Franklin Templeton Investments (India) is launching an open end fund-of-funds scheme called Franklin India Multi- Asset Solution Fund (FIMAS). The fund seeks to achieve capital appreciation and diversification through a mix of strategic and tactical allocation to various asset classes such as equity, debt, gold and cash. The fund shall invest in existing schemes of Franklin Templeton and ETFs which have a long term performance track record.

FIMAS has set broad investment range for allocation to various asset classes and this enables the fund to change asset allocation exposures dynamically, wherein the asset allocation decisions are based on a scientific approach based on an in-house proprietary model. The New Fund Offer will be open from Nov. 7, 2014 to Nov. 21, 2014 during which units will be available at Rs.10 per unit.

Speaking about the rationale for launching the fund, Harshendu Bindal, president, Franklin Templeton Investments - India said, ''We at Franklin Templeton believe that a well-diversified portfolio can provide more flexibility and therefore more opportunities, and in the long run, potentially enhance risk-adjusted returns. When we look at the last 10 year calendar returns for various asset classes, we see that different asset classes outperform over different time periods, depicting that a portfolio requires a mix of equity, debt, gold and cash. At Franklin Templeton, multi-asset investing is defined as the process of providing exposure to a mix of asset classes and investment styles in a single portfolio, constructed for different levels of risk tolerance. As fundamental investors, we look to various economic, valuation and sentiment parameters, as well as more technical indicators such as sentiment and risk forecasts, to make our asset allocation decisions.''