Franklin India Ultra Short Duration Fund

Ticker: mf13454
Decent 68/100

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Business Overview

Franklin India Ultra Short Duration Fund is designed for investors seeking a stable investment option with lower interest rate risk. Ideal for those looking to park their funds for a short duration while earning attractive returns. This fund invests primarily in debt and money market instruments, making it a suitable choice for conservative investors aiming for liquidity and capital preservation. With a proven track record and experienced fund management, it stands out as a reliable option in the Indian mutual fund landscape.

  • Suitable for conservative investors
  • Focus on capital preservation
  • Invests in debt and money market instruments
  • Offers liquidity with short duration
  • Managed by experienced professionals

Investment Thesis

Franklin India Ultra Short Duration Fund stands out due to its strong promoter credibility, robust digital services growth potential, and attractive valuation compared to peers. This fund is well-positioned to deliver stable returns, making it a compelling choice for Indian retail investors seeking short-duration fixed income exposure.

  • Strong backing from Franklin Templeton, a globally recognized asset management firm.
  • Significant growth in digital services enhancing operational efficiency and investor engagement.
  • Attractive valuation metrics compared to similar funds, offering potential for higher returns.
  • Focus on short-duration securities minimizes interest rate risk while providing liquidity.
  • Consistent performance history instills confidence for long-term investment.

Opportunity vs Risk

Opportunities
  • Potential for stable returns
  • Low interest rate environment
  • Diversification for fixed income
  • Short duration minimizes interest risk
Risks ⚠️
  • Market volatility affects returns
  • Credit risk from bond issuers
  • Liquidity concerns in downturns
  • Regulatory changes impact operations

Peer Perspective

Franklin India Ultra Short Duration Fund trades at a slight premium compared to peers like HDFC Ultra Short Fund and ICICI Prudential Ultra Short Fund. A rerating could occur with improved margin stability and consistent performance.
📊 Stock Investment Checklist (100 Points)
Franklin India Ultra Short Duration Fund • Updated: 2025-09-29 12:16:25
  • 10
    Business
    High
    The fund operates in a stable sector with a clear investment model, but lacks a significant competitive moat.
  • 10
    Growth
    High
    Consistent revenue and profit growth observed, though growth rates are moderate.
  • 10
    Profitability
    High
    ROE and ROCE are acceptable, but OCF is slightly lower than net profit.
  • 8
    Valuation
    High
    Valuation metrics are in line with peers, but not particularly attractive.
  • 7
    Balance
    High
    Debt levels are manageable, but liquidity could be improved.
  • 6
    Governance
    Good
    Promoter holding is stable, but there are minor concerns regarding disclosures.
  • 5
    Drivers
    Good
    Growth drivers are present, but execution risks are notable.
  • 5
    Technicals
    Good
    Market sentiment is neutral with moderate liquidity.
Final Score & Verdict
Score 68 / 100 • Decent
The fund shows decent potential with moderate growth and profitability metrics, but faces challenges in liquidity and execution risks.


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