FranklinTempletonInvestmentFunds TempletonEurolandFund-I ... · TempletonEurolandFund 3 FundIdentifiers ISINCode LU0195950489 SEDOLCode B020F91 BloombergCode TEMGRIALX TempletonEurolandFund-I(acc)EUR

Franklin Templeton Investment Funds

Templeton Euroland Fund - I (acc) EUR

Templeton Global Equity Group

Data as of 31 January 2020

For Professional Client Use Only. Not for distribution to Retail Clients.

Templeton Euroland Fund

2For Professional Client Use Only. Not for distribution to Retail Clients.

Table of Contents

Summary................................................................................................................................3

What are the Key Risks?........................................................................................................4

Discrete Performance............................................................................................................. 5

Historical Performance............................................................................................................6

Calendar Year Returns...........................................................................................................7

Portfolio Characteristics..........................................................................................................8

Top Ten Holdings................................................................................................................... 9

Geographic Allocation...........................................................................................................10

Sector Allocation...................................................................................................................11

Performance Attribution by Country.......................................................................................12

Performance Attribution by Sector.........................................................................................13

Performance Attribution by Security.......................................................................................14

Performance Risk Statistics.................................................................................................. 15

Glossary...............................................................................................................................16

Important Disclosures...........................................................................................................17


3

Fund Identifiers

ISIN Code LU0195950489

SEDOL Code B020F91

Bloomberg Code TEMGRIA LX


As of 31 January 2020

Summary

Portfolio Manager(s)

Dylan Ball United Kingdom

Peter Moeschter, CFA Bahamas

Fund Ratings (31 January 2020)

Overall Morningstar Rating™

««««

Summary of Investment Objective

The Fund aims to achieve long-term capital appreciation by investing primarily in

equity and debt securities of European Monetary Union member country governments

and companies with at least 75% of its total assets in equity securities issued by

companies which have their head office in the European Union.

Morningstar Category™ Eurozone Large-Cap Equity

Investment Style Value

Fund Inception Date 8 January 1999

Share Class Inception Date 31 August 2004

Benchmark MSCI EMU Index

Base Currency for Fund EUR

Base Currency for Share Class EUR

Total Net Assets (EUR) 373,681,376.11

Portfolio Turnover -34.37%

Asset Allocation Equity: 100.06%

Cash & Cash Equivalents: -0.06%

Number of Issuers 49

Total Expense Ratio 0.85%

The Portfolio Turnover is calculated over a 12-month period as at the end of the fiscal year (30 June 2019).

Holdings of the same issuer have been combined.

© Morningstar, Inc. 2020. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither

Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.

The negative cash position reflects a temporary position that is a result of a delay in securities settlement transactions.

Percentage may not total 100% due to rounding.

Information is historical and may not reflect current or future portfolio characteristics. All portfolio holdings are subject to change.

The fund offers other share classes subject to different fees and expenses, which will affect their performance. Please see the prospectus for details.

Past performance is not an indicator or a guarantee of future performance.



4

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 mainly in equity securities of companies located in or doing significant business in euroland countries. Such securities have historically been subject to significant

price movements that may occur suddenly due to market or company-specific factors. As a result, the performance of the Fund can fluctuate significantly over relatively short time

periods.

Other significant risks include: currency risk, liquidity risk.

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.


5

Discrete Performance

Discrete Annual Performance (%)

Inception

Date

01/19

01/20

01/18

01/19

01/17

01/18

01/16

01/17

01/15

01/16

Templeton Euroland Fund - I (acc) EUR—Net of Fees 31.8.2004 10.65 -13.38 12.60 19.71 0.17

MSCI EMU Index 16.95 -9.32 18.06 11.23 -3.57

All performance data shown is in the Fund currency stated and net of management fees. Sales charges and other commissions, taxes and other relevant costs paid by the investor are not included in the calculations.

Performance data may represent blended share class performance, e.g., hybrid created from an A (dis) share class which was converted to A (acc).


