Fixed Income Active

FTMH Franklin Municipal High Yield ETF

Tax-advantaged income. The fund pursues above-average income free from federal income tax by investing in higher-yielding, lower-rated municipal bonds.
Focus on risk management. Portfolio managers use fundamental research to identify bonds that offer attractive return potential relative to risk.
Muni expertise. Franklin Templeton is one of the largest active muni bond managers in the nation. The team’s experience navigating through multiple market cycles helps them uncover opportunities and identify risks.

Overview

See the risks and other important information.

Fund Facts

Fund description

The fund seeks as high a level of current income exempt from federal income tax as is consistent with preservation of capital.

Benchmark: Bloomberg Municipal Bond Index
Fund Inception Date⁴: 09/09/1985
Listing Exchange: NYSE Arca
Dividend Frequency, if any: Monthly
Distribution Rate at NAV⁵As of 03/31/2026 (Updated Daily): 4.34%
30-Day SEC Yield—With Waiver^6,7,8As of 02/28/2026 (Updated Monthly): 4.60%
30-Day SEC Yield—Without Waiver^7,8As of 02/28/2026 (Updated Monthly): 4.59%
Taxable Equivalent Yield—With WaiverAs of 02/28/2026 (Updated Monthly): 7.77%
Taxable Equivalent Yield—Without WaiverAs of 02/28/2026 (Updated Monthly): 7.75%

Expenses & Fees

As of 10/08/2025

Gross Expense Ratio⁹: 0.35%
Net Expense Ratio^9,10: 0.35%

Identifiers

Ticker: FTMH
CUSIP Code: 746729789
ISIN Code: US7467297898
Bloomberg Code: FTMH US

Average Annual Total Returns As of 02/28/2026

View performance section for additional info As of 02/28/2026

Market Price Return

NAV Return

4.85%1 Year
6.43%3 Years
2.30%5 Years
3.55%10 Years
5.37%Since Inception
09/09/1985

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.

State / U.S. Territory Focus

View portfolio section for additional info

As of 02/28/2026 % of Total (Updated Monthly)

Florida14.10%

Education20.91%

Special Tax18.64%

Wisconsin8.07%

Texas8.02%

Health Care15.61%

Housing14.04%

Cash & Cash Equivalents7.72%

Industrial Dev. Revenue and Pollution Control8.80%

California7.19%

Other Revenue Bonds6.11%

Local4.78%

Transportation4.05%

Not Available-4.04%

State General Obligation1.55%

Additional Fund Info

Fiscal Year End: July 31
Listing Date⁴: 10/27/2025
ETF Type: Active
Morningstar Category: High Yield Muni

Trading Characteristics

(Updated Daily)

Shares Outstanding: 46,628,904
Daily Volume: N/A
20-Day Average Volume: N/A

Manager and Commentary

Franklin Templeton Fixed Income

Managed Fund Since 2024

Managed Fund Since 2016

Managed Fund Since 2024

Performance

Calendar Year Returns

As of 02/28/2026

Month End

Quarter End

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. Returns are based on Market Price or NAV, assume the reinvestment of all distributions and the deduction of all Fund expenses. Performance would have been lower if expenses had not been waived in various periods. Returns for periods of less than one year are not annualized.

Franklin Municipal High Yield ETF - Market Price Return (%)

Franklin Municipal High Yield ETF - NAV Return (%)

Bloomberg Municipal Bond Index (%)

Prior to close of business on October 24, 2025, the ETF operated as an open-end mutual fund. The ETF has an identical investment goal and substantially similar investment strategies as the predecessor mutual fund. The NAV returns include returns of the Class R6 shares of the predecessor mutual fund prior to the ETF's commencement of operations. Prior to the ETF's listing on 10/27/2025, the NAV performance for the Class R6 shares of the predecessor mutual fund is used as a proxy for market price returns, which are typically calculated using the official closing price of the ETF. If the predecessor mutual fund had been structured as an exchange-traded fund, its performance may have differed. Returns for periods prior to inception of Class R6 shares are based on previous share classes. Returns for those shares were not adjusted for the lower operating expenses; had they been adjusted, performance would be higher.

