SEMIANNUAL REPORT
FRANKLIN TEMPLETON ETF TRUST
September 30, 2022
Franklin FTSE Asia ex Japan ETF |
Franklin FTSE Japan ETF | |
Franklin FTSE Australia ETF |
Franklin FTSE Japan Hedged ETF | |
Franklin FTSE Brazil ETF |
Franklin FTSE Latin America ETF | |
Franklin FTSE Canada ETF |
Franklin FTSE Mexico ETF | |
Franklin FTSE China ETF |
Franklin FTSE Russia ETF | |
Franklin FTSE Europe ETF |
Franklin FTSE Saudi Arabia ETF | |
Franklin FTSE Europe Hedged ETF |
Franklin FTSE South Africa ETF | |
Franklin FTSE France ETF |
Franklin FTSE South Korea ETF | |
Franklin FTSE Germany ETF |
Franklin FTSE Switzerland ETF | |
Franklin FTSE Hong Kong ETF |
Franklin FTSE Taiwan ETF | |
Franklin FTSE India ETF |
Franklin FTSE United Kingdom ETF | |
Franklin FTSE Italy ETF |
Visit franklintempleton.com for fund updates and documents, or to find helpful financial planning tools.
Not FDIC Insured | | | May Lose Value | | | No Bank Guarantee |
franklintempleton.com |
Semiannual Report |
1 |
SEMIANNUAL REPORT
Global developed and emerging market equities, as measured by the MSCI All Country World Index-NR (net of tax withholding when dividends are paid), posted a -21.41% total return for the six months ended September 30, 2022.1 Supply-chain disruptions and volatile prices for energy and commodities contributed to higher inflation in many countries. This inflationary pressure led many of the world’s central banks to adopt less accommodative stances regarding monetary policy. New lockdowns imposed by China’s government to quell the spread of the Omicron variant of COVID-19 pressured Asian and global emerging market stocks. Geopolitical instability disrupted financial markets amid the ongoing war in Ukraine and international sanctions on Russia, adding to investor uncertainty about the trajectory of the global economy.
In the U.S., gross domestic product (GDP) growth contracted in the second quarter of 2022, with the economy technically entering a recession, amid lower investments in inventories and fixed investments. The inflation rate escalated during the six-month period to the highest level since 1981, precipitating a notable decline in consumer confidence, despite high spending levels. In an effort to control inflation, the U.S. Federal Reserve (Fed) raised the federal funds target rate four times during the period to end at a range of 3.00%–3.25%. The Fed noted in its September 2022 meeting that inflation remained elevated, spending and production grew, job growth remained robust and the unemployment rate continued to be low. Furthermore, the Fed said it would continue to reduce its bond holdings, and Fed Chair Jerome Powell indicated that reducing inflation was likely to require a period of below-trend growth.
Economies in the eurozone maintained a slow growth rate in the second quarter of 2022 as the easing of COVID-related restrictions and a strong start to the summer tourism season increased household spending. The war in Ukraine contributed to record high inflation across the eurozone as commodity and oil prices soared. The European Central
Bank raised interest rates in July 2022 for the first time in more than a decade, increasing rates again at its subsequent meeting in September, to fight growing inflation. In this environment, European developed market equities, as measured by the MSCI Europe Index-NR, posted a -23.17% total return for the six months under review.1
Asian developed and emerging market equities, as measured by the MSCI All Country Asia Index-NR, posted a -21.45% total return for the six-month period.1 Japan’s economy expanded in the second quarter of 2022 as private consumption increased following the lifting of COVID-related restrictions and expansion of government spending. For the first time since 2020, China’s economy contracted in the second quarter, pressured by COVID-related restrictions and government measures to limit real estate speculation. Unexpected regulatory changes by China’s government, which negatively impacted technology-related businesses, and investor concerns about the solvency of several large property developers in China further pressured stocks in that country.
Global emerging market stocks, as measured by the MSCI Emerging Markets Index-NR, posted a -21.70% total return for the six months under review.1 Following Russia’s invasion of Ukraine, climbing food and energy prices kindled inflationary pressures, which, combined with a strong U.S. dollar, raised concerns over the possibility of government debt defaults in some countries. Rising U.S. interest rates led investors to sell off many holdings in emerging markets, including the major markets of India, South Korea and Taiwan.
The foregoing information reflects our analysis and opinions as of September 30, 2022. The information is not a complete analysis of every aspect of any market, country, industry, security or fund. Statements of fact are from sources considered reliable.
1. Source: Morningstar.
See www.franklintempletondatasources.com for additional data provider information.
2 |
Semiannual Report |
franklintempleton.com |
Franklin FTSE Asia ex Japan ETF
This semiannual report for Franklin FTSE Asia ex Japan ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Asia ex Japan RIC Capped Index (the FTSE Asia ex Japan Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Asia ex Japan Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -21.44% based on market price and -21.44% based on net asset value. In comparison, the FTSE Asia ex Japan Capped Index posted a -21.38% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 5.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Asia ex Japan Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Banks |
11.9% | |||
Semiconductors & Semiconductor Equipment |
8.7% | |||
Internet & Catalog Retail |
6.1% | |||
Interactive Media & Services |
5.4% | |||
Technology Hardware, Storage & Peripherals |
5.1% | |||
Oil, Gas & Consumable Fuels |
4.2% | |||
Insurance |
4.2% | |||
Real Estate Management & Development |
3.6% | |||
Automobiles |
3.4% | |||
Electronic Equipment, Instruments & Components |
3.0% |
may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Asia ex Japan Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Asia ex Japan Capped Index is based on the FTSE Asia ex Japan Index and is designed to measure the performance of large- and mid-capitalization stocks from developed and emerging Asian countries, excluding Japan. The Chinese constituents in the FTSE Asia ex Japan Capped Index are represented by H-shares, B-shares, A-shares, N-shares, Red Chips, P-Chips and S-Chips.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 119.
franklintempleton.com |
Semiannual Report |
3 |
FRANKLIN FTSE ASIA EX JAPAN ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Taiwan Semiconductor Manufacturing Co. Ltd. Semiconductors & Semiconductor Equipment, Taiwan |
6.0% | |||
Tencent Holdings Ltd. Interactive Media & Services, China |
3.8% | |||
Samsung Electronics Co. Ltd. Technology Hardware, Storage & Peripherals, South Korea |
3.8% | |||
Alibaba Group Holding Ltd., A Internet & Catalog Retail, China |
2.8% | |||
AIA Group Ltd., A Insurance, Hong Kong |
1.9% | |||
Reliance Industries Ltd. Oil, Gas & Consumable Fuels, India |
1.8% | |||
Meituan Dianping, B, 144A Internet & Catalog Retail, China |
1.6% | |||
Infosys Ltd. IT Services, India |
1.2% | |||
JD.com Inc.,
A Internet & Catalog Retail, China |
1.1% | |||
China Construction Bank Corp., H Banks, China |
1.0% |
Top 10 Countries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
China |
34.2% | |||
India |
18.9% | |||
Taiwan |
15.3% | |||
South Korea |
11.9% | |||
Hong Kong |
7.5% | |||
Singapore |
3.7% | |||
Thailand |
2.7% | |||
Indonesia |
2.4% | |||
Malaysia |
1.9% | |||
Philippines |
0.8% |
Thank you for your participation in Franklin FTSE Asia ex Japan ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
CFA® is a trademark owned by CFA Institute.
