What Are Franklin Templeton Mutual Funds?
Franklin Templeton, a financial services company based in the United States, established its first office in India in 1996 under the name Templeton Asset Management India Pvt. Limited. The Securities and Exchange Board of India (SEBI) registered the company in February 1996. With the launch of Templeton India Growth Fund (now Templeton India Value Fund) in September 1996, the AMC entered the mutual fund industry. As of 31 May 2022, the Assets Under Management (AUM) value of Franklin Templeton Mutual Funds is Rs 61,759.09 crore.
- Franklin Templeton Mutual Funds offers fifty-two mutual fund products.
- 14 of the funds are equity-based, 3 are hybrid, and 25 are debt-based. The remaining ten initiatives fall under different categories.
- As of 31 May 2022, the firm controlled 1.6% of the industry’s total AUM.
- Franklin India Flexi Cap Fund, Franklin India Focused Equity Fund, and Franklin India Prima Fund are three of the major mutual fund schemes offered by Franklin Templeton as of July 2022.
Franklin Templeton Investments commenced operations in India under the name Templeton Asset Management India Pvt. Ltd. in 1996. Franklin Templeton Mutual Funds is registered with SEBI with the number MF/026/96/8. In September 1996, the first product provided by the company was the Templeton India Growth Fund.
In 2002, the company bought another fund house, Pioneer ITI AMC Ltd. (a joint venture between Pioneer and the Investment Trust of India), to surpass Unit Trust of India as the largest mutual fund in India. Franklin Templeton Investments is one of the few asset management companies to provide its clients with an in-house registrar to improve service management and quality.
Additionally, the organization provides loyalty programs via which customers can interact with the fund management team, receive invitations to external management development programs, and annual thought leadership platforms, and participate in other significant engagement events.
CSR Initiatives
- In conjunction with the Bala Vikasa Social Service Society, Templeton Asset Management India Pvt. Ltd. has installed four water purification facilities to benefit 6,000 homes as part of its CSR projects.
- Facilitate the distribution of 5,000 rickshaws in collaboration with the American India Foundation Trust.
- In collaboration with the Kherwadi Social Welfare Association, establish 50 camps to teach 2,000 youth occupational skills.
- Supporting about 2,353 girl children in Chennai in collaboration with the K. C. Mahindra Educational Trust.
- Adoption of Abhudaya English Medium School in Mumbai by The Akanksha Foundation.
Who Should Invest Franklin Templeton MF?
- Investors who wish to invest in Equities but lack the knowledge or time to do so. There are several people who desire to invest in the stock market. However, they cannot because they lack the time to conduct essential research and consistently monitor the industry. Franklin Templeton Mutual Funds provide an option for these types of investors. One needs to choose a solid fund and invest frequently in it. The remainder will be handled by the fund manager. They will study a variety of technical and fundamental indicators, such as a company’s profitability, its ability to endure hard phases, its industry, etc.
- Countless individuals desire to invest in the equity markets but are unable to do so due to their desire to invest small amounts. One can begin investing in Franklin Equity Funds with as little as Rs 100. Equity Funds may be volatile over the short term, but they have the potential to deliver substantial returns over the long term. Therefore, investors with longer-term objectives can consider Franklin Equity Funds. These long-term objectives include retirement, children’s education, etc. Even if an investor does not have a specific aim in mind and just desires higher returns on his money and can remain involved for at least five years.
- Franklin Mutual Funds can also be beneficial for investors who seek the best of both worlds, namely tax savings and long-term wealth creation. ELSS, also known as Equity Linked Saving Schemes (Franklin India TaxShield Fund), is a type of Equity Fund that provides tax-saving benefits under Section 80C of the Income Tax Act. By participating in these funds, investors can deduct 1.5 lakh off their taxable income. And also earn substantial returns from these investments.
List of Franklin Templeton Mutual Funds
| Scheme | 5-Year Return (annualised return) | 10-Year Return (annualised return) |
| Franklin Build India Fund | 11.99% | 19.49% |
| Franklin India Bluechip Fund | 9.86% | 12.79% |
| Franklin India Equity Advantage Fund | 10.25% | 14.90% |
| Franklin India Flexi Cap Fund | 12.12% | 16.14% |
| Franklin India Focused Equity Fund | 13.28% | 18.80% |
| Franklin India NSE Nifty 50 Index Fund | 12.44% | 13.03% |
| Franklin India Opportunities Fund | 11.50% | 15.28% |
| Franklin India Prima Fund | 10.68% | 18.60% |
| Franklin India Smaller Companies Fund | 10.46% | 20.41% |
| Franklin India Technology Fund | 18.99% | 16.39% |
Source: Franklintempletonindia official website (data as on 31/08/2022)
Closer Look On franklin Templeton Mutual funds
1.Franklin Build India Fund
- Franklin Templeton Mutual Funds Franklin Build India Direct Fund Growth is a Sectoral-Infrastructure mutual fund. This fund has existed for nine years and nine months, having been established on January 1, 2013. As of 30 September 2022, Franklin Build India Direct Fund-Growth has INR 1,174 Crores in assets under management (AUM) and is a medium-sized fund within its category. The fund’s expense ratio of 1.28% is lower than that of the majority of comparable Sectoral-Infrastructure funds.