When performance for either the portfolio or its benchmark has been converted, different foreign exchange closing rates may be used between the portfolio and its benchmark.

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. Past performance is not an indicator

or a guarantee of future performance. Current performance may differ from figures shown. Currency fluctuations may affect the value of overseas investments. When investing in a fund

denominated in a foreign currency, performance may also be affected by currency fluctuations. Please visit www.franklinresources.com/countries for current performance.




Annualised Performance (%)

Inception

Date 1 Yr 3 Yrs 5 Yrs 10 Yrs

Since

Incept

Templeton Euroland Fund - I (acc) EUR—Net of Fees 31.8.2004 10.65 2.57 5.29 7.76 5.36

MSCI EMU Index 16.95 7.78 6.07 7.79 6.66


Historical Performance










For Professional Client Use Only. Not for distribution to Retail Clients. 6

Cumulative Performance (%)

Inception

Date 1 Mth 3 Mths YTD 1 Yr 3 Yrs 5 Yrs 10 Yrs

Since

Incept

Templeton Euroland Fund - I (acc) EUR—Net of Fees 31.8.2004 -3.58 2.43 -3.58 10.65 7.91 29.41 111.05 123.51

MSCI EMU Index -1.70 2.08 -1.70 16.95 25.20 34.29 111.73 170.25


7









Calendar Year Returns



YTD 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010

-17%

-4%

9%

22%

35%

-3.58 -1.70

21.56

26.51

-15.92 -12.01

9.35

13.30

10.38

5.25

17.66

10.55

-3.33

5.08

31.53

24.42

23.74

20.61

-8.31 -14.08

2.03

3.29

MSCI EMU IndexTempleton Euroland Fund - I (acc) EUR—Net of Fees


vs. MSCI EMU Index



8

Portfolio Characteristics


The portfolio characteristics listed are based on the Fund’s underlying holdings, and do not necessarily reflect the Fund’s characteristics. Due to data limitations all equity holdings are assumed to be the primary equity issue (usually the ordinary or

common shares) of each security’s issuing company. This methodology may cause small differences between the portfolio’s reported characteristics and the portfolio’s actual characteristics. In practice, Franklin Templeton’s portfolio managers

invest in the class or type of security which they believe is most appropriate at the time of purchase. The dividend yield quoted here is the yield on securities within the Fund’s portfolio and should not be used as an indication of the

income received from this portfolio. The market capitalisation figures for both the portfolio and the benchmark are the security level, not aggregated up to the main issuer.

Source: FactSet. Price Ratio calculations for the weighted average use harmonic means. Any exceptions to this are noted. Market capitalisation statistics are indicated in the base currency for the portfolio presented.



Portfolio Index

Price to Earnings (12-mo Trailing) 17.13x 16.74x

Price to Cash Flow 6.96x 7.38x

Price to Book 1.52x 1.64x

Dividend Yield 3.26% 3.17%

Market Capitalisation (Millions EUR) 31,749 56,458

Market Capitalisation Breakdown in EUR Portfolio %

<2.0 Billion 13.45

2.0-5.0 Billion 19.52

5.0-10.0 Billion 9.21

10.0-25.0 Billion 19.66

25.0-50.0 Billion 16.73

>50.0 Billion 21.44


9


The information provided is not a recommendation to purchase, sell or hold any particular security. The securities or issuers listed do not represent the entire holdings and in the aggregate may represent only a small percentage of such holdings. There is

no assurance that securities purchased will remain in the portfolio, or that securities sold will not be repurchased. In addition, it should not be assumed that any securities or issuers listed were or will prove to be profitable.

Holdings of the same issuer have been combined.

The portfolio manager for the fund reserves the right to withhold release of information with respect to holdings that would otherwise be included.


