FRANKLIN U.S. LOW DURATION FUND1 A SUB-FUND OF LUXEMBOURG-DOMICILED SICAV 30 September 2011 FUND MANAGER AND LOCATION INVESTMENT OBJECTIVE Roger Bayston, California, United States The Fund’s investment objective is to provide as high a level of current income as is consistent with prudent investing, while (since 29 Aug 2003) seeking preservation of shareholders’ capital. Paul Varunok, California, United States (since 29 Aug 2003) 3 YEAR PERFORMANCE (US DOLLAR)3, 4 FUND INFORMATION Base Currency of Fund: US dollar Fund Size: $402,76 million Date of Fund Launch: 29 August 2003 Fund Index: Barclays Capital US Treasury (1-3 Y) Index Morningstar™ Workstation Category: USD Diversiﬁed Bond - Short NET ASSET VALUE AS OF 30 SEPTEMBER 2011 A(acc)USD $9.96 A(Mdis)USD $9.48 I(acc)USD $11.80 CHARGES AND IDENTIFIERS Share Class Maximum Initial Annual Management & Sales Charge Administration Charge A Shares 5,25% 0,95% I Shares - 0,40% Share Class Valoren ISIN A(acc)USD 11896920 LU0551246555 CUMULATIVE PERFORMANCE % (SHARECLASS CURRENCY, DIVIDENDS RE-INVESTED) A(Mdis)USD 1628078 LU0170467566 SINCE 3-YR I(acc)USD 1923059 LU0195953400 YTD 1-MO 3-MO 6-MO 1-YR 3-YR 5-YR 10-YR LAUNCH VOL. TOTAL EXPENSE RATIO AS OF SEPTEMBER 2011 A(acc)USD -0,50 -0,90 -0,80 -0,70 - - - - -0,40 - A(acc)USD 1,15 A(Mdis)USD -0,42 -0,92 -0,83 -0,71 -0,41 3,39 8,30 - 16,49 1,41 A(Mdis)USD 1,15 I(acc)USD 0,00 -0,84 -0,67 -0,42 0,09 4,80 10,59 - 18,00 1,41 I(acc)USD 0,68 Index 1,36 -0,14 0,50 1,34 1,20 7,51 20,85 38,76 29,05 1,30 EUSD STATUS Redemption: In Scope DISCRETE CALENDAR YEAR PERFORMANCE % (DIVIDENDS RE-INVESTED) Distribution: In Scope 2006 2007 2008 2009 2010 RATINGS2 A(Mdis)USD 3,63 3,80 -2,18 4,51 1,43 Morningstar™ Overall Rating: ★★★ I(acc)USD 4,25 4,26 -1,96 4,98 1,81 PORTFOLIO COMPOSITION (% OF TOTAL) EQUITY FIXED INCOME CASH/CASH EQUIVALENTS - 75,31% 24,69% FUND CHARACTERISTICS5 STATISTIC Average Duration 1,53 Years Redemption Yield 2,20% Average Weighted Maturity 1,76 Years Number of issues 255 Franklin Templeton Switzerland Ltd Bahnhofstrasse 22, P.O. Box, 8022 Zurich Phone: +41 (0) 44 217 81 81 E-mail: firstname.lastname@example.org Web: www.franklintempleton.ch FRANKLIN U.S. LOW DURATION FUND 30 September 2011 TOP 10 HOLDINGS (30 SEPTEMBER 2011)6 SECURITY NAME % U.S. Treasury Note, 4.00%, 2/15/14 4,06 U.S. Treasury Note, 1.75%, 1/31/14 3,34 U.S. Treasury Note, 4.25%, 11/15/14 2,81 U.S. Treasury Note, 2.75%, 10/31/13 2,64 U.S. Treasury Note, 1.875%, 4/30/14 2,60 U.S. Treasury Note, 3.50%, 5/31/13 2,38 Korea Treasury Bond, senior bond, 3.00%, 12/10/13 1,95 U.S. Treasury Note, Index Linked, 1.875%, 7/15/13 1,93 U.S. Treasury Note, 2.00%, 11/30/13 1,81 Government of Sweden, 1.50%, 8/30/13 1,59 COUNTRY BREAKDOWN (30 SEPTEMBER 2011) CURRENCY BREAKDOWN (30 SEPTEMBER 2011) COUNTRY % CURRENCY % United States 94,21 US dollar 91,28 Cash & Cash Equivalents 24,69 S Korean Won 1,95 South Korea 1,95 Swedish Krona 1,59 Sweden 1,59 Australian Dollar 1,45 Australia 1,45 Malaysi Ringgit 1,42 Malaysia 1,42 Norwegian Krone 0,95 United Kingdom 0,98 Mexican Peso 0,88 Norway 0,95 Japanese Yen -1,28 Offset Derivatives -31,67 Euro -2,53 Other 4,45 Other 4,30 IMPORTANT INFORMATION AND DISCLAIMERS 1. As of 16th September 2011, the Franklin U.S. Ultra-Short Bond Fund was renamed to Franklin U.S. Low Duration Fund. 2. Copyright - © 2011 Morningstar, Inc. All Rights Reserved. Morningstar Rating™ as of 30 September 2011, in the USD Diversiﬁed Bond - Short Morningstar Category™. 