429 P1 03/24
FRANKLIN GLOBAL TRUST
SUPPLEMENT DATED MARCH 22, 2024
TO THE PROSPECTUS DATED DECEMBER 1, 2023
The following replaces the Average Annual Total Returns table in the section of the Fund’s Prospectus entitled “Performance”:
Average Annual Total Returns
(figures reflect sales charges)
For periods ended December 31, 2022
|
| 1 Year |
| 5 Years |
| 10 Years |
| Since Inception |
| |
Franklin International Growth Fund - Class A |
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| Return before taxes |
| -35.75% |
| 0.16% |
| 4.01% |
| — |
|
| Return after taxes on distributions |
| -35.94% |
| -0.17% |
| 3.82% |
| — |
|
| Return after taxes on distributions and sale of Fund shares |
| -20.91% |
| 0.21% |
| 3.27% |
| — |
|
Franklin International Growth Fund - Class C |
| -33.20% |
| 0.53% |
| 3.82% |
| — |
| |
Franklin International Growth Fund - Class R |
| -32.20% |
| 1.04% |
| 4.35% |
| — |
| |
Franklin International Growth Fund - Class R6 |
| -31.74% |
| 1.69% |
| — |
| 4.82% | 1 | |
Franklin International Growth Fund - Advisor Class |
| -31.83% |
| 1.55% |
| 4.88% |
| — |
| |
MSCI EAFE Index-NR (index reflects no deduction for fees, expenses or taxes but are net of dividend tax withholding) |
| -14.45% |
| 1.54% |
| 4.67% |
| — |
| |
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1. | Since inception May 1, 2013. |
Please keep this supplement with your prospectus for future reference.
SUMMARY PROSPECTUS | |||||||
FRANKLIN INTERNATIONAL GROWTH FUND | |||||||
Franklin Global Trust | |||||||
December 1, 2023 as amended, March 22, 2024 | |||||||
Class A | Class C | Class R | Class R6 | Advisor Class |
FNGAX | FNGDX | FNGRX | FILRX | FNGZX |
Before you invest, you may want to review the Fund’s prospectus, which contains more information about the Fund and its risks. You can find the Fund’s prospectus, statement of additional information, reports to shareholders and other information about the Fund online at www.franklintempleton.com/prospectus. You can also get this information at no cost by calling (800) DIAL BEN/342-5236 or by sending an e-mail request to prospectus@franklintempleton.com. The Fund’s prospectus and statement of additional information, both dated December 1, 2023, as may be supplemented, are all incorporated by reference into this Summary Prospectus.
FRANKLIN
INTERNATIONAL GROWTH FUND
SUMMARY PROSPECTUS
Long-term capital appreciation.
These
tables describe the fees and expenses that you may pay if you buy, hold and sell shares of the Fund.
You may pay other fees (including on Class R6 and Advisor Class shares), such as brokerage commissions
and other fees to financial intermediaries, which are not reflected in the tables and examples below.
(fees paid directly from your investment)
| Class A |
| Class C |
| Class R |
| Class R6 |
| Advisor
| |
Maximum Sales Charge
(Load) |
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Maximum Deferred Sales Charge | 1 |
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1. | There is a 1% contingent deferred sales charge that applies to investments of $1 Million or more (see "Investment of $1 Million or More" under "Choosing a Share Class") and purchases by certain retirement plans without an initial sales charge on shares sold within 18 months of purchase. |
2 | Summary Prospectus | franklintempleton.com |
FRANKLIN
INTERNATIONAL GROWTH FUND
SUMMARY PROSPECTUS
(expenses that you pay each year as a percentage of the value of your investment)
| Class A |
| Class C |
| Class R |
| Class R6 |
| Advisor
|
Management fees |
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Distribution and service (12b-1) fees |
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Other expenses |
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Acquired fund fees and expenses |
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Total annual Fund operating expenses1 |
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Fee waiver and/or expense reimbursement2 | - |
| - |
| - |
| - |
| - |
Total annual Fund operating expenses after fee waiver and/or expense reimbursement |
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1.
2.