Overall Morningstar Rating: Overall Morningstar Rating: 4 out of 5 stars
As of 02/28/2026

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

5 Years: 5 Years: 4 out of 5 stars
164 Funds in category

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

Rating Category: High Yield Muni

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.

©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 of03/31/2026 (Updated Daily)

Total Net Assets: $538.33 Million

Positions

As of 02/28/2026 (Updated Monthly)

Number of Holdings

Fund: 454

Portfolio Statistics

As of 02/28/2026 (Updated Monthly)

Effective Duration

Fund: 7.63 Years
Benchmark: 6.66 Years

Average Weighted Maturity

Fund: 20.66 Years
Benchmark: —

Sector Allocation

As of 02/28/2026 % of Total (Updated Monthly)

Sector Allocation
Sector	% of Total
Education	20.91%
Special Tax	18.64%
Health Care	15.61%
Housing	14.04%
Industrial Dev. Revenue and Pollution Control	8.80%
Other Revenue Bonds	6.11%
Local	4.78%
Transportation	4.05%
State General Obligation	1.55%
Lease	1.07%
Utilities	0.72%
Refunded	0.03%
Not Available	-4.04%
Cash & Cash Equivalents	7.72%

Holdings
As of 03/31/2026 (Updated Daily)

NY TRANSPRTN DEV C 6 6/55

CSCDA CMNTY IM 3.125 8/56

GRAYS HARBOR 6.875 12/53

RESTRUCTURED-SER A 4 7/41

MD ECON DEV CORP - 6 7/58

IL FIN AUTH-A 5 2/47

PUTNAM GOVT MMKT FND-P

NY TRANSPRTN DEV C 6 6/54

CHICAGO BRD ED 5.75 12/50

NEW YORK LIBERTY D 3 9/43

Distributions & Tax

Distribution Frequency
Ex-Dividend Fund: This type of fund declares periodic dividends, which are paid to shareholders who own the fund as of a certain date - known as the "record date". After the record date, the fund is said to be trading "ex-dividend"(literally, without the dividend). An investor who buys shares during the interval between the record date and the payment of the dividend does not receive the dividend. A fund that's in the ex-dividend period is marked with an "x" in newspaper listings.

Daily Accrual Fund: This type of fund typically declares income dividends each day that its net asset value is calculated. These dividends remain in the fund until the designated reinvestment or payment date and are distributed to the shareholders, generally once a month, as additional shares or cash, respectively.: MonthlyThis fund is an ex-Dividend fund
Capital Gain Distributions: December

Proposed 2026 distribution dates for ETFs

Rates and Yields Read important information about results and other investment disclosures

Distribution Rate ⁵

As of 03/31/2026 (Updated Daily)

At Net Asset Value (NAV) 4.34%

30-Day SEC Yield ^6,7,8

As of 02/28/2026 (Updated Monthly)

w/ Waiver 4.60%

w/o Waiver 4.59%

Taxable Equivalent Yield ^6,11

As of 02/28/2026 (Updated Monthly)

w/ Waiver 7.77%

w/o Waiver 7.75%

Taxable Equivalent Distribution Rate ¹¹

As of 03/02/2026 (Updated Monthly)

7.20%

Distributions are not guaranteed and are subject to change.

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
Distributions with future dates are estimates and those figures are not final

03/03/2026

02/03/2026

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

Pricing History

As of 03/31/2026 (Updated Daily)

Time Period

From

From Date

To Date

Daily Fund Prices

As of 03/31/2026

Share Prices

As of 03/31/2026

NAV ¹(Net Asset Value): $11.55
NAV Change ¹: $0.05
NAV Change (%) ¹: 0.43%
Market Price ¹: $11.53
Market Price Change ¹: $0.00
Market Price Change (%) ¹: 0.26%

