Bhopal: Franklin Templeton Investments, one of the largest fund houses in the country, is expanding its footprint in the state of Madhya Pradesh, by inaugurating a branch in Bhopal today. The office is set up in the centrally located Guru Arcade, 2nd Floor, Ramgopal Maheshwari Marg, Plot No.153, M P Nagar Zone 1, Bhopal.
With over 65 years of experience in global investing, Franklin Templeton Investments has an extensive international presence and breadth of product line with offices in 35 countries, supported by over 650 investment professionals. It has over US$737 billion (~Rs. 50 lakh crores) assets under management with nearly 2.5 crore investor accounts world-wide.
In India, Franklin Templeton has emerged as one of the largest and most trusted fund houses, since its entry in 1996. The firm has average assets under management of close to Rs.68,000 crore as of June 2016 with over 25 lakh mutual fund folios with an asset mix of 51% in equity funds and 49% in debt funds. Three of its funds have completed over 20 years since inception, viz., Franklin India Bluechip Fund, Franklin India Prima Fund and Franklin India Prima Plus while 21 of the funds have a vintage of more than 10 years.
The Indian mutual fund industry has grown by over 5 times from Rs.2.65 lakh cr in June 2006 to nearly Rs.14 lakh cr in June 2016 at an annualised growth of 18%. Going forward, a favourable policy framework can help the industry in improving this growth, as rising income levels in cities such as Bhopal will ensure that investors increasingly start looking towards professional fund managers to take care of their investments. Bhopal, with an AUM of over Rs.2500 crore, is currently ranked no.31 in AMFI’s city wise AUM tally as at March 2016. The city has strong potential of growth in new investors, systematic investment plans and assets under management. The Franklin Templeton Bhopal branch will help service the needs of distributors and customers in the city.
Speaking at the launch, Mr. Peshotan Dastoor, National Sales Director, Franklin Templeton India said, “Mutual funds offer both variety and convenience besides various other advantages. Key advantages are diversification across asset classes, professional investment expertise, economies of scale, tax efficiencies and lower ticket size (minimum investment of Rs.500 per month), among others. Even though mutual funds do not offer assured returns, they have the potential to comfortably beat inflation over the long run.”
“We are excited at the response that we have received in the state of Madhya Pradesh, especially in Bhopal and are optimistic of the growth opportunities here. Our new office reflects Franklin Templeton’s belief in the potential of the state. We look forward to providing world class services to our distribution partners and investors in Bhopal.”
Mr. Dastoor added, “While mutual funds as an investment avenue have found more acceptance in recent years, their share of household savings continues to be low, especially in comparison to the share of mutual funds in developed markets like U.S. Hence, we see a lot of potential for the industry to grow over the coming years.”