Franklin Templeton investors to get 3,205 yen in fourth installment
SBI Funds Management (SBI MF) will distribute the fourth tranche of ₹3,205 crores to unitholders of the six closed programs of Franklin Templeton Mutual Fund during the week beginning Monday.
With this, the total disbursement will reach ₹17,778 crore, or 71% of assets under management (AUM) as of April 23, 2020, a spokesperson for Franklin Templeton MF said on Saturday.
As part of the first disbursement in February, investors received ₹9,122 crore, while Rs 2,962 crore was paid to investors during the week of April 12 and the last disbursement in the week of May 3, investors were paid ₹2,489 crores.
“SBI Funds Management Pvt Ltd (SBI MF) would distribute the next tranche of ₹3,205.25 crore to unitholders in the six plans. Payment to all investors whose accounts are KYC compliant with all available details will be made during the week of June 7, 2021, ”the spokesperson said.
The amount to be distributed to unitholders will be paid by forfeiture of the units in proportion to the net asset value on June 4 of this year, he added.
Payment will be made electronically to all eligible unitholders by SBI MF, who has been appointed liquidator by the Court of Cassation for the six regimes currently being liquidated.
In the event that the unitholders’ bank account is not eligible for electronic payment, a check or demand draft will be issued and addressed to their head office by SBI MF.
In March, the Supreme Court accepted the Standard Operating Procedure (SOP) finalized by SBI MF to monetize the assets and distribute the proceeds to unitholders of the six debt programs of Franklin Templeton Mutual Fund.
Franklin Templeton MF announced the closure of its six debt mutual funds on April 23, 2020, citing redemption pressures and the lack of liquidity in the bond market.
The plans – Franklin India Low Duration Fund, Franklin India Dynamic Accrual Fund, Franklin India Credit Risk Fund, Franklin India Short Term Income Plan, Franklin India Ultra Short Bond Fund and Franklin India Income Opportunities Fund – together had an estimate ₹25,000 crore as AUM.
This story was posted from an agency feed with no text editing. Only the title has been changed.
Never miss a story! Stay connected and informed with Mint. Download our app now !!