Franklin India Banking & PSU Debt Fund, a flagship offering from Franklin Templeton Mutual Fund, has completed 11 years in the market, marking a significant dual milestone with the scheme crossing Rs 500 crore in Assets Under Management (AUM).

Launched in 2014, the fund invests a minimum of 80% of its portfolio in high-quality debt instruments issued by banks, public sector undertakings (PSUs), and municipal bodies. It aims to deliver optimum returns with low credit risk and is structured to minimize interest rate volatility while maintaining high portfolio quality.

Over the past 1-year and 3-year periods, the scheme has outperformed its benchmark, reflecting strong and consistent performance. A Rs 10,000 investment at inception would have grown to Rs 21,942 today, while a Rs 10,000 monthly SIP since inception would now be worth Rs 19.58 lakh—testament to the fund’s steady compounding over time.

The scheme, jointly managed by Chandni Gupta and Anuj Tagra, is suitable for retail investors seeking stability through reduced interest rate volatility and lower credit risk in their fixed income investments, while aiming for a good risk-adjusted return, according to a press release from the fund house.