The fund seeks to maximize income to support monthly distributions while maintaining the prospects for capital appreciation. The fund invests in a diversified portfolio of stocks and debt securities and employs a managed distribution policy that is intended to provide level monthly payments.
Table Legend
Historical Style Current Style | Historical Style | Large | Size | |
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Medium | ||||
Small | ||||
Value | Blend | Growth | ||
Style |
Manage Income Distributions. We set the fund’s fixed monthly
income distribution rate each year based on the market environment and our outlook for income potential.
Diversify Holdings. We aim to create a diversified portfolio of
stocks and fixed income securities to support monthly income distributions.
Research and Evaluate. We conduct a bottom-up assessment of company’s security prices and income potential relative to our own long-term expectations and portfolio goals.
Find the Right Mix. We actively seek an optimal mix of equity and fixed income investments by evaluating changing economic, market and industry conditions.
Fixed monthly income distributions, which are pre-determined for each calendar year.
Broadly diversified and actively managed to adapt to changing markets.
Experienced management team culled from Franklin Templeton Investment Solutions, Franklin Equity Group, and Franklin Templeton Fixed Income.
Performance data 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.
Effective 3/1/19, Franklin Balanced Fund repositioned to become an income strategy. The fund changed its name to Franklin Managed Income Fund, as well as its dividend policy, investment management fees and primary benchmark.
Managed Distribution Policy Risks - The Franklin Managed Income Fund is not guaranteed to achieve its investment goal of seeking to maximize income to support monthly distributions, while maintaining the prospects for capital appreciation. In addition, some of its distributions may be treated in part as a return of capital which will decrease shareholders' cost basis in the fund and affect the amount of any capital gain or loss that they realize when selling or exchanging fund shares. The annual payout rate may be adjusted higher or lower from year to year, and could vary substantially over time. It is possible for the fund to suffer substantial investment losses and simultaneously experience additional asset reductions as a result of its distributions to shareholders under the managed distribution policy. Investors who hold the fund within a tax-advantaged retirement account should consult their tax advisors to discuss tax consequences of receiving cash distributions. In addition, use of the fund or election of the option to receive distribution payments in cash may be restricted in certain retirement plans by the terms of the governing plan documents and/or the discretion of the plan administrator. Investors are strongly advised to consult with their financial professional for assistance before selecting the fund, based on their goals and personal situations, including time horizon, income needs, risk tolerance, and tax bracket. These and other risks are described more fully in the fund's prospectus.