Equity

MDISX Franklin Mutual Global Discovery Fund

One-team approach. Leverages the Mutual Series' dedicated value investing platform that seeks to uncover value wherever resides.
Discount to fundamental value + a catalyst. Applies deep fundamental analysis to find mispriced stocks with a catalyst that will change how the market views their true worth.
Mindful of risk. Holistic approach combines fundamental and quantitative insights to maximize upside potential while mitigating downside risk.

Overview

See the risks and other important information.

Fund Facts

Fund description

The fund seeks capital appreciation. Its strategy is focused on undervalued mid- and large-cap equity securities, with a significant portion of its assets in foreign securities and, to a lesser extent, distressed securities and merger arbitrage.

Benchmark: MSCI World Value Index-NR
Dividend Frequency, if any: Semiannually
30-Day SEC Yield—With Waiver^3,4,5As of 02/28/2026 (Updated Monthly): 1.69%
30-Day SEC Yield—Without Waiver^4,5As of 02/28/2026 (Updated Monthly): 1.66%
Fund Inception Date: 12/31/1992
Portfolio Turnover: 42%

Sales Charges, Expenses & Fees

As of 05/01/2025

Gross Expense Ratio⁶: 0.96%
Net Expense Ratio^6,7: 0.96%
Maximum Initial Charge: —
CDSC: N/A
12b-1 Fee: —

Identifiers

Ticker: MDISX
Fund Number: 077
CUSIP Code: 628380404

Average Annual Total Returns As of 02/28/2026

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

Class Z

With Sales Charge (POP)

Without Sales Charge (NAV)

20.73%1 Year
15.80%3 Years
12.51%5 Years
10.31%10 Years
10.94%Since Inception
12/31/1992

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 Sectors

View portfolio section for additional info

As of 03/31/2026 % of Total (Updated Monthly)

Top Sectors
Banks10.67%
Media & Entertainment9.09%
Pharmaceuticals, Biotechnology & Life Sciences8.91%
Energy8.70%
Capital Goods8.46%

Additional Fund Info

Share Class Inception Date: 12/31/1992
Investment Style: Value
Lipper Classification: Global Large-Cap Value
Morningstar Category⁸: Global Large-Stock Value

Manager and Commentary

About the Team

Franklin Equity

Franklin Equity understands innovation from every angle—our decades of experience investing in complex change fuels a differentiated perspective on how public and private companies accelerate growth and unlock value. Leveraging fundamental depth and quantitative precision, we identify catalysts for transformation that reshape companies and industries. Our expertise, spanning from growth to value, brings together diverse perspectives that help us spot opportunities ahead of the market.

Commentary Highlights

December 31, 2025

Markets: Global equity markets, as measured by the MSCI World Index, rose in US dollar terms in the fourth quarter of 2025. Strong corporate earnings, enthusiasm for artificial intelligence (AI) companies and optimism about lower US interest rates buoyed equities, but high valuations for certain areas of the market, such as AI-related stocks and ongoing political and trade uncertainties were concerns as the year ended.
Contributors: Stock selection in the information technology and communication services sectors, along with stock selection and an overweight in health care contributed to relative results. Alphabet, Samsung Electronics and AerCap Holdings were among the individual contributors.
Detractors: Stock selection in financials, materials and real estate detracted from relative performance. Fiserv, Charter Communications and International Paper hindered relative performance.
Outlook: We remain focused on identifying opportunities to acquire stocks at attractive valuations based upon our assessment of fundamental value. Our process of finding underappreciated and misunderstood companies with identifiable catalysts to unlock shareholder value may provide meaningful upside potential and possible downside risk management during turbulent periods.

For complete information, please see the full commentary:

Franklin Equity

Managed Fund Since 2018

Managed Fund Since 2010

Latest Insights

April 2, 2026

Power, conflict and complacency: Why energy markets may be structurally underpricing geopolitical risk

March 2, 2026

Five catalysts for international value stocks in 2026 and beyond

February 18, 2026

Quick Thoughts: At the knee of the curve of disruption

February 16, 2026

Biotechnology in 2026: Innovation amid industry transformation

Performance

Calendar Year Returns

As of 02/28/2026

Month End

Quarter End

Class Z - With Sales Charge (POP) (%)

Class Z - Without Sales Charge (NAV) (%)

MSCI World Value Index-NR (%)

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. Performance would have been lower if fees had not been waived in various periods. Total returns assume the reinvestment of all distributions and the deduction of all Fund expenses. Returns with sales charge reflect a deduction of the stated maximum sales charge. Returns without sales charge would have been lower had sales charges been reflected. An investor cannot invest directly in an index, and unmanaged index returns do not reflect any fees, expenses or sales charges. Returns for periods of less than one year are not annualized.

See the risks and other important information.

Overall Morningstar Rating: Overall Morningstar Rating: 2 out of 5 stars
As of 03/31/2026

3 Years: 3 Years: 2 out of 5 stars
139 Funds in category

5 Years: 5 Years: 3 out of 5 stars
133 Funds in category

10 Years: 10 Years: 2 out of 5 stars
115 Funds in category

Rating Category: Global Large-Stock 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.

The number of funds in the category for the Overall Morningstar Rating are listed in the funds in category for the 3-year rating.

