Franklin Templeton today announced the expansion of its active
ETF lineup with the addition of its 10th fixed income ETF offering,
Franklin Liberty Ultra Short Bond ETF (FLUD). FLUD aims to provide
a high level of current income while seeking to maintain an average
duration under one year and preserve capital. FLUD can also be used
to pursue income while maintaining liquidity needs.
“As a multi-sector fund, concentrated in financials-related
industries, FLUD provides investors with diversification in the
ultra-short investment category and seeks a higher yield potential
than traditional cash investments, with limited additional risks,”
said Patrick O’Connor, global head of ETFs for Franklin Templeton.
“Franklin Templeton is once again delivering its time-tested
expertise in active fixed income management through this very
competitively priced, low cost ETF. FLUD leverages our unique
approach of blending top-down macroeconomic views, bottom-up
fundamental research, and proprietary, quantitative analysis.”
FLUD, which is listed on the NYSE Arca, is managed by David
Yuen, senior vice president, head of multi-sector and quantitative
strategies, Shawn Lyons, CFA®, vice president, portfolio manager,
Johnson Ng, CFA®, vice president, senior trader, portfolio manager,
Tom Runkel, CFA®, vice president, portfolio manager, and Kent
Burns, CFA®, senior vice president, portfolio manager—all with
Franklin Templeton Fixed Income.
“FLUD invests in investment grade short maturity fixed income
securities issued by governments and agencies as well as corporate
credit and securitized securities,” said Yuen. “Sector allocation
and security selection will be the primary drivers in pursuing
income.”
FLUD adds an ultra-short duration option to Franklin
LibertyShares’ range of active fixed income ETFs that also
includes:
Ticker
Fund Name
FLCB
Franklin Liberty U.S. Core Bond ETF
FLCO
Franklin Liberty Investment Grade
Corporate ETF
FTSD
Franklin Liberty Short Duration U.S.
Government ETF
FLMB
Franklin Liberty Municipal Bond ETF
FLMI
Franklin Liberty Intermediate Municipal
Opportunities ETF
FLHY
Franklin Liberty High Yield Corporate
ETF
FLIA
Franklin Liberty International Aggregate
Bond ETF
FLBL
Franklin Liberty Senior Loan ETF
FLGV
Franklin Liberty U.S. Treasury Bond
ETF
Franklin LibertyShares, the firm’s global ETF platform, enables
investors to pursue their desired outcomes through a range of
active, smart beta and passive ETFs. LibertyShares has more than
$7.9 billion in assets under management globally as of June 30,
2020, including nearly $4.3 billion in active fixed income ETFs,
and is supported by the strength and resources of one of the
world’s largest asset managers. Gather insights on ETF investing by
visiting franklintempleton.com/etfs and follow Franklin
LibertyShares on Twitter: @libertyshares.
Important Information about the Fund
All investments involve risks, including possible loss of
principal. The Fund’s focus on the credit quality of its portfolio
is intended to reduce credit risk and help to preserve the Fund’s
capital. The Fund is not a money market fund and does not seek to
maintain a stable net asset value of $1.00 per share. Interest rate
movements, unanticipated changes in mortgage prepayment rates and
other risk factors will affect the Fund’s share price and yield.
Bond prices, and thus the Fund’s share price, generally move in the
opposite direction of interest rates. Therefore, as the prices of
bonds in the Fund adjust to a rise in interest rates, the Fund’s
share price may decline. By focusing its investments in financials
related industries, the Fund carries much greater risks of adverse
developments and price movements in such industries than a fund
that invests in a wider variety of industries. Because the Fund
concentrates in a specific industry or group of industries, there
is also the risk that the Fund will perform poorly during a slump
in demand for securities of companies in such industries. The
Fund’s investment in foreign securities involves certain risks
including currency fluctuations and economic and political
uncertainties. Investments in developing markets involve heightened
risks related to the same factors, in addition to those associated
with their relatively small size and lesser liquidity. Investing in
derivative securities involves special risks as such may not
achieve the anticipated benefits and/or may result in losses to the
Fund. These and other risks are discussed in the Fund’s
prospectus.
ETFs trade like stocks, fluctuate in market value and may trade
at prices above or below the ETF’s net asset value. Brokerage
commissions and ETF expenses will reduce returns.
ETF shares may be bought or sold throughout the day at their
market price, not their Net Asset Value (NAV), on the exchange on
which they are listed. Shares of ETFs are tradable on secondary
markets and may trade either at a premium or a discount to their
NAV on the secondary market.
Investors should carefully consider a fund’s investment
goals, risks, charges, and expenses before investing. To obtain a
summary prospectus and/or prospectus, which contains this and other
information, talk to your financial advisor, call us at (800) DIAL
BEN/342-5236 or visit franklintempleton.com. Please
carefully read a prospectus before you invest or send
money.
About Franklin Templeton
The funds’ principal underwriter is Franklin Templeton
Distributors, Inc., a wholly-owned subsidiary of Franklin
Resources, Inc. [NYSE:BEN] is a global investment management
organization operating, together with its subsidiaries, as Franklin
Templeton. Franklin Templeton’s goal is to deliver better outcomes
by providing global and domestic investment management to retail,
institutional and sovereign wealth clients in over 170 countries.
Through specialized teams, the company has expertise across all
asset classes—including equity, fixed income, alternative and
custom solutions. The company’s more than 600 investment
professionals are supported by its integrated, worldwide team of
risk management professionals and global trading desk network. With
offices in more than 30 countries, the California-based company has
more than 70 years of investment experience and more than $622
billion in assets under management as of June 30, 2020. For more
information, please visit franklintempleton.com.
Copyright © 2020. Franklin Templeton. All rights reserved.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20200716005161/en/
Franklin Templeton Corporate Communications: Pholida Barclay,
(212) 632-3204, pholida.barclay@franklintempleton.com Prosek
Partners: Katherine Fox, (646) 818-9010, kfox@prosek.com
Franklin Resources (NYSE:BEN)
Historical Stock Chart
From Mar 2024 to Apr 2024
Franklin Resources (NYSE:BEN)
Historical Stock Chart
From Apr 2023 to Apr 2024