Mutual Fund News : Franklin Templeton Mutual Fund Introduces Franklin India Balanced Advantage Fund (FIBAF)

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Franklin Templeton Mutual Fund has launched a new scheme – Franklin India Balanced Advantage Fund (FIBAF)

An open-ended dynamic asset allocation fund.

Accordingly, the scheme intends to generate long-term capital appreciation and income generation by investing in a dynamically managed portfolio of equity & equity related instruments and fixed income and money market instruments.

However, there can be no assurance that the investment objective of the scheme will be realized.

Under normal circumstances, Franklin India Balanced Advantage Fund will hold an allocation of 0% to 100% of its assets in Equity and Equity related securities (including foreign securities), and 0% to 100% of its assets in Debt & Money Market Instruments (including foreign securities) including cash & cash equivalent.

As per the Scheme Information Document, the scheme endeavours to provide long-term capital appreciation and income from a mix of equity and debt investments. The scheme will dynamically allocate its net assets between equity and equity related instruments and debt instruments based on a combination of qualitative and quantitative parameters.

The scheme will seek to manage net equity exposure by actively using derivatives for the purpose of hedging and balancing the portfolio. Further, the scheme may invest into equity stocks in the cash market and take short position in futures market to reduce net long equity exposure.

Franklin India Balanced Advantage Fund’s performance will be benchmarked against Nifty 50 Hybrid Composite Debt 50:50 Index.

The scheme will be managed by Mr. Rajasa Kakulavarapu (Equity Portion), Mr. Umesh Sharma (Debt Portion), Mr. Sachin Padwal-Desai (Debt Portion) and Mr. Sandeep Manam (Dedicated Fund Manager for overseas investments).

The NFO opens for subscription on August 16, 2022 and closes on August 30, 2022. The scheme will reopen for continuous sale and repurchase on September 08, 2022.

The fund’s NAV is priced at Rs 10/- per unit during the NFO period. The minimum subscription amount is Rs 5,000 and in multiples of any amount thereafter.

The scheme offers Regular Plan and Direct Plan each plan offers Growth and Income Distribution cum Capital Withdrawal option.