Silver jubilee funds

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December 1, 2018 is red letter day for some of the schemes from  Franklin Templeton staple. The investors money has grown astonishingly by more than 100 times, than the initial investments invested in their flagship schemes like Franklin India Bluechip and Franklin India Prima Fund. Investors in these schemes have reaped full benefits and can enjoy a content laugh on the way to their banks. In the current market slump if you are not believing this statement please study the given table in detail and you'll understand the underlying truth about this

Getting CAGR of 20% annual return (compounded annual growth rate) is not an easy job. This type of return is not possible with respect to Gold investment or conventional financial instruments like Bank Deposit, Post Office saving schemes and Corporate Deposits. This type of 20+ return is possible only in Equity Funds and in some cases with respect to Real Estate investments

Often the question often posted in front of me is, “I am not getting expected returns for the investments I made 1 or 2 years back”.  We have to understand “patience pays” . When Investments are longer, the likely rate of return is also high and if the Investments period is less likely return is less. This is a hard truth we should understand.

When we are investing in a good scheme issued and managed by good fund house the chance of getting better return is high. Such funds are Franklin India Bluechip and Franklin India Prima funds. Return details and other relevant details are given in the table.

25 வருட பண்ட் லாப விபரம் -31-10-2018
25 years fund - Profit details - 31/10/2018
பண்ட்	முதலீட்டு தொகை	தற்போதைய மதிப்பு	மடங்கு	பண்ட் லாப விகிதம்	குறீயிட்டின் லாப விகிதம்	குறீயிடு
Fund	Initial Investment	Current value		Fund Profit %
Franklin India blue chip fund - பிராங்களின் இந்தியா புளு சிப் பண்ட்	1,00,000	1,03,00,000	103	20.45%	11.43%	நிப்டி
Franklin India Prima Fund - பிராங்களின் இந்தியா பிரைமா பண்ட்	1,00,000	88,04,000	88	19.67%	11.90%	நிப்டி மிட் கேப்

Lot of research shows that when we have investment period of more than 10 years in equity related investment the chance of getting negative return especially with respect to mutual fund is extremely remote and possibility of getting double-digit return in the investments is very high.

Also it’s important to understand that in financial world the possibility of losses always exist and we call it risk. Possibility of losses in the institution or the institution itself getting closed or vanishing in thin air is very high. In these cases the investors end up facing losses or they are marked down in asset price or total principal gets wiped off. But in the case of equity mutual fund investments, the probability of entire investment getting wiped off is very remote.

Originally these schemes were started by Kothari pioneer, latter it changed hands to Pioneer ITI and again changed to franklin templeton. Now these schemes are managed by franklin. In spite of all these changes, they are still making good profits and no losses. This is the beauty of equity mutual fund investments in good schemes managed by good AMC.

This equity related mutual fund investments suit goal based investments better like investing when your child is born and use the proceedings for his / her marriage or their higher studies.

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