Franklin Strategic Income Fund

Franklin Templeton Investment Funds

Summary of Fund Objective

The Fund aims to earn a high level of current income and seeks capital appreciation over the long term by investing principally in fixed and floating rate debt securities globally, including those in emerging markets.

Flexibility to invest across a wide variety of income-generating instruments expands the opportunity set contributes to this Fund’s potential for long-term performance and enhances its ability to deliver high dividend yields.

The Fund may avail of the flexibility allowed under UCITS III legislation to invest in financial derivative instruments for hedging and efficient portfolio management as well as to enhance its investment returns.

The Fund may invest up to 10% of assets in other investment Funds, up to 100% in low-rated and non-investment grade debt securities issued by US and non-US issuers, and up to 10% in securities in default.

Franklin Templeton Investments has a long history of investing in this area, having launched the US-registered Franklin Strategic Income Fund in 1994.

The breadth and depth of coverage assured by the Franklin Templeton Fixed-Income Group helps the Fund benefit from investment opportunities across virtually all segments of the market (i.e. global bonds, fixed and floating-rate instruments).

The Fund may invest in low-correlated asset classes not widely followed by traditional fixed-income participants, such as corporate bank loans, non-dollar government bonds, and convertible securities.

FUND MANAGERS

Sonal Desai

  • California, United States
  • Years With Firm: 10
  • Years Of Experience: 25

Patricia O'Connor

  • California, United States
  • Years With Firm: 22
  • Years Of Experience: 23

William Chong

  • California, United States
  • Years With Firm: 11
  • Years Of Experience: 11

David Yuen

  • California, United States
  • Years With Firm: 23
  • Years Of Experience: 31

What are the Key Risks?

The value of shares in the Fund and income received from it can go down as well as up and investors may not get back the full amount invested. Performance may also be affected by currency fluctuations. Currency fluctuations may affect the value of overseas investments.

  • The Fund invests mainly in debt securities of any quality from issuers of both developed and emerging countries. Such securities have historically been subject to price movements, generally due to interest rates, foreign exchange rates or movements in the bond market. As a result, the performance of the Fund can fluctuate moderately over time.
  • The Fund may distribute income gross of expenses. Whilst this might allow more income to be distributed, it may also have the effect of reducing capital.
  • Other significant risks include: credit risk, derivatives risk, emerging markets risk, liquidity risk.
For full details of all of the risks applicable to this Fund, please refer to the “Risk Considerations” section of the Fund in the current prospectus of Franklin Templeton Investment Funds.