4 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE ASIA EX JAPAN ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (2/9/18), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-21.44% | -21.44% | -21.44% | -21.44% | ||||||||||||
1-Year |
-27.86% | -28.23% | -27.86% | -28.23% | ||||||||||||
3-Year |
-2.32% | -3.15% | -0.78% | -1.06% | ||||||||||||
Since Inception (2/6/18) |
-12.27% | -13.27% | -2.78% | -3.02% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 6 for Performance Summary footnotes.
franklintempleton.com |
Semiannual Report |
5 |
FRANKLIN FTSE ASIA EX JAPAN ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.112327 |
Total Annual Operating Expenses5
0.19% |
All investments involve risks, including possible loss of principal. 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 issuers in Asian countries involve risks that are specific to Asia, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
6 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE ASIA EX JAPAN ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||
$1,000.00 | $ | 785.60 | $ | 0.85 | $ | 1,024.12 | $ | 0.96 | 0.19 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
franklintempleton.com |
Semiannual Report |
7 |
This semiannual report for Franklin FTSE Australia ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Australia RIC Capped Index (the FTSE Australia Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Australia Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -22.95% based on market price -23.38% based on net asset value. In comparison, the FTSE Australia Capped Index posted a -23.36% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 10.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Australia Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Banks |
22.6% | |||
Metals & Mining |
21.2% | |||
Biotechnology |
7.8% | |||
Oil, Gas & Consumable Fuels |
6.5% | |||
Food & Staples Retailing |
4.3% | |||
Capital Markets |
4.1% | |||
Equity Real Estate Investment Trusts (REITs) |
3.4% | |||
Transportation Infrastructure |
2.9% | |||
Multiline Retail |
2.9% | |||
Insurance |
2.9% |
these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Australia Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Australia Capped Index is based on the FTSE Australia Index and is designed to measure the performance of Australian large-and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 154.
8 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE AUSTRALIA ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
BHP Group Ltd. Metals & Mining, Australia |
11.0% | |||
Commonwealth Bank of Australia Banks, Australia |
8.8% | |||
CSL Ltd. Biotechnology, Australia |
7.8% | |||
National Australia Bank Ltd. Banks, Australia |
5.2% | |||
Westpac Banking Corp. Banks, Australia |
4.1% | |||
Australia & New Zealand Banking Group Ltd. Banks, Australia |
4.0% | |||
Woodside Petroleum Ltd. Oil, Gas & Consumable Fuels, Australia |
3.4% | |||
Macquarie Group Ltd. Capital Markets, Australia |
3.0% | |||
Wesfarmers Ltd. Multiline Retail, Australia |
2.8% | |||
Woolworths Group Ltd. Food & Staples Retailing, Australia |
2.4% |
Thank you for your participation in Franklin FTSE Australia ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
franklintempleton.com |
Semiannual Report |
9 |
FRANKLIN FTSE AUSTRALIA ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-23.38% | -22.95% | -23.38% | -22.95% | ||||||||||||
1-Year |
-15.94% | -14.62% | -15.94% | -14.62% | ||||||||||||
3-Year |
+4.75% | +4.02% | +1.56% | +1.32% | ||||||||||||
Since Inception (11/2/17) |
+12.67% | +12.53% | +2.46% | +2.43% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 11 for Performance Summary footnotes.
10 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE AUSTRALIA ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.890273 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of Australian issuers involve risks that are specific to Australia, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
franklintempleton.com |
Semiannual Report |
11 |
FRANKLIN FTSE AUSTRALIA ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 766.20 | $ | 0.40 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
12 |
Semiannual Report |
franklintempleton.com |
This semiannual report for Franklin FTSE Brazil ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Brazil RIC Capped Index (the FTSE Brazil Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Brazil Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -18.30% based on market price -18.70% based on net asset value. In comparison, the FTSE Brazil Capped Index posted a -18.50% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 15.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Brazil Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Banks |
18.0% | |||
Oil, Gas & Consumable Fuels |
16.9% | |||
Metals & Mining |
16.5% | |||
Electric Utilities |
7.9% | |||
Capital Markets |
5.3% | |||
Road & Rail |
3.7% | |||
Beverages |
3.3% | |||
Food Products |
3.0% | |||
Food & Staples Retailing |
2.5% | |||
Machinery |
2.4% |
whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Brazil Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Brazil Capped Index is based on the FTSE Brazil Index and is designed to measure the performance of Brazilian large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 158.
franklintempleton.com |
Semiannual Report |
13 |
FRANKLIN FTSE BRAZIL ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Petroleo Brasileiro SA, 38.601%, pfd. Oil, Gas & Consumable Fuels, Brazil |
14.3% | |||
Vale SA Metals & Mining, Brazil |
13.8% | |||
Itau Unibanco Holding SA, 2.937%, pfd. Banks, Brazil |
7.2% | |||
Banco Bradesco SA, 3.165%, pfd. Banks, Brazil |
6.3% | |||
B3 SA - Brasil Bolsa Balcao Capital Markets, Brazil |
3.9% | |||
Ambev SA Beverages, Brazil |
3.3% | |||
Centrais Eletricas Brasileiras SA Electric Utilities, Brazil |
3.2% | |||
WEG SA Machinery, Brazil |
2.4% | |||
Localiza Rent a Car SA Road & Rail, Brazil |
2.3% | |||
Itausa SA, 5.807%, pfd. Banks, Brazil |
2.3% |
Thank you for your participation in Franklin FTSE Brazil ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
14 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE BRAZIL ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/7/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-18.70% | -18.30% | -18.70% | -18.30% | ||||||||||||
1-Year |
+1.47% | +2.18% | +1.47% | +2.18% | ||||||||||||
3-Year |
-16.60% | -16.43% | -5.87% | -5.81% | ||||||||||||
Since Inception (11/3/17) |
-5.55% | -5.06% | -1.16% | -1.05% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 16 for Performance Summary footnotes.
franklintempleton.com |
Semiannual Report |
15 |
FRANKLIN FTSE BRAZIL ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$1.025517 |
Total Annual Operating Expenses5
0.19% |
All investments involve risks, including possible loss of principal. 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. The Brazilian economy has experienced in the past, and may continue to experience, periods of high inflation rates and political unrest. Investments in securities of Brazilian issuers involve risks that are specific to Brazil, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
16 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE BRAZIL ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 813.00 | $ | 0.86 | $ | 1,024.12 | $ | 0.96 | 0.19 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
franklintempleton.com |
Semiannual Report |
17 |
This semiannual report for Franklin FTSE Canada ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Canada RIC Capped Index (the FTSE Canada Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Canada Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -22.55% based on market price and -21.85% based on net asset value. In comparison, the FTSE Canada Capped Index posted a -21.98% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 20.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Canada Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Banks | 29.1% | |||
Oil, Gas & Consumable Fuels | 18.6% | |||
Road & Rail | 9.0% | |||
Insurance | 7.4% | |||
Metals & Mining | 6.9% | |||
Food & Staples Retailing | 4.4% | |||
Capital Markets | 4.0% | |||
IT Services | 3.3% | |||
Chemicals | 3.2% | |||
Commercial Services & Supplies | 2.4% |
strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Canada Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Canada Capped Index is based on the FTSE Canada Index and is designed to measure the performance of Canadian large-and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 162.
18 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE CANADA ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Royal Bank of Canada Banks, Canada |
8.9% | |||
The
Toronto-Dominion Bank Banks, Canada |
7.8% | |||
Enbridge
Inc. Oil, Gas & Consumable Fuels, Canada |
5.3% | |||
Canadian
National Railway Co. Road & Rail, Canada |
4.7% | |||
Canadian
Pacific Railway Ltd. Road & Rail, Canada |
4.4% | |||
Bank of
Montreal Banks, Canada |
4.2% | |||
Bank of Nova
Scotia Banks, Canada |
4.0% | |||
Brookfield
Asset Management Inc., A Capital Markets, Canada |
3.8% | |||
Canadian
Natural Resources Ltd. Oil, Gas & Consumable Fuels, Canada |
3.6% | |||
Nutrien
Ltd. Chemicals, Canada |
3.2% |
Thank you for your participation in Franklin FTSE Canada ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
franklintempleton.com |
Semiannual Report |
19 |
FRANKLIN FTSE CANADA ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-21.85% | -22.55% | -21.85% | -22.55% | ||||||||||||
1-Year |
-11.64% | -12.12% | -11.64% | -12.12% | ||||||||||||
3-Year |
+17.07% | +16.58% | +5.39% | +5.25% | ||||||||||||
Since Inception (11/2/17) |
+25.77% | +25.51% | +4.78% | +4.74% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 21 for Performance Summary footnotes.
