Franklin U.S. Monthly Income Hedged Corporate Class

Investment Objective and Strategy

The fund seeks to maximize income while maintaining prospects for long-term capital appreciation by investing substantially all of its assets in units of Franklin U.S. Monthly Income Fund (the “underlying fund”). The underlying fund invests in a diversified portfolio of dividend-paying stocks, bonds and convertible securities. Franklin U.S. Monthly Income Hedged Corporate Class uses hedging strategies to reduce the impact of currency fluctuations between the U.S. and Canadian dollars.

Flexible and opportunistic investment approach. The investment mandate sets no formal targets with respect to its equity and fixed-income allocation, and looks opportunistically across the capital structure to focus on investment opportunities that offer the most compelling risk-reward profiles.

A strategic approach. The underlying fund is structured to generate income while maintaining the prospect for long-term capital gain by investing strategically in dividend-paying stocks, bonds and convertible securities.

Experienced management team. Having joined Franklin Templeton in 1992, Ed Perks, CFA, has been the lead portfolio manager of the strategy since 2004.

Reduced currency risk. The fund uses hedging strategies to reduce the impact of currency fluctuations between the U.S. and Canadian dollars.

Fee Reductions

Certain series of this Fund had or will have a fee reduction this year, please visit Franklin Templeton Update: Fee Reductions for more details.

FUND MANAGERS

Edward D. Perks

  • California, United States
  • Years with firm: 27
  • Years of experience: 27