This Example is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all of your shares at the end of the period. The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. The Example reflects adjustments made to the Fund's operating expenses due to the fee waivers and/or expense reimbursements by management for the 1 Year numbers only. Although your actual costs may be higher or lower, based on these assumptions your costs would be:
|
|
| 1 Year |
| 3 Years |
| 5 Years |
| 10 Years |
Class A |
| $ |
| $ |
| $ |
| $ | |
Class C |
| $ |
| $ |
| $ |
| $ | |
Class R |
| $ |
| $ |
| $ |
| $ | |
Class R6 |
| $ |
| $ |
| $ |
| $ | |
Advisor Class |
| $ |
| $ |
| $ |
| $ | |
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Class C |
| $ |
| $ |
| $ |
| $ | |
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franklintempleton.com | Summary Prospectus | 3 |
FRANKLIN
INTERNATIONAL GROWTH FUND
SUMMARY PROSPECTUS
The Fund pays transaction costs, such as commissions, when
it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate
higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account.
These costs, which are not reflected in annual Fund operating expenses or in the Example, affect the
Fund's performance. During the most recent fiscal year, the Fund's portfolio turnover rate was
The Fund's investment manager employs a disciplined, bottom-up investment approach to identify attractive investment opportunities that have higher expected revenue and earnings growth than their peers. The investment manager uses a growth investment style and in-depth, fundamental research to identify high-quality companies, across all industry groups, with sustainable business models that offer the most attractive combination of growth, quality and valuation.
Market: The market values of securities or other investments owned by the Fund will go up or down, sometimes rapidly or unpredictably. The market value of a security or other investment may be reduced by market activity or other results of supply and demand unrelated to the issuer. This is a basic risk associated with all investments. When there are more sellers than buyers, prices tend to fall. Likewise, when there are more buyers than sellers, prices tend to rise.
The global outbreak of the novel strain of coronavirus, COVID-19 and its subsequent variants, has resulted in market closures and dislocations, extreme volatility, liquidity constraints and increased trading costs. The long-term impact on economies, markets, industries and individual issuers is not known. Some sectors
4 | Summary Prospectus | franklintempleton.com |
FRANKLIN
INTERNATIONAL GROWTH FUND
SUMMARY PROSPECTUS
of the economy and individual issuers have experienced or may experience particularly large losses. Periods of extreme volatility in the financial markets; reduced liquidity of many instruments; and disruptions to supply chains, consumer demand and employee availability, may continue for some time.
Stock prices tend to go up and down more dramatically than those of debt securities. A slower-growth or recessionary economic environment could have an adverse effect on the prices of the various stocks held by the Fund.
Growth Style Investing: Growth stock prices reflect projections of future earnings or revenues, and can, therefore, fall dramatically if the company fails to meet those projections. Growth stocks may be more expensive relative to their current earnings or assets compared to value or other stocks, and if earnings growth expectations moderate, their valuations may return to more typical norms, causing their stock prices to fall. Prices of these companies’ securities may be more volatile than other securities, particularly over the short term. In addition, investment styles can go in and out of favor, which could cause additional volatility in the prices of the Fund’s portfolio holdings.
Foreign Securities (non-U.S.): Investing in foreign securities typically involves more risks than investing in U.S. securities, and includes risks associated with: (i) internal and external political and economic developments – e.g., the political, economic and social policies and structures of some foreign countries may be less stable and more volatile than those in the U.S. or some foreign countries may be subject to trading restrictions or economic sanctions; (ii) trading practices – e.g., government supervision and regulation of foreign securities and currency markets, trading systems and brokers may be less than in the U.S.; (iii) availability of information – e.g., foreign issuers may not be subject to the same disclosure, accounting and financial reporting standards and practices as U.S. issuers; (iv) limited markets – e.g., the securities of certain foreign issuers may be less liquid (harder to sell) and more volatile; and (v) currency exchange rate fluctuations and policies – e.g., fluctuations may negatively affect investments denominated in foreign currencies and any income received or expenses paid by the Fund in that foreign currency. The risks of foreign investments may be greater in developing or emerging market countries.
