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Managed Fund Since 2018
Equity Active
MCSE Franklin Sustainable International Equity ETF
- Concentrated, quality growth stocks. Strives to provide long-term capital appreciation by investing in 20–40 equity and equity-related securities of foreign companies.
- High-conviction, flexible approach. Invests across various sectors, geographies and market caps, managing risk independently of any specific benchmark.
- Sustainability focus. Focuses on finding companies with a strong history of high and sustainable returns, identified through intensive proprietary fundamental research and ESG analysis.
Popular Documents
Upcoming fund liquidation
This fund is scheduled to be liquidated and dissolved at the close of market on or about January 16, 2026. In preparation for the liquidation, the fund will no longer accept creation orders after the close of market on December 19, 2025, and trading in the fund will be halted prior to market open on January 12, 2026. Shareholders may sell their shares in the fund on NASDAQ until the market close on January 9, 2026. Refer to the prospectus supplement for more information. These dates are subject to change. Any redemption may be considered a taxable event, and it is suggested that shareholders consult their tax professionals about any potential effects. Note: When the fund is in the process of liquidating its portfolio, which is anticipated to commence prior to January 9, 2026, the fund will hold cash and securities that may not be consistent with the fund’s investment goal and strategies.
Name change
Effective June 30, 2025, Martin Currie Sustainable International Equity ETF changed its name to Franklin Sustainable International Equity ETF. If you have any questions, please contact your financial professional or refer to the prospectus.
New Sub-Advisor Addition
This fund has entered into a new sub-advisor agreement with Franklin Templeton Investment Management Limited. Please refer to the Information Statement for more information.
Overview
Fund Facts
Fund description
The Fund seeks long-term capital appreciation. The Fund normally invests primarily in equity and equity-related securities of foreign companies that meet the sub-advisor's environmental, social and governance (ESG) criteria for the Fund. Subject to the ESG criteria, the Fund is generally unconstrained by any particular sector, geography or market capitalization.
- Benchmark
- MSCI All Country World ex-US Index-NR
- Fund Inception Date
- 11/30/2015
- Listing Exchange
- NASDAQ - XNAS
Identifiers
- Ticker
- MCSE
- CUSIP Code
- 35473P454
- ISIN Code
- US35473P4542
- Bloomberg Code
- MCSE US
Average Annual Total Returns As of 09/30/2025
- -6.24%1 Year
- 9.08%3 Years
- 0.75%5 Years
- —10 Years
- 5.40%Since Inception
11/30/2015
Performance data quoted represents past performance, which does not guarantee future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when sold or redeemed, may be worth more or less than the original cost. Current performance may be lower or higher than the figures shown.
Geographic Focus
As of 10/31/2025 % of Total (Updated Monthly)
Additional Fund Info
- Fiscal Year End
- March 31
- Listing Date
- 10/31/2022
- ETF Type
- Active
- Morningstar Category
- Foreign Large Growth
Trading Characteristics
- Shares Outstanding
- 366,807
- Daily Volume
- 6,072
- 20-Day Average Volume
- 2141.05
Manager and Commentary
About the Team
Franklin Equity Group
Growth equity managers with a focus on in-depth fundamental research, we offer expertise in managing global, U.S. and sector-specific strategies across the market capitalization spectrum. Our center of gravity in Silicon Valley allows us to follow companies across their private to public life cycles, developing deeper insights into future industry trends and identifying potential disruptors.
Commentary Highlights
September 30, 2025- Markets: Global equities registered strong gains in the third quarter of 2025, maintaining the upward momentum seen since the recovery from April’s tariff-related selloff. Despite some volatility during the quarter, particularly following US economic data releases, investors welcomed easing trade tensions and remained optimistic about artificial intelligence (AI) advancements. Central bank actions—notably the US Federal Reserve’s (Fed’s) policy interest-rate cut and its signaling of possible further monetary easing—supported market sentiment, while generally robust corporate earnings bolstered investor confidence. US stocks outperformed overall and both the S&P 500 and Nasdaq Composite climbed to new highs by the end of the period. In contrast, European equities lagged, hindered by political uncertainties. Emerging markets outperformed developed markets, largely due to significant gains in the Chinese technology sector, while globally growth stocks outpaced their value counterparts, reflecting heightened investor enthusiasm for technology-related stocks.
