Franklin Global Sukuk Fund Report - May 2021

Transcription

1. Franklin Templeton Shariah Funds Sukuk (Shariah-compliant) LU0792756115 31 May 2021 Franklin Global Sukuk Fund Fund Fact Sheet Fund Overview Performance Base Currency for Fund USD Total Net Assets (USD) 326 million Fund Inception Date 10.09.2012 Number of Holdings Performance over 5 Years in EUR (%) Franklin Global Sukuk Fund A (acc) USD Dow Jones Sukuk Index 140 82 Benchmark Dow Jones Sukuk Index Investment Style Fixed Income Morningstar Category™ 120 Islamic Global Bond Summary of Investment Objective 100 To maximise, consistent with prudent investment management, total investment return, consisting of a combination of profit income and capital appreciation. The Fund seeks to achieve this objective by investing principally in a portfolio of fixed- and floating-rate Shariah-compliant securities (including non-investment grade securities), including Sukuk, Murabaha and Wakala placements and other short-term instruments issued by government, government-related and corporate entities located in developed and developing countries. 80 05/16 11/16 05/17 11/17 05/18 11/18 05/19 11/19 05/20 11/20 05/21 Discrete Annual Performance in EUR (%) A (acc) USD A (acc) EUR A (Mdis) USD Benchmark in EUR Fund Management Mohieddine (Dino) Kronfol: U. Arab Emir. Sharif Eid: U. Arab Emir. 05/20 05/21 05/19 05/20 05/18 05/19 05/17 05/18 05/16 05/17 -2.30 -2.10 -2.26 -3.56 4.22 4.22 4.23 7.44 10.86 10.83 10.83 12.33 -4.98 -4.94 -5.01 -3.94 1.28 1.34 1.39 3.31 Performance in EUR (%) Ratings - A (acc) USD Cumulative Overall Morningstar Rating™: A (acc) USD A (acc) EUR A (Mdis) USD Benchmark in EUR Asset Allocation % 93.17 6.83 Fixed Income Cash & Cash Equivalents Annualised 1 Yr 3 Yrs 5 Yrs 3 Yrs 5 Yrs -2.30 -2.10 -2.26 -3.56 12.88 13.09 12.91 16.39 8.64 8.93 8.74 15.49 4.12 4.18 4.13 5.19 1.67 1.73 1.69 2.92 Past performance is not an indicator or a guarantee of future performance. The value of shares in the fund and income received from it can go down as well as up, and investors may not get back the full amount invested. All performance data shown is in the currency stated, include reinvested dividends and are net of management fees. Sales charges and other commissions, taxes and other relevant costs paid by the investor are not included in the calculations. Performance may also be affected by currency fluctuations. Currency fluctuations may affect the value of overseas investments. The fund offers other share classes subject to different fees and expenses, which will affect their performance. Please see the prospectus for details. Up to date performance figures can be found on our local website. References to indices are made for comparative purposes only and are provided to represent the investment environment existing during the time periods shown. When performance for either the portfolio or its benchmark has been converted, different foreign exchange closing rates may be used between the portfolio and its benchmark. Top Ten Holdings (% of Total) Security Name KSA Sukuk Ltd., senior bond, Reg S, 4.303%, 1/19/29 KSA Sukuk Ltd., senior note, Reg S, 3.628%, 4/20/27 Perusahaan Penerbit SBSN Indonesia III, senior note, Reg S, 4.40%, 3/01/28 DAE Funding LLC, 3.00%, 11/16/25 Saudi Electricity Global Sukuk Co. 2, senior bond, Reg S, 5.06%, 4/08/43 National Commercial Bank, 3.50% to 1/26/27,FRN thereafter, Perpetual ARAB National Bank,sub. bond, 3.00% to 10/19/25, Reg S, FRN thereafter,10/28/30 Perusahaan Penerbit SBSN Indonesia III, senior note, Reg S, 2.80%, 6/23/30 DP World Salaam, PerpetualReg S, junior sub. bond,6.00% to 1/01/26, FRN thereafter, ICDPS Sukuk Ltd., senior note, Reg S, 1.81%, 10/15/25 Fund Measures 3.46 3.22 3.01 Average Credit Quality Average Duration Average Weighted Maturity Yield to Maturity Standard Deviation (5 Yrs, USD) BBB+ 4.37 Years 5.19 Years 2.87% 5.40% 2.84 2.66 2.65 2.55 2.46 2.36 2.16 Share Class Information Share Class A (acc) USD A (acc) EUR A (Mdis) USD Tel +352 46 66 67 1 Incept Date 10.09.2012 17.05.2013 25.03.2013 NAV USD 13.14 EUR 13.05 USD 9.48 Fax +352 46 66 76 Fees Max. Sales TER (%) Charge (%) 1.50 5.75 1.50 5.75 1.50 5.75 Dividends Max. Annual Charge (%) 1.30 1.30 1.30 Fund Identifiers Last Paid Frequency Date N/A N/A N/A N/A Mth 17.05.2021 E-Mail lucs@franklintempleton.com Last Paid Amount N/A N/A 0.0260 Bloomberg ID FTGSAAU LX FTGSAAE LX FTGSAMD LX Web www.franklintempleton.lu ISIN LU0792756115 LU0923115892 LU0889566997
