Risk Disclosure

1. Introduction

This Risk Disclosure applies to financial information, mutual fund distribution-related services, investment-related content, digital tools and corporate advisory information made available through the PaisaGraph website, mobile applications and associated channels.

PaisaGraph is an AMFI-registered Mutual Fund Distributor under ARN 314808. Its distribution-related activities are subject to applicable laws, regulations, AMFI requirements and the terms governing the relevant services.

This Disclosure is intended to explain material risks associated with financial products, investment information, digital tools and certain corporate transactions. It should be read together with the relevant scheme documents, product disclosures, Terms of Service and applicable service agreements.

This Disclosure is general in nature and does not replace scheme-specific risk factors, prescribed advertising warnings, statutory disclosures or the offer documents applicable to a particular product or transaction.

2. Market Risk and Potential Loss

All investments in mutual funds and securities are subject to market risks. The value of investments and the NAV of mutual fund schemes may rise or fall depending on factors affecting the securities markets.

These factors may include economic conditions, interest rates, inflation, company performance, changes in government policy, geopolitical events, currency movements, liquidity conditions and investor sentiment.

Investors may lose some or all of the amount invested. There is no assurance that an investment objective will be achieved or that an investment can be redeemed at the expected price or time.

Investors should consider their financial circumstances, investment horizon, liquidity needs and capacity to bear losses before investing.

3. Mutual Fund Scheme-Specific Risks

Different mutual fund schemes carry different risks depending on their investment objectives, asset allocation, instruments, investment strategy and portfolio composition.

3.1 Equity Schemes

Equity schemes are exposed to fluctuations in share prices, company-specific developments, sectoral conditions, market valuations and broader economic factors.

Small-cap, mid-cap, sectoral, thematic and concentrated strategies may experience substantial volatility and periods of significant underperformance.

3.2 Debt and Fixed-Income Schemes

Debt schemes may be affected by interest-rate movements, credit deterioration, issuer defaults, changes in credit spreads, liquidity constraints and reinvestment risk.

A higher yield may reflect higher credit or liquidity risk and should not automatically be interpreted as a safer or superior investment.

3.3 Hybrid and Asset-Allocation Schemes

Hybrid and asset-allocation schemes are exposed to the risks associated with their underlying asset classes and their allocation or rebalancing strategies.

Their performance may differ materially from that of any single asset class.

3.4 Index Funds and Exchange-Traded Funds

Index funds and ETFs are exposed to the risks of their underlying index or assets. Their performance may differ from the index because of tracking error, expenses, portfolio adjustments and other factors.

ETFs may also trade at prices that differ from their indicative or underlying net asset value, and liquidity may vary.

3.5 Sectoral, Thematic and Concentrated Schemes

Schemes concentrated in a particular sector, theme, market segment or group of securities may be more vulnerable to adverse developments affecting that segment.

Diversification within a scheme does not eliminate market risk.

3.6 Overseas and International Investments

International schemes may be affected by foreign market movements, exchange-rate fluctuations, overseas regulations, taxation, geopolitical events, settlement arrangements and restrictions applicable to cross-border investments.

3.7 Specialised and Alternative Investment Products

Products such as specialised investment funds, alternative investment funds, portfolio management services, REITs, InvITs and other non-traditional investment products may have distinct eligibility, valuation, liquidity, concentration, leverage, taxation and regulatory risks.

Their terms, minimum investment requirements, withdrawal restrictions and risk characteristics may differ substantially from conventional mutual funds.

Investors should review the relevant offering documents and obtain appropriate professional guidance where necessary.

4. Liquidity, Redemption and Exit Risk

The ability to redeem, transfer or sell an investment may depend on scheme terms, market conditions, settlement arrangements, trading volumes, exit loads, lock-in periods and regulatory restrictions.

Certain securities or investment products may be difficult to sell at a desired price or within a desired timeframe.

A redemption request or sale instruction may be delayed, rejected or processed subject to the applicable scheme or platform rules.

Investors should not assume that every investment can be converted into cash immediately or without a loss.

5. No Guaranteed Returns or Capital Protection

Unless an investment product expressly provides a legally valid guarantee or protection under its governing terms, no return, yield, income or capital protection should be assumed.

PaisaGraph does not guarantee the performance of any mutual fund scheme, security, portfolio, investment strategy or fundraising transaction.

Illustrations, calculators, projections, target returns and historical data are not promises of future results.

Even where a product contains a guarantee, investors should examine its precise terms, the identity and obligations of the guarantor, applicable conditions and the risks associated with the guarantee.

6. Past Performance and Historical Data

Past performance is not indicative of future returns.

Historical returns, NAVs, index levels, rankings, volatility measures and other performance information may be affected by the period selected, the method of calculation, expenses, taxes and the source of data.

Comparisons between schemes or products may be misleading if the underlying investment objectives, risk levels, time periods or calculation methods differ.

Where financial data is obtained from AMCs, exchanges, authorised platforms or third-party providers, users should verify material information against the relevant official source before making an investment decision.

7. Risk Profiling, Calculators and Digital Tools

Risk questionnaires, investment calculators, goal-planning tools, portfolio visualisations and comparison features are based on the information entered, assumptions used, available data and the limitations of the tool.

Results may not reflect every relevant aspect of an individual's financial position, future income, expenses, liabilities, tax circumstances or investment needs.

Illustrative outputs are not guaranteed outcomes. Errors in input data, assumptions, calculation methods or third-party data may affect results.

Users should independently verify material assumptions and figures and should not rely exclusively on a digital tool to make a financial decision.

