Obbligazione FRANKLIN TEMPLETON INVESTMENTS 0% ( LU0476945158 ) in USD

FRANKLIN TEMPLETON INVESTMENTS

100 USD ▲

Lussemburgo

LU0476945158 ( in USD )

09/02/2018 - Obbligazione è scaduto

Prospetto opuscolo dell'obbligazione FRANKLIN TEMPLETON INVESTMENT FUNDS LU0476945158 in USD 0%, scaduta

Franklin Templeton Investments è una società globale di gestione patrimoniale che offre una vasta gamma di fondi comuni di investimento, ETF e soluzioni di investimento alternative.

Un'obbligazione con codice ISIN LU0476945158, emessa da FRANKLIN TEMPLETON INVESTMENT FUNDS, una rinomata società di gestione patrimoniale globale con sede di emissione in Lussemburgo, e denominata in USD, presentava un tasso d'interesse dello 0% con una frequenza di pagamento semestrale (due volte l'anno); questo strumento finanziario, il cui prezzo di mercato al momento del rimborso era del 100% del valore nominale, è giunto a scadenza il 09 febbraio 2018 ed è stato regolarmente rimborsato ai suoi detentori.

FRANKLIN TEMPLETON INVESTMENT FUNDS
PROSPECTUS
SOCIÉTÉ D'INVESTISSEMENT
À CAPITAL VARIABLE
INCORPORATED IN LUXEMBOURG
January 2018
VISA 2018/110993-866-0-PC
L'apposition du visa ne peut en aucun cas servir
d'argument de publicité
Luxembourg, le 2018-01-15
Commission de Surveillance du Secteur Financier
7708916_14

FRANKLIN TEMPLETON INVESTMENT FUNDS
Société d'investissement à capital variable
Registered office: 8A, rue Albert Borschette, L-1246 Luxembourg
Grand Duchy of Luxembourg
R.C.S. Luxembourg B 35 177
OFFER
of separate classes of shares of no par value of Franklin Templeton Investment Funds (the "Company"), each linked to one of the following
sub-funds (the "Funds") of the Company, at the published offer price for the Shares of the relevant Fund:
1.
Franklin Asia Credit Fund
44. Franklin NextStep Dynamic Growth Fund
2.
Franklin Biotechnology Discovery Fund
45. Franklin NextStep Growth Fund
3.
Franklin Brazil Opportunities Fund
46. Franklin NextStep Moderate Fund
4.
Franklin Diversified Balanced Fund
47. Franklin NextStep Stable Growth Fund
5.
Franklin Diversified Conservative Fund
48. Franklin Strategic Income Fund
6.
Franklin Diversified Dynamic Fund
49. Franklin Technology Fund
7.
Franklin Euro Government Bond Fund
50. Franklin U.S. Dollar Liquid Reserve Fund
8.
Franklin Euro High Yield Fund
51. Franklin U.S. Equity Fund
9.
