Skip to Content

Franklin Templeton

Franklin Templeton Parent Rating

Average

Franklin Templeton Investments, the asset-management arm of publicly traded but family managed Franklin Resources BEN, has been busy with acquisitions.

The struggle in streamlining these disparate capabilities underpins its Average Parent rating.

Franklin’s July 2020 acquisition of multiboutique manager Legg Mason remains its largest as of March 2023, but the firm has continued to grow through acquisitions. Its April 2022 and November 2022 purchases of Lexington Partners and Alcentra, respectively, make it one of world’s largest managers of alternative investments (with alts comprising USD 231 billion of its USD 1.4 trillion assets under management as of December 2022), while its July 2022 acquisition of O’Shaughnessy Asset Management adds a novel direct-indexing capability to its managed account offerings. These purchases, however, do little to alleviate the operational complexity of a firm with dozens of investment teams split by asset class, region, and investment platform.

Although there are several standout strategies at the firm, many teams have struggled with personnel turnover, succession challenges, and unappealing performance patterns. Shepherding these geographically disparate capabilities, which have varying levels of centralization of distribution and risk management, shall be quite the challenge for the firm to manage.

Franklin Templeton Investments

Market

US Open-end ex MM ex FoF ex Feeder

Total Net Assets

492.88 Bil

Investment Flows (TTM)

−37.50 Bil

Asset Growth Rate (TTM)

−7.61%

# of Share Classes

1,208
Morningstar Rating # of Share Classes
158
246
405
303
85
Not Rated 11

Exchange-Traded Funds

See All Franklin Templeton ETFs

Market

US ETFs

Total Net Assets

17.06 Bil

Investment Flows (TTM)

3.70 Bil

Asset Growth Rate (TTM)

33.53%

# of Share Classes

72
Morningstar Rating # of Share Classes
7
10
19
8
2
Not Rated 26

Morningstar Mentions

Quick Definitions: Key Morningstar Terms

Sponsor Center