Franklin Templeton Expands Active Equity Suite with Launch of Franklin Core US Enhanced UCITS ETF

• This is Franklin Templeton’s seventh US equity UCITS ETF, underscoring the firm’s commitment to providing a comprehensive range of U.S. equity exposures across both index-tracking and active strategies.
• The ETF is a core building block with alpha potential designed to bridge passive and traditional active – seeking stable relative returns with controlled active risk and broad diversification.
• This ETF implements the same “core enhanced” strategy used across the Franklin Core Enhanced mutual fund family – same investment team, same goals, now also delivered in an ETF wrapper.

London, 27 January 2026 – Franklin Templeton¹, a leading global asset manager, is pleased to announce the launch of the Franklin Core US Enhanced Equity UCITS ETF², a systematic active equity ETF to provide long-term capital growth through a diversified portfolio of US equities, managed by Franklin Templeton Investment Solutions. Building on the launch of Franklin Templeton’s Core Enhanced fund range in October 2025, the ETF follows the same investment approach as the FTIF Franklin Core US Enhanced Equity Fund³ providing investors an additional, cost-efficient way to access the strategy through an ETF wrapper.  The new ETF will list on the London Stock Exchange (LSE) on 28 January. 

Andrew Ashton, Head of UK, commented: “This launch is particularly relevant for UK investors as approaches to portfolio construction continue to evolve. After several years in which passive exposures have led the way, investors are increasingly reassessing where active management can play a more meaningful role, particularly within core US equity allocations. Building on the momentum of our ETF range, this strategy is designed to serve as a dependable core allocation, targeting stable relative returns with disciplined active risk management. It reinforces our focus on providing UK clients with greater choice by delivering specialist active capabilities in a format aligned with evolving portfolio construction needs.”

Franklin’s Core Enhanced Investment Approach
The Franklin Core US Enhanced Equity UCITS ETF pursues an actively managed, quantitative process to dynamically invest in equity securities while keeping the expected level of tracking error between 1- 2% in normal market conditions. The funds employ a proprietary quantitative selection process using a multi-factor model to assign a weighted score across quality, value, sentiment and alternative factors. The process also incorporates an alpha score derived from the proprietary signals and insights of Franklin Templeton’s Specialist Investment Managers.

Designed to be a foundational equity allocation, the Franklin Core Enhanced Equity funds are sector, industry and factor neutral, with the global portfolio also offering diversified exposure across major regions. The ETF is classified as Article 8 under the Sustainable Finance Disclosure Regulation (SFDR)⁴.

Lotfi Ladjemi, Vice President, ETF Distribution – UK, said:  “Clients increasingly want active outcomes with low tracking – combining transparency, cost efficiency and portfolio discipline. This UCITS ETF brings our established Core Enhanced strategy into an ETF format without changing what matters: the investment process, the risk controls, or the objective.This launch reinforces our commitment to providing a broad range of choices across index and active ETFs, and to innovation in enhanced core equity.”

The Franklin Core US Enhanced Equity Fund will be managed by a seasoned team including Brett E. Risser, Head of Quantitative Equity Portfolio Management; Jacqueline Hurley Kenney, Head of Solutions Research; and Adrian Chan, Head of Quantitative Investments, each bringing deep expertise in quantitative research and portfolio management.

Lisa Wang, Head of EMEA Investment Strategy, Franklin Templeton Investment Solutions, added: “The Franklin Core US Enhanced Equity UCITS ETF is designed to be ‘core, but better’ benchmark-aware, diversified and risk-controlled. Our process combines systematic factor signals with a conviction overlay and a proprietary risk model to help keep unintended exposures in check and tracking error tightly managed.”

About Franklin Templeton Investment Solutions
Franklin Templeton Investment Solutions translates a wide variety of investor goals into portfolios powered by Franklin Templeton’s best thinking around the globe. It serves a variety of institutional clients, ranging from sovereign wealth funds to public and private pension plans in addition to retail multi-asset clients around the world. The hallmark of FTIS´ approach is a central forum – the Investment Strategy and Research Committee (ISRC) – which generates a top-down view across asset classes and integrates insights from FTIS´ dedicated teams of fundamental and quantitative research professionals. FTIS manages approx. $98 billion in risk-based assets.⁵
 

		LSE Ticker	LSE Ticker
Fund Name	ISIN	USD	GBP
Franklin Core US Enhanced Equity UCITS ETF	IE000CZU3JH0	UENH	USEN

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Oliver Trenk Sr. Regional Corporate Communications Manager Franklin Templeton Investments Mainzer Landstraße 16 60325 Frankfurt Tel: +49 69 27223-718 Email: [email protected]

Saira Khan Senior Corporate Communications Manager Franklin Templeton Investments Cannon Place, 78 Cannon Street London EC4N6HL Tel: +44 20 7073 8644 Email: [email protected]

 

Notes to Editors:

This is a marketing communication. Please refer to the prospectus or information document of the AIF and, where available, to the KID before making any final investment decisions.

1. Franklin Templeton is a trusted investment partner, delivering tailored solutions that align with clients’ strategic goals. With deep portfolio management expertise across public and private markets, we combine investment excellence with cutting-edge technology. Since our founding in 1947, we have empowered clients through strategic partnership, forward-looking insights, and continuous innovation – providing the tools and resources to navigate change and capture opportunity. To learn more, visit franklintempleton.co.uk and follow us on LinkedIn. Franklin Resources, Inc. [NYSE: BEN]
2. The FTIF Franklin Core U.S. Enhanced Equity UCITS ETF is a sub-fund of the Franklin Templeton ICAV, an Irish Collective Asset-managed Vehicle, incorporated under the laws of Ireland.
3. The FTIF Franklin Core U.S. Enhanced equity fund are sub-funds of Franklin Templeton Investments Funds (FTIF), a Luxembourg-domiciled SICAV. 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.
4. This ETF has been classified as Article 8 under the Regulation on sustainability related disclosures in the financial services sector (EU) 2019/2088. These are Funds which have an ESG integration approach and, in addition, have binding environmental and/or social characteristics in their investment process. Further information in relation to the sustainability-related aspects of the Fund can be found at franklinresources.com/countries. Please review all of the fund's objectives and characteristics before investing.
5. As of 30 September 2025.
    

This press release is intended to be of general interest only and does not constitute professional advice. Franklin Templeton and its management groups have exercised professional care and diligence in the collection and processing of the information in this press release. Franklin Templeton makes no representations or warranties with respect to the accuracy of this document. Franklin Templeton shall not be liable to any user of this report or to any other person or entity for the inaccuracy of information contained in this press release or for any errors or omissions in its contents, regardless of the cause of such inaccuracy, error or omission.

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