Franklin India Government Securities Fund (erstwhile Franklin India Government Securities Fund - Long Term Plan)##
Annualised Returns As of 31/10/2021
Minimum Investment/Multiples for Fresh Purchase (INR)
LT Plan: 10000/1 (G); 25000/1 (D)
Additional Investment/Multiples thereof (INR)
LT: 1000/1
Over 2,500 Unique Investors (As of 30/09/2021)
Why should you invest in Franklin India Government Securities Fund (erstwhile Franklin India Government Securities Fund - Long Term Plan)?
- This fund invests in government securities with the primary investment objective to generate return through investments in sovereign securities issued by the Central Government and / or a State Government and / or any security unconditionally guaranteed by the central Government and / or State Government for repayment of Principal and Interest
- The fund manager strives to enhance portfolio returns by actively managing interest rate risks arising due to market volatility
What are the “Tax Benefits” of investing in this fund?**
- Long term capital gains (LTCG) tax @20% (plus surcharge, if applicable and cess) with indexation if units held for more than 36 months
- Short term capital gains (STCG) tax at the income tax slab rate if units are held for less than 36 months
- Income distribution cum capital withdrawal (IDCW) shall be taxable in the hands of investors and the mutual fund will deduct TDS @10% for resident investors and @20% (plus applicable surcharge and cess) for non-resident investors before payouts/re-investment. However, investors can claim tax-credit of TDS deducted at the time of filing their annual return.
- In case of an investor being NRI, LTCG tax are chargeable @ 10% (plus surcharge, if applicable and cess) without indexation relating to units redeemed from unlisted schemes.
What is the “Ideal Investment Horizon” while investing in this fund?
The recommended investment horizon is “1 year or more”
Alternative To
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Government Bonds
Suitable For
-
Regular Income
-
Capital appreciation
Fund Video
Franklin India Government Securities Fund, earlier known as Franklin India Government Securities Fund – Long Term Plan is a fixed income fund that invests in government securities and manages the portfolio duration based on the market outlook. To know more about this fund watch the below video.
Fund Information
- Inception 07/12/2001
- Entry Load Nil
- Exit Load Nil
- NAV in INR as on 26/11/2021
- Growth 48.6005
- IDCW 10.3229
- Direct-Growth 52.3234
- Direct-IDCW 11.4949
- Additional Fund Information as on 31/10/2021
- Fund Size in INR (CR) 197.65
- Weighted Average Maturity 1.93 Years
- Modified Duration [3] 1.68 Years
- Yield to Maturity [2] 4.45%
- Expense Ratio [#] 1.06
- Expense Ratio (Direct) [#] 0.61
- Fund Manager Sachin Shankar Padwal Desai & Umesh Sharma
Product Label
This product is suitable for investors who are seeking*:
- Medium term capital appreciation with current income
- A fund that invests in Indian government securities
*Investors should consult their financial distributors if in doubt about whether the product is suitable for them.
Riskometer of Benchmark: NIFTY All Duration G-Sec Index (The Benchmark Index of the fund has been changed from I-Sec Li-bex effective September 8, 2021 and hence the riskometer is provided for the new index.)
## As part of the categorization and rationalization of schemes process, Franklin India Government Securities Fund (FIGSF) - Composite and PF Plan (Merging Plans) are merged into FIGSF – Long Term Plan (Surviving Plan) with effect from June 4, 2018 (Surviving Plan).
Franklin India Government Securities Fund – Long Term Plan has been renamed to Franklin India Government Securities Fund with effect from June 4, 2018.
*Benchmark of the fund has changed from I-Sec Li-Bex to NIFTY All Duration G-Sec Index with effect from September 8, 2021.
[#] The rates specified are the actual expenses charged as at the end of the month. The above ratio includes the GST on Investment management fees. The above expense also includes proportionate charge in respect sales of beyond T-30 cities subject to maximum of 30 bps on daily net assets wherever applicable.
[2] Pre fund expenses.
[3] Modified duration of floating rate securities is calculated based on the next reset date.
[##]IDCW - Income Distribution cum Capital Withdrawal
All investments in debt funds are subject to various types of risks including credit risk, interest rate risk, liquidity risk etc. Some fixed income schemes may have a higher concentration to securities rated below AA and therefore may be exposed to relatively higher risk of downgrade or default and the associated volatility in prices which could impact NAV of the scheme. Credit rating issued by SEBI registered entities is an opinion of the rating agency and should not be considered as an assurance of repayment by issuer. There is no assurance or guarantee of principal or returns in any of the mutual fund scheme.
** The information given here is neither a complete disclosure of every material fact of Income-tax Act 1961 nor does it constitute tax or legal advice. Investors are requested to review the prospectus carefully and obtain expert professional advice with regard to specific legal, tax and financial implications of the investment/participation in the scheme.