Equity

TESRX Franklin Mutual Shares Fund

Diversification. Though we are focused mainly on large-cap equities, the fund's investment mix contains a variety of asset classes.
A Record of Lower Long-Term Volatility than the Russell 1000 Value Index.
Performance in All Types of Markets. Franklin Mutual Shares Fund aims to achieve long-term growth over up, down and sideways market cycles.

Overview

See the risks and other important information.

Fund Facts

Fund description

The fund seeks capital appreciation, which may occasionally be short term, with income as a secondary goal. Its strategy is focused on undervalued mid- and large-cap equity securities, which may include foreign securities and, to a lesser extent, distressed securities and merger arbitrage.

Benchmark: Linked Russell 1000 Value Index
Dividend Frequency, if any: Semiannually
30-Day SEC Yield—With Waiver^3,4,5As of 11/30/2025 (Updated Monthly): 1.01%
Fund Inception Date: 07/01/1949
Portfolio Turnover: 33%

Sales Charges, Expenses & Fees

As of 05/01/2025

Gross Expense Ratio⁶: 1.25%
Net Expense Ratio^6,7: 1.25%
Maximum Initial Charge: N/A
CDSC: N/A
12b-1 Fee: 0.50%

Identifiers

Ticker: TESRX
Fund Number: 874
CUSIP Code: 354026502

Average Annual Total Returns As of 11/30/2025

View performance section for additional info As of 11/30/2025

Class R

With Sales Charge (POP)

Without Sales Charge (NAV)

0.56%1 Year
9.59%3 Years
9.47%5 Years
6.71%10 Years
10.75%Since Inception
07/01/1949

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 11/30/2025 % of Total (Updated Monthly)

Top Sectors
Pharmaceuticals, Biotechnology & Life Sciences10.96%
Capital Goods8.23%
Banks8.10%
Financial Services6.72%
Consumer Discretionary Distribution & Retail6.06%

Additional Fund Info

Share Class Inception Date: 01/02/2002
Investment Style: Value
Lipper Classification: Multi-Cap Value Funds
Morningstar Category⁸: Aggressive Allocation

Manager and Commentary

About the Team

Uncompromising value investors

Franklin Mutual Series has been investing with our clients’ interests in mind since 1949. We are more than formulaic value investors. As one team with one focus, we transcend traditional value investing, applying deep fundamental research to find undervalued companies and the catalyst that will unlock that value and deliver results.

Commentary Highlights

June 30, 2025

Markets: US stocks, as measured by the Russell 1000 Index, advanced during the second quarter of 2025. After rebounding from April’s lows on US tariff policy, equity markets continued to rally through June despite bouts of volatility. Temporary delays in tariff hikes, reduced fears of a recession, growing expectations of interest-rate cuts later in the year and easing geopolitical tensions helped drive US stocks higher.
Contributors: Stock selection in communication services, health care and consumer discretionary contributed to relative results. Individual contributions included Ferguson Enterprises, Flex and Johnson Controls International.
Detractors: Security selection in financials and energy, as well as stock selection and an underweight in industrials, detracted from relative performance. Among the detractors were Fiserv, Global Payments and Zimmer Biomet Holdings.
Outlook: While we believe there are reasons to be optimistic about the markets, we think uncertainty surrounding trade and geopolitics could continue to generate pockets of volatility in the near term. Several parts of the US economy, such as employment, remain stable. However, consumers are pulling back on non-essential spending and businesses face uncertainty regarding projects funded by government grants, such as those involving infrastructure buildouts.

For complete information, please see the full commentary:

Franklin Mutual Series

Managed Fund Since 2020

Managed Fund Since 2025

Latest Insights

December 1, 2025

Global Value Outlook: International value can shine even brighter in 2026

November 20, 2025

Value Vantage Point: Broken growth: When yesterday’s high-flying tech is today’s value

October 16, 2025

Value Vantage Point: Smaller company stocks get back on track

September 19, 2025

Value Vantage Point: Value, not politics, can continue to drive European stocks

Performance

Calendar Year Returns

As of 11/30/2025

Month End

Quarter End

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

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

Linked Russell 1000 Value Index (%)

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 11/30/2025

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

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

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

Rating Category: Aggressive Allocation

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 11/30/2025

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 of11/30/2025 (Updated Monthly)

Total Net Assets: $6.97 Billion

Positions

As of 11/30/2025 (Updated Monthly)

Number of Issuers

Fund: 59
Benchmark: 870

Portfolio Statistics

As of 11/30/2025 (Updated Monthly)

Weighted Average Market Capitalization (USD)

Fund: $340.58 Billion
Benchmark: $406.54 Billion

Price to Cash Flow

Fund: 11.47x
Benchmark: 13.19x

Price to Book

Fund: 2.71x
Benchmark: 3.00x

Price to Earnings (12-Month Trailing)

Fund: 17.96x
Benchmark: 20.90x

Dividend Yield ⁹

Fund: 1.97%
Benchmark: 1.84%

Asset Allocation ¹¹

As of 11/30/2025 % of Total (Updated Monthly)

Asset Allocation
Holdings	Fund
Undervalued Equities	92.63%
Special Situations	6.14%
Cash & Other Net Assets	1.23%

Holdings
As of 10/31/2025 (Updated Monthly)

Alphabet Inc COM USD.001 CL A

Amazon.com Inc COM USD.01

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

Thermo Fisher Scientific Inc COM USD1

Dover Corp COM USD1

Chevron Corp COM USD.75

PPL Corp COM USD.01

HALEON PLC ORD GBP 0.01

Bank of America Corp COM USD.01

Johnson Controls International plc ORD USD.01

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

Federal ID Number 13-6097589

For information on tax years prior to 2008, please contact us

These amounts represent distributions paid by the fund, foreign taxes passed through (if any), and other distribution characteristics for the calendar year selected. These amounts are reported to shareholders on Form 1099-DIV.

