Addressing a press meet here, Franklin Templeton chief investment officer Santosh Kamath said it would be a close-ended fund with a lock-in period of three and five years.
As the return of capital is guaranteed, about 70-75 per cent of the fund amount would be deposited in debt and the rest in equities, Kamath added.
Financial rating agency Crisil has assigned AAA to the fund. AAA means high degree of certainty that the fund would return the capital invested at the time of maturity.
Kamath said this is the right time to invest in equities as Indian companies' return on investment is high in comparison to other Asian equities.
Despite the volatility in the Indian stock market, the company is bullish about the returns from equities.
"Volatility is there in the short term, but in a longer term of three to four years, the return of equity investments is good," he pointed out.
No comments:
Post a Comment