Fact Sheet for the month of Apr-07 - HDFC Mutual Fund

hdfc-cov.qxd 4/7/2007 17:25 Page 1Vol. No. 4 Issue No. 9March 2007Average assets under management for March 2007: Rs. 31,427.24 CroreAssets under management as at March 31 2007: Rs. 28,357.99 CroreMove your cheese

hdfc-mkt1.qxd 4/7/2007 12:09 Page 1Market ReviewEquity market updateIndian markets had a volatile quarter following alltime high levels reached (14,723.88 on 9thFebruary). Subsequently, markets witnessed a sharpdecline. The Sensex and Nifty ended March 2007 at13,072.10 and 3,821.55 respectively, gaining 1% and2% respectively in March, but declining by 5.2% and3.6% over the quarter. The CNX MidCap Index was relativelyweaker throughout the year and declined 6.7%during the quarter. Although the CNX Midcap Indexposted a 1.3% gain for the year, midcaps have beenunderperforming large caps.Key global equity indices too witnessed volatility,but ended with nominal gains for the month. The comparativereturns of select domestic and global indices ason March 31, 2007 can be seen in the table below.1 month 3 months FY 2006-07Index (%) (%) (%)BSE Sensex 1.04 -5.18 15.89CNX Nifty 2.04 -3.65 12.31CNX Midcap -0.56 -6.73 1.31DJIA -0.87 -0.87 11.21NASDAQ 0.23 0.26 3.50FTSE 2.21 1.08 5.76(Returns as on 31 March, 2007Debt market updateThe quarter and year ended March 2007 witnesseda significant rise in yields in debt markets. Thisincrease was more pronounced for shorter termyields. Three factors contributed largely to this rise – theliquidity impact of credit offtake outpacing depositgrowth, rapidly rising inflation and the high priorityaccorded by RBI to moderating inflation over othermacro-economic goals. As part of its measures, RBI hasraised CRR twice in the last quarter and has also actedto maintain market liquidity at lower levels. On 30thMarch too, the RBI announced an increase in the CRRby 0.50% (now at 6.50%) and Repo rates by 0.25%(now at 7.75%).The yield on the benchmark 10-year GovernmentSecurity increased 0.38% over the quarter and 0.47%over FY 2006-07. In the same period, the 364-dayTreasury Bill yield has moved up much more by 0.47%and 1.28% respectively.31-Mar-07 28-Feb-07 31-Dec-06 31-Mar-06 Q-o-Q Y-o-YPresent 1month ago 3months ago Year ago Change Change10-year benchmark GoI yield 8.00 7.93 7.62 7.53 0.38 0.47364 day T-Bill auction yield 7.70 7.60 7.23 6.42 0.47 1.281-10 year GoI yield spread 0.30 0.39 0.37 1.13 -0.07 -0.83AAA Corp. debt over GoI - 5Y 1.40 1.59 1.43 0.94 -0.03 0.46WPI inflation 6.46 6.05 5.58 4.06 0.88 2.40Forex rate (INR per USD) 43.49 44.28 44.25 44.62 0.76 1.13March witnessed outflows from Mutual Funds,while FII flows were positive. Net FII inflows in Marchstood at $ 0.33 billion (Rs. 1,400 crores). Net FIIinflows for the quarter were $ 1.6 billion (7,100 croreswhile for the full year 2006-07, these stood at around $5.5 billion (~ Rs. 25,000 crores).On the other hand, Mutual Funds were net sellersfor Rs. 2,000 crores for the month and Rs. 3,600 croresfor the quarter. However, for the full year 2006-07,Mutual Funds were net buyers for Rs. 9,200 crores(~ $ 2.1 billion).Sensex at present levels is trading at around 16.6times estimated 1-year forward earnings (CLSA estimate).The P/Es though reasonable now, are somewhatunderstated due to low P/Es of cyclicals, which areclose to peak earnings. This indicates a reasonable outlookfor the markets over the long term given the seculargrowth prospects of the Indian economy. There ishowever a need to have more modest return expectationsin the future as market returns should track earningsgrowth. There is also a need to invest with a minimumview of two to three years and also be tolerant tovolatility. The last quarter and year have also seen a significantrise in WPI inflation. The rupee has also appreciatedvis-à-vis the US Dollar.The movements of yields, spreads and some otherkey variables for the period ending March 31, 2007 areas follows.Liquidity in the system which was already low inDec. 2006, has further declined during the last quarter.Overnight lending rates have generally remained in the7-8% range over the past quarter while spiking up periodicallyat the end of each month / quarter. MIBORranged between 30 - 70% on March 31, 2007. It wasaround 17% on Dec. 31, 2006. In response to tight liquidity,banks and other participants have been frequentlyavailing of RBI’s overnight Repo facility for borrowingfunds (around Rs. 30,000 crores at the end ofMarch 2007).WPI inflation at 6.46% has shown a sharp increaseof nearly 2.5% over the year. The RBI has articulatedthe priority accorded to moderating inflation over othereconomic goals and this is likely to result in tight liquidityand rising yields over the coming year. On thewhole, domestic interest rates appear to have an upwardbias over the medium term.The Fund continues to position itself in instrumentsand maturity buckets that provide higher relativevalue in an attempt to deliver superior risk adjustedreturns. 2 March 2007 Intouchmutually

hdfc-funds.qxd 4/7/2007 11:36 Page 1Fund newsIntroducing HDFCMFOnline:HDFC Mutual Fund introduces HDFCMFOnline, which enables you to transactonline on www.hdfcfund.com 24 hours a day, 7 days a week, 365 days a year. OnHDFCMFOnline you can purchase*, redeem or switch units of HDFC Mutual Fundat the click of a few buttons. You can also view your account details online, downloadaccount statements and view your account profile with us. To avail of the facility,please download the application form for HPIN from our website www.hdfcfund.comand submit the same to our Investor Service Centre.* facility available with select banks● ● ● ● ●Customer Identification under Prevention of Money LaunderingAct, 2002Prevention of Money Laundering Act, 2002 (PMLA) came into effect from July 1,2005 and consequently SEBI mandated that all intermediaries (which includesMutual Funds) should formulate and implement a proper policy framework as per theguidelines of anti money laundering measures and also adopt a Know YourCustomer (KYC) Policy. In view of this, presently each investor (including joint Unitholders) who wishes to invest an amount of Rs 50,000 or more need to be KYC compliantas required by law. The Mutual Fund / AMC reserves the right to prescribe alower threshold subscription amount for customer identification.● ● ● ● ●Process for KYC ComplianceInvestors (both individuals and non individuals) intending to invest Rs. 50,000 ormore must meet certain mandatory requirements in terms of establishing their properidentity and address. Applicants (including new / existing Unit holders) will haveto submit the following documents:a) Application Form for KYC Compliance (with photograph where the applicant is anindividual) duly completed by each applicant including joint Unit holdersb) Documents evidencing Proof of Identity and Proof of AddressThese documents can be submitted at our Investor Service Centres (ISCs) or designated"Points of Services" (PoS). A complete list of PoS will be available on our websiteand the website of AMFI at www.amfiindia.com. Upon receipt and verification of theabove documents, a KYC compliance letter will be allotted to each applicant.Investor(s) must note that quoting the KYC compliance status is mandatory at the timeof submission of each subscription request. The KYC compliance process is presentlybeing conducted free of cost. In view of the above, investors must ensure KYC complianceat the earliest. Necessary application forms for KYC compliance / FrequentlyAsked Questions are available at all our ISCs. You may also email us at kyc@hdfcfund.comor contact any of our ISCs / your distributor, if any, for further information.● ● ● ● ●Quarterly account statements for SIPs and STPsPursuant to SEBI Circular the account statement for SIP/STP/SWAP transactions willbe sent once in a calendar quarter within 10 working days of the end of respectivequarter. However, in case of specific request from the investor, the Fund will providethe account statement to the unit holder within 5 working days from the receipt ofsuch request without any charges.Unit holders can also request the soft copy of the account statement of theirSIP/STP/SWAP transaction on a monthly basis to their email address. Please use thetransaction slip to register your email address for receipt of account statementthrough email.● ● ● ● ●Investor facilitiesa) The Electronic Clearing Service (ECS) is available for payment of dividend, if any.The facility is available in select cities. In case you wish to subscribe for this facility,kindly send us a photocopy of a cancelled cheque along with a duly signed request.b) Direct credit of redemption proceeds and dividend (if any) into your bank account,in case your account is with ABN AMRO Bank NV, Centurion Bank of Punjab Ltd.,Citibank N.A., Kotak Mahindra Bank Ltd., Deutsche Bank AG, HDFC Bank, HSBC, ICICIBank, IDBI Bank, Standard Chartered Bank , UTI Bank or YES Bank.c) Log on to our website www.hdfcfund.com and subscribe to daily Net Asset Valuesby email.d) Account statements by email: Receiving account statements by email is quick, convenientand is offered at no additional cost. For the convenience of unitholders, weprovide a pre-printed e-Transaction Slip which can be downloaded, printed and usedfor transacting with us.e) SMS and email alerts: You can receive transaction confirmation via SMS or email.To avail for this facility, please provide your mobile number and / or email IDs to us.● ● ● ● ●Unclaimed dividend / redemption cheques / direct creditsAll investors are requested to ensure that all the dividend / redemption paymentsreceivable by them have been received and the cheques have been deposited intotheir bank account. If any cheques are not yet deposited and have turned stale, youmay forward them to us for revalidation. You may request for an updated accountstatement to verify all dividend payments, if any, made by us.● ● ● ● ●Permanent Account Number (PAN)SEBI has made it mandatory for applicants (in the case of application in joint names,each of the applicants) to mention his/ her PAN if the purchase*application / transaction is for Rs. 50,000 or more. Where the applicant is a minor, isnot liable to Income Tax, he shall quote the PAN of his father ormother or guardian, as the case may be. In order to verify the PAN of the applicants(in the case of application in joint names, each of the applicants) the applicants shallattach along with the purchase application form, a photocopy of the PAN card or aPAN letter or any intimation from the Income Tax Department quoting PAN.Any person who does not have a PAN and who enters into any purchase* transactionas aforesaid shall make a declaration in Form No. 60 or Form No. 61 (in the caseof persons who have agricultural income and are not in receipt of any other incomechargeable to tax) along with proof of address giving the particulars of such transaction.Such declaration in Form No. 60 or Form No. 61, as applicable (in duplicate)should be attached along with each purchase* request.* include fresh/ additional purchase, switch, Systematic Investment / Transfer andDividend Reinvestment.Since dividend reinvestment of Rs. 50,000 or more qualifies as purchase of units foraforesaid Notification, PAN or Form no. 60 or Form no. 61 (as applicable) is requiredalong with supporting in respect of each such reinvestment, failing which dividendreinvestment shall be automatically converted into payout option. Applications notcomplying with the above shall be rejected.● ● ● ● ●Bank Account DetailsAs per directives issued by SEBI, all investors have to mention their bank accountdetails on their application form. This is also necessary to safeguard investors’redemption/ dividend cheques from the possibility of being fraudulently encashed.Please ensure that your account statement has the correct bank details. Applicationsfor purchase / redemption without bank details shall not be processed.● ● ● ● ●Launch of 9 new Transaction Points:To further extend our reach to our investors, we have started operations from newTransaction Points in the following cities during the quarter ended March 2007.State City Address of CAMS Transaction PointrTamil Nadu Hosur Shop No. 8, J.D. Plaza, Opp. TNEB Office, Royakotta Road,Hosur - 635109. Tel No: (04344) 321 002 / 004; Fax No.: (04344) 220 200Tiruppur No. 1 (1), Binny Compound, 2nd Street, Kumaran Road, -641 601. Tel No: (0421) 3201 271 / 3201 272; Fax No:(0421) 4242 134.VelloreNo. 1 (1), Binny Compound, 2nd Street, Kumaran Road,Tiruppur - 641 601. Tel No: (0421) 3201 271 / 3201 272;Fax No: (0421) 4242 134Orissa Balasore B C Sen Road, Balasore - 756 001. Tel No: (06782) 326808, Fax No.: (06782) 264 902Bihar Muzaffarpur Brahman Toil, Durga Asthan, Gola Road, Muzaffarpur -842 001. Tel No: (0621) 320 7504 / 320 7052, FaxNo: (0621) 2246 022Haryana Faridabad B-49, 1st Floor, Nehru Ground, Behind Anupam SweetHouse, NIT, Faridabad - 121 001. Tel No: (0129) 3241 147/ 3241 148, Fax No: (0129) 2410 098Uttar Pradesh Ghaziabad207/A - 14, 2nd Floor, Devika Chamber RDC Rajnagar,Ghaziabad - 201 002. Tel No: (0120) 3266 917 / 3266918, Fax No: (0120) - 4103 929Mathura No. 159 / 160, Vikas Bazar, Mathura - 281 001. Tel No:(0565) 3207 007 / 3206 959, Fax No: (0565) 2800 987Jammu Jammu 660 - A, Near Digital Wares Lane, Opposite Dushar Ground& KashmirFront Gate Gandhi Nagar, Jammu - 180 004. Mobile No:99060 82698, Fax No: (0191) 2432 601● ● ● ● ●Introduction of mobile van for acceptance of transactions – A mobile van operatedby CAMS will ply from Kochi to Alappuzha and Thiruvalla on Business days and willhalt in these towns in the following locations:LocationsThe Book World, Near Kannan Varkey Bridge,Civil Station Ward, Alappuzha - 688001.The Agency Corporation, Railway Station Road,Thiruvalla - 689101.● ● ● ● ●Timings11:00 a.m. to 12:30 p.m.1:30 p.m. to 3:30 p.m.IntouchmutuallyMarch 2007 3

hdfc-bs1.qxd 4/7/2007 11:58 Page 1Move your cheeseOver the last few moons, even as you pickedinto many stocks, did you know whatsavvy fund managers in London havebeen doing? They have been buying food scrips oragri commodity stocks. Unexpected buoyancy inprimary commodities has made this a great assetclass despite fears of a slow down in the worldeconomy. Guru Jim Rogers says agriculture isthe best place to be. Shouldn’t you be taking a callas well?India is an agrarian country as all of us read inour social studies primers. But this time around,we have a new agri-business revolution, some saythe second green revolution around us, which isnothing but the eventual corporatisation of agriculture.Companies like Reliance and Bharti, theRPG group and the Birlas, are planning to addvalue to agriculture. In effect, they will be bringingthe efficiencies of the manufacturing sector tothe wasteful primitive agricultural domain. Theyare in fact front-ending value for retail, as well asproviding back-end supply chain efficiencies thatwill translate into purchasing power. Can youimagine how big that can get?Time then to take a look at all scrips with agribusiness. Input companies would include seed,pesticides, pipe, and irrigation and tissue culturecompanies. Again, since the surpluses of the farmsare getting value added, you could look at basicagricultural packaging companies like biscuitmanufacturers to milk packagers or packaged foodcompanies as well as packaging companies whichare bound to do well as the Indian customer climbsacross the value chain.Internationally, fund managers like Schrodersare buying up shares of U.S. seed processors,Chinese dairy farms and Brazilian sugar mills,believing in the five-year rally in commodities.Why? Because they see themselves in a commoditycycle where they feel the best returns are foundin agriculture vis-a-vis metals or even energycompanies. They see what is happening in Chinaand India where demand is stoked for food whenthe economy grows. This keen interest in foodconsumption is reflected in farming-related stocksin the Morgan Stanley Capital International allcountryworld index that rose an average of 24percent in the past 12 months. They beat the 16 percent overall rise of the index.Prices climbed as demand for food increasedin developing countries, especially China. Effortsby countries like Brazil and the United States toencourage the production and use of alternativefuels made from corn, oilseeds and sugar alsohelped the rally. Consequently, Monsanto andBunge, the world’s biggest oilseeds processor arethe new darlings on the block. What is the reasonBunge, trades at 25 times earnings and Monsanto,trades at 40 times earnings? China Mengniu Dairy,held by the Schroders fund, is at 64 times earningsafter more than tripling in the past year. The companyis the biggest Chinese producer of fresh milk.It is simply pent up demand growth.The gains for farming-related stocks might justbe starting in India as the packaged foods revolutioninitialises big-time. Agriculture remains anattractive investment as land available for farmingdwindles and as climate change and water shortagesaffect output. Jim Rogers, who predicted asfar back as 1999 that commodities were poised torally, expects "another decade" of gains.Agriculture is the best commodity investmentnow, investment guru Rogers said recently.How to feed the worldWhile the big rage in agriculture is how to supplyfood as well as biofuels for the world, the burgeoningpopulation has everyone trying to feed thepopulation. As developing countries like Indiagrow richer, people are getting wealthier and eatingmore. Food expenditure per person in Chinesecities more than doubled in the 10 years ended in2004, according to the latest data from the U.S.Department of Agriculture. Spending on milk, vegetableoils, poultry and seafood led the increase.We can see the trend replicating itself here.Growing use of ethanol and other renewablefuels will help also push corn and wheat priceshigher this year again. The US is expected to push4 March 2007 Intouchmutually

hdfc-bs1.qxd 4/7/2007 11:58 Page 2for alternative fuels fivefold to 35 billion gallonsby 2017. Brazil also is promoting these fuels inresponse to climate changes.Ethanol-inspired gainsU.S. corn prices may surpass $ 5 a bushel forthe first time in a decade. Agriculture relatedstocks should therefore be a good buy as we movetowards an incremental biomass produced ethanolregime as will inevitably happen. Companies processingand marketing agricultural commoditiesmay be the next dominant investment theme in thestock market. The rising global prices of coffeeand rice means that Indian exporters of these commoditiescan expect a boost to their profits.But investing in agri-commodity stocks is not aseasy as spotting the price trend in a commodity andsimply investing in a company that markets it. Withcyclical earnings and a slew of external risks to theirearnings numbers, these stocks are certainly not thekind that you can invest in and then forget about,secure in the belief that they will deliver attractivereturns over the long term. Earnings of agri-commoditycompanies are transparently linked to commodityprices, which are easy to track.Here are a few common features that agri-commoditystocks share:Bumpy earnings: Production and prices ofcommodities usually follow a cyclical pattern.When commodity prices are on a cyclical upswing,companies that market them often reap bumperearnings because every additional rupee realisedgoes straight to the bottomline. Sugar companies,for instance, easily doubled their profits over thepast year. Earnings growth may slow from this freneticpace, as the base effect kicks in. When commodityprices unwind from their highs, expectearnings of such companies to decline swiftly.Swings in valuation: Valuations of these stocksalso swing up and down in line with the commoditycycle. When commodity prices are rising, thestock market is often willing to pay more for everyrupee of a sugar or tea company's earnings. Whenprices are down, valuations also tend to slump.Handling the downswing: More often than not,it takes a sharp drop in output to spark a recoveryin the commodity cycle. Lower output certainlyhelps companies liquidate accumulated stocks atlucrative prices. But a fall in output can also createa serious problem of raw material availability forcommodity processors.Even in a recovery phase, a company's experiencein dealing with shortage situations and thenature of relationships with its raw material supplierswill determine the extent to which it cantake advantage of buoyant commodity prices. Solook for the credentials of the management inmanaging downtimes with the least reaction time.Good for diversification: Despite their highvolatility, agri-commodity stocks — even those ofsuch frontline companies as Tata Tea or BalrampurChini — have low betas. This is not because theyare less risky, but because they often do not movein the same direction as the market indices. Mostagri-commodity stocks are small or mid-cap andare under-researched. Besides, commodity pricecycles and policy factors influence these stocks togreater extent than do broad market movements.OutlookTill recently, most agricultural commoditieshave been experiencing long-run declines in theirprices. But if the new tendency for prices to rise issustained over the coming months, we could bewitnessing a major breakthrough for commodityproducers in world markets. Cotton is still 50 percent below its all-time high, while soyabean is 60per cent away from its highs. Sugar prices are 80per cent below all-time highs, coffee 70 per centand so is the case with wheat and rubber. Energyprices are near all-time highs, but are still lowerwhen adjusted for inflation.Shortages itself will make prices higher andmake for a good price realisations. You could take alook at realising better gains then. Remember alsothat the rise for agricultural commodities, moreover,only got going in the past couple of years.Second, this time round people and combustionengines are increasingly competing for the sameresources, which means that the price of sugar andmaize, for example, is not just a reflection of howmuch and what people eat but of how much fuelthey use and how much they have to pay for it.Demand for agricultural products is likely torise sharply in coming years. Generally, commoditycycles are of long duration average being 17years. After a long bearish phase, the domesticcommodity sector is passing through a bull phasesince 1999 and this is expected to continue.The sharp surge in agricultural growth in thelatest GDP numbers suggests that the spurt in ruralspending is here to stay. HLL like companies withexpansive rural networks will be best placed tocapitalise on the trend. Higher disposable incomeshave also ensured the return of pricing power toindustry players.In effect, the rise of biofuels and governmentsubsidies to promote them has integrated worldmarkets for food and fuel. The implications havebarely been understood. So, while agriculturalprices may stay high in the immediate future, theyshould stabilise and then fall in a couple of years.You could do well to look at that horizon for reapinggains from food companies as well. ●S. LALITHAlalithak@yahoo.comIntouchmutuallyMarch 2007 5

