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					Rick Frisbie, CAO
    and
Ken Lewis, CFO


November 12, 2008




                    Franklin Resources, Inc.
                 Merrill Lynch Banking & Financial Services Conference
                                                                                                                                                                                   1




  Forward-Looking Statements
The financial results in this presentation are preliminary. Statements in this presentation regarding Franklin Resources, Inc., which are not historical facts, are "forward-looking
statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve a number of known and unknown risks,
uncertainties and other important factors, some of which are listed below, that could cause the actual results and outcomes to differ materially from any future results or
outcomes expressed or implied by such forward-looking statements. These and other risks, uncertainties and other important factors are described in more detail in Franklin's
recent filings with the U.S. Securities and Exchange Commission, including, without limitation, in Risk Factors and Management's Discussion and Analysis of Financial Condition
and Results of Operations in Franklin's Annual Report on Form 10-K for the fiscal year ended September 30, 2007, and Franklin’s subsequent Form 10-Q filings.

  • We are subject to extensive and complex, overlapping and frequently changing rules, regulations and legal interpretations.
  • Regulatory and legislative actions and reforms have made the regulatory environment in which we operate more costly and future actions and reforms could adversely
      impact our assets under management, increase costs and negatively impact our profitability and future financial results.
  • Our ability to maintain the beneficial tax treatment we anticipate with respect to non-U.S. earnings we have repatriated is based on current interpretations of the American
      Jobs Creation Act of 2004 (the “Jobs Act”) and timely and permitted use of such amounts in accordance with our domestic reinvestment plan and the Jobs Act.
  •   Any significant limitation or failure of our software applications and other technology systems that are critical to our operations could constrain our operations.
  •   We face risks, and corresponding potential costs and expenses, associated with conducting operations and growing our business in numerous countries.
  •   We depend on key personnel and our financial performance could be negatively affected by the loss of their services.
  •   Strong competition from numerous and sometimes larger companies with competing offerings and products could limit or reduce sales of our products, potentially resulting
      in a decline in our market share, revenues and net income.
  •   Changes in the distribution and sales channels on which we depend could reduce our revenues and hinder our growth.
  •   The amount and mix of our assets under management are subject to significant fluctuations and could negatively impact our revenues and income.
  •   Our increasing focus on international markets as a source of investments and sales of investment products subjects us to increased exchange rate and other risks in
      connection with earnings and income generated overseas.
  •   Poor investment performance of our products could affect our sales or reduce the level of assets under management, potentially negatively impacting our revenues and
      income.
  •   We could suffer losses in earnings or revenue if our reputation is harmed.
  •   Our future results are dependent upon maintaining an appropriate level of expenses, which is subject to fluctuation.
  •   Our ability to successfully integrate widely varied business lines can be impeded by systems and other technological limitations.
  •   Our inability to successfully recover should we experience a disaster or other business continuity problem could cause material financial loss, loss of human capital,
      regulatory actions, reputational harm or legal liability.
  •   Certain of the portfolios we manage, including our emerging market portfolios, are vulnerable to significant market-specific political, economic or other risks, any of which
      may negatively impact our revenues and income.
  •   Our revenues, earnings and income could be adversely affected if the terms of our management agreements are significantly altered or these agreements are terminated by
      the funds we advise.
  •   Diverse and strong competition limits the interest rates that we can charge on consumer loans.
  •   Civil litigation arising out of or relating to previously settled regulatory and governmental investigations, regulatory and governmental
      investigations and/or examinations, and the legal risks associated with our business, could adversely impact our assets under management,
      increase costs and negatively impact our profitability and/or our future financial results.
  •   Our ability to meet cash needs depends upon certain factors, including our asset value, credit worthiness and the market value of our stock.
                                                                                                                                                       2




Franklin Templeton Investments
Over 60 Years of Investing Experience
                                                                                                                                         2008
                                                      1981                                                                          Franklin World