Franklin Euro Short Duration Bond Fund
52. Franklin U.S. Government Fund
10. Franklin Euro Short-Term Money Market Fund
53. Franklin U.S. Low Duration Fund
11. Franklin European Corporate Bond Fund
54. Franklin U.S. Opportunities Fund
12. Franklin European Dividend Fund
55. Franklin World Perspectives Fund
13. Franklin European Growth Fund
56. Templeton Africa Fund
14. Franklin European Income Fund
57. Templeton Asian Bond Fund
15. Franklin European Small-Mid Cap Growth Fund
58. Templeton Asian Growth Fund
16. Franklin European Total Return Fund
59. Templeton Asian Smaller Companies Fund
17. Franklin Flexible Alpha Bond Fund
60. Templeton BRIC Fund
18. Franklin GCC Bond Fund
61. Templeton China Fund
19. Franklin Global Aggregate Bond Fund
62. Templeton Eastern Europe Fund
20. Franklin Global Aggregate Investment Grade Bond Fund
63. Templeton Emerging Markets Balanced Fund
21. Franklin Global Convertible Securities Fund
64. Templeton Emerging Markets Bond Fund
22. Franklin Global Equity Strategies Fund
65. Templeton Emerging Markets Fund
23. Franklin Global Fundamental Strategies Fund
66. Templeton Emerging Markets Local Currency Bond Fund
24. Franklin Global Growth Fund
67. Templeton Emerging Markets Smaller Companies Fund
25. Franklin Global Listed Infrastructure Fund
68. Templeton Euroland Fund
26. Franklin Global Multi-Asset Income Fund
69. Templeton European Fund
27. Franklin Global Real Estate Fund
70. Templeton Frontier Markets Fund
28. Franklin Global Small-Mid Cap Growth Fund
71. Templeton Global Balanced Fund
29. Franklin Gold and Precious Metals Fund
72. Templeton Global Bond (Euro) Fund
30. Franklin High Yield Fund
73. Templeton Global Bond Fund
31. Franklin Income Fund
74. Templeton Global Currency Fund
32. Franklin India Fund
75. Templeton Global Equity Income Fund
33. Franklin Japan Fund
76. Templeton Global (Euro) Fund (to be renamed Templeton
34. Franklin K2 Alternative Strategies Fund
Global Climate Change Fund effective March 5, 2018)
35. Franklin K2 Global Macro Opportunities Fund
77. Templeton Global Fund
36. Franklin K2 Long Short Credit Fund
78. Templeton Global High Yield Fund
37. Franklin MENA Fund
79. Templeton Global Income Fund
38. Franklin Mutual European Fund
80. Templeton Global Smaller Companies Fund
39. Franklin Mutual Global Discovery Fund
81. Templeton Global Total Return Fund
40. Franklin Mutual U.S. Value Fund (previously named
82. Templeton Growth (Euro) Fund
Franklin Mutual Beacon Fund)
83. Templeton Korea Fund
41. Franklin Natural Resources Fund
84. Templeton Latin America Fund
42. Franklin NextStep Balanced Growth Fund
85. Templeton Thailand Fund
43. Franklin NextStep Conservative Fund
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FRANKLIN TEMPLETON INVESTMENT FUNDS IMPORTANT INFORMATION
If you are in any doubt about the contents of this prospectus (the "Prospectus"), you should consult your bank, stockbroker, solicitor,
accountant or other financial advisor. No one is authorised to give any information other than that contained in this Prospectus or in any of
the documents referred to herein.
The Company
The Company is incorporated in Luxembourg under the laws of the Grand Duchy of Luxembourg as a société anonyme and qualifies as a
société d'investissement à capital variable ("SICAV").
The Company is registered on the official list of undertakings for collective investment in transferable securities pursuant to Part I of the
Luxembourg law of 17 December 2010 relating to undertakings for collective investment, as may be amended from time to time (the "Law
of 17 December 2010"). The Company qualifies as an Undertaking for Collective Investment in Transferable Securities ("UCITS") under
Directive 2009/65/EC of the European Parliament and of the Council of 13 July 2009, as amended.
The Company has appointed Franklin Templeton International Services S.à r.l., société à responsabilité limitée with its registered office at
8A, rue Albert Borschette, L-1246 Luxembourg, Grand-Duchy of Luxembourg as Management Company to provide investment
management, administration and marketing services to the Company with the possibility to delegate part or all of such services to third-
parties.
The Company has obtained recognition for marketing its Shares in various European countries (in addition to the Grand Duchy of
Luxembourg): Austria, Belgium, the Republic of Cyprus, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Gibraltar,
Greece, Hungary, Ireland, Italy, Latvia, Lithuania, The Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden and the
United Kingdom. The registration of the Shares of the Company in these jurisdictions does not require any authority to approve or
disapprove the adequacy or accuracy of this Prospectus or the securities portfolios held by the Company. Any statement to the contrary is
unauthorised and unlawful.