- Contributors: The largest contributors to performance included ASML, Taiwan Semiconductor Manufacturing Company (TSMC) and Alibaba.
- Detractors: The portfolio’s largest detractors from performance included Constellation Software, Sartorius Stedim Biotech and Novo Nordisk.
- Outlook: The macroeconomic outlook remains uncertain with potential slowdowns and mixed indicators. US inflation is expected to rise due to tariffs, potentially creating a scenario of lower growth and higher inflation. The Fed’s dovish stance on rate cuts may be limited by inflation concerns. We anticipate positive earnings momentum in technology and financials, though cyclical sectors face tariff-related risks, possibly leading to profit warnings. Valuations are high in the United States, more attractive in Europe and supportive in China.
Franklin Equity Group
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Managed Fund Since 2024
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Managed Fund Since 2024
Latest Insights
October 13, 2025
October 1, 2025
October 1, 2025
Performance
Average Annual Total Returns
As of 09/30/2025
Performance data quoted represents past performance, which does not guarantee future results. Current performance may be lower or higher than the figures shown. Principal value and investment returns will fluctuate, and investors' shares, when redeemed, may be worth more or less than the original cost. Returns are based on Market Price or NAV, assume the reinvestment of all distributions and the deduction of all Fund expenses. Performance would have been lower if expenses had not been waived in various periods. Returns for periods of less than one year are not annualized.
Selected Month September 2025
Franklin Sustainable International Equity ETF - Market Price Return (%)
Month End
As of 09/30/2025
Franklin Sustainable International Equity ETF - NAV Return (%)
Month End
As of 09/30/2025
MSCI All Country World ex-US Index-NR (%)
Month End
As of 09/30/2025
Prior to close of business on October 28, 2022, the Fund operated as an open-end mutual fund. The Fund has an identical investment goal and substantially similar investment strategies as the predecessor mutual fund. The NAV returns include returns of the Class IS Shares of the predecessor mutual fund prior to the Fund's commencement of operations. Prior to the Fund's listing on 10/31/2022, the NAV performance for the IS shares of the predecessor mutual fund are used as a proxy for market price returns, which are typically calculated using the official closing price of the Fund. If the predecessor mutual fund had been structured as an exchange-traded fund, its performance may have differed.
Ratings 9
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Portfolio
Assets
As of11/09/2025 (Updated Daily)
- Total Net Assets
- $5.06 Million
Positions
As of 10/31/2025 (Updated Monthly)
Number of Holdings
- Fund
- 26
- Benchmark
- 1,966
Portfolio Statistics
As of 10/31/2025 (Updated Monthly)
Weighted Average Market Capitalization (USD)
- Fund
- $240.35 Billion
- Benchmark
- $153.22 Billion
- Fund
- $82.15 Billion
- Benchmark
- $63.57 Billion
Sector Allocation
As of 10/31/2025 Equity as a % of Total (Updated Monthly)
| Sector | % of Total | Benchmark |
|---|---|---|
Information Technology | 24.48% | 15.09% |
Health Care | 19.51% | 7.62% |
Industrials | 17.69% | 14.75% |
Consumer Discretionary | 14.55% | 10.34% |
Financials | 6.68% | 24.44% |
Materials | 4.88% | 6.49% |
Consumer Staples | 4.75% | 6.03% |
Communication Services | 3.80% | 6.13% |
Energy | — | 4.45% |
Utilities | — | 3.10% |
Real Estate | — | 1.56% |
Holdings
As of 11/06/2025 (Updated Daily)
TAIWAN SEMICONDUCTOR MANU
RESMED INC-CDI
FERRARI NV
ASML HOLDING NV
METTLER-TOLEDO INTERNATIO
ATLAS COPCO AB-A SHS
LINDE PLC
L'OREAL
ADYEN NV
SCHNEIDER ELECTRIC SE
Portfolio holdings are based on the total portfolio and are subject to change at any time. Holdings are provided for informational purposes only and should not be construed as a recommendation to purchase or sell any security.
