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Managed Fund Since 2008
Equity
FNCSX Franklin Natural Resources Fund
- Participate in trends moving markets. Invest in innovative sectors—technology, medicine, natural resources—that you believe are poised for long-term growth.
- Diversification. By adding investments from different sectors to your portfolio, you may take advantage of expanding and contracting economic cycles.
- Experienced Portfolio Management Team. Actively managed by a seasoned portfolio management team that utilizes a distinct research structure with specialists organized into collaborative sector teams.
Popular Documents
Total Net Assets
$520.66M
As of 09/30/2026 (Updated Monthly)
Overview
Fund Facts
Fund description
The fund seeks high total return by investing at least 80% of its net assets in equity and debt securities of companies that own, produce, refine, process, transport and market natural resources, as well as those that provide related services.
- Benchmark
- S&P North American Natural Resources Sector Index
- Additional Benchmark
4 - S&P Global Natural Resources Index
- Fund Inception Date
- 06/05/1995
- Dividend Frequency, if any
- Annually
- Portfolio Turnover
- 27%
Sales Charges, Expenses & Fees
As of 09/01/2026- Gross Expense Ratio
- 0.64%
- Net Expense Ratio
5 - 0.59%
- Maximum Initial Charge
- —
- CDSC
- N/A
- 12b-1 Fee
- N/A
Identifiers
- Ticker
- FNCSX
- Fund Number
- 803
- CUSIP Code
- 354713257
Average Annual Total Returns As of 09/30/2026
Class R6
- 31.17%1 Year
- 17.37%3 Years
- 18.92%5 Years
- 8.01%10 Years
- 7.78%Since Inception
06/05/1995
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.
Top Sectors
As of 09/30/2026 Equity as a % of Total (Updated Monthly)
Oil, Gas & Consumable Fuels46.83% | |
Metals & Mining27.04% | |
Energy Equipment & Services8.14% | |
Chemicals6.65% | |
Food Products2.51% |
Additional Fund Info
- Share Class Inception Date
- 09/20/2013
- Investment Style
- Sector
- Lipper Classification
- Global Natural Resources Funds
- Morningstar Category
6 - Natural Resources
Manager and Commentary
About the Team
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
September 30, 2026- Global Commodities Market and Natural Resources Equities: Global commodity prices generally advanced substantially but unevenly during the third quarter (3Q26), which was dominated by a renewed energy supply shock as the fragile détente between the United States and Iran unraveled. Aside from geopolitical risk premiums and individual commodity supply/demand fundamentals, the macro-driven narrative featured energy-focused inflation, a hawkish US Federal Reserve policy pivot, surging bond yields and a stronger trade-weighted US dollar. Widespread gains on the Refinitiv CoreCommodity CRB Index (+16.0%) masked dispersion beneath the surface: Select metals achieved record highs; energy stayed elevated and choppy on war headlines; non-US natural gas jumped to multiyear highs; and grains rallied on various concerns even as fertilizer costs stayed structurally high. Among commodity-linked stocks, energy was the clear sector winner, while materials lagged and faded hard into September despite generally strong corporate fundamentals. On a global basis, the energy rally generated a 14.9% return (according to the MSCI All Country World Index), more than 10 percentage points ahead of the next-best sector (information technology) despite a 2.1% drop in September. Global materials shares were considerably weaker and more heterogeneous. They suffered a 7.5% decline in September, reducing their 3Q26 gain to 2.3% and relegating them to sixth place among the 11 major sectors.
- Detractors: Overweighted or off-index positions in steel and copper producers, as well as poor-performing diversified mining companies; underweighted exposure to rallying oil and gas conglomerates and refiners; and below-benchmark returns in 13 out of 14 industries that sit outside the benchmark universe.
- Contributors: Beneficial underweighting and stock selection in the construction materials industry, along with underweightings in uranium producers; energy storage and transportation companies; and paper/plastic packaging, products and materials stocks.
- Outlook: In our view, investment leadership is shifting towards businesses that benefit from supply security, strategic resources and government policy rather than broad economic growth.