      1948               1954              Franklin Launches First Double             1991                                         Perspectives Fund
                                                                                                                                       Launched
                                               Tax-Free Income Fund                Began Distributing
   Franklin Income    Templeton Growth
                                                                                                                             2007
                                                                                    SICAV Products
   Fund Launched       Fund Launched
                                         1977                  1983
               1949                   Franklin Launches
                                                           Franklin Offers First
                                                           100% GNMA Fund
                                                                                                                         Franklin Templeton
                                                                                                                         Celebrates its 60th
             Mutual Shares              First Tax-Free
                                                                                                                            Anniversary
             Fund Launched              Income Fund




    1947                              1973                1982                          1992            2000               2003
                                     Winfield & Co.                                                      Bissett             Darby
     Franklin                         Acquisition      Opened Office in                 Templeton       Acquisition        Acquisition
 Distributors, Inc.
                             1971
                                                          Canada                        Acquisition
                                                                                                                  2001
                                                                                                1996
     Founded
                        Franklin Resources,                                                                      Fiduciary Trust
                          Inc. Initial Public                                                  Mutual Series       Acquisition
                               Offering                                                         Acquisition
                                                                                                                                                               3




  Assets Under Management
  Fixed Income Provided Stability Over the Past Year
      $645.9B $643.7B                                                                                                                 12 Months
                                                                                                                                                     October
                                     $591.1B $580.2B                                                                                 Ended 9/30/08

                                                                                                          S&P 500                       -22.0%       -16.8%
                                                                      $507.3B
                                                                                                          Dow Jones Industrials         -19.9%       -13.9%
        60%              59%                                                           $426.5B
                                         56%             54%
                                                                                                          MSCI EAFE                     -30.1%       -20.2%
                                                                          52%
                                                                                          48%             MSCI World                    -25.6%       -18.9%

                                                                                                          Lehman Brothers U.S.
        18%             18%              19%             19%              19%                             Aggregate Bond Index
                                                                                                                                         3.7%         -2.4%
                                                                                          19%             Credit Suisse High Yield
                                                                                                                                        -10.0%       -15.8%
                                                                                                          Index

        21%              22%             25%              25%             28%              31%            Citigroup World
                                                                                                                                         5.9%         -2.0%
                  1%             1%              1%                1%              1%                2%   Government Bond Index

       Sep-07           Dec-07          Mar-08           Jun-08          Sep-08           Oct-08*

          Equity               Hybrid              Fixed Income                     Money Funds




Source: Franklin Resources, Inc. calculations as of 9/30/08. *Preliminary assets under management.
                                                                                                                                                4




  Assets Under Management as of Sept. 30, 2008
  Strength from Diversification
                             Investment Objective                                  Client Type                  Sales Region




                                          51.9%
                                                                                        68.4%                      74.2%


                                          18.5%

                                                                                        29.7%                      10.6%
                                          28.2%
                                                                                                                    8.5%
                                                          1.4%                                           1.9%       6.7%

                                     Equity                                         Retail                      United States
                                     Hybrid                                         Institutional               Europe, Middle East & Africa (EMEA)
                                     Fixed Income                                   High Net Worth              Asia Pacific
                                     Money Funds                                                                Canada

Source: Franklin Resources, Inc. calculations as of 9/30/08. Total assets under management of $507.3B.
                                                                                                                                                                                                             5




  U.S. Fixed Income Market Share
   Increasing Market Share of Sales and AUM
                                                16.0%                                                                                                        16.8%

                                                15.0%                                                                                                        16.6%

                                                14.0%                                                                                                        16.4%
      % of non-proprietary fixed income sales




                                                                                                                                                                     % of non-proprietary fixed income AUM
                                                                                                                                                             16.2%
                                                13.0%
                                                                                                                                                             16.0%
                                                12.0%
                                                                                                                                                             15.8%
                                                11.0%
                                                                                                                                                             15.6%
                                                10.0%
                                                                                                                                                             15.4%
                                                9.0%
                                                                                                                                                             15.2%
                                                8.0%                                                                                                         15.0%
                                                7.0%                                                                                                         14.8%
                                                6.0%                                                                                                         14.6%
                                                        Jan-07   Mar-07   May-07   Jul-07   Sep-07   Nov-07     Jan-08   Mar-08   May-08   Jul-08   Sep-08


                                                                             Sales Market Share               AUM Market Share



Source: Investment Company Institute. Graph represents gross sale market share based on non-proprietary channel. Franklin AUM includes
only retail funds.
                                                                                                                                                                     6




