FAQ

Marcellus Global Equities Fund – Client FAQ

1. What is the Marcellus Global Equities Fund?

The Marcellus Global Equities Fund is a global investment strategy via the GIFT City Route that enables Indian investors to invest in high-quality international businesses across developed markets, helping diversify beyond domestic assets.

2. Why should I invest in global equities?

Global investing helps:

• Diversify beyond India’s economic cycle
• Gain exposure to world-leading companies
• Hedge against rupee depreciation
• Align investments with global lifestyle aspirations (travel, education, luxury)

3. How does this fund help hedge currency risk?

The fund invests in dollar-denominated assets. Over the long term, the Indian rupee has depreciated significantly against the US dollar, which can erode purchasing power. Global investments help offset this risk.

4. What is the investment philosophy of the fund?

The fund focuses on:

• High-quality global companies
• Strong competitive advantages
• Consistent earnings growth
• Long-term wealth creation

It follows a disciplined, research-driven approach similar to Marcellus’ domestic strategies.

5. What kind of companies will the fund invest in?

The portfolio will focus on global leaders benefiting from large structural trends such as:

• Artificial Intelligence and digital infrastructure
• Power generation and energy transition
• Luxury consumption
• Aerospace and defense

6. Who should invest in this fund?

This fund is suitable for:

• Investors seeking global diversification
• Individuals with long-term financial goals
• Investors looking to hedge currency risk
• Those with limited or no exposure to international assets

7. What is the minimum investment amount?

• Minimum investment: USD 5,000
• Additional investments (top-ups): USD 2,000

8. Is there a lock-in period?

There is no lock-in period, providing flexibility to investors.

9. Is there any exit load?

• 2% exit load if redeemed within 24 months
• No exit load after 24 months
• Exit load will be applicable to each tranche of investment.

10. What are the fees and expenses?

• Total Expense Ratio (Direct - TER): 1.25% per annum
• Total Expense Ratio (Regular - TER):  2% per annum

11. How is taxation handled?

• Taxes are managed at the fund level
• Investors do not need to handle complex tax filings
• Simplified Tax compliance compared to direct global investing

12. Do I need to use the Liberalised Remittance Scheme (LRS)?

Yes, The digital onboarding structure reduces the operational and compliance burden compared to investing directly overseas via LRS.

13. How frequently is the NAV declared?

NAV is declared daily, ensuring transparency and regular valuation.

14. Can I redeem my investment in foreign currency?

Yes, investors have the flexibility to redeem in foreign currency accounts, subject to applicable terms.

15. Where is the fund based and what is the structure?

The fund is structured as an Category III AIF (retail) through GIFT City (IFSC), enabling efficient global investing with simplified processes.

16. Who manages the fund?

The fund is managed by an experienced global investment team with strong credentials, including professionals with experience at leading global institutions and on-ground presence in the US.

17. What returns can I expect?

• The fund aims for long-term wealth creation through high-quality businesses
• Returns are market-linked and not guaranteed
• Past strategy performance is indicative but not assured for future outcomes

18. What are the key risks?

• Market volatility in global equities
• Currency fluctuations
• Equity asset class risk
• Geopolitical and regulatory risks
• Sector-specific risks

Investors should consider a long-term horizon to manage these risks.

19. How is this different from investing in global ETFs or funds?

• Actively managed with a focus on quality
• Concentrated portfolio of high-conviction ideas
• Strong bottom-up research approach
• No need for direct international account setup

20. What is the recommended investment horizon?

A minimum of 5 years or longer is recommended to fully benefit from global compounding cycle.

21. How easy is it to invest?

The fund offers:

• Paperless onboarding
• Simplified investment process
• Reduced compliance requirements for investors

22. Why should I invest now?

• Increasing global opportunities (AI, energy, consumption)
• Rising importance of global diversification
• Long-term rupee depreciation trend
• Opportunity to participate in global wealth creation

23. How can I invest in the Marcellus Global Equities Fund?

You can invest through two simple routes:

✅ Digital Onboarding (Recommended) Video Link:

• Fully end-to-end digital process
• Paperless signup with e-sign
• Make payments directly during onboarding via:
  • HDFC Bank
  • ICICI Bank
  • Axis Bank
  • IDFC Bank
• Powered by KFintech (RTA) and Leegality (e-sign platform)

👉 Start here:

https://marcellus.in/portfolio-management-services/marcellus-global-compounder-equities-fund

