.1,000/- (multiples of Re.1/ - thereafter)Minimum 4 installments (quarterly) Rs.1,500/- (multiples of Re. 1/- thereafter)

Load Structure

Entry load : NilExit load : If redeemed within 6 months (182 days) from the date of allotment - 2.00%.

If redeemed after 6 months (182 days) but within 1 year (365 days) from the date of allotment - 1.00%. If redeemed after 1 year (365 days) from the date of allotment - NIL.

PRODUCT LABELLINGName of the Scheme These products are suitable for investors who are seeking*

Mirae Asset Global Commodity Stocks Fund (MAGCSF)

l long-term capital appreciation

l Investment in equity and equity related securities of companies that are engaged in commodity and commodities related sectors / sub sectors / industries, with at least 65% of the corpus invested overseas in Asia Pacific and Emerging Markets.

l High Risk (BROWN)

*Investors should consult their financial advisers if in doubt about whether the product is suitable for them.

Note: Risk is represented as:

(BLUE) investors understand that their principal will be at low risk

(YELLOW) investors understand that their principal will be at medium risk

(BROWN) investors understand that their principal will be at high risk

Leaflet is dated as 29th April, 2015. The fund features may undergo a change from time to time and for more details please visit www.miraeassetmf.co.in

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

Mirae Asset Global Investments (India) Pvt. Ltd. CIN of AMC - U65993MH2006FTC165663

Unit No. 606, 6th Floor, Windsor Building, Off C.S.T. Road, Kalina, Santacruz - Mumbai - 400 098.

(9.00 am to 5.30 pm)