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Managed Fund Since 2019
Fixed Income
FFRDX Franklin Floating Rate Daily Access Fund
- Dedicated Floating Rate Research Team. We have a team solely focused on floating-rate loans analysis, separate from high-yield bonds.
- Access to In-Depth Investment Expertise. Whether we want to look at a security from a credit or equity perspective to get a holistic understanding of the security, we have the ability to draw upon the extensive research resources of Franklin Templeton's fixed income and equity teams.
- Diversified Portfolio. The fund's diversification helps to potentially reduce credit risk by spreading assets across many different issuers and industries.
Popular Documents
Total Net Assets
$1.12B
As of 09/30/2026 (Updated Monthly)
Overview
Fund Facts
Fund description
The fund seeks a high level of current income and, secondarily, preservation of capital, by investing predominantly in floating interest rate senior-secured corporate loans (floating-rate loans) and corporate debt securities.
Sales Charges, Expenses & Fees
As of 03/01/2026- Gross Expense Ratio
- 0.64%
- Net Expense Ratio
9 - 0.62%
- Maximum Initial Charge
- —
- CDSC
- N/A
- 12b-1 Fee
- N/A
Identifiers
- Ticker
- FFRDX
- Fund Number
- 389
- CUSIP Code
- 353612559
Average Annual Total Returns As of 09/30/2026
Class R6
- 3.69%1 Year
- 6.40%3 Years
- 6.02%5 Years
- 4.29%10 Years
- 4.17%Since Inception
05/01/2001
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 % of Total (Updated Monthly)
Bank Loans23.74% | |
Technology/Information Systems14.45% | |
Finance10.13% | |
Other9.63% | |
Services8.85% |
Additional Fund Info
- Share Class Inception Date
- 05/01/2013
- Investment Style
- Bank Loans
- Lipper Classification
- Loan Participation Funds
- Morningstar Category
10 - Bank Loan
Manager and Commentary
About the Team
Franklin Templeton Fixed Income
A global leader in fixed income, the team strives to provide consistent and resilient returns by combining deep fundamental research with rigorous portfolio construction. This solutions-driven approach means maintaining portfolio and risk exposures that align with client expectations.
Commentary Highlights
September 30, 2026- Markets: Geopolitical developments remained a focus during the third quarter (Q3) of 2026, with receding expectations of a settlement nearer to quarter-end resulting in oil prices surging to over US$100/barrel, compared to around US$72/barrel in early July. This energy price move, combined with an increasingly hawkish central bank outlook, drove market moves especially nearer the end of the quarter. The US dollar (USD) was modestly stronger over the quarter, with mixed performance against other currencies. Notably, the Japanese yen appreciated against the USD over the period as it benefited from intervention during the quarter. Following on increasingly hawkish rhetoric, the US Federal Reserve (Fed) raised the fed funds rate by 25 basis points (bps) at its September meeting, retaining a hawkish outlook. The benchmark 10-year UST yield rose 82 bps over the quarter to 5.28%, its highest level since mid-2007. Fixed income volatility measures rose during the quarter. Credit spreads rose over the quarter, with the increases more pronounced in the high-yield sectors.
- The Leveraged Loan market saw its strongest quarterly return since the second quarter of 2025, largely driven by strong collateralized loan obligation (CLO) issuance, steady inflows and a rising interest rate environment. Total US institutional loan activity reached roughly $195 billion (bn) over the quarter. Overall year-to-date (YTD) issuance was down compared to 2025, however, primarily due to a slower pace of repricing/refinancing. US gross CLO issuance volume reached $131.3 bn, bringing the YTD total to $361.1 bn across 822 deals. Non-US gross CLO volume (primarily driven by the European market) reached a total of €36.0 bn (US$40.3 bn) across 84 deals.
- Contributors: Industry allocations were the primary contributor to fund performance, followed by ratings-quality tilt.
- Detractors: Yield curve positioning detracted from the fund’s results during the month, as did security selection.
- Outlook: The loan market has not had any large allergic reaction to the Iran war or the inflationary pressure that has created. So far fundamentals remain constructive, and we broadly expect that most industries in the loan market will acceptably weather any incremental pressures from here on. We do however expect that the lower rated issuers who either have a maturity coming up and/or have cash flow pressures, could incrementally buckle under higher rates.
