Franklin India Balanced Fund: Providing Stable Growth

Among the various hybrid schemes in India, Franklin India Balanced Fund is one of the best ones. Being a product from Franklin Mutual Fund, the scheme endeavours to provide the benefit of capital appreciation and regular income on a simultaneous basis. Franklin balanced fund is an open-ended growth investment plan which aims to provide the best possible investing opportunities to the investors to help them make higher profits for financial stability.

Franklin Templeton Balanced Fund growth is suitable for the investors who are seeking long-term capital appreciation along with current earnings and want to invest in the fund that invests in both equity stocks and fixed income securities. The aim of such investors is to gain balanced exposure to different asset classes and earn high profits with a balanced portfolio. If you are among those investors, then you must take a review of franklin india balanced fund growth scheme from the synopsis provided hereunder.

Franklin India Balanced Fund Growth: Investment Details

The primary objective of the franklin balanced fund scheme is to provide regular income and capital appreciation by investing in the fixed income securities across the yield curve. It has investments in the equity and equity-related securities as well which tends to generate growth in the invested capital. The scheme was launched on December 10, 1999, and since then franklin templeton balanced fund growth has maintained a stable position in the market. CRISIL Balanced Fund is the benchmark against which performance of franklin india balanced fund online is measured apart from the category.

The investors who want to make a SIP investment plan in this scheme can initiate investing with an amount of Rs.2000 being the minimum value. On the flip side, the lump sum minimum amount of investment in this fund is Rs.5000. As per the Riskometer, the scheme is categorised in the moderately high-risk funds. The exit load of 1% is chargeable in case the funds are redeemed within 365 days of purchase. The major key features of the scheme which must be known to every investor of this plan are as under:

  • It is an open-ended balanced scheme from Franklin Templeton Mutual Fund, which aims to provide long-term growth of capital and current income with investments in the equities and high-quality fixed income securities.
  • The fund managers of the scheme follow a blend of value and growth style in equity investments, while fixed-income part of the portfolio is managed similarly to the long-term bond fund investing across various segments.
  • The fund managers aim to maintain a balance between the growth and stability factors with a well-diversified portfolio of equities. They keep managing the credit risk on fixed income funds, and volatility in the equity funds.

At present, the fund has at least 65% exposure to equities to get favourable tax benefit available for the equity-oriented funds
The franklin balanced fund is best suited to the investors who are seeking balanced exposure to equity and fixed income asset classes with three- to five-year investment tenure.

Franklin India Balanced Growth Plan: Performance Review

The track record of franklin templeton balanced fund growth scheme shows that it has been an outperformer in its category and against its benchmark for a long time. It has gained a valuable position in the industry due to the offerings it has provided to the investors since inception. The scheme is ranked “Third” in the “Balanced Fund” category by CRISIL for the quarter which ended in December 2016.

The absolute annual returns of the scheme have reached up to 46.90 percent in the year 2014, and they were 7.1 percent in the last year. They have been appreciable for a long time making it one of the positive performers even in the harsh market conditions. The annualised returns of the plan for its three- and five-year investments are 18.40 and 16.50 percent respectively. You can evaluate its return values before investing by using the mutual fund returns calculator.

Franklin India Balanced Fund G: Portfolio Review

With an AUM, i.e., Asset Under Management, amounting to Rs.1,839 crore as on February 28, 2017, the scheme has made the effective allocation of the funds in various sectors, companies and debt instruments. 65.43 percent of the total assets has been invested in the equity funds, while the remaining has been put in the debt and money market instruments.

The sector allocation graph for equity investments in franklin balanced fund plan depicts that the majority of the funds are invested in the financial, automobile, energy, technology, FMCG, and healthcare. The top holdings for the same are HDFC Bank, Axis Bank, State Bank of India, Hindustan Unilever, Mahindra & Mahindra, and NTPC. In the case of debt investments, the instruments which have been opted by the managers are SOV, AA, Cash Equivalent, and A & Below rated ones. The debt instruments include GOI Securities, Debentures, Central Government Loan, Non-Convertible Debentures, and so on.

Hence, it can be concluded here that Franklin India Balanced Fund Growth is an apt choice for the balanced investment in mutual funds. If you want to park your money in this plan, then you must avail our online investing services for free to make an easy investment in a completely paperless manner.