20 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE CANADA ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.050796 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of Canadian issuers involve risks that are specific to Canada, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
franklintempleton.com |
Semiannual Report |
21 |
FRANKLIN FTSE CANADA ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 781.50 | $ | 0.40 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
22 |
Semiannual Report |
franklintempleton.com |
This semiannual report for Franklin FTSE China ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE China RIC Capped Index (the FTSE China Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE China Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -19.29% based on market price and -20.42% based on net asset value. In comparison, the FTSE China Capped Index posted a -20.45% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 25.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE China Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Internet & Catalog Retail | 17.2% | |||
Interactive Media & Services | 13.6% | |||
Banks | 10.5% | |||
Automobiles | 4.6% | |||
Beverages | 3.9% | |||
Real Estate Management & Development | 3.6% | |||
Insurance | 3.5% | |||
Oil, Gas & Consumable Fuels | 3.0% | |||
Food Products | 2.0% | |||
Textiles, Apparel & Luxury Goods | 2.0% |
whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE China Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE China Capped Index is based on the FTSE China Index and is designed to measure the performance of Chinese large- and mid-capitalization stocks, as represented by H-shares, B-shares, A-shares, N-shares, Red Chips, P-Chips and S-Chips.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 165.
franklintempleton.com |
Semiannual Report |
23 |
FRANKLIN FTSE CHINA ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Tencent
Holdings Ltd. Interactive Media & Services, China |
10.9% | |||
Alibaba Group
Holding Ltd., A Internet & Catalog Retail, China |
8.0% | |||
Meituan
Dianping, B, 144A Internet & Catalog Retail, China |
4.7% | |||
JD.com Inc.,
A Internet & Catalog Retail, China |
3.2% | |||
China
Construction Bank Corp., H Banks, China |
2.9% | |||
Industrial and
Commercial Bank of China Ltd., H Banks, China |
2.0% | |||
Baidu
Inc. Interactive Media & Services, China |
1.8% | |||
Ping An
Insurance Group Co. of China Ltd., H Insurance, China |
1.6% | |||
NetEase
Inc. Entertainment, China |
1.5% | |||
Bank of China
Ltd., H Banks, China |
1.3% |
Thank you for your participation in Franklin FTSE China ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
24 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE CHINA ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-20.42% | -19.29% | -20.42% | -19.29% | ||||||||||||
1-Year |
-35.25% | -35.32% | -35.25% | -35.32% | ||||||||||||
3-Year |
-18.76% | -18.46% | -6.69% | -6.58% | ||||||||||||
Since Inception (11/2/17) |
-27.23% | -27.39% | -6.27% | -6.31% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 26 for Performance Summary footnotes.
franklintempleton.com |
Semiannual Report |
25 |
FRANKLIN FTSE CHINA ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.140032 |
Total Annual Operating Expenses5
0.19% |
All investments involve risks, including possible loss of principal. 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. China may be subject to considerable degrees of economic, political and social instability. Investments in securities of Chinese issuers involve risks that are specific to China, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
26 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE CHINA ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 795.80 | $ | 0.86 | $ | 1,024.12 | $ | 0.96 | 0.19 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
franklintempleton.com |
Semiannual Report |
27 |
This semiannual report for Franklin FTSE Europe ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Developed Europe RIC Capped Index (the FTSE Developed Europe Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Developed Europe Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -23.70% based on market price and -23.57% based on net asset value. In comparison, the FTSE Developed Europe Capped Index posted a -23.75% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 30.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Developed Europe Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their
respective weightings in the Underlying Index). However, it
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Pharmaceuticals |
11.8% | |||
Banks |
7.3% | |||
Oil, Gas & Consumable Fuels |
6.2% | |||
Insurance |
5.1% | |||
Food Products |
4.8% | |||
Textiles, Apparel & Luxury Goods |
4.5% | |||
Chemicals |
3.4% | |||
Semiconductors & Semiconductor Equipment |
3.0% | |||
Beverages |
2.8% | |||
Personal Products |
2.7% |
may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Developed Europe Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Developed Europe Capped Index is based on the FTSE Developed Europe Index and is designed to measure the performance of large- and mid-capitalization stocks from developed European countries.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 186.
28 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE EUROPE ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Nestle SA Food Products, Switzerland |
3.6% | |||
Roche Holding AG, Non-Voting Pharmaceuticals, Switzerland |
2.8% | |||
Shell PLC Oil, Gas & Consumable Fuels, Netherlands |
2.3% | |||
ASML Holding NV Semiconductors & Semiconductor Equipment, Netherlands |
2.1% | |||
AstraZeneca PLC Pharmaceuticals, United Kingdom |
2.0% | |||
Novartis AG Pharmaceuticals, Switzerland |
2.0% | |||
Novo Nordisk AS, B Pharmaceuticals, Denmark |
2.0% | |||
LVMH Moet Hennessy Louis Vuitton SE Textiles, Apparel & Luxury Goods, France |
1.8% | |||
Unilever PLC Personal Products, United Kingdom |
1.4% | |||
TotalEnergies SE Oil, Gas & Consumable Fuels, France |
1.4% |
Thank you for your participation in Franklin FTSE Europe ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
Top 10 Countries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
United Kingdom |
20.2% | |||
Switzerland |
16.4% | |||
France |
16.2% | |||
Germany |
11.7% | |||
Netherlands |
9.0% | |||
Sweden |
5.0% | |||
Denmark |
4.0% | |||
Spain |
3.7% | |||
Italy |
3.2% | |||
Finland |
2.1% |
franklintempleton.com |
Semiannual Report |
29 |
FRANKLIN FTSE EUROPE ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-23.57% | -23.70% | -23.57% | -23.70% | ||||||||||||
1-Year |
-25.48% | -26.19% | -25.48% | -26.19% | ||||||||||||
3-Year |
-4.88% | -5.65% | -1.65% | -1.92% | ||||||||||||
Since Inception (11/2/17) |
-6.21% | -7.13% | -1.30% | -1.50% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 31 for Performance Summary footnotes.
30 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE EUROPE ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net
Investment Income |
$0.513368 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of issuers in European countries involve risks that are specific to Europe, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion. To the extent that the Fund has exposure to Russian investments or investments in countries affected by the invasion, the Fund’s ability to price, buy, sell, receive or deliver such investments may be impaired. The Fund could determine at any time that certain of the most affected securities have zero value. In addition, any exposure that the Fund may have to counterparties in Russia or in countries affected by the invasion could negatively impact the Fund’s portfolio. The extent and duration of Russia’s military actions and the repercussions of such actions (including any retaliatory actions or countermeasures that may be taken by those subject to sanctions) are impossible to predict, but could result in significant market disruptions, including in the oil and natural gas markets, and may negatively affect global supply chains, inflation and global growth. These and any related events could significantly impact the Fund’s performance and the value of an investment in the Fund, even beyond any direct exposure the Fund may have to Russian issuers or issuers in other countries affected by the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
franklintempleton.com |
Semiannual Report |
31 |
FRANKLIN FTSE EUROPE ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 764.30 | $ | 0.40 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
32 |
Semiannual Report |
franklintempleton.com |
Franklin FTSE Europe Hedged ETF
This semiannual report for Franklin FTSE Europe
Hedged ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Developed Europe RIC Capped Hedged to USD Index (the FTSE Developed Europe Capped Hedged Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Developed Europe Capped Hedged Index and in depositary receipts representing such securities, including indirectly through Franklin FTSE Europe ETF (Underlying Fund).
