Franklin Templeton Mutual Fund has launched a new thematic equity scheme — Franklin India Multi-Factor Fund Direct – Growth, open for subscription from 10th November to 24th November 2025. With a very high-risk profile, this open-ended fund aims to generate long-term capital appreciation by investing in equities based on a multi-factor quantitative investment strategy.
Key NFO Details
| Detail | Information |
| Fund Name | Franklin India Multi-Factor Fund (Direct – Growth) |
| NFO Period | 10 Nov 2025 to 24 Nov 2025 |
| Allotment Date | 28 Nov 2025 |
| Category | Equity – Thematic |
| Risk Level | Very High |
| Fund Type | Open-ended |
| Benchmark | BSE 200 TRI |
| Minimum Investment | ₹5,000 (lumpsum), ₹500 (SIP) |
| Exit Load | Exit Load for units in excess of 10% of the investment, 0.50% will be charged for redemption within 1 year |
| Short-term capital gains (STCG) | Returns are taxed at 20% if you redeem before 1 year |
| Long-term capital gains (LTCG) | After 1 year, returns above ₹1.25 lakh in a financial year are taxed at 12.5% |
Investment Objective
The scheme seeks to:
• Generate long-term capital appreciation by investing in equity and equity-related instruments based on a multi-factor quantitative investment strategy.
This data-driven approach aims to optimise portfolio performance by selecting stocks that score well across various fundamental and technical factors.
How Does This Compare with the Category?
| Time Period | Category Avg. Returns (CAGR) |
| 1 Year | 12.24% |
| 3 Years | 15.29% |
| 5 Years | 16.33% |
| 7 Years | 17.94% |
| 10 Years | 15.40% |
| 15 Years | 14.57% |
| Since Inception | 13.70% |
These averages highlight the consistent long-term potential of thematic funds, particularly those focusing on factor-based strategies.
Should You Invest in This NFO?
You may consider investing in this NFO if:
• You believe in quantitative and rule-based investing strategies.
• You’re seeking long-term capital appreciation through diversified factor exposure.
• You have a high-risk appetite and prefer data-driven portfolio management.
However, factor-based funds can underperform during certain market cycles. Investors should have patience and a long-term perspective to benefit from such strategies.
About Franklin Templeton Mutual Fund
Franklin Templeton Mutual Fund manages ₹1,23,581 Cr AUM (as of September 30, 2025) and offers a range of successful equity funds across themes and market caps.
| Fund Name | AUM | 1Y | 5Y |
| Franklin Build India Fund | 2,947 Cr | 3.16% | 31.79% |
| Franklin India Small Cap Fund | 13,266 Cr | -2.28% | 28.68% |
| Franklin India Opportunities Fund | 7,766 Cr | 6.59% | 27.55% |
| Templeton India Value Fund | 2,198 Cr | 2.46% | 26.53% |
| Franklin India Dividend Yield Fund | 2,352 Cr | -1.15% | 24.05% |
| Franklin India Mid Cap Fund | 12,213 Cr | 4.05% | 23.64% |
Top-performing peers in the thematic category include:
| Fund Name | Fund Size | 5Y Returns |
| Sundaram Services Fund | ₹4,426 Cr | 24% p.a. |
| ICICI Prudential Exports and Services Fund | ₹1,374 Cr | 23% p.a. |
| ICICI Prudential Commodities Fund | ₹3,059 Cr | 32% p.a. |
Also Read:
- Zerodha BSE SENSEX Index Fund NFO: A Large-Cap Index Opportunity for 2025
- Bajaj Finserv Banking and Financial Services Fund NFO: Riding India’s Financial Growth Wave
- Bandhan Healthcare Fund NFO: Investing in India’s Growing Healthcare Sector
- Old Bridge Arbitrage Fund NFO: A Low-Risk Income Option for 2025
- ICICI Prudential Conglomerate Fund NFO: Thematic Equity Opportunity for 2025
Final Thoughts
The Franklin India Multi-Factor Fund NFO introduces a quant-driven thematic approach, ideal for investors seeking diversified equity exposure with a systematic stock selection process.
While it carries a very high risk, it may appeal to long-term investors who trust data-backed investment frameworks over market timing.
Before investing, review the scheme document carefully to ensure it aligns with your investment goals and risk profile. For a seamless and guided investing experience, consider investing in mutual funds with Torus Digital.