Distributions & Tax
- Distribution Frequency
- AnnuallyThis fund is an ex-Dividend fund
- Capital Gain Distributions
- December
Distributions are not guaranteed and are subject to change.
Final composition of the current year’s distribution—income, capital gains and/or return of capital—are based on US tax rules and will be determined by February of the following year. For tax characterization of a distribution, such as return of capital and tax-exempt income, click on the “Tax Information” tab above.
On 10/31/2022 this product converted from a mutual fund to an exchange traded fund. Distributions prior to 10/31/2022 were from the mutual fund and are included below.
Distributions Per Share
12/18/2023
Annually, a fund must distribute all realized capital gains net of realized losses, so the fund will not be subject to an entity level income tax. A fund’s capital gain distribution in a particular year may be a result of the disposition of holdings that appreciated in value during prior years. Thus, while the fund may gain or lose value over the course of a year, a capital gain distribution paid by the fund may not be indicative of current performance of the fund.
The distributable amount of net capital gains are paid on a per-share basis to all investors who hold shares of the fund on the record date of the distribution and are recognized by the shareholder for tax purposes as of the ex-date of the distribution, regardless of when the gains or losses arose in the fund. Net gains on holdings held long term by the fund would be distributed to shareholders as a long-term capital gain distribution no matter how long the shareholder has owned shares in the fund.
Refer to the fund’s annual report or statement of additional information for specific information regarding distributions.
Pricing
Premium/Discount Analysis 7
As of 09/30/2025 (Updated Quarterly)
On 10/31/2022 this product converted from a mutual fund to an exchange traded fund and was listed on the exchange. No premium and discount information is available prior to listing date.
Premium / Discount
- Total Days in Period
- 64
- Days at NAV
- 2
- Days at Premium
- 45
- Days at Discount
- 17
- Greatest Premium
- $1.16
- Greatest Discount
- $-0.63
| Premium/Discount Analysis | Breakdown |
|---|---|
| 1% to 1.5% | 1 days |
| 0.5% to 1% | 3 days |
| 0% to 0.5% | 41 days |
| -0.5% to 0% | 15 days |
| -1% to -0.5% | 2 days |
Historical Premium/Discount 8
As of 11/07/2025 (Updated Daily)
Documents
Fund Literature
| Name | Download | Add to Cart | |
|---|---|---|---|
| Factsheet - Franklin Sustainable International Equity ETF | |||
| Product Commentary - Franklin Sustainable International Equity ETF |
Regulatory Documents
| Name | Download | Add to Cart | |
|---|---|---|---|
| Annual Report - Franklin Sustainable International Equity ETF (Formerly Martin Currie Sustainable International Equity ETF) | |||
| Annual Financial Statements And Other Information - Franklin Sustainable International Equity ETF (Formerly Martin Currie Sustainable International Equity ETF) | |||
| Semi-Annual Report - Franklin Sustainable International Equity ETF (Formerly Martin Currie Sustainable International Equity ETF) | |||
| Semiannual Financial Statements And Other Information - Franklin Sustainable International Equity ETF (Formerly Martin Currie Sustainable International Equity ETF) | |||
| Prospectus - Franklin Sustainable International Equity ETF (Formerly Martin Currie Sustainable International Equity ETF) | |||
| Summary Prospectus - Franklin Sustainable International Equity ETF (Formerly Martin Currie Sustainable International Equity ETF) | |||
| Statement Of Additional Information - Franklin Sustainable International Equity ETF (Formerly Martin Currie Sustainable International Equity ETF) | |||
| Information Statement - Franklin Sustainable International Equity ETF (Formerly Martin Currie Sustainable International Equity ETF) | |||
| Fiscal Q1 Holdings - Franklin Templeton ETF Trust Smart Beta Funds | |||
| Fiscal Q3 Holdings - Franklin Templeton ETF Trust Smart Beta Funds |
Risks
All investments involve risks, including possible loss of principal. Equity securities are subject to price fluctuation and possible loss of principal. Small- and mid-cap stocks involve greater risks and volatility than large-cap stocks. International investments are subject to special risks, including currency fluctuations and social, economic and political uncertainties, which could increase volatility. These risks are magnified in emerging markets. To the extent the fund invests in companies in a specific country or region, the fund may experience greater volatility than a fund that is more broadly diversified geographically. The managers’ environmental, social and governance (ESG) strategies may limit the types and number of investments available and, as a result, may forgo favorable market opportunities or underperform strategies that are not subject to such criteria. There is no guarantee that the strategy's ESG directives will be successful or will result in better performance. The portfolio is non-diversified and may invest in a relatively small number of issuers, which may negatively impact the fund's performance and result in greater fluctuation in the value of the fund's shares. These and other risks are discussed in the fund’s prospectus.
