The Hindu Business Line : Franklin India Prima Fund to reopen for sales

Franklin Templeton Investments (India) plans to re-open sales in its open-end diversified equity fund - Franklin India Prima Fund (FIPF), which invests predominantly in mid and small cap stocks. Fresh subscriptions will be accepted from June 19. The fund was closed for fresh subscriptions in February.

Mr Vivek Kudva, President, Franklin Templeton Investments (India), said, "Fresh sales were capped in the FIPF, as we felt the need to re-evaluate the stability and liquidity levels in the mid/small cap segments, in light of the fund's large size.

Reopening decision

Based on a review of the market conditions, we have now decided to reopen the fund. Given the recent declines in mid/small cap stocks and the consequent fall in valuations to relatively attractive levels, the investment team is confident of deploying fresh inflows in good long-term opportunities."

The principal portfolio manager of the fund - Mr Sivasubramanian K.N, SVP-Equity - said, "This corrective phase has expanded the investment universe in terms of reasonable valuations. Given the change in market dynamics, there is an increased availability of stocks in which the investment team would be able to invest without incurring higher impact costs.