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Managed Fund Since 2002
Multi-Asset
FCSZX Franklin Convertible Securities Fund
- Allows investors to participate in the upside potential of the underlying common stock with potentially less downside risk due to its fixed-income characteristics.
- Experienced management team with over 36 years of combined industry experience.
- Broad diversification spread across multiple industries.
Popular Documents
Total Net Assets
$3.03B
As of 10/31/2025 (Updated Monthly)
Overview
Fund Facts
Fund description
The fund seeks to maximize total return, consistent with reasonable risk, by investing at least 80% of its net assets in convertible securities (and common stock received upon conversion of convertible securities). Convertible securities are debt securities or preferred stocks that may be converted into common stocks.
- Benchmark
- ICE BofA Convertibles Total Return Alternatives Index
- Dividend Frequency, if any
- Quarterly
- Fund Inception Date
- 04/15/1987
Identifiers
- Ticker
- FCSZX
- Fund Number
- 637
- CUSIP Code
- 353612641
Average Annual Total Returns As of 10/31/2025
Advisor Class
- 16.73%1 Year
- 13.63%3 Years
- 8.60%5 Years
- 12.17%10 Years
- 9.92%Since Inception
04/15/1987
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
As of 10/31/2025 % of Total (Updated Monthly)
Additional Fund Info
- Share Class Inception Date
- 05/15/2008
- Investment Style
- Convertibles
- Lipper Classification
- Convertible Securities Funds
- Morningstar Category
- Convertibles
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- Convertible Securities Market: US and global convertible bonds (CBs) staged a broad-based advance and collectively returned 9.1% in 2025’s third quarter (3Q25), as measured by ICE BofA indexes in US-dollar terms. Performance within the asset class varied during the quarter, as US-based equity-sensitive convertibles (+11.5%) outperformed both balanced convertibles (+10.4%) and “busted” (credit-/rate-sensitive) convertibles (+5.1%). Year-to-date, global CBs have now returned 18.5% outright. On a global cross-asset basis, convertibles remain one of the leading asset classes year-to-date, largely ahead of non-convertible corporate and sovereign debt, and closely tracking global equities.
- Contributors: Widespread and notably large gains in the consumer discretionary and materials sectors, adding to the support from positions in the information technology (IT), health care, real estate and other sectors.
- Detractors: Overall declines in the consumer staples, financials and industrials sectors.
- Outlook: Along with signs of decelerating global economic growth, the key risks we are monitoring include those associated with inflation and interest rates, tariffs and trade negotiations, and wars. We believe the US Federal Reserve has made good progress in bringing US inflation back down toward its target level, but that progress seems to have stalled recently
Franklin Equity Group
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Managed Fund Since 2016
Latest Insights
October 13, 2025
October 1, 2025
October 1, 2025
Performance
Average Annual Total Returns
As of 10/31/2025
Selected Month October 2025
Advisor Class - With Sales Charge (POP) (%)
Month End
As of 10/31/2025
Advisor Class - Without Sales Charge (NAV) (%)
Month End
As of 10/31/2025
ICE BofA Convertibles Total Return Alternatives Index (%)
Month End
As of 10/31/2025
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. 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.
Ratings 3
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Portfolio
Assets
As of09/30/2025 (Updated Monthly)
- Total Net Assets
- $2.99 Billion
Positions
As of 09/30/2025 (Updated Monthly)
Number of Issuers
- Fund
- 68
Portfolio Statistics
As of 09/30/2025 (Updated Monthly)
Effective Duration 9
- Fund
- 0.92 Years
- Fund
- 33.27
- Fund
- 12.90x
- Fund
- 0.47
- Fund
- 2.64x
- Fund
- -0.28%
- Fund
- 19.03x
Asset Allocation
As of 10/31/2025 % of Total (Updated Monthly)
| Holdings | Fund |
|---|---|
Convertibles | 97.79% |
Equity | 0.45% |
Fixed Income | 0.18% |
Cash & Cash Equivalents | 1.58% |
Holdings
As of 09/30/2025 (Updated Monthly)
CLOUDFLARE INC ZERO 08/15/2026 CNV
Wayfair Inc 3.25% 09/15/2027 CNV
LYFT INC .625% 03/01/2029 CNV
Welltower OP LLC 3.125% 07/15/2029 CNV 144A
Hewlett Packard Enterprise Co 7.625% CNV PFD
Alibaba Group Holding Ltd .5% 06/01/2031 CNV
Snowflake Inc ZERO 10/01/2029 CNV 144A
Doordash Inc ZERO 05/15/2030 CNV 144A
Bridgebio Pharma Inc 1.75% 03/01/2031 CNV 144A
PTC Therapeutics Inc 1.5% 09/15/2026 CNV
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
- QuarterlyThis fund is an ex-Dividend fund
- Capital Gain Distributions
- December
Rates and Yields
Distribution Rate
At Net Asset Value (NAV) 1.64%
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
12/19/2025
09/19/2025
06/18/2025
03/19/2025
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
Documents
Fund Literature
| Name | Download | Add to Cart | |
|---|---|---|---|
| Factsheet - Franklin Convertible Securities Fund | |||
| Product Commentary - Franklin Convertible Securities Fund |
Regulatory Documents
| Name | Download | Add to Cart | |
|---|---|---|---|
| Annual Report - Franklin Convertible Securities Fund - Advisor Class | |||
| Annual Financial Statements and Other Information - Franklin Investors Securities Trust #1 | |||
| Semi-Annual Report - Franklin Convertible Securities Fund Advisor Class | |||
| Semiannual Financial Statements and Other Information - Franklin Investors Securities Trust | |||
| Prospectus - Franklin Investors Securities Trust #1 | |||
| Summary Prospectus - Franklin Convertible Securities Fund | |||
| Statement of Additional Information - Franklin Investors Securities Trust #1 | |||
| Fiscal Q1 Holdings - Franklin Investors Securities Trust Funds | |||
| Fiscal Q3 Holdings - Franklin Investors Securities Trust Funds |
Risks
All investments involve risks, including possible loss of principal. Convertible securities are subject to the risks of stocks when the underlying stock price is high relative to the conversion price and debt securities when the underlying stock price is low relative to the conversion price. Low-rated, high-yield bonds are subject to greater price volatility, illiquidity and possibility of default. Fixed income securities involve interest rate, credit, inflation and reinvestment risks, and possible loss of principal. As interest rates rise, the value of fixed income securities falls. 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. 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
Most funds offer multiple share classes. Share classes are subject to different fees and expenses, which will affect their performance.
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.
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.
The ICE BofA All Alternatives U.S. Convertibles Index comprises domestic securities of all quality grades that are convertible into U.S. dollar-denominated common stock, ADRs or cash equivalents and have a delta (measure of equity sensitivity) that indicates the security likely has a balance between the debt and equity characteristics of the security.
Source: The index data referenced herein is the property of Intercontinental Exchange ("ICE") and/or its licensors and has been licensed for use by Franklin Templeton. ICE and its licensors accept no liability in connection with this use.
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.