Equity

ClearBridge Dividend Strategy ESG Portfolios

Year to Date Returns (Net)
7.67%
As of 09/30/2025
Year to Date Returns (Pure Gross)
10.06%

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Overview

Product Facts

Strategy description

ClearBridge Dividend Strategy ESG Portfolios invest primarily in dividend-paying stocks that offer the potential for income growth and capital appreciation over time. The investment team believes that companies that exhibit market leadership, coupled with solid balance sheets and strong dividend profiles, are attractive investment candidates for the long-term investor.

Benchmark
S&P 500 Index
Inception Date
02/28/2013
Asset Class
Equity
Number of Issuers As of 10/31/2025 (Updated Monthly)
53

Average Annual Total Returns

View performance section for additional info As of 09/30/2025
  • 8.51%1 Year
  • 15.77%3 Years
  • 10.13%5 Years
  • 9.51%10 Years
  • 8.67%Since Inception
    02/28/2013

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 09/30/2025 % of Total (Updated Quarterly)

Information Technology16.66%
Financials14.42%
Health Care12.03%
Consumer Staples8.13%
Industrials7.89%

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Manager and Commentary

About the Team

ClearBridge Investments

ClearBridge Investments is a well-established global investment manager focusing on proprietary research and fundamental investing. With over 60 years of experience building portfolios for clients seeking income solutions, high active share or low-volatility, long-tenured portfolio managers provide strong leadership in a centralized investment structure.

Commentary Highlights

September 30, 2025
  • Markets: The third quarter continued the post-Liberation Day rebound for U.S. equity markets, with animal spirits driving the S&P 500 Index to record highs. Investor optimism was fueled by better-than-featured tariff outcomes, the passing of the One Big Beautiful Bill Act in July, anticipated interest rate cuts - the Federal Reserve delivered with a 25 bps cut in September and signaled further easing - and robust corporate earnings.
  • Contributors: Stock selection in the IT, health care and utilities sectors proved beneficial.
  • Detractors: An underweight to IT and an overweight to consumer staples detracted. Stock selection in the communication services sector also detracted.
  • Outlook: With investors continuing to be complacent in the face of historically high valuations, we continue to emphasize investments with more modest valuations. The gap between the valuation of our portfolio and the market remains as wide as it has ever been. We believe this positions us both for better potential appreciation and lower downside risk
ClearBridge Investments logo
[John Baldis avatar]

Managed Strategy Since 2013

[Michael Clarfelds avatar]

Managed Strategy Since 2013

[Diane Keadys avatar]

Managed Strategy Since 2013

Portfolio Manager Profile
Years of Experience
Manager Location

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Composite Performance

Risk/Return Profile (%)

Based on a 10 year period ending Sep-30-2025

Chart

Scatter chart with 3 data series.
The chart has 1 X axis displaying Risk (Annualized Standard Deviation) (%). Data range: 2.58 categories.
The chart has 1 Y axis displaying Annualized Return (%). Data ranges from 9.51 to 15.3.
End of interactive chart.

The strategy returns shown are preliminary composite returns, subject to future revision (downward or upward). Past performance is not a guarantee of future results. An investment in this strategy can lose value.  

Performance data represents past performance, which does not guarantee future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate with market conditions, and you may have a gain or loss when you sell your shares. Periods less than one year are not annualized. Performance results are for the composite which includes all actual, fully discretionary accounts with substantially similar investment policies and objectives managed to the composite's investment strategy. Composite returns are stated in U.S. dollars and assume reinvestment of any dividends, interest income, capital gains, or other earnings. The composite may include account(s) that are gross of fees and pure gross of fees. “Pure” gross-of-fee returns do not reflect the deduction of any expenses, including transaction costs. A traditional (or "true") gross-of-fee return reflects performance after the reduction of transaction costs but before the reduction of the investment advisory fee. The gross-of-fee return may include a blend of "true" gross-of-fee returns for non-wrap accounts and "pure” gross-of-fee returns for wrap accounts. Net-of-fee returns is reduced by a model “wrap fee” (3.0% is the maximum anticipated wrap fee for equity and balanced portfolios) which includes trading expenses as well as investment management, administrative and custodial fees. The model wrap fee used represents the highest anticipated wrap fee applicable to the strategy. Actual fees and account minimums may vary.  

For fee schedules, contact your financial professional, or if you enter into an agreement directly with Franklin Templeton Private Portfolio Group, LLC (“FTPPG”), refer to FTPPG’s Form ADV Part 2A disclosure document. Management and performance of individual accounts may vary for reasons that include the existence of different implementation practices and model requirements in different investment programs.   

To obtain specific information on available products and services or a GIPS® Report, contact your Franklin Templeton separately managed account sales team at (800) DIAL BEN/342-5236. ClearBridge Investments, LLC, Martin Currie, Royce Investment Partners, and Western Asset Management Company, LLC claim compliance with the Global Investment Performance Standards (GIPS®). GIPS® is a registered trademark of CFA Institute. CFA Institute does not endorse or promote this organization, nor does it warrant the accuracy or quality of the content contained herein. 

