Franklin Templeton Mutual Fund’s six shut schemes generate Rs 11,907 crore since closure in April
Franklin Templeton Mutual Fund had shut six debt mutual fund schemes on April 23, citing redemption pressures and lack of liquidity in the bond market.
By: PTI | New Delhi | December 17, 2020 2:36:11 pm
A motorcylist passes in front of the Franklin Templeton Investments building in Hyderabad, India, on Wednesday, Sept. 29, 2010. (Photographer: Adeel Halim/Bloomberg)
Franklin Templeton Mutual Fund on Thursday said its six shut schemes have received Rs 11,907 crore from maturities, pre-payments and coupon payments since closing down in April.
Franklin Templeton MF had shut six debt mutual fund schemes on April 23, citing redemption pressures and lack of liquidity in the bond market.
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Synopsis
Franklin Templeton MF had shut six debt mutual fund schemes on April 23, citing redemption pressures and lack of liquidity in the bond market.
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Franklin Templeton Mutual Fund on Thursday said its six shut schemes have received Rs 11,907 crore from maturities, pre-payments and coupon payments since closing down in April.
Franklin Templeton MF had shut six debt mutual fund schemes on April 23, citing redemption pressures and lack of liquidity in the bond market.
The schemes Franklin India Low Duration Fund, Franklin India Dynamic Accrual Fund, Franklin India Credit Risk Fund, Franklin India Short Term Income Plan, Franklin India Ultra Short Bond Fund, and Franklin India Income Opportunities Fund together had an estimated Rs 25,000 crore as assets under management (AUM).
Franklin Templeton gets ₹330-crore inflows in fortnight ended December 15
December 17, 2020
Short-term income plan debt level falls to ₹43 crore
The six suspended debt schemes of Franklin Templeton received ₹330 crore in maturities, pre-payments and coupon payments during the fortnight ended December 15. Of this inflow, pre-payment alone accounts for ₹118 crore, the fund house said in a note to investors.
The overall inflow into the six schemes, since they were first suspended for trade on April 24 due to heavy redemption, works out to ₹11,907 crore.
After repaying debt raised to meet redemption, four schemes Franklin India Low Duration Fund, Ultra Short Bond, Dynamic Accrual and Credit Risk Fund hold ₹7,488 crore in cash to be distributed to investors.
An investor association has written to the stock market regulator seeking offline voting options to decide on the winding up of six schemes of Franklin Templeton Asset Management (India). Voting is set to happen electronically between December 26th to December 28th. This is to be followed by a virtual meeting through video conferencing. Postal ballots would help senior citizens and others who are not as conversant with electronic means, according to the letter that Midas Touch Investors Association sent to the regulator dated December 8th. The paper trail makes the process more transparent suggested the note. “…consent be obtained through post, which could be identified and subsequently verified easily, to set doubts, if any, at rest. In addition, voting through electronic medium be made optional,” said a statement from association president Virendra Jain.