hdfc-fos.qxd 4/7/2007 11:38 Page 1Features of our open-ended schemesHDFC GrowthFundHDFC EquityFundHDFC Top 200FundHDFC CapitalBuilder FundHDFC Core & SatelliteFundHDFC PremierMulti-Cap FundNature of SchemeOpen-ended GrowthSchemeOpen-endedGrowth SchemeOpen-ended GrowthSchemeOpen-endedGrowth SchemeOpen-ended GrowthSchemeOpen-ended GrowthSchemeInvestment ObjectiveTo generate long termcapital appreciationfrom a portfolio that isinvested predominantlyin equity andequity relatedinstruments.To achieve capitalappreciation.To generate long termcapital appreciation from aportfolio of equity andequity-linked instrumentsprimarily drawn from thecompanies in BSE 200index.To achieve capitalappreciation in thelong term.To generate capitalappreciation throughequity investment incompanies whose sharesare quoting at prices belowtheir true value.To generate capitalappreciation in the longterm through equityinvestments by investingin a diversified portfolioof Mid Cap & Large Cap‘blue chip’ companies.Fund ManagerSrinivas Rao RavuriPrashant JainPrashant JainChirag SetalvadVinay KulkarniVinay KulkarniInception Date(Date of Allotment)September 11, 2000January 1, 1995October 11, 1996February 1, 1994September 17, 2004April 6, 2005Entry / Sales Load(Non-SIP / STP)● In respect of each purchase / switch-in of Units less than Rs. 5 crore in value, an Entry Load of 2.25% is payable.● In respect of each purchase / switch-in of Units equal to or greater than Rs. 5 Crore in value, no Entry Load is payable.Exit Load(Non-SIP / STP)● In respect of eachpurchase / switch-in ofUnits less than Rs. 5Crore in value, an ExitLoad of 1% is payableif units are redeemed /switched-out within1 year from the dateof allotment.● In respect of eachpurchase / switch-in ofUnits equal to orgreater than Rs. 5Crore in value, no ExitLoad is payable.Nil● In respect of eachpurchase / switch-in of Unitsless than Rs. 5 Crore invalue, an Exit Load of 1% ispayable if units areredeemed /switched-out within1 year from the dateof allotment.● In respect of eachpurchase / switch-in of Unitsequal to or greater than Rs.5 Crore in value, no ExitLoad is payable.Nil● In respect of eachpurchase / switch-in ofUnits less than Rs. 5 Crorein value, an Exit Load of1% is payable if units areredeemed /switched-out within1 year from the dateof allotment.● In respect of eachpurchase / switch-in ofUnits equal to or greaterthan Rs. 5 Crore in value,no Exit Load is payable.NilInvestmentPlan / OptionsGrowth & DividendGrowth & Dividend Growth & Dividend Growth & Dividend Growth & DividendThe Dividend Plan / Option offers Dividend Payout and Reinvestment facility.Growth & DividendMinimumApplication Amount(Under each Plan)For new investors : Rs. 5,000 and in multiples of Rs. 100 thereafter.For existing investors : Rs. 1,000 and in multiples of Rs. 100 thereafter.Lock-in PeriodNilNilNilNilNilNilNet Asset Value(NAV)Every Business DayEvery Business DayEvery Business DayEvery Business DayEvery Business DayEvery Business DayRedemptionProceedsNormally despatchedwithin 3 BusinessDays.Normallydespatched within3 Business Days.Normally despatched within3 Business Days.Normallydespatched within3 Business Days.Normally despatchedwithin 3 Business Days.Normally despatchedwithin 3 Business Days.Investors are advised to consult their tax advisors with respect to the tax consequences of the purchase, ownership and disposal of mutual fund units.For Tax Benefits / Consequences, Please refer to page 116 March 2007Intouchmutually

hdfc-fos.qxd 4/7/2007 11:38 Page 2Features of our open-ended schemesHDFC Index FundHDFC Children’s Gift Fund^#HDFC Balanced FundHDFC Prudence FundNature of SchemeOpen-ended Index Linked SchemeOpen-ended Balanced SchemeOpen-ended BalancedSchemeOpen-ended BalancedSchemeInvestment ObjectiveNifty Plan : To generate returns that arecommensurate with the performance ofthe Nifty, subject to tracking errors.SENSEX Plan : To generate returns that arecommensurate with the performance of theSENSEX, subject to tracking errors.SENSEX Plus Plan : To invest 80 to 90% ofthe net assets of the Plan in companieswhose securities are included in SENSEXand between 10% & 20% of the net assets incompanies whose securities are notincluded in the SENSEX.The primary objective of both the Plans viz.Investment Plan & Savings Plan under theScheme is to generate long term capitalappreciation.To generate capitalappreciation along withcurrent income from acombined portfolio ofequity & equity-relatedand debt & money marketinstruments.To provide periodic returnsand capital appreciationover a long period of timefrom a judicious mix ofequity and debtinvestments with an aim toprevent / minimise anycapital erosion.Fund ManagerVinay KulkarniChirag SetalvadChirag SetalvadPrashant JainInception Date(Date of Allotment)July 17, 2002March 2, 2001September 11, 2000February 1, 1994Entry / Sales Load(Non-SIP / STP)NilInvestment Plan: 2.25%Savings Plan: 1.25%● In respect of each purchase / switch-in of Units lessthan Rs. 5 crore in value, an Entry Load of 2.25% ispayable.● In respect of each purchase / switch-in of Units equalto or greater than Rs. 5 crore in value, no Entry Loadis payable.Exit Load(Non-SIP / STP)● In respect of each purchase / switch-in ofUnits upto and including Rs. 5 lakh invalue, an Exit Load of 1.00% is payable ifUnits are redeemed within one year fromthe date of allotment.● In respect of each purchase / switch-in ofUnits greater than Rs. 5 lakh in value, noExit Load is payable.● For Units subject to Lock-in Period: NIL● For Units not subject to Lock-in Period: 3%if the Units are redeemed / switched-outwithin one year from the date of allotment;2% if the Units are redeemed / switched-outbetween the first and second year of thedate of allotment; 1% if Units are redeemed/ switched-out between the second andthird year of the date of allotment; Nil if theUnits are redeemed / switched -out afterthird year from the date of allotment.Nil● In respect of eachpurchase / switch-in of Unitsless than Rs. 5 Crore invalue, an Exit Load of 1% ispayable if units areredeemed / switched-outwithin 1 year from the dateof allotment.● In respect of eachpurchase / switch-in of Unitsequal to or greater than Rs.5 Crore in value, no ExitLoad is payable.InvestmentPlan / OptionsNifty Plan, SENSEX Plan, SENSEX Plus PlanAt present, each Plan offers Growth Optiononly.Investment Plan : (Equity Oriented)Savings Plan : (Debt Oriented)Growth & Dividend Growth & DividendThe Dividend Plan offers Dividend payoutand Reinvestment facility.MinimumApplication Amount(Under each Plan)For new investors : Rs. 5,000 and in multiples of Rs. 100 thereafter.For existing investors : Rs. 1,000 and in multiples of Rs. 100 thereafter.Lock-in PeriodNilIf opted : Until the Unit holder (being thebeneficiary child) attains the age of 18 yearsor until completion of 3 years from date ofallotment, whichever is later.NilNilNet Asset Value(NAV)Every Business DayEvery Business DayEvery Business DayEvery Business DayRedemptionProceedsNormally despatched within3 Business Days.Normally despatched within 3 Business Days(subject to completion of Lock-in Period,if opted).Normally despatchedwithin 3 Business Days.Normally despatchedwithin 3 Business Days.^ Eligibility (of Unit holder) : Children less than 18 years of age as on the date of investment by the Investor / Applicant are eligible as Unit holders in the Scheme. # Personal Accident Insurance Cover (for resident Unit holders only), equivalentto 10 times the face value of Units held by the Unit holder under all the applications / account statements / folios, subject to a maximum amount of Rs. 3 lakhs per Unit holder. The insurance premium in respect of the personal accident insurancecover will be borne by the AMC. This accident insurance cover is subject to conditions of the group personal accident insurance policy.Investors are advised to consult their tax advisors with respect to the tax consequences of the purchase, ownership and disposal of mutual fund units.For Tax Benefits / Consequences, Please refer to page 11Intouchmutually March 2007 7

hdfc-fos.qxd 4/7/2007 11:38 Page 3Features of our open-ended schemesNature of SchemeHDFC Long Term AdvantageFund #Open-ended Equity Linked SavingsScheme with a lock-in period of3 yearsHDFC TaxSaverOpen-ended Equity Linked SavingsScheme with a lock-in period of 3 yearsHDFC MF Monthly Income PlanAn open-ended income scheme. Monthly income is not assured andis subject to availability of distributable surplusInvestment ObjectiveTo generate long term capitalappreciation from a portfoliothat is invested predominantlyin equity and equity-relatedinstruments.To achieve long term growth of capital.The primary objective of Scheme is to generate regular returns throughinvestment primarily in Debt and Money Market Instruments. Thesecondary objective of the Scheme is to generate long-term capitalappreciation by investing a portion of the Scheme’s assets in equity andequity related instruments. However, there can be no assurance that theinvestment objective of the Scheme will be achieved.Fund ManagersChirag SetalvadVinay KulkarniLTP - Prashant Jain (Equities), Shabbir Kapasi (Debt),STP - Vinay Kulkarni (Equities), Shobit Mehrotra (Debt)Inception Date(Date of Allotment)January 2, 2001December 18, 1995December 26, 2003Entry / Sales Load(Non-SIP / STP)● In respect of each purchase / switch-in of Units less than Rs. 5 crore invalue, an Entry Load of 2.25% is payable.● In respect of each purchase / switch-in of Units equal to or greater thanRs. 5 crore in value, no Entry Load is payable.NilExit Load(Non-SIP / STP)NilNilFor Short-Term Plan● In respect of each purchase / switch-in of Units upto andincluding Rs.10 lakhs in value, an Exit Load of 0.50% is payableif Units are redeemed / switched-out within 6 months from the dateof allotment.● In respect of each purchase / switch-in of Units greater thanRs.10 lakhs in value, an Exit Load of 0.25% is payable if Unitsare redeemed / switched-out within 3 months from the date ofallotment.For Long-Term Plan● In respect of each purchase / switch-in of Units less than Rs. 5 crore invalue, an Exit Load of 1% is payable if Units are redeemed / switchedoutwithin 1 year from the date of allotment.● In respect of each purchase / switch-in of Units equal to or greaterthan Rs. 5 crore in value, no Exit Load is payable.InvestmentPlan / OptionsMinimumApplication AmountLock-in PeriodGrowth & DividendGrowth & DividendThe Dividend Plan offers Dividend Payout and Reinvestment facility.For new & existing investors : Rs. 500 and in multiples thereafter.3 years from the date of allotment of the respective UnitsShort Term Plan (STP) & Long Term Plan (LTP). Each Plan offersGrowth, Monthly Dividend & Quarterly Dividend Option. TheDividend Option offers Dividend Payout and Reinvestment facility.Short Term Plan : For new investors :(Growth & Quarterly Dividend Option) – Rs. 5,000 and in multiples ofRs. 100 thereafter under each Option.(Monthly Dividend Option) – Rs. 25,000 and in multiples of Rs. 100thereafter.For existing investors : Rs. 1000 and in multiples of Rs. 100 thereafter.Long Term Plan : For new investors :(Growth & Quarterly Dividend Option) – Rs. 5,000 and in multiples ofRs. 100 thereafter under each Option.(Monthly Dividend Option) – Rs. 25,000 and in multiples of Rs. 100thereafter.For existing investors : Rs. 1,000 and in multiples of Rs. 100 thereafter.NilNet Asset Value(NAV)Every Business DayEvery Business DayEvery Business DayRedemptionProceedsNormally despatched within 3 Business Days (subject to completionof Lock-in Period).Normally despatched within 3 Business DaysInvestors are advised to consult their tax advisors with respect to the tax consequences of the purchase, ownership and disposal of mutual fund units.# Previously HDFC Tax Plan 2000For Tax Benefits / Consequences, Please refer to page 118 March 2007Intouchmutually

hdfc-fos.qxd 4/7/2007 11:38 Page 4Features of our open-ended schemesHDFC Multiple Yield FundHDFC Multiple Yield Fund– Plan 2005Open-ended Income SchemeHDFC Income FundHDFC High Interest Fund (HHIF)Nature of SchemeOpen-ended Income SchemeOpen-ended Income SchemeOpen-ended Income SchemeInvestment ObjectiveTo generate positive returns overmedium time frame with low riskof capital loss over mediumtime frame.To generate positive returns overmedium time frame with low riskof capital loss over mediumtime frame.To optimise returns while maintaininga balance of safety, yield and liquidity.To generate income by investing in a rangeof debt and money market instruments ofvarious maturity dates with a view tomaximise income while maintaining theoptimum balance of yield, safety andliquidity.Fund ManagersVinay Kulkarni (Equities),Anil Bamboli (Debt)Chirag Setalvad (Equities),Anil Bamboli (Debt)Shabbir KapasiAnil Bamboli (HHIF),Shabbir Kapasi (HHIF - STP)Inception Date(Date of Allotment)September 17, 2004August 17, 2005September 11, 2000HHIF : April 28, 1997HHIF-STP : February 6, 2002Entry / Sales Load(Non-SIP / STP)1%1%NilNilExit Load(Non-SIP / STP)InvestmentPlan / OptionsMinimumApplication Amount● In respect of each purchase /switch-in of Units, upto andincluding Rs. 2 crore in value,an Exit Load of 1.00% is payableif Units are redeemed / switched- out within 1 year from date ofallotment.● In respect of each purchase /switch-in of Units greater thanRs. 2 crore in value, no ExitLoad is payable.● In respect of each purchase /switch-in of Units, upto andincluding Rs. 2 crore in value,an Exit Load of 1.00% is payableif Units are redeemed / switched- out within 15 months fromdate of allotment.● In respect of each purchase /switch-in of Units greater thanRs. 2 crore in value, no ExitLoad is payable.● In respect of each purchase /switch-in of Units, upto andincluding Rs. 10 Lakh in value,an Exit Load of 0.50% is payableif Units are redeemed / switched- out within six months fromdate of allotment.● In respect of each purchase /switch-in (per Investor, per day)of Units, greater than Rs. 10 Lakhin value, no exit load isapplicable.Growth & Dividend. The Dividend Option offers Dividend Payout and Reinvestment facility.For new investors : Rs 5,000 and in multiples of Rs. 100 thereafter. For existing investors: Rs. 1,000 and inmultiples of Rs. 100 thereafter.HHIF :● In respect of each purchase / switch-inof units up to and including Rs. 10lakhs in value, an Exit Load of 0.50%is payable if Units are redeemed /switched-out within 6 monthsfrom the date of allotment.● In respect of each purchase / switch-inof Units greater than Rs. 10 lakhs invalue, no Exit Load is payable.HHIF - STP : NILHHIF : Growth, Quarterly, Half Yearlyand Yearly Dividend Options.HHIF-STP : Growth & Dividend OptionAll Dividend Options offer Dividend Payoutand Reinvestment facility.(Under each Plan)For new Investors : Rs. 5,000 and inmultiples of Rs. 100 thereafter.For existing investors : Rs. 1,000 andin multiples of Rs. 100 thereafter.Lock-in PeriodNilNilNilNilNet Asset Value(NAV)Every Business DayEvery Business DayEvery Business DayEvery Business DayRedemptionProceedsNormally depatched within 3Business DaysNormally depatched within 3Business DaysNormally despatched within 3Business Days.Normally despatched within3 Business DaysInvestors are advised to consult their tax advisors with respect to the tax consequences of the purchase, ownership and disposal of mutual fund units.For Tax Benefits / Consequences, Please refer to page 11Intouchmutually March 2007 9

hdfc-fos.qxd 4/7/2007 11:38 Page 5Features of our open-ended schemesHDFC Short Term Plan (STP)HDFC Liquid Fund (HLF)HDFC Cash Management FundNature of SchemeOpen-ended Income SchemeOpen-ended Liquid Income SchemeSavings & Call Plan: Open ended HighLiquidity Income Scheme.Savings Plus Plan (erstwhile InvestmentPlan - Growth Option): Open-ended IncomeScheme.Investment ObjectiveTo generate regular income through investment in DebtSecurities and Money Market Instruments.To enhance income consistent with a highlevel of liquidity, through a judicious portfolio mixcomprising of money market and debtinstruments.Savings & Call Plan: To generateoptimal returns while maintainingsafety and high liquidity.Savings Plus Plan: To generateregular income through investment in debtsecurities and money market instruments.Fund ManagersAnil BamboliShobhit MehrotraShabbir Kapasi (Savings Plus Plan)Anil Bamboli (Savings Plan and Call Plan)Inception Date(Date of Allotment)February 28, 2002HLF : October 17, 2000HLF – Premium Plan & HLF – Premium Plus Plan :February 24, 2003Savings & Savings Plus Plan:November 18, 1999Call Plan: February 6, 2002Entry / Sales Load(Non-SIP / STP)NilNilNilExit Load(Non-SIP / STP)● In respect of each purchase / switch-in of Units, upto andincluding Rs. 25 crore in value, no Exit Load is payable.● In respect of each purchase / switch-in (per Investor,per day) of Units, greater than Rs. 25 crore in value, anExit Load of 0.25% is payable if Units are redeemed /switched-out within 15 days from the date of allotment.NilSavings & Call Plan: NilSavings Plus Plan: In respect of eachpurchase / switch-in of Units, an Exit Loadof 0.01% is payable, if Units are redeemed/ switched-out within 7 days from date ofallotment.InvestmentPlan / OptionsGrowth & Dividend (Dividend Option offersReinvestment facility only).HLF, HLF - Premium Plan & HLF - Premium Plus Plan.Each Plan offers Growth & Dividend Option.HLF - The Dividend Option offers Daily and WeeklyDividend Option (Reinvestment facility only) andMonthly Dividend Option (with payout andReinvestment facility).HLF Premium Plan - The Dividend Option offersDaily Dividend Option (with Reinvestment facilityonly) and Weekly Dividend Option.HLF Premium Plus Plan - The Dividend Option offersWeekly Dividend Option only.Savings Plan & Call Plan: Growth Option &Daily Dividend Option. Savings Plan alsooffers Weekly Dividend Option. TheDividend Option offers Reinvestmentfacility only.Savings Plus Plan : Growth andDividend Option. The Dividend Optionoffers Weekly Dividend Option (withReinvestment facility only).MinimumApplication AmountFor new investors : Rs. 5,000 and in multiples ofRs. 100 thereafter.For existing investors : Rs. 1,000 and in multiples ofRs. 100 thereafter.HLF : Growth Option : Rs. 10,000 and in multiplesof Rs. 1,000 thereafter. Dividend Option :Rs. 1,00,000 and in multiples of Rs. 1,000thereafter.HLF – Premium Plan (for new investors) : Rs.5,00,00,000 and in multiples of Re. 1 thereafter foropening an account / folio (Under each Option).HLF – Premium Plus Plan (for new investors) :Rs. 20,00,00,000 and in multiples of Re. 1thereafter for opening an account / folio (Undereach Option).HLF - Premium Plan & HLF – Premium Plus Plan(for Existing Investors) : Re. 1 and in multiplesthereafter under each Option.Savings Plan : (Growth Option)Rs. 10,000 and in multiples ofRs. 1,000 thereafter.(Dividend Option) Rs. 1,00,000 and inmultiples of Rs. 1,000 thereafter.Call Plan: (Under Each Option)Rs. 1,00,000 and in multiples ofRs. 1,000 thereafter.Savings Plus Plan :New Investors : Rs. 5,000 and inmultiplies of Rs. 100 thereafter.Existing Investors : Rs. 1,000 and inmultiplies of Rs. 100 thereafter.Lock-in PeriodNilNilNilNet Asset Value(NAV)Every Business DayAll Year RoundSavings & Call Plan: All Year RoundSavings Plus Plan: Every Business DayRedemptionProceedsNormally despatched within 3 Business Days .Normally despatched within 1 BusinessDay.Savings & Call Plan : Normally despatchedwithin 1 Business Day.Savings Plus Plan : Normally despatchedwithin 3 Business Days.Investors are advised to consult their tax advisors with respect to the tax consequences of the purchase, ownership and disposal of mutual fund units.For Tax Benefits / Consequences, Please refer to page 1110 March 2007Intouchmutually

