Franklin Templeton's six shut schemes have received Rs 13,120 crore from maturities, pre-payments, and coupons since their closure in April, the fund house said in a statement.
Over the latest fortnight, December 16-31, 2020, these schemes received Rs 1,213 crore.
Further, five out of the six schemes have already turned and have close to Rs 8,527 crore available to return to unit holders, subject to fund running expenses. Franklin India Short Term Income Plan (FISTIP) is the latest scheme to turn cash positive, it said.
The fund house had on website earlier said, Franklin Templeton Trustee Services Private Limited voluntarily decided to wind up its suite of six fixed income funds on April 23, 2020. The decision was taken in light of the severe market dislocation and illiquidity caused by the Covid-19 pandemic but it was taken with the objective of safeguarding the interest of our investors.
“We are in constant endeavor to enable orderly exit for investors in these unprecedented circumstances. We are committed to our investors and the India business,” it said.
Individually, Franklin India Low Duration Fund, Ultra Short Bond Fund, Dynamic Accrual Fund, Credit Risk Fund and Short Term Income Plan have 52 per cent, 49 per cent, 41 per cent, 23 per cent and 8 per cent of their respective asset under management in cash.
Borrowing levels in Franklin India Income Opportunities Fund continue to come down steadily and currently stands at 6 per cent of its AUM.
According to the reports, the Supreme Court had directed the Trustee of Franklin Templeton Mutual Fund to seek consent of the unitholders for the winding up of the six schemes. Accordingly, the Trustee conducted the e-voting for the same from December 26-28, 2020 followed by a unitholder meet on December 29, 2020.
The fund house said that as directed by the top court, redemptions in these schemes will continue to be suspended till the date of the next hearing scheduled in the third week of January 2021.