Alfalah GHP Principal Protected Fund

Investement Objectives
Future Benifits
Term Sheet of Fund

Alfalah GHP Principal Protected Fund (AGPPF)

Looking for peace of mind, while seeking higher potential returns without risking your capital amount ? Then look no further than Alfalah GHP Principal Protected Fund (AGPPF)

Investment Objectives

Investment Objective Alfalah GHP Principal Protected Fund aims at protecting investor capital through an investment structure by placing significant percentage of the Initial Funds Size as bank deposit(s) with scheduled commercial bank(s) having minimum long term investment grade rating of AA to ensure the principal protection of the Initial Invested Value till the end of the Minimum Period and uses the remaining funds to gain exposure into equity, money or fixed income securities or any other SECP permissible instrument(s) that the management feels would be appropriate to optimize return.

Top

Features & Benefits Classes

Fund to be managed by Alfalah GHP Investment Management Limited.
The investor’s initial investment amount to be provided 100% Capital Protection by Bank Alfalah Limited at maturity.
Fund has tenure of 2 years & six months.
Fund provides investors the possibility of earning returns over invested capital linked to the stock market but at the same time protecting original investment.
Unit Offer Price at Rs. 50/- (Par Value).
Minimum investment of Rs. 5,000/-
Tax rebate benefit of up to Rs. 60,000 for individual investors.

Top

Term Sheet of the Funds Classes

Nature of the Fund

Open end Fund

Name of the Fund

Alfalah GHP Principal Protected Fund (AGPPF)

Asset Manager

Alfalah GHP Investment Management Limited (Rating AM3 by PACRA)

Trustee

Muslim Commercial Financial Services (Pvt.) Ltd (MCFSL)

Listing

Karachi Stock Exchange (Guarantee) Limited

Auditors

KPMG Taseer Hadi and Co.

Capital Protection By

Bank Alfalah Limited (Long term Credit Rating of AA by PACRA

Fund Rating

N/A

Initial Offer Price

PKR 50/-

Date of Public Offer

July 21, 2008 to July24, 2008

Minimum Initial Investment

PKR 5,000

Eligible Investors

Institutions, Body Corporates, DFI's, NBFC's, Commercial Banks, Financial Institutions, Employee Benefit Funds (Pension, Provident and Gratuity), Educational Institutions, Trusts, NGOs, Public Sector Enterprises and Individuals.

Investment Facilitator & Distributors

Alfalah GHP Investment Management Limited

Bank Alfalah Limited

Management Fee

1.5% of the average annual net assets of the Fund

Front End Load

Up to 2.5% of the Net Asset Value (during Sales Period, if any).

Back End Load

Years since Purchase of Units Back End Load Applicable

One year after the last day of IPO 5% of NAV

2 nd Year 4% of NAV

Last six months 3% of NAV

Risk Profile

Low

Pricing

Daily

Duration

The duration of Alfalah GHP Principal Protected Fund is thirty months from the last day of Initial Period of Offer. The Alfalah GHP Principal Protected Fund shall stand automatically dissolved after this period

Sales Period

After the Initial Period of Offer, the public sale of Units will discontinue, however the Fund may be re-opened as and when determined by the Board of Directors of the Management Company, with prior approval of SECP and with prior intimation to the Trustee

Financial Year

December 31

Distribution Policy

The fund will distribute not less than 90% of its income received or derived from sources other than capital gains and reduced by such expenses as are chargeable and attributable to the Fund under the governing Regulations (NBFC & Notified Entities Regulations2007) in order to achieve tax efficiency.

Taxability

Fund: Exempt from Income Tax on the basis of minimum 90% distribution of income reduced by realized and unrealized capital gains and any allowable expenses under the governing Regulations (NBFC & Notified Entities Regulations2007); and

Investor: Capital gains, stock dividends and that portion of cash dividend which is attributable to capital gain of the fund are exempted from tax. The remaining portion of the cash dividend would be subject to applicable withholding tax @ 10% which will be full and final discharge of tax liability. Recognized provident funds are not subject to withholding tax on cash dividends.

Top