Bigger bang for your buck.
Mutual Funds – it can’t get bigger than this!

Franklin India Prima Fund

Franklin India Prima Fund is an open ended growth scheme fund which invests in small and mid sized companies which have the potential to generate high wealth. This a a high risk investment, which also offers high returns, with the ability to generate high capital appreciation. This fund is suited for experienced investors who are not afraid to take risks.

Type or nature of fund

Franklin India Prima Fund is an open ended growth scheme fund.

Investment objective

The primary objective of Franklin India Prima Fund is to offer medium to long term capital appreciation on investments with a secondary objective of providing income to investors.

Fund information

Inception date December 1, 1993
CRISIL rank Franklin India Prima Fund is ranked 3 in Small and Mid-Cap Funds by CRISIL
Schemes
  • Growth
  • Dividend (Reinvestment and Payout options available)
  • Direct Growth
  • Direct Dividend (Reinvestment and Payout options available)
Entry load Nil
Exit load For redemptions within 1 year of allotment : 1%
Minimum investment Rs 5,000
Product label – Risk and target investors Moderately High Risk product designed for investors looking for long term capital appreciation through funds which invest in small and mid-cap stocks.
Benchmark + additional Benchmark CNX 500 + CNX Midcap
  • CNX 500 is a benchmark of the Indian capital market and represents 95% of all free float market capitalization stocks on the NSE.
  • CNX Midcap is a benchmark for the midcap segment in the Indian market.
SIP (Systematic Investment Plan)
  • Rs 500 (minimum 12 SIP investments of Rs 500 each)
  • Rs 1,000 (minimum 6 SIP investments of Rs 1,000 each)
SWP (Systematic Withdrawal Plan)

Yes, investors can utilise SWP facility, provided they have a minimum account balance of Rs 25,000.

A monthly or quarterly option is available under SWP, with the freedom to choose between fixed amount and capital appreciation.

STP (Systematic Transfer Plan) Yes, STP facility is available for this fund and investors can opt for either a monthly or quarterly mode. Redeemed units need to be reinvested in another scheme.
Redemption

Minimum Redemption Amount – Rs 1,000.

Redemption proceeds will be sent to unitholders within 10 business days.

Taxation (on investment and on redemption) Investors need to consult their tax adviser to get a clear picture of tax implications related to this scheme.

Fund managers

The Franklin India Prima Fund has two fund managers, Ms. Roshi Jain and Mr. Janakiraman Rengaraju.

Ms Roshi Jain

Designation and Work
  • Ms Roshi Jain is currently the Vice President of Portfolio Management- Equity at Franklin Templeton India. She is a portfolio as well as co-portfolio manager for other funds like Franklin India Flexi Cap, Franklin Asia Equity Fund and Franklin Build India Fund.
  • Ms Jain has over 14 years of experience in this industry, having worked at Goldman Sachs prior to her current role.
Education
  • Ms Jain holds a PGDM from IIM Ahmedabad, apart from completing her CA and CFA from globally acclaimed institutions.

Mr. Janakiraman Rengaraju

Designation and Work
  • Mr. Janakiraman Rengaraju is the Vice President of Portfolio Management - Equity at Franklin Templeton India and is also the fund manager for funds like Franklin India Flexi Cap, Franklin India Opportunities Fund and the Franklin India Smaller Companies Fund, among others.
  • Mr. Rengaraju has been in this field for over 14 years, having worked with companies in Mumbai and Chennai before joining Franklin Templeton.
Education
  • Mr. Rengaraju holds a MBA degree from IIM Bangalore and a BE from Government College of Technology, Coimbatore.

Investment philosophy or strategy

The investment philosophy implemented by Franklin India Prima Fund is to identify companies which are in their nascent stage across different sectors and have a high potential for growth in the future. It aims to minimize risk by investing in companies across multiple sectors, diversifying its portfolio. This strategy is considered a high risk one but it is designed to offer higher returns on investment.

Portfolio – Sector / Top 10 holdings

Company Sector Percentage
Yes Bank Ltd Banking 4.36
Torrent Pharmaceuticals Ltd Pharmaceuticals 3.13
FAG Bearings (India) Ltd Industrial Products 2.85
Amara Raja Batteries Ltd Auto Ancillaries 2.82
Finolex Cables Ltd Industrial Products 2.76
HDFC Bank Ltd Banking 2.73
IndusInd Bank Ltd Banking 2.66
Axis Bank Ltd Banking 2.49
Kansai Nerolac Paints Ltd Consumer Non-Durables 2.36
Idea Cellular Ltd Telecom Services 2.30

Risk measures – Last three years

The risk measures for various criteria over the last three years are mentioned below.

Sharpe ratio (Annualized) 1.90
R-squared 0.78
Beta 0.95
Standard Deviation 4.49

Performance

AUM Rs 3802.69 crores (as of July 31, 2015)
NAV (as of 02/09/2015)

Dividend – 54.27

Growth – 641.27

Direct Dividend – 56.06

Direct Growth – 659.69

Returns

The returns provided by Franklin Prima Fund in comparison to market returns are shown in the table below.

Period Scheme returns S&P CNX 500 S&P CNX Nifty
March 2012 – March 2013 13.18% 5.13% 7.31%
March 2013 – March 2014 23.81% 17.72% 17.98%
March 2014- March 2015 68.51% 33.56% 26.65%

Expense Ratio

The Expense ratio of Franklin Prima Fund is mentioned in the table below.

Daily Net Assets Expense ratio
First 100 crores 2.85%
Next 300 crores 2.60%
Next 300 crores 2.35%
On Remaining Balance 2.10%

Expert view of the fund

The Franklin India Prima Fund has performed decently since its inception in 1993, having garnered momentum over the last four years. This is a high risk fund and aims to provide greater returns and has managed to live up to its promise on most occasions. A smart investment policy and expert leadership have helped it to stay afloat in a highly competitive market, with the decision to invest in businesses with predictable returns strengthening this fund. Investments in this fund could make sense, provided one is ready to accept the risk factor involved and stay invested for a longer term.

How to apply – online + distributors

One can invest in Franklin India Prima Fund either through the online medium or through registered banks/off site distributors. Anyone who wishes to invest in the fund could log onto the official website of Franklin Templeton India and follow the basic steps mentioned to register themselves. One needs to provide his/her PAN details, mobile number, email id, and bank details in order to complete the online registration.

Individuals can also apply through registered distributors like the MF branch or banks which are permitted to deal in such transactions. All one needs to do is fill in an application form and enter relevant data about their scheme and then submit the form to the appropriate branch.

Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.

GST rate of 18% applicable for all financial services effective July 1, 2017.

Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.

reTH65gcmBgCJ7k
This Page is BLOCKED as it is using Iframes.