Franklin International Small Cap Fund

This fund or share class has been closed to new investors.

This fund or share class has been closed to new investors.

Fund Description

The fund seeks long-term capital appreciation by investing predominantly in the equity securities of smaller international companies that the managers believe have the potential to generate attractive returns with lower downside risk.

Strategy Statement

"Our investment philosophy is focused on achieving long-term capital appreciation from investments in smaller capitalization growth stocks, while managing risk through a disciplined investment process."


Ed Lugo, CFAμ80241

Ed Lugo, CFAμ80241

  • Joined Franklin Templeton in 1995
  • Managed Fund Since 2006
Pankaj Nevatia, CFAμ121299

Pankaj Nevatia, CFAμ121299

  • Joined Franklin Templeton in 2010
  • Managed Fund Since 2018



Overall Morningstar Rating As of 01/31/2020

Rating Category: Foreign Small/Mid Blend

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 01/31/2020

Years Ratings Funds
in category
1 Stars
1 Stars
3 Stars

Morningstar Style Box As of12/31/2019

Strategy, Benefits, Results


  • We seek to identify contributors to the fund through an economic cycle by investing in overlooked and undervalued growth companies.
  • Our fund managers use several valuation techniques to filter through the near-term noise and focus on analysis five years out.
  • Our roundtable discussions seek to ensure that the expert insights of all team members are applied to each investment idea.


  • Small-Cap Expertise. Our experienced investment team has extensive small-cap investment experience.
  • Risk Management. We manage risk through a disciplined, bottom-up investment process.
  • Diversification. Our fund may display broad country and sector exposures while also allocating a portion of the portfolio to emerging markets.

Selling The Fund

  1. Discuss the commitment to diversification through broad country and sector exposures.

  2. Emphasize that the fund's risk management is achieved through a disciplined, bottom-up investment process.

  3. Highlight the experienced portfolio management team and expertise in small-cap investing.