- The one-year returns of the Franklin Build India Direct Fund Growth were 4.53 percent. Since its inception, it has generated average yearly returns of 19.12 percent. Every two years, the fund has quadrupled the money put in it.
- The majority of the fund’s assets are invested in the Capital Goods, Energy, Financial, Construction, and Services industries. It has less exposure to the Capital Goods and Energy sectors than other funds in the same category.
2.Franklin India Blue chip Fund
- Franklin Templeton Mutual Fund’s Franklin India Bluechip Direct Fund Growth is a Large Cap mutual fund. This fund has existed for nine years and nine months, having been established on January 1, 2013. As of 30 September 2022, Franklin India Bluechip Direct Fund-Growth has 6,574 Crores in assets under management (AUM) and is a medium-sized fund within its category. The fund has a higher expense ratio than the majority of other Large Cap funds, at 1.11 percent.
- The one-year returns for the Franklin India Bluechip Direct Fund Growth were -4.71 percent. Since its inception, it has generated average annual returns of 12.20%. Every three years, the fund has doubled the money invested in it.
- The majority of the fund’s assets are invested in the Financial, Technology, Consumer Staples, Automobile, and Healthcare industries. It has less exposure to the Financial and Technology sectors than other funds in the same category.
3.Franklin India Equity Advantage Fund
- Franklin India Equity Advantage Fund Direct-Growth is a Large & MidCap mutual fund. This fund has existed for nine years and nine months, having been established on January 1, 2013. As of September 30, 2022, the Franklin India Equity Advantage Fund Direct-Growth has 2,780 Crores in assets under management (AUM) and is a medium-sized fund within its category. The fund’s expense ratio of 1.39 percent is greater than the expense ratios of most other Large & Midcap funds.
- The returns of the Franklin India Equity Advantage Fund Direct Growth for the past year were -1.31%. Since its inception, it has generated average yearly returns of 14.14 per cent. Every three years, the fund has doubled the money invested in it.
- The majority of the fund’s assets are invested in the Financial, Technology, Healthcare, Automobile, and Services industries. It has less exposure to the Financial and Technology sectors than other funds in the same category.
4.Franklin India Flexi Cap Fund
- Franklin India Flexi Cap Fund Direct-Growth is a Multi Cap mutual fund. This fund has existed for nine years and nine months, having been established on January 1, 2013. As of 30 September 2022, the Franklin India Flexi Cap Fund Direct-Growth has 10,245 Crores in assets under management (AUM) and is a medium-sized fund within its category. The fund has a higher expense ratio than the majority of other Multi Cap funds, at 1.12%.
- The one-year returns for the Franklin India Flexi Cap Fund Direct Growth were 2.33 percent. Since inception, it has generated average annual returns of 15.74 percent. Every three years, the fund has doubled the money invested in it.
- The majority of the fund’s assets are invested in the Financial, Technology, Consumer Staples, Energy, and Services industries. It has less exposure to the Financial and Technology sectors than other funds in the same category.
5.Franklin India Focused Equity Fund
- The Franklin India Focused Equity Fund Direct-Growth is a Focused mutual fund strategy. Since its establishment on January 1, 2013, this fund has operated for nine years and nine months. The Franklin India Focused Equity Fund Direct-Growth has 8,184 Crores in assets under management (AUM) as of 30 September 2022 and is a medium-sized fund within its category. At 1.05 percent, this product has a higher expense ratio than the majority of other Focused funds.
- 4.83 percent was the one-year rate of return for the Franklin India Focused Equity Fund Direct Growth. It has achieved average yearly returns of 18.28% since its inception. The fund has doubled the money invested in it every three years.
- The majority of the fund’s assets are invested in the Financial, Construction, Automobile, Healthcare, and Capital Goods industries. It has less exposure to the Financial and Construction sectors than other funds in the same category.