The distribution of this Prospectus and the offering of the Shares may be restricted in certain other jurisdictions. It is the responsibility of any
persons wishing to make an application for Shares pursuant to this Prospectus to inform themselves of and to observe all applicable laws and
regulations of any relevant jurisdictions. Attention of Investors is also drawn to the fixed amount which may be levied on transactions by
Distributors, local paying agents and Correspondent Banks established in certain jurisdictions such as Italy. Prospective subscribers for
Shares should make themselves aware of the legal requirements with respect to such application and of any applicable taxes in the countries
of their respective citizenship, residence or domicile.
The Company is a recognised collective investment scheme under section 264 of the Financial Services Markets Act 2000 of the United
Kingdom.
The Company may apply for registration of the Shares in various other legal jurisdictions worldwide.
The Company does not have any debentures, loans, borrowings or indebtedness in the nature of liabilities under acceptances or acceptance
credits, mortgage hire purchase commitments, guarantees or other material contingent liabilities.
The Company is not registered in the United States of America under the Investment Company Act of 1940. The Shares of the Company
have not been registered in the United States of America under the Securities Act of 1933. The Shares made available under this offer may
not be directly or indirectly offered or sold in the United States of America or any of its territories or possessions or areas subject to its
jurisdiction or to or for the benefit of residents thereof, unless pursuant to an exemption from registration requirements available under US
law, any applicable statute, rule or interpretation. US Persons are not eligible to invest in the Company. Prospective Investors shall be
required to declare that they are not a US Person and are not applying for Shares on behalf of any US Person. In the absence of written notice
to the Company to the contrary, if a prospective investor provides a non-US address on the application form for investment in the Company,
this will be deemed to be a representation and warranty from such investor that he/she/it is not a US Person and that such investor will
continue to be a non-US Person unless and until the Company is otherwise notified of a change in the investor's US Person status.
The term "US Person" shall mean any person that is a United States person within the meaning of Regulation S under the United States
Securities Act of 1933 or as defined by the U.S. Commodity Futures Trading Commission for this purpose, as the definition of such term
may be changed from time to time by legislation, rules, regulations or judicial or administrative agency interpretations.
The Company is not registered in any provincial or territorial jurisdiction in Canada and Shares of the Company have not been qualified for
sale in any Canadian jurisdiction under applicable securities laws. The Shares made available under this offer may not be directly or
indirectly offered or sold in any provincial or territorial jurisdiction in Canada or to or for the benefit of residents thereof, unless such
Canadian resident is, and will remain at all times during their investment, a "permitted client" as that term is defined in Canadian securities
legislation. Prospective Investors may be required to declare that they are not a Canadian resident and are not applying for Shares on behalf
of any Canadian residents. If an Investor becomes a Canadian resident after purchasing Shares of the Company, the Investor will not be able
to purchase any additional Shares of the Company.
Statements made in this Prospectus are based on the laws and practice currently in force in the Grand Duchy of Luxembourg, and are subject
to changes in those laws and practice.
This Prospectus does not constitute an offer to anyone or solicitation by anyone in any jurisdiction in which such offer or solicitation is not
lawful or in which the person making such offer or solicitation is not qualified to do so.
The price of Shares in the Company and the income from them may go down as well as up and an Investor may not get back the amount
invested. Attention of Investors is more specifically drawn to the fact that investment by the Company, as defined hereafter, may trigger
specific risks, as more fully described under section "Risk Considerations".
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The most recent audited annual and unaudited semi-annual reports of the Company, which are available free of charge and upon request at
the registered office of the Company and the Management Company, form an integral part of this Prospectus.
Investors desiring to receive further information regarding the Company (including the procedures relating to complaints handling, the
strategy followed for the exercise of the voting rights of the Company, the policy for placing orders to deal on behalf of the Company with
other entities, the best execution policy as well as the arrangements relating to the fee, commission or non-monetary benefit in relation with
the investment management and administration of the Company) or wishing to make a complaint about the operation of the Company should
contact the Management Company client service department, 8A, rue Albert Borschette, L-1246 Luxembourg or their local servicing office.
