Fixed Income Active

FLCB Franklin U.S. Core Bond ETF

Built for the core. Broad, diversified exposure to investment grade bonds across sectors.
Alpha generation: Pursues benchmark outperformance mainly through security selection and sector rotation.
Active risk-focused approach. Focuses on risk-management to help mitigate the impact of down markets and stays within specific duration and sector ranges relative to the benchmark.

Overview

See the risks and other important information.

Fund Facts

Fund description

Seeks total return, pursuing relative value opportunities, and invests in bonds of U.S. issuers, including government, corporate debt, mortgage-backed and asset-backed securities.

Benchmark: Bloomberg U.S. Aggregate Index
Fund Inception Date: 09/17/2019
Listing Exchange: NYSE Arca
Dividend Frequency, if any: Monthly
Distribution Rate at NAV⁴As of 08/06/2026 (Updated Daily): 4.78%
30-Day SEC Yield—With Waiver^5,6,7As of 06/30/2026 (Updated Monthly): 4.55%
30-Day SEC Yield—Without Waiver^6,7As of 06/30/2026 (Updated Monthly): 4.55%

Expenses & Fees

As of 08/01/2026

Gross Expense Ratio⁸: 0.15%
Net Expense Ratio^8,9: 0.15%

Identifiers

Ticker: FLCB
CUSIP Code: 35473P553
ISIN Code: US35473P5531
Bloomberg Code: FLCB US

Average Annual Total Returns As of 06/30/2026

View performance section for additional info As of 06/30/2026

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.

Market Price Return

NAV Return

3.76%1 Year
4.16%3 Years
-0.08%5 Years
—10 Years
1.00%Since Inception
09/17/2019

Additional Fund Info

Fiscal Year End: March 31
ETF Type: Active
Morningstar Category¹⁰: Intermediate Core Bond

Trading Characteristics

As of 08/06/2026 (Updated Daily)

Shares Outstanding: 144,400,000
Daily Volume: 456,997
20-Day Average Volume: 407849.30

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

June 30, 2026

Markets : Some of the risk aversion that had characterized financial markets at the end of the previous quarter eased during the second quarter, although geopolitical developments remained a key focus. The Middle East conflict continued to drive sentiment through the quarter, with markets reacting to shifting news around negotiations, before the United States and Iran signed a 14-point Memorandum of Understanding (MOU) in late June. The MOU formalized a ceasefire, established a 60-day negotiation framework and included provisions to restore shipping through the Strait of Hormuz. The US dollar was modestly stronger over the quarter, appreciating against most other currencies. The US Federal Reserve (Fed) kept policy rates unchanged, but its tone became more hawkish overall as internal disagreement over the easing bias increased, minutes suggested rates could remain unchanged for longer, and the June Federal Open Market Committee (FOMC) meeting removed previous easing guidance despite a more dovish press conference from new Fed Chair Kevin Warsh. The benchmark 10-year US Treasury (UST) yield rose by 15 basis points to 4.47% over the quarter. Fixed income volatility measures eased during the quarter as risk aversion retreated somewhat. For similar reasons, credit spreads narrowed over the quarter, with the declines more pronounced in the high-yield sectors. Total returns in corporate bonds were positive over the quarter. Securitized sectors generated a positive excess return versus duration-matched Treasuries.
Contributors : Overweight allocations to investment-grade (IG) corporate bonds, commercial mortgage-backed securities (CMBS), agency mortgage-backed securities (MBS) and asset-backed securities (ABS). Out-of-index exposures to residential mortgage-backed securities (RMBS), collateralized loan obligations (CLOs) and collateralized mortgage obligations (CMOs). Security selection within ABS.
Detractors : Security selection in MBS, IG corporate bonds and CMBS. Lack of exposure to sovereign emerging debt.
Outlook : The June FOMC meeting reinforced our view that the Fed is likely to remain on hold in the near term, although persistent inflation has increased the risk of further tightening. Our base case remains one of continued economic expansion rather than recession, with inflation proving more persistent than previously expected.

For complete information, please see the full commentary:

Franklin Templeton Fixed Income

Managed Fund Since 2023

Managed Fund Since 2019

Managed Fund Since 2024

Latest Insights

August 6, 2026

Bonds are Back: The Real Yield Reset

August 4, 2026

From tactical to core: The evolving role of emerging market debt

July 30, 2026

On My Mind: Mr. Warsh, How Soon Is Now?

July 17, 2026

Central Bank Watch: No Rush to Relax

Performance

Average Annual Total Returns

¹³

As of 06/30/2026

Month End

Quarter End

As of

Franklin U.S. Core Bond ETF - Market Price Return (%)

Month End

As of 06/30/2026

1 Year: 3.76

3 Years: 4.16

5 Years: -0.08

Since Inception(09/17/2019): 1.00

Franklin U.S. Core Bond ETF - NAV Return (%)

Month End

As of 06/30/2026

1 Year: 3.81

3 Years: 4.17

5 Years: -0.03

Since Inception(09/17/2019): 1.00

Bloomberg U.S. Aggregate Index (%)

Month End

As of 06/30/2026

1 Year: 3.79

3 Years: 4.16

5 Years: 0.08

Since Inception(09/17/2019): 1.05

Overall Morningstar Rating: Overall Morningstar Rating: 3 out of 5 stars
As of 07/31/2026

3 Years: 3 Years: 3 out of 5 stars
417 Funds in category

5 Years: 5 Years: 3 out of 5 stars
382 Funds in category

10 Years: —

Rating Category: Intermediate Core Bond

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.