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -12.39% based on market price and -11.84% based on net asset value. In comparison, the FTSE
Developed Europe Capped Hedged Index posted a -11.96% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 35.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Developed Europe Capped Hedged Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Pharmaceuticals |
11.9% | |||
Banks |
7.3% | |||
Oil, Gas & Consumable Fuels |
6.3% | |||
Insurance |
5.2% | |||
Food Products |
4.9% | |||
Textiles, Apparel & Luxury Goods |
4.6% | |||
Chemicals |
3.4% | |||
Semiconductors & Semiconductor Equipment |
3.0% | |||
Beverages |
2.8% | |||
Personal Products |
2.7% |
the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. We intend to enter into monthly foreign currency forward contracts and/or currency futures contracts designed to offset the Fund’s exposure to the component currencies, in order to replicate the hedge impact incorporated in the calculation of the Underlying Index. The Fund’s exposure to foreign currency forward contracts and currency futures contracts is based on the aggregate exposure of the Fund to the
1. The FTSE Developed Europe Capped Hedged Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Developed Europe Capped Hedged Index is based on the FTSE Developed Europe Hedged to USD Index and is designed to measure the performance of large- and mid-capitalization stocks from developed European countries. The FTSE Developed Europe Capped Hedged Index incorporates a hedge against non-U.S. currency fluctuations by reflecting the impact of rolling monthly currency forward contracts on the currencies represented in the FTSE Developed Europe Capped Hedged Index.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 199.
franklintempleton.com |
Semiannual Report |
33 |
FRANKLIN FTSE EUROPE HEDGED ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Nestle SA Food Products, Switzerland |
3.7% | |||
Roche Holding AG, Non-Voting Pharmaceuticals, Switzerland |
2.9% | |||
Shell PLC Oil, Gas & Consumable Fuels, Netherlands |
2.3% | |||
ASML Holding NV Semiconductors & Semiconductor Equipment, Netherlands |
2.1% | |||
AstraZeneca PLC Pharmaceuticals, United Kingdom |
2.1% | |||
Novartis AG Pharmaceuticals, Switzerland |
2.0% | |||
Novo Nordisk AS, B Pharmaceuticals, Denmark |
2.0% | |||
LVMH Moet Hennessy Louis Vuitton SE Textiles, Apparel & Luxury Goods, France |
1.9% | |||
Unilever PLC Personal Products, United Kingdom |
1.4% | |||
TotalEnergies SE Oil, Gas & Consumable Fuels, France |
1.4% |
component currencies. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
Thank you for your participation in Franklin FTSE Europe Hedged ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
Top 10 Countries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
United Kingdom |
20.3% | |||
Switzerland |
16.5% | |||
France |
16.3% | |||
Germany |
11.9% | |||
Netherlands |
9.1% | |||
Sweden |
5.0% | |||
Denmark |
4.0% | |||
Spain |
3.7% | |||
Italy |
3.3% | |||
Finland |
2.2% |
34 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE EUROPE HEDGED ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-11.84% | -12.39% | -11.84% | -12.39% | ||||||||||||
1-Year |
-10.93% | -11.53% | -10.93% | -11.53% | ||||||||||||
3-Year |
+8.83% | +8.59% | +2.86% | +2.78% | ||||||||||||
Since Inception (11/2/17) |
+19.68% | +19.03% | +3.73% | +3.61% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 36 for Performance Summary footnotes.
franklintempleton.com |
Semiannual Report |
35 |
FRANKLIN FTSE EUROPE HEDGED ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.237130 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of issuers in European countries involve risks that are specific to Europe, 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. Derivatives, including currency management strategies, involve costs and can create economic leverage in the portfolio which may result in significant volatility and cause the Fund to participate in losses on an amount that exceeds the Fund’s initial investment. The Fund may not achieve the anticipated benefits, and may realize losses when a counterparty fails to perform as promised. While the Fund’s currency hedging approach is designed to minimize the impact of currency fluctuations on Fund returns, it does not necessarily eliminate the Fund’s exposure to the currencies. The return of the currency-related derivatives will not perfectly offset the actual fluctuations between the currencies and the U.S. dollar. The Fund’s exposure to the currencies may not be hedged at all times. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion. To the extent that the Fund has exposure to Russian investments or investments in countries affected by the invasion, the Fund’s ability to price, buy, sell, receive or deliver such investments may be impaired. The Fund could determine at any time that certain of the most affected securities have zero value. In addition, any exposure that the Fund may have to counterparties in Russia or in countries affected by the invasion could negatively impact the Fund’s portfolio. The extent and duration of Russia’s military actions and the repercussions of such actions (including any retaliatory actions or countermeasures that may be taken by those subject to sanctions) are impossible to predict, but could result in significant market disruptions, including in the oil and natural gas markets, and may negatively affect global supply chains, inflation and global growth. These and any related events could significantly impact the Fund’s performance and the value of an investment in the Fund, even beyond any direct exposure the Fund may have to Russian issuers or issuers in other countries affected by the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
36 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE EUROPE HEDGED ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 881.60 | $ | 0.42 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
franklintempleton.com |
Semiannual Report |
37 |
This semiannual report for Franklin FTSE France ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE France RIC Capped Index (the FTSE France Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE France Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -22.82% based on market price and -22.36% based on net asset value. In comparison, the FTSE France Capped Index posted a -22.52% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 40.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE France Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Textiles, Apparel & Luxury Goods |
19.4% | |||
Oil, Gas & Consumable Fuels |
8.4% | |||
Aerospace & Defense |
7.0% | |||
Pharmaceuticals |
6.5% | |||
Personal Products |
6.0% | |||
Electrical Equipment |
5.9% | |||
Banks |
5.3% | |||
Chemicals |
4.8% | |||
Construction & Engineering |
3.9% | |||
IT Services |
3.5% |
whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE France Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE France Capped Index is based on the FTSE France Index and is designed to measure the performance of French large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 213.
38 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE FRANCE ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
LVMH Moet
Hennessy Louis Vuitton SE Textiles, Apparel & Luxury Goods, France |
11.1% | |||
TotalEnergies
SE Oil, Gas & Consumable Fuels, France |
8.4% | |||
Sanofi Pharmaceuticals, France |
6.2% | |||
L’Oreal
SA Personal Products, France |
6.0% | |||
Schneider
Electric SE Electrical Equipment, France |
4.6% | |||
Air Liquide
SA Chemicals, France |
4.4% | |||
Airbus
SE Aerospace & Defense, France |
3.6% | |||
BNP Paribas
SA Banks, France |
3.4% | |||
EssilorLuxottica SA Textiles, Apparel & Luxury Goods, France |
3.1% | |||
AXA
SA Insurance, France |
3.0% |
Thank you for your participation in Franklin FTSE France ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
franklintempleton.com |
Semiannual Report |
39 |
FRANKLIN FTSE FRANCE ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-22.36% | -22.82% | -22.36% | -22.82% | ||||||||||||
1-Year |
-24.35% | -25.59% | -24.35% | -25.59% | ||||||||||||
3-Year |
-4.94% | -6.62% | -1.68% | -2.26% | ||||||||||||
Since Inception (11/2/17) |
-2.52% | -4.06% | -0.52% | -0.84% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 41 for Performance Summary footnotes.
40 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE FRANCE ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net
Investment Income |
$0.454747 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of French issuers involve risks that are specific to France, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
franklintempleton.com |
Semiannual Report |
41 |
FRANKLIN FTSE FRANCE ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 776.40 | $ | 0.40 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
42 |
Semiannual Report |
franklintempleton.com |
This semiannual report for Franklin FTSE Germany ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Germany RIC Capped Index (the FTSE Germany Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Germany Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -28.40% based on market price and -28.52% based on net asset value. In comparison, the FTSE Germany Capped Index posted a -28.78% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 45.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Germany Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Insurance |
11.5% | |||
Automobiles |
10.3% | |||
Software |
9.9% | |||
Industrial Conglomerates |
8.5% | |||
Pharmaceuticals |
7.0% | |||
Diversified Telecommunication Services |
6.7% | |||
Chemicals |
6.6% | |||
Capital Markets |
4.8% | |||
Multi-Utilities |
4.2% | |||
Air Freight & Logistics |
3.1% |
strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Germany Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Germany Capped Index is based on the FTSE Germany Index and is designed to measure the performance of German large-and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 216.
franklintempleton.com |
Semiannual Report |
43 |
FRANKLIN FTSE GERMANY ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
SAP SE Software, Germany |
9.6% | |||
Siemens AG Industrial Conglomerates, Germany |
7.8% | |||
Allianz SE Insurance, Germany |
6.8% | |||
Deutsche Telekom AG Diversified Telecommunication Services, Germany |
6.1% | |||
Bayer AG Pharmaceuticals, Germany |
4.8% | |||
Daimler AG Automobiles, Germany |
4.5% | |||
BASF SE Chemicals, Germany |
3.7% | |||
Muenchener Rueckversicherungs-Gesellschaft Aktiengesellschaft in Muenchen Insurance, Germany |
3.6% | |||
Deutsche Boerse AG Capital Markets, Germany |
3.2% | |||
Deutsche Post AG Air Freight & Logistics, Germany |
3.1% |
Thank you for your participation in Franklin FTSE Germany ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
44 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE GERMANY ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-28.52% | -28.40% | -28.52% | -28.40% | ||||||||||||
1-Year |
-37.25% | -37.86% | -37.25% | -37.86% | ||||||||||||
3-Year |
-18.98% | -19.86% | -6.78% | -7.12% | ||||||||||||
Since Inception (11/2/17) |
-30.44% | -31.17% | -7.13% | -7.33% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 46 for Performance Summary footnotes.
