Fund Description

The fund seeks to provide a high level of current income. Its secondary goal is capital appreciation over the long term. The fund is a multi-sector income fund that invests primarily in U.S. and foreign debt securities.

Strategy Statement

"The fund's broad and flexible strategy provides exposure to domestic and international fixed income markets, allowing us to identify bonds with the best prospects for income and capital appreciation. "

Management

Sonal Desai, Ph.D

Sonal Desai, Ph.D

  • Joined Franklin Templeton in 2009
  • Managed Fund Since 2018
Roger Bayston, CFA

Roger Bayston, CFA®

  • Joined Franklin Templeton in 1991
  • Managed Fund Since 2015
Patricia O'Connor, CFA

Patricia O'Connor, CFA®

  • Joined Franklin Templeton in 1997
  • Managed Fund Since 2016

INVESTMENT PHILOSOPHY, STRATEGY AND APPROACH

Investment Philosophy

We believe a diversified set of low-correlated strategies and positions has the potential to generate attractive risk-adjusted returns over a full market cycle. Our global aggregate framework, significant bottom-up resources, and integrated quantitative group help us to identify and exploit market inefficiencies in a disciplined manner that incorporates our risk management techniques.

 

Investment Process

Truly Flexible Strategy

  • Diversification across investment-grade and below investment-grade sectors, and global bond and currency markets provides the potential for risk reduction through a combination of low-correlated sectors and strategies.

“Best of Best” Investment Approach

  • Leverages expertise across portfolio management and research teams aimed at providing attractive investment ideas within each sector by selecting investment ideas that we believe to be the best among those generated by the sector teams.

Depth and Breadth of Experience

  • Global multi-sector, integrated platform dedicated to fixed income provides the foundation for pursuing potential alpha generating strategies around the world and across entire fixed income spectrum.

Strategic Balance

  • Seeks to balance income opportunities and capital appreciation potential.

Rating

Overall Morningstar Rating As of 07/31/2019

Rating Category: Multisector Bond

Morningstar
The fund's overall Morningstar Rating measures risk-adjusted returns and is derived from a weighted average of the performance figures associated with its 3-, 5- and 10-year (if applicable) rating metrics.

Historical Morningstar Rating As of 07/31/2019

Years Ratings Funds
in category
3
2 Stars
302
5
2 Stars
246
10
2 Stars
133

Morningstar Style Box As of06/30/2019

Strategy, Benefits, Results

Strategy

  • Our multi-sector income fund invests in U.S. and foreign debt securities.
  • Our research-driven, value-oriented approach helps to identify bonds with the best prospects for income and capital appreciation.
  • We utilize the broad expertise of the 100+ members of the Franklin Templeton Fixed Income Group®.

Benefits

  • Investment Selection Flexibility. Ability to invest in multiple types of fixed income securities, focusing on the top investment ideas available within each sector.
  • Sector Allocation. Valuations of each key fixed income sector considered in combination with economic outlook to strategically allocate assets to the most opportune advantage.

Selling The Fund

  1. Discuss the extensive diversification benefits of the fund and its strong historical performance record.
  2. Mention our flexibility to implement "best of best" ideas from all major fixed-income sectors.
  3. Highlight our ongoing adherence to stringent risk-management disciplines.

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