Unfortunate for the banks to fail.. Similar rush of withdrawals was seen in the Franlklin Debt mutual funds in March 2020 which caused 6 top debt mutual funds from FT to be frozen by Sebi.. right?
Yeah FT ended up investing in below A grade category items. I have stopped all my SIP in FT mutual funds, debt & equity. have lost trust in FT after the debacle.
Unfortunate for the banks to fail.. Similar rush of withdrawals was seen in the Franlklin Debt mutual funds in March 2020 which caused 6 top debt mutual funds from FT to be frozen by Sebi.. right?
Yes. FTs debt mf withdrawals were similar to a Bank run. Also, investments went bad (similar to NPAs in a Bank) which caused the withdrawals.
Yeah FT ended up investing in below A grade category items. I have stopped all my SIP in FT mutual funds, debt & equity. have lost trust in FT after the debacle.
One thumb rule is not to pursue for alpha in debt based investments.