52-Week Range

Highest NAV As of 02/27/2026: $11.85
Lowest NAV As of 04/09/2025: $10.91
Highest Market Price As of 02/25/2026: $11.86
Lowest Market Price As of 03/27/2026: $11.45

Documents

Fund Literature

Fund Literature
Checkbox	Name	Download	Add to Cart
Checkbox	Factsheet - Franklin Municipal High Yield ETF	Download Document

Regulatory Documents

Regulatory Documents
Checkbox	Name	Download
Checkbox	Semi-Annual Report - Franklin Municipal High Yield ETF - Single Class	Download Document
Checkbox	Semiannual Financial Statements And Other Information - Franklin Municipal High Yield ETF	Download Document
Checkbox	Prospectus - Franklin Municipal High Yield ETF	Download Document
Checkbox	Summary Prospectus - Franklin Municipal High Yield ETF	Download Document
Checkbox	Statement Of Additional Information - Franklin Municipal High Yield ETF	Download Document
Checkbox	Fiscal Q1 Holdings-Franklin Municipal High Yield ETF	Download Document

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. Low-rated, high-yield bonds are subject to greater price volatility, illiquidity and possibility of default. Active management does not ensure gains or protect against market declines. An investor may be subject to the federal Alternative Minimum Tax, and state and local taxes may apply. 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.

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.

Most funds offer multiple share classes. Share classes are subject to different fees and expenses, which will affect their performance.

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.

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 Bloomberg Municipal Bond Index is a broad measure of the municipal bond market with maturities of at least one year.
Source: Bloomberg Indices.

Footnotes

Net Asset Value (NAV) returns are based on the NAV of the ETF/ETP. The fund’s NAV represents the per-share-value and is determined by dividing the total NAV of the fund by the number of shares outstanding; Market Price returns are based upon the official closing price of the ETF’s/ETP's shares. The fund calculates the NAV per share each business day and normally coincides with the close of trading on the exchange on which they are listed, typically 4 pm ET. The fund does not calculate the NAV on days the exchange is closed for trading. These returns do not represent investors’ returns had they traded shares at other times.
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. ©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.
On 10/27/2025 this product converted from a mutual fund to an exchange traded fund and was listed on the exchange. No premium and discount information is available prior to listing date.
Distribution Rate is calculated by annualizing the most recent distribution amount paid, divided by the closing market price or NAV as of the date indicated. The Distribution Rate calculation includes income and excludes special distributions. The Distribution Rate is subject to change and is not guaranteed nor a quotation of fund performance.
With Waiver means the performance quote reflects any applicable expense reductions and fee waivers.
During periods of rising inflation, fund yields can vary significantly from month-to-month and may not be repeated.
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 Taxable Equivalent Yield assumes the maximum regular federal income tax rate and the Medicare tax. Dividends are general subject to state and local taxes, if any. For investors subject to the alternative minimum tax, a small portion of fund dividends may be taxable. Distributions of capital gains may be taxable.
Returns are average annualized total returns, except for those periods of less than one year, which are cumulative. Market Price returns are calculated using the closing price as of 4 pm ET on each trading day (when NAV is normally determined for most funds), and do not represent the returns you would receive if you traded shares at other times. Since shares of the fund did not trade in the secondary market until after the fund's inception, for the period from inception to the first day of secondary trading 10/27/25, the NAV of the fund is used as a proxy for the Market Price to calculate market returns. Index returns are adjusted for withholding taxes. Performance for the ETF/ETP and its benchmark index are as of the ETF's/ETP's last trading day before the end of the period.

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FTMH Franklin Municipal High Yield ETF

Popular Documents

Mutual fund reorganized into this ETF

Overview

Fund description

Expenses & Fees

Identifiers

State / U.S. Territory Focus

Additional Fund Info

Trading Characteristics

Manager and Commentary

Performance

Calendar Year Returns

Ratings 3

Portfolio

Sector Allocation

Distributions & Tax

Rates and Yields Read important information about results and other investment disclosures

Pricing

Chart

Daily Fund Prices

Documents

Risks

Important Information

Footnotes

Ratings ³