Regional Focus: Because the Fund may invest at least a significant portion of its assets in companies in a specific region, including Europe, the Fund is subject to greater risks of adverse developments in that region and/or the surrounding regions than a fund that is more broadly diversified geographically. Political, social or economic disruptions in the region, even in countries in which the Fund is not invested, may adversely affect the value of investments held by the Fund. Current
franklintempleton.com | Summary Prospectus | 5 |
FRANKLIN
INTERNATIONAL GROWTH FUND
SUMMARY PROSPECTUS
uncertainty concerning the economic consequences of Russia’s military invasion of Ukraine in February 2022 which has increased market volatility.
Emerging Market Countries: The Fund’s investments in emerging market countries are subject to all of the risks of foreign investing generally, and have additional heightened risks due to a lack of established legal, political, business and social frameworks to support securities markets, including: delays in settling portfolio securities transactions; currency and capital controls; greater sensitivity to interest rate changes; pervasiveness of corruption and crime; currency exchange rate volatility; and inflation, deflation or currency devaluation.
Focus: To the extent that the Fund focuses on particular countries, regions, industries, sectors or types of investments from time to time, the Fund may be subject to greater risks of adverse developments in such areas of focus than a fund that invests in a wider variety of countries, regions, industries, sectors or investments.
Technology companies: Companies in the technology sector have historically been volatile due to the rapid pace of product change and development within the sector. For example, their products and services may not prove commercially successful or may become obsolete quickly. In addition, delays in or cancellation of the release of anticipated products or services may also affect the price of a technology company’s stock. Technology companies are subject to significant competitive pressures, such as new market entrants, aggressive pricing and tight profit margins. The activities of these companies may also be adversely affected by changes in government regulations, worldwide technological developments or investor perception of a company and/or its products or services. The stock prices of companies operating within this sector may be subject to abrupt or erratic movements.
Healthcare companies: The activities of healthcare companies may be funded or subsidized by federal and state governments. If government funding and subsidies are reduced or discontinued, the profitability of these companies could be adversely affected. Healthcare companies may also be affected by government policies on healthcare reimbursements, regulatory approval for new drugs and medical products, and similar matters. They are also subject to legislative risk, i.e., the risks associated with the reform of the healthcare system through legislation.
Mid Capitalization Companies: Securities issued by mid capitalization companies may be more volatile in price than those of larger companies and may involve substantial risks. Such risks may include greater sensitivity to economic conditions, less certain growth prospects, lack of depth of management and funds for growth and development, and limited or less developed product lines and markets. In addition, mid capitalization companies may be particularly affected by
6 | Summary Prospectus | franklintempleton.com |
FRANKLIN
INTERNATIONAL GROWTH FUND
SUMMARY PROSPECTUS
interest rate increases, as they may find it more difficult to borrow money to continue or expand operations, or may have difficulty in repaying any loans.
Management: The Fund is subject to management risk because it is an actively managed investment portfolio. The Fund's investment manager applies investment techniques and risk analyses in making investment decisions for the Fund, but there can be no guarantee that these decisions will produce the desired results.
Cybersecurity: Cybersecurity incidents, both intentional and unintentional, may allow an unauthorized party to gain access to fund assets, fund or customer data (including private shareholder information), or proprietary information, cause the fund, the investment manager, and/or their service providers (including, but not limited to, fund accountants, custodians, sub-custodians, transfer agents and financial intermediaries) to suffer data breaches, data corruption or loss of operational functionality or prevent fund investors from purchasing, redeeming or exchanging shares or receiving distributions. The investment manager has limited ability to prevent or mitigate cybersecurity incidents affecting third party service providers, and such third party service providers may have limited indemnification obligations to the fund or the investment manager. Cybersecurity incidents may result in financial losses to the fund and its shareholders, and substantial costs may be incurred in an effort to prevent or mitigate future cybersecurity incidents. Issuers of securities in which the fund invests are also subject to cybersecurity risks, and the value of these securities could decline if the issuers experience cybersecurity incidents.
