[Ithaca]

Originally Posted by puneetakhouri

So I am one of the unfortunate ones who has quite a lot of money parked in Franklin Templeton Ultra Short Debt Fund.

Originally Posted by ece2k2

I am sailing in the same boat and I hope I would get atleast my principle amount back in the near future.

Originally Posted by Simhi

Now, Franklin MF suspends 6 more schemes

Some answers here.

Franklin Templeton India President Sanjay Sapre on Monday clarified that winding up doesn’t mean write-off for investors as concerns emerged over the firm's decision to close down six of its debt funds in India. Speaking exclusively to CNBC-TV18, Sapre said the fear of winding up other funds in the country was not accurate and assured that they remain committed to the investors.

https://www.youtube.com/watch?v=AzulxEDOA2I

[graaja]

Originally Posted by sandeepmohan

Could you elaborate on what Midcap exposure means, or, how does this fund operate, please.

There are many types of mutual funds like large cap, mid cap and small cap. Everyone chooses allocation portion in these types based on their risk appetite. Mid cap funds are more risky than large cap and small cap funds are more risky than mid cap funds. As you had mentioned a mid cap fund in your list, I mentioned if you are looking for midcap exposure.

My understanding (experts please correct me if wrong) is in the current market scenario, large cap funds will recover first followed by midcap and small cap. So, if you are looking for returns from midcap or small cap, it will have to be in a longer time frame like 5 years.

[DigitalOne]

FT has published a FAQ including Cash Flow projections for the 6 wound up schemes.

The one thing that rankles me is that even on 16th April, they touted FT Ultra Short Term Bond fund as an "great investment opportunity".

We all understand the extraordinary situation that we are in, but they simply should not have called a fund a "great investment opportunity" and wind it up just a week later.

I started my MF journey almost couple of decades back with the FT twins - Bluechip and Prima. And have continued to invest in FT over these years (though I have switched funds). Max portfolio is still with FT (equity funds).

This episode has greatly eroded that trust.

----
Advice needed:

I restrict the number of AMCs that I invest in to 6-7 for better manageability. These are the AMCs - ABSL, ICICI Pru, HDFC, FT, DSP, Nippon (earlier Reliance).

Exited Quantum (LTE Fund) recently.

Will exit Motilal Oswal once Tax fund lock-in is over.

The question is - Which new AMC do you see as reliable/trustworthy with a full set of decently performing funds (both in Debt/Equity)? The way I invest is bulk investments (whenever i get extra cash) in liquid funds and have STPs. Also do you see any reliability issues with any of the above AMCs?

With FT also cancelling all my existing STPs out from FT USB fund, my asset allocation also goes for a toss.

[ece2k2]

Originally Posted by Ithaca

Some answers here.


https://www.Youtube.com/watch?v=AzulxEDOA2I

For some reason, the NAV is dropping drastically for the FT schemes that I have invested in - especially Franklin India Income Opportunities Fund. Hope it doesn't reduce to 50% in the days to come as the drop is easily a few percentage everyday for the last couple of days

[Sebring]

I incurred a sharp drop very early on (post launch) and exited with 10% loss. Their vision is spotty on this one.

Originally Posted by ece2k2

For some reason, the NAV is dropping drastically for the FT schemes that I have invested in - especially Franklin India Income Opportunities Fund. Hope it doesn't reduce to 50% in the days to come as the drop is easily a few percentage everyday for the last couple of days

[DigitalOne]

Originally Posted by ece2k2

For some reason, the NAV is dropping drastically for the FT schemes that I have invested in - especially Franklin India Income Opportunities Fund. Hope it doesn't reduce to 50% in the days to come as the drop is easily a few percentage everyday for the last couple of days

This is a medium term debt fund. Redemptions would be spiking after they wound down the other debt funds. I guess this fund would be the next to wind down if this trend continues. Better to get out NOW !!

[ece2k2]

Originally Posted by DigitalOne

This is a medium term debt fund. Redemptions would be spiking after they wound down the other debt funds. I guess this fund would be the next to wind down if this trend continues. Better to get out NOW !!

This is one among the 6 funds that was wound up

[DigitalOne]

Originally Posted by ece2k2

This is one among the 6 funds that was wound up

My bad!! Thanks! I have been upset with this FT issue since my investment in FT USB fund is stuck, (and FT Low Duration fund where I escaped narrowly) that I didn't notice too closely the names of the other four affected funds.

[poloman]

What is the difference between a chit fund owner or a ponzi scheme operator or a NBFC crook who sunk crores of public money and these folks? All took bad investment decisions and put general public in trouble. But these white collared crooks are are still given platforms in channels and media to issue sermons like this was done in public interest. They are still allowed to operate other funds and continue to trap gullible public. No accountability, no reasoning, no regrets, no what ever.

All because you were advised MUTUAL FUNDS ARE SUBJECT TO MARKET RISKS.

[bimal_67]

Originally Posted by puneetakhouri

So I am one of the unfortunate ones who has quite a lot of money parked in Franklin Templeton Ultra Short Debt Fund.
.

I was also in the same boat. But during some internet searches came across this article which elaborates certain nuances about this fund :

https://freefincal.com/franklin-indi...d-fund-review/

Within a short period by Nov 19 I exited this fund. I have since been following Mr. Pattabiraman in addition to Value Research. Would recommend to follow him and https://freefincal.com/

[hondafanboy]

I am invested in the following two funds from FT

Franklin India Focused Equity-Direct growth
Franklin India Prima- Direct growth

I am considering getting out it ( though the issue is related to their debt portfolio).

Anyone thinking on these lines or are you continuing your equity investments in FT?

[graaja]

Originally Posted by hondafanboy

Anyone thinking on these lines or are you continuing your equity investments in FT?

I just quit their Banking and PSU fund today. But keeping the blue chip and focused equity funds. I don’t think there will be any issue with equity funds.

[poloman]

Originally Posted by graaja

I just quit their Banking and PSU fund today. But keeping the blue chip and focused equity funds. I don’t think there will be any issue with equity funds.

Franklin Blue chip is one of the worst performing funds in its category anyways.
It is not a question of equity or debt. It is a matter of dubious practices. Why should one trust a fund house when it just sunk 25K Cr of public money giving some lame excuses?Tomorrow they can extend the same redemption pressure excuse on to equity funds and close down those as well.

If it was just one fund one could have understood the scenario, this is 6 with some serious AUM.
The money would have been safer if you just kept it under your cot rather than handing over to this suited and booted experts.

[graaja]

Originally Posted by poloman

It is not a question of equity or debt. It is a matter of dubious practices. Why should one trust a fund house when it just sunk 25K Cr of public money giving some lame excuses?
.

This is the reason why I quit the Banking and PSU fund though it was doing good.

My exposure in blue chip and focused funds was quite small and I thought of leaving them be instead of booking losses.

[ece2k2]

Originally Posted by poloman

It is not a question of equity or debt. It is a matter of dubious practices. Why should one trust a fund house when it just sunk 25K Cr of public money giving some lame excuses?Tomorrow they can extend the same redemption pressure excuse on to equity funds and close down those as well.

If it was just one fund one could have understood the scenario, this is 6 with some serious AUM.
The money would have been safer if you just kept it under your cot rather than handing over to this suited and booted experts.

Agreed. I don’t trust Franklin Templeton anymore and redeemed my investments from their US feeder fund - in spite of the fact that this particular fund is still doing well and I am going to pay short term capital gains on the profit.