Franklin Templeton’s new fund offer will be open from 15th November to 29th November
Franklin Templeton Investments (India) said that it will launch a new open end income fund called Templeton India Corporate Bond Opportunities Fund (TICBOF), a unique fund focusing only on corporate bonds.
Corporate bonds offer relatively higher yields and those with a good credit profile offer an attractive risk-reward ratio. TICBOF has the ability to capitalise on these opportunities by an active interplay on credit, liquidity and interest rate opportunities. The new fund offer will be open from 15th November to 29th November.
Harshendu Bindal, President, Franklin Templeton India said, “Indian investors are looking for differentiated investment solutions in the fixed income space—this product with its focus on corporate bonds and relatively longer investment horizon, caters to this need.” According to the company, the fund helps investors take advantage of the current high yields and also potentially benefit from the capital gains once the interest cycle turns. The relatively high exit loads and a cap on maximum investment per folio make it a retail oriented product
Speaking about the fund strategy, Santosh Kamath, chief investment officer–fixed income, said, “Corporate securities have been a core part of our portfolios for many years and we have built significant expertise in this space. Given India’s rapid economic growth and the strong earnings track record of Corporate India, the interest in corporate bonds is likely to grow, both from domestic and foreign investors. The various initiatives by the RBI have led to an improvement in the Indian corporate bond market. Since the base rate of banks has moved up, many Indian companies are now looking at increased debt issuances as part of their funding plans.
DSP BlackRock MF new issue closes on 15th November
DSP BlackRock Mutual Fund has launched DSP BlackRock FMP-Series 19-3M, a close-ended income scheme.
The investment objective of the scheme is to seek to generate returns and capital appreciation by investing in a portfolio of debt and money market securities. The Scheme will invest only in such securities which mature on or before the date of maturity of the Scheme. The tenure of the scheme is three months.
The new issue closes on 15th November. The minimum investment amount is Rs5,000.
CRISIL Liquid Fund Index is the benchmark index. Dhawal Dalal is the fund manager.
Former bureaucrats and engineers have come up with suggestions of alternative models, which are clean and substantially cheaper
Following former president Dr APJ Abdul Kalam’s spirited defence of the upcoming nuclear plant in Andhra Pradesh, activists and sector experts have all offered their views; and have written to Dr Kalam for reconsidering his position. Meanwhile, former bureaucrats and engineers have come up with suggestions of alternative models, which are clean and substantially cheaper.
Former IAS officer G Devasahayam, who had criticised Dr Kalam’s logic, has joined an ‘expert committee’ group formed by those opposing the Kudunkulam nuclear plant. He said, “KNPP has not yet gone critical (meaning fuel has not been loaded and fired). The central government should therefore seriously consider fuel-switching from nuclear to coal or gas. According to energy experts this is very much possible and feasible. Only that the reactor needs to be replaced by boiler and if necessary have a turbine also.”
Instead of nuclear power, he opined that the wind energy farms in the nearby regions of Kanyakumari and Thirunelveli districts in Tamil Nadu may be utilised to generate power. “Large wind farms with installed capacity of about 4000MW. When these were installed 1MW required four acres of land. Now the need is one acre only for 1MW. By going in for re-powering and re-engineering adopting modern technology large land under wind farm could be released and about 2000 MW solar thermal power could be installed on this land,” he said, adding that wind, solar and biomass energy together can provide enough power for Tamil Nadu and export to nearby states.
A National Academy of Engineering fellow and former Konkan Railways MD Rajaram Bojji is a well known innovator. He claims he has an alternative model ready, which can be completed within six months; which would utilise the sea waters’ energy to generate power. He said, “It is false to say we do not have any alternative. With only 30% of the coast line of India, we get 100GW of power at an investment of Rs5,00,000 crore. It is economical and cheaper than nuclear power and comparable in cost to thermal power. This I told in my Paris conference while presenting my peer reviewed paper in May 2011.”
Mr Bojji said that earlier, he had sent his paper to the Planning Commission, and his paper was forwarded to Indian National Academy of Engineering (INAE). However, now his designs are ready and he has explained the whole process, but the government hasn’t responded. He said that the government is trying to force another power plant in Ratnagiri, despite the Netherlands issuing a statement expressing a doubt about French nuclear technology. Mr Bojji claims that instead of spending over Rs20,000 crore on dubious foreign technologies, his design can be set up without any import; and he is ready to use his own funds for the pilot project.