Franklin India Arbitrage Fund - Direct - Growth

Franklin India Arbitrage Fund - Direct - Growth holds up reasonably well within the Multi Asset Allocation category, currently carrying a 3-star rating. It has delivered steady, if unspectacular, returns over a full market cycle. TopFund's composite Health Score, which weighs rating, 3-year CAGR, expense ratio and fund size, puts it at 75/100.

Cost: At 0.2%, the expense ratio is meaningfully cheaper — about 69% below the Multi Asset Allocation category average of 0.64% (based on 196 comparable funds). Lower costs compound in your favour over long holding periods.

Risk-adjusted performance: Over the trailing 1-year period, the fund shows a moderate Sharpe ratio of 0.66 — decent risk-adjusted performance, without being exceptional. Separately, annualised volatility of 1.04% is on the lower side, suggesting a comparatively smoother ride.

Who should invest: This fund is best suited to investors whose goals and risk appetite align with a Hybrid fund. The High risk rating means near-term volatility should be expected — this isn't a fund to check daily.