📄 Physical Onboarding

• Download and fill the application form
• Sign and send along with required documents

📧 Submit to: gift.retail@marcellus.in and once approved, send the hard copies to RTA Kfin Gift City Office

👉 Download forms here:

https://marcellus.in/portfolio-management-services/marcellus-global-compounder-equities-fund

24. What documents are required for onboarding?

You need to submit:

• PAN card
• Address proof (Aadhaar / Passport / Driving License)
• Bank proof (cancelled cheque or latest bank statement)
• Wet Signature on blank white paper

25. What are the payment options?

You can invest using either of the following:

💻 Option 1: Online Remittance (During Digital Journey)

• Integrated bank transfer via:
  • HDFC, ICICI, AXIS, IDFC

🏦 Option 2: Offline Transfer

• Via bank branch or net banking
• SWIFT transfer from overseas account

For top up, bank details are as follows

·       Kotak Bank

26. What is the minimum investment amount?

• Minimum investment: USD 5,000 (net credited), no upper limit
• Your investment will be considered only after this amount is received

27. Can I invest from my Indian bank account?

Yes. You can invest via:

• Indian rupee account under the LRS route, OR
• Overseas USD account via SWIFT transfer

28. Can I register multiple bank accounts?

No.

• Only one bank account can be registered at a time
• This can be either Indian or overseas

29. What is the structure of the fund?

• Open-ended global equity scheme
• Based in GIFT City (IFSC)
• Invests in leading global companies across developed markets
• Objective: Long-term capital appreciation

30. What kind of portfolio does the fund have?

• Typically invests in 30–40 high-quality companies
• Focus on global leaders with strong competitive advantages, following samples are indicative and can change.

31. What is the geographical allocation?

(Indicative and subject to change)

• USA: 65–85%
• Europe: 10–25%
• Others: 10–20%

32. How often is the portfolio rebalanced?

• Rebalancing is done on a need basis
• Focus is on long-term compounding rather than frequent churn

33. How can the investment be held?

• Up to 3 holders allowed
• Mode of holding: Anyone or Survivor

Eligibility of Joint Holders:

• Spouse
• Father / Mother
• Son / Daughter

34. Is nomination allowed?

Yes.

• Up to 3 nominees allowed
• Total allocation must equal 100%
• Nominee can be a minor (with guardian)
• Option available to opt out of nomination

35. How do I update or modify my CKYC details?

• Contact your bank, OR

• Send a duly filled form to:

  📧 gift.retail@marcellus.in

36. What is the initial NAV of the fund?

• Initial NAV: USD 10

37. Who is this fund suitable for?

This fund is ideal for investors:

• Seeking global diversification
• Looking to build dollar assets
• With long-term goals (e.g., foreign education, travel)
• With investment horizon of 5 years or more

38. What are the key benefits of investing in this fund?

• Exposure to developed market equities
• Access to global market leaders which is not available in India
• Hedge against rupee depreciation
• Opportunity for long-term risk-adjusted returns
• Managed by an experienced global investment team

39. How can I raise a complaint or grievance?

📧 Email: grievance.gift@marcellus.in

👉 For more details:

Refer “Corporate Regulatory Disclosures” section on Marcellus website

40. How does this compare to other global funds?

It is recommended to consult your investment advisor for a detailed comparison.

41. NFO dates 

• Window Open: 8 to 19^th Jun
• First NAV: 25^th Jun $10
• First Statement: 29^th Jun
• Reopen for daily subscription: 29^th Jun

42. Who can invest in this fund

• Resident Individuals
• Corporate bodies like public limited, private limited, LLP, registered partnerships

Pls note NRI’s cannot invest in this fund

43. How to check existing investments

• Investor will get access to a portal post the initial subscription/investment, which will display the details of the investments

44. Distributor Payout

·       Monthly

·       Standard sharing percentage is 1%, pls speak to your Marcellus RM

45. What are the applicable taxes

Here’s a summary of the tax rates for the fund’s global equity income, the investor does not have to Pay anything post redemption.

46. What happens to my investment if something happens to Marcellus.

If something happens to Marcellus, the trustee and custodian will make sure your investments are safe. You can reach out to them for help. Details are available in the offer document.

47. When will the fund factsheet available

10^th of the subsequent month.

48. Daily Nav frequency

NAV to be published on T+2

49. How does the movement of money happen

Funds Pool account to Interactive brokers, USA (IBKR, Broker and custodian) for transactions.