Equity Active

INCE Franklin Income Equity Focus ETF

Diversified equity market exposure with increased income potential. Combines dividend-paying common stock, preferred/convertibles and equity-linked notes specifically designed to deliver income and equity market participation.
Flexible and fundamental approach. Actively manages and optimizes income and growth potential within equities to adapt to changing market conditions.
Income expertise. Our firm is a pioneer in income investing, with proven history of delivering clients steady income for over 75 years.

Overview

See the risks and other important information.

Fund Facts

Fund description

The fund seeks income and capital appreciation with an emphasis on lower volatility than the broader equity market, as measured by the S&P 500 Index. The fund invests in equity securities and equity-related instruments, including common stocks, with dividend yields that the investment manager believes are attractive.

Benchmark: MSCI USA High Dividend Yield Index
Additional Benchmark: S&P 500 Index
Fund Inception Date: 09/20/2016
Listing Exchange: NYSE Arca
Dividend Frequency, if any: Monthly
Distribution Rate at NAV⁴As of 03/31/2026 (Updated Daily): 6.50%
30-Day SEC Yield—With Waiver^5,6,7As of 02/28/2026 (Updated Monthly): 4.63%
30-Day SEC Yield—Without Waiver^6,7As of 02/28/2026 (Updated Monthly): 4.63%

Expenses & Fees

As of 08/01/2025

Gross Expense Ratio⁸: 0.29%
Net Expense Ratio^8,9: 0.29%

Identifiers

Ticker: INCE
CUSIP Code: 35473P504
ISIN Code: US35473P5044
Bloomberg Code: INCE US

Average Annual Total Returns As of 02/28/2026

View performance section for additional info As of 02/28/2026

Market Price Return

NAV Return

22.01%1 Year
17.29%3 Years
13.16%5 Years
—10 Years
13.56%Since Inception
09/20/2016

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.

Top Asset Allocation

View portfolio section for additional info

As of 02/28/2026 % of Total (Updated Monthly)

Top Asset Allocation
Equity58.92%
Convertibles/Equity-Linked Notes38.46%
Fixed Income2.01%
Cash & Cash Equivalents0.61%

Additional Fund Info

Fiscal Year End: March 31
ETF Type: Active
Morningstar Category¹⁰: Large Value

Trading Characteristics

As of 03/31/2026 (Updated Daily)

Shares Outstanding: 1,750,000
Daily Volume: 8,086
20-Day Average Volume: 15354.35

Manager and Commentary

About the Team

Franklin Income Investors

Franklin Income Investors has delivered consistent income for over 75 years. As pioneers in multi-asset income investing, our team takes a dynamic investment approach for investors seeking consistent income and growth.

Franklin Income Investors

Managed Fund Since 2016

Managed Fund Since 2024

Latest Insights

January 12, 2026

Investment outlook for 2026: Policy is paramount and income a priority

November 11, 2025

Diversifying for income

August 4, 2025

Mid-year update: Staying diversified and income-focused

May 5, 2025

Income diversification amid market uncertainty

Performance

Average Annual Total Returns

¹¹

As of 02/28/2026

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.

Month End

Quarter End

As of

Franklin Income Equity Focus ETF - Market Price Return (%)

Month End

As of 02/28/2026

Franklin Income Equity Focus ETF - NAV Return (%)

Month End

As of 02/28/2026

MSCI USA High Dividend Yield Index (%)

Month End

As of 02/28/2026

S&P 500 Index (%)

Month End

As of 02/28/2026

Overall Morningstar Rating: Overall Morningstar Rating: 4 out of 5 stars
As of 02/28/2026

3 Years: 3 Years: 4 out of 5 stars
1053 Funds in category

5 Years: 5 Years: 4 out of 5 stars
988 Funds in category

10 Years: —

Rating Category: Large Value

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.

Morningstar Style Box

As of 02/28/2026

Current Historical
			Large
			Medium
			Small
Value	Blend	Growth
Style

Size

Source: Morningstar®. The style box reveals a fund's investment style. For equity funds, the vertical axis shows the market capitalization of the long stocks owned, and the horizontal axis shows the investment style (value, blend, or growth). For fixed income funds, the vertical axis shows the credit quality based on credit ratings and the horizontal axis shows interest-rate sensitivity as measured by effective duration. Placement is determined by fund portfolio holding figures most recently entered into Morningstar's database and corresponding market conditions. Shaded areas show the past 3 years of quarterly data. Past performance does not guarantee future results.

©2025 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.