The number of funds in the category for the Overall Morningstar Rating are listed in the funds in category for the 3-year rating.

Morningstar Style Box

As of 07/31/2026

Current Historical
			High
			Medium
			Low
LTD	MOD	EXT
Duration

Quality

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.

©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 of08/06/2026 (Updated Daily)

Total Net Assets: $3.04 Billion

Positions

As of 06/30/2026 (Updated Monthly)

Number of Holdings

Fund: 591

Portfolio Statistics

As of 06/30/2026 (Updated Monthly)

Effective Duration

Fund: 5.80 Years
Benchmark: 5.84 Years

Average Weighted Maturity

Fund: 8.10 Years
Benchmark: 8.13 Years

Sector Exposure
Notional exposure figures are estimated and are intended to show the portfolio's direct exposure to securities and indirect exposure, through derivatives. Direct and indirect exposures are subject to change over time and methodologies for calculating indirect exposures vary by derivative type. Portfolio breakdown percentages may not total 100% and may be negative due to rounding, use of derivatives, unsettled trades or other factors.

As of 06/30/2026 - Notional Exposure % of Total (Updated Monthly)

Sector Exposure
Sector	% of Total	Benchmark
U.S. Treasuries	31.86%	45.66%
Investment Grade Corporates	31.47%	23.94%
Agency Mortgage-Backed Securities	27.86%	23.67%
Commercial Mortgage Backed Securities	6.79%	1.43%
Residential Mortgage-Backed Securities	4.10%	—
Collateralized Loan Obligation	3.79%	—
Asset-Backed Securities	3.29%	0.42%
Municipal Bonds	1.14%	0.43%
U.S. Agency	0.11%	0.56%
Non-US Developed Bonds	0.02%	2.44%
Non-Local Currency Emerging Market Bonds	—	0.87%
Other	—	0.58%
Cash & Cash Equivalents	-10.42%	—

Holdings
As of 08/06/2026 (Updated Daily)

US TREASURY N/B 3.25 6/27

US TREASURY N/ 4.125 7/29

FNCL 6 8/26

US TREASURY N 1.375 12/28

FNCL 5 8/26

FRANKLIN ULTRA SHORT BOND

US TREASURY N/ 4.125 7/28

US TREASURY N/ 4.125 4/33

FNCL 4.5 8/26

FNCL 5.5 8/26

Distributions & Tax

04/08/2026

03/05/2026

01/30/2026

12/19/2025

10/01/2025

03/31/2023

03/02/2023

12/19/2022

12/07/2022

11/07/2022

Pricing

Pricing History

As of 08/06/2026 (Updated Daily)

Time Period

From

From Date

To Date

Daily Fund Prices

As of 08/06/2026

Share Prices

As of 08/06/2026

NAV ¹(Net Asset Value): $21.05
NAV Change ¹: $-0.06
NAV Change (%) ¹: -0.28%
Market Price ¹: $21.07
Market Price Change ¹: $-0.05
Market Price Change (%) ¹: -0.24%

52-Week Range

Highest NAV As of 02/27/2026: $21.95
Lowest NAV As of 08/03/2026: $21.01
Highest Market Price As of 02/27/2026: $21.96
Lowest Market Price As of 08/03/2026: $21.02

Premium / Discount

As of 08/06/2026

30-Day Median Bid/Ask Spread: 0.05%
Bid / Ask Spread: $0.01
Avg. of Market Price vs. NAV since Inception: 0.03%
Avg. of Market Price vs. NAV at Close ¹¹: 0.10%

Documents

Fund Literature

Factsheet - Franklin U.S. Core Bond ETF

Product Commentary - Franklin U.S. Core Bond ETF

Regulatory Documents

Annual Report - Franklin U.S. Core Bond ETF - Single Class

Annual Financial Statements and Other Information - Franklin Templeton ETF Trust 2

Semi-Annual Report - Franklin U.S. Core Bond ETF - Single Class

Semi-Annual Financial Statements and Other Information - Franklin Income Equity Focus ETF

Prospectus - Franklin Templeton ETF Trust 2 Active Funds

Summary Prospectus - Franklin U.S. Core Bond ETF

Statement of Additional Information - Franklin Templeton ETF Trust 2 Active Funds

Mailed hardcopies unavailable.

Fiscal Q1 Holdings - Franklin Templeton ETF Trust Smart Beta Funds

Mailed hardcopies unavailable.

Q3 Portfolio Holdings - Franklin Templeton ETF Trust

Mailed hardcopies unavailable.

View Proxy Voting Records and Proxy Voting Policies

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. Asset-backed, mortgage-backed or mortgage-related securities are subject to prepayment and extension risks. 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. 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

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.