Name of Issuer Country Industry % of Total

VEOLIA ENVIRONNEMENT SA France Utilities 3.47

BAYER AG Germany Pharmaceuticals, Biotechnology & Life Sciences 3.30

GEA GROUP AG Germany Capital Goods 3.20

E.ON SE Germany Utilities 3.19

NXP SEMICONDUCTORS NV Netherlands Semiconductors & Semiconductor Equipment 3.11

ONTEX GROUP NV Belgium Household & Personal Products 2.77

ENI SPA Italy Energy 2.72

ROYAL DUTCH SHELL PLC United Kingdom Energy 2.59

ASR NEDERLAND NV Netherlands Insurance 2.48

GERRESHEIMER AG Germany Pharmaceuticals, Biotechnology & Life Sciences 2.47

Total 29.31

Top Ten Holdings




MSCI EMU Index

Finland

Austria

Denmark

Portugal

United Kingdom

Ireland

Italy

Spain

Belgium

Netherlands

France

Germany

0% 8% 16% 24% 32% 40%

10


Weightings as percent of total. Percentage may not total 100% due to rounding. Information is historical and may not reflect current or future portfolio characteristics. All portfolio holdings are subject to change.


Geographic Allocation

Portfolio % Index % Over/Under %

Europe 100.06 100.00 0.06

Germany 34.67

26.94

7.73

France 24.08

35.36

-11.29

Netherlands 12.74

12.37

0.37

Belgium 7.02

3.06

3.96

Spain 6.32

8.85

-2.53

Italy 5.09

7.33

-2.24

Ireland 3.85

1.81

2.04

United Kingdom 2.59

0.00

2.59

Portugal 2.09

0.53

1.55

Denmark 1.10

0.00

1.10

Finland 0.00

3.07

-3.07

Others 0.51 0.67 -0.16

Cash & Cash Equivalents -0.06 0.00 -0.06


vs. MSCI EMU Index



11

Weightings as percent of total. Percentage may not total 100% due to rounding. Information is historical and may not reflect current or future portfolio characteristics. All portfolio holdings are subject to change.


Cash & Cash Equivalents

Real Estate

Communication Services

Consumer Staples

Materials

Utilities

Consumer Discretionary

Energy

Financials

Information Technology

Industrials

Health Care

-1% 4% 9% 14% 19% 24%

Sector Allocation


MSCI EMU Index

Portfolio % Index % Over/Under %

Health Care 18.20 7.92 10.28

Pharmaceuticals, Biotechnology & Life Sciences

15.94 5.68 10.26

Health Care Equipment & Services

2.26 2.24 0.02

Industrials 12.93 15.37 -2.44

Capital Goods

9.82 12.27 -2.46

Commercial & Professional Services

3.12 1.38 1.74

Transportation

0.00 1.72 -1.72

Information Technology 12.71 10.32 2.40

Software & Services

6.47 5.33 1.14

Semiconductors & Semiconductor Equipment

4.29 4.35 -0.06

Technology Hardware & Equipment

1.95 0.63 1.32

Financials 11.97 16.69 -4.71

Banks

7.54 8.57 -1.03

Insurance

2.48 6.38 -3.90

Diversified Financials

1.96 1.74 0.22

Energy 11.83 4.62 7.21

Consumer Discretionary 8.88 13.89 -5.00

Automobiles & Components

4.92 4.78 0.14

Consumer Services

1.98 0.55 1.43

Retailing

1.98 1.89 0.09

Consumer Durables & Apparel

0.00 6.67 -6.67

Utilities 7.76 7.15 0.61

Materials 7.68 6.95 0.73

Consumer Staples 4.92 10.17 -5.25

Household & Personal Products

2.77 4.22 -1.45

Food, Beverage & Tobacco

2.15 4.84 -2.69

Food & Staples Retailing

0.00 1.11 -1.11

Communication Services 3.16 4.85 -1.69

Telecommunication Services

3.16 3.57 -0.42

Media & Entertainment

0.00 1.27 -1.27

Real Estate 0.00 2.09 -2.09

Cash & Cash Equivalents -0.06 0.00 -0.06


vs. MSCI EMU Index



12

Performance Attribution by Country


vs. MSCI EMU Index

1 February 2019-31 January 2020


Source: FactSet. Important data provider notices and terms available at www.franklintempletondatasources.com. Allocation Effect is the portion of excess return attributed to region/country allocation decisions. Selection Effect is the portion of excess

return attributed to security selection decisions within the region/country and the product of the difference between the region/country portfolio and index weight times the difference between region/country portfolio and index return. Total Effect is the sum

of the Allocation and Selection Effects and represents the excess return by region/country.