2. Franklin Global Sukuk Fund 31 May 2021 Composition of Fund Franklin Global Sukuk Fund Dow Jones Sukuk Index Geographic United Arab Emirates Saudi Arabia Indonesia Kuwait Supranational Malaysia Qatar Pakistan Maldives Others Cash & Cash Equivalents Currency U.S. Dollar Egyptian Pound 28.76 23.43 12.89 5.76 5.66 5.46 4.32 2.31 1.75 2.83 6.83 % of Total / 28.94 / 20.96 / 17.65 / 1.89 / 14.57 / 7.57 / 6.54 / 0.00 / 0.00 / 1.88 / 0.00 Sector Government-Related Sovereign Corporate Financial Institutions Government-Related Agencies Corporate Industrials Government-Related Supranational Cash & Cash Equivalents 30.90 24.37 23.79 8.57 5.53 6.83 % of Total / 42.50 / 13.02 / 25.14 / 4.21 / 15.12 / 0.00 % of Total 99.98 / 100.00 0.02 / 0.00 What Are the Key Risks? The value of shares in the Fund and income received from it can go down as well as up and investors may not get back the full amount invested. Performance may also be affected by currency fluctuations. Currency fluctuations may affect the value of overseas investments. The Fund invests mainly in Shariah-compliant debt securities, including Sukuk and short-term instruments of any quality issued by entities located in developed and emerging markets. Such securities have historically been subject to price movements, generally due to the supply and demand for financing, other market factors or movements in the Sukuk market. As a result, the performance of the Fund can fluctuate moderately over time. Other significant risks include: emerging markets risk, derivatives instruments risk, counterparty risk, liquidity risk, Sukuk risk, Shariah compliance risk. For full details of all of the risks applicable to this Fund, please refer to the “Risk Considerations” section of the Fund in the current prospectus of Franklin Templeton Investment Funds. Important Information © 2021 Franklin Templeton. All rights reserved. Franklin Global Sukuk Fund is a sub-fund of the Luxembourg-domiciled SICAV Franklin Templeton Shariah Funds. This document is intended to be of general interest only and does not constitute legal or tax advice nor is it an offer for shares or invitation to apply for shares of the Luxembourg-domiciled SICAV Franklin Templeton Shariah Funds (the “Fund”). Nothing in this document should be construed as investment advice. Subscriptions to shares of the Fund can only be made on the basis of the current prospectus, the relevant Key Investor Information Document, accompanied by the latest available audited annual report and the latest semi-annual report if published thereafter. The value of shares in the Fund and income received from it can go down as well as up, and investors may not get back the full amount invested. Past performance is not an indicator or a guarantee of future performance. Currency fluctuations may affect the value of overseas investments. When investing in a fund denominated in a foreign currency, your performance may also be affected by currency fluctuations. An investment in the Fund entails risks which are described in the Fund's prospectus and the relevant Key Investor Information Document, where applicable. Special risks may be associated with a Fund’s investment in certain types of securities, asset classes, sectors, markets, currencies or countries and in the Fund’s possible use of derivatives. In emerging markets, the risks can be greater than developed markets. The investment activities will be undertaken in accordance with the Shariah Guidelines. As a consequence, the performance of a fund may possibly be lower than other investment funds that do not seek to strictly adhere to the Islamic investment criteria. The requirement to “purify” cash holdings or dividend income will likely result in payments being made to charities. The