Franklin Templeton Investments India has launched a new open-end equity fund, the Franklin Build India Fund. The fund invests in companies operating in various sectors that are critical to building the Indian economy. The sectors that fall in this category include physical and social infrastructure, resources, financial services, and agriculture.

"The Indian economy has grown at a robust rate in recent years and has also exhibited resilience amid the global weakness witnessed over the last year," says Harshendu Bindal, president of Franklin Templeton India. "However, we need to enhance the key building blocks of the economy to sustain and enhance economic growth rates."

The Franklin Build India Fund provides investors with access to a portfolio of companies taking advantage of these multiple themes and helps them benefit from the potential to generate superior risk-adjusted returns over the long-term.

Sukumar Rajah, director and CIO at Franklin Templeton India, notes that global investors remain convinced about India's long-term growth prospects, but various global surveys have ranked India low on different competitiveness parameters.

"The building efforts in various key economic areas are critical to sustain current growth rates, attract capital flows and realise the long-term prospects," Rajah says.

The fund will focus on looking for businesses and managements that create wealth by taking advantage of the sharp rise in spending. The fund will follow a bottom-up approach (with a top-down overlay from time to time) to stock-picking and choose the best companies across sectors, some of which could even be out-of-favour sectors. It is managed by Anand Radhakrishnan.

Franklin Templeton has more than 15 years experience in investing in Indian companies and has built an extensive research database. The investment team currently manages some of the oldest equity funds in the country -- with three funds having close to 15 years of track record across market cycles.