Portfolio

Assets

As of03/31/2026 (Updated Daily)

Total Net Assets: $113.15 Million

Positions

As of 03/30/2026 (Updated Daily)

Number of Holdings

Fund: 79

Portfolio Statistics

As of 03/30/2026 (Updated Daily)

Weighted Average Market Capitalization (USD)

Fund: $231.93 Billion

Price to Earnings (12-Month Forward)

Fund: 17.32x

Price to Book

Fund: 3.20x

Asset Allocation

As of 02/28/2026 % of Total (Updated Monthly)

Asset Allocation
Holdings	Fund
Equity	58.92%
Convertibles/Equity-Linked Notes	38.46%
Fixed Income	2.01%
Cash & Cash Equivalents	0.61%

Holdings
As of 03/31/2026 (Updated Daily)

EXXON MOBIL CORP

CHEVRON CORP

PEPSICO INC

VERIZON COMMUNICATIONS IN

IFT - MONEY MARKET PORT

SOUTHERN CO/THE

LOCKHEED MARTIN CORP

PROCTER & GAMBLE CO/THE

JOHNSON CONTROLS INTERNAT

RIO TINTO PLC-SPON ADR

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
Ex-Dividend Fund: This type of fund declares periodic dividends, which are paid to shareholders who own the fund as of a certain date - known as the "record date". After the record date, the fund is said to be trading "ex-dividend"(literally, without the dividend). An investor who buys shares during the interval between the record date and the payment of the dividend does not receive the dividend. A fund that's in the ex-dividend period is marked with an "x" in newspaper listings.

Daily Accrual Fund: This type of fund typically declares income dividends each day that its net asset value is calculated. These dividends remain in the fund until the designated reinvestment or payment date and are distributed to the shareholders, generally once a month, as additional shares or cash, respectively.: MonthlyThis fund is an ex-Dividend fund
Capital Gain Distributions: December

Proposed 2026 distribution dates for ETFs

Rates and Yields Read important information about results and other investment disclosures

Distribution Rate ⁴

As of 03/31/2026 (Updated Daily)

At Net Asset Value (NAV) 6.50%

30-Day SEC Yield ^5,6,7

As of 02/28/2026 (Updated Monthly)

w/ Waiver 4.63%

w/o Waiver 4.63%

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.

Distributions Per Share
Distributions with future dates are estimates and those figures are not final

04/01/2026

03/02/2026

02/02/2026

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

Pricing History

As of 03/31/2026 (Updated Daily)

Time Period

From

From Date

To Date

Daily Fund Prices

As of 03/31/2026

Share Prices

As of 03/31/2026

NAV ¹(Net Asset Value): $64.66
NAV Change ¹: $0.52
NAV Change (%) ¹: 0.81%
Market Price ¹: $64.65
Market Price Change ¹: $0.43
Market Price Change (%) ¹: 0.67%

52-Week Range

Highest NAV As of 02/25/2026: $67.05
Lowest NAV As of 04/08/2025: $50.01
Highest Market Price As of 02/25/2026: $67.06
Lowest Market Price As of 04/08/2025: $50.00

Documents

Fund Literature

Fund Literature
Checkbox	Name	Download	Add to Cart
Checkbox	Factsheet - Franklin Income Equity Focus ETF	Download Document

Regulatory Documents

Regulatory Documents
Checkbox	Name	Download
Checkbox	Annual Report - Franklin U.S. Low Volatility ETF - Single Class	Download Document
Checkbox	Annual Financial Statements and Other Information - Franklin Templeton ETF Trust 2	Download Document
Checkbox	Semi-Annual Report - Franklin Income Equity Focus ETF (fka Franklin U.S. Low Volatility ETF) - Single Class	Download Document
Checkbox	Semi-Annual Financial Statements and Other Information - Franklin Income Equity Focus ETF	Download Document
Checkbox	Prospectus - Franklin Templeton ETF Trust 2 Active Funds	Download Document
Checkbox	Summary Prospectus - Franklin Income Equity Focus ETF	Download Document
Checkbox	Statement of Additional Information - Franklin Templeton ETF Trust 2 Active FundsMailed hardcopies unavailable.	Download Document
Checkbox	Fiscal Q1 Holdings - Franklin Templeton ETF Trust Smart Beta FundsMailed hardcopies unavailable.	Download Document
Checkbox	Q3 Portfolio Holdings - Franklin Templeton ETF TrustMailed hardcopies unavailable.	Download Document

View Proxy Voting Records and Proxy Voting Policies

Risks

All investments involve risks, including possible loss of principal. Equity securities are subject to price fluctuation and possible loss of principal. Dividends may fluctuate and are not guaranteed, and a company may reduce or eliminate its dividend at any time. Investments in equity index-linked notes often have risks similar to their underlying securities, which could include management risk, market risk and, as applicable, foreign securities and currency risks. Derivative instruments can be illiquid, may disproportionately increase losses, and have a potentially large impact on performance. To the extent the portfolio invests in a concentration of certain securities, regions or industries, it is subject to increased volatility. There can be no guarantee that the fund's volatility strategy will be successful, and achieving the fund's volatility strategy does not mean the fund will achieve a positive or competitive return. The volatility strategy can also be expected to limit the fund's participation in market price appreciation when compared to similar funds that do not attempt this strategy. 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. These and other risk considerations are discussed in the fund's prospectus.