franklintempleton.com |
Semiannual Report |
45 |
FRANKLIN FTSE GERMANY ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.593319 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of German issuers involve risks that are specific to Germany, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
46 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE GERMANY ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 714.80 | $ | 0.39 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
franklintempleton.com |
Semiannual Report |
47 |
This semiannual report for Franklin FTSE Hong Kong ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Hong Kong RIC Capped Index (the FTSE Hong Kong Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Hong Kong Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -17.42% based on market price and -18.38% based on net asset value. In comparison, the FTSE Hong Kong Capped Index posted a -18.40% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 50.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Hong Kong Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Real Estate Management & Development |
22.9% | |||
Insurance |
19.3% | |||
Capital Markets |
11.3% | |||
Banks |
6.3% | |||
Hotels, Restaurants & Leisure |
6.2% | |||
Electric Utilities |
5.7% | |||
Equity Real Estate Investment Trusts (REITs) |
4.0% | |||
Household Durables |
3.8% | |||
Industrial Conglomerates |
2.9% | |||
Gas Utilities |
2.4% |
strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Hong Kong Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Hong Kong Capped Index is based on the FTSE Hong Kong Index and is designed to measure the performance of Hong Kong large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 219.
48 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE HONG KONG ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
AIA Group Ltd., A Insurance, Hong Kong |
19.3% | |||
Hong Kong Exchanges and Clearing Ltd. Capital Markets, Hong Kong |
11.1% | |||
Sun Hung Kai Properties Ltd. Real Estate Management & Development, Hong Kong |
4.0% | |||
Link REIT Equity Real Estate Investment Trusts (REITs), Hong Kong |
3.8% | |||
CK Hutchison Holdings Ltd., A Real Estate Management & Development, United Kingdom |
3.8% | |||
Galaxy Entertainment Group Ltd. Hotels, Restaurants & Leisure, Macau |
3.3% | |||
Techtronic Industries Co. Ltd. Household Durables, Hong Kong |
3.2% | |||
CLP Holdings Ltd. Electric Utilities, Hong Kong |
3.2% | |||
BOC Hong Kong (Holdings) Ltd. Banks, China |
3.1% | |||
CK Asset Holdings Ltd. Real Estate Management & Development, Hong Kong |
3.0% |
Thank you for your participation in Franklin FTSE Hong Kong ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
franklintempleton.com |
Semiannual Report |
49 |
FRANKLIN FTSE HONG KONG ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-18.38% | -17.42% | -18.38% | -17.42% | ||||||||||||
1-Year |
-24.31% | -23.26% | -24.31% | -23.26% | ||||||||||||
3-Year |
-12.74% | -11.82% | -4.44% | -4.10% | ||||||||||||
Since Inception (11/2/17) |
-15.10% | -14.11% | -3.28% | -3.05% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 51 for Performance Summary footnotes.
50 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE HONG KONG ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.416010 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of Hong Kong issuers involve risks that are specific to Hong Kong, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
franklintempleton.com |
Semiannual Report |
51 |
FRANKLIN FTSE HONG KONG ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 816.20 | $ | 0.41 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
52 |
Semiannual Report |
franklintempleton.com |
This semiannual report for Franklin FTSE India ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE India RIC Capped Index (the FTSE India Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE India Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -8.25% based on market price -8.04% based on net asset value. In comparison, the FTSE India Capped Index posted a -8.41% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 55.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE India Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
IT Services |
13.6% | |||
Oil, Gas & Consumable Fuels |
12.1% | |||
Banks |
6.5% | |||
Automobiles |
5.5% | |||
Thrifts & Mortgage Finance |
5.1% | |||
Chemicals |
4.7% | |||
Pharmaceuticals |
4.2% | |||
Metals & Mining |
3.5% | |||
Consumer Finance |
3.4% | |||
Construction Materials |
2.9% |
representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE India Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE India Capped Index is based on the FTSE India Index and is designed to measure the performance of Indian large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 223.
franklintempleton.com |
Semiannual Report |
53 |
FRANKLIN FTSE INDIA ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Reliance Industries Ltd. Oil, Gas & Consumable Fuels, India |
9.8% | |||
Infosys Ltd. IT Services, India |
6.2% | |||
Housing Development Finance Corp. Ltd. Thrifts & Mortgage Finance, India |
4.9% | |||
Tata Consultancy Services Ltd. IT Services, India |
3.8% | |||
Hindustan Unilever Ltd. Household Products, India |
2.9% | |||
Bharti Airtel Ltd. Wireless Telecommunication Services, India |
2.4% | |||
Bajaj Finance Ltd. Consumer Finance, India |
2.1% | |||
Axis Bank Ltd. Banks, India |
2.1% | |||
Asian Paints Ltd. Chemicals, India |
1.9% | |||
ICICI Bank Ltd. Banks, India |
1.7% |
Thank you for your participation in Franklin FTSE India ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
54 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE INDIA ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (2/9/18), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-8.04% | -8.25% | -8.04% | -8.25% | ||||||||||||
1-Year |
-10.19% | -10.79% | -10.19% | -10.79% | ||||||||||||
3-Year |
+35.70% | +33.50% | +10.71% | +10.11% | ||||||||||||
Since Inception (2/6/18) |
+27.67% | +26.68% | +5.40% | +5.22% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 56 for Performance Summary footnotes.
franklintempleton.com |
Semiannual Report |
55 |
FRANKLIN FTSE INDIA ETF
PERFORMANCE SUMMARY
Total Annual Operating Expenses5
0.19% |
All investments involve risks, including possible loss of principal. 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. There are special risks associated with investments in India, including exposure to currency fluctuations, less liquidity, expropriation, confiscatory taxation, and exchange control regulations (including currency blockage). Investments in securities of Indian issuers involve risks that are specific to India, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
56 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE INDIA ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 919.60 | $ | 0.91 | $ | 1,024.12 | $ | 0.96 | 0.19 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
franklintempleton.com |
Semiannual Report |
57 |
This semiannual report for Franklin FTSE Italy ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Italy RIC Capped Index (the FTSE Italy Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Italy Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -25.49% based on market price and -25.44% based on net asset value. In comparison, the FTSE Italy Capped Index posted a -25.64% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 60.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Italy Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Banks |
18.7% | |||
Automobiles |
14.8% | |||
Electric Utilities |
12.8% | |||
Oil, Gas & Consumable Fuels |
8.1% | |||
Insurance |
7.9% | |||
Machinery |
4.6% | |||
Gas Utilities |
4.0% | |||
Transportation Infrastructure |
3.7% | |||
IT Services |
3.6% | |||
Textiles, Apparel & Luxury Goods |
3.2% |
whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Italy Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Italy Capped Index is based on the FTSE Italy Index and is designed to measure the performance of Italian large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 228.
58 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE ITALY ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Enel SpA Electric Utilities, Italy |
9.8% | |||
Intesa Sanpaolo SpA Banks, Italy |
8.6% | |||
Eni SpA Oil, Gas & Consumable Fuels, Italy |
8.1% | |||
Stellantis NV Automobiles, United States |
7.6% | |||
Ferrari NV Automobiles, Italy |
7.2% | |||
Assicurazioni Generali SpA Insurance, Italy |
6.1% | |||
UniCredit SpA Banks, Italy |
4.8% | |||
Atlantia SpA Transportation Infrastructure, Italy |
3.7% | |||
CNH Industrial NV Machinery, United Kingdom |
3.5% | |||
Moncler SpA Textiles, Apparel & Luxury Goods, Italy |
3.2% |
Thank you for your participation in Franklin FTSE Italy ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
franklintempleton.com |
Semiannual Report |
59 |
FRANKLIN FTSE ITALY ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-25.44% | -25.49% | -25.44% | -25.49% | ||||||||||||
1-Year |
-29.60% | -30.12% | -29.60% | -30.12% | ||||||||||||
3-Year |
-14.20% | -14.95% | -4.98% | -5.26% | ||||||||||||
Since Inception (11/2/17) |
-17.61% | -18.34% | -3.87% | -4.04% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 61 for Performance Summary footnotes.