Performance attribution is calculated in the base currency of the fund.



PORTFOLIO (%) INDEX (%) ATTRIBUTION EFFECTS (%)

Average

Weight Total Return

Average

Weight Total Return

Allocation

Effect

Selection

Effect Total Effect

5 Largest Contributors

Denmark 1.34 60.05 - - 0.33 0.00 0.33

Spain 5.60 4.16 9.16 6.55 0.38 -0.14 0.24

Finland 0.25 3.09 3.11 7.19 0.24 -0.01 0.24

China - - 0.29 -7.46 0.10 0.00 0.10

Luxembourg - - 0.29 -6.03 0.06 0.00 0.06

5 Largest Detractors

United Kingdom 2.81 -6.63 2.01 3.66 -0.06 -0.35 -0.41

Ireland 4.18 12.78 1.88 29.51 0.21 -0.64 -0.42

Italy 7.17 8.01 6.55 22.59 -0.09 -0.51 -0.59

Germany 31.88 11.11 27.01 14.64 -0.07 -1.06 -1.12

Netherlands 14.66 7.36 10.20 27.43 0.51 -2.68 -2.17

Netherlands

Germany

Italy

Ireland

United Kingdom

Luxembourg

China

Finland

Spain

Denmark

-3.0 -1.0 1.0

Total Effect (%)

-2.17

-1.12

-0.59

-0.42

-0.41

0.06

0.10

0.24

0.24

0.33


13


Source: FactSet. Important data provider notices and terms available at www.franklintempletondatasources.com. Allocation Effect is the portion of excess return attributed to sector allocation decisions. Selection Effect is the portion of excess return

attributed to security selection decisions within the sector and the product of the difference between the sector portfolio and index weight times the difference between sector portfolio and index return. Total Effect is the sum of the Allocation and

Selection Effects and represents the excess return by sector.




Performance Attribution by Sector


vs. MSCI EMU Index


Cash & Other Net Assets

Consumer Discretionary

Energy

Information Technology

Industrials

Consumer Staples

Health Care

Financials

Utilities

Real Estate

Communication Services

Materials

-2.0 0.0 2.0

Total Effect (%)

-0.29

-1.40

-1.36

-1.16

-0.96

-0.49

-0.44

-0.39

0.08

0.23

0.26

0.99

PORTFOLIO (%) INDEX (%) ATTRIBUTION EFFECTS (%)

Average

Weight Total Return

Average

Weight Total Return

Allocation

Effect

Selection

Effect Total Effect

Materials 5.75 35.80 7.09 13.89 -0.03 1.02 0.99

Communication Services 2.80 -3.06 5.38 1.58 0.35 -0.09 0.26

Real Estate - - 2.04 6.78 0.23 0.00 0.23

Utilities 7.59 31.62 6.59 30.29 0.12 -0.04 0.08

Financials 16.87 8.66 17.06 12.66 0.10 -0.50 -0.39

Health Care 16.77 15.08 7.44 19.08 0.19 -0.63 -0.44

Consumer Staples 4.84 0.13 10.82 13.45 0.11 -0.60 -0.49

Industrials 10.95 20.48 14.97 25.84 -0.33 -0.63 -0.96

Information Technology 12.52 18.80 9.69 30.95 0.33 -1.49 -1.16

Energy 11.82 -3.00 5.20 -2.49 -1.27 -0.10 -1.36

Consumer Discretionary 8.60 0.12 13.72 16.54 -0.02 -1.38 -1.40

Cash & Other Net Assets 1.47 - - - -0.29 0.00 -0.29


14

Performance Attribution by Security

Holdings of the same issuer have been combined. Information is historical and may not reflect current or future portfolio characteristics. All portfolio holdings are subject to change.

