Franklin Templeton Notice on Franklin FTSE Russia ETF
In light of the economic sanctions imposed by the US and many other countries on Russian corporate and banking entities as well as broader sanctions on Russia, closures to Russian securities markets and Russian government imposed capital controls, the value and liquidity of Russian securities and the Russian currency have experienced significant declines. As a result, the Franklin FTSE Russia ETF (NYSE Arca: FLRU) has suspended the creation of new shares until further notice.
The buying and selling of shares of FLRU currently remains available on the secondary market.
During this time, however, Franklin Templeton cautions investors that FLRU may not meet its investment goal, may experience increased tracking error, may experience significant premiums or discounts to its net asset value (NAV), and/or have bid-ask spreads wider than its historical average.
Franklin Templeton will provide further updates to market participants on future developments.
About Franklin Templeton
Franklin Resources, Inc. [NYSE:BEN] is a global investment management organization with subsidiaries operating as Franklin Templeton and serving clients in over 155 countries. Franklin Templeton's mission is to help clients achieve better outcomes through investment management expertise, wealth management and technology solutions. Through its specialist investment managers, the company offers boutique specialization on a global scale, bringing extensive capabilities in equity, fixed income, multi-asset solutions and alternatives. With offices in more than 30 countries and approximately 1,300 investment professionals, the California-based company has 75 years of investment experience and over $1.5 trillion in assets under management as of January 31, 2022. For more information, please visit franklintempleton.com and follow us on LinkedIn, Twitter and Facebook.
Stock prices fluctuate, sometimes rapidly and dramatically, due to factors affecting individual companies, particular industries or sectors, or general market conditions. Special risks are associated with foreign investing, including currency fluctuations, economic instability and political developments. Investments in developing markets involve heightened risks related to the same factors, in addition to those associated with these markets' smaller size, lesser liquidity and lack of established legal, political, business and social frameworks to support securities markets. Investments in securities of Russian issuers involve risks that are specific to Russia, including certain legal, regulatory, political and economic risks. Because the fund invests its assets primarily in companies in a specific country or region the fund may also experience greater volatility than a fund that is more broadly diversified geographically. As a non-diversified fund, the fund may invest in a relatively small number of issuers which may negatively impact the fund's performance and result in greater fluctuation in the value of the fund's shares. These and other risks are discussed in the fund's prospectus.
Before investing, carefully consider the Fund's investment goal, risks, charges and expenses. You can find this and other information in the prospectus, and summary prospectus, at www.franklintempleton.com. Please read the prospectus carefully before investing.
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