60 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE ITALY ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.571345 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of Italian issuers involve risks that are specific to Italy, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
franklintempleton.com |
Semiannual Report |
61 |
FRANKLIN FTSE ITALY ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 745.60 | $ | 0.39 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
62 |
Semiannual Report |
franklintempleton.com |
This semiannual report for Franklin FTSE Japan ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Japan RIC Capped Index (the FTSE Japan Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Japan Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -19.11% based on market price and -20.31% based on net asset value. In comparison, the FTSE Japan Capped Index posted a -20.37% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 65.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Japan Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Automobiles |
7.4% | |||
Pharmaceuticals |
6.2% | |||
Banks |
5.1% | |||
Electronic Equipment, Instruments & Components |
5.0% | |||
Machinery |
4.8% | |||
Trading Companies & Distributors |
4.3% | |||
Chemicals |
4.0% | |||
Household Durables |
3.9% | |||
Wireless Telecommunication Services |
3.4% | |||
Road & Rail |
3.2% |
whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Japan Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Japan Capped Index is based on the FTSE Japan Index and is designed to measure the performance of Japanese large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 230.
franklintempleton.com |
Semiannual Report |
63 |
FRANKLIN FTSE JAPAN ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Toyota Motor Corp. Automobiles, Japan |
4.8% | |||
Sony Corp. Household Durables, Japan |
2.4% | |||
Keyence Corp. Electronic Equipment, Instruments & Components, Japan |
2.0% | |||
Mitsubishi UFJ Financial Group Inc. Banks, Japan |
1.7% | |||
Daiichi Sankyo Co. Ltd. Pharmaceuticals, Japan |
1.6% | |||
KDDI Corp. Wireless Telecommunication Services, Japan |
1.5% | |||
Nintendo Co. Ltd. Entertainment, Japan |
1.3% | |||
Daikin Industries Ltd. Building Products, Japan |
1.3% | |||
Recruit Holdings Co. Ltd. Professional Services, Japan |
1.2% | |||
Takeda Pharmaceutical Co. Ltd. Pharmaceuticals, Japan |
1.2% |
Thank you for your participation in Franklin FTSE Japan ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
64 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE JAPAN ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-20.31% | -19.11% | -20.31% | -19.11% | ||||||||||||
1-Year |
-28.77% | -28.28% | -28.77% | -28.28% | ||||||||||||
3-Year |
-7.08% | -7.47% | -2.42% | -2.56% | ||||||||||||
Since Inception (11/2/17) |
-8.77% | -8.46% | -1.85% | -1.78% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 66 for Performance Summary footnotes.
franklintempleton.com |
Semiannual Report |
65 |
FRANKLIN FTSE JAPAN ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.255286 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of Japanese issuers involve risks that are specific to Japan, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
66 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE JAPAN ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 796.90 | $ | 0.41 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
franklintempleton.com |
Semiannual Report |
67 |
Franklin FTSE Japan Hedged ETF
This semiannual report for Franklin FTSE Japan Hedged ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Japan RIC Capped Hedged to USD Index (the FTSE Japan Capped Hedged Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Japan Capped Hedged Index and in depositary receipts representing such securities, including indirectly through Franklin FTSE Japan ETF (Underlying Fund).
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -2.44% based on market price -3.50% based on net asset value. In comparison, the FTSE Japan Capped Hedged Index posted a -3.58% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 70.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Japan Capped Hedged Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Automobiles |
7.3% | |||
Pharmaceuticals |
6.1% | |||
Banks |
5.1% | |||
Electronic Equipment, Instruments & Components |
5.0% | |||
Machinery |
4.8% | |||
Trading Companies & Distributors |
4.3% | |||
Chemicals |
4.0% | |||
Household Durables |
3.8% | |||
Wireless Telecommunication Services |
3.4% | |||
Road & Rail |
3.2% |
respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. We intend to enter into monthly foreign currency forward contracts and/or currency futures contracts designed to offset the Fund’s exposure to the Japanese yen, in order to replicate the hedge impact incorporated in the calculation of the Underlying Index. The Fund’s exposure to foreign currency forward contracts and currency futures contracts is based on the aggregate exposure of the Fund to the Japanese yen.
1. The FTSE Japan Capped Hedged Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Japan Capped Hedged Index is based on the FTSE Japan Hedged to USD Index and is designed to measure the performance of Japanese large- and mid-capitalization stocks. The FTSE Japan Capped Hedged Index incorporates a hedge against fluctuations of the Japanese yen by reflecting the impact of rolling monthly currency forward contracts on the Japanese yen.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 241.
68 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE JAPAN HEDGED ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Toyota Motor
Corp. Automobiles, Japan |
4.8% | |||
Sony
Corp. Household Durables, Japan |
2.4% | |||
Keyence
Corp. Electronic Equipment, Instruments & Components, Japan |
2.0% | |||
Mitsubishi UFJ
Financial Group Inc. Banks, Japan |
1.6% | |||
Daiichi Sankyo
Co. Ltd. Pharmaceuticals, Japan |
1.6% | |||
KDDI
Corp. Wireless Telecommunication Services, Japan |
1.5% | |||
Nintendo Co.
Ltd. Entertainment, Japan |
1.3% | |||
Daikin
Industries Ltd. Building Products, Japan |
1.3% | |||
Recruit
Holdings Co. Ltd. Professional Services, Japan |
1.2% | |||
Takeda
Pharmaceutical Co. Ltd. Pharmaceuticals, Japan |
1.2% |
The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
Thank you for your participation in Franklin FTSE Japan Hedged ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
franklintempleton.com |
Semiannual Report |
69 |
FRANKLIN FTSE JAPAN HEDGED ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-3.50% | -2.44% | -3.50% | -2.44% | ||||||||||||
1-Year |
-6.12% | -5.47% | -6.12% | -5.47% | ||||||||||||
3-Year |
+27.90% | +27.23% | +8.55% | +8.36% | ||||||||||||
Since Inception (11/2/17) |
+23.40% | +23.99% | +4.38% | +4.48% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 71 for Performance Summary footnotes.
70 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE JAPAN HEDGED ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.924931 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of Japanese issuers involve risks that are specific to Japan, 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. Derivatives, including currency management strategies, involve costs and can create economic leverage in the portfolio, which may result in significant volatility and cause the Fund to participate in losses on an amount that exceeds the Fund’s initial investment. The Fund may not achieve the anticipated benefits, and may realize losses when a counterparty fails to perform as promised. While the Fund’s currency hedging approach is designed to minimize the impact of currency fluctuations on Fund returns, it does not necessarily eliminate the Fund’s exposure to the currencies. The return of currency-related derivatives will not perfectly offset the actual fluctuations between the currencies and the U.S. dollar. The Fund’s exposure to the currencies may not be hedged at all times. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
franklintempleton.com |
Semiannual Report |
71 |
FRANKLIN FTSE JAPAN HEDGED ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $965.00 | $ | 0.44 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
72 |
Semiannual Report |
franklintempleton.com |
Franklin FTSE Latin America ETF
This semiannual report for Franklin FTSE Latin America ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Latin America RIC Capped Index (the FTSE Latin America Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Latin America Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -19.04% based on market price and -18.91% based on net asset value. In comparison, the FTSE Latin America Capped Index posted a -18.81% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 75.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Latin America Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Banks |
19.1% | |||
Metals & Mining |
13.0% | |||
Oil, Gas & Consumable Fuels |
12.1% | |||
Electric Utilities |
5.9% | |||
Beverages |
5.7% | |||
Food & Staples Retailing |
5.4% | |||
Wireless Telecommunication Services |
4.5% | |||
Food Products |
3.8% | |||
Capital Markets |
3.5% | |||
Chemicals |
3.2% |
may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Latin America Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Latin America Capped Index is based on the FTSE Latin America Index and is designed to measure the performance of Latin American large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 252.