3. Chart performance ﬁgures are rebased to 100 at the Fund’s inception date. 4. Performance data may represent blended share class performance e.g. hybrid created from an A(dis) share class which was converted to A(acc). Performance ﬁgures represent the aggregate total return for the period indicated assuming, where relevant, the reinvestment of dividends and distributions. Performance ﬁgures assume reinvestment of dividends. Performance ﬁgures above are for A(dis) shares, except where only A(acc) shares are available, then A(acc) performance is shown. S&P sector average represents the Luxemburg universe. The performance data does not take account commissions and/ or costs incurred on the issue and redemption of the shares. 5. A measure of the sensitivity of bond and bond mutual fund prices to interest rate movements. For example, if a bond has a duration of two years, its price would fall about 2% when interest rates rose one percentage point. On the other hand, the bond’s price would rise by about 2% when interest rates fell by one percentage point. Due to rounding the percentages shown may be within 0.1% tolerance of the true value. Due to rounding the percentages shown may be within 0.1% tolerance of the true value. 6. 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 10 holdings list. Copyright © 2011. Franklin Templeton Investments. All rights reserved. Source for all data and charts (if not indicated otherwise): Franklin Templeton Investments. No responsibility is taken for the correctness of the information provided above. Given the variety of investment options available today, we suggest investors seek guidance from a Financial Adviser. Nearly every investment entails special risks that should be discussed with an experienced professional. Each investor’s goals are unique and proper guidance toward the most suitable products is essential. For more details regarding the potential risks of this Fund, please refer to the current full or simpliﬁed Prospectus. Past performance is no guarantee of current or future performance. This Fund is a sub fund of Franklin Templeton Investment Funds (FTIF), a Luxembourg-registered SICAV. This information does not constitute or form part of an offer for shares or an invitation to apply for shares. The prices of shares and income received from it can go down as well as up, and investors may not get back the full amount invested. Currency ﬂuctuation may affect the value of overseas invest- ments. An investment in FTIF entails risks which are described in the prospectus. No shares of the SICAV may be directly or indirectly offered or sold to nationals or residents of the United States of America. Please consult your Financial Adviser before deciding to invest. In emerging markets, the risks can be greater than in developed markets. Please read the Prospectus before deciding to invest. Investments in FTIF may not be suitable for all investors. All or most of the protections provided by the Swiss Regulatory System will not apply to the Franklin Templeton Investment Funds’ (SICAV) Investors. Paying agent of Franklin Templeton Investment Funds in Switzerland is JPMorgan Chase Bank, Dreikonigstrasse 21, 8022 Zurich. Subscriptions for shares in the Fund can only be made on the basis of the most recent Key Features and Prospectus which are available free of charge from Franklin Templeton Switzerland Ltd, Bahnhof- strasse 22, P.O. Box, 8022 Zurich, Phone: +41 (0) 44 217 81 81, E- mail: email@example.com. Issued by Franklin Templeton Switzerland Ltd, a company authorized and regulated by the Swiss Financial Market Supervisory Authority FINMA as representative of Franklin Templeton Investment Funds.
"FRANKLIN US ULTRA SHORT BOND FUND"