OFFER DOCUMENT

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HIGHLIGHTS
Prudential ICICI Balanced Fund
The Sponsors of the Fund are Prudential plc of the United Kingdom (UK) and ICICI Bank Limited (erstwhile ICICI Limited).
Prudential plc is a leading international financial services group providing retail financial products and services and fund
management to many millions of customers worldwide. As a group Prudential plc has, as of 31 December 2002, over
GBP155 billion of funds under management, more than 12 million customers and over 15,000 employees, worldwide.
Securities and Exchange Board of India, vide its letter no. MFD/PM/567/02 dated June 4, 2002, has accorded its approval
in recognizing ICICI Bank Ltd. as a co-sponsor consequent to the merger of ICICI Ltd. with ICICI Bank Ltd.
ICICI Bank is India’s second largest bank with an asset base of Rs. 106,812 crore. ICICI Bank provides a broad spectrum
of financial services to individuals and companies. This includes mortgages, car and personal loans, credit and debit
cards, corporate and agricultural finance. The Bank services a growing customer base of more than 7 million customers
and 6 million bondholder accounts through a multi-channel access network. This includes about 450 branches and
extension counters, 1675 ATMs, call centres and Internet banking (Source: Press Release dated May 23, 2003 at
www.icicibank.com). ICICI Bank posted a net profit of Rs.1, 206 crore for the year ended March 31, 2003. ICICI Bank is
the only Indian company to be rated above the country rating by the international rating agency Moody’s and the only
Indian company to be awarded an investment grade international credit rating. The Bank enjoys the highest AAA (or
equivalent) rating from all leading Indian rating agencies.
ICICI Bank was originally promoted in 1994 by ICICI Limited, an Indian financial institution, and was its wholly-owned
subsidiary.
Fund Management expertise – Prudential plc is a leading international financial services group providing retail financial
products and services and fund management to many millions of customers worldwide. As a group Prudential plc has, as
of 31 December 2002, over GBP155 billion of funds under management, more than 12 million customers and over
15,000 employees, worldwide.
Prudential ICICI Asset Management Company Limited, the Investment Manager to the Prudential ICICI Mutual Fund,
manages assets over Rs. 13,000 crores as of July 31, 2003 through 16 schemes. It is one of the largest asset management
companies in the country.
The Scheme seeks to generate long term capital appreciation and current income from a portfolio that is invested in
equity and equity related securities as well as in fixed income securities.
High Liquidity - Being an open ended Scheme, Units may be purchased or redeemed on every Business Day at NAV
based prices subject to applicable load provisions. The Fund will, under normal circumstances, endeavour to despatch
redemption cheques within 3 Business Days. Please see Para “Redemption of Units” on page 40 for details of Redemption.
Load
Entry Load:
i. For investments of less than Rs. 10 Lakhs: Entry load at 2.25% of applicable Net Asset Value (NAV).
ii. For investment of Rs.10 Lakhs and above but upto Rs. 3 crores: Entry load at 1.75% of applicable Net Asset
Value (NAV)
iii. For investment of Rs. 3 crores and above : Entry load is Nil.
Exit Load:
On an on-going basis, the Trustee, for the present does not intend to charge an exit load on redemption of Units.
No entry load will be charged in respect of switch transaction from one equity scheme of the Fund to another equity
scheme of the Fund.
Subject to the Regulations, the Trustee reserves the right to modify/alter the load structure and may decide to introduce a
differential load structure on the Units subscribed/redeemed on any Business Day.
l Options available are Growth Option and Dividend Option. Dividend Reinvestment facility available.
l Investors who hold units in any of the open ended schemes of the Fund may switch all or part of their holdings to the
Scheme on an ongoing basis. No entry load will be charged in respect of switch transaction from one equity
scheme of the Fund to another equity scheme of the Fund. Further, under Flexible Lifetime Investment Programme,
investors may choose to alter the allocation of their investment among the schemes in order to meet their changing
circumstances during their lifetime.
Transparency – The NAV is calculated and disclosed at the close of every Business Day. In addition the AMC discloses
portfolio of the Scheme at quarterly rests on the web site of the AMC www.pruicici.com.
l The following Tax benefits are available as per the Finance Act, 2003:
l Finance Act 2003 has inserted section 10(35), whereby any income received in respect of units of Mutual Fund specified
under clause (23D) of Section 10 will be exempt from income tax in the hands of the unit holders.
l Long-term Capital Gains in respect of Units held for a period of more than 12 months will be chargeable under section
112 of the Income-Tax Act, 1961, at a rate of 20% plus surcharge, as applicable.
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