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Portfolio

Positions

As of 09/30/2025 (Updated Monthly)

Number of Issuers
Portfolio
53
Benchmark
503

Portfolio Statistics

As of 09/30/2025 (Updated Monthly)

Weighted Average Market Capitalization (USD)
Portfolio
$474.80 Billion
Benchmark
$1,321.55 Billion
Estimated 3-5 Year EPS Growth
Portfolio
8.41%
Benchmark
11.83%
Price to Book
Portfolio
6.68x
Benchmark
8.18x
Price to Earnings (12-Month Forward)
Portfolio
19.58x
Benchmark
25.04x
Dividend Yield 1
Portfolio
2.22%
Benchmark
1.15%
Median Market Cap (USD)
Portfolio
$115.89 Billion
Benchmark
$403.16 Billion

Portfolio characteristics are based on a model portfolio, not an actual client account. The model portfolio is a hypothetical portfolio whereby the portfolio characteristics are based on simulated trading and account activity of a client account invested in this strategy. The model portfolio assumes no withdrawals, contributions or client-imposed restrictions. Portfolio characteristics of individual client accounts may differ from those of the model portfolio as a result of account size, client-imposed restrictions, the timing of client investments, market conditions, contributions, withdrawals and other factors.

Market Capitalization Allocation

As of 09/30/2025 % of Equity (Updated Quarterly)

Market Capitalization Portfolio
<10 Billion 2.28%
10-50 Billion 10.63%
50-250 Billion 58.39%
250-500 Billion 10.48%
>500 Billion 18.23%

Chart

Bar chart with 5 bars.
The chart has 1 X axis displaying categories.
The chart has 1 Y axis displaying values. Data ranges from 2.27687 to 58.38822.
End of interactive chart.

Portfolio characteristics are based on a model portfolio, not an actual client account. The model portfolio is a hypothetical portfolio whereby the portfolio characteristics are based on simulated trading and account activity of a client account invested in this strategy. The model portfolio assumes no withdrawals, contributions or client-imposed restrictions. Portfolio characteristics of individual client accounts may differ from those of the model portfolio as a result of account size, client-imposed restrictions, the timing of client investments, market conditions, contributions, withdrawals and other factors.

Top Equity Issuers

As of 09/30/2025 (Updated Quarterly)

Holdings Portfolio
Microsoft Corp
4.27%
Williams Cos Inc/The
3.90%
Broadcom Inc
3.62%
Sempra
3.16%
Nestle SA
3.08%
Becton Dickinson & Co
2.67%
Unilever PLC
2.57%
TE Connectivity PLC
2.53%
JPMorgan Chase & Co
2.43%
Kinder Morgan Inc
2.40%

 

Bar chart with 10 bars.
The chart has 1 X axis displaying categories.
The chart has 1 Y axis displaying values. Data ranges from 2.39502 to 4.26803.
End of interactive chart.
Skipped to Documents Section Content

Documents

Product Documents
Name Download Add to Cart
Factsheet - ClearBridge Dividend Strategy ESG PortfoliosDownload Document
Product Commentary - ClearBridge Dividend Strategy ESG PortfoliosDownload Document
FTPPG Regulatory DisclosuresMailed hardcopies unavailable.Download Document
Pitchbook - ClearBridge Dividend Strategy ESG PortfoliosDownload Document

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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 managers’ environmental, social and governance (ESG) strategies may limit the types and number of investments available and, as a result, may forgo favorable market opportunities or underperform strategies that are not subject to such criteria. There is no guarantee that the strategy's ESG directives will be successful or will result in better performance.

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Separately Managed Accounts (SMAs) are investment services provided by Franklin Templeton Private Portfolio Group, LLC (FTPPG), a federally registered investment adviser. Client portfolios are managed based on investment instructions or advice provided by one or more of the following Franklin Templeton affiliated sub-advisers: ClearBridge Investments, LLC. Management is implemented by FTPPG, the designated sub-adviser or, in the case of certain programs, the program sponsor or its designee. 

Performance data quoted represents past performance, which does not guarantee future results. Current performance may differ from figures shown. Investment return and principal value will fluctuate with market conditions, and you may have a gain or a loss when you sell your shares. Returns reflect reinvestment of dividends and capital gains. Performance figures for periods shorter than one year represent cumulative figures and are not annualized. All performance is reported in US dollars.

ClearBridge Investments, LLC, Franklin Templeton Investment Solutions, Martin Currie, Royce Investment Partners, Western Asset Management Company, LLC, and Franklin Templeton claim compliance with the Global Investment Performance Standards (GIPS®). GIPS® is a registered trademark of CFA Institute. CFA Institute does not endorse or promote this organization, nor does it warrant the accuracy or quality of the content contained herein.

Professional money management may not be suitable for all investors. Factual information relating to the securities discussed was obtained from sources believed to be reliable, but there can be no guarantee as to its accuracy. It should not be assumed that investments made in the future will be profitable or will equal the performance of the securities discussed in the material.

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Franklin Templeton (FT) is not undertaking to provide impartial advice. Nothing herein is intended to provide fiduciary advice. FT has a financial interest.

Important data provider notices and terms available at www.franklintempletondatasources.com.

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 S&P 500 Index features 500 leading U.S. publicly traded companies, with a primary emphasis on market capitalization.
Source: © S&P Dow Jones Indices LLC. All rights reserved.

All entities mentioned are Franklin Templeton affiliated companies. Investment Products: NOT FDIC INSURED | NO BANK GUARANTEE | MAY LOSE VALUE.

Footnotes

  1. Dividend yield is calculated without the deduction of fees and expenses. 

  2. 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.