Franklin investors to get back Rs 2,919 cr this week. How much will you get?

Franklin investors to get back Rs 2,919 cr this week. How much will you get?

New Delhi: More good news for investors in the six schemes closed down by Franklin Templeton Mutual Fund in April 2020. The fund house will pay out Rs 2,919 crore to investors in the six schemes next week, which is more than 48% of the current AUM of the six schemes. With this payout, the balance in the six schemes will come down to Rs 3,146 crore.

Some investors have been luckier than others. After the payout, investors in the Franklin India Low Duration Fund would have got back almost 96.5% of the value of their investment. The scheme will pay out Rs 208 crore next week, leaving it with only Rs 92 crore. Investors in the Franklin India Ultra Short Bond Fund would have got back 92.3% of the value.

But investors in the Franklin Short Term Fund would get only 81%. The scheme will still have Rs 1,097 crore even after Rs 950 crore is paid out next week.

Observers say payout is largely because the SBI Mutual Fund was given charge of winding up the schemes. In its original communication to investors, Franklin Templeton had given a long drawn timeline. It had projected that 95% of the AUM of the two schemes would be paid out by April 2024, though it did add that the value may be realised sooner in case of prepayments and sale of the securities in the secondary market.

How much will Franklin investors get back this week

Fund name Cash to be paid out (Rs cr) % of current balance Balance after payout (Rs cr)
Franklin Ultra Short Term Bond 415 34.1 801
Franklin Low Duration 208 69.3 92
Franklin Short Term Income Plan 950 46.4 1,097
Franklin Income Opportunities 567 71.9 222
Franklin Credit Risk 346 35.8 620
Franklin Dynamic Accrual 433 58.0 314
Total 2919 48.1 3,146

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