Notification of changes to the underlying funds of various Franklin Templeton funds
09 April 2020
- L39 Franklin Biotechnology Discovery (the “Mirror Fund 1”)
- M84 Franklin US Government (the “Mirror Fund 2”)
- P51 Franklin Mutual European (the “Mirror Fund 3”)
- J60 Templeton Emerging Markets (the “Mirror Fund 4”)
- J72 Templeton Global (the “Mirror Fund 5”)
- L03 Templeton Global Total Return (EUR) (the “Mirror Fund 6”)
- L04 Templeton Global Total Return (USD) (the “Mirror Fund 7”)
- L05 Templeton Global Bond (EUR) (the “Mirror Fund 8”)
- L06 Templeton Global Bond (USD) (the “Mirror Fund 9”)
- L13 Templeton Emerging Markets Bond (the “Mirror Fund 10”)
- P52 Templeton Latin America (the “Mirror Fund 11”)
- P58 Templeton BRIC (the “Mirror Fund 12”)
- R97 Templeton Asian Bond (the “Mirror Fund 13”)
(together, the Mirror Funds 1-13)
We have been notified by Franklin Templeton Investment Funds (the “Company”) of the following increase to the maximum level of Swing Pricing factor of the underlying funds of the Mirror Funds 1-11. This change has taken effect from 30 March 2020 (the “Effective Date”).
Please see the below extract, which has been taken from the shareholder notice of the underlying funds of the Mirror Funds 1-11.
“We would like to draw you attention to the fact that due to the considerable impact and current exceptional market circumstances involved by the propagation of the Coronavirus (COVID-19), the board of directors of the below listed Luxembourg SICAVs have decided that, on a temporary basis and in order to protect the best interest of the shareholders, the swing factor applied to the sub-funds of the below listed Luxembourg SICAVs could be increased beyond the 2% limit. This may be necessary in order to ensure the increased costs of trading experienced at this time (due to the exceptional market conditions) are captured in the swing factor, in order to protect investors in the sub-funds.
- Franklin Templeton Alternative Funds
- Franklin Templeton Investment Funds*
- Franklin Templeton Opportunities Funds
- Franklin Templeton Shariah Funds
- Franklin Templeton Series II Funds
- Franklin Templeton Specialised Investment Funds
Shareholders of sub-funds for which swing factor greater than 2% has been applied will be receiving specific shareholder notice informing them that this event has actually occurred.”
*Please note that the underlying funds of the Mirror Funds 1-11 fall under the Franklin Templeton Investment Funds umbrella.
Should you have any questions regarding these changes, please contact International Funds & Investments.