hdfc-fos.qxd 4/7/2007 11:38 Page 6Features of our open-ended schemesNature of SchemeHDFC Floating Rate Income FundOpen-ended Income Scheme.HDFC Gilt FundOpen-ended Income Scheme.Investment ObjectiveTo generate regular income through investment in a portfolio comprising substantially of floatingrate debt / money market instruments, fixed rate debt / money market instruments swapped forfloating rate returns and fixed rate debt securities and money market instruments.To generate credit risk-free returns through investmentsin sovereign securities issued by the CentralGovernment and / or a State Government.Fund ManagerInception Date(Date of Allotment)Entry / Sales Load(Non-SIP / STP)Exit Load(Non-SIP / STP)InvestmentPlan / OptionsShobhit MehrotraJanuary 16, 2003Short Term Plan : NilLong Term Plan : NilShort Term Plan : NilLong Term Plan : In respect of each purchase / switch-in of units, upto and includingRs. 10 lakhs in value, an Exit Load of 0.50% is payable if units are redeemed / switched-outwithin 6 months from the date of allotment.In respect of each purchase / switch-in of units greater than Rs. 10 lakhs in value, no Exit Loadis payable.Short Term Plan : For investors who wish to invest for short time period.Long Term Plan : For investors who wish to invest for relatively longer time period.Short Term Plan : Growth and Dividend Option. The Dividend Option offers Daily and WeeklyDividend Option (with Reinvestment facility only) and Monthly Dividend Option (with payoutand Reinvestment facility).Long Term Plan : Growth and Dividend Option. The Dividend Option offers Reinvestmentfacility only.Shabbir KapasiJuly 25, 2001NilNilShort Term Plan : For investors who wish toinvest for short time period.Long Term Plan : For investors who wish to invest forrelatively longer time period.Each Plan offers Growth and Dividend Options.The Dividend Option offers Dividend Payout andReinvestment facility.MinimumApplication AmountShort Term Plan : (Growth Option)Rs. 10,000 and in multiples of Rs. 1,000 thereafter.(Dividend Option)Rs. 1,00,000 and in multiples of Rs. 1,000 thereafter.Long Term Plan : For new investors :Rs. 5,000 and in multiples of Rs. 100 thereafter.For existing investors : Rs. 1,000 and in multiples of Rs. 100 thereafter.(Under each Plan / Option)For new investors :Rs. 5,000 and in multiples of Rs. 100 thereafter.For existing investors :Rs. 1,000 and in multiples of Rs. 100 thereafter.Lock-in PeriodNet Asset Value(NAV)RedemptionProceedsNilShort Term Plan : All Year RoundLong Term Plan : Every Business DayNormally despatched within 3 BusinessDays (1 Business Day in case of Short Term Plan).NilEvery Business DayNormally despatched within3 Business Days.Investors are advised to consult their tax advisors with respect to the tax consequences of the purchase, ownership and disposal of mutual fund units.Tax Benefits / Consequences : Income distributed by the Scheme(s) will be exempt from Income-tax in the hands of investors. Distribution tax in case of Scheme(s) other thanopen-ended equity-oriented funds shall be payable by the mutual fund at the rate of 14.025%* (including surcharge and education cess) on income distributed to an individual/HUFand at the rate of 22.44% (including surcharge and education cess) on income distributed to any other investor. Units of the Scheme(s) are not subject to Wealth-tax and Gift-tax.Unit holders are required to pay Securities Transaction Tax (STT) at the rate of 0.25% at the time of redemption / switch-out of units of an equity-oriented fund.* The Finance Bill 2007 has proposed to increase Dividend Distribution Tax to 25% (excluding surcharge and education cess) in case of income distributed by Liquid Funds andMoney Market Mutual Funds.Intouchmutually March 2007 11

hdfc-eq-r.qxd 4/7/2007 11:43 Page 1HDFCGrowth FundAn open-ended growth schemeHDFCEquity FundIN EQUITY - DIVERSIFIED CATEGORY(78 schemes) for 3 and 5 yearperiods ending March 31, 2007An open-ended growth schemeNAV (as at March 30, 2007)Relative Performance ^ (Growth Plan)NAV per Unit (Rs.)Growth Plan 45.461Dividend Plan 24.680NAV (as at March 30, 2007)Relative Performance ^ (Growth Plan)NAV per Unit (Rs.)Growth Plan 142.602Dividend Plan 37.424Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 41.020 10.83* 15.61*Mar 30, 04 Last 3 Years (1095 days) 17.959 36.29** 33.29**Mar 28, 02 Last 5 Years (1828 days) 8.487 39.81** 30.33**Sep 11, 00 Since Inception (2391 days) 10.000 26.01** 16.91**^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns# SENSEXPortfolio – Top 10 Holdings (as at March 31, 2007)Company Industry + / Rating % to NAVEQUITY & EQUITY RELATEDDivi’s Laboratories Ltd. Pharmaceuticals 6.84Infosys Technologies Ltd. Software 5.78Crompton Greaves Ltd. Industrial Capital Goods 5.72Bharti Airtel Ltd. Telecom - Services 5.42Bharat Heavy Electricals Ltd. Industrial Capital Goods 5.16Reliance Industries Ltd. Petroleum Products 4.86Oil & Natural Gas Corporation Ltd. Oil 4.41ITC Ltd. Consumer Non Durables 4.41Sun Pharmaceutical Industries Ltd. Pharmaceuticals 4.41Thermax Ltd. Industrial Capital Goods 4.05Total of Top Ten Equity Holdings 51.06Total Equity & Equity Related Holdings 93.31Debt / Money Market InstrumentL & T Finance Ltd. PR1+ 5.02UCO Bank P1+ 2.51State Bank of Saurashtra P1+ 1.26Total Debt / Money Market Instrument(aggregated holdings in a single issuer) 8.79Other Current Assets (Including Reverse Repos’ / CBLO) (2.10)Grand Total 100.00Net Assets (Rs. In Lakhs) 39,447.54Portfolio Turnover Ratio (Last 1 Year) 94.47%Industrial Capital Goods 14.93Pharmaceuticals 13.36Consumer Non Durables 10.78Software 8.64Petroleum Products 8.59Auto Ancillaries 6.98Telecom - Services 5.64Banks 4.77Oil 4.41+ Industry Classification as recommended by AMFIIndustry Allocation of Equity Holding (% of Net Assets)Diversified 2.60Engineering 2.56Construction 2.29Ferrous Metals 2.07Auto 2.03Industrial Products 1.55Chemicals 1.22Textiles - Synthetic 0.58Consumer Durables 0.31Std DeviationBeta Sharpe Ratio*Risk Ratio (for the 3-yr period ended March 31, 2007) 6.60% 0.9330 0.48Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 127.049 12.24* 8.42*Mar 30, 04 Last 3 Years (1095 days) 51.040 40.84** 29.71**Mar 28, 02 Last 5 Years (1828 days) 22.310 44.83** 32.26**Mar 28, 97 Last 10 Years (3654 days) 6.020 37.18** 16.51**Jan 01, 95 Since Inception (4471 days) 10.000 24.23** 10.04**^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns#S&P CNX 500 (Please refer to page no 31)Portfolio – Top 10 Holdings (as at March 31, 2007)Company Industry + / Rating % to NAVEQUITY & EQUITY RELATEDInfosys Technologies Ltd. Software 6.08Oil & Natural Gas Corporation Ltd. Oil 6.00Reliance Industries Ltd. Petroleum Products 5.63Crompton Greaves Ltd. Industrial Capital Goods 5.30Amtek Auto Ltd. Auto Ancillaries 4.73Larsen and Toubro Ltd. Diversified 4.62Zee Entertainment Enterprises Ltd. Media & Entertainment 3.97ITC Ltd. Consumer Non Durables 3.88CMC Ltd. Hardware 3.88Sun Pharmaceutical Industries Ltd. Pharmaceuticals 3.48Total of Top Ten Equity Holdings 47.57Total Equity & Equity Related Holdings 97.64Debt / Money Market InstrumentKarur Vysya Bank Ltd. P1+ 0.38State Bank of Indore P1+ 0.38The Federal Bank Ltd. P1+ 0.26State Bank Of Hyderabad A1+ 0.25Total Debt / Money Market Instrument(aggregated holdings in a single issuer) 1.27Other Current Assets (Including Reverse Repos’ / CBLO) 1.09Grand Total 100.00Net Assets (Rs. In Lakhs) 389,289.84Portfolio Turnover Ratio (Last 1 Year) 157.62%+ Industry Classification as recommended by AMFITotal outstanding position (as at March 31, 2007) in Derivative Instruments(Notional) Rs. 2682 lacs.✤ Past performance is no guarantee of future results.♓ Please refer to page no 31 for details on the Rating MethodologyIndustry Allocation of Equity Holding (% of Net Assets)Software 14.07Industrial Capital Goods 11.63Petroleum Products 8.70Auto Ancillaries 7.84Consumer Non Durables 7.83Media & Entertainment 7.05Pharmaceuticals 6.36Oil 6.00Banks 5.30Diversified 4.62Hardware 3.88Construction 3.39Pesticides 3.34Telecom - Services 1.67Textiles - Silk 1.43Ferrous Metals 1.33Cement 1.12Chemicals 0.98Textiles - Synthetic 0.60Retailing 0.50Std DeviationBeta Sharpe Ratio*Risk Ratio (for the 3-yr period ended March 31, 2007) 6.87% 0.9478 0.50Source : CRISIL Fund Analyser * Risk-free rate assumed to be 5% Source : CRISIL Fund Analyser * Risk-free rate assumed to be 5%12 March 2007 Intouchmutually

hdfc-eq-r.qxd 4/7/2007 11:43 Page 2HDFC Top200 FundIN EQUITY - DIVERSIFIED CATEGORY(78 schemes) for 3 and 5 yearperiods ending March 31, 2007An open-ended growth schemeHDFC CapitalBuilder FundAn open-ended growth schemeNAV (as at March 30, 2007)Relative Performance ^ (Growth Plan)NAV per Unit (Rs.)Growth Plan 104.504Dividend Plan 34.565NAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Plan 60.300Dividend Plan 21.498Relative Performance ^ (Growth Plan)Date Period NAV Returns Benchmarkper Unit (Rs.) (%) $$^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 96.442 8.36* 10.58*Mar 30, 04 Last 3 Years (1095 days) 39.439 38.38** 28.96**Mar 28, 02 Last 5 Years (1828 days) 16.260 44.99** 31.57**Mar 28, 97 Last 10 Years (3654 days) 10.996 27.73** 15.92**Oct 11, 96 Since Inception (3822 days) 10.000 27.51** 16.54**^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns #BSE 200$$ Adjusted for the dividends declared under the scheme prior to its splittng into theDividend and Growth PlansPortfolio – Top 10 Holdings (as at March 31, 2007)Company / Issuer Industry + / Rating % to NAVEQUITY & EQUITY RELATEDOil & Natural Gas Corporation Ltd. Oil 7.76Reliance Industries Ltd. Petroleum Products 6.44ITC Ltd. Consumer Non Durables 4.26Bharti Airtel Ltd. Telecom - Services 3.92Tata Consultancy Services Ltd. Software 3.88Infosys Technologies Ltd. Software 3.71ICICI Bank Ltd. Banks 3.51Hindustan Petroleum Corporation Ltd. Petroleum Products 3.29Wipro Ltd. Software 2.83Amtek Auto Ltd. Auto Ancillaries 2.72Total of Top Ten Equity Holdings 42.32Total Equity & Equity Related Holdings 95.69Debt / Money Market InstrumentICICI Bank Ltd. PR1+ 2.03Total Debt / Money Market Instrument(aggregated holdings in a single issuer) 2.03Other Current Assets (Including Reverse Repos’ / CBLO) 2.28Grand Total 100.00Net Assets (Rs. In Lakhs) 170,276.66Portfolio Turnover Ratio (Last 1 Year) 168.48%+ Industry Classification as recommended by AMFI✤ Past performance is no guarantee of future results.♓ Please refer to page no 31 for details on the Rating MethodologyIndustry Allocation of Equity Holding (% of Net Assets)Software 12.12 Auto 2.33Petroleum Products 11.98 Construction 2.27Banks 10.18 Cement 2.24Consumer Non Durables 9.57 Ferrous Metals 2.01Industrial Capital Goods 8.12 Pesticides 1.67Oil 7.76 Media & Entertainment 1.45Pharmaceuticals 6.75 Transportation 1.09Auto Ancillaries 6.64 Power 0.97Telecom - Services 4.91 Textiles - Silk 0.18Diversified 3.45Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 59.499 1.35* 8.42*Mar 30, 04 Last 3 Years (1095 days) 22.509 38.88** 29.71**Mar 28, 02 Last 5 Years (1828 days) 11.030 40.38** 32.26**Mar 28, 97 Last 10 Years (3654 days) 6.220 25.47** 16.51**Feb 01, 94 Since Inception (4805 days) 10.000 14.62** 8.59**^Past performance may or may not be sustained in the future* Absolute Returns #S&P CNX 500 (Please refer to page no 31)** Compounded Annualised ReturnsPortfolio – Top 10 Holdings (as at March 31, 2007)Company Industry + / Rating % to NAVEQUITY & EQUITY RELATEDContainer Corporation of India Ltd. Transportation 6.54Sintex Industries Ltd. Industrial Products 6.24Bharat Electronics Ltd. Industrial Capital Goods 6.11SKF India Ltd. Industrial Products 5.40Jindal Steel & Power Ltd. Ferrous Metals 5.10Bharat Heavy Electricals Ltd. Industrial Capital Goods 4.59IPCA Laboratories Ltd. Pharmaceuticals 4.48Crompton Greaves Ltd. Industrial Capital Goods 4.36Motor Industries Company Ltd. Auto Ancillaries 3.72Hindustan Zinc Ltd. Non - Ferrous Metals 3.36Total of Top Ten Equity Holdings 49.90Total Equity & Equity Related Holdings 92.89Debt / Money Market InstrumentIDBI Bank Ltd. P1+ 3.87State Bank of Mysore A1+ 2.71State Bank of Saurashtra P1+ 0.77Total Debt / Money Market Instrument(aggregated holdings in a single issuer) 7.35Other Current Assets (Including Reverse Repos’ / CBLO) (0.24)Grand Total 100.00Net Assets (Rs. In Lakhs) 64,037.40Portfolio Turnover Ratio (Last 1 Year) 33.10%+ Industry Classification as recommended by AMFIIndustry Allocation of Equity Holding (% of Net Assets)Industrial Capital Goods 15.06 Diversified 3.04Industrial Products 11.82 Media & Entertainment 2.78Ferrous Metals 9.78 Textile Products 2.56Transportation 7.81 Chemicals 1.29Consumer Non Durables 7.69 Textiles - Silk 1.28Banks 7.50 Hotels 1.05Auto Ancillaries 6.82 Oil 0.67Pharmaceuticals 4.84 Telecom - Equipment &Software 4.79 Accessories 0.52Non - Ferrous Metals 3.36 Telecom - Services 0.23Std Deviation Beta Sharpe Ratio*Std Deviation Beta Sharpe Ratio*Risk Ratio (for the 3-yr period ended March 31, 2007) 6.58% 0.9091 0.49 Risk Ratio (for the 3-yr period ended March 31, 2007) 6.65% 0.8441 0.52Source : CRISIL Fund Analyser * Risk-free rate assumed to be 5% Source : CRISIL Fund Analyser * Risk-free rate assumed to be 5%IntouchmutuallyMarch 2007 13

hdfc-eq-r.qxd 4/7/2007 11:43 Page 3HDFC Core & Satellite FundAn open-ended growth schemeHDFC Premier Multi-Cap FundAn open-ended growth schemeNAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 23.935Dividend Option 18.439Relative Performance ^ (Growth Option)NAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 17.631Dividend Option 13.766Relative Performance ^ (Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 16.738 5.34* 8.42*Apr 06, 05 Since Inception (723 days) 10.000 33.15** 32.29**^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns#S&P CNX 500 (Please refer to page no 31)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 23.639 1.25* 10.58*Sep 17, 04 Since Inception (924 days) 10.000 41.16** 35.25**^Past performance may or may not be sustained in the future*Absolute Returns #BSE 200 ** Compounded Annualised ReturnsPortfolio – Top 10 Holdings (as at March 31, 2007)Company Industry + / Rating % to NAVEQUITY & EQUITY RELATEDCrompton Greaves Ltd. Industrial Capital Goods 7.26Satyam Computer Services Ltd. Software 6.64Bharti Airtel Ltd. Telecom - Services 6.59Reliance Industries Ltd. Petroleum Products 6.45Infosys Technologies Ltd. Software 6.33United Phosphorus Ltd. Pesticides 6.33State Bank of India Banks 5.28KEC International Ltd. Power 3.78Bharat Heavy Electricals Ltd. Industrial Capital Goods 3.55Tata Consultancy Services Ltd. Software 3.39Total of Top Ten Equity Holdings 55.60Total Equity & Equity Related Holdings 94.62Debt / Money Market InstrumentState Bank of Mysore A1+ 6.22Total Debt / Money Market Instrument(aggregated holdings in a single issuer) 6.22Other Current Assets (Including Reverse Repos’ / CBLO) (0.84)Grand Total 100.00Net Assets (Rs. In Lakhs) 63,742.99Portfolio Turnover Ratio (Last 1 Year) 118.56%+ Industry Classification as recommended by AMFITotal outstanding position (as at March 31, 2007) in Derivative Instruments(Notional) Rs. 618 lacs.Industry Allocation of Equity Holding (% of Net Assets)Software 17.42Industrial Capital Goods 10.81Banks 7.88Auto Ancillaries 7.76Telecom - Services 6.59Petroleum Products 6.45Pesticides 6.33Power 4.64Pharmaceuticals 4.42Diversified 4.31Construction 3.68Industrial Products 3.35Auto 3.14Consumer Non Durables 3.13Consumer Durables 2.57Chemicals 1.15Ferrous Metals 0.99Portfolio – Top 10 Holdings (as at March 31, 2007)Company / Issuer Industry + % to NAVEQUITY & EQUITY RELATEDAmtek Auto Ltd. Auto Ancillaries 8.92Bharti Airtel Ltd. Telecom - Services 7.97Infosys Technologies Ltd. Software 7.38Crompton Greaves Ltd. Industrial Capital Goods 6.35Satyam Computer Services Ltd. Software 6.31Oil & Natural Gas Corporation Ltd. Oil 5.52Reliance Industries Ltd. Petroleum Products 5.11United Phosphorus Ltd. Pesticides 4.91Maruti Udyog Ltd. Auto 4.89Hindustan Lever Ltd. Diversified 4.74Total of Top Ten Equity Holdings 62.10Total Equity & Equity Related Holdings 98.56Other Current Assets (Including Reverse Repos’ / CBLO) 1.44Grand Total 100.00Net Assets (Rs. In Lakhs) 67,070.66Portfolio Turnover Ratio (Last 1 Year) 93.42%+ Industry Classification as recommended by AMFITotal outstanding position (as at March 31, 2007) in Derivative Instruments(Notional) Rs. 522 lacs.Industry Allocation of Equity Holding (% of Net Assets)Software 17.03Industrial Capital Goods 13.86Auto Ancillaries 8.92Diversified 8.36Telecom - Services 8.22Oil 7.67Media & Entertainment 5.30Petroleum Products 5.11Pesticides 4.91Auto 4.89Banks 4.84Consumer Non Durables 4.35Power 1.97Textile Products 1.35Construction 0.86Pharmaceuticals 0.79Finance 0.1314 March 2007 Intouchmutually