The Company and the Management Company draw the Investors' attention to the fact that any Investor will only be able to fully exercise
her/his Investor's rights directly against the Company, notably the right to participate in general meetings of the Shareholders, if the Investor
is registered himself and in his own name in the register of Shareholders of the Company.
If an Investor invests in the Company through an intermediary investing in the Company in his own name but on behalf of the Investor, it
may not always be possible for the Investor to exercise certain Shareholder rights directly against the Company. Investors are advised to take
advice on their rights. The Management Company, acting as principal distributor of the Company (the "Principal Distributor"), will also
organise and oversee the marketing and distribution of the Shares. The Principal Distributor may engage sub-distributors, intermediaries,
brokers and/or professional investors (who may be affiliates of Franklin Templeton Investments and who may receive part of the
maintenance charges, servicing charges or other similar fees).
Moreover, the Management Company decided that, when required by the relevant legal, regulatory and/or tax environment applicable to
some particular countries where the Shares of the Company are or will be offered, the duties of organising and overseeing the marketing and
distribution of Shares, or the distribution of Shares itself, currently dedicated on a worldwide basis to the Principal Distributor, may be
allocated to such other entities (who may be affiliates of Franklin Templeton Investments) directly appointed by the Management Company
from time to time.
Subject to the provisions of the agreements in place with the Management Company, such other parties may in turn engage sub-distributors,
intermediaries, brokers and/or professional investors (who may be affiliates of Franklin Templeton Investments). Notwithstanding the
foregoing, the Management Company will also monitor the appointment and activities of the sub-distributors, intermediaries, brokers and/or
professional investors as part of its activity as Principal Distributor.
Distributors, sub-distributors, intermediaries and Brokers/Dealers engaged in the activity of marketing and distributing the Shares shall abide
by and enforce all the terms of this Prospectus including, where applicable, the terms of any mandatory provisions of Luxembourg laws and
regulations relating to the distribution of the Shares. They shall also abide by the terms of any laws and regulations applicable to them in the
country where their activity takes place, including, in particular, any relevant requirements to identify and know their clients. They must not
act in any way that would be damaging or onerous on the Company and/or the Management Company in particular by submitting the
Company and/or the Management Company to regulatory, fiscal or reporting information it would otherwise not have been subject to. They
must not hold themselves out as representing the Company.
For the avoidance of doubt, Investors buying Shares or investing through such other parties (or through sub-distributors, intermediaries,
brokers/dealers and/or professional investors appointed by such other parties) will not be charged additional fees and expenses by the
Company or the Management Company.
Whenever applicable, all references in this Prospectus relating to the Principal Distributor should therefore also read as references to such
other parties appointed by the Management Company.
The Directors of the Company, whose names appear in section "Administrative Information", are responsible for the information contained
in this Prospectus. To the best of the knowledge and belief of the Directors (who have taken all reasonable care to ensure that such is the
case), the information contained in this Prospectus is in accordance with the facts and does not omit anything likely to affect the import of
such information. The Board of Directors accepts responsibility accordingly.
Board of Directors' Powers
The Board of Directors is responsible for the Company's management and administration and has delegated its day-to-day- management and
administration to the Management Company in accordance with the Articles and the Management Company services agreement.
The Board of Directors is responsible for the overall investment policy, objectives and management of the Company and its Funds. The
Board of Directors may authorise the creation of additional Funds in the future with different investment objectives, subject to the
amendment of this Prospectus.
The Board of Directors may decide to offer or issue in any Fund any of the existing Share Classes, which terms and conditions are more fully
described in the section "Share Classes" and "Investment Management Fees", including Alternative Currency Classes, Hedged Share Classes
as well as Share Classes with different dividend policies. Investors will be informed of the issue of such Shares upon publication of the Net
Asset Value per Share of such Share Class as described in the section "Publication of Share Prices".