return to investors will be reduced by the amount of such payments. No shares of the Fund may be directly or indirectly offered or sold to residents of the United States of America. Shares of the Fund are not available for distribution in all jurisdictions and prospective investors should confirm availability with their local Franklin Templeton representative before making any plans to invest. Any research and analysis contained in this document has been procured by Franklin Templeton for its own purposes and is provided to you only incidentally. References to particular industries, sectors or companies are for general information and are not necessarily indicative of a fund's holding at any one time. Please consult your financial advisor before deciding to invest. A copy of the latest prospectus, the relevant Key Investor Information Document, the annual report and semi-annual report, if published thereafter can be found, on our website www.franklintempleton.lu or can be obtained, free of charge, from Franklin Templeton International Services, S.à r.l. - Supervised by the Commission de Surveillance du Secteur Financier - 8A rue Albert Borschette L-1246 Luxembourg - Tel: +352-46 66 67-1 - Fax: +352-46 66 76. Issued by Franklin Templeton International Services, S.à r.l.   CFA® and Chartered Financial Analyst® are trademarks owned by CFA Institute. Indexes are unmanaged and one cannot invest directly in an index. “Dow Jones®” and “Dow Jones Sukuk Index” are trademarks of Dow Jones Trademark Holdings LLC (“Dow Jones”) or its affiliates and have been licensed for use for certain purposes by S&P Dow Jones Indices LLC and its affiliates (“S&P Dow Jones Indices”) and sublicensed to Franklin Templeton Companies, LLC for use with the Franklin Global Sukuk Fund. Franklin Global Sukuk Fund, which is benchmarkcd to the Dow Jones Sukuk Index, is not sponsored, endorsed, sold or promoted by Dow Jones, S&P Dow Jones Indices or their respective affiliates, and none of S&P Dow Jones Indices, Dow Jones or any of their respective affiliates makes any representation regarding the advisability of trading in such product(s).   Ratings: © 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. Top Ten Holdings: These securities do not represent all of the securities purchased, sold or recommended for clients, and the reader should not assume that investment in the securities listed was or will be profitable. The portfolio manager for the Fund reserves the right to withhold release of information with respect to holdings that would otherwise be included in the top holdings list. Fund Measures: The average credit quality (ACQ) rating may change over time. The portfolio itself has not been rated by an independent rating agency. The letter rating, which may be based on bond ratings from different agencies (or internal ratings for unrated bonds, cash and equivalents), is provided to indicate the average credit rating of the portfolio's underlying investments and generally ranges from AAA (highest) to D (lowest). For unrated bonds, cash and equivalents, ratings may be assigned based on the ratings of the issuer, the ratings of the underlying holdings of a pooled investment vehicle, or other relevant factors. The ACQ is determined by assigning a sequential integer to all credit ratings AAA to D, taking a simple, asset-weighted average of investments by market value and rounding to the nearest rating. The risk of default increases as a bond's rating decreases, so the ACQ provided is not a statistical measurement of the portfolio’s default risk because a simple, weighted average does not measure the increasing level of risk from lower-rated bonds. The ACQ may be lower if cash and equivalents are excluded from the calculation. The ACQ is provided for informational purposes only. Derivative positions are not reflected in the ACQ. Yield figures quoted should not be used as an indication of the income that has or will be received. Yield figures are based on the portfolio's underlying holdings and do not represent a payout of the portfolio. © 2021 Franklin Templeton. www.franklintempleton.lu