All investments involve risk, including possible loss of principal. Please see each product's web page for specific details regarding investment objective, risks, performance, and other important information. Review this information carefully before you make any investment decision. Investors cannot invest directly in an index, and unmanaged index returns do not reflect any fees, expenses or sales charges.

Carefully consider a fund’s investment objectives, risks, charges and expenses before investing. Please view the prospectus or summary prospectus for this and other information. Read it carefully.

Franklin Templeton, its affiliated companies, 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. Any such taxpayer should seek advice based on the taxpayer’s particular circumstances from an independent tax advisor.

ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns. ETF shares may be bought or sold throughout the day at their market price (MP), not their Net Asset Value (NAV), on the exchange on which they are listed. Shares of ETFs are tradable on secondary markets and may trade either at a premium or a discount to their NAV on the secondary market. Prior to trading in the secondary market, shares of the fund are "created" at NAV by market makers, large investors and institutions only in block-size Creation Units. Each "creator" or "Authorized Participant" enters into an authorized participant agreement with Franklin Distributors, LLC. Only an Authorized Participant may create or redeem Creation Units directly with the fund. Retail investors buy and sell shares of ETFs at market price (not NAV) in the secondary market throughout the trading day. These shares are not individually available for purchase or redemption directly from the ETF.

Franklin Distributors, LLC serves as the distributor of Creation Units for the ETFs on an agency basis. Franklin Distributors, LLC does not maintain a secondary market in the funds' shares.

Redemption payments will be effected within the specified number of calendar days following the date on which a request for redemption in proper form is made. For more information, please see the ETF’s statement of additional information (SAI) which can be found on the fund’s webpage.

The Bloomberg U.S. Aggregate Index is comprised of investment-grade, U.S. dollar-denominated government, corporate, and mortgage- and asset-backed issues having at least one year to maturity.
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.
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.
©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.
Premiums or discounts are the differences between the NAV and the Market Price of the Fund on a given day, generally at the time the NAV is calculated. A premium is the amount that the Fund is trading above the reported NAV, expressed as a percentage of the NAV. A discount is the amount that the Fund is trading below the reported NAV, expressed as a percentage of the NAV. The since inception premium/discount average is calculated by averaging the daily premium/discount since the inception of the fund. The daily premium/discount is the difference between the daily market price for shares of the Fund and the Fund's net asset value. The Market Price is determined using the closing price as of 4 pm ET on each trading day (when NAV is normally determined for most funds).
Premium / Discount reflects the difference between the NAV and the Market Price of the fund, and represents the amount that the fund is trading above or below its NAV, expressed as a percentage of the NAV.
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 (9/19/19), 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.
Credit Quality is a measure of a bond issuer's ability to repay interest and principal in a timely manner. The credit ratings shown are based on each portfolio security's rating as provided by S&P Global Ratings, Moody's Investors Service and/or Fitch Ratings, Inc. and typically range from AAA (highest) to D (lowest), or an equivalent and/or similar rating. For this purpose, the manager assigns each security the middle rating from these three agencies. When only two agencies provide ratings, the lower of the two ratings will be assigned. When only one agency assigns a rating, that rating will be used. Foreign government bonds without a specific rating are assigned a country rating, if available. Securities that are unrated by all three agencies are reflected as such. The credit quality of the investments in the portfolio does not apply to the stability or safety of the portfolio. The methodology used for the calculation of credit quality ratings displayed may differ from the methodology for monitoring investment limits, if applicable. Please note, the portfolio itself has not been rated by an independent rating agency.

Individual Investor

Financial Professional

Institutional Investor

FLCB Franklin U.S. Core Bond ETF

Popular Documents

Overview

Fund Facts

Fund description

Expenses & Fees

Identifiers

Average Annual Total Returns As of 06/30/2026

Additional Fund Info

Trading Characteristics

Manager and Commentary

About the Team

Commentary Highlights

Latest Insights

Performance

Average Annual Total Returns

Ratings ³

Portfolio

Assets

Positions

Portfolio Statistics

Holdings
As of 08/06/2026 (Updated Daily)

Distributions & Tax

Pricing

Pricing History

August 2026

August 2026

Daily Fund Prices

Share Prices

52-Week Range

Premium / Discount

Documents

Fund Literature

Regulatory Documents

Risks

Important Information

Footnotes

Sunday	Monday	Tuesday	Wednesday	Thursday	Friday	Saturday

Sunday	Monday	Tuesday	Wednesday	Thursday	Friday	Saturday

Individual Investor

Financial Professional

Institutional Investor

FLCB Franklin U.S. Core Bond ETF

Popular Documents

Overview

Fund description

Expenses & Fees

Identifiers

Additional Fund Info

Trading Characteristics

Manager and Commentary

About the Team

Latest Insights

Performance

Average Annual Total Returns

Ratings 3

Portfolio

Distributions & Tax

Pricing

Daily Fund Prices

Documents

Fund Literature

Regulatory Documents

Risks

Important Information

Footnotes

Ratings ³