If the total value of the Shares of any Fund is at any time below USD 50 million, or the equivalent thereof in the currency of the relevant
Fund, or if a change in the economic or political situation relating to the Fund concerned would justify such liquidation or if it is required by
the interests of the Shareholders of the Fund concerned, the Board of Directors may decide to redeem all the Shares outstanding of such
Fund. Notice of such redemption will be sent to the registered Investors by mail. The price at which Shares will be redeemed will be based
on the Net Asset Value per Share of such Fund determined upon realisation of all assets attributable to such Fund. Further details are
provided in Appendix D.
The Board of Directors reserves the right at any time, without notice, to discontinue the issue or sale of Shares pursuant to this Prospectus.
Shares offered or in issue in the various Funds, Classes and currencies are more fully described in the section "Share Classes".
7708916_14
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The assets of each Fund are exclusively available to satisfy the rights of Shareholders and of creditors, which have arisen in connection with
the creation, operation or liquidation of that Fund. For the purpose of the relations as between Shareholders, each Fund will be deemed to be
a separate entity.
The determination of the prices of Shares of each Fund may be suspended during a period when trading on a relevant stock exchange is
substantially restricted or when other specified circumstances exist which make it impracticable to dispose of or value any of the Company's
investments (see Appendix D). No Share may be issued, redeemed or switched during a period of suspension. A notice of any suspension
shall be published, if appropriate, in such newspapers as the Board of Directors and/or the Management Company may from time to time
determine.
The distribution of this Prospectus in some jurisdictions may require the translation of this Prospectus into the languages specified by the
regulatory authorities of those jurisdictions. In case of inconsistency between the translated and the English version of this Prospectus, the
English version shall prevail.
The Prospectus shall be kept up-to-date and shall be made available on the Internet site: www.franklintempleton.lu and may be found on the
Internet site of Franklin Templeton Investments' Distributors and can be obtained free of charge and upon request at the registered office of
the Company and the Management Company.
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CONTENTS
DEFINITIONS............................................................................................................................................................................................................ 7
ADMINISTRATIVE INFORMATION .................................................................................................................................................................. 12
FUND INFORMATION, OBJECTIVES AND INVESTMENT POLICIES ....................................................................................................... 19
RISK CONSIDERATIONS ................................................................................................................................................................................... 106
MANAGEMENT COMPANY .............................................................................................................................................................................. 124
INVESTMENT MANAGERS ............................................................................................................................................................................... 125
DEPOSITARY........................................................................................................................................................................................................ 125
PUBLICATION OF SHARE PRICES ................................................................................................................................................................. 126
INVESTOR GENERAL INFORMATION .......................................................................................................................................................... 126
SHARE CLASSES.................................................................................................................................................................................................. 131
HOW TO PURCHASE SHARES.......................................................................................................................................................................... 136
HOW TO SELL SHARES ..................................................................................................................................................................................... 138
HOW TO SWITCH SHARES............................................................................................................................................................................... 139
HOW TO TRANSFER SHARES.......................................................................................................................................................................... 141
DIVIDEND POLICY ............................................................................................................................................................................................. 142
