Upcoming NFO: Franklin Templeton Files SID with SEBI for New Multi-Factor Equity Scheme

Franklin Templeton Mutual Fund has submitted the Scheme Information Document (SID) to the Securities and Exchange Board of India (SEBI) for the launch of a new scheme, the Franklin India Multi-Factor Fund.

This upcoming scheme is structured as an open-ended equity mutual fund, designed to follow a multi-factor quantitative investment strategy. It aims to deliver long-term capital appreciation by investing in equity and equity-related instruments selected through a proprietary multi-factor quant model. The New Fund Offer (NFO) will open on November 10, 2025, and will close on November 24, 2025.

Asset Allocation: Where Will Scheme Invest

The scheme proposes to allocate:

• Minimum 80% of its corpus in equity and equity-related instruments, and
• Up to 20% in debt instruments, money market securities, and cash & cash equivalents.

Investment Strategy

The fund will adopt an active management approach, blending fundamental and behavioural finance principles. It leverages a custom-built Multi-Factor Quantitative Model that integrates a range of forward-looking and backwards-looking factors. The underlying philosophy is that strong fundamentals at the individual security level are critical drivers of sustainable long-term returns.

A bottom-up stock selection process will form the cornerstone of the strategy, with a focus on achieving superior risk-adjusted returns over time.

Fund Manager Profile

The scheme will be managed by Arihant Jain, a seasoned investment professional with the following credentials:

• Education: Bachelor of Engineering (Hons.), BITS Pilani
• Certifications: CFA
• Current Role: Portfolio Manager / Senior Investment Analyst at Franklin Templeton Services (India) Pvt Ltd (Mumbai, 2022–2025)

Professional Highlights

• Provides daily oversight of live portfolios, monitors quantitative model outputs, and fine-tunes strategies to correct anomalies or deviations.
• Collaborates closely with traders for optimal trade execution, minimising transaction costs and market impact.
• Works in alignment with Compliance and Back Office teams to ensure all operations are conducted within the regulatory framework and adhere to internal guidelines.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Mutual Fund investments are subject to market risks, read all scheme-related documents carefully.