Morningstar Style Box

As of 03/31/2026

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 Monthly)

Total Net Assets: $8.98 Billion

Positions

As of 03/31/2026 (Updated Monthly)

Number of Issuers

Fund: 61
Benchmark: 870

Portfolio Statistics

As of 03/31/2026 (Updated Monthly)

Weighted Average Market Capitalization (USD)

Fund: $250.14 Billion
Benchmark: $351.32 Billion

Dividend Yield ⁹

Fund: 2.68%
Benchmark: 2.43%

Price to Earnings (12-Month Trailing)

Fund: 15.57x
Benchmark: 18.81x

Price to Cash Flow

Fund: 8.90x
Benchmark: 10.66x

Price to Book

Fund: 1.88x
Benchmark: 2.57x

Asset Allocation ¹²

As of 03/31/2026 % of Total (Updated Monthly)

Asset Allocation
Holdings	Fund
Undervalued Equities	97.21%
Special Situations	1.75%
Cash & Other Net Assets	1.03%

Holdings
As of 02/28/2026 (Updated Monthly)

Franklin Institutional U.S. Government Money Market Fund OEMF-SWEEP MONEY MARKET PORTFOLIO

BNP Paribas SA ORD EUR2

Novartis AG SPONSORED ADR

Alphabet Inc COM USD.001 CL A

Roche Holding AG ORD CHF NPV

Deutsche Telekom AG ORD REGD NPV

Merck & Co Inc COM USD.5

HALEON PLC ORD GBP 0.01

British American Tobacco PLC ORD GBP.25

AerCap Holdings NV ORD EUR.01 (NYE)

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.: SemiannuallyThis fund is an ex-Dividend fund
Capital Gain Distributions: October, December

Proposed 2026 distribution dates for Franklin, Templeton and Mutual Series funds (excluding ETFs).

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

12/19/2025

09/30/2025

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 04/08/2026 (Updated Daily)

Time Period

From

From Date

To Date

Daily Fund Prices

As of 04/08/2026

Share Prices

As of 04/08/2026

NAV ¹(Net Asset Value): $32.57
NAV Change ¹: $0.96
NAV Change (%) ¹: 3.04%
POP ¹⁰(Public Offering Price): $32.57

52-Week Range

Highest NAV As of 12/11/2025: $34.69
Lowest NAV As of 04/08/2025: $27.54

Documents

Fund Literature

Fund Literature
Checkbox	Name	Download
Checkbox	Factsheet - Franklin Mutual Global Discovery Fund	Download Document
Checkbox	Product Commentary - Franklin Mutual Global Discovery Fund	Download Document
Checkbox	Product Commentary - Franklin Mutual Global Discovery Fund - A Year in Review.Mailed hardcopies unavailable.	Download Document

Regulatory Documents

Regulatory Documents
Checkbox	Name	Download
Checkbox	Annual Report - Franklin Mutual Global Discovery Fund - Class Z	Download Document
Checkbox	Annual Financial Statements and Other Information - Franklin Mutual Series Funds	Download Document
Checkbox	Semi-Annual Report - Franklin Mutual Global Discovery Fund - Class Z	Download Document
Checkbox	Semi-Annual Financial Statements and Other Information - Franklin Mutual Series Funds	Download Document
Checkbox	Prospectus - Franklin Mutual Series Fund	Download Document
Checkbox	Summary Prospectus - Franklin Mutual Global Discovery Fund	Download Document
Checkbox	Statement of Additional Information - Franklin Mutual Series FundMailed hardcopies unavailable.	Download Document
Checkbox	Fiscal Q1 Holdings - Franklin Mutual Series FundMailed hardcopies unavailable.	Download Document
Checkbox	Fiscal Q3 Holdings - Franklin Mutual Series FundMailed hardcopies unavailable.	Download Document

View Proxy Voting Records and Proxy Voting Policies

Risks

All investments involve risks, including possible loss of principal. The investment style may become out of favor, which may have a negative impact on performance. 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 portfolio invests in a concentration of certain securities, regions or industries, it is subject to increased volatility. Small- and mid-cap stocks involve greater risks and volatility than large-cap stocks. Investments in companies engaged in mergers, reorganizations or liquidations also involve special risks as pending deals may not be completed on time or on favorable terms. Low-rated, high-yield bonds are subject to greater price volatility, illiquidity and possibility of default. The manager may consider environmental, social and governance (ESG) criteria in the research or investment process; however, ESG considerations may not be a determinative factor in security selection. In addition, the manager may not assess every investment for ESG criteria, and not every ESG factor may be identified or evaluated. These and other risks are discussed in the fund’s prospectus.

Important Information

Click here for funds sales charge and breakpoint 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.

You need Adobe Acrobat Reader to view and print PDF documents. Download a free version from Adobe's website.

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 World Value Index is a market capitalization-weighted index designed to measure the performance of stocks exhibiting overall value style characteristics in developed markets.
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.

Footnotes

Net Asset Value - the amount per share you would receive if you sold shares that day. NAV Change indicates a change in the Net Asset Value from the previous business day.
Figures are aggregate total return figures, have not been annualized and represent the change in value of an investment over the period indicated.
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.
Dividend yield is calculated without the deduction of fees and expenses.
Public Offering Price – the purchase price for each share of the fund on a given day. It includes the maximum initial sales charge, if any.
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.
Special situations includes investments in merger arbitrage and stressed and distressed debt.
Capitalization Rate is calculated without the deduction of fees and expenses.

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