hdfc-eq-r.qxd 4/7/2007 11:43 Page 4HDFC Index FundIN EQUITY - INDEX CATEGORY(18 schemes) for 3 and 5 yearperiods ending March 31 2007An open-ended index linked schemeHDFC Index FundAn open-ended index linked schemeSENSEX Plan (Face Value per Unit: Rs. 32.161)NAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 120.3293Relative Performance ^NIFTY Plan (Face Value per Unit: Rs. 10.326)NAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 37.3006Relative Performance ^Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 105.0131 14.59* 18.88*Mar 30, 04 Last 3 Years (1095 days) 52.4400 31.90** 37.71**Jul 17, 02 Since Inception (1717 days) 32.1610^^ 32.38** 38.47**^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns#SENSEX (Total Returns Index)^^Face Value per UnitDate Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 33.7736 10.44* 13.78*Mar 30, 04 Last 3 Years (1095 days) 17.6510 28.33** 32.16**Jul 17, 02 Since Inception (1717 days) 10.3260^^ 31.39** 34.50**^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns#S&P CNX Nifty (Total Returns Index)^^Face Value per UnitPortfolio – Top 10 Holdings (as at March 31, 2007)Company Industry + % to NAVEQUITY & EQUITY RELATEDInfosys Technologies Ltd. Software 10.88Reliance Industries Ltd. Petroleum Products 10.87ICICI Bank Ltd. Banks 8.70Bharti Airtel Ltd. Telecom - Services 5.78Larsen and Toubro Ltd. Diversified 4.67ITC Ltd. Consumer Non Durables 4.52Oil & Natural Gas Corporation Ltd. Oil 4.28Housing Development Finance Corporation Ltd.$ Finance 3.91Reliance Communication Ltd Telecom - Services 3.43Satyam Computer Services Ltd. Software 3.35Total of Top Ten Equity Holdings 60.39Total Equity & Equity Related Holdings 94.82Other Current Assets (Including Reverse Repos’ / CBLO) 5.18Grand Total 100.00Net Assets (Rs. In Lakhs) 2,937.14Portfolio Turnover Ratio (Last 1 Year) 350.53%+ Industry Classification as recommended by AMFI $ Sponsor✤ Past performance is no guarantee of future results.♓ Please refer to page no 31 for details on the Rating MethodologyIndustry Allocation of Equity Holding (% of Net Assets)Software 18.82Banks 14.13Petroleum Products 10.87Telecom - Services 9.21Diversified 7.25Auto 5.74Consumer Non Durables 4.52Oil 4.28Cement 3.96Finance 3.91Pharmaceuticals 3.46Power 3.08Industrial Capital Goods 2.21Ferrous Metals 2.09Non - Ferrous Metals 1.29Portfolio – Top 10 Holdings (as at March 31, 2007)Company Industry + % to NAVEQUITY & EQUITY RELATEDReliance Industries Ltd. Petroleum Products 9.89Oil & Natural Gas Corporation Ltd. Oil 9.76Bharti Airtel Ltd. Telecom - Services 7.50Tata Consultancy Services Ltd. Software 6.25Infosys Technologies Ltd. Software 5.86Reliance Communication Ltd Telecom - Services 4.46Wipro Ltd. Software 4.18ICICI Bank Ltd. Banks 3.96ITC Ltd. Consumer Non Durables 2.94Bharat Heavy Electricals Ltd. Industrial Capital Goods 2.86Total of Top Ten Equity Holdings 57.66Total Equity & Equity Related Holdings 98.99Other Current Assets (Including Reverse Repos’ / CBLO) 1.01Grand Total 100.00Net Assets (Rs. In Lakhs) 1,328.87Portfolio Turnover Ratio (Last 1 Year) 214.61%+ Industry Classification as recommended by AMFIIndustry Allocation of Equity Holding (% of Net Assets)Software 18.89Telecom - Services 13.03Petroleum Products 10.90Oil 9.76Banks 9.24Industrial Capital Goods 6.08Auto 5.67Diversified 4.69Pharmaceuticals 3.81Ferrous Metals 3.80Consumer Non Durables 3.37Cement 2.54Finance 1.98Non - Ferrous Metals 1.56Gas 1.16Power 1.11Media & Entertainment 0.69Chemicals 0.42Transportation 0.29Tracking Error Since Inception (Annualised) 2.44% Tracking Error Since Inception (Annualised) 2.86%IntouchmutuallyMarch 2007 15

hdfc-eq-r.qxd 4/9/2007 14:50 Page 5HDFC Index FundSENSEX Plus Plan (Face Value per Unit: Rs. 32.161)NAV (as at March 30, 2007)Relative Performance ^An open-ended index linked schemeNAV per Unit (Rs.)Growth Option 139.6805Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 122.1058 14.39* 18.88*Mar 30, 04 Last 3 Years (1095 days) 57.8770 34.14** 37.71**Jul 17, 02 Since Inception (1717 days) 32.1610^^ 36.64** 38.47**^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns#SENSEX (Total Returns Index)^^ Face Value per UnitPortfolio – Top 10 Holdings (as at March 31, 2007)Company Industry + % to NAVEQUITY & EQUITY RELATEDInfosys Technologies Ltd. Software 10.79Reliance Industries Ltd. Petroleum Products 10.78ICICI Bank Ltd. Banks 8.62Bharti Airtel Ltd. Telecom - Services 5.73ABB Ltd.# Industrial Capital Goods 5.01Larsen and Toubro Ltd. Diversified 4.62ITC Ltd. Consumer Non Durables 4.48Oil & Natural Gas Corporation Ltd. Oil 4.24Housing Development Finance Corporation Ltd.$ Finance 3.88Sun Pharmaceutical Industries Ltd. Pharmaceuticals 3.72Total of Top Ten Equity Holdings 61.87Total Equity & Equity Related Holdings 104.76Other Current Assets (Including Reverse Repos’ / CBLO) (4.76)Grand Total 100.00Net Assets (Rs. In Lakhs) 1,418.32Portfolio Turnover Ratio (Last 1 Year) 197.59%+ Industry Classification as recommended by AMFI$ Sponsor, # Non-Index ScripIndustry Allocation of Equity Holding (% of Net Assets)Software 18.68Banks 13.99Petroleum Products 10.78Telecom - Services 9.13Industrial Capital Goods 7.20Diversified 7.18Pharmaceuticals 7.15Auto 5.68Consumer Non Durables 4.48Oil 4.24Cement 3.92Finance 3.88Power 3.05Ferrous Metals 2.07Industrial Products 1.96Non - Ferrous Metals 1.37Dividend History ^HDFC Growth FundRecord Cum Div Dividend Per unit (Rs.) ForDate NAV (Rs.) Individuals & HUF OthersDec 15, 04 17.7110 2.00 2.00Dec 30, 05 23.1230 2.50 2.50HDFC Equity FundRecord Date NAV per Unit (Rs.) DividendCum Dividend Per Unit (Rs.)Aug 06, 99 16.030 1.60Nov 29, 99 19.100 2.00Mar 24, 00 21.520 3.00Dec 22, 00 12.660 1.70Mar 15, 02 13.470 1.20Jul 15, 03 17.097 2.00Sep 30, 03 18.792 2.50HDFC Top 200 FundRecord Date NAV per Unit (Rs.) DividendCum Dividend Per Unit (Rs.)Jan 07, 00 25.810 2.50Mar 24, 00 24.810 2.50Aug 25, 00 16.030 2.10Feb 23, 01 13.840 2.00Mar 15, 02 12.440 1.20Jul 15, 03 16.272 2.00Oct 31, 03 19.899 2.50HDFC Capital Builder FundRecord Date NAV per Unit (Rs.) DividendCum Dividend Per Unit (Rs.)Jul 07, 00 13.810 2.00Jan 30, 04 19.4770 5.00Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersJan 11, 07 22.6100 3.00 3.00HDFC Balanced FundRecord Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersDec 30, 05 18.2720 2.00 2.00HDFC Prudence FundRecord Date NAV per Unit (Rs.) DividendCum Dividend Per Unit (Rs.)Nov 29, 99 17.730 2.00Apr 07, 00 15.200 1.50Mar 09, 01 12.700 0.90Mar 15, 02 13.900 1.00Jul 15, 03 18.737 2.00Dec 26, 03 23.711 3.00HDFC Long Term Advantage Fund(An open-ended equity linked savings scheme with a lock-in period of 3 years)Record Date NAV per Unit (Rs.) DividendCum Dividend Per Unit (Rs.)Mar 18, 02 11.600 1.20Feb 14, 03 12.172 1.20Feb 13, 04 26.075 2.00Mar 15, 04 22.937 2.00Dividend PlanRecord Cum Div Dividend Per unit (Rs.) ForDate NAV (Rs.) Individuals & HUF OthersDec 28, 06 29.6810 3.50 3.50Dividend PlanRecord Date NAV per Unit (Rs.) DividendCum Dividend Per Unit (Rs.)Mar 19, 04 20.790 1.50Record Cum Div Dividend Per unit (Rs.) ForDate NAV (Rs.) Individuals & HUF OthersNov 30, 04 23.4450 3.00 3.00Mar 17, 06 41.8770 5.00 5.00Mar 07, 07 40.3520 5.00 5.00Dividend PlanRecord Date NAV per Unit (Rs.) DividendCum Dividend Per Unit (Rs.)Mar 08, 04 21.959 1.50Record Cum Div Dividend Per unit (Rs.) ForDate NAV (Rs.) Individuals & HUF OthersDec 15, 04 24.0660 3.00 3.00Feb 17, 06 36.4090 4.50 4.50Feb 07, 07 42.9680 5.00 5.00Dividend PlanRecord Cum Div Dividend Per unit (Rs.) ForDate NAV (Rs.) Individuals & HUF OthersFeb 04, 05 22.5520 5.00 5.00Feb 17, 06 26.6200 5.00 5.00Feb 07, 07 26.3890 3.00 3.00HDFC Core & Satellite Fund HDFC Premier Multi-Cap FundDividend OptionDividend OptionHDFC TaxSaver(An open-ended equity linked savings scheme with a lock-in period of 3 years)Record Date NAV per Unit (Rs.) DividendCum Dividend Per Unit (Rs.)Aug 06, 99 25.6900 3.60Nov 29, 99 35.4400 5.00Apr 03, 00 41.5800 21.00Mar 30, 01 15.7200 1.60Mar 15, 02 17.9400 2.00Jul 15, 03 19.9220 2.00Feb 27, 04 28.4330 2.00Record Cum Div Dividend Per unit (Rs.) ForDate NAV (Rs.) Individuals & HUF OthersMar 03, 06 15.7560 1.75 1.75Feb 21, 07 16.6540 2.00 2.00Dividend PlanRecord Cum Div Dividend Per unit (Rs.) ForDate NAV (Rs.) Individuals & HUF OthersDec 28, 06 20.5880 2.50 2.50Dividend PlanRecord Date NAV per Unit (Rs.) DividendCum Dividend Per Unit (Rs.)Mar 15, 04 20.247 1.50Record Cum Div Dividend Per unit (Rs.) ForDate NAV (Rs.) Individuals & HUF OthersMar 18, 05 25.2650 5.00 5.00Mar 03, 06 30.5430 5.00 5.00Feb 21, 07 32.4830 5.00 5.00Dividend PlanRecord Cum Div Dividend Per unit (Rs.) ForDate NAV (Rs.) Individuals & HUF OthersFeb 04, 05 32.588 5.00 5.00Jan 13, 06 44.270 6.00 6.00Jan 11, 07 46.4680 6.00 6.00Dividend PlanRecord Date NAV per Unit (Rs.) DividendCum Dividend Per Unit (Rs.)Mar 15, 04 26.7160 2.00Record Cum Div Dividend Per unit (Rs.) ForDate NAV (Rs.) Individuals & HUF OthersFeb 17, 05 40.572 5.00 5.00Mar 17, 06 67.080 7.50 7.50Mar 07, 07 60.360 7.50 7.50^ Past performance may or may not be sustained in the future.All dividends are on face value of Rs.10 per Unit. After payment of the dividend, the per Unit NAV will fall tothe extent of the payout and distribution tax (if applicable).16 March 2007 Intouchmutually

hdfc-eq-r.qxd 4/7/2007 11:43 Page 6HDFC Balanced FundAn open-ended balanced schemeNAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Plan 29.183Dividend Plan 16.486Relative Performance ^ (Growth Plan)HDFCPrudence FundNAV (as at March 30, 2007)An open-ended balanced schemeNAV per Unit (Rs.)Growth Plan 110.132Dividend Plan 26.185Relative Performance ^ (Growth Plan)IN HYBRID EQUITY - ORIENTED CATEGORY(27 schemes) for 3 and 5 yearperiods ending March 31, 2007Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 28.741 1.54* 10.40*Mar 30, 04 Last 3 Years (1095 days) 16.609 20.67** N.A.Mar 28, 02 Last 5 Years (1828 days) 10.505 22.63** N.A.Sep 11, 00 Since Inception (2391 days) 10.000 17.76** N.A.^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns #CRISIL Balanced Fund IndexN.A. Not AvailablePortfolio – Top 10 Holdings (as at March 31, 2007)Company / Issuer Industry + / Rating % to NAVEQUITY & EQUITY RELATEDTata Consultancy Services Ltd. Software 7.97Infosys Technologies Ltd. Software 6.53Sun Pharmaceutical Industries Ltd. Pharmaceuticals 5.85Larsen and Toubro Ltd. Diversified 5.23Reliance Industries Ltd. Petroleum Products 5.06Tata Elxsi Ltd. Hardware 4.69Jindal Saw Ltd. Steel 4.55Bank of Baroda Banks 3.97KEC International Ltd. Power 3.57Coromandel Fertilisers Ltd. Fertilisers 3.38Total of Top Ten Equity Holdings 50.80Total Equity & Equity Related Holdings 66.85Debt / Money Market InstrumentLoan Securitisation Trust - Grasim Industries Ltd. AAA(SO) 5.67State Bank of Patiala P1+ 4.55Indian Railways Finance Corp. Ltd. AAA 4.38Indian Oil Corporation Ltd. AAA 4.28Housing Dev. Finance Corpn Ltd.$ AAA 4.27Loan Securitisation Trust - Bajaj Auto Ltd. AAA(SO) 4.26Loan Securitisation Trust - Reliance Industries Ltd. AAA(SO) 2.27Total Debt / Money Market Instrument(aggregated holdings in a single issuer) 29.68Other Current Assets (Including Reverse Repos’ / CBLO) 3.47Grand Total 100.00Net Assets (Rs. In Lakhs) 10,832.47Date Period NAV Returns Benchmarkper Unit (Rs.) (%)$$^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 95.088 15.82* 10.40*Mar 30, 04 Last 3 Years (1095 days) 45.245 34.52**~ N.A.Mar 28, 02 Last 5 Years (1828 days) 19.230 41.69**~ N.A.Mar 28, 97 Last 10 Years (3654 days) 9.260 29.25** N.A.Feb 01, 94 Since Inception (4805 days) 10.000 22.35** N.A.^Past performance may or may not be sustained in the future N.A. Not Available* Absolute Returns ** Compounded Annualised Returns #CRISIL Balanced Fund Index$$ Adjusted for the dividends declared under the scheme prior to its splittng into theDividend and Growth Plans ~ Due to an over all sharp rise in the stock pricesPortfolio – Top 10 Holdings (as at March 31, 2007)Company / Issuer Industry + / Rating % to NAVEQUITY & EQUITY RELATEDOil & Natural Gas Corporation Ltd. Oil 5.09AIA Engineering Ltd. Industrial Capital Goods 3.88Infosys Technologies Ltd. Software 3.52Crompton Greaves Ltd. Industrial Capital Goods 3.50Punj Lloyd Ltd. Construction 3.10Hindustan Petroleum Corporation Ltd. Petroleum Products 3.00Pidilite Industries Ltd. Chemicals 2.97Amtek Auto Ltd. Auto Ancillaries 2.91KEC International Ltd. Power 2.89United Phosphorus Ltd. Pesticides 2.80Total of Top Ten Equity Holdings 33.66Total Equity & Equity Related Holdings 72.86Debt / Money Market InstrumentICICI Bank Ltd. P1+ 9.44State Bank Of Hyderabad A1+ 1.77UTI Bank Ltd. AA+ 1.38ACC Ltd. AA+ 1.16UCO Bank P1+ 1.15Ultratech Cemco Ltd. AA+ 1.11Allahabad Bank PR1+ 1.06Housing Dev. Finance Corpn Ltd.$ AAA 0.93Export - Import Bank of India AAA 0.92State Bank of Patiala P1+ 0.92Total of Top Ten Debt / Money Market Instrument(aggregated holdings in a single issuer) 19.84Total Debt / Money Market Instrument 23.97Other Current Assets (Including Reverse Repos’ / CBLO) 3.17Grand Total 100.00Net Assets (Rs. In Lakhs) 215,046.20Portfolio Turnover Ratio (Last 1 Year) 168.45%+ Industry Classification as recommended by AMFI $ Sponsor✤ Past performance is no guarantee of future results.♓ Please refer to page no 31 for details on the Rating MethodologyPortfolio Turnover Ratio (Last 1 Year) 67.32%+ Industry Classification as recommended by AMFI $ SponsorIndustry Allocation of Equity Holding (% of Net Assets)Industry Allocation of Equity Holding (% of Net Assets) Industrial Capital Goods 11.24 Pesticides 2.80Auto Ancillaries 9.16 Industrial Products 2.12Software 14.50 Fertilisers 3.38 Media & Entertainment 8.39 Retailing 0.61Pharmaceuticals 10.88 Auto Ancillaries 2.55 Consumer Non Durables 7.18 Textiles - Silk 0.55Banks 6.17 Textile Products 1.98 Software 5.75 Pharmaceuticals 0.50Diversified 5.23 Oil 1.69 Oil 5.09 Textile Products 0.49Petroleum Products 5.06 Transportation 1.57Banks 4.45 Consumer Durables 0.47Chemicals 3.82 Ferrous Metals 0.43Hardware 4.69 Chemicals 0.91Construction 3.10 Textiles - Synthetic 0.35Steel 4.55 Finance 0.12 Petroleum Products 3.00 Transportation 0.28Power 3.57Power 2.89 Trading 0.19IntouchmutuallyMarch 2007 17