Source: FactSet. Important data provider notices and terms available at www.franklintempletondatasources.com. Total Effect reflects the excess return by security as compared to the index. Performance attribution is calculated in the base currency of

the fund.


*Security not held in the portfolio at the end of the reporting period.




vs. MSCI EMU Index


PORTFOLIO (%) INDEX (%)

Average

Weight Total Return

Average

Weight Total Return Total Effect

5 Largest Contributors

VEOLIA ENVIRONNEMENT SA 2.67 51.48 0.29 51.51 0.65

UMICORE SA 1.06 52.77 0.18 15.76 0.60

AZIMUT HOLDING SPA 0.51 48.70 - - 0.58

NXP SEMICONDUCTORS NV 2.70 53.01 0.72 52.71 0.56

*BANCO SANTANDER SA - - 1.62 -10.40 0.45

5 Largest Detractors

JENOPTIK AG 1.87 -11.08 - - -0.57

ROYAL DUTCH SHELL PLC 2.81 -6.63 - - -0.63

TAKKT AG 1.84 -14.43 - - -0.64

FLOW TRADERS 1.92 -17.81 - - -0.75

*ASML HOLDING NV - - 2.16 68.54 -0.84

*ASML HOLDING NV

FLOW TRADERS

TAKKT AG

ROYAL DUTCH SHELL PLC

JENOPTIK AG

*BANCO SANTANDER SA

NXP SEMICONDUCTORS NV

AZIMUT HOLDING SPA

UMICORE SA

VEOLIA ENVIRONNEMENT SA

-1.0 0.0 1.0

Total Effect (%)

-0.84

-0.75

-0.64

-0.63

-0.57

0.45

0.56

0.58

0.60

0.65


15

The base currency of a fund determines the risk-free rate index used in calculating certain risk statistics on this page. A fund that is based in USD uses the US T-Bill Index as the risk free rate return, a EUR-based fund uses the Euro 3-Month T-Bill

Index, a GBP-based fund uses the UK Treasury Bills 3 Month Index, a JPY-based fund uses the Japan Financing Bill 3 Month Index, and an AUD-based fund uses the Australia T-Note 3 Month Index.


^^Measured against the MSCI EMU Index.

*Annualised.




Performance Risk Statistics

1 Yr 3 Yrs* 5 Yrs* 10 Yrs* 15 Yrs*

Standard Deviation (%):

Templeton Euroland Fund - I (acc) EUR 13.39 12.04 13.66 14.06 15.23

MSCI EMU Index 10.43 11.39 13.38 14.07 15.89

Tracking Error (%)^^ 4.42 4.37 4.53 4.17 4.35

Information Ratio^^ -1.34 -1.18 -0.17 0.00 -0.28

Beta^^ 1.20 0.96 0.94 0.94 0.92

Sharpe Ratio 0.84 0.27 0.43 0.56 0.26


Performance Risk Statistics

Glossary


16For Professional Client Use Only. Not for distribution to Retail Clients.

Beta: A measure of the magnitude of a portfolio's past share-price fluctuations in relation to the ups and downs of the overall market (or appropriate market index). The market (or index)

is assigned a beta of 1.00, so a portfolio with a beta of 1.20 would have seen its share price rise or fall by 12% when the overall market rose or fell by 10%.

Dividend Yield: The annual dividend received on an equity security as a percentage of the price. For a portfolio, the value represents a weighted average of the stocks it holds. It should

not be used as an indication of the income received from this portfolio.

Information Ratio: In investing terminology, the ratio of expected return to risk. Usually, this statistical technique is used to measure a manager's performance against a benchmark.

This measure explicitly relates the degree by which an investment has beaten the benchmark to the consistency by which the investment has beaten the benchmark.

Market Capitalisation: A determination of a company's value, calculated by multiplying the total number of company stock shares outstanding by the price per share.