Franklin Templeton Fixed Income
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Managed Fund Since 2013
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Managed Fund Since 2019
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Managed Fund Since 2019
Latest Insights
October 27, 2026
October 19, 2026
October 14, 2026
October 14, 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
- 3.69
- 3 Years
- 6.40
- 5 Years
- 6.02
- 10 Years
- 4.29
- Since Inception(05/01/2001)
- 4.17
Class R6 - Without Sales Charge (NAV) (%)
Month End
As of 09/30/2026
- 1 Year
- 3.69
- 3 Years
- 6.40
- 5 Years
- 6.02
- 10 Years
- 4.29
- Since Inception(05/01/2001)
- 4.17
Morningstar LSTA U.S. Leveraged Loan Index (%) 4
Month End
As of 09/30/2026
- 1 Year
- 4.55
- 3 Years
- 7.03
- 5 Years
- 6.19
- 10 Years
- 5.38
- Since Inception(05/01/2001)
- 5.07
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
- $1.12 Billion
Positions
As of 09/30/2026 (Updated Monthly)
Number of Holdings
- Fund
- 305
- Benchmark
- 1,338
Portfolio Statistics
As of 09/30/2026 (Updated Monthly)
Effective Duration
- Fund
- 0.13 Years
- Benchmark
- -0.01 Years
Asset Allocation
As of 09/30/2026 % of Total (Updated Monthly)
| Holdings | Fund |
|---|---|
Fixed Income | 94.65% |
Equity | 0.94% |
Cash & Cash Equivalents | 4.42% |
Holdings
As of 09/30/2026 (Updated Monthly)
Franklin Institutional US Government Money Market Fund
Sedgwick Claims Management Services Inc 9.07734% 07/31/2031 2025 Term Loans
HUB INTERNATIONAL LTD 6.5% 06/20/2030 2025 Incremental Term Loans
ZUFFA LLC 6.5% 10/20/2031 Term B-7 Loan
UKG Inc 8.81426% 02/09/2031 Initial Term Loan
HOLOGIC INC 6.5% 02/10/2033 USD Initial Term B Loans
Dayforce Bidco LLC (Dawn Bidco fka Ceridian HCM) 6.5% 02/04/2033 Initial Term Loans
Micro Holding Corp MH SUB I LLC Webmd Health Corp (Internet Brands) 6.5% 12/10/2031 2024 December New Term Loans
Flynn Restaurant Group LP 6.5% 01/28/2032 Series 2025 Term Loans
Mcafee Corp 6.5% 03/01/2029 Tranche B-1 Term Loans
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
- MonthlyThis fund is an ex-Dividend fund
- Capital Gain Distributions
- December
Rates and Yields
Distribution Rate
At Net Asset Value (NAV) 6.91%
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
12/30/2026
09/30/2026
08/31/2026
07/31/2026
06/30/2026
05/29/2026
04/30/2026
03/31/2026
02/27/2026
01/30/2026
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 Floating Rate Daily Access Fund
Product Commentary - Franklin Floating Rate Daily Access Fund
Regulatory Documents
Annual Report - Franklin Floating Rate Daily Access Fund - Class R6
Annual Financial Statements And Other Information - Franklin Investors securities Trust
Semi-Annual Report - Franklin Floating Rate Daily Access Fund - Class R6
Semiannual Financial Statements and Other Information - Franklin Investors Securities Trust
Prospectus - Franklin Investors Securities Trust #2
Summary Prospectus - Franklin Floating Rate Daily Access Fund
Statement of Additional Information - Franklin Investors Securities Trust #2
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. 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. The fund should not be considered an alternative to money market funds or certificates of deposit (CDs). Floating-rate loans and debt securities are typically rated below investment grade and are subject to greater risk of default, which could result in loss of principal. Low-rated, high-yield bonds are subject to greater price volatility, illiquidity and possibility of default. Changes in the credit rating of a bond, or in the credit rating or financial strength of a bond’s issuer, insurer or guarantor, may affect the bond’s value. Active management does not ensure gains or protect against market declines. 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 Morningstar LSTA US Leveraged Loan Index is designed to reflect the performance of the largest facilities in the leveraged loan market.
The Fund is not sponsored, endorsed, sold or promoted by Morningstar, Inc. or any of its affiliates.
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.