Franklin Templeton Announces Closing of Inaugural US$1.5 Billion Collateralized Fund Obligation

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Transaction expands institutional access to Franklin Templeton’s private markets capabilities across secondaries and private credit

NEW YORK & LONDON--(BUSINESS WIRE)-- Franklin Templeton, a global investment leader, today announced the successful closing of Franklin Templeton Structured Solutions 2026, L.P., its first Collateralized Fund Obligation (CFO), raising $1.5 billion from global investors.

The CFO is designed to provide investors with diversified and efficient exposure to Franklin Templeton’s flagship private markets strategies spanning private equity secondaries and continuation vehicles managed by Lexington Partners, a pioneer in secondary private equity and co-investments, and U.S. middle-market direct lending managed by Benefit Street Partners (BSP), Franklin Templeton’s alternative credit specialist, across multiple investment vintages and a broad range of underlying portfolio companies.

“We are seeing growing demand from clients for access to differentiated private markets strategies in structures that are efficient and scalable,” said George Stephan, Global Chief Operating Officer, Wealth Management Private Markets at Franklin Templeton. “This inaugural CFO is a direct response to that demand - combining the specialized expertise of our private markets managers into an offering that reflects the full breadth of what Franklin Templeton can deliver.”

“This transaction demonstrates how structured solutions can bring together different private markets capabilities to address the evolving needs of institutional portfolios,” said Jake Williams, Co-Head, Private Markets Product at Franklin Templeton. “It draws on the breadth of Franklin Templeton's private markets platform and our continued focus on developing innovative solutions that help clients achieve their outcomes.”

Franklin Templeton Investment Solutions (FTIS), the firm’s solutions platform, will serve as collateral manager for the transaction, bringing its experience in portfolio construction, liquidity and risk management across public and private markets.

The successful close marks an important milestone for Franklin Templeton, establishing a new capital formation channel for its private markets platform and positioning the firm to capture growing demand for structured private markets solutions as adoption expands across a broader range of investors, including RIAs, family offices, insurance companies and wealth distributors.

Franklin Templeton has $295 billion in alternative assets under management as of July 31, 2026 and offers a diversified private markets platform that includes Lexington Partners, focused on private equity secondaries and co-investments; Clarion Partners, specializing in private real estate; Benefit Street Partners, a leader in private credit, Franklin Ventures, hedged strategies, and digital asset capabilities, providing investors with broad access across alternative asset classes.

Evercore served as structuring advisor and placement agent for the transaction. Simpson Thacher & Bartlett LLP served as issuer counsel.

Note: The information provided herein concerns a closed offering that is no longer open to new investment. This material is provided for general informational purposes only and should not be considered individualized investment advice, a recommendation or a solicitation to adopt any investment strategy. It does not constitute legal or tax advice.

About Franklin Templeton

Franklin Templeton is a trusted investment partner, delivering tailored solutions that align with clients’ strategic goals. With deep portfolio management expertise across public and private markets, we combine investment excellence with cutting-edge technology. Since our founding in 1947, we have empowered clients through strategic partnership, forward-looking insights, and continuous innovation – providing the tools and resources to navigate change and capture opportunity.

With $1.80 trillion in assets under management as of July 31, 2026, Franklin Templeton operates globally in more than 35 countries.

To learn more, visit franklintempleton.com and follow us on LinkedIn.

Franklin Templeton, Inc. [NYSE: BEN]

About Benefit Street Partners

Benefit Street Partners is an alternative credit pioneer with $94 billion in assets under management as of June 30, 2026 (including Apera). It seeks to deliver attractive, risk-adjusted returns through its deep specialism, long-term relationships and global reach. A wholly owned subsidiary of Franklin Templeton, BSP is focused on credit. Through its disciplined, solutions-oriented approach, BSP unlocks opportunities across market cycles and geographies. The firm manages strategies spanning private debt, real estate debt, structured credit, and liquid loans. For more information, visit bspcredit.com.

About Lexington Partners

Lexington Partners is one of the world’s largest and most successful managers of secondary private equity and co-investment funds, with over $84 billion of total capitalization. The firm helped pioneer the development of the institutional secondary market over 36 years ago and created one of the first independent, discretionary co-investment programs 28 years ago. Lexington provides strategic, customized liquidity solutions to global investors and private equity sponsors alike, supported by its dedicated and well-capitalized secondary, continuation vehicle, and co-investment platforms. Lexington’s experienced professionals are strategically located in major centers for private equity and alternative asset investing across North America, Europe, Middle East, Asia and Latin America. Lexington is the global secondary private equity and co-investments specialist investment manager of Franklin Templeton. Additional information can be found at lexingtonpartners.com.

Copyright © 2026. Franklin Templeton. All rights reserved.

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Franklin Templeton

Public Relations:

Beverly Khoo +1 929 773 4670
beverly.khoo@franklintempleton.com
Saira Khan +44 20 7073 8644
saira.khan@franklintempleton.co.uk

Source: Franklin Resources, Inc.