New Delhi, Jan. 18 -- Santosh Kamath, Franklin Templeton MF's fixed-income chief investment officer who was at the helm when the fund house wound up its six debt funds worth Rs.25,000 crore in 2020, is now back with a private credit alternative investment fund (AIF).

In 2023, Kamath stepped down as head of fixed income of the mutual fund segment to head the newly set-up alternatives business.

According to a private presentation accessed by Mint, the AIF will only lend to financial services-related companies and is targeting an internal rate of return (IRR) of 11% to 14%.

Franklin Templeton said the fund will focus on developing the missing middle segment of the credit market. They are targeting pockets where they can get 10-15% returns...