Important Information

Total Returns include change in share price, assume reinvestment of all distributions, and reflect the deduction of fund expenses and applicable fees. Total returns, distribution rate, and yields reflect any applicable expense reductions and fee waivers; without these reductions, the results would have been lower.

Certain share classes are only offered to eligible investors as stated in the prospectus. Different minimums may apply to clients of certain service agents. All classes of shares are not available through all distribution channels. See the Fund's prospectus for additional information.

Most funds offer multiple share classes. Share classes are subject to different fees and expenses, which will affect their performance.

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.

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 MSCI USA High Dividend Yield Index is designed to reflect the performance of mid- and large-cap equities (excluding REITs) with higher dividend income, which is sustainable and persistent, than average dividend yields of securities in the MSCI USA Index.
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 Dow Jones Indices LLC.

Footnotes

Net Asset Value (NAV) returns are based on the NAV of the ETF/ETP. The fund’s NAV represents the per-share-value and is determined by dividing the total NAV of the fund by the number of shares outstanding; Market Price returns are based upon the official closing price of the ETF’s/ETP's shares. The fund calculates the NAV per share each business day and normally coincides with the close of trading on the exchange on which they are listed, typically 4 pm ET. The fund does not calculate the NAV on days the exchange is closed for trading. These returns do not represent investors’ returns had they traded shares at other times.
Figures are aggregate total return figures, have not been annualized and represent the change in value of an investment over the period indicated.
The Morningstar Rating™ for funds, or “star rating”, is calculated for managed products with at least a three-year history, and subject to change monthly. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk Adjusted Return measure that accounts for variation in a managed product’s monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total return, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total return. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. Ratings do not take into account the effects of sales charges and loads. Morningstar Rating is for the specified share class(es) only; other classes may have different performance characteristics. ©2025 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.
Distribution Rate is calculated by annualizing the most recent distribution amount paid, divided by the closing market price or NAV as of the date indicated. The Distribution Rate calculation includes income and excludes special distributions. The Distribution Rate is subject to change and is not guaranteed nor a quotation of fund performance.
With Waiver means the performance quote reflects any applicable expense reductions and fee waivers.
During periods of rising inflation, fund yields can vary significantly from month-to-month and may not be repeated.
30-Day SEC Yield is calculated using the net income (interest and dividends) per share earned over a trailing 30-day period (annualized), divided by the fund’s share price at the end of that period. It may not equal the fund’s actual income distribution rate, which reflects the fund’s past dividends paid to shareholders.
Gross Expense Ratio reflects the total annual operating expenses for the share class shown, prior to the deduction of any waiver or reimbursement. Actual expenses may be higher and may impact portfolio returns. Net Expense Ratio reflects total expenses after any fee waivers, implemented expense caps or reimbursements. If a fund has contractual fee waivers, expense caps and/or reimbursements, the expiration date can be found by clicking on the information button next to the net expense ratio. Additional amounts may be voluntarily waived and/or reimbursed and may be modified or discontinued at any time without notice. Expense ratios are as of the most recent prospectus or annual report.
Net Expense Ratio represents the expense ratio applicable to investors.
©2026 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.
Returns are average annualized total returns, except for those periods of less than one year, which are cumulative. Market Price returns are calculated using the closing price as of 4 pm ET on each trading day (when NAV is normally determined for most funds), and do not represent the returns you would receive if you traded shares at other times. Since shares of the fund did not trade in the secondary market until after the fund's inception, for the period from inception to the first day of secondary trading (9/22/16), the NAV of the fund is used as a proxy for the Market Price to calculate market returns. Index returns are adjusted for withholding taxes. Performance for the ETF/ETP and its benchmark index are as of the ETF's/ETP's last trading day before the end of the period.
Capitalization Rate is calculated without the deduction of fees and expenses.

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INCE Franklin Income Equity Focus ETF

Popular Documents

Overview

Fund description

Expenses & Fees

Identifiers

Top Asset Allocation

Additional Fund Info

Trading Characteristics

Manager and Commentary

About the Team

Latest Insights

Performance

Average Annual Total Returns

Ratings 3

Portfolio

Asset Allocation

Distributions & Tax

Rates and Yields Read important information about results and other investment disclosures

Pricing

Chart

Daily Fund Prices

Documents

Risks

Important Information

Footnotes

Ratings ³