MANAGEMENT COMPANY REMUNERATION ............................................................................................................................................ 143
INVESTMENT MANAGEMENT FEES.............................................................................................................................................................. 143
OTHER COMPANY CHARGES AND EXPENSES........................................................................................................................................... 143
SERVICING AND MAINTENANCE CHARGES .............................................................................................................................................. 144
TAXATION OF THE COMPANY ....................................................................................................................................................................... 144
WITHHOLDING TAX .......................................................................................................................................................................................... 145
TAXATION OF INVESTORS .............................................................................................................................................................................. 145
FATCA.................................................................................................................................................................................................................... 145
MEETINGS AND REPORTS ............................................................................................................................................................................... 146
INVESTOR VOTING RIGHTS............................................................................................................................................................................ 146
DOCUMENTS AVAILABLE FOR INSPECTION............................................................................................................................................. 146
APPENDIX A STANDARD DEALING CUT-OFF TIMES ............................................................................................................................. 147
APPENDIX B INVESTMENT RESTRICTIONS............................................................................................................................................... 149
APPENDIX C ADDITIONAL INFORMATION................................................................................................................................................ 160
APPENDIX D DETERMINATION OF THE NET ASSET VALUE OF SHARES ......................................................................................... 161
APPENDIX E FRANKLIN TEMPLETON INVESTMENT FUNDS CHARGES, FEES AND EXPENSES ................................................ 164
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DEFINITIONS
"Accumulation Share"
a Share which accumulates the income attributable to a Share so that it is reflected in
the increased value of that Share
"Alternative Currency Class"
a Share Class in an alternative currency to the base currency of the Fund
"Alternative Fund"
an Alternative Fund's assets are allocated across alternative strategies which generally
relate to investments in non-traditional asset classes or non-traditional investment
strategies, including long short equity, event driven, relative value, and global macro
"Annual General Meeting"
the annual general meeting of the Shareholders of the Company
"Articles"
the articles of incorporation of the Company as amended from time to time
"Balanced Fund"
a Balanced Fund (also known as mixed fund) typically invests in more than one type
of asset, such as equities or debt securities (including, but not limited to, bonds). The
proportion of a Balanced Fund invested in each type of asset (the asset allocation) may
be fixed for some Funds and flexible for others. Where the asset allocation is flexible,
the Investment Manager will make adjustments to the amount invested in each type of
asset depending on its view of their future prospects. If permitted by its investment
policy, a Balanced Fund may from time to time take exposure to only one type of
assets depending on market opportunities
"Board of Directors"
the board of directors of the Company
"Broker/Dealer"
financial intermediary or advisor
"Business Day"
a day on which the banks in the relevant jurisdiction(s) are normally open for business
"Commitment Approach"
an approach for measuring risk or "Global Exposure" that factors in the market risk of
the investments held in a UCITS sub-fund, including risk associated with any financial
derivatives instruments held by converting the financial derivatives into equivalent
positions in the underlying assets of those derivatives (sometimes referred to as
"notional exposure"), after netting and hedging arrangements where the market value
of underlying security positions may be offset by other commitments related to the
same underlying positions. Global Exposure using the Commitment Approach is
expressed as an absolute percentage of total net assets. Under Luxembourg Law,
Global Exposure related solely to financial derivatives may not exceed 100% of total
net assets, and Global Exposure overall (including market risk associated with the sub-
