Franklin Resources Inc Stock Price, News & Analysis

Franklin Resources, Inc. (NYSE: BEN) reported preliminary assets under management (AUM) of $1,455.8 billion as of April 30, 2022, down from $1,477.5 billion at March 31, 2022. The decline in AUM was largely due to market impacts and long-term net outflows, although this was partially offset by the acquisition of Lexington Partners. AUM details by asset class include fixed income at $562.8 billion, equity at $468.1 billion, and alternatives at $218.8 billion.

Franklin Universal Trust (NYSE: FT) announced a monthly distribution of $0.0425 per share from net investment income, payable on May 31, 2022. Shareholders of record as of May 16, 2022 will receive this payment, with an ex-dividend date of May 13, 2022. The trust aims to provide high current income while preserving capital, with potential for income and capital growth. However, past distributions do not guarantee future results, and shareholders need to consider tax implications of reported amounts.

Templeton Global Income Fund [NYSE: GIM] announced a monthly distribution of $0.0354 per share, payable on May 31, 2022, to shareholders of record on May 16, 2022. The Fund operates under a managed distribution plan, promising a minimum annual rate of 8% based on the average net asset value. However, the Fund may utilize long-term capital gains or return of capital if net distributable income is insufficient. Amendments or termination of the plan could negatively impact the market price of the common shares. Tax implications for distributions will vary.

The Templeton Emerging Markets Income Fund (NYSE: TEI) announced a monthly distribution of $0.0600 per share from net investment income, payable on May 31, 2022. Shareholders of record as of May 16, 2022 will receive the distribution. The Fund operates under a managed distribution plan, maintaining a minimum annual rate of 10% based on average net asset value. The Board retains the right to amend or terminate this plan. Distributions may include returns of capital, which do not reflect investment performance. No conclusions about the Fund’s performance should be drawn from the distribution amounts.

Franklin Resources reported a net income of $349.6 million ($0.68 per diluted share) for Q1 2022, down from $453.2 million ($0.88) in Q4 2021 and $381.8 million ($0.74) in Q1 2021. Operating income decreased to $463 million, reflecting a 17% drop quarter-over-quarter. Despite a challenging market environment leading to net long-term outflows of $11.7 billion, the company experienced growth in higher-fee products. Total assets under management (AUM) fell to $1.48 trillion, down 6% from the previous quarter. Adjusted net income was $491.6 million, a decrease from $553.6 million in Q4 2021.

Franklin Templeton has published its annual Corporate Social Responsibility (CSR) Report, reaffirming commitments made in 2021 and outlining progress across six dimensions of CSR: stewardship and sustainable investing; diversity and inclusion; environment and climate; employee experience; community engagement; and responsible corporate practices. For 2022, the firm aims to enhance its sustainability reporting using the Global Reporting Initiative framework. Key achievements include a reduction in greenhouse gas emissions by 57% since 2007 and the integration of diverse hiring practices. The report emphasizes long-term risk management as a core business strategy.

The Templeton Emerging Markets Income Fund (NYSE: TEI) has announced its estimated sources of distribution for April 29, 2022. The distribution per share is $0.0635, comprising 61% net investment income, 39% return of capital, and no short-term or long-term capital gains. For the fiscal year 2022 to date, the cumulative distribution is $0.1913 per share, with 63% from net investment income and 37% from return of capital. Shareholders are cautioned that returns of capital do not reflect performance and final distribution figures may vary for tax purposes.