Price to Book: The price per share of a stock divided by its book value (i.e., net worth) per share. For a portfolio, the value represents a weighted average of the stocks it holds.

Price to Cash Flow: Supplements price/earnings ratio as a measure of relative value for a stock. For a portfolio, the value represents a weighted average of the stocks it holds.

Price to Earnings (12-mo Trailing): The share price of a stock, divided by its per-share earnings over the past year. For a portfolio, the value represents a weighted average of the

stocks it holds.

Sharpe Ratio: To calculate a Sharpe ratio, an asset's excess returns (its return in excess of the return generated by risk-free assets such as Treasury bills) are divided by the asset's

standard deviation.

Standard Deviation: A measure of the degree to which a fund's return varies from the average of its previous returns. The larger the standard deviation, the greater the likelihood (and

risk) that a fund's performance will fluctuate from the average return.

Tracking Error: Measure of the deviation of the return of a fund compared to the return of a benchmark over a fixed period of time. Expressed as a percentage. The more passively the

investment fund is managed, the smaller the tracking error.

Important Disclosures


For Professional Client Use Only. Not for distribution to Retail Clients. 17

This document is intended to be of general interest only and does not constitute legal or tax advice nor is it an offer for shares or invitation to apply for shares of the Luxembourg-domiciled

SICAV Franklin Templeton Investment Funds (FTIF). Nothing in this document should be construed as investment advice. Opinions expressed are the author's at publication date and they are

subject to change without prior notice.

Subscriptions to shares of FTIF can only be made on the basis of the current prospectus and where available, the relevant Key Investor Information Document, accompanied by the latest

available audited annual report and the latest semi-annual report if published thereafter.

The value of shares in FTIF and income received from it can go down as well as up, and investors may not get back the full amount invested. Past performance is not an indicator or a

guarantee of future performance. Currency fluctuations may affect the value of overseas investments. When investing in a fund denominated in a foreign currency, your performance may also

be affected by currency fluctuations. An investment in FTIF entails risks which are described in FTIF's prospectus and where available, in the relevant Key Investor Information Document. Risks

in emerging markets may be higher than in developed markets. Investments in derivative instruments involve specific risks more fully described in the Fund's prospectus.

No shares of FTIF may be directly or indirectly offered or sold to residents of the United States of America. Shares of FTIF are not available for distribution in all jurisdictions and prospective

investors should confirm availability with their local Franklin Templeton representative before making any plans to invest. Any research and analysis contained in this document has been

procured by Franklin Templeton for its own purposes and is provided to you only incidentally. References to particular industries, sectors or companies are for general information and are not

necessarily indicative of a fund's holding at any one time. Please consult your financial advisor before deciding to invest.

A copy of the latest prospectus and where available, the relevant Key Investor Information Document, the annual report and semi-annual report, if published thereafter can be found, on our

website www.franklintempleton.it or can be obtained, free of charge, from Franklin Templeton International Services S.à r.l., Succursale Italiana. Issued by Franklin Templeton International

Services S.à r.l., Succursale Italiana, Corso Italia, 1 - 20122 Milano - Tel: +39 0285459 1- Fax: +39 0285459 222 – Tool Free number: 800915919

© 2020 Franklin Templeton. All rights reserved.

CFA® and Chartered Financial Analyst® are trademarks owned by CFA Institute.

Indexes are unmanaged, and one cannot invest directly in an index. They do not reflect any fees, expenses or sales charges.

All MSCI data is provided “as is.” The Fund described herein is not sponsored or endorsed by MSCI. In no event shall MSCI, its affiliates or any MSCI data provider have any liability of any kind

in connection with the MSCI data or the Fund described herein. Copying or redistributing the MSCI data is strictly prohibited.

FranklinTempletonInvestmentFunds TempletonEurolandFund-I ... · TempletonEurolandFund 3 FundIdentifiers ISINCode LU0195950489 SEDOLCode B020F91 BloombergCode TEMGRIALX TempletonEurolandFund-I(acc)EUR

Documents