franklintempleton.com |
Semiannual Report |
73 |
FRANKLIN FTSE LATIN AMERICA ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Petroleo
Brasileiro SA, 38.601%, pfd. Oil, Gas & Consumable Fuels, Brazil |
9.4% | |||
Vale
SA Metals & Mining, Brazil |
9.1% | |||
Itau Unibanco
Holding SA, 2.937%, pfd. Banks, Brazil |
4.8% | |||
America Movil
SAB de CV Wireless Telecommunication Services, Mexico |
4.1% | |||
Banco Bradesco
SA, 3.165%, pfd. Banks, Brazil |
4.1% | |||
Grupo
Financiero Banorte SAB de CV Banks, Mexico |
3.2% | |||
Wal-Mart de Mexico SAB de CV,
V Food & Staples Retailing, Mexico |
3.2% | |||
B3 SA – Brasil
Bolsa Balcao Capital Markets, Brazil |
2.6% | |||
Sociedad
Quimica y Minera de Chile SA, 0.005%, pfd., B Chemicals, Chile |
2.5% | |||
Ambev
SA Beverages, Brazil |
2.2% |
Country Composition | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Brazil |
63.9% | |||
Mexico |
25.9% | |||
Chile |
6.7% | |||
Colombia |
1.8% | |||
United States |
1.3% |
Thank you for your participation in Franklin FTSE Latin America ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
74 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE LATIN AMERICA ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (10/11/18), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-18.91% | -19.04% | -18.91% | -19.04% | ||||||||||||
1-Year |
-1.12% | -1.39% | -1.12% | -1.39% | ||||||||||||
3-Year |
-11.95% | -12.25% | -4.15% | -4.26% | ||||||||||||
Since Inception (10/9/18) |
-10.61% | -10.55% | -2.78% | -2.77% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 76 for Performance Summary footnotes.
franklintempleton.com |
Semiannual Report |
75 |
FRANKLIN FTSE LATIN AMERICA ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.799003 |
Total Annual Operating Expenses5
0.19% |
All investments involve risks, including possible loss of principal. 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 issuers in Latin American countries involve risks that are specific to Latin America, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
76 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE LATIN AMERICA ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 810.90 | $ | 0.86 | $ | 1,024.12 | $ | 0.96 | 0.19 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
franklintempleton.com |
Semiannual Report |
77 |
This semiannual report for Franklin FTSE Mexico ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Mexico RIC Capped Index (the FTSE Mexico Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Mexico Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -18.50% based on market price and -18.41% based on net asset value. In comparison, the FTSE Mexico Capped Index posted a -18.39% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 80.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Mexico Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Banks |
18.8% | |||
Wireless Telecommunication Services |
13.3% | |||
Beverages |
13.1% | |||
Food & Staples Retailing |
11.6% | |||
Transportation Infrastructure |
8.8% | |||
Metals & Mining |
7.4% | |||
Food Products |
6.7% | |||
Construction Materials |
4.2% | |||
Equity Real Estate Investment Trusts (REITs) |
4.0% | |||
Industrial Conglomerates |
3.4% |
whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Mexico Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Mexico Capped Index is based on the FTSE Mexico Index and is designed to measure the performance of Mexican large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 257.
78 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE MEXICO ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
America Movil SAB de CV Wireless Telecommunication Services, Mexico |
13.3% | |||
Grupo Financiero Banorte SAB de CV Banks, Mexico |
10.7% | |||
Wal-Mart de Mexico SAB de CV, V Food & Staples Retailing, Mexico |
10.4% | |||
Fomento Economico Mexicano SAB de CV Beverages, Mexico | 7.0% | |||
Grupo Mexico SAB de CV, B Metals & Mining, Mexico |
6.4% | |||
Grupo Bimbo SAB de CV Food Products, Mexico |
4.6% | |||
Cemex SAB de CV Construction Materials, Mexico |
3.4% | |||
Grupo Aeroportuario del Pacifico SAB de CV Transportation Infrastructure, Mexico |
3.1% | |||
Grupo Aeroportuario del Sureste SAB de CV Transportation Infrastructure, Mexico |
3.0% | |||
Grupo Elektra SAB de CV Banks, Mexico |
2.8% |
Thank you for your participation in Franklin FTSE Mexico ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
franklintempleton.com |
Semiannual Report |
79 |
FRANKLIN FTSE MEXICO ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/7/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-18.41% | -18.50% | -18.41% | -18.50% | ||||||||||||
1-Year |
-5.51% | -5.03% | -5.51% | -5.03% | ||||||||||||
3-Year |
+10.38% | +10.12% | +3.35% | +3.27% | ||||||||||||
Since Inception (11/3/17) |
+0.31% | +0.39% | +0.06% | +0.08% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 81 for Performance Summary footnotes.
80 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE MEXICO ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.339975 |
Total Annual Operating Expenses5
0.19% |
All investments involve risks, including possible loss of principal. 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 Mexican issuers involve risks that are specific to Mexico, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
franklintempleton.com |
Semiannual Report |
81 |
FRANKLIN FTSE MEXICO ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 815.90 | $ | 0.86 | $ | 1,024.12 | $ | 0.96 | 0.19 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
82 |
Semiannual Report |
franklintempleton.com |
This semiannual report for Franklin FTSE Russia ETF covers the period ended September 30, 2022. Effective March 1, 2022, the Fund suspended new creations of its shares effective until further notice in light of ongoing issues related to Russia’s invasion of Ukraine. In addition, effective March 4, 2022, NYSE Arca, Inc., the Fund’s primary listing exchange, halted trading of the Fund. Since trading in the Fund’s shares is halted, the Fund no longer has a daily closing price, and a premium/discount to net asset value (NAV) cannot be calculated. Additionally, the value and liquidity of Russian securities experienced significant declines due to the circumstances related to the conflict. The Russian securities markets did not open for trading on February 28, 2022, and were closed for a period of time before reopening on March 24, 2022, but significant trading limitations have remained. As a result, the Fund fair valued all Russian equity securities at $0 (as of September 30, 2022, such securities continue to be fair valued at $0). Accordingly, as of September 30, 2022, the Fund’s portfolio was comprised of Russian equity securities (fair valued at $0 as noted above) and cash. In addition, FTSE Russell has suspended rebalancings/reconstitutions of the FTSE Russia RIC Capped Index, the Fund’s underlying index, including application of the capping methodology, as well as other index policies until further notice. It is impossible to predict when, or if, these circumstances may change. During this time, including while it is primarily holding cash, the Fund will not meet its investment goal and will experience significant tracking error. Further, if the Fund’s shares resume trading on NYSE Arca, Inc., the Fund may experience significant premiums or discounts to the Fund’s NAV and wider bid-ask spreads. Please see below for further discussion of the impact of the Russian/Ukrainian conflict on the Fund as well as related risks.
Top 10 Sectors/Industries | ||
9/30/22 |
This disclosure has not been included as all securities of the Fund are valued at zero as of September 30, 2022. As noted, due to the circumstances surrounding the Russian invasion of Ukraine, the Fund is primarily holding cash. Please refer to Note 6 under Notes to Financial Statements.
Top 10 Holdings | ||
9/30/22 |
This disclosure has not been included as all securities of the Fund are valued at zero as of September 30, 2022. As noted, due to the circumstances surrounding the Russian invasion of Ukraine, the Fund is primarily holding cash. Please refer to Note 6 under Notes to Financial Statements.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Russia RIC Capped Index (the FTSE Russia Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Russia Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period ended September 30, 2022, the Fund’s portfolio was comprised of Russian equity securities (fair valued at $0 as noted above) and cash. During that period, the Fund’s NAV per share increased from $0.003378 as of March 31, 2022 to $0.005827 as of September 30, 2022. In comparison, the FTSE Russia Capped Index posted a -8.71% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 85.
1. The FTSE Russia Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Russia Capped Index is based on the FTSE Russia Index and is designed to measure the performance of Russian large- and mid-capitalization stocks. FTSE Russell has suspended rebalancings/reconstitutions of the FTSE Russia Capped Index, including application of the capping methodology, as well as other index policies until further notice.
