Equity

FSSAX Franklin Small Cap Growth Fund

Higher growth rate potential of smaller companies compared to larger, more established companies.
Tenured and experienced portfolio management team.
Distinct research structure. Investment professionals organized into collaborative sector teams.

Overview

See the risks and other important information.

Fund Facts

Fund description

The fund seeks long-term capital growth by investing at least 80% of its net assets in the equity securities of companies with market capitalizations of generally less than $1.5 billion, or the highest market capitalization in the Russell 2000 Index, whichever is greater, at the time of purchase.

Benchmark: Russell 2000 Growth Index
Additional Benchmark: S&P 500 Index
Fund Inception Date: 05/01/2000
Dividend Frequency, if any: Annually
Portfolio Turnover: 16%

Sales Charges, Expenses & Fees

As of 09/01/2025

Gross Expense Ratio⁴: 0.79%
Net Expense Ratio^4,5: 0.79%
Maximum Initial Charge: N/A
CDSC: N/A
12b-1 Fee: N/A

Identifiers

Ticker: FSSAX
Fund Number: 665
CUSIP Code: 354713653

Average Annual Total Returns As of 11/30/2025

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

Advisor Class

With Sales Charge (POP)

Without Sales Charge (NAV)

-0.87%1 Year
14.22%3 Years
3.27%5 Years
9.83%10 Years
8.18%Since Inception
05/01/2000

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
Capital Goods16.14%
Software & Services15.12%
Pharmaceuticals, Biotechnology & Life Sciences12.86%
Health Care Equipment & Services10.24%
Semiconductors & Semiconductor Equipment8.27%

Additional Fund Info

Share Class Inception Date: 05/01/2000
Investment Style: Growth
Lipper Classification: Small-Cap Growth Funds
Morningstar Category³: Small Growth

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

Markets: US equities delivered strong performance over the third quarter of 2025, buoyed, in part, by easing trade tensions and optimism surrounding artificial intelligence (AI). The US Federal Reserve’s (Fed’s) interest-rate cut in September also supported market sentiment, as did generally robust corporate earnings. Both the S&P 500 Index and the Nasdaq Composite Index ended the quarter at new record highs, while returns for the Dow Jones Industrial Average were more muted. In this environment, growth investing surpassed value in the large-capitalization tier, while it was the reverse in the mid- and small-capitalization segments, with small-cap stocks overall performing better than their large and mid-cap counterparts.
Detractors: Both stock selection and allocation effects were drags on the fund’s overall relative performance. Stock selection in the information technology (IT) sector was the largest source of negative relative returns, followed by stock selection and an overweight in the consumer staples sector and stock selection in the consumer discretionary sector.
Contributors: The bulk of the fund’s relative strength came from stock selection in the financials and health care sectors, which benefited from investments in the capital markets and biotechnology industries, respectively.
Outlook: The performance of small-cap stocks in general has been positive so far this year, supported by valuations that we consider to be favorable, as well as by earnings growth and monetary policy. In our view, future performance will likely depend on the health of the US economy, along with Fed decisions and overall investor confidence. We believe small-cap growth stocks are attractively valued, both relative to large caps and in light of their underlying growth potential.

For complete information, please see the full commentary:

Franklin Equity Group

Managed Fund Since 2000

Managed Fund Since 2004

Latest Insights

November 27, 2025

2026: The year innovation becomes the economy

October 13, 2025

Colossal Tech: How AI capex is shaping the economy

October 6, 2025

From fast follower to fast leader: My journey into China’s biotech boom

October 1, 2025

Physical AI is about to reshape our world

Performance

Risk Measures

As of 11/30/2025

Advisor Class - Without Sales Charge (NAV)

Measured against: Russell 2000 Growth Index

Statistics

Beta

Bull Bear Capture Ratio

Beta Bear

Beta Bull

Historical Tracking Error

Information Ratio

Gains/Losses

Standard Deviation (%)

Advisor Class

Russell 2000 Growth Index

Sharpe Ratio (%)

Advisor Class

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: 3 out of 5 stars
As of 11/30/2025

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

5 Years: 5 Years: 2 out of 5 stars
502 Funds in category

10 Years: 10 Years: 3 out of 5 stars
394 Funds in category

Rating Category: Small Growth

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: $2.53 Billion

Positions

As of 11/30/2025 (Updated Monthly)

Number of Issuers

Fund: 113
Benchmark: 1,092

Portfolio Statistics

As of 11/30/2025 (Updated Monthly)

Price to Cash Flow

Fund: 15.40x
Benchmark: 15.46x

Price to Earnings (12-Month Forward)

Fund: 26.32x
Benchmark: 21.72x

Price to Book

Fund: 3.38x
Benchmark: 4.84x

Weighted Average Market Capitalization (USD)

