PRICE AND YTD RETURN As of 02/05/2016

NAV down $-1.15 $27.94
POP $29.64
YTD Total return at Nav -13.50%

AVERAGE ANNUAL TOTAL RETURNS As of Quarter end 12/31/2015

Sales Charge

1 YEAR RETURN -7.62%
5 YEAR RETURN 7.72%
10 YEAR RETURN 6.29%

KEY STATS

Investment Category Growth
Distributions Annually
CUSIP 354 713 109
Fund Number 198
Inception Date Feb 14, 1992
Total Net Assets (all share classes) As of 01/31/2016 $3,295.2 (M)
Distribution Rate at NAV N/A
30-Day Standardized yield N/A

SALES CHARGE, EXPENSES, & FEES As of 09/01/2015 (updated annually)

Gross Expense Ratio 0.94%
Net Expense Ratio 0.94%
Max Initial Sales Charge 5.75%
CDSC 0.00%
12b-1 Fee 0.25%

Fund Description

The fund seeks long-term capital growth by investing at least 80% of its net assets in equity securities of small and medium-sized companies, within the market capitalization ranges of the Russell 2500™ Index for small-sized companies and Russell Midcap® Index for medium-sized companies, at the time of purchase.

Strategy Statement

"We use a fundamental, bottom-up approach to investing in small and mid-cap companies that are leaders or emerging leaders in their industry and that meet our criteria of growth, quality and valuation."

Ed Jamieson

Management

Ed Jamieson

Ed Jamieson

  • Joined Franklin Templeton in 1987
  • Managed Fund Since 1992
Michael McCarthy, CFA

Michael McCarthy, CFA®

  • Joined Franklin Templeton in 1992
  • Managed Fund Since 1993
James Cross, CFA

James Cross, CFA®

  • Joined Franklin Templeton in 1998
  • Managed Fund Since 2005

Overall Morningstar Rating As of 12/31/2015

Rating Category: Mid-Cap Growth

Morningstar
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.

Historical Morningstar Rating As of 12/31/2015

Years Ratings Funds
in category
3
3 Stars
644
5
2 Stars
577
10
3 Stars
431

Morningstar Style Box As of 09/30/2015

Strategy, Benefits, Results

Strategy

We use fundamental bottom-up research to find small- to mid-sized growth companies that are leaders or emerging leaders in their industry and that meet our criteria of:

  • Growth. Our team focuses on companies with the potential to produce sustainable earnings and cash-flow growth.
  • Quality. We seek high-quality companies with strong management teams and financial strength.
  • Valuation. We assess whether the growth opportunity is already reflected in the stock price.

Benefits

  • Small-mid strategy gives managers the flexibility to hold onto small, emerging businesses as they mature into successful mid-cap enterprises.
  • Tenured and experienced portfolio management team.
  • Distinct research structure. Investment professionals organized into collaborative sector teams.

Investing In The Fund

What Are the Risks?
  • All investments involve risks, including possible loss of principal.
  • Investors should be comfortable with fluctuations in the value of their investment, as small- and mid-sized company stocks can be volatile, especially over the short term.
  • Smaller or relatively new or unseasoned companies can be particularly sensitive to changing economic conditions, and their prospects for growth are less certain than those of larger, more established companies.
  • The fund may focus on particular sectors of the market from time to time, which can carry greater risks of adverse developments in such sectors.
  • These and other risks are detailed in the fund’s prospectus.

Minimum Investment

$1,000.00

How Financial Advisors Help You

Speak to your financial advisor about whether this fund is appropriate for you. If you don't have a financial advisor, request a referral.

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