Franklin Templeton's four shut schemes see NAVs dip on Future exposure

Fund house had extended moratorium to group companies on April-June obligations

Four of the six wound-up schemes of Franklin Templeton Mutual Fund (MF) on Tuesday saw a dip of 1.5 per cent-3.8 per cent in their respective net asset values (NAVs), after valuation agencies re-priced certain exposures to Future Group firms, which had been given moratorium by the fund house on payment obligations related to the non-convertible debentures (NCDs). The income opportunities fund saw its NAV dip 3.79 per cent, followed by the short-term income plan, which saw a drop of 2.64 per cent. 

Dynamic accrual fund and credit risk fund saw their NAVs slip 1.77 per cent and 1.52 per cent, respectively.In an investor update, the fund house said on the request of Future Group, it had extended moratorium with respect to NCD obligations falling in April-June.

The four schemes had varied exposure to three Future Group companies — Future Ideas, Nufuture Digital and Rivaaz Trade Ventures.

The fund house pointed out that the decision to give moratorium was taken well before the announcement of winding up of the six “yield-oriented fixed income schemes” on April 23.