hdfc-eq-r.qxd 4/7/2007 11:43 Page 7HDFC Children’s Gift FundAn open-ended balanced schemeInvestment PlanNAV (as at March 30, 2007)Relative Performance ^NAV per Unit (Rs.)Growth Option 23.946HDFC Children’s Gift FundAn open-ended balanced schemeSavings PlanNAV (as at March 30, 2007)Relative Performance ^NAV per Unit (Rs.)Growth option 14.526Date Period NAV Returns Benchmark$ SponsorDate Period NAV Returns Benchmark+ Industry Classification as recommended by AMFI Average Portfolio Maturity (Other than equity investments) 1.27 yearsper Unit (Rs.) (%)^ Returns (%)#per Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 23.648 1.26* 10.40* Mar 30, 06 Last 1 Year (365 days) 14.759 -1.58* 5.69*Mar 30, 04 Last 3 Years (1095 days) 17.727 20.65** N.A. Mar 30, 04 Last 3 Years (1095 days) 15.371 7.10** N.A.Mar 28, 02 Last 5 Years (1828 days) 11.521 21.95** N.A. Mar 28, 02 Last 5 Years (1828 days) 11.397 10.61** N.A.Mar 02, 01 Since Inception (2219 days) 10.000 20.54** N.A. Mar 02, 01 Since Inception (2219 days) 10.000 11.02** N.A.^Past performance may or may not be sustained in the future^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns * Absolute Returns ** Compounded Annualised Returns#CRISIL Balanced Fund IndexN.A. Not Available #CRISIL MIP Blended IndexN.A. Not AvailablePortfolio – Top 10 Holdings (as at March 31, 2007)Portfolio – Top Holdings (as at March 31, 2007)Company / Issuer Industry + / Rating % to NAVCompany / Issuer Industry + / Rating % to NAVEQUITY & EQUITY RELATEDEQUITY & EQUITY RELATEDEsab India Ltd. Industrial Products 6.43 Sun Pharmaceutical Industries Ltd. Pharmaceuticals 1.97Bharti Airtel Ltd. Telecom - Services 6.38 Esab India Ltd. Industrial Products 1.70Reliance Industries Ltd. Petroleum Products 6.30 Synergy Mulitbase Ltd. Consumer Durables 0.87Thermax Ltd. Industrial Capital Goods 4.96 Technocraft Industries (India) Ltd Industrial Products 0.83Sun Pharmaceutical Industries Ltd. Pharmaceuticals 4.41 Sparsh BPO Services Ltd. IT Consulting & Services 0.54Satyam Computer Services Ltd. Software 4.13 Total Equity & Equity Related Holdings 5.91Biocon Limited Pharmaceuticals 4.06 Debt / Money Market InstrumentCipla Ltd. Pharmaceuticals 3.96 State Bank of Saurashtra P1+ 18.46Infosys Technologies Ltd. Software 3.69Loan Securitisation Trust - Grasim Industries Ltd. AAA(SO) 12.88Deccan Chronicle Holdings Ltd. Media & Entertainment 3.24Housing Dev. Finance Corpn Ltd.$ AAA 10.33Total of Top Ten Equity Holdings 47.56Power Finance Corpn Ltd. AAA 8.66Total Equity & Equity Related Holdings 67.88ACC Ltd. AA+ 5.60Debt / Money Market InstrumentCiticorp Finance (India) Ltd. AAA 5.54ICICI Bank Ltd. PR1+ 12.39JUS Trust - Jet Airways AAA(SO) 5.77Export - Import Bank of India AAA 5.41Loan Securitisation Trust - Grasim Industries Ltd. AAA(SO) 5.14 Indian Railways Finance Corp. Ltd. AAA 5.30Loan Securitisation Trust - Bajaj Auto Ltd. AAA(SO) 2.20 Citi Financial Consumer Fin.(I) Ltd AAA 4.65Indian Railways Finance Corp. Ltd. AAA 1.59 Standard Chartered Bank AAA 1.98Housing Dev. Finance Corpn Ltd.$ AAA 1.55 Total of Top Ten Debt / Money Market InstrumentStandard Chartered Bank AAA 0.89 (aggregated holdings in a single issuer) 78.81Total Debt / Money Market InstrumentTotal Debt / Money Market Instrument 85.31(aggregated holdings in a single issuer) 29.53 Other Current Assets (Including Reverse Repos’ / CBLO) 8.78Other Current Assets (Including Reverse Repos’ / CBLO) 2.59 Grand Total 100.00Grand Total 100.00 Net Assets (Rs. In Lakhs) 5,369.56Net Assets (Rs. In Lakhs) 11,965.98Portfolio Turnover Ratio (Last 1 Year) 100.59%Industry Allocation of Equity Holding (% of Net Assets)+ Industry Classification as recommended by AMFI $ SponsorPharmaceuticals 12.43Industrial Products 10.35Industrial Capital Goods 8.10Software 7.82Telecom - Services 6.38Petroleum Products 6.30Media & Entertainment 3.24Auto 3.08Power 2.74Diversified 2.14Banks 1.80Consumer Non Durables 1.77Auto Ancillaries 1.55Consumer Durables 0.18Industry Allocation of Equity Holding (% of Net Assets)Industrial Products 2.53Pharmaceuticals 1.97Consumer Durables 0.87IT Consulting & Services 0.5418 March 2007 Intouchmutually

hdfc-eq-r.qxd 4/7/2007 11:43 Page 8HDFC Long TermAdvantage Fund*IN EQUITY - TAX PLANNING CATEGORY(20 schemes) for 3 and 5 yearperiods ending March 31, 2007HDFCTaxSaverIN EQUITY - TAX PLANNING CATEGORY(20 schemes) for 3 and 5 yearperiods ending March 31, 2007An open-ended equity linked savings scheme with a lock-in period of 3 years* Previously HDFC Tax Plan 2000NAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Plan 86.337Dividend Plan 37.588Relative Performance ^ (Growth Plan)An open-ended equity linked savings scheme with a lock-in period of 3 yearsNAV (as at March 30, 2007)Relative Performance ^ (Growth Plan)NAV per Unit (Rs.)Growth Plan 133.882Dividend Plan 56.312Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 85.296 1.22* 15.61*Mar 30, 04 Last 3 Years (1095 days) 30.777 41.03** 33.29**Mar 28, 02 Last 5 Years (1828 days) 11.526 49.49** 30.33**Jan 02, 01 Since Inception (2278 days) 10.000 41.26** 20.80**^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns#SENSEXPortfolio – Top 10 Holdings (as at March 31, 2007)Company Industry + / Rating % to NAVEQUITY & EQUITY RELATEDContainer Corporation of India Ltd. Transportation 4.80Reliance Industries Ltd. Petroleum Products 4.47Maharashtra Seamless Ltd. Ferrous Metals 4.17Blue Star Ltd. Consumer Durables 3.96Heritage Foods India Ltd. Consumer Non Durables 3.59Infosys Technologies Ltd. Software 3.32Bharat Electronics Ltd. Industrial Capital Goods 3.31State Bank of India Banks 3.24AIA Engineering Ltd. Industrial Capital Goods 2.83Kansai Nerolac Paints Ltd. Consumer Non Durables 2.73Total of Top Ten Equity Holdings 36.42Total Equity & Equity Related Holdings 85.81Debt / Money Market InstrumentThe Federal Bank Ltd. P1+ 4.03Karur Vysya Bank Ltd. F1+ 2.43State Bank of Saurashtra P1+ 2.43Total Debt / Money Market Instrument(aggregated holdings in a single issuer) 8.89Other Current Assets (Including Reverse Repos’ / CBLO) 5.30Grand Total 100.00Net Assets (Rs. In Lakhs) 61,306.33Portfolio Turnover Ratio (Last 1 Year) 26.63%+ Industry Classification as recommended by AMFI✤ Past performance is no guarantee of future results.♓ Please refer to page no 31 for details on the Rating MethodologyIndustry Allocation of Equity Holding (% of Net Assets)Consumer Non Durables 15.34Industrial Capital Goods 11.14Software 9.48Auto Ancillaries 7.65Industrial Products 6.67Transportation 6.26Petroleum Products 4.47Ferrous Metals 4.17Consumer Durables 3.96Banks 3.24Pesticides 2.27Diversified 2.18Auto 2.14Pharmaceuticals 1.41Textile Products 1.41Oil 1.37Power 1.07Gas 1.05Chemicals 0.32Telecom - Services 0.21Date Period NAV Returns Benchmarkper Unit (Rs.) (%)$$^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 129.287 3.55* 8.42*Mar 30, 04 Last 3 Years (1095 days) 39.719 49.94** 29.71**Mar 28, 02 Last 5 Years (1828 days) 19.860 46.38** 32.26**Mar 28, 97 Last 10 Years (3654 days) 9.320 43.13** 16.51**Mar 31, 96 Since Inception (4016 days) 10.000 37.70** 14.63**^Past performance may or may not be sustained in the future* Absolute Returns #S&P CNX 500 (Please refer to page no 31)** Compounded Annualised Returns$$ Adjusted for the dividends declared under the scheme prior to its splittng into theDividend and Growth PlansPortfolio – Top 10 Holdings (as at March 31, 2007)Company Industry + / Rating % to NAVEQUITY & EQUITY RELATEDDeccan Chronicle Holdings Ltd. Media & Entertainment 6.05Infosys Technologies Ltd. Software 5.80Bharti Airtel Ltd. Telecom - Services 4.99Crompton Greaves Ltd. Industrial Capital Goods 4.11Thermax Ltd. Industrial Capital Goods 3.99Satyam Computer Services Ltd. Software 3.77Larsen and Toubro Ltd. Diversified 3.61State Bank of India Banks 3.32Maruti Udyog Ltd. Auto 3.29Oil & Natural Gas Corporation Ltd. Oil 3.24Total of Top Ten Equity Holdings 42.17Total Equity & Equity Related Holdings 88.16Debt / Money Market InstrumentSBI Cards & Payment Services P. Ltd P1+ 5.52State Bank of Bikaner & Jaipur P1+ 5.49State Bank of Saurashtra P1+ 1.10Total Debt / Money Market Instrument(aggregated holdings in a single issuer) 12.11Other Current Assets (Including Reverse Repos’ / CBLO) (0.27)Grand Total 100.00Net Assets (Rs. In Lakhs) 89,728.23Portfolio Turnover Ratio (Last 1 Year) 79.64%+ Industry Classification as recommended by AMFI✤ Past performance is no guarantee of future results.♓ Please refer to page no 31 for details on the Rating MethodologyIndustry Allocation of Equity Holding (% of Net Assets)Software 13.36Industrial Capital Goods 11.49Pharmaceuticals 6.99Banks 6.50Auto 6.13Media & Entertainment 6.05Diversified 6.01Telecom - Services 5.19Consumer Non Durables 4.46Pesticides 4.28Auto Ancillaries 4.06Oil 3.51Industrial Products 3.38Petroleum Products 1.53Textile Products 1.33Construction 1.32Non - Ferrous Metals 0.85Transportation 0.81Cement 0.37Textiles - Cotton 0.37Consumer Durables 0.17Std DeviationBeta Sharpe Ratio*Std DeviationBeta Sharpe Ratio*Risk Ratio (for the 3-yr period ended March 31, 2007) 6.03% 0.7841 0.59Risk Ratio (for the 3-yr period ended March 31, 2007) 7.62% 0.9842 0.59Source : CRISIL Fund Analyser * Risk-free rate assumed to be 5% Source : CRISIL Fund Analyser * Risk-free rate assumed to be 5%IntouchmutuallyMarch 2007 19

hdfc-sip.qxd 4/7/2007 11:29 Page 1Benefits of Systematic Investment Plan (SIP)The Terms & Conditions of the SIP facility have been revamped effectiveSeptember 1, 2004 and January 3, 2005 and it is now more flexible andconvenient for investors. To illustrate the advantages of SIP investments,this is how your investments would have grown if you had invested say Rs. 1,000systematically on the first Business Day of every month over a period of time.HDFC GROWTH FUNDSIP Investments Since Inception 5 Year SIP 3 Year SIP 1 Year SIPTotal Amount Invested (Rs. ‘000) 79.00 60.00 36.00 12.00Mkt Value as on March 31, 2007 (Rs. ‘000) 276.74 167.78 59.40 12.77Returns (Annualised)* (%) 38.05 42.63 35.53 12.31Benchmark Returns (Annualised) (%) # 30.39 36.81 36.68 14.33# SENSEXPast performance may or may not be sustained in the future.HDFC EQUITY FUNDSIP Investments Since 10 year 5 Year 3 Year 1 YearInception SIP SIP SIP SIPTotal Amount Invested (Rs. ‘000) 147.00 120.00 60.00 36.00 12.00Mkt Value as on March 31, 2007 (Rs. ‘000) 1,476.59 943.81 191.50 64.02 12.97Returns (Annualised)* (%) 34.23 38.75 48.51 41.39 15.46Benchmark Returns (Annualised) (%) # 18.79 22.26 35.62 30.62 11.71# S&P CNX 500 (Please refer to page no 31)Past performance may or may not be sustained in the future.HDFC TOP 200 FUNDSIP Investments Since 10 year 5 Year 3 Year 1 YearInception SIP SIP SIP SIPTotal Amount Invested (Rs. ‘000) 126.00 120.00 60.00 36.00 12.00Mkt Value as on March 31, 2007 (Rs. ‘000) 744.74 669.01 184.86 61.19 12.65Returns (Annualised)* (%) 31.60 32.32 46.93 37.84 10.34Benchmark Returns (Annualised) (%) # 21.23 21.92 34.95 30.96 11.11# BSE 200Past performance may or may not be sustained in the future.HDFC CAPITAL BUILDER FUNDSIP Investments Since 10 year 5 Year 3 Year 1 YearInception SIP SIP SIP SIPTotal Amount Invested (Rs. ‘000) 158.00 120.00 60.00 36.00 12.00Mkt Value as on March 31, 2007 (Rs. ‘000) 824.97 554.47 169.06 55.24 12.37Returns (Annualised)* (%) 22.86 28.83 42.97 30.01 5.81Benchmark Returns (Annualised) (%) # 17.26 22.26 35.62 30.62 11.71# S&P CNX 500 (Please refer to page no 31)Past performance may or may not be sustained in the future.HDFC PREMIER MULTI-CAP FUNDSIP Investments Since Inception 1 Year SIPTotal Amount Invested (Rs.) 24,000.00 12,000.00Market Value as March 31, 2007, (Rs.) 30,098.66 12,736.11Returns (Annualised)* (%) 23.62 11.02Benchmark Returns (Annualised) (%) # 25.37 11.71# S&P CNX 500 (Please refer to page no 31)Past performance may or may not be sustained in the future.HDFC CORE & SATELLITE FUNDSIP Investments Since Inception 1 Year SIPTotal Amount Invested (Rs.) 31,000.00 12,000.00Market Value as March 31, 2007, (Rs.) 45,470.28 12,698.87Returns (Annualised)* (%) 31.50 1.59Benchmark Returns (Annualised) (%) # 29.41 11.11# BSE 200Past performance may or may not be sustained in the future.HDFC BALANCED FUNDSIP Investments Since Inception 5 Year SIP 3 Year SIP 1 Year SIPTotal Amount Invested (Rs. ‘000) 79.00 60.00 36.00 12.00Mkt Value as on March 31, 2007 (Rs. ‘000) 165.24 107.26 47.02 11.87Returns (Annualised)* (%) 22.18 23.50 18.20 -2.08Benchmark Returns (Annualised) (%) # N.A. NA 20.35 9.68# CRISIL Balanced Fund IndexPast performance may or may not be sustained in the future.HDFC PRUDENCE FUNDSIP Investments Since 10 year 5 Year 3 Year 1 YearInception SIP SIP SIP SIPTotal Amount Invested (Rs. ‘000) 158.00 120.00 60.00 36.00 12.00Mkt Value as on March 31, 2007 (Rs. ‘000) 1,151.06 639.64 153.95 57.77 13.04Returns (Annualised)* (%) 27.26 31.48 38.87 33.40 40.16Benchmark Returns (Annualised) (%) # N.A. N.A. N.A. 20.35 9.68# CRISIL Balanced Fund IndexPast performance may or may not be sustained in the future.HDFC CHILDREN’S GIFT FUND - INVESTMENT PLANSIP Investments Since Inception 5 Year SIP 3 Year SIP 1 Year SIPTotal Amount Invested (Rs. ‘000) 73.00 60.00 36.00 12.00Mkt Value as on March 31, 2007 (Rs. ‘000) 143.86 104.29 46.78 12.19Returns (Annualised)* (%) 22.21 22.33 17.85 3.06Benchmark Returns (Annualised) (%) # N.A. N.A. 20.35 9.68# CRISIL Balanced Fund IndexPast performance may or may not be sustained in the future.HDFC CHILDREN’S GIFT FUND - SAVINGS PLANSIP Investments Since Inception 5 Year SIP 3 Year SIP 1 Year SIPTotal Amount Invested (Rs. ‘000) 73.00 60.00 36.00 12.00Mkt Value as on March 31, 2007 (Rs. ‘000) 96.33 73.28 38.53 11.87Returns (Annualised)* (%) 9.03 7.95 4.49 -2.04Benchmark Returns (Annualised) (%) # N.A. NA 7.41 4.51# CRISIL MIP Blended IndexPast performance may or may not be sustained in the future.HDFC LONG TERM ADVANTAGE FUNDSIP Investments Since Inception 5 Year SIP 3 Year SIP 1 Year SIPTotal Amount Invested (Rs. ‘000) 75.00 60.00 36.00 12.00Mkt Value as on March 31, 2007 (Rs. ‘000) 321.33 186.78 56.61 12.23Returns (Annualised)* (%) 47.22 47.39 31.86 3.54Benchmark Returns (Annualised) (%) # 31.95 36.81 36.68 14.33# SENSEXPast performance may or may not be sustained in the future.HDFC TAXSAVERSIP Investments Since 10 year 5 Year 3 Year 1 YearInception SIP SIP SIP SIPTotal Amount Invested (Rs. ‘000) 129.00 120.00 60.00 36.00 12.00Mkt Value as onMarch 31, 2007 (Rs. ‘000) 1,516.29 1,171.13 206.77 63.42 12.12Returns (Annualised)* (%) 42.55 42.83 51.97 40.64 1.84Benchmark Returns (Annualised) (%) # 21.13 22.26 35.62 30.62 11.71# S&P CNX 500 (Please refer to page no 31Past performance may or may not be sustained in the future.HDFC MF MIP - SHORT TERM PLANSIP Investments Since Inception 3 Year SIP 1 Year SIPTotal Amount Invested (Rs.) 40,000.00 36,000.00 12,000.00Market Value as March 31, 2007 (Rs.) 42,007.60 40,723.40 12,389.63Returns (Annualised)* (%) 8.23 8.20 6.14Benchmark Returns (Annualised) (%) # 6.56 6.61 4.65# CRISIL MIP BLENDED INDEXPast performance may or may not be sustained in the future.HDFC MF MIP - LONG TERM PLANSIP Investments Since Inception 3 Year SIP 1 Year SIPTotal Amount Invested (Rs.) 40,000.00 36,000.00 12,000.00Market Value as March 31, 2007 (Rs.) 46,013.49 44,550.18 12,803.68Returns (Annualised)* (%) 14.34 14.39 12.79Benchmark Returns (Annualised) (%) # 6.56 6.61 4.65# CRISIL MIP BLENDED INDEXPast performance may or may not be sustained in the future.* Load is not taken into consideration and the Returns are of Growth Plan / Option. Investors areadvised to refer to the Relative Performance table furnished in this booklet for non-SIP returns.Past performance may or may not be sustained in the future.Disclaimer: The above investment simulation is for illustrative purposes only and should not beconstrued as a promise on minimum returns and safeguard of capital. The AMC / Mutual Fund isnot guaranteeing or promising or forecasting any returns. SIP does not assure a profit or guaranteeprotection against a loss in a declining market.Please refer SIP Enrolment Form or contact nearest ISC for SIP Load Structure.20 March 2007Intouchmutually

hdfc-dt.qxd 4/7/2007 11:57 Page 1HDFC MF MIP -Short Term PlanAn open-ended income scheme. Monthly income is not assured and issubject to availability of distributable surplusNAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 12.7941Monthly Dividend Option 10.0716Quarterly Dividend Option 10.2864Relative Performance^(Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 12.4177 3.03* 5.69*Mar 30, 04 Last 3 Years (1095 days) 10.3210 7.42** N.A.Dec 26, 03 Since Inception (1190 days) 10.0000 7.85** 6.12**^Past Performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns#Crisil MIP Blended IndexPortfolio – Top 10 Holdings (as at March 31, 2007)Company / Issuer Industry + / Rating % to NAVEQUITY & EQUITY RELATEDUnited Phosphorus Ltd. Pesticides 2.20Sun Pharmaceutical Industries Ltd. Pharmaceuticals 1.44Maruti Udyog Ltd. Auto 1.33Hindustan Lever Ltd. Diversified 1.25Motherson Sumi Systems Ltd. Auto Ancillaries 0.97Satyam Computer Services Ltd. Software 0.96Deccan Chronicle Holdings Ltd. Media & Entertainment 0.70Hindustan Oil Exploration Co. Ltd. Oil 0.62T. V. Today Network Ltd. Media & Entertainment 0.56Biocon Limited Pharmaceuticals 0.55Total of Top Ten Equity Holdings 10.58Total Equity & Equity Related Holdings 12.01Debt / Money Market InstrumentIDBI Bank Ltd. AA+ 11.55Housing Dev. Finance Corpn Ltd.$ AAA 9.11Infrastructure Dev. Fin. Corp. Ltd. AAA/LAAA 8.76Citi Financial Consumer Fin.(I) Ltd AAA 6.54Indian Corp. Loan Sec.Trust-Yes Bank Ltd. AA(SO) 5.84Cholamandalam DBS Fin. Co. Ltd. AA/LAA 5.18RPS Trust-Tata Teleservices Ltd. AAA(SO) 5.13ACC Ltd. AA+ 4.53LIC Housing Finance Ltd. AAA 4.52Hindalco Industries Ltd. AAA 4.51Total of Top Ten Debt / Money Market Instrument(aggregated holdings in a single issuer) 65.67Total Debt / Money Market Instrument 84.09Other Current Assets (Including Reverse Repos’ / CBLO) 3.90Grand Total 100.00Net Assets (Rs. In Lakhs) 22,118.72HDFC MF MIP -Long Term PlanRelative Performance^(Growth Option)In Hybrid - Monthly Income Category(37 schemes) for 3 & 5 year periodsending March 31, 2007An open-ended income scheme. Monthly income is not assured and issubject to availability of distributable surplusNAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 14.7446Monthly Dividend Option 11.4486Quarterly Dividend Option 11.6315Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 13.6100 8.34* 5.69*Mar 30, 04 Last 3 Years (1095 days) 10.3930 12.37** N.A.Dec 26, 03 Since Inception (1190 days) 10.0000 12.65** 6.12**^Past Performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns#Crisil MIP Blended IndexPortfolio – Top 10 Holdings (as at March 31, 2007)Company / Issuer Industry + / Rating % to NAVEQUITY & EQUITY RELATEDKEC International Ltd. Power 1.77Amtek Auto Ltd. Auto Ancillaries 1.63Oil & Natural Gas Corporation Ltd. Oil 1.55CMC Ltd. Hardware 1.50Bank of Baroda Banks 1.48Infosys Technologies Ltd. Software 1.38Zee Entertainment Enterprises Ltd. Media & Entertainment 1.36Crompton Greaves Ltd. Industrial Capital Goods 1.32GlaxoSmithkline Consumer Healthcare Ltd. Consumer Non Durables 1.28Exide Industries Ltd. Auto Ancillaries 0.90Total of Top Ten Equity Holdings 14.17Total Equity & Equity Related Holdings 23.16Debt / Money Market Instrument / Government SecuritiesICICI Bank Ltd. P1+ 5.99Citicorp Finance (India) Ltd. AAA 3.45Sundaram Finance Ltd. AA+ 3.34UBL Trust series 23 DSP A+ 3.12Infrastructure Dev. Fin. Corp. Ltd. AAA/LAAA 2.96BHPC Auto Loan Securitisation Trust - Tata Motors Ltd. AAA(SO) 2.86UCO Bank P1+ 2.78Loan Securitisation Trust - Reliance Industries Ltd. AAA(SO) 2.73Government Securities SOV 2.72Union Bank of India A1+ 2.52Total of Top Ten Debt / Money Market Instrument / Government Securities(aggregated holdings in a single issuer) 32.47Total Debt / Money Market Instrument / Government Securities 73.50Other Current Assets (Including Reverse Repos’ / CBLO) 3.34Grand Total 100.00Net Assets (Rs. In Lakhs) 113,248.78Average Portfolio Maturity1.74 years (other than equity investments)+ Industry Classification as recommended by AMFI,$ Sponsor,Average Portfolio Maturity1.32 years (other than equity investments)+ Industry Classification as recommended by AMFI,✤ Past performance is no guarantee of future results.♓ Please refer to page no 31 for details on the Rating MethodologyIntouchmutually March 2007 21

