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It's good to have alternatives

Alternative investing has traditionally been confined by high minimum investment levels, operational complexities, and strict asset and income threshold requirements, limiting access to institutions and high net worth individuals. 

At Franklin Templeton, we're committed to breaking down these barriers with a clear mission to democratize alternative investing, transforming it into an accessible and essential source of returns for all. 

One relationship unlocks access to a diversified platform of alternative asset capabilities backed by specialist investment managers with deep expertise in their domain. 

US$258
bn

Alternative assets under
management*

40+
Years

Alternative investing experience
 

50+
Strategies

Across alternative asset classes and investment vehicles

Our family of alternative investment specialists

Franklin Templeton continues to expand our alternative investment capabilities and build innovative products through the acquisition and utilization of independent specialist investment managers, each of whom has deep expertise in a specific asset class and long-term experience managing assets for some of the largest institutions in the world.

Capabilities

Broad alternative investment capabilities

The broad asset class coverage available with Franklin Templeton means we have both the flexibility and expertise to follow the conversation wherever the client needs lead us. Investors need solutions and that means delivering capabilities to financial advisors using a consultative approach and a total portfolio outcome mindset.

Private Equity

Private Equity involves investing in privately held companies outside of the stock market covering various company growth stages, from startups to established businesses. 

Reasons to consider
Although less liquid and requiring a longer investment horizon, Private Equity has the potential to yield significant gains, making it a viable option for clients seeking diversified portfolios with long-term growth potential. 

Private Credit

Private Credit encompasses various forms of debt investments extended to companies or individuals, bypassing traditional banking systems. 

Reasons to consider
Private credit offers investors an alternative to traditional fixed income investing and has the potential to help manage interest sensitivity in their portfolios.

Digital Assets

Digital assets include electronic or digital forms of assets, such as cryptocurrencies like bitcoin and ether, digital tokens, and blockchain-based assets.

Reasons to consider
Digital assets have the potential to diversify investment portfolios with high growth opportunities, which encompasses innovative solutions across industries beyond finance.

Venture Capital

Venture capital targets early-stage, high-growth companies, investing for equity ownership. This fosters rapid growth, aiming for profitable exits via acquisitions or initial public offerings, harnessing innovation and substantial expansion potential.

Reasons to consider
Successful investments in early-stage companies that experience rapid growth may have the ability to generate substantial profits.

Real Estate

The Real Estate asset class involves strategic investment in diverse properties like residential homes, commercial buildings, land, and Real Estate Investment Trusts (REITs), offering investors seeking stability, income, and potential long-term growth in the dynamic property market.

Reasons to consider
Real Estate can play a role in a balanced investment portfolio by offering potential income generation and capital appreciation. Its historical low correlation with traditional stocks and bonds adds to its diversification benefits.  

Hedged Strategies

Hedged strategies encompass various investment techniques designed to mitigate overall risk in a portfolio. They typically utilize methods like derivatives, short selling, or alternative investments to provide a diversified and resilient approach.

Reasons to consider
Hedged Strategies has the ability to potentially enhance portfolio returns, particularly during times of market volatility or uncertainty.

Products corresponding to each capability may not be available for distribution in all jurisdictions and prospective investors should confirm availability with their local Franklin Templeton representative before making any plans to invest. 

*As of 31 December 2024.

Glossary

Private Debt - Private debt funds typically invest in non-listed debt issues, including bonds, notes, and loans issued by private companies. Private debt has the potential to provide greater returns, control and reduced liquidity, than public markets.

Alternative Credit - Alternative Credit invests in below-investment-grade fixed income sectors that are relatively illiquid. Alternative Credit may not be available to investors for direct investment as individuals but can be accessed through professionally managed traditional mutual funds.

Unconstrained Investing - Unconstrained Strategies trades securities with few restrictions on when and how they buy and sell. Many unconstrained strategies do set a formal or informal a target for volatility that provides a limitation on the level of risks incurred. 

Hedged Strategies - Hedge Strategies (also referred to as alternative strategies) use both long and short positions in markets. Some of the most common strategies are long and short equity, global macro, relative value, and credit. Hedge Strategies appeal to investors who are looking to diversify their investment, in an attempt to minimize market beta returns while seeking alpha and risk-adjusted returns.

Real Assets - Real Assets typically invest in tangible assets that derive value from their substance and physical presence. These include real estate, public and private infrastructure, natural resources, precious metals and commodities.