   World-Class Fixed Income Performance
  Lipper Rankings of U.S.-Registered Fixed Income Funds
                                3-Year                                                     5-Year                                                  10-Year


                          7%          1%                                                 2%          0%                                           3%    0%
                                                                             18%
                                                                                                                                      18%
              40%

                                                       53%

                                                                                                                80%                                            79%


                     93% OF ASSETS                                               98% OF ASSETS                                              97% OF ASSETS
                     IN TOP TWO                                                  IN TOP TWO                                                 IN TOP TWO
                     QUARTILES                                                   QUARTILES                                                  QUARTILES
                                 First Quartile                      Second Quartile                     Third Quartile                      Fourth Quartile




Source: Franklin Resources, Inc. calculations as of 9/30/08. 1Lipper rankings for Franklin Templeton U.S.-registered long-term mutual funds are
based on Class A shares. Franklin Templeton funds are compared against a universe of all share classes.
                                                                                                    7




Franklin Templeton Local Asset Management
Investors in the Fastest Growing Economies Invest Locally



       Brazil              Canada                China             M.E.N.A.            Europe
 • Sao Paulo          • Calgary            • Shanghai         • Dubai            • Frankfurt /
 • Fixed Income &     • Acquired Bissett   • Fixed Income &   • Joint Venture      London
  Equity              • Fixed Income &      Equity            • Fixed Income &   • Fixed Income &
                       Equity                                  Equity              Equity




       India                Japan            South Korea           Vietnam              USA
 • Chennai            • Tokyo              • Seoul            • Hanoi            • San Mateo
 • Acquired Pioneer   • Equity             • Fixed Income &   • Joint Venture    • Fixed Income &
 • Largest Foreign                          Equity            • Private Equity    Equity
   AMC
 • Fixed Income &
   Equity
                                                                      8




RetireMetrics™
Individualized Solutions for Retirement Success

   Individual Funds                   Asset Allocation Strategies
   • Franklin Flex Cap Growth Fund    • FT Founding Funds Strategy
   • Franklin Income Fund             • FT Perspectives Strategy
   • Franklin Strategic Income Fund   • FT Conservative Target Fund
   • Franklin Total Return Fund       • FT Growth Target Fund
   • Mutual Discovery Fund            • FT Moderate Target Fund
   • Templeton Foreign Fund
   • Templeton Global Bond Fund
   • Templeton Growth Fund
   • Templeton Income Fund
                                                                                                                    9




   Assets Under Management by Region
  Positioned Well to Benefit from Future Global Growth
                               United States                   E.M.E.A           Asia Pacific         Canada




                                                                64%                   64%               60%
                                        70%




                                                                                                        37%
                                        28%                     36%                   36%

                                                      2%                                                       3%

                                                 Retail               Institutional         High Net Worth




Source: Franklin Resources, Inc. calculations as of 9/30/08.
                                                                                                                                                                          10




   Investment Performance
  % of U.S. Long-Term Assets in Top Two Lipper Quartiles
                         Franklin Templeton                                                              Franklin Templeton Fixed Income
                                                                                                                                                  98%   99%   97%   99%
                                                                       92%    92%                                                 93%
                                                   90%                                                                                   89%
                                                                                                                     74%
                                                          71%                                                 68%
            55%                52%    56%

                   35%




            1 - Year            3 - Year            5 - Year           10 - Year                               1 - Year            3 - Year       5 - Year    10 - Year

                       Mutual Series Equity                                                                                 Templeton Equity
                               97%                 98%                 100% 100%
           85%                                                                                                                                                87%   86%
                                                                                                              73%                                 72%
                                                           58%

                                       41%

                                                                                                                     23%                                20%
                   5%                                                                                                              4%     3%

            1 - Year            3 - Year            5 - Year            10 - Year                              1 - Year            3 - Year       5 - Year    10 - Year

                                                                               9/30/2008               6/30/2008
Source: Franklin Resources, Inc. calculations as of 9/30/08. 1Lipper rankings for Franklin Templeton U.S.-registered long-term mutual funds are
based on Class A shares. Franklin Templeton funds are compared against a universe of all share classes.
                                                                                             11