hdfc-dt.qxd 4/7/2007 11:57 Page 2HDFC Multiple Yield FundAn open-ended income schemeHDFC Multiple Yield Fund - Plan 2005An open-ended income schemeNAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 12.1665Dividend Option 10.2554Relative Performance ^ (Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 11.5887 4.99* 5.69*Sep 17, 04 Since Inception (924 days) 10.0000 8.05** 8.22**^Past Performance may or may not be sustained in the future*Absolute Returns# Crisil MIP Blended Index** Compounded Annualised ReturnsPortfolio – Top Holdings (as at March 31, 2007)Company / Issuer Industry + / Rating % to NAVEQUITY & EQUITY RELATEDOil & Natural Gas Corporation Ltd. Oil 5.03CMC Ltd. Hardware 3.46State Bank of India Banks 2.27Nestle India Ltd. Consumer Non Durables 1.55Tata Chemicals Ltd. Fertilisers 1.22Videsh Sanchar Nigam Ltd. Telecom - Services 1.15Colgate-Palmolive (India) Ltd. Consumer Non Durables 0.95United Phosphorus Ltd. Pesticides 0.74SKF India Ltd. Industrial Products 0.74Dr Reddy’s Laboratories Ltd. Pharmaceuticals 0.62Total Equity & Equity Related Holdings 17.73Debt / Money Market InstrumentIDBI Bank Ltd. P1+ 15.85Export - Import Bank of India P1+ 10.79State Bank of Mysore P1+ 9.50DSP Merrill Lynch Capital Ltd. P1+ 7.97Allahabad Bank PR1+ 7.93UCO Bank P1+ 7.92Loan Securitisation Trust Series XLIV (Tata Tea) M AA+(SO) 5.68State Bank of Travancore P1+ 5.28YES Bank Ltd. A1+ 5.28Kotak Mahindra Prime Ltd. P1+ 1.68Total of Top Ten Debt / Money Market Instrument(aggregated holdings in a single issuer) 77.88Total Debt / Money Market Instrument 78.95Other Current Assets (Including Reverse Repos’ / CBLO) 3.32Grand Total 100.00Net Assets (Rs. In Lakhs) 17,503.39NAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 10.1250Dividend Option 10.9868Relative Performance ^ (Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 10.556 4.08* 5.69*Aug 17, 05 Since Inception (590 days) 10.000 5.99** 7.49**^Past Performance may or may not be sustained in the future* Absolute Returns # Crisil MIP Blended Index** Compounded Annualised ReturnsPortfolio – Top Holdings (as at March 31, 2007)Company / Issuer Industry + / Rating % to NAVEQUITY & EQUITY RELATEDExide Industries Ltd. Auto Ancillaries 6.26Hindustan Petroleum Corporation Ltd. Petroleum Products 3.65ITC Ltd. Consumer Non Durables 2.97Idea Cellular Ltd Telecom - Services 0.01Total Equity & Equity Related Holdings 12.89Mutual Fund UnitsMorgan Stanley Growth Fund 3.26Debt / Money Market InstrumentUCO Bank P1+ 18.14State Bank of Travancore P1+ 18.07Gruh Finance Ltd. LAA+ 15.71State Bank of Mysore P1+ 14.51Corporation Bank P1+ 4.74Fullerton India Credit Corp Ltd. F1+ 4.52Indian Retail ABS Trust - ICICI Bank Ltd. AAA(SO) 3.08Standard Chartered Inv. & Loans P1+ 1.79Total Debt / Money Market Instrument(aggregated holdings in a single issuer) 80.56Other Current Assets (Including Reverse Repos’ / CBLO) 3.29Grand Total 100.00Net Assets (Rs. In Lakhs) 10,187.75Average Portfolio Maturity211 days Average Portfolio Maturity229 days+ Industry Classification as recommended by AMFI + Industry Classification as recommended by AMFI22 March 2007Intouchmutually

hdfc-dt.qxd 4/7/2007 11:57 Page 3HDFC Income FundAn open-ended income schemeHDFC High Interest FundAn open-ended income schemeNAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 16.5463Dividend Option 10.1151Relative Performance^(Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 16.1200 2.64* 3.69*Mar 30, 04 Last 3 Years (1095 days) 15.7422 1.67** 2.40**Mar 28, 02 Last 5 Years (1828 days) 12.7290 5.38** N.A.Sep 11, 00 Since Inception (2391 days) 10.0000 7.99** N.A.^Past Performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns# Crisil Composite Bond Fund Index N.A. Not AvailableNAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Plan 24.3175Quarterly Dividend Plan 10.3747Half-Yearly Dividend Plan 10.1574Yearly Dividend Plan 10.6144Relative Performance ^ (Growth Plan)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 23.6749 2.71* 3.69*Mar 30, 04 Last 3 Years (1095 days) 23.1481 1.66** 2.40**Mar 28, 02 Last 5 Years (1828 days) 18.7500 5.33** N.A.Apr 28, 97 Since Inception (3623 days) 10.0000 9.37** N.A.^Past Performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns#CRISIL Composite Bond Fund IndexN.A. Not AvailablePortfolio – Top 10 Holdings (as at March 31, 2007)Issuer Rating % to NAVDEBT / MONEY MARKET INSTRUMENTS / GOVERNMENT SECURITIESGovernment Securities SOV 22.38Loan Securitisation Trust - Grasim Industries Ltd. AAA(SO) 12.47Indian Oil Corporation Ltd. AAA 10.75Loan Securitisation Trust - Bajaj Auto Ltd. AAA(SO) 8.86JUS Trust - Jet Airways AAA(SO) 8.17Tata Sons Ltd. AAA 6.65IDBI Bank Ltd. AA+ 6.64Housing Dev. Finance Corpn Ltd.$ AAA 5.15DSP Merrill Lynch Capital Ltd. AAA(SO) 4.55Housing and Urban Development Corporation Ltd. AAA 3.30Total of Top Ten Debt / Money Market Instrument / Government Securities(aggregated holdings in a single issuer) 88.92Total Debt / Money Market Instrument / Government Securities 95.82Other Current Assets (Including Reverse Repos’ / CBLO) 4.18Grand Total 100.00Net Assets (Rs. In Lakhs) 21,554.17Portfolio – Top Holdings (as at March 31, 2007)Issuer Rating % to NAVDEBT / MONEY MARKET INSTRUMENTS / GOVERNMENT SECURITIESLoan Securitisation Trust - Grasim Industries Ltd. AAA(SO) 21.37Government Securities SOV 18.81IDBI Bank Ltd. AA+ 12.96Mahindra and Mahindra Fin. Ser Ltd. AA+ 12.14JUS Trust - Jet Airways AAA(SO) 11.35Housing and Urban Development Corporation Ltd. AAA 5.99Hindalco Industries Ltd. AAA 4.68Total Debt / Money Market Instrument / Government Securities(aggregated holdings in a single issuer) 87.30Other Current Assets (Including Reverse Repos’ / CBLO) 12.70Grand Total 100.00Net Assets (Rs. In Lakhs) 3,954.41Average Portfolio Maturity4.91 years$ SponsorAverage Portfolio Maturity5.12 yearsIntouchmutually March 2007 23

hdfc-dt.qxd 4/7/2007 11:57 Page 4HDFC Short Term PlanAn open-ended income schemeHDFC High Interest Fund - Short TermPlanAn open-ended income schemeNAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 13.3799Dividend Reinvestment Option 10.3343NAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 13.6092Dividend Option 10.6186Relative Performance ^ (Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 12.5693 6.45* 6.41*Mar 30, 04 Last 3 Years (1095 days) 11.5318 5.08** 5.13**Mar 28, 02 Last 5 Years (1828 days) 10.0608 5.86** N.A.Feb 28, 02 Since Inception (1856 days) 10.0000 5.89** N.A.^Past Performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns# Crisil Liquid Fund Index N.A. Not AvailablePortfolio – Top 10 Holdings (as at March 31, 2007)Issuer Rating % to NAVDEBT / MONEY MARKET INSTRUMENTSICICI Bank Ltd. P1+ 10.87Indian Retail ABS Trust - ICICI Bank Ltd. AA- 9.98Indian Corp. Loan Sec.Trust-Yes Bank Ltd. AA(SO) 9.97Citicorp Finance (India) Ltd. AAA 9.77Jammu & Kashmir Bank Ltd P1+ 9.52UCO Bank P1+ 9.06Allahabad Bank P1+ 9.06DSP Merrill Lynch Capital Ltd. AAA(SO) 7.86UTI Bank Ltd. A1+ 7.61GE Capital Services India AAA 6.46Total of Top Ten Debt / Money Market Instrument(aggregated holdings in a single issuer) 90.16Total Debt / Money Market Instrument 94.05Other Current Assets (Including Reverse Repos’ / CBLO) 5.95Grand Total 100.00Net Assets (Rs. In Lakhs) 4,983.61Relative Performance ^ (Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 12.6615 7.48* 3.69*Mar 30, 04 Last 3 Years (1095 days) 11.6827 5.22** 2.40**Mar 28, 02 Last 5 Years (1828 days) 10.1045 6.13** N.A.Feb 06, 02 Since Inception (1878 days) 10.0000 6.17** N.A.^Past Performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns# Crisil Composite Bond Fund Index N.A. Not AvailablePortfolio – Holdings (as at March 31, 2007)Issuer Rating % to NAVDEBT / MONEY MARKET INSTRUMENTSDSP Merrill Lynch Capital Ltd. P1+(SO) 15.91APL LOAN TRUST SERIES (ILFS) A1(SO) 14.59Kotak Mahindra Investments Ltd. A1+ 12.50Citi Financial Consumer Fin.(I) Ltd AAA 12.19State Bank of Patiala A1+ 12.10Loan Securitisation Trust - Reliance Industries Ltd. AAA(SO) 10.93UBL TRUST - DLF A+(IND)(SO) 9.54Sundaram Finance Ltd. AA+ 6.36Total Debt / Money Market Instrument(aggregated holdings in a single issuer) 94.12Other Current Assets (Including Reverse Repos’ / CBLO) 5.88Grand Total 100.00Net Assets (Rs. In Lakhs) 3,143.12Average Portfolio Maturity 345 days Average Portfolio Maturity 270 days24 March 2007Intouchmutually

hdfc-dt.qxd 4/7/2007 11:57 Page 5HDFC Gilt FundAn open-ended income schemeShort Term PlanLong Term PlanNAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 13.6895Dividend Option 10.4844NAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 15.6291Dividend Option 10.1840Relative Performance^(Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 13.0480 4.92* 6.06*Mar 30, 04 Last 3 Years (1095 days) 12.1901 3.94** 4.82**Mar 28, 02 Last 5 Years (1828 days) 10.8850 4.68** N.A.Jul 25, 01 Since Inception (2074 days) 10.0000 5.68** N.A.^Past Performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns#I-Sec Si-BexN.A. Not AvailableRelative Performance^(Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 15.2584 2.43* 5.73*Mar 30, 04 Last 3 Years (1095 days) 15.2834 0.75** 2.75**Mar 28, 02 Last 5 Years (1828 days) 11.8150 5.75** N.A.Jul 25, 01 Since Inception (2074 days) 10.0000 8.18** N.A.^Past Performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns#I-Sec Li-BexN.A. Not AvailablePortfolio – Top Holdings (as at March 31, 2007)Issuer Rating % to NAVGovernment Securites / Treasury Bills364 Days T-Bills SOV 31.027.44% GOI 2012 SOV 22.6912.25% GOI 2008 SOV 13.9911.40% GOI 2008 SOV 0.10Total Government Securites / Treasury Bills 67.80Other Current Assets (Including Reverse Repos’ / CBLO) 32.20Grand Total 100.00Net Assets (Rs. In Lakhs) 1,059.46Portfolio – Top Holdings (as at March 31, 2007)Issuer Rating % to NAVGovernment Securities / Treasury Bills9.39% GOI 2011 SOV 62.368.07% GOI 2017 SOV 14.918.33% GOI 2036 SOV 14.82364 Days T-Bills SOV 4.15Total Government Securites / Treasury Bills 96.24Other Current Assets (Including Reverse Repos’ / CBLO) 3.76Grand Total 100.00Net Assets (Rs. In Lakhs) 3,367.33Average Portfolio Maturity 1.55 years Average Portfolio Maturity 8.59 yearsIntouchmutually March 2007 25

hdfc-dt1.qxd 4/7/2007 11:53 Page 1HDFC FloatingRate Income FundShort Term PlanIn Debt: Floating Rate Short Term Category(21 schemes) for 18 month periodending March 31, 2007An open-ended income scheme(Classified as Liquid Scheme)HDFC Floating RateIncome FundLong Term PlanIn Debt: Floating Rate Long Term Category(15 schemes) for 18 month periodending March 31, 2007An open-ended income schemeNAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 12.5996Daily Dividend Reinvestment Option 10.0809Weekly Dividend Reinvestment Option 10.1465Monthly Dividend Option 10.1551Relative Performance^(Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 11.7558 7.18* 6.41*Mar 30, 04 Last 3 Years (1095 days) 10.6124 5.89** 5.13**Jan 16, 03 Since Inception (1534 days) 10.0101 5.63** 4.93**^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns #Crisil Liquid Fund IndexNAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 12.3865Dividend Reinvestment Option 10.1965Relative Performance^(Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 11.6321 6.49* 6.41*Mar 30, 04 Last 3 Years (1095 days) 10.5531 5.48** 5.13**Jan 16, 03 Since Inception (1534 days) 10.0104 5.20** 4.93**^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns #Crisil Liquid Fund IndexPortfolio – Top 10 Holdings (as at March 31, 2007)Issuer Rating % to NAVDEBT / MONEY MARKET INSTRUMENTSIDBI Bank Ltd. AA+ 13.66Indian Retail ABS Trust - ICICI Bank Ltd. AAA(SO)/LAAA(SO) 8.33ICICI Bank Ltd. P1+ 7.58BHPC Auto Loan Securitisation Trust - Tata Motors Ltd. AA+(SO)/AAA(SO) 5.56Citi Financial Consumer Fin.(I) Ltd AAA 5.04DAS Trust - Standard Chartered Bank A1+(SO) 4.24Housing Dev. Finance Corpn Ltd.$ AAA 4.20Citicorp Finance (India) Ltd. AAA 4.20UBL Trust Series 26 A+(IND)(SO) 4.19Kotak Mahindra Prime Ltd. LAA 3.86Total of Top Ten Debt / Money Market Instrument(aggregated holdings in a single issuer) 60.86Total Debt / Money Market Instrument 96.87Other Current Assets (Including Reverse Repos’ / CBLO) 3.13Grand Total 100.00Net Assets (Rs. In Lakhs) 59,574.64Portfolio – Top Holdings (as at March 31, 2007)Issuer Rating % to NAVDEBT / MONEY MARKET INSTRUMENTSHousing Dev. Finance Corpn Ltd.$ AAA 22.27Citi Financial Consumer Fin.(I) Ltd AAA 22.15Citicorp Finance (India) Ltd. AAA 18.46National Housing Bank AAA 12.64BHPC Auto Loan Securitisation Trust - Tata Motors Ltd. AAA(SO) 10.13IDBI Bank Ltd. AA+ 7.57Kotak Mahindra Investments Ltd. A1+ 2.92Total Debt / Money Market Instrument(aggregated holdings in a single issuer) 96.14Other Current Assets (Including Reverse Repos’ / CBLO) 3.86Grand Total 100.00Net Assets (Rs. In Lakhs) 13,542.53Average Portfolio Maturity316 days✤ Past performance is no guarantee of future results.♓ Please refer to page no 31 for details on the Rating Methodology$ SponsorAverage Portfolio Maturity1.63 years✤ Past performance is no guarantee of future results.♓ Please refer to page no 31 for details on the Rating Methodology$ Sponsor26 March 2007 Intouchmutually