Important Information
Franklin Distributors, LLC. Member FINRA, SIPC. All entities mentioned are Franklin Templeton affiliated companies. Investment Products: NOT FDIC INSURED | NO BANK GUARANTEE | MAY LOSE VALUE.
Reports and other information about the funds are available on the EDGAR Database on the SEC's Internet site at www.sec.gov.
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Important data provider notices and terms available at www.franklintempletondatasources.com.
Performance data quoted represents past performance, which does not guarantee future results.
CFA® and Chartered Financial Analyst® are trademarks owned by CFA Institute.
Indexes are unmanaged and one cannot invest directly in an index. They do not reflect any fees, expenses or sales charges.
All investments involve risk, including possible loss of principal. Please see each product's web page for specific details regarding investment objective, risks, performance, and other important information. Review this information carefully before you make any investment decision. Investors cannot invest directly in an index, and unmanaged index returns do not reflect any fees, expenses or sales charges.
Carefully consider a fund’s investment objectives, risks, charges and expenses before investing. Please view the prospectus or summary prospectus for this and other information. Read it carefully.
Franklin Templeton, its affiliated companies, and its employees are not in the business of providing tax or legal advice to taxpayers. These materials and any tax-related statements are not intended or written to be used, and cannot be used or relied upon, by any such taxpayer for the purpose of avoiding tax penalties or complying with any applicable tax laws or regulations. Tax-related statements, if any, may have been written in connection with the “promotion or marketing” of the transaction(s) or matter(s) addressed by these materials, to the extent allowed by applicable law. Any such taxpayer should seek advice based on the taxpayer’s particular circumstances from an independent tax advisor.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns. ETF shares may be bought or sold throughout the day at their market price (MP), not their Net Asset Value (NAV), on the exchange on which they are listed. Shares of ETFs are tradable on secondary markets and may trade either at a premium or a discount to their NAV on the secondary market. Prior to trading in the secondary market, shares of the fund are "created" at NAV by market makers, large investors and institutions only in block-size Creation Units. Each "creator" or "Authorized Participant" enters into an authorized participant agreement with Franklin Distributors, LLC. Only an Authorized Participant may create or redeem Creation Units directly with the fund. Retail investors buy and sell shares of ETFs at market price (not NAV) in the secondary market throughout the trading day. These shares are not individually available for purchase or redemption directly from the ETF.
Franklin Distributors, LLC serves as the distributor of Creation Units for the ETFs on an agency basis. Franklin Distributors, LLC does not maintain a secondary market in the funds' shares.
Redemption payments will be effected within the specified number of calendar days following the date on which a request for redemption in proper form is made. For more information, please see the ETF’s statement of additional information (SAI) which can be found on the fund’s webpage.
The MSCI All Country World Index ex US (MSCI ACWI Index ex US) is a market capitalization-weighted index designed to measure equity market performance of developed and emerging markets, excluding the U.S.
Net Returns (NR) include income net of tax withholding when dividends are paid.
Source: MSCI makes no warranties and shall have no liability with respect to any MSCI data reproduced herein. No further redistribution or use is permitted. This report is not prepared or endorsed by MSCI.