Franklin NextStep Balanced Growth Fund

Franklin Templeton Investment Funds

Summary of Fund Objective

The fund seeks the highest level of long-term total return, consisting of both capital growth and income, that is consistent with an acceptable level of risk.


Thomas Nelson

  • New York, United States
  • Years With Firm: 13
  • Years Of Experience: 29

Wylie Tollette

  • California, United States
  • Years With Firm: 22
  • Years Of Experience: 31

Ricky Chau

  • Hong Kong
  • Years With Firm: 5
  • Years Of Experience: 22

What are the Key Risks?

The value of shares in the Fund and income received from it can go down as well as up and investors may not get back the full amount invested. Performance may also be affected by currency fluctuations. Currency fluctuations may affect the value of overseas investments.

  • The Fund invests principally in units of other funds (open- and closed-end, including exchange-traded funds) managed by Franklin Templeton entities or other asset managers, providing balanced exposure to equity securities and fixed income or floating rate debt securities (both investment grade and non-investment grade) of issuers located anywhere in the world, including emerging markets, with a bias to the Asian Pacific region. Such investments have historically been subject to price movements due to such factors as stock market volatility, general sudden changes in interest rates, changes in the financial outlook or perceived credit worthiness of securities issuers. As a result, the performance of the Fund can fluctuate over time.
  • 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.
  • Other significant risks include:
    Counterparty risk: the risk of failure of financial institutions or agents (when serving as a counterparty to financial contracts) to perform their obligations, whether due to insolvency, bankruptcy or other causes.
    Credit risk: the risk of loss arising from default that may occur if an issuer fails to make principal or interest payments when due. This risk is higher if the Fund holds low-rated, sub-investment-grade securities.
    Foreign Currency risk: the risk of loss arising from exchange-rate fluctuations or due to exchange control regulations.
    Derivative Instruments risk: the risk of loss in an instrument where a small change in the value of the underlying investment may have a larger impact on the value of such instrument. Derivatives may involve additional liquidity, credit and counterparty risks.
    Emerging markets risk: the risk related to investing in countries that have less developed political, economic, legal and regulatory systems, and that may be impacted by political/economic instability, lack of liquidity or transparency, or safekeeping issues.
    Investment funds risk: the risk that investing in other funds may be more costly or provide less liquidity than investing in underlying securities directly, or that a closed-end fund holding may trade at a premium or discount to its net asset value.
For full details of all of the risks applicable to this Fund, please refer to the “Risk Considerations” section of the Fund in the current prospectus of Franklin Templeton Investment Funds.