Franklin Equity
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Managed Fund Since 1999
Latest Insights
October 22, 2026
October 21, 2026
October 12, 2026
September 30, 2026
Performance
Average Annual Total Returns
As of 09/30/2026
Selected Month September 2026
Class R6 - With Sales Charge (POP) (%)
Month End
As of 09/30/2026
- 1 Year
- 31.17
- 3 Years
- 17.37
- 5 Years
- 18.92
- 10 Years
- 8.01
- Since Inception(06/05/1995)
- 7.78
Class R6 - Without Sales Charge (NAV) (%)
Month End
As of 09/30/2026
- 1 Year
- 31.17
- 3 Years
- 17.37
- 5 Years
- 18.92
- 10 Years
- 8.01
- Since Inception(06/05/1995)
- 7.78
S&P North American Natural Resources Sector Index (%)
Month End
As of 09/30/2026
- 1 Year
- 28.76
- 3 Years
- 17.31
- 5 Years
- 19.68
- 10 Years
- 9.77
- Since Inception(06/05/1995)
- —
S&P Global Natural Resources Index (%) 4
Month End
As of 09/30/2026
- 1 Year
- 29.41
- 3 Years
- 14.24
- 5 Years
- 12.15
- 10 Years
- 10.82
- Since Inception(06/05/1995)
- —
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
©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.
Portfolio
Assets
As of09/30/2026 (Updated Monthly)
- Total Net Assets
- $520.66 Million
Positions
As of 09/30/2026 (Updated Monthly)
Number of Issuers
- Fund
- 95
- Benchmark
- 149
Portfolio Statistics
As of 09/30/2026 (Updated Monthly)
Price to Earnings (12-Month Forward)
- Fund
- 12.70x
- Benchmark
- 12.83x
- Fund
- 7.85x
- Benchmark
- 10.00x
- Fund
- 2.08x
- Benchmark
- 2.54x
- Fund
- $110.96 Billion
- Benchmark
- $163.17 Billion
Sector Allocation
As of 09/30/2026 Equity as a % of Total (Updated Monthly)
| Sector | % of Total | Benchmark |
|---|---|---|
Oil, Gas & Consumable Fuels | 46.83% | 66.10% |
Metals & Mining | 27.04% | 19.94% |
Energy Equipment & Services | 8.14% | 6.50% |
Chemicals | 6.65% | — |
Food Products | 2.51% | — |
Construction Materials | 1.73% | 3.71% |
Containers & Packaging | 1.60% | 3.63% |
Electrical Equipment | 1.32% | — |
Machinery | 0.69% | — |
Construction & Engineering | 0.45% | — |
Electronic Equipment & Instruments | 0.43% | — |
Semiconductors & Semiconductor Equipment | 0.42% | — |
Industrial Conglomerates | 0.36% | — |
Independent Power and Renewable Electricity Producers | 0.18% | — |
Paper & Forest Products | — | 0.13% |
Cash & Cash Equivalents | 1.63% | — |
Holdings
As of 09/30/2026 (Updated Monthly)
Exxonmobil Holdings Corp
NEWMONT CORP
ConocoPhillips
Chevron Corp
Freeport-McMoRan Inc
Barrick Mining Corp
BP PLC
Agnico Eagle Mines Ltd
BHP GROUP LTD
Phillips 66
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
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
12/18/2026
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
Documents
Fund Literature
Factsheet - Franklin Natural Resources Fund
Product Commentary - Franklin Natural Resources Fund
Regulatory Documents
Annual Report - Franklin Natural Resources Fund - Class R6
Annual Financial Statements and Other Information - Franklin Strategic Series
Semi-Annual Report - Franklin Natural Resources Fund - Class R6
Semiannual Financial Statements And Other Information - Franklin Strategic Series
Prospectus - Franklin Strategic Series 2
Summary Prospectus - Franklin Natural Resources Fund
Statement of Additional Information - Franklin Strategic Series 2
Fiscal Q1 Holdings - Franklin Strategic Series
Fiscal Q3 Holdings - Franklin Strategic Series
Risks
All investments involve risks, including possible loss of principal. To the extent the portfolio invests in a concentration of certain securities, regions or industries, it is subject to increased volatility. The investment style may become out of favor, which may have a negative impact on performance. 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. 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
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.
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.
Most funds offer multiple share classes. Share classes are subject to different fees and expenses, which will affect their performance.
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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.
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 S&P Global Natural Resources Index includes 90 of the largest publicly-traded companies in natural resources and commodities businesses that meet specific investability requirements, offering investors diversified and investable equity exposure across 3 primary commodity-related sectors: agribusiness, energy, and metals & mining.
Source: © S&P Dow Jones Indices LLC.
The S&P North American Natural Resources Index provides investors with a benchmark that represents U.S. traded securities that are classified under the GICS energy and materials sector excluding the chemicals industry; and steel sub-industry.
Source: © S&P Dow Jones Indices LLC. All rights reserved.
All Putnam-named funds and Franklin Retirement Advantage, Franklin Dynamic Asset Allocation, and Franklin Multi-Asset Income-named funds and Royce funds are not exchangeable for other funds distributed by Franklin Distributors, LLC.