funds' underlying investments, which by definition make up 100% of total net assets)
may not exceed 200% of total net assets (excluding the 10% that a UCITS may
borrow on a temporary basis for short-term liquidity)
"Company"
Franklin Templeton Investment Funds
"Contingent Deferred Sales Charge" or
a fee imposed when shares are sold, typically during the first few years of ownership
"CDSC"
"Contract Note"
see sub-section "Contract Note" under section Investor General Information
"Correspondent Bank"
a bank that, in its own country, handles the business on behalf of a bank located in
another country
"CPF"
Central Provident Fund
"CPF Board"
Central Provident Fund Board, a statutory body incorporated in Singapore and
constituted under the Central Provident Fund Act
"CPF Investor"
a purchaser of Shares in the Company using his CPF savings, subject to such terms
and conditions set out in the Singapore prospectus and terms and conditions as may be
imposed by the CPF Board from time to time
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"CSSF"
Commission de Surveillance du Secteur Financier The regulatory and supervisory
authority of the Company in Luxembourg
"Dealing Cut-Off Time"
the time prior to which a transaction instruction must be received in order for the
transaction to be processed at the current day's NAV as further described in Appendix
A of this Prospectus
"Dealing Day"
any Valuation Day which is also a Business Day. Dealing Day restrictions in any
jurisdiction may be obtained upon request
"Depositary"
J.P. Morgan Bank Luxembourg S.A., a Luxembourg-based bank, has been appointed
by the Company as the Company's depositary bank
"Directors"
the members of the Board of Directors
"Distributor"
an entity or person duly appointed by the Management Company, acting as Principal
Distributor, to distribute or arrange for the distribution of Shares
"Distribution Share"
a Share which normally distributes its net investment income, unless otherwise stated
in the relevant Fund policy
"EMU"
Economic and Monetary Union
an Equity Fund's assets are mainly or solely invested in or exposed to equity securities
"Equity Fund"
issued by companies, which are listed and traded on stock exchanges (equities). Equity
Funds can either invest globally (global equity Funds) or be concentrated on specific
countries (country-specific Funds), geographic regions (regional Funds) or sectors
(sector-specific Funds)
"ETF"
Exchange Traded Fund
"EU"
European Union
"European Savings Directive"
the directive 2003/48/EC on the taxation of savings income in the form of interest
payments adopted by the Council of the European Union on 3 June 2003, as amended
"Expected Level of Leverage"
Funds which measure Global Exposure using a Value-at-Risk (VaR) approach
disclose their Expected Level of Leverage. The Expected Level of Leverage is not a
regulatory limit and should be used for indicative purposes only. The level of leverage
in the Fund may be higher or lower than this expected level at any time as long as the
Fund remains in line with its risk profile and complies with its relative VaR limit. The
annual report will provide the actual level of leverage over the past period and
additional explanations on this figure. The leverage is a measure of the aggregate
derivative usage and therefore does not take into account other physical assets directly
held in the portfolio of the relevant Funds. The Expected Level of Leverage is
measured as the Sum of Notionals (see definition for Sum of Notionals)
"FATCA"
Foreign Account Tax Compliance Act
"FCM"
Futures Commission Merchant, an individual or organization which does both of the
following: 1) solicits or accepts offers to buy or sell futures contracts, options on
futures, off exchange foreign exchange contracts or swaps and 2) accepts money or
other assets from customers to support such orders
"FFI"
a Foreign Financial Institution as defined in FATCA
"Fixed Income Fund"
a Fixed Income Fund's assets are mainly or solely invested in or exposed to debt
securities (including, but not limited to, bonds) which pay a fixed or variable rate of
interest and which may be issued by companies, national or local governments and/or
international organisations which are supported by several governments (such as the
World Bank). Fixed Income Funds may invest globally or focus on a geographic
region or country and may invest in bonds issued by different types of issuer or focus
on just one (such as governments)
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"Franklin Templeton Investments"
FRI and its subsidiaries and affiliates worldwide
"FRI"
Franklin Resources Inc., One Franklin Parkway, San Mateo, California, a holding
company for various subsidiaries that, together, are referred to as Franklin Templeton
Investments
"Fund"
a distinct pool of assets and liabilities within the Company, distinguished mainly by its
specific investment policy and objective as created from time to time
"Global Exposure"
refers to a measure of the risk exposure for a UCITS sub-fund that factors in the
market risk exposure of underlying investments, as well as the incremental market risk
exposure and implied leverage associated with financial derivative instruments if and
where held in the portfolio. Under Luxembourg regulation, UCITS are required to
measure such risk exposure using either a "Commitment Approach" or a "Value-at-
Risk (VaR) Approach" see separate definitions for these terms.
