TORONTO, Aug. 15,
2024 /CNW/ - Franklin Templeton Canada today
announced the proposed tax-deferred merger of Templeton Sustainable
Global Balanced Fund into Franklin Brandywine Global Sustainable
Balanced Fund, a fund with the same investment objective, risk
classification and fee structure.
Investors in Franklin Brandywine Global Sustainable Balanced
Fund will vote on the proposed merger at a special meeting to be
held on or around November 14, 2024,
in Toronto.
Pending investor approval, the proposed merger will be
implemented after the close of business on or around December 6, 2024. Investors in Templeton
Sustainable Global Balanced Fund will receive units of Franklin
Brandywine Global Sustainable Balanced Fund on a dollar-for-dollar
and series-by-series basis.
Investors in Templeton Sustainable Global Balanced Fund who prefer
to switch into another Franklin
Templeton fund or redeem their investments ahead of
December 6, 2024, are advised to work
with their investment advisor to submit their instructions on or
before December 5, 2024. Franklin Templeton's client service team is also
available to assist and can be contacted at 1-800-387-0830.
As this will be a tax-deferred merger, the current taxation
years for both funds involved in the merger will be deemed to end
on the effective date of the proposed merger, giving rise to
shorter taxation year ends. On or before December 6, 2024, Templeton Sustainable Global
Balanced Fund and Franklin Brandywine Global Sustainable Balanced
Fund will each distribute a sufficient amount of their net income
and realized capital gains to unitholders to ensure that they will
not be subject to ordinary income tax for such taxation year.
In anticipation of the proposed merger, Templeton
Sustainable Global Balanced Fund will be closed to new investors
after the close of business today, August
15, 2024.
If the proposed merger is not approved by investors in Franklin
Brandywine Global Sustainable Balanced Fund, this fund will be
terminated after the close of business on or around December
6, 2024. Any investors who hold the fund in registered accounts
will have their investments switched into the same series – except
for series T and FT which will be switched to series A and F,
respectively – of Franklin Canadian Money Market Fund without
tax consequences. For non-registered accounts, the units will
be redeemed at the series net asset value (NAV) per unit
and Franklin Templeton Canada will send the proceeds
to the investor or their dealer.
Investors in Templeton Sustainable Global Balanced Fund will
receive notification of the details of the proposed tax-deferred
merger by mail at least 60 days prior to the effective date of the
proposed merger. The information circular with details of the
proposed merger will be available on Franklin Templeton's website on or
around September 30, 2024.
Series Terminations
Prior to the merger, series I, V and T-USD of Templeton
Sustainable Global Balanced Fund will be terminated after the close
of business on or around December 2,
2024. Any investors who hold series I, V or T-USD in
registered accounts will have their investments switched into
series A of Franklin Canadian Money Market Fund without tax
consequences. For non-registered accounts, the units will be
redeemed at the series NAV per unit and Franklin Templeton
Canada will send the proceeds to the investor or their
dealer. Impacted investors will receive notification of the details
of the series termination by mail at least 60 days prior to the
effective date of the series termination.
Pursuant to National Instrument 81-107 – Independent
Review Committee for Investment Funds, the independent review
committee of the funds has reviewed and issued its approval with
respect to the proposed merger on behalf of Templeton Sustainable
Global Balanced Fund and provided a positive recommendation with
respect to the proposed merger on behalf of Franklin Brandywine
Global Sustainable Balanced Fund.
All costs and expenses associated with the proposed merger, the
series terminations and the special meeting will be borne by
Franklin Templeton Canada.
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 150 countries. In Canada, the company's subsidiary is Franklin
Templeton Investments Corp., which operates as Franklin
Templeton Canada. 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 specialization
on a global scale, bringing extensive capabilities in fixed income,
equity, alternatives and multi-asset solutions. With more than
1,500 investment professionals, and offices in major financial
markets around the world, the California-based company has
over 75 years of investment experience and over US$1.6
trillion (over CDN$2.2
trillion) in assets under management as of July 31, 2024. For more information, please
visit franklintempleton.ca and connect with Franklin Templeton on
LinkedIn, X and Facebook.
Commissions, trailing commissions, management fees and
expenses all may be associated with mutual fund investments. Please
read the prospectus or fund facts document before investing. Mutual
funds are not guaranteed, their values change frequently, and past
performance may not be repeated.
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reserved.
SOURCE Franklin Templeton Investments Corp.