6.Franklin India NSE Nifty 50 Index
- Franklin Templeton Mutual Fund’s Franklin India NSE Nifty 50 Index Direct-Growth is a Large Cap mutual fund plan. This fund has existed for nine years and nine months, having been established on January 1, 2013. As of 30 September 2022, Franklin India NSE Nifty 50 Index Direct Growth has 492 Crores in assets under management (AUM) and is a medium-sized fund within its category. The fund’s expense ratio of 0.29% is comparable to that of the majority of other Large Cap funds.
- The 1-year returns for Franklin India NSE Nifty 50 Index Direct-Growth were -1.25 percent. Since its inception, it has generated average annual returns of 12.10%. Every three years, the fund has doubled the money invested in it.
- The majority of the fund’s assets are allocated to the Financial, Energy, Technology, Consumer Staples, and Automobile sectors. It has less exposure to the Financial and Energy sectors than other funds in its category.
7.Franklin India Opportunities Fund
- This Thematic mutual fund has existed for nine years and nine months, having been established on January 1, 2013. As of 30 September 2022, the Franklin India Opportunities Direct Fund-Growth has 682 Crores in assets under management (AUM) and is a medium-sized fund within its category. The expense ratio of 1.88 percent is greater than the expense ratios of most other Thematic funds.
- The one-year returns of the Franklin India Opportunities Direct Fund Growth were -2.25 percent. Since its inception, it has generated average yearly returns of 14.55 percent. Every three years, the fund has doubled the money invested in it.
- The majority of the fund’s assets are invested in the Capital Goods, Automobile, Financial, Services, and Energy industries. It has less exposure to the Capital Goods and Automobiles sectors than other funds in the same category.
8.Franklin India Prima Fund
- Franklin India Prima Direct Fund-Growth is a Franklin Templeton Mutual Fund Mid Cap mutual fund. This fund has existed for nine years and nine months, having been established on January 1, 2013. As of 30 September 2022, the Franklin India Prima Direct Fund-Growth has 7,582 Crores in assets under management (AUM) and is a medium-sized fund within its category. The fund’s expense ratio of 1.09% is greater than that of the majority of other Mid Cap funds.
- The returns of the Franklin India Prima Direct Fund Growth during the past year were -1.56%. Since its inception, it has generated average yearly returns of 17.96%. Every three years, the fund has doubled the money invested in it.
- The majority of the fund’s assets are invested in the Financial, Services, Automobile, Capital Goods, and Materials industries. It has less exposure to the Financial and Services sectors than other funds in the same category.
9.Franklin India Smaller Companies Fund
- Franklin India Smaller Companies Direct Fund-Growth is a Small-Cap mutual fund. This fund has existed for nine years and nine months, having been established on January 1, 2013. As of September 30, 2022, the Franklin India Smaller Companies Direct Fund-Growth has 7,033 Crores in assets under management (AUM) and is a medium-sized fund within its category. The fund’s expense ratio of 1.1% is greater than the expense ratios of most other Small Cap funds.
- The one-year returns for the Franklin India Smaller Companies Direct Fund Growth were 4.91 percent. Since its inception, it has generated average yearly returns of 20,20%. Every two years, the fund has quadrupled the money put in it.
- The majority of the fund’s assets are invested in the Financial, Construction, Services, Chemicals, and Capital Goods industries. It has less exposure to the Financial and Construction sectors than other funds in the same category.
10.Franklin India Technology Fund
- Franklin India Technology Fund Direct Growth is a Sectoral-Technology mutual fund. This fund has existed for nine years and nine months, having been established on January 1, 2013. As of September 30, 2022, the Franklin India Technology Fund Direct-Growth has 686 Crores in assets under management (AUM) and is a medium-sized fund within its category. The expense ratio of the fund, at 1.41 percent, is greater than that of the majority of other Sectoral-technology funds.
- Last year, Franklin India Technology Fund Direct Growth returns were -18.17%. Since its inception, it has generated average yearly returns of 17.62%. Every three years, the fund has doubled the money invested in it.
- The majority of the fund’s assets are invested in the Technology, Services, Financial, Communication, and Capital Goods industries. However, It has less exposure to the Technology and Services sectors than other funds in the same category.
FAQs
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What is an ELSS (Equity Linked Saving Scheme) fund?
ELSS Funds are a category of mutual funds that qualify for tax deductions under Section 80C of the Income Tax Act of 1961. These mutual funds invest up to 65% of their portfolios in equity-related securities, such as stocks. Investing in ELSS funds is a wonderful method to save on taxes and plan for the future. An ELSS fund provides both tax deductions and long-term capital accumulation.
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What is the Sectoral fund?
A sectoral fund is a type of equity fund that invests investor capital in companies within the same industry or sector. These funds enable investors to gain exposure to specific economic sectors by investing solely in companies from that industry.
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