Annual Report for Fixed Maturity Schemes - Tata Mutual Fund

1.4 B) Expenses:
Expenses directly attributable and identifiable to particular scheme, are charged to the respective scheme. Investor related expenses viz: Registrar
expenses, investor communications, investor meets etc.are allocated to the schemes in proportion to the number of live folios in the schemes.Other
expenses,which are not identifiable to specific schemes, are allocated to the schemes in proportion to their net assets.
1.5 Unit Premium Reserve (“UPR”) and Income Equalisation
On issue / repurchase of units, the portion of the premium which is attributable to realised gains is credited / debited to the Revenue Account for the
period as Income Equalisation. It is reflected in the Revenue Account after the net surplus / deficit of the scheme is determined. The balance portion of
the premium that is not attributable to realised gains is credited / debited to the UPR.
If units are sold at a price lower than the face value the difference is debited to the Revenue Account as Income Equalisation.
The distributable amount is determined by deducting from the balance in the Revenue Reserve as at the end of the period, the net unrealised
appreciation in the value of investments as at the end of the period. Credit balance in the UPR is considered to be at par with unit capital and is not
taken into account in the determination of the distributable surplus. Dividend is declared only when the Revenue Reserve is positive.