For Franklin Templeton Investors in winded up Credit Funds Franklin Templeton has a total of 1.16 lakh crores of AUM in various mutual fund schemes in India, out of which Rs 55,000 crores correspond to credit fund. The problem lies with this company because the majority of high exposure are non-AAA rated securities. Six credit funds which they have winded up includes Rs 30,000 crores of AUM. Investors who have invested in such securities might face low or negative yield as only 26% of these securities are maturing in next year, and owing to the current scenario, the market price of these securities can go low due to high risk of default. F or Mutual Fund Market as a whole In the last few years, total AUM under equity mutual fund schemes was on an increasing spree, while credit funds were already on the decline before the start of the Covid-19 pandemic as well. The secondary market for the bond is too not developed. This crisis only exacerbated the problem. The...