hdfc-dt1.qxd 4/7/2007 11:53 Page 2HDFCLiquid FundAn open-ended liquid income schemeRelative Performance^(Growth Option)IN DEBT: ULTRA SHORT-TERM CATEGORY(35 schemes) for 18 month periodending March 31, 2007NAV (as at March 30, 2007)NAV per Unit (Rs.)HDFC Liquid FundGrowth Option 14.8762Daily Dividend Reinvestment Option 10.1982Weekly Dividend Option 10.3220Monthly Dividend Option 10.2747HDFC Liquid Fund - Premium PlanGrowth Option 14.9719Daily Dividend Reinvestment Option 12.2598Weekly Dividend Option 12.4901HDFC Liquid Fund - Premium Plus PlanGrowth Option 15.0039Weekly Dividend Option 12.4318Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Liquid FundMar 30, 06 Last 1 Year (365 days) 13.8803 7.17* 6.41*Mar 30, 04 Last 3 Years (1095 days) 12.5834 5.74** 5.13**Mar 28, 02 Last 5 Years (1828 days) 11.2697 5.70** N.A.Oct 17, 00 Since Inception (2355 days) 10.0000 6.35** N.A.Liquid Fund - Premium PlanMar 30, 06 Last 1 Year (365 days) 13.9556 7.28* 6.41*Mar 30, 04 Last 3 Years (1095 days) 12.6172 5.87** 5.13**Feb 24, 03 Since Inception (1495 days) 11.9684 5.62** 4.94**Liquid Fund - Premium Plus PlanMar 30, 06 Last 1 Year (365 days) 13.9843 7.29* 6.41*Mar 30, 04 Last 3 Years (1095 days) 12.6306 5.91** 5.13**Feb 24, 03 Since Inception (1495 days) 11.9684 5.67** 4.94**^Past performance may or may not be sustained in the futureN.A. Not Available* Absolute Returns ** Compounded Annualised Returns # Crisil Liquid Fund IndexPortfolio – Top 10 Holdings (as at March 31, 2007)Issuer Rating % to NAVDEBT / MONEY MARKET INSTRUMENTSICICI Bank Ltd. P1+ 13.70Indian Retail ABS Trust - ICICI Bank Ltd. AAA(SO)/LAAA(SO)/P1+(SO) 9.42DSP Merrill Lynch Capital Ltd. P1+/P1+(SO) 6.89Canara Bank P1+ 4.39UBL TRUST - DLF A+(IND)(SO) 4.01Ranbaxy Holding Company Pvt. Ltd. P1 3.88Loan Securitisation Trust SR A1 ICICI Bank AA-(SO) 3.57UBL Trust Series 26 A+(IND)(SO) 3.56IPR Loan Trust-GE Capital Services India Ltd. F1+ 3.47Deutsche Bank UNRATED 3.46Total of Top Ten Debt / Money Market Instrument(aggregated holdings in a single issuer) 56.35Total Debt / Money Market Instrument 94.99Other Current Assets (Including Reverse Repos’ / CBLO) 5.01Grand Total 100.00Net Assets (Rs. In Lakhs) 154,448.47Average Portfolio Maturity241 days✤ Past performance is no guarantee of future results.♓ Please refer to page no 31 for details on the Rating MethodologyHDFC CashManagement FundAn open-ended high liquidity income schemeSavings PlanNAV (as at March 30, 2007)Average Portfolio MaturityIN DEBT: ULTRA SHORT-TERM CATEGORY(35 schemes) for 18 month periodending March 31, 2007NAV per Unit (Rs.)Growth Option 15.6268Daily Dividend Reinvestment Option 10.6364Weekly Dividend Reinvestment Option 10.6460Relative Performance^(Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^$$ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 14.5606 7.32* 6.41*Mar 30, 04 Last 3 Years (1095 days) 13.1547 5.91** 5.13**Mar 28, 02 Last 5 Years (1828 days) 11.7147 5.92** N.A.Nov 18, 99 Since Inception (2689 days) 10.0000 6.30** N.A.^Past performance may or may not be sustained in the future* Absolute Returns ** Compounded Annualised Returns #Crisil Liquid Fund Index$$ Adjusted for the dividends declared under the scheme prior to its splitting into theDividend and Growth PlansN.A. Not AvailablePortfolio – Top 10 Holdings (as at March 31, 2007)Issuer Rating % to NAVDEBT / MONEY MARKET INSTRUMENTSICICI Bank Ltd. P1+ 13.02State Bank of Mysore A1+/P1+ 6.48Union Bank of India A1+/P1+ 5.25Canara Bank P1+ 4.73State Bank of Patiala A1+/P1+ 4.03Indian Retail ABS Trust - ICICI Bank Ltd. A1+(SO)/AAA(SO)/LAAA(SO) 3.70State Bank Of Hyderabad A1+/P1+ 2.85Cholamandalam DBS Fin. Co. Ltd. LAA 2.81Citicorp Finance (India) Ltd. AAA/P1+ 2.81Allahabad Bank P1+/PR1+ 2.53Total of Top Ten Debt / Money Market Instrument(aggregated holdings in a single issuer) 48.21Total Debt / Money Market Instrument 92.99Other Current Assets (Including Reverse Repos’ / CBLO) 7.01Grand Total 100.00Net Assets (Rs. In Lakhs) 334,700.92211 daysTotal outstanding position (as at March 31, 2007) in Derivative Instruments(Notional) Rs. 2500 lacs.✤ Past performance is no guarantee of future results.♓ Please refer to page no 31 for details on the Rating MethodologyIntouchmutually March 2007 27

hdfc-dt1.qxd 4/7/2007 11:53 Page 3HDFC Cash Management FundSavings Plus PlanAn open-ended income schemeNAV (as at March 30, 2007)NAV per Unit (Rs.)Growth Option 16.2478Dividend Option 10.0245Relative Performance^(Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 15.1463 7.27* 6.41*Mar 30, 04 Last 3 Years (1095 days) 13.7020 5.84** 5.13**Mar 28, 02 Last 5 Years (1828 days) 12.2956 5.72** N.A.Nov 18, 99 Since Inception (2689 days) 10.0000 6.81** N.A.^Past performance may or may not be sustained in the future N.A. Not Available* Absolute Returns ** Compounded Annualised Returns #Crisil Liquid Fund IndexPortfolio – Top 10 Holdings (as at March 31, 2007)Issuer Rating % to NAVDEBT / MONEY MARKET INSTRUMENTSUnion Bank of India A1+/P1+ 10.29ICICI Bank Ltd. P1+ 8.99Citicorp Finance (India) Ltd. AAA 6.30State Bank of Travancore P1+ 5.90DSP Merrill Lynch Capital Ltd. P1+ 4.44State Bank of Mysore A1+ 4.41UBL TRUST SERIES 26 A+(IND)(SO) 3.93UCO Bank P1+ 3.70Industrial Dev. Bank of India Ltd. P1+ 3.66The Federal Bank Ltd. P1+ 3.65Total of Top Ten Debt / Money Market Instrument(aggregated holdings in a single issuer) 55.27Total Debt / Money Market Instrument 94.34Other Current Assets (Including Reverse Repos’ / CBLO) 5.66Grand Total 100.00Net Assets (Rs. In Lakhs) 63,474.39Call PlanAn open-ended high liquidity income schemeNAV (as at March 30, 2007)Relative Performance^(Growth Option)Date Period NAV Returns Benchmarkper Unit (Rs.) (%)^ Returns (%)#Mar 30, 06 Last 1 Year (365 days) 12.0702 7.23* 6.41*Mar 30, 04 Last 3 Years (1095 days) 11.0387 5.45** 5.13**Mar 28, 02 Last 5 Years (1828 days) 10.0837 5.11** N.A.Feb 06, 02 Since Inception (1878 days) 10.0000 5.14** N.A.^Past performance may or may not be sustained in the future N.A. Not Available* Absolute Returns ** Compounded Annualised Returns #Crisil Liquid Fund IndexPortfolio – Top 10 Holdings (as at March 31, 2007)Issuer Rating % to NAVAverage Portfolio MaturityNAV per Unit (Rs.)Growth Option 12.9433Dividend Reinvestment Option 10.4266DEBT / MONEY MARKET INSTRUMENTSICICI Bank Ltd. P1+/PR1+ 12.39Union Bank of India P1+ 7.65GE Money Financial Services Limited AAA/P1+ 5.32State Bank of Mysore A1+/P1+ 4.83ING Vysya Bank Ltd. P1+ 4.17UCO Bank P1+ 4.15State Bank of Indore P1+ 4.12State Bank of Bikaner & Jaipur P1+ 4.12Madras Cements Ltd. A1+ 3.72The Federal Bank Ltd. P1+ 3.68Total of Top Ten Debt / Money Market Instrument(aggregated holdings in a single issuer) 54.15Total Debt / Money Market Instrument 77.76Other Current Assets (Including Reverse Repos’ / CBLO) 22.24Grand Total 100.00Net Assets (Rs. In Lakhs) 107,667.1855 daysAverage Portfolio Maturity242 daysNote for All Open-Ended Schemes (as at March 31, 2007)i) Total NPAs provided for and its percentage to NAV : Nilii) Total outstanding exposure in derivative instruments (Notional) :a) Equity :HDFC Equity FundRs. 2682 lacsHDFC Core & Satellite Fund Rs. 618 lacsHDFC Premier Multi-Cap Fund Rs. 522 lacsTotalRs. 3822 lacsb) Debt :Cash Management Fund - Savings Plan Rs. 2500 lacsTotalRs. 2500 lacs28 March 2007 Intouchmutually

hdfc-div.qxd 4/7/2007 11:57 Page 1Dividend History ^HDFC Income FundDividend Option (Since September 2006)Record Date Cum Dividend NAV (Rs.) Dividend Per unit (Re.) ForIndividuals & HUFOthersSep 26, 06 10.3248 0.1000 0.0931Dec 26, 06 10.3300 0.1000 0.0931HDFC Gilt Fund (Since June 2005)Short Term Plan (Dividend Option)Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersSep 26, 06 10.5747 0.1000 0.0931Dec 26, 06 10.5893 0.1000 0.0931Mar 26, 07 10.5816 0.1000 0.0931Long Term Plan (Dividend Option)Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersJun 24, 05 10.1395 0.0500 0.0466Dec 26, 05 10.2049 0.0750 0.0698Dec 26, 06 10.3609 0.1500 0.1397HDFC High Interest Fund-Short Term PlanDividend Option (Last 6 months)Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersOct 03, 06 10.6169 0.0539 0.0502Nov 01, 06 10.6132 0.0453 0.0422Dec 01, 06 10.6267 0.0504 0.0470Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersJan 02, 07 10.6196 0.0461 0.0430Feb 02, 07 10.6339 0.0522 0.0486Mar 01, 07 10.5915 0.0389 0.0363HDFC High Interest Fund (Since September 2006)Quarterly (Dividend Option)Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersSep 26, 06 10.6598 0.1500 0.1397Dec 26, 06 10.5792 0.1000 0.0931Yearly (Dividend Option)Half-yearly (Dividend Option)Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersSep 26, 06 10.5576 0.3000 0.2794Mar 26, 07 10.2068 0.0500 0.0466Record Date Cum Dividend NAV (Rs.) Dividend Per unit (Re.) ForIndividuals & HUFOthersMar 24, 05 10.9273 0.5000 0.4676Mar 26, 07 10.8913 0.2500 0.2328HDFC MF Monthly Income Plan (MIP)(An open-ended income scheme. Monthly income is not assured and is subject to availability of distributable surplus)Short Term Plan (Dividend Option) (Last 6 months)Monthly (Dividend Option)Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersOct 26, 06 10.4302 0.0600 0.0559Nov 27, 06 10.4729 0.0600 0.0559Dec 26, 06 10.3766 0.0600 0.0559Jan 25, 07 10.4349 0.0600 0.0559Mar 07, 07 10.0995 0.0600 0.0559Mar 26, 07 10.1288 0.0600 0.0559Quarterly (Dividend Option)Long Term Plan (Dividend Option) (Last 6 months)Monthly (Dividend Option)Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersOct 26, 06 11.6056 0.0700 0.0652Nov 27, 06 11.7059 0.0700 0.0652Dec 26, 06 11.6341 0.0700 0.0652Jan 25, 07 11.7929 0.0700 0.0652Sep 25, 06 10.7066 0.1800 0.1677Dec 26, 06 10.7293 0.1800 0.1676Mar 26, 07 10.4804 0.1800 0.1676Feb 26, 07 11.6509 0.0700 0.0652Mar 26, 07 11.5333 0.0700 0.0652Quarterly (Dividend Option)Sep 25, 06 11.7808 0.2000 0.1863Dec 26, 06 11.9511 0.2000 0.1863Mar 26, 07 11.8644 0.2000 0.1863HDFC Floating Rate Income FundShort Term Plan (Weekly Dividend Reinvestment Option) (Last 6 months)Record Cum Div Dividend Per unit (Re.) For Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF Others Date NAV (Rs.) Individuals & HUF OthersOct 03, 06 10.1506 0.0133 0.0124 Jan 02, 07 10.1482 0.0112 0.0104Oct 09, 06 10.1472 0.0104 0.0096 Jan 08, 07 10.1476 0.0092 0.0085Oct 16, 06 10.1490 0.0119 0.0111 Jan 15, 07 10.1515 0.0141 0.0131Oct 23, 06 10.1513 0.0139 0.0130 Jan 22, 07 10.1502 0.0131 0.0122Oct 30, 06 10.1492 0.0121 0.0113 Jan 29, 07 10.1503 0.0131 0.0122Nov 06, 06 10.1492 0.0121 0.0113 Feb 05, 07 10.1502 0.0130 0.0121Nov 13, 06 10.1492 0.0121 0.0113 Feb 12, 07 10.1502 0.0130 0.0121Nov 20, 06 10.1492 0.0121 0.0113 Feb 19, 07 10.1510 0.0137 0.0127Nov 27, 06 10.1491 0.0120 0.0112 Feb 26, 07 10.1501 0.0129 0.0120Dec 04, 06 10.1493 0.0122 0.0114 Mar 05, 07 10.1503 0.0130 0.0121Dec 11, 06 10.1491 0.0120 0.0112 Mar 12, 07 10.1504 0.0132 0.0122Dec 18, 06 10.1494 0.0123 0.0114 Mar 19, 07 10.1512 0.0139 0.0129Dec 26, 06 10.1516 0.0162 0.0151 Mar 26, 07 10.1522 0.0147 0.0137HDFC Short Term PlanDividend Reinvestment Option (Last 6 months)Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersOct 03, 06 10.3598 0.0286 0.0266Oct 16, 06 10.3516 0.0214 0.0190Nov 01, 06 10.3578 0.0268 0.0250Nov 16, 06 10.3566 0.0258 0.0240Dec 01, 06 10.3585 0.0275 0.0256Dec 18, 06 10.3523 0.0220 0.0205HDFC Multiple Yield FundRecord Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersJan 02, 07 10.3524 0.0221 0.0206Jan 16, 07 10.3492 0.0193 0.0180Feb 02, 07 10.3585 0.0274 0.0256Feb 19, 07 10.3297 0.0216 0.0202Mar 01, 07 10.3010 0.0140 0.0131Mar 16, 07 10.3205 0.0180 0.0167(Dividend Option)Record Cum Div Dividend Per unit (Re.) For Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF Others Date NAV (Rs.) Individuals & HUF OthersOct 13, 05 11.0409 0.9000 0.8381 Oct 12, 06 10.7938 0.6700 0.6240Long Term Plan (Weekly Dividend Reinvestment Option) (Last 6 months)Oct 03, 06 10.1972 0.0231 0.0215 Jan 02, 07 10.1968 0.0227 0.0211Oct 16, 06 10.1939 0.0202 0.0188 Jan 16, 07 10.1942 0.0204 0.0190Nov 01, 06 10.1994 0.0250 0.0233 Feb 02, 07 10.2021 0.0274 0.0255Nov 16, 06 10.1973 0.0231 0.0215 Feb 19, 07 10.2004 0.0259 0.0241Dec 01, 06 10.1971 0.0230 0.0214 Mar 01, 07 10.1888 0.0157 0.0146Dec 18, 06 10.1994 0.0250 0.0233 Mar 16, 07 10.1900 0.0247 0.0230HDFC Multiple Yield Fund - Plan 2005)(Dividend Option)Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersNov 16, 06 10.9001 0.7500 0.6985Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF Others^ Past performance may or may not be sustained in the future.All dividends are on face value of Rs.10 per Unit. After payment of the dividend, the per Unit NAV will fall to the extent of the payout and distribution tax (if applicable).IntouchmutuallyMarch 2007 29

hdfc-div.qxd 4/7/2007 11:57 Page 2Dividend History ^HDFC Cash Management FundSavings Plus Plan (Dividend Option) (Last 6 months)Record Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersOct 03, 06 10.0292 0.0136 0.0127Oct 09, 06 10.0258 0.0104 0.0097Oct 16, 06 10.0284 0.0126 0.0118Oct 23, 06 10.0275 0.0118 0.0110Oct 30, 06 10.0276 0.0119 0.0111Nov 06, 06 10.0281 0.0124 0.0115Nov 13, 06 10.0280 0.0123 0.0114Nov 20, 06 10.0278 0.0121 0.0113Nov 27, 06 10.0280 0.0123 0.0114Dec 04, 06 10.0283 0.0125 0.0117Dec 11, 06 10.0277 0.0120 0.0112Dec 18, 06 10.0280 0.0122 0.0114Dec 26, 06 10.0303 0.0126 0.0118Dec 26, 06 10.0303 0.0126 0.0118Weekly Dividend Reinvestment OptionRecord Cum Div Dividend Per unit (Re.) ForDate NAV (Rs.) Individuals & HUF OthersJan 02, 07 10.0308 0.0147 0.0137Jan 08, 07 10.0263 0.0108 0.0100Jan 15, 07 10.0287 0.0129 0.0120Jan 22, 07 10.0288 0.0130 0.0122Jan 29, 07 10.0285 0.0128 0.0118Feb 05, 07 10.0285 0.0127 0.0119Feb 12, 07 10.0284 0.0126 0.0117Feb 19, 07 10.0289 0.0131 0.0122Feb 26, 07 10.0293 0.0134 0.0125Mar 05, 07 10.0292 0.0133 0.0124Mar 12, 07 10.0294 0.0135 0.0126Mar 19, 07 10.0305 0.0145 0.0135Mar 26, 07 10.0316 0.0155 0.0144HDFC Cash Management Fund (Call Plan)Weekly Dividend Reinvestment Option (Last 6 months)Month Record Date Ex-dividend NAV per Unit (Rs.) Aggregate Dividend Per Unit (Re.)for the month Individuals & HUF OthersOct 06 Daily 10.4266 0.0538 0.0501Nov 06 Daily 10.4266 0.0020 0.0019Dec 06 Daily 10.4266 0.0653 0.0606Jan 07 Daily 10.4266 0.0596 0.0558Feb 07 Daily 10.4266 0.0529 0.0496Mar 07 Daily 10.4266 0.0857 0.0805HDFC Cash Management FundSavings Plan (Daily Dividend Reinvestment Option) (Last 6 months)Month Record Date Ex-dividend NAV per Unit (Rs.) Aggregate Dividend Per Unit (Re.)for the month Individuals & HUF OthersOct 2006 Daily 10.6364 0.0539 0.0506Nov 2006 Daily 10.6364 0.0021 0.0020Dec 2006 Daily 10.6364 0.0589 0.0544Jan 2007 Daily 10.6364 0.0608 0.0566Feb 2007 Daily 10.6364 0.0552 0.0513Mar 2007 Daily 10.6364 0.0748 0.0699Weekly Dividend Reinvestment Option (Last 6 months)Record Cum Div Dividend Per unit (Re..) ForDate NAV (Rs.) Individuals & HUF OthersOct 06, 06 10.6392 0.0127 0.0118Oct 13, 06 10.6389 0.0125 0.0116Oct 20, 06 10.6391 0.0126 0.0118Oct 27, 06 10.6392 0.0127 0.0118Nov 03, 06 10.6392 0.0127 0.0118Nov 10, 06 10.6393 0.0128 0.0119Nov 17, 06 10.6394 0.0128 0.0120Nov 24, 06 10.6395 0.0130 0.0121Dec 01, 06 10.6393 0.0128 0.0119Dec 08, 06 10.6392 0.0128 0.0119Dec 15, 06 10.6393 0.0128 0.0119Dec 22, 06 10.6397 0.0132 0.0123Dec 29, 06 10.6401 0.0135 0.0126Record Cum Div Dividend Per unit (Re..) ForDate NAV (Rs.) Individuals & HUF OthersJan 05, 07 10.6408 0.0141 0.0131Jan 12, 07 10.6404 0.0138 0.0128Jan 19, 07 10.6403 0.0137 0.0127Jan 26, 07 10.6404 0.0137 0.0127Feb 02, 07 10.6404 0.0138 0.0129Feb 09, 07 10.6404 0.0138 0.0128Feb 16, 07 10.6472 0.0197 0.0184Feb 23, 07 10.6335 0.0077 0.0072Mar 02, 07 10.6405 0.0139 0.0129Mar 09, 07 10.6404 0.0138 0.0128Mar 16, 07 10.6409 0.0142 0.0132Mar 23, 07 10.6439 0.0169 0.0157Mar 30, 07 10.6460 0.0187 0.0174HDFC Liquid FundWeekly Dividend Reinvestment Option (Last 6 months)Record Cum Div Dividend Per unit (Re.) ForDate NAV (RS.) Individuals & HUF OthersRecord Cum Div Dividend Per unit (Re.) ForDate NAV (RS.) Individuals & HUF OthersRecord Cum Div Dividend Per unit (Re.) ForDate NAV (RS.) Individuals & HUF OthersLiquid Fund Premium Plan Premium Plus PlanOct 03, 06 10.3259 0.0137 0.0127 Oct 03, 06 12.4951 0.0168 0.0157 Oct 03, 06 12.4367 0.0167 0.0156Oct 09, 06 10.3219 0.0102 0.0095 Oct 09, 06 12.4902 0.0125 0.0117 Oct 09, 06 12.4318 0.0125 0.0116Oct 16, 06 10.3240 0.0120 0.0112 Oct 16, 06 12.4926 0.0146 0.0136 Oct 16, 06 12.4343 0.0146 0.0136Oct 23, 06 10.3241 0.0121 0.0113 Oct 23, 06 12.4930 0.0150 0.0140 Oct 23, 06 12.4346 0.0149 0.0139Oct 30, 06 10.3241 0.0121 0.0113 Oct 30, 06 12.4928 0.0147 0.0137 Oct 30, 06 12.4344 0.0147 0.0137Nov 06, 06 10.3242 0.0122 0.0114 Nov 06, 06 12.4928 0.0148 0.0138 Nov 06, 06 12.4344 0.0147 0.0137Nov 13, 06 10.3243 0.0123 0.0114 Nov 13, 06 12.4933 0.0153 0.0142 Nov 13, 06 12.4349 0.0152 0.0141Nov 20, 06 10.3242 0.0123 0.0114 Nov 20, 06 12.4930 0.0150 0.0140 Nov 20, 06 12.4347 0.0150 0.0140Nov 27, 06 10.3239 0.0119 0.0111 Nov 27, 06 12.4928 0.0148 0.0138 Nov 27, 06 12.4344 0.0147 0.0137Dec 04, 06 10.3241 0.0121 0.0113 Dec 04, 06 12.4929 0.0150 0.0140 Dec 04, 06 12.4346 0.0149 0.0139Dec 11, 06 10.3243 0.0123 0.0114 Dec 11, 06 12.4930 0.0150 0.0140 Dec 11, 06 12.4347 0.0159 0.0140Dec 18, 06 10.3245 0.0124 0.0116 Dec 18, 06 12.4933 0.0153 0.0142 Dec 18, 06 12.4349 0.0152 0.0141Dec 26, 06 10.3269 0.0146 0.0136 Dec 26, 06 12.4963 0.0179 0.0167 Dec 26, 06 12.4379 0.0178 0.0166Jan 02, 07 10.3256 0.0134 0.0125 Jan 02, 07 12.4947 0.0165 0.0153 Jan 02, 07 12.4363 0.0164 0.0153Jan 08, 07 10.3233 0.0114 0.0106 Jan 08, 07 12.4920 0.0141 0.0131 Jan 08, 07 12.4335 0.0139 0.0130Jan 15, 07 10.3259 0.0137 0.0127 Jan 15, 07 12.4944 0.0162 0.0151 Jan 15, 07 12.4360 0.0161 0.0150Jan 22, 07 10.3257 0.0135 0.0126 Jan 22, 07 12.4944 0.0162 0.0151 Jan 22, 07 12.4360 0.0161 0.0150Jan 29, 07 10.3257 0.0135 0.0126 Jan 29, 07 12.4945 0.0162 0.0152 Jan 29, 07 12.4362 0.0163 0.0152Feb 05, 07 10.3259 0.0137 0.0127 Feb 05, 07 12.4947 0.0165 0.0153 Feb 05, 07 12.4363 0.0164 0.0153Feb 12, 07 10.3256 0.0134 0.0125 Feb 12, 07 12.4944 0.0162 0.0151 Feb 12, 07 12.4359 0.0160 0.0149Feb 19, 07 10.3264 0.0141 0.0132 Feb 19, 07 12.4947 0.0165 0.0153 Feb 19, 07 12.4364 0.0165 0.0153Feb 26, 07 10.3255 0.0133 0.0124 Feb 26, 07 12.4944 0.0162 0.0153 Feb 26, 07 12.4360 0.0161 0.0150Mar 05, 07 10.3256 0.0134 0.0125 Mar 05, 07 12.4945 0.0163 0.0152 Mar 05, 07 12.4361 0.0162 0.0151Mar 12, 07 10.3255 0.0134 0.0124 Mar 12, 07 12.4942 0.0160 0.0149 Mar 12, 07 12.4359 0.0162 0.0151Mar 19, 07 10.3271 0.0134 0.0137 Mar 19, 07 12.4960 0.0176 0.0164 Mar 19, 07 12.4374 0.0174 0.0162Mar 26, 07 10.3299 0.0134 0.0160 Mar 26, 07 12.4995 0.0207 0.0193 Mar 26, 07 12.4410 0.0205 0.0191^ Past performance may or may not be sustained in the future.All dividends are on face value of Rs.10 per Unit. After payment of the dividend, the per Unit NAV will fall to the extent of the payout and distribution tax (if applicable).30 March 2007 Intouchmutually

