May 15, 2025
mayank
Franklin India Arbitrage Fund details, NAV, Portfolio, Returns, Peer Comparison, Fund Managers & Guidance by sahifund.com
NAV Growth: Rs 10.3489
NAV IDCW: Rs 10.3489
Suitable For Which Investors?
“Arbitrage funds invest in equity shares and derivatives, and earn their returns through the price differential between a stock and its futures. You can expect to earn better returns than what you would get from a bank account.
They are usually suitable to park your money for a period ranging between three months to a year. However, we believe that liquid funds, which have a similar risk-return payoff, are a better alternative for most investors for such a time frame. Arbitrage funds may have some appeal for those who are in the highest tax bracket, given the preferential tax treatment of these funds.
The risk of incurring a loss in these funds over the said time frame is low but they do not guarantee returns or safety of capital.
Remember, these funds usually deliver low returns which are only marginally higher than your bank account. They are not suitable if your aim is to build wealth in the long run.”
Fund’s Investment Strategy:
The scheme is to generate capital appreciation and income by predominantly investing in arbitrage opportunities in the cash and derivative segments of the equity markets and the arbitrage opportunities available within the derivative segment and by investing the balance in debt and money market instruments.
Fund Manager:
1) Pallab Roy
Education: Mr. Roy is a M.Com and MBA (Finance).
Experience: He has been associated with Franklin Templeton Investments since 2001.
2) Rajasa Kakulavarapu
Education: Ms. Kakulavarapu has done B.Tech and MBA.
Experience: Prior to joining Franklin Templeton Mutual Fund, she has worked with Jefferies India Pvt. Ltd. and Credit Suisse Securities (India) Pvt. Ltd.
3) Rohan Maru
Education: Mr. Maru is M.Com and MBA in Finance.
Experience: Prior to joining Franklin India Mutual Fund, he has worked with ICICI Prudential Mutual Fund, Kotak Mahindra AMC as Fixed Income Dealer and Integreon Managed Solutions as a Research Associate.
4) Yogik Pitti
Education: He is a B.Com (H)
Experience: Prior to joining IDFC Mutual Fund, he was associated with CRISIL.
Investment Details
| Min. Investment (Rs) | 5,000 |
| Min. Addl Investment (Rs) | 1,000 |
| Min. SIP Investment (Rs) | 500 |
| Min. Withdrawal (Rs) | 1,000 |
| Min. No of Cheques | 12 |
| Min. Balance (Rs) | — |
| Lock-in Period | NA |
| Exit Load | For units in excess of 10% of the investment, 0.25% will be charged for redemption within 30 days |
Basic Details of Franklin India Arbitrage Fund
| Fund House | Franklin Templeton Mutual Fund |
| Launch Date | 19-Nov-24 |
| Return Since Launch | 3.49% |
| Benchmark | NIFTY 50 Arbitrage TRI |
| Riskometer | Low |
| Type | Open-ended |
| Assets | Rs 236 Cr |
| (As on 30-Apr-2025) | |
| Expense | 0.29% |
| (As on 30-Apr-2025) | |
| Risk Grade | — |
| Return Grade | — |
| Turnover | 1045.42% |
Trailing Returns (%) of Franklin India Arbitrage Fund
| Fund name | YTD | 1D | 1M | 3M | 6M | 1Y | 3Y | 5Y | 7Y | 10Y |
| Franklin India Arbitrage Dir | 2.77 | 0.02 | 0.57 | 1.83 | — | — | — | — | — | — |
| CCIL T Bill Liquidity Weight | 2.04 | 0.04 | 0.42 | 1.35 | — | — | — | — | — | — |
| Hybrid: Arbitrage | 2.73 | 0.01 | 0.57 | 1.75 | — | — | — | — | — | — |
| Rank within category | 16 | 7 | 14 | 11 | — | — | — | — | — | — |
| Number of funds in category | 31 | 32 | 32 | 31 | 28 | 27 | 24 | 22 | 17 | 14 |
Peer Comparison of Franklin India Arbitrage Fund
| Rating | 1 Year Returns | 3 Year Returns | 5 Year Returns | Expense Ratio (%) | Net Assets (Rs Cr) | Return Since Launch (%) | Exit Load (Days) | Fund Age | Turnover (%) | |
| Franklin India Arbitrage Dir | Unrated | — | — | — | 0.29 | 236 | 3.49 | 0.25 (30) | 5M | 1045.42 |
| Kotak Equity Arbitrage Dir | 4 star | 8.01 | 7.55 | 6.28 | 0.44 | 63,310 | 7.12 | 0.25 (30) | 12Y 4M | 2008.14 |
| Invesco India Arbitrage Dir | 5 star | 7.94 | 7.64 | 6.33 | 0.39 | 20,029 | 6.96 | 0.50 (15) | 12Y 4M | 1739.00 |
| ABSL Arbitrage Dir | 4 star | 7.97 | 7.41 | 6.12 | 0.31 | 15,896 | 7.00 | 0.25 (15) | 12Y 4M | 1230.00 |
| Edelweiss Arbitrage Dir | 4 star | 7.93 | 7.48 | 6.23 | 0.38 | 14,307 | 6.87 | 0.25 (15) | 10Y 10M | 322.00 |
Portfolio Analysis of Franklin India Arbitrage Fund
| No. of Stocks | 87 |
| Top 10 Holdings | 41.87% |
| Top 5 Stocks | 23.63% |
| Top 3 Sectors | 0.00% |
| Portfolio P/B Ratio | 2.67 |
| Portfolio P/E Ratio | 25.41 |
Portfolio Breakup
| Fund | Category | |
| Average Mkt Cap (Rs Cr) | 1,31,317 | 2,13,775 |
| Giant (%) | 37.01 | 52.33 |
| Large (%) | 27.80 | 29.21 |
| Mid (%) | 30.05 | 18.35 |
| Small (%) | 5.14 | 1.61 |
| Tiny (%) | — | — |
| Fund | Category | |
| Number of Securities | 182 | 261 |
| Macaulay Duration (yrs) | 0.48 | 0.56 |
| Average Maturity (yrs) | 0.48 | 0.65 |
| Yield to Maturity (%) | 6.82 | 6.91 |
| Avg Credit Rating | GOI/Cash | — |
Chanakya’s Mutual Fund Guidance For Franklin India Arbitrage Fund
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