Fund: $7.39 Billion
Benchmark: $5.86 Billion

Market Capitalization Allocation

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

Market Capitalization Allocation
Market Capitalization	Fund
<1.0 Billion	1.63%
1.0-2.0 Billion	8.62%
2.0-5.0 Billion	33.88%
5.0-10.0 Billion	30.92%
>10.0 Billion	24.53%
N/A	0.43%

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

BWX Technologies Inc COM USD.01

Arcosa Inc COM USD 0.01

AAR Corp COM USD 1

Lattice Semiconductor Corp COM USD NPV

Granite Construction Inc COM USD.01

Onto Innovation Inc COM USD NPV

SiTime Corp COM USD 0.0001

AAON Inc COM USD1

Credo Technology Group Holding Ltd ORD USD 0.00005

New York Times Co/The COM A USD.1

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 94-3352774

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
Dec 19	—	—	—	—	—	—	—	—	—
	—	—	—	—	—	—	—	—	—

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.: —
Specified Private Activity Bond Interest: —
Dividends Received Deduction: —
Section 163(j): —
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 12/09/2025 (Updated Daily)

Time Period

From

From Date

To Date

Daily Fund Prices

As of 12/09/2025

Share Prices

As of 12/09/2025

NAV ¹(Net Asset Value): $29.00
NAV Change ¹: $-0.08
NAV Change (%) ¹: -0.28%
POP ⁶(Public Offering Price): $29.00

52-Week Range

Highest NAV As of 12/08/2025: $29.08
Lowest NAV As of 04/08/2025: $20.33

Documents

Fund Literature

Fund Literature
Checkbox	Name	Download	Add to Cart
Checkbox	Factsheet - Franklin Small Cap Growth Fund	Download Document
Checkbox	Product Commentary - Franklin Small Cap Growth Fund	Download Document

Regulatory Documents

Regulatory Documents
Checkbox	Name	Download
Checkbox	Annual Report - Franklin Small Cap Growth Fund Advisor Class	Download Document
Checkbox	Annual Financial Statements and Other Information - Franklin Strategic Series	Download Document
Checkbox	Semi-Annual Report - Franklin Small Cap Growth Fund - Advisor Class	Download Document
Checkbox	Semi-Annual Financial Statements and Other Information - Franklin Strategic Series 1	Download Document
Checkbox	Prospectus - Franklin Strategic Series 1	Download Document
Checkbox	Summary Prospectus - Franklin Small Cap Growth Fund	Download Document
Checkbox	Statement of Additional Information - Franklin Strategic Series 1Mailed hardcopies unavailable.	Download Document
Checkbox	Fiscal Q1 Holdings - Franklin Strategic SeriesMailed hardcopies unavailable.	Download Document
Checkbox	Fiscal Q3 Holdings - Franklin Strategic SeriesMailed hardcopies unavailable.	Download Document

View Proxy Voting Records and Proxy Voting Policies

Risks

All investments involve risks, including possible loss of principal. Small- and mid-cap stocks involve greater risks and volatility than large-cap stocks. The investment style may become out of favor, which may have a negative impact on performance. To the extent the portfolio invests in a concentration of certain securities, regions or industries, it is subject to increased volatility. Liquidity risk exists when securities or other investments become more difficult to sell, or are unable to be sold, at the price at which they have been valued. 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.

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.

The Russell 2000 Growth Index measures the performance of the small-cap growth segment of the U.S. equity universe.
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.
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.
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.
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.
Effective 12/31/96, the fund began offering Advisor Class shares. For periods prior to the fund's Advisor Class inception date, a restated figure is used based on the fund's oldest share class, Class A performance, excluding the effect of Class A's maximum initial sales charge but reflecting the effect of the Class A Rule 12b-1 fees; and for periods after the fund's Advisor Class inception date, actual Advisor Class performance is used, reflecting all charges and fees applicable to that class.

Sunday	Monday	Tuesday	Wednesday	Thursday	Friday	Saturday

Sunday	Monday	Tuesday	Wednesday	Thursday	Friday	Saturday

Individual Investor

Financial Professional

Institutional Investor

FSSAX Franklin Small Cap Growth Fund

Popular Documents

Overview

Fund description

Sales Charges, Expenses & Fees

Identifiers

Advisor Class

Top Sectors

Additional Fund Info

Manager and Commentary

About the Team

Latest Insights

Performance

Risk Measures

Ratings 3

Portfolio

Market Capitalization Allocation

Distributions & Tax

Federal ID Number 94-3352774

Pricing

Chart

Daily Fund Prices

Documents

Risks

Important Information

Footnotes

Ratings ³