    Investment Management Group Expertise


                               FRANKLIN TEMPLETON INVESTMENTS

                                                   FRANKLIN
                                     MUTUAL                     FIDUCIARY    ALTERNATIVE
      FRANKLIN     TEMPLETON                      TEMPLETON
                                     SERIES                       TRUST      STRATEGIES
                                                 FIXED INCOME

                                      GLOBAL TRADING DESK


                                       RISK MANAGEMENT


       PORTFOLIO ATTRIBUTION      COMPLEX SECURITIES COMMITTEE COUNTERPARTY RISK COMMITTEE




.
                                                                                                                                       12




   Assets Under Management and Net New Flows

    Ending Assets Under Management                                                                 Gross Sales
                                                            $645.9B                                                $185.5B   $181.5B

                                            $511.3B                        $507.3B
                           $453.1B                                                             $122.5B   $128.8B
           $361.9B                                                                   $96.8B




            2004             2005            2006            2007           2008     2004       2005      2006      2007      2008


                             Net New Flows                                                    Organic Growth Rate
                                                             $46.5B
                                                                                                9.9%
                            $36.0B                                                                                  9.1%
                                                                                     7.4%
           $22.4B
                                            $12.2B
                                                                                                          2.7%



                                                                           -$8.9B
                                                                                                                              -1.4%

            2004             2005            2006             2007          2008     2004       2005      2006      2007      2008



Source: Franklin Resources, Inc. fiscal year calculations as of 9/30/08.
                                                                                                                                13




   Operating Results
All figures in millions except per share data.


                      Operating Revenues                                                    Operating Income
                                                                                                              $2,068   $2,107
                                                             $6,206        $6,032
                                             $5,051                                                  $1,633
                            $4,310
                                                                                            $1,288
            $3,438
                                                                                    $931




            2004             2005            2006            2007          2008     2004     2005    2006     2007     2008


            Earnings Per Share (Diluted)                                                    Operating Margin
                                                              $7.03                                                    34.9%
                                                                           $6.68                     32.3%    33.3%
                                                                                            29.9%
                                                                                    27.1%
                                             $4.86
                             $4.06

            $2.75




            2004             2005            2006             2007         2008     2004     2005    2006     2007     2008



Source: Franklin Resources, Inc. fiscal year calculations as of 9/30/08.
                                                                                                                                                                                       14




      Capital Management
 All figures in millions except per share data.


      Cash & Equivalents1 vs. Total Debt                                                                             Cash Dividend Per Share
         Cash & Equivalents1                                 $3,884                                                              $2.40
                                             $3,613
         Total Debt                                                           $3,364
                             $3,152
               $2,917



                             $1,617
              $1,372                                                                                                                                                           $0.80
                                             $1,028                                                                                                              $0.60
                                                              $823                                                                               $0.48
                                                                                                                 $0.34
                                                                              $127

               2004          2005            2006            2007             2008                               2004            2005            2006            2007          2008


                 Share Repurchase Activity                                                                                   Total Payout Ratio
                                                                                                                                                                               109%
                                                                              $1,543
               249.7          252.7           253.2                                        260
$1,500
                                                             $1,289                                                                               88%
                                                                                           250                                                                    81%
                                                                      245.5                                                      73%
                                              $986                                         240
$1,000        End of Period                                                            232.8
              Shares Outstanding
                                                                                           230

                                                                                           220
 $500                                                                                                            22%
                              $170                                                         210
                $68
 $-                                                                                        200
               2004          2005             2006            2007            2008                              2004             2005            2006            2007          2008



 Source: Franklin Resources, Inc. fiscal year calculations as of 9/30/08. 1Cash & Equivalents includes Other Investments in the Current Assets section of the balance sheet.
                                                     15




Summary

• Diversified Product Offerings

• Improving Relative Investment Performance

• Continued Prudent Capital and Expense Management

• Well Positioned When Market Sentiment Shifts and
 Industry Flows Resume
Franklin Resources, Inc.
Investor Relations
One Franklin Parkway
San Mateo, California 94403-1906
(650) 312-4091
franklinresources.com