Franklin Templeton Canada Announces Fee Reduction for Canadian Small Cap Fund

Fee waiver extension for FLVI and FLVU and distribution frequency changes for certain funds also announced

TORONTO, Feb. 19, 2025 /CNW/ - Franklin Templeton Canada today announced fee reductions of up to 35 basis points for various series of Franklin ClearBridge Canadian Small Cap Fund. With a 4-star Morningstar rating for its 3- and 5-year performance¹, Franklin ClearBridge Canadian Small Cap Fund has outperformed the Canadian Small/Mid-Cap Equity category and the S&P/TSX Small Cap TRI² over 1-, 3- and 5-year periods³.



"Our Calgary-based team is committed to actively investing in their highest-conviction small cap ideas within the Canadian market, while employing a consistent, disciplined investment process for this Lipper award-winning small cap strategy⁴" said Dennis Tew, head of Distribution and Business Strategy.

Effective March 1, 2025, the management fees and administration fees for Franklin ClearBridge Canadian Small Cap Fund will be reduced for each fund series, which are detailed in the table below.

With more than a 30-year history of investing in Canadian small caps, Franklin ClearBridge Canadian Small Cap Fund is co-managed by the firm's Calgary-based ClearBridge Investments team, with co-lead portfolio managers, Garey Aitken, head of Canadian Equities, and Michael Richmond, portfolio manager. They have 33 and 24 years of industry experience, respectively.



Fee Waivers Continue in Low Volatility High Dividend Index ETF Suite



The management fees of two ETFs in the Low Volatility High Dividend Index ETF suite will continue to be waived by 15 basis points until June 30, 2026, which are detailed in the table below.

Ahmed Farooq, SVP, head of Retail ETF Distribution, Franklin Templeton Canada said: "This low-cost suite of ETFs offers a combined strategy of sustainable high dividends and low volatility, which aims to provide higher income and help reduce overall risk in a portfolio."



Distribution Frequency Changes for FLVI and Multi-Asset ETF Portfolios

Effective March 31, 2025, the distribution frequency will change from monthly to quarterly for Franklin International Low Volatility High Dividend Index ETF (FLVI) and annual to quarterly for the A, F, O, and ETF series of all the Franklin Multi-Asset ETF portfolios.

Franklin Multi-Asset ETF Portfolios – available in an ETF or mutual fund option – are priced among the low-cost funds in their peer group at 18 basis points. The ETF portfolios are managed by Franklin Templeton Investment Solutions' team in Canada and supported by its global multi-asset team that manages portfolios for discretionary private wealth clients, retail end investors and large pension funds. Franklin Templeton Canada has managed multi-asset solutions in Canada since 1996.



About Franklin Templeton

Franklin Resources, Inc. (NYSE:BEN) is a global investment management organization with subsidiaries operating as Franklin Templeton and serving clients in over 150 countries. In Canada, the company's subsidiary is Franklin Templeton Investments Corp., which operates as Franklin Templeton Canada. Franklin Templeton's mission is to help clients achieve better outcomes through investment management expertise, wealth management and technology solutions. Through its specialist investment managers, the company offers specialization on a global scale, bringing extensive capabilities in fixed income, equity, alternatives and multi-asset solutions. With more than 1,500 investment professionals, and offices in major financial markets around the world, the California-based company has over 75 years of investment experience and approximately US$1.6 trillion (approximately CAN$2.3 trillion) in assets under management as of January 31, 2025. For more information, please visit franklintempleton.ca and connect with Franklin Templeton on LinkedIn, X and Facebook.



Commissions, trailing commissions, management fees, brokerage fees and expenses all may be associated with investments in mutual funds, ETF series of mutual funds (ETF series) and ETFs. Investors should carefully consider the investment objectives and strategies, risks, fees and expenses of mutual funds, ETF series and ETFs before investing. The simplified prospectus, fund facts and ETF facts documents, contain this and other information so please read these documents carefully before investing. ETF series and ETFs trade like stocks, fluctuate in market value, and may trade at prices above or below their net asset value. Brokerage commissions and expenses of ETF series and ETFs will reduce returns. These investments are not guaranteed, their values change frequently and past performance may not be repeated.



This announcement does not constitute an offer to sell or the solicitation of an offer to buy any securities. Diversification does not assure a profit or protect against market loss. All investments involve risk, including loss of principal, and there is no guarantee that investment objectives will be met. Past performance is not a guarantee of future results.



1. Source: Morningstar Research Inc., as of January 31, 2025. All rights reserved. The information contained herein is proprietary to Morningstar and/or its content providers; may not be copied or distributed; and is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. The Morningstar Risk-Adjusted Rating, commonly referred to as the Star Rating, relates the risk-adjusted performance of a fund to that of its category peers and is subject to change every month. The Star Rating is a measure of a fund's annualized historical excess return (excess is measured relative to risk-free investment in Canadian Government Treasury Bills) adjusted for the fund's historical risk. The overall Star Rating for a fund is a weighted combination of its 3- , 5, and 10-year ratings. Overall star ratings are adjusted where a fund has less than 5- or 10-years' history. A fund scoring in the top 10.1 to 22.5% 10% of its fund category receives 4 stars. Franklin ClearBridge Canadian Small Cap Fund is rated within the Morningstar Canadian Small/Mid Cap Equity category. All performance data refers to Series F and PF. Please refer to morningstar.ca for more details on the calculation of Morningstar Risk-Adjusted Ratings. For each of the 3-, 5- and 10-year performance periods, there were a total of 170 for the 3-year, 154 for the 5-year and 114 for 10-year periods, respectively, in the Morningstar Canadian Small/Mid Cap Equity category. Please refer to morningstar.ca for the 1-year information.



2. STANDARD & POOR'S®, S&P® and S&P 500® are registered trademarks of Standard & Poor's Financial Services LLC. Standard & Poor's does not sponsor, endorse, sell or promote any S&P index-based product.



3. As of December 31, 2024.



4. Franklin ClearBridge Canadian Small Cap Fund – Series F was awarded the 2024 LSEG Lipper Fund Award in the Canadian small/mid cap equity category for the three-year period ending September 30, 2024 out of a total of 167 funds. The Lipper Fund Awards, granted annually, highlight funds and fund companies that that have excelled in delivering consistently strong risk-adjusted performance relative to their peers. The Lipper Fund Awards are based on the Lipper Leader for Consistent Return rating, which is a risk-adjusted performance measure calculated over 36-, 60- and 120-month periods. The highest 20% of funds in each category are named Lipper Leaders for Consistent Return and receive a score of 5, the next 20% receive a score of 4, the middle 20% are scored 3, the next 20% are scored 2 and the lowest 20% are scored 1. The fund with the highest Lipper Leader for Consistent Return (Effective Return) value in each category wins the Lipper Fund Award. Lipper Leader ratings change monthly. For more information, see lipperfundawards.com. 

Copyright © 2025. Franklin Templeton. All rights reserved. 

SOURCE Franklin Templeton Investments Corp.

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