| Strategy of investment |
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The fund proposes to invest its corpus in the stocks comprising NIFTY. The fund
proposes to hold stocks in the same proportion of the composition of stocks in the S&P
CNX Nifty. The attempt of the fund will be to replicate the returns of the index at the
same time reducing the tracking error to minimum levels. |
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Schemes Launched by Templeton India Mutual Fund |
- Templeton India Growth Fund
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- Templeton India Income Fund
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- Templeton India Liquid Fund
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- Templeton India Government Securities Fund
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- Templeton India Monthly Income Plan
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- Franklin India Growth Fund
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| .. |
Performance Overview of some of the schemes
of Templeton India Mutual Fund |
| . |
| SCHEME |
TYPE |
NAV on 31.03.2k |
NAV on 28.04.2k |
NAV on 31.05.2k |
Templeton
India Growth Fund |
OPEN |
15.45 |
14.45 |
12.59 |
Templeton
India Income Fund |
OPEN |
15.03 |
15.28 |
15.32 |
Templeton
India Monthly Income Plan |
OPEN |
10.10 |
10.18 |
10.24 |
Franklin
India
Growth Fund |
OPEN |
9.25 |
7.97 |
7.37 |
|
| . |
Risk Perception |
| Frankilin India Index Fund is first of its kind launched by
Templeton. Although index funds are not new to the Indian markets, they are yet to
prove themselves as a viable investment alternative. The market for Index funds is yet to
pick up in India. The concept being new takes some time to understand and results
would be known only after some time. All the schemes launched by Templeton have been
giving slow but steady returns to the investors. But two issues remain. First, is the
issue of tracking error as a result of which the returns of the fund may not replicate
that of the index. Second is the issue of the movement of the index. With the sensex
volatile and susceptible to wild fluctuations an index fund can be fraught with risk. This
fund is advisable only for sophisticated investors who have access to risk hedging
mechanisms through index futures.
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