hdfc-bk1.qxd 4/7/2007 12:09 Page 1MethodologyValue Research RatingsValue Research Fund Ratings are a composite measureof historical risk-adjusted returns. In the case of equity andhybrid funds this rating is based on the weighted averagemonthly returns for the last 3 and 5-year periods. In thecase of debt funds this rating is based on the weightedaverage weekly returns for the last 18 months and 3-yearperiods and in case of short-term debt funds - weeklyreturns for the last 18 months. These ratings do not takeinto consideration any entry or exit load.Five-stars indicate that a fund is in the top 10 per centof its category in terms of historical risk-adjusted returns.Four stars indicate that a fund is in the next 22.5 per centof its category, the next 35% receive three stars, the next22.5% receive two stars and the bottom 10% receive onestar. The number of schemes in each category is mentionedalong side the categories name. Equity Diversified (78),Equity : Index (18), Equity Tax Planning (20), Hybrid EquityOriented (27), Hybrid: Monthly Income (37), Debt:Medium-term (43), Gilt: Medium and Long-term (43), Gilt:Short-term (16), Debt: Ultra Short-term (35), Debt: UltraShort-term Institutional (32), Debt: Short-term (21), Debt:Floating Rate Short-term (21), Debt: Floating Rate ShorttermInstitutional (10) Debt: Floating Rate Long-term (15),Hybrid: Debt-oriented (19). These Fund Ratings are as onMarch 31, 2007.The Value Research Ratings are published in MonthlyMutual Fund Performance Report and Mutual Fund Insight.The Ratings are subject to change every month. The Ratingis based on primary data provided by respective funds,Value Research does not guarantee the accuracy.# S&P CNX 500HDFC Equity Fund, HDFC Capital Builder Fund, HDFCTaxSaver and HDFC Premier Multi-Cap Fund, which arebenchmarked to S&P CNX 500 Index are not sponsored,endorsed, sold or promoted by India Index Services &Products Limited (IISL). IISL is not responsible for any errorsor omissions or the results obtained from the use of suchindex and in no event shall IISL have any liability to anyparty for any damages of whatsoever nature (includinglost profits) resulted to such party due topurchase or sale or otherwise of such product benchmarkedto such index.Intouch MutuallyFORM IV (see Rule 8)1. Place of Publication Mumbai2. Periodicity of its Publication Monthly3. Printer’s Name Shailendra Sharad KalelkarNationalityIndianwhether a citizen of India?YesIf a foreigner, the country of originAddressH/3&4, Paragon Condominium, Opp. Century Mills,P.B. Marg, Woril, Mumbai - 400 013.4. Publisher’s Name Shailendra Sharad KalelkarNationalityIndianwhether a citizen of India?YesIf a foreigner, the country of originAddressH/3&4, Paragon Condominium, Opp. Century Mills,P.B. Marg, Woril, Mumbai - 400 013.5. Editor’s Name George SkariaNationalityIndianwhether a citizen of India?YesIf a foreigner, the country of originAddressNehru House, 4, Bahadur Shah Zafar Marg,New Delhi - 110 002.6. Names and addresses of individuals Owner:who own the newspaper and partners Business Standard Limitedor shareholders holding more than Nehru House, 4, Bahadur Shah Zafar Marg,one percent of the total capital New Delhi - 110 002.Shareholders holding more than one percent of the total capital:The Great Eastern Shipping Company Limited, Ocean House,134/A Dr. Annie Besant Road, Worli, Mumbai 400 018;T N Ninan Jtly Sevanti Ninan, Flat No.2B 1/23, Shantiniketan,New Delhi- 110 021; Kotak Mahindra Investments Limited,88A Nariman Bhavan, 227 Nariman Point, Mumbai 400 021;Multifaced Finstock Pvt. Ltd., Navsari Building, Ist Floor, 240 D N Road,Fort Mumbai - 400 001; Cumulus Trading Company Pvt. Ltd.,240 Navsari Building, Ist Floor, D N Road, Fort Mumbai - 400 001;Pearson Overseas Holding Ltd., 80 Strand, London,WC2R 0RL & Kotak Mahindra Bank Limited,36-38A Nariman Bhavan, 227 Nariman Point, Mumbai 400 021.I, Shailendra Sharad Kelalkar, hereby declare that the particulars given above are true to thebest of my knowledge and belief.Date : 1st March 2007sd/-Shailendra Sharad KalelkarPrinter & PublisherDisclaimer:The information contained herein should not be altered in any way, transmitted to, copied or distributed, in part or in whole, to any other person or to the media or reproducedin any form, without prior written consent of HDFC Asset Management Company Limited (HDFC AMC) or the relevant owner of the intellectual property, as the case maybe. All Intellectual property and intellectual property rights belong to the relevant owner of the intellectual property, and “Intouch Mutually” is a trademark of HDFC AMC.Any information herein contained does not constitute and shall be deemed not to constitute an advice, an offer to sell/ purchase or as an invitation or solicitation to do sofor any securities of any entity, and further, HDFC AMC / its subsidiaries / affiliates / sponsors / trustee (HDFC AMC Group) or their officers, employees, personnel, directors maybe associated in a commercial, professional or personal capacity or may have a commercial interest including as proprietary traders in or with the securities and/ or companiesor issues or matters as contained in this publication and such commercial capacity or interest whether or not differing with or conflicting with this publication, shall not make orrender (HDFC AMC Group) liable in any manner whatsoever & (HDFC AMC Group) or any of their officers, employees, personnel, directors shall not be liable for any loss, damage,liability whatsoever for any direct or indirect loss arising from the use or access of any information that may be displayed in this publication from time to time. Recipientsof the information contained herein should exercise due care and caution and read the offer documents (including if necessary, obtaining the advice of tax / legal / accounting /financial / other professionals) prior to taking of any decision, acting or omitting to act, on the basis of the information contained herein. The printing and mailing cost of thisnewsletter is charged to the respective schemes subject to Securities & Exchange Board of India (Mutual Funds) Regulations, 1996.Editorial opinions expressed in Intouch Mutually (Page no. 4 to 5) are not necessarily those of HDFC AMC Group, or any of their officers, employees, personnel, directorsand HDFC AMC Group and their officers, employees, personnel, directors do not accept responsibility for the editorial content. HDFC AMC Group or any of their officers, employees,personnel, directors make no representation as to the accuracy, completeness or reliability of the editorial content and hereby disclaim any liability with regard to the same.IntouchmutuallyMarch 2007 31

hdfc-bk.qxd 4/7/2007 12:08 Page 2Visit us atwww.hdfcfund.comTelephone ServicesInvestor Services : (at Mumbai)Toll-free number : 1800 22 5373Dedicated number : 022-6631 6300Intouchmutually, March 2007, RNI Regd. No. MAHENG/2003/10804WANT TO HAVE THE LATEST INFORMATION ABOUT US ?e-mailINVESTOR SERVICE CENTRES (ISCs)ANDHRA PRADESH HDFC Asset Management Company Ltd., 6-3-883/7, 2nd Floor,Saphire Square, Somajiguda, Hyderabad 500 282.Tel: 040 - 2341 7401-05, Fax: 040 - 2341 7407.MAHARASHTRAHDFC LIMITED, Ground Floor, Saigopal Arcade, Opp Waltair Club,Waltair Main Road, Siripuram, Visakhapatnam 530 003.Tel: 0891- 276 9636, Fax: 0891 - 255 0411.BIHARHDFC LIMITED, Rani Plaza Apartment, (Patna X-Ray Clinic),Exhibition Road, Patna 800 001.Tel: 0612 - 232 2047. Fax: 0612 - 232 0684.DELHIHDFC AMC LIMITED, 4th Floor, Mohan Dev Bldg.,13, Tolstoy Marg, Connaught Place, New Delhi 110 001.Tel: 011 - 6632 4000. Fax: 011 - 2335 1318.GOAHDFC AMC LIMITED, A3, First Floor, Krishna Building,Opp. Education Dept, Behind Susheela Building,G.P. Road, Panaji, Goa 403 001.Tel: 0832 - 242 5609, 242 5610, Fax: 0832 - 242 5614.ORISSAGUJARAT HDFC AMC LIMITED, 2nd Floor, Megha House,Besides Gruh House, Mithakhali Six Roads, Ahmedabad 380 009.Tel: (B) 079 - 4005 0055/66 Telefax: 079 - 4005 0506.PUNJABHDFC AMC LIMITED, Upper Ground Floor, Gokulesh,R C Dutt Road, Vadodara 390 007.Tel: 0265 6621110, 6621120, Fax 0265 6621150.HDFC AMC LIMITED., U1 - U3, Jolly Plaza,Opp Athwa Gate Police Station, Athwa Gate, Surat 395 001.Tel: 0261 - 246 0082 / 83. Fax: 0261 - 246 0091.RAJASTHANHDFC Asset Management Company Ltd., 2nd Floor, Shiv Darshan,Dr Radha Krishnan Road, 5, Jagnath Plot Corner, Rajkot - 360 001.Tel: 0281 552 4881/2JHARKHAND HDFC AMC LIMITED, Gayatri Enclave, “K” Road, Bistupur,Jamshedpur 831 001.Tel: 0657 - 2426730. Telefax: 0657 - 3291826.TAMIL NADUKARNATAKA HDFC AMC LIMITED, No.114, 1st Floor, Prestige Towers, 99 & 100,Residency Road, Bangalore 560 025.Tel: 080 - 6620 5300, Fax: 080 - 4112 5255.HDFC AMC LIMITED., UG - II, 6 & 7, Upper Ground Floor,Maximus Commercial Complex, Light House Hill Road, Opp. KMC,Mangalore 575 001.UTTAR PRADESHTel: 0824 428 5333 (B), 428 5337 (D) Fax: 0824 - 428 5336.KERALAHDFC AMC Ltd., Ground Floor, Cinema Cum Commercial Complex,Behind Ravipuram Bus Stop, M.G. Road, Kochi 682 016,Tel: 0484 - 235 7707 / 08, 394 3058 / 059, 235 8462.Telefax: 0484 - 235 8462.MADHYA PRADESH HDFC AMC LIMITED, 15/3, Sterling Arcade, Race Course Rd., WEST BENGALIndore - 452 001Tel: 0731 - 424 5434 / 35 (B) Fax: 0731 - 424 5436.Visit us at : www.hdfcfund.comFor any query or suggestions:-Investors may contact us at:cliser@hdfcfund.comDistributors may contact us at:broser@hdfcfund.comSMS: HDFCMF to 6767HDFC LIMITED,Ranjit Towers, Zone II, 8 MP Nagar, Bhopal 462 011.Tel: 0755 - 428 5385, 427 7772, 527 3330 Fax: 0755 - 427 3331.HDFC AMC LIMITED, Mistry Bhavan, 1st Flr, 122, BackbayReclamation, Dinsha Vachha Road, Churchgate, Mumbai 400 020.Tel: 022 - 6631 6300 Fax: 022 - 2282 1144.HDFC AMC LIMITED, 106-110, Shriram Shyam Towers, 2nd Floor,Next to NIT Building, Kingsway, Sadar, Nagpur 440 001.Tel: 0712 - 663 0301 / 02 / 04, Fax: 0712 - 663 0206.HDFC AMC LIMITED, HDFC House, 2nd Floor, Shivaji Nagar,University Road, Pune 411 005.Tel: 020 - 2552 1680 / 2552 1681,Fax: 020 - 2552 1683.HDFC AMC LIMITED, G-1 & G-2, Ground Floor, Suyojit HeightsOpp. Rajiv Gandhi Bhavan, Sharanpur Road, Nashik 422 002.Tel: 0253 - 661 1831 / 32 (B), 661 1835 (D) Fax: 0253 - 661 1836.HDFC AMC LIMITED, 2nd Floor, Vinayak 96, Janpath,Bhubaneshwar 751 001Tel: 0674 - 645 0502, 645 1502, Telefax: 0674 - 253 1483.HDFC AMC LTD, SCO 375-376, Ground Floor, Sector 35-B,Chandigarh 160 022.Tel: 0172 - 262 3397, 262 4497, Fax: 0172 - 301 3839.HDFC AMC LIMITED, SCO 122, Feroze Gandhi Market,Ludhiana 141 001.Tel: 0161 - 277 4321, 501 4321, Fax: 0161 - 301 3838.HDFC AMC LIMITED, Moondhra Bhavan, 3 Ajmer Rd,Jaipur 302 001.Tel: 0141 - 511 1125, 237 4968, Fax: 0141 - 511 1126.HDFC AMC LIMITED, Gulab Singh Building, 11, Chopasani Road,Jodhpur - 342 003.Tel: (0291) - 510 1927, 510 1937. Fax: 0291 - 5105919HDFC AMC LIMITED, ITC Centre, 1st Floor, 760 Anna Salai,Chennai 600 002.Tel: 044 - 2841 5851/52, Fax: 044 - 2841 5855HDFC AMC LIMITED, 1371A, Ground Floor, Nadar BuildingTrichy Road, Coimbatore 641 018.Tel: 0422 - 439 1861 / 62 / 63, Fax: 0422 - 439 1714.HDFC AMC LIMITED, 4 Shahnajaf Road,Lucknow 226 001.Tel: 0522 - 220 7591, 220 0163, Fax: 0522 - 223 0408.HDFC AMC LIMITED, 1st Floor, 16/80 D, Behind SBI Main,Civil Lines, Kanpur 208 001.Tel: 0512 - 233 1484-87, Fax: 0512 - 233 1487.HDFC AMC LIMITED, Menaka Estate, 1st Floor,3 Red Cross Place, Kolkata 700 001.Tel. 033 - 2242 7849/53/56/59. Fax: 033 - 2243 9582.A Joint Venture with Standard Life Investments LimitedRegistered Office: Ramon House, 3rd Floor, H.T. Parekh Marg, 169, Backbay Reclamation, Churchgate, Mumbai 400 020.Risk Factors: Mutual Funds and securities investments are subject to market risks and there can be no assurance or guarantee that the Scheme(s) objectives will be achieved. As with any investmentin securities, the Net Asset Value of Units issued under the Scheme(s) may go up or down depending on the various factors and forces affecting the capital markets. Past performance ofthe Sponsors and their affiliates/AMC/Mutual Fund and its Scheme(s) do not indicate the future performance of the Scheme(s) of the Mutual Fund. The Sponsors are not responsible or liablefor any loss or shortfall resulting from the operations of the Scheme(s) beyond the contribution of Rs.1 lakh each made by them towards the corpus of the Mutual Fund. The names of theScheme(s) of the HDFC Mutual Fund do not in any manner indicate either the quality of the Scheme(s) or their future prospects and returns. “Standard & Poor’s® and “S&P® are trademarksof The McGraw-Hill Companies, Inc. and have been licensed for use by India Index Services & Products Limited (IISL), which has sublicensed such marks to the HDFC Asset Management CompanyLimited. The S&P CNX Nifty is not compiled, calculated or distributed by Standard & Poor’s and Standard & Poor’s and IISL make no representation regarding the advisability of investing in productsthat utilize any such Index as a component. All rights in the SENSEX vest in The Stock Exchange, Mumbai (“BSE”). BSE and SENSEX are trademarks of BSE and are used by the HDFC AssetManagement Company Limited under license. BSE shall not be liable in any manner whatsoever (including in negligence) for any loss arising to any person whosoever out of use of or relianceon the SENSEX by any person. Investors in the Scheme(s) are not being offered any guaranteed/assured returns. Please read the respective Offer Documents carefully before investing. In viewof the individual nature of tax consequences, each investor is advised to consult his/her professional tax advisor. Applications would be accepted at Investor Service Centres (ISCs) and on-goingRedemptions (subject to completion of Lock-in-Period, if any) can be made at the ISCs on all Business Days.The AMC will calculate and publish NAVs on all Business Days. This quarterly newslettercontains unaudited figures. Statutory Details: HDFC Mutual Fund has been set up as a trust sponsored by Housing Development Finance Corporation Limited and Standard Life InvestmentsLimited (liability restricted to their contribution of Rs 1 lakh each to the corpus) with HDFC Trustee Company Limited as the Trustee (Trustee under the Indian Trusts Act, 1882) and with HDFCAsset Management Company Limited as the Investment Manager.Published and printed by Shailendra Sharad Kalelkar for and on behalf of Business Standard Limited from H4, Paragon Condominium, Opposite Century Mills, P B Marg, Worli, Mumbai 400013, andprinted at Print House India Private Limited, 6, Datta Mandir Road, Bhandup (W), Mumbai 400 078. Editor: George Skaria.