What you need to know: ICICI Bonds Sale

In the six funds that are being wound-up, Franklin is not supposed to buy or sell any bonds.

About the bonds

The Ultra Short Bond Fund held 70 bonds, each with a maturity value of Rs 10 lakh.

Source: BSE
Source: Franklin Templeton

What does this mean for the investors

According to the story, Franklin has promised to make sure the investors are compensated for the “difference in value”. As the story does not elaborate on this “difference”, we believe that Franklin will make up for the Rs 19 lakh loss — the difference between the maturity value of Rs 7 crore and the received sale value of Rs 6.81 crore — to the investors.

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