Templeton Global Total Return Fund

Templeton Global Total Return Fund (the “Fund”) aims to maximise total investment return by achieving an increase in the value of its investments, earning income and realising currency gains over the medium to long term.The Fund invests mainly in:debt securities of any quality (including lower quality debt such as non-investment grade securities) issued by governments, government-related or corporate entities in any developed or emerging marketsThe Fund can invest to a lesser extent in:mortgage- and asset-backed securitiesdebt securities of supranational entities, such as the European Investment Banksecurities in default (limited to 10% of assets)The Fund can use derivatives for hedging, efficient portfolio management and/or investment purposes which are used as an active investment management instrument to gain exposure to markets.The flexible and opportunistic nature of the strategy allows the investment team to take advantage of different market environments. By using in-depth economic, country and security research including detailed risk analysis, Franklin Templeton’s large team of fixed income specialists seek to take advantage of these differences by identifying and investing in fixed income securities with the strongest potential for income, capital growth and currency gain around the world. In making investment decisions, the investment team uses in-depth research about various factors that may affect bond prices and currency values.The Fund may distribute income gross of expenses. Whilst this might allow more income to be distributed, it may also have the effect of reducing capital.