Because technology is frequently changing, new ways to carry out cyber attacks are always developing. Therefore, there is a chance that some risks have not been identified or prepared for, or that an attack may not be detected, which puts limitations on the Fund's ability to plan for or respond to a cyber attack. Like other funds and business enterprises, the Fund, the investment manager, and their service providers are subject to the risk of cyber incidents occurring from time to time.
franklintempleton.com | Summary Prospectus | 7 |
FRANKLIN
INTERNATIONAL GROWTH FUND
SUMMARY PROSPECTUS
- |
(figures reflect sales charges)
For periods ended December 31, 2022
|
| 1 Year |
| 5 Years |
| 10 Years |
| Since Inception |
| |
Franklin International Growth Fund - Class A |
|
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- |
| |
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| — |
| |
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- |
| - |
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| — |
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- |
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| — |
| |
Franklin International Growth Fund - Class C |
| - |
| |
| |
| — |
| |
Franklin International Growth Fund - Class R |
| - |
| |
| |
| — |
| |
Franklin International Growth Fund - Class R6 |
| - |
| |
| — |
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| 1 | |
Franklin International Growth Fund - Advisor Class |
| - |
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| — |
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| - |
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| — |
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1. | Since inception May 1, 2013. |
8 | Summary Prospectus | franklintempleton.com |
FRANKLIN
INTERNATIONAL GROWTH FUND
SUMMARY PROSPECTUS
The figures in the average annual total returns table above reflect the Class A shares maximum front-end sales charge of 5.50%. Prior to September 10, 2018, Class A shares were subject to a maximum front-end sales charge of 5.75%. If the prior maximum front-end sales charge of 5.75% was reflected, performance for Class A shares in the average annual total returns table would be lower.
The after-tax returns are calculated using the historical highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor's tax situation and may differ from those shown. After-tax returns are not relevant to investors who hold their Fund shares through tax-advantaged arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns are shown only for Class A and after-tax returns for other classes will vary.
Investment Manager
Franklin Templeton Institutional, LLC (FT Institutional)
Portfolio Managers
John Remmert
Senior Vice President of FT Institutional and portfolio manager of the Fund since 2018.
Patrick McKeegan, CFA
Portfolio manager of FT Institutional and portfolio manager of the Fund since 2021.
Donald G. Huber, CFA
Portfolio manager of FT Institutional and portfolio manager of the Fund since 2014.
Purchase and Sale of Fund Shares
You may purchase or redeem shares of the Fund on any business day online through our website at franklintempleton.com, by mail (Franklin Templeton Investor Services, P.O. Box 997151, Sacramento, CA 95899-7151), or by telephone at (800) 632-2301. For Class A, C and R, the minimum initial purchase for most accounts is $1,000 (or $25 under an automatic investment plan). Class R6 and Advisor Class are only available to certain qualified investors and the minimum initial investment will vary depending on the type of qualified investor, as described under "Your Account — Choosing a Share Class — Qualified Investors — Class R6" and "— Advisor Class" in the Fund's prospectus. There is no minimum investment for subsequent purchases.
franklintempleton.com | Summary Prospectus | 9 |
FRANKLIN
INTERNATIONAL GROWTH FUND
SUMMARY PROSPECTUS
Taxes
The Fund’s distributions are generally taxable to you as ordinary income, capital gains, or some combination of both, unless you are investing through a tax-advantaged arrangement, such as a 401(k) plan or an individual retirement account, in which case your distributions would generally be taxed when withdrawn from the tax-advantaged account.
Payments to Broker-Dealers and Other Financial Intermediaries
If you purchase shares of the Fund through a broker-dealer or other financial intermediary (such as a bank), the Fund and its related companies may pay the intermediary for the sale of Fund shares and related services. These payments may create a conflict of interest by influencing the broker-dealer or other intermediary and your salesperson to recommend the Fund over another investment. Ask your financial advisor or visit your financial intermediary's website for more information.
10 | Summary Prospectus | franklintempleton.com |
Franklin Distributors, LLC One Franklin Parkway San Mateo, CA 94403-1906 franklintempleton.com Franklin International Growth Fund | |
Investment Company Act file #811-10157 © 2024 Franklin Templeton. All rights reserved.
| 429 PSUM 03/24 |