8. Distribution Relationship and Transaction Risk

PaisaGraph acts as a mutual fund distributor in relation to its mutual fund distribution activities.

Distribution-related information, scheme explanations and investor support should be considered in light of the applicable distribution relationship, relevant scheme documents and regulatory disclosures.

The availability of scheme information or a comparison tool does not imply that every scheme is suitable for every investor or that the same product is appropriate for all financial objectives.

Transactions may be subject to KYC completion, payment confirmation, cut-off times, applicable NAV rules, platform availability, bank processing, scheme restrictions and acceptance by the relevant AMC or authorised service provider.

A transaction instruction does not necessarily mean that the transaction has been accepted, executed or settled. Users should verify the final status through the relevant authorised platform or institution.

9. Third-Party Platform, Technology and Cybersecurity Risk

The Platform may rely on third-party transaction systems, AMCs, registrars and transfer agents, KYC providers, market-data providers, payment systems, cloud services and communication networks.

Interruptions, technical failures, data delays, cyber incidents, connectivity issues or errors in third-party systems may affect the availability or accuracy of information and the processing of instructions.

Users should access transaction facilities through appropriate authorised channels and protect their authentication credentials.

PaisaGraph will address matters within its responsibility in accordance with applicable law and its relevant service obligations. This Disclosure does not remove any responsibility that PaisaGraph may have for its own acts or omissions.

10. Taxation and Regulatory Risk

Tax treatment of investments may depend on the nature of the product, the investor's circumstances, the holding period, applicable legislation, treaty provisions and changes in law.

Regulatory amendments, tax changes, changes in scheme rules, expense structures or market practices may affect the costs, benefits or operation of an investment.

General information published by PaisaGraph should not be treated as a substitute for advice based on an individual's complete tax and legal circumstances.

Investors should verify applicable tax and regulatory requirements at the time of the relevant transaction.

11. IPO, Fundraising and Private Equity Risks

Corporate advisory and fundraising activities may involve IPO readiness, listing preparation, private equity, capital raising and related corporate finance support.

These activities carry risks distinct from ordinary mutual fund investments.

11.1 Listing and Regulatory Approval Risk

Preparation for an IPO or listing does not guarantee that a company will become eligible for listing or receive the necessary regulatory, exchange or other approvals.

The outcome depends on applicable eligibility requirements, disclosures, due diligence, corporate governance, financial performance, market conditions and decisions of the relevant authorities and institutions.

11.2 Fundraising and Investor Demand Risk

A proposed fundraising transaction may not attract sufficient investor interest, may be delayed, may be restructured or may not be completed.

No fundraising target, subscription level, valuation, investment commitment or completion date is assured unless expressly and validly agreed by the relevant parties.

11.3 Valuation and Dilution Risk

Corporate valuations are affected by assumptions, financial performance, market conditions, comparable transactions, growth expectations and investor demand.

Equity fundraising may dilute existing shareholders. A valuation used for planning or negotiation is not a guarantee of the eventual transaction value or future exit proceeds.

11.4 Private Equity and Exit Risk

Private equity investments may involve long holding periods, restricted transfers, limited liquidity, uncertain distributions and difficulty in determining fair value.

Investors may not be able to exit at the expected time or price, and may lose a substantial portion or all of their investment.

11.5 Due Diligence and Information Risk

Corporate transactions rely on financial, legal, operational, commercial and other information supplied by the company and relevant parties.

Incomplete, inaccurate or subsequently changed information may affect transaction assessment and outcomes. Each party remains responsible for its obligations under the applicable engagement and transaction documents.

Information on the PaisaGraph website regarding IPOs, fundraising or private equity is general in nature and does not itself constitute an offer, underwriting commitment, assurance of listing or guarantee of funding.

12. Conflicts of Interest and Remuneration

PaisaGraph may receive permitted remuneration for distribution-related services and fees for separately agreed corporate engagements.

Where applicable, remuneration arrangements and material conflicts will be disclosed in accordance with the relevant law, regulation, contractual arrangement or service-specific disclosure requirement.

Users should consider the capacity in which PaisaGraph is acting in a particular engagement and should not assume that every service is provided on an independent, fee-only basis.

13. Investor Responsibility and Access to Official Documents

Before investing, users should:

• Read the applicable Scheme Information Document, Key Information Memorandum, Statement of Additional Information and other relevant scheme documents, as applicable.
• Understand the scheme's investment objective, risk factors, expenses, exit loads and redemption conditions.
• Consider their investment horizon, liquidity requirements, financial objectives and capacity to bear losses.
• Verify material information and transaction details through authorised channels.
• Seek qualified legal, tax or financial advice where appropriate to their circumstances.

For corporate fundraising and listing engagements, the relevant issuer, investor or client should review the applicable offer documents, engagement terms, due diligence material and statutory disclosures.

14. No Waiver of Legal or Regulatory Rights

This Disclosure is intended to explain material risks and help users understand the limitations of financial information and investment products.

It does not exclude or restrict any right available to an investor under applicable law or any obligation imposed on PaisaGraph by applicable law, regulation or an enforceable agreement.

Nothing in this Disclosure should be interpreted as permission to make misleading representations, omit mandatory risk warnings or disregard the duties applicable to the relevant service.

15. Updates to This Disclosure

PaisaGraph may update this Disclosure to reflect changes in its services, product categories, digital facilities or applicable legal and regulatory requirements.

The revised version will be published on the Platform with an updated date. Users should review the applicable product documents and specific risk warnings relevant to their transactions.

16. Contact Details

For complaints relating to a particular scheme, transaction or service, users should also consult the grievance mechanism of the relevant AMC, authorised transaction platform or other responsible entity, as applicable.