"Holding"
Shares held in a single Share Class within the Investor Portfolio
"Institutional Investor"
as defined from time to time by the guidelines or recommendations of the competent
Luxembourg financial supervisory authority within the meaning of article 174 of the
Law of 17 December 2010. Please refer to "Share Classes" section for the list of
qualifying Institutional Investors
"Investment Fund(s) "
a UCITS or other UCI in which the Funds may invest, as determined in the investment
restrictions described in Appendix B
"Investment Managers"
companies appointed by the Management Company and which provides day-to-day
management in respect of the investment and re-investment of the assets of the Funds
"Investor"
a purchaser of Shares in the Company either directly or through a Nominee structure
"Investor Portfolio" or sometimes referred to as a portfolio of Holdings in the name of the registered Investor(s)
"Portfolio"
"Investor Portfolio Number"
personal number attributed to an Investor Portfolio upon acceptance of an application
"ISIN Code"
International Securities Identification Number that uniquely identifies a Fund / Share
Class
"KIID"
a Key Investor Information Document within the meaning of article 159 of the Law of
17 December 2010
"Law of 17 December 2010"
Luxembourg Law of 17 December 2010 relating to undertakings for collective
investment, as may be amended from time to time
"Liquid Reserve Fund"
a Liquid Reserve Fund invests solely in very short-term debt securities known as
money market instruments, cash and deposits. Liquid Reserve Funds will typically
invest in securities issued in a single currency such as US dollar or euro in order to
ensure risk is kept to a minimum. Liquid Reserve Funds are typically categorised as
regular or short-term. The latter will invest only in the shortest term and highest
quality securities and as such are very low risk. Regular Liquid Reserve Funds have
more flexibility to invest in higher returning securities but are more likely to be
subject to small fluctuations in value
"Mainly"
please refer to the "primarily" definition below
"Management Company"
Franklin Templeton International Services S.à r.l. or, where relevant, the members of
the Management Company's board of managers
"Money Market Fund"
a Liquid Reserve Fund that complies with the CESR guidelines CESR/10-049 dated
19 May 2010
7708916_14
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"Multi-Asset Fund"
a Multi-Asset Fund typically invests in multiple types of assets, including but not
limited to equities, debt securities, cash, real estate, commodities, etc.. The proportion
of a Multi-Asset Fund invested in each type of asset (the asset allocation) may be
fixed for some Funds and flexible for others. Where the asset allocation is flexible, the
Investment Manager will make adjustments to the amount invested in each type of
asset depending on its view of their future prospects
"Net Asset Value per Share" or "NAV"
the value per Share of any Class of Share determined in accordance with the relevant
provisions described under the heading "Determination of Net Asset Value of Shares"
as set out in Appendix D
"Nominee"
an institution which purchases and holds Shares in its own name and on behalf of an
Investor
"OECD"
Organisation for Economic Cooperation and Development
"Omnibus"
an institution which holds assets within a Portfolio or holding for a number of
underlying Investors
"Physical Bearer Shares"
Shares which historically were issued in non-registered form by the Company. Title to
such Shares is given to the holder of the physical bearer Share certificate. The
Company no longer issues Shares in physical bearer form.
"Primarily", "principally" or "mainly"
when a Fund investment policy states that investments will be made "primarily",
"principally" or "mainly" in a particular type of security or in a particular country,
region or industry, it generally means that at least two-thirds of this Fund's net assets
(without taking into account ancillary liquid assets) shall be invested into such
security, country, region or industry
"Principal Distributor"
the Management Company acting as principal distributor of the Company
"Purchase"
when the Prospectus states "purchase" or "how to purchase shares", it generally refers
to a subscription of Shares
"RMB"
the official currency of mainland China to be read as a reference to onshore
Renminbi (CNY) and/or offshore Renminbi (CNH) as the context requires
"Sale" or "to sell"
when the prospectus states « a sale » of shares or « how to sell shares », it generally
refers to a redemption of Shares
"SICAV"
Société d'Investissement à Capital Variable
"Share"
a Share of any Share Class in the capital of the Company
"Share Class"
a class of Shares with a specific fee structure, currency of denomination or other
specific feature
"Shareholder"
a holder of Shares in the Company
"Sum of Notionals"
a measure of the level of leverage as calculated by taking the sum of notionals of all
financial derivative contracts entered into by the Fund expressed as a percentage of the
Fund's Net Asset Value. The Global Exposure to the underlying investments (i.e. the
100% of Global Exposure represented by actual net assets) is not included in the
calculation, only the incremental Global Exposure from the financial derivative
contracts being taken into account for the purpose of calculation of the Sum of
Notionals.
This methodology does not:
- make a distinction between financial derivative instruments that are used for
investment or hedging purposes. As a result, strategies that aim to reduce risk will
contribute to an increased level of leverage for the Fund.
- allow the netting of derivative positions. As a result, derivative roll-overs and
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