Franklin Templeton closed schemes have Rs 231 cr in cash to distribute to unitholders: Sapre

Mutual fund Franklin Templeton said on Monday that its six closed debt programs had Rs 231.13 crore of cash available for distribution to unitholders of the programs.

So far, the fund house has distributed Rs 26,098 crore to investors across the six schemes representing 103.50% of Assets Under Management (AUM) as of April 23, 2020, when it announced the closure of programs, Franklin Templeton Chairman of Asset Management (India) Pvt Ltd, Sanjay Sapre, said in a letter to investors.

In 5 out of 6 funds, the plans returned more than 100% of assets under management when the plans wound up, he added.

Sapre assured investors that efforts to monetize the remaining securities continue unabated and that the AMC continues to support the ongoing liquidation process by the court-appointed liquidator.

“We also continue to make every effort to recover proceeds from issuers that have defaulted or securities that are held in separate portfolios in the best interest of investors. The schemes have over Rs 231.13 crore of cash available at the March 31, 2022,” he added.

According to Sapre, Franklin Templeton continues to manage over Rs 62,000 crore in assets, including a suite of equity funds investing across the market capitalization spectrum and in all geographies, in addition to fixed income funds. high credit for various investment backgrounds/objectives and his commitment to India remains unwavering.

The fund house has so far distributed Rs 26,098 crore to unitholders in eight tranches from April 2021 to November 2021.

As part of the first installment in February 2021, investors received Rs 9,122 crore, then Rs 2,962 crore was paid to investors in April, Rs 2,489 crore in May, Rs 3,205 crore in June, Rs 3,303 crore in July, Rs 2,918 crore in September and Rs 1,115 crore in November.

The fund house had announced the closure of its six debt mutual fund schemes on April 23, 2020, 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 estimate of Rs 26,000 crore as AUM.