Franklin Resources, Inc. is a global investment management organization that operates through its subsidiaries under the Franklin Templeton brand and other subsidiary brand names. The company offers investment management and related services to retail, institutional, and high-net-worth investors worldwide. Franklin's core business model revolves around providing a diverse range of investment products and vehicles, including sponsored funds, separate accounts, and sub-advised products. The company has a global presence with a focus on specialization through its various investment managers, offering expertise in equity, fixed income, alternatives, and multi-asset solutions. Franklin has a history of strategic acquisitions to expand its capabilities and geographic reach.

• Employees: Approximately 10,200 (as of September 30, 2024)
• Geographic Footprint: Operates offices in over 30 countries
• Headquarters: San Mateo, CA
• Founded: 1947
• Number of locations/facilities: Various owned and leased facilities worldwide
• Revenue: $8.478 billion (FY2024)
• Market Capitalization: $8.7 billion (as of March 31, 2024)
• Key Subsidiaries/Brands: Alcentra, Benefit Street Partners, Brandywine Global, Clarion Partners, ClearBridge Investments, Fiduciary Trust International, Franklin Mutual Series, Legg Mason, Lexington Partners, Putnam and Western Asset Management Company

• CEO: Jennifer M. Johnson
• CFO: Matthew Nicholls
• Executive Chairman: Gregory E. Johnson
• Vice Chairman: Rupert H. Johnson, Jr.
• Other Key Executives: Thomas C. Merchant (Executive Vice President and General Counsel), Terrence J. Murphy (Executive Vice President and Head of Public Markets), Alok Sethi (Executive Vice President and Head of Global Operations), Adam B. Spector (Executive Vice President and Head of Global Distribution)

Key leaders have extensive experience in investment management and financial services.

• Annual Revenue: $8.478 billion (FY2024)
• Net Income: $464.8 million (FY2024)
• Market Cap: $8.7 billion (as of March 31, 2024)
• Total Assets: $32.46 billion (as of September 30, 2024)
• Employees: Approximately 10,200 (as of September 30, 2024)
• Key Financial Highlights: AUM of $1.678 trillion as of September 30, 2024, a 22% increase from the prior year. Simple monthly average AUM increased 12% during fiscal year 2024.

Franklin offers a broad range of investment products and services across various asset classes:

• Equity: Includes value, growth, sector, smart beta, and thematic investments.
• Fixed Income: Includes government, corporate credit, bank loans, and multi-sector investments.
• Alternative: Includes private debt, hedge funds, private equity, real estate, and infrastructure investments.
• Multi-Asset: Includes income, real return, balanced/hybrid, target date/risk, and tactical asset allocation strategies.
• Cash Management: Includes money market funds and other short-term investment vehicles.

Franklin operates under one segment: investment management and related services. Revenue is primarily derived from investment management fees, which depend on the level and mix of AUM. The company also earns revenue from sales and distribution fees, and shareholder servicing fees. AUM by asset class and product type is as follows:

• Equity: $632.1 billion
• Fixed Income: $556.4 billion
• Alternative: $249.9 billion
• Multi-Asset: $176.2 billion
• Cash Management: $64.0 billion

Franklin's business strategy focuses on helping investors navigate global markets and evolving to meet client needs. Key strategic priorities include:

• Delivering strong investment performance for clients.
• Offering a broad range of strategies.
• Focusing on investment excellence and innovation.
• Building strong partnerships by delivering superior client service.
• Expanding and developing the business to meet evolving investor needs, partly through strategic acquisitions.
• Investing in technology and solutions.

Franklin operates in the highly competitive global financial services industry. The company faces competition from numerous investment management firms, securities brokerage and investment banking firms, insurance companies, banks, hedge fund firms, and other financial institutions. Key market trends affecting the business include:

• Increased fee pressure.
• Shift towards passive and smart beta strategies.
• Increased regulatory scrutiny.
• Technological advancements and digitalization.

The company believes its diversified product mix and global presence will serve its competitive needs well over the long term.

• Market and Volatility Risks: Fluctuations in financial markets and global economic conditions can significantly impact AUM, revenues, and income.
• Investment Performance and Reputational Risks: Poor investment performance can reduce AUM and negatively impact sales and reputation.
• Global Operational Risks: The company's global operations are subject to adverse effects from outbreaks of contagious diseases such as COVID-19.
• Third-Party Risks: Failure of third-party providers to fulfill obligations or maintain good relationships could adversely impact the business.
• Technology and Security Risks: The company's ability to manage and grow its business can be impeded by systems and other technological limitations, including cybersecurity risks.