Franklin Templeton Investments

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Franklin Strategic Mortgage Portfolio  – 
StrMPort : Newspaper symbol FSMIX : NASDAQ symbol Fixed Income : Fund Category
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Distribution Information
Distribution Schedule
Monthly
This fund is a daily accrual fund.  
Yields   View Performance
30-Day Standardized Yield1,2
as of August 31, 2010
(updated monthly) 		3.5%
Performance data quoted represents past performance, which does not guarantee future results. Current performance may differ from figures shown. Investment return and principal value will fluctuate with market conditions, and you may have a gain or loss when you sell your shares.
Distribution Rate at POP
as of September 09, 2010
(updated daily) 		4.68%
Distribution Rate at NAV
as of September 09, 2010
(updated daily) 		4.88%
 
Year-to-Date Distributions (per share) as of 09/10/2010
(updated monthly)
Distribution amounts may be estimates.
To view historical distributions, choose a year from the drop-down menu.
January
Amount3
Record Date Ex-Date Payable Date Reinvestment Date Reinvestment Price
Income distribution per share $0.038390 – – 01/29/2010 01/29/2010 $8.85
February
Amount3
Record Date Ex-Date Payable Date Reinvestment Date Reinvestment Price
Income distribution per share $0.040898 – – 02/26/2010 02/26/2010 $8.86
March
Amount3
Record Date Ex-Date Payable Date Reinvestment Date Reinvestment Price
Income distribution per share $0.043807 – – 03/31/2010 03/31/2010 $8.85
April
Amount3
Record Date Ex-Date Payable Date Reinvestment Date Reinvestment Price
Income distribution per share $0.039097 – – 04/30/2010 04/30/2010 $8.91
May
Amount3
Record Date Ex-Date Payable Date Reinvestment Date Reinvestment Price
Income distribution per share $0.035830 – – 05/28/2010 05/28/2010 $8.95
June
Amount3
Record Date Ex-Date Payable Date Reinvestment Date Reinvestment Price
Income distribution per share $0.043539 – – 06/30/2010 06/30/2010 $9.03
July
Amount3
Record Date Ex-Date Payable Date Reinvestment Date Reinvestment Price
Income distribution per share $0.036085 – – 07/30/2010 07/30/2010 $9.08
August
Amount3
Record Date Ex-Date Payable Date Reinvestment Date Reinvestment Price
Income distribution per share $0.038501 – – 08/31/2010 08/31/2010 $9.08
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Important Legal Information

The 30 day standardized yield and distribution rates reflect any applicable expense reductions, without which the results for those impacted funds would have been lower.

For more information on any of our funds, contact your financial advisor or download a free prospectus. Investors should carefully consider a fund's investment goals, risks, sales charges and expenses before investing. The prospectus contains this and other information. Please read the prospectus carefully before investing or sending money.

The share price and yield of Franklin Strategic Mortgage Portfolio will be affected by interest rate movements and mortgage prepayments. During periods of declining interest rates, principal prepayments tend to increase as borrowers refinance their mortgages at lower rates; therefore the fund may be forced to reinvest returned principal at lower interest rates, reducing income. Bond prices generally move in the opposite direction of interest rates. Thus, as the prices of bonds in the fund adjust to a rise in interest rates, the fund's share price may decline. These and other risk considerations are discussed in the fund's prospectus.

Footnotes

  1. SEC Yield reflects an estimated yield to maturity. It should be regarded as an estimate of the fund's rate of investment income, and it may not equal the fund's actual income distribution rate.
  2. The 30 day standardized yield reflects an estimated yield to maturity. It should be regarded as an estimate of the fund's rate of investment income, and it may not equal the fund's actual income distribution rate, which reflects the fund's past dividends paid to shareholders. The 30 day standardized yield and distribution rate with sales charges or at POP (public offering price) take into account the specific share class' public offering prices on the stated "as of" date.
  3. All fund distributions will vary, depending upon current market conditions and past distributions are not indicative of future trends.

For U.S. residents only.