Distributions per Share ($)

Year

Tax Information
Record Date	Ordinary Dividends Dividends paid by a fund that are derived from interest, dividends, net short-term capital gains and other types of ordinary income earned by the fund. For a fund that elects to pass through its foreign taxes paid (a non-cash item), a shareholder's allotted share of foreign taxes has been added to the “Ordinary Dividends” cash distributions received by the shareholder. If the fund passed through foreign taxes paid and later is refunded any portion of those taxes by a foreign tax authority, any interest paid to the fund on that refund is also required to be included in “Ordinary Dividends”.	Qualified Dividends The portion of a fund’s “Ordinary Dividends” that may be eligible for a reduced capital gain tax rate. To be eligible for the lower tax rates, certain holding periods apply and shareholders should consult their tax advisor to determine the amount eligible for the reduced rate. This amount represents both cash distributions and non-cash amounts, such as foreign taxes paid, that have been allocated to shareholders.	Capital Gain Distributions	Unrecaptured Section 1250 Gain	Non-Taxable Return Of Capital	Section 199a Dividends The portion of a fund’s “Ordinary Dividends” generated by a real estate investment trust or earned by a fund from its investments in real estate investment trusts, subject to limitations. Individual (non-corporate) shareholders may be entitled to a special deduction from gross income for “Section 199A Dividends” received from a fund. To qualify for this deduction certain holding periods apply and shareholders should consult their tax advisor.	Foreign Tax Paid	Exempt Interest Dividends	Interest on Tax Reclaim Refunds
Sep 30	0.0697	0.050247	0.0463	—	—	—	—	—	—
Dec 19	0.5458	0.393467	1.6192	—	—	—	—	—	—
	0.6155	0.443714	1.6655	—	—	—	—	—	—

Sep 30

Dec 19

Supplemental Tax Information

Foreign Source Income: —
Foreign Source Qualified Dividends: —
Direct U.S. Government Obligations The portion of “Ordinary Dividends” attributable to earnings from US Treasury and certain other government securities may be categorized as a fund containing US government obligations. This income may be exempt from state personal income taxes. The percentage for direct US government obligation interests available for tax-exempt treatment may be limited in states that require the fund to meet certain minimum thresholds. Shareholders should consult their tax advisor to determine the availability of exemptions in their state.: 3.55%
Specified Private Activity Bond Interest: —
Dividends Received Deduction: 53.33%
Section 163(j): 17.71%
Indiana Resident Taxable Income: —
Utah Resident Taxable Income The portion of “Exempt-Interest Dividends” subject to Utah income tax. Subject to certain exceptions, the state of Utah provides that income earned from non-federal government entities outside of Utah (non-Utah municipal bonds) is taxable to Utah resident shareholders. Income earned from states that do not tax Utah obligations are also exempt. Shareholders should consult their tax advisor about applicability.: —

Franklin Templeton and its specialized investment managers 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. Each investor’s tax situation is different, and is based on an individual’s tax bracket, type of account used for investment and other factors. Any such taxpayer should seek advice based on the taxpayer's particular circumstances from an independent tax advisor.

Pricing

Pricing History

As of 12/10/2025 (Updated Daily)

Time Period

From

From Date

To Date

Daily Fund Prices

As of 12/10/2025

Share Prices

As of 12/10/2025

NAV ¹(Net Asset Value): $26.47
NAV Change ¹: $0.40
NAV Change (%) ¹: 1.53%
POP ¹⁰(Public Offering Price): $26.47

52-Week Range

Highest NAV As of 12/10/2024: $27.65
Lowest NAV As of 04/08/2025: $22.07

Documents

Fund Literature

Fund Literature
Checkbox	Name	Download
Checkbox	Factsheet - Franklin Mutual Shares Fund	Download Document
Checkbox	Product Commentary - Franklin Mutual Shares Fund	Download Document
Checkbox	Flyer - Franklin Mutual Series Value-driven strategies, uncompromising results	Download Document

Regulatory Documents

Regulatory Documents
Checkbox	Name	Download
Checkbox	Annual Report - Franklin Mutual Shares Fund - Class R	Download Document
Checkbox	Annual Financial Statements and Other Information - Franklin Mutual Series Funds	Download Document
Checkbox	Semi-Annual Report - Franklin Mutual Shares Fund - Class R	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 Shares 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. 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.

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 Russell 1000 Value Index measures the performance of the large-cap value segment of the U.S. equity universe.
Source: FTSE.

The Russell 1000 Value Index measures the performance of the large-cap value segment of the U.S. equity universe.

The Linked Russell 1000 Value Index reflects the performance of S&P 500 Index from fund inception through 12/31/1978 and Russell 1000 Value Index thereafter.
Source: FTSE.

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.

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.
During periods of rising inflation, fund yields can vary significantly from month-to-month and may not be repeated.
With Waiver means the performance quote reflects any applicable expense reductions and fee waivers.
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.
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.
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.
Special situations includes investments in merger arbitrage and stressed and distressed debt.

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