2. Source: FactSet. The Fund’s returns based on net asset value include the Fund’s valuation of its Russian securities based on fair value prices. The value of the FTSE Russia Capped Index, on the other hand, is based on securities’ last closing prices on local foreign markets (i.e., the value of the FTSE Russia Capped Index is not based on fair value prices). With regards to the Fund’s returns based on market price, the Fund suspended new creations of its shares effective March 1, 2022, and NYSE Arca, Inc. halted trading of the Fund effective March 4, 2022. Therefore, from March 4, 2022, through September 30, 2022, the Fund did not have a daily closing market price.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 259.
franklintempleton.com |
Semiannual Report |
83 |
FRANKLIN FTSE RUSSIA ETF
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Russia Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
Thank you for your participation in Franklin FTSE Russia ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
84 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE RUSSIA ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (2/9/18), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
1-Year |
-99.98% | -71.53% | -99.98% | -71.53% | ||||||||||||
3-Year |
-99.97% | -59.55% | -93.63% | -26.05% | ||||||||||||
Since Inception (2/6/18) |
-99.97% | -53.30% | -82.56% | -15.11% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 86 for Performance Summary footnotes.
franklintempleton.com |
Semiannual Report |
85 |
FRANKLIN FTSE RUSSIA ETF
PERFORMANCE SUMMARY
Total Annual Operating Expenses5,6
0.19% |
All investments involve risks, including possible loss of principal. 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 significant 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict has increased volatility and uncertainty in the financial markets and adversely affected the Fund. The United States and other countries and certain international organizations have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to Russia’s invasion of Ukraine. These sanctions froze certain Russian assets and prohibited, among other things, trading in certain Russian securities and doing business with specific Russian corporate entities, large financial institutions, officials and oligarchs. The sanctions also included the removal of some Russian banks from the Society for Worldwide Interbank Financial Telecommunications (SWIFT), the electronic network that connects banks globally, and imposed restrictive measures to prevent the Russian Central Bank from undermining the impact of the sanctions. A number of large corporations and U.S. states have also announced plans to divest interests or otherwise curtail business dealings with certain Russian businesses. In response, the government of Russia has imposed capital controls to restrict movements of capital entering and exiting the country. These sanctions and any additional sanctions or other intergovernmental actions that may be undertaken against Russia in the future may result in the devaluation of the Russian currency, a downgrade in the country’s credit rating, and a decline in the value and liquidity of Russian securities. These, as well as any other economic consequences to Russia, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on the Russian government, companies or individuals, along with any retaliatory actions or countermeasures that may be taken by Russia (including cyberattacks on other governments, corporations or individuals), may further decrease the value and liquidity of Russian securities.
As a result, the Fund’s ability to price, buy, sell, receive or deliver Russian investments has been impaired. For example, the Fund may be prohibited from investing in or acquiring securities issued by companies subject to such sanctions. In addition, the sanctions may require the Fund to freeze its existing investments in companies operating in or having dealings with Russia, which would prevent the Fund from selling or delivering these investments. Further, any exposure that the Fund may have to Russian counterparties could negatively impact the Fund’s portfolio. The liquidation of Fund assets during this time may also result in the Fund receiving substantially lower prices for its securities. The extent and duration of Russia’s military actions and the repercussions of such actions are impossible to predict, but could result in significant market disruptions, including in the oil and natural gas markets, and may negatively affect global supply chains, inflation and global growth. These and any related events have adversely affected the value and liquidity of the Fund’s holdings and may continue to significantly impact the Fund’s performance and the value of an investment in the Fund. The Fund’s Underlying Index may also remove securities as a result of the actions described above. Additionally, due to current and potential future sanctions or market closures impacting the ability to trade or transfer Russian securities, the Fund may experience higher transaction costs. During this time, the Fund will not meet its investment goal and will experience significant tracking error. Further, if the Fund’s shares resume trading on NYSE Arca, Inc., the Fund may experience significant premiums or discounts to the Fund’s net asset value (NAV) and wider bid-ask spreads.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value. The Fund’s returns based on net asset value include the Fund’s valuation of its Russian securities based on fair value prices.
4. Assumes reinvestment of distributions based on market price. Regarding the Fund’s returns based on market price, the Fund suspended new creations of its shares effective March 1, 2022, and NYSE Arca, Inc. halted trading of the Fund effective March 4, 2022. Therefore, from March 4, 2022, through September 30, 2022, the Fund did not have a daily closing market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
6. Effective March 1, 2022, Franklin Advisory Services, LLC (the Fund’s investment manager) has implemented a voluntary waiver of its management fee for the Fund. This voluntary waiver may be eliminated by the investment manager at any time.
See www.franklintempletondatasources.com for additional data provider information.
86 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE RUSSIA ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated. As noted above, the Fund suspended new creations of its shares effective March 1, 2022 and NYSE Arca, Inc. halted trading of the Fund effective March 4, 2022. During the six-month period ended September 30, 2022, the Fund’s portfolio was comprised of Russian equity securities (fair valued at $0 as notes above) and cash, and Fund shares were note available for purchase.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221,2 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio2 |
|||||||||||||||||
$1,000.00 | $ | 1,725.00 | 3 | $ | 0.00 | $ | 1,025.07 | $ | 0.00 | 0.00 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
2. Effective March 1, 2022, Franklin Advisory Services, LLC (the fund’s investment manager) has implemented a voluntary waiver of its management fee for the Fund. This voluntary waiver may be eliminated by the investment manager at any time.
3. The amount shown above reflects the Fund’s NAV per share increasing from $0.003378 as of March 31, 2022 to $0.005827 as of September 30, 2022.
franklintempleton.com |
Semiannual Report |
87 |
Franklin FTSE Saudi Arabia ETF
This semiannual report for Franklin FTSE Saudi Arabia ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Saudi Arabia RIC Capped Index (the FTSE Saudi Arabia Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Saudi Arabia Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -12.23% based on market price and -11.10% based on net asset value. In comparison, the FTSE Saudi Arabia Capped Index posted a -11.12% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 90.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Saudi Arabia Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Banks |
43.9% | |||
Chemicals |
15.3% | |||
Oil, Gas & Consumable Fuels |
9.2% | |||
Diversified Telecommunication Services |
6.2% | |||
Metals & Mining |
4.7% | |||
Health Care Providers & Services |
3.1% | |||
Food Products |
2.1% | |||
Independent Power Producers & Energy Traders |
2.0% | |||
Electric Utilities |
1.7% | |||
Wireless Telecommunication Services |
1.7% |
may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Saudi Arabia Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Saudi Arabia Capped Index is based on the FTSE Saudi Arabia Index and is designed to measure the performance of Saudi Arabian large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 261.
88 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE SAUDI ARABIA ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Al Rajhi Bank Banks, Saudi Arabia |
13.8% | |||
Saudi National Bank Banks, Saudi Arabia |
11.9% | |||
Saudi Arabian Oil Co., 144A Oil, Gas & Consumable Fuels, Saudi Arabia |
8.7% | |||
Saudi Basic Industries Corp. Chemicals, Saudi Arabia |
6.9% | |||
Saudi Telecom Co. Diversified Telecommunication Services, Saudi Arabia |
6.2% | |||
Saudi Arabian Mining Co. Metals & Mining, Saudi Arabia |
4.7% | |||
Riyad Bank Banks, Saudi Arabia |
3.9% | |||
Saudi British Bank Banks, Saudi Arabia |
3.4% | |||
SABIC Agri-Nutrients Co. Chemicals, Saudi Arabia |
3.2% | |||
Alinma Bank Banks, Saudi Arabia |
3.1% |
Thank you for your participation in Franklin FTSE Saudi Arabia ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
franklintempleton.com |
Semiannual Report |
89 |
FRANKLIN FTSE SAUDI ARABIA ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (10/11/18), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-11.10% | -12.32% | -11.10% | -12.32% | ||||||||||||
1-Year |
+4.14% | +3.11% | +4.14% | +3.11% | ||||||||||||
3-Year |
+52.04% | +49.15% | +14.99% | +14.26% | ||||||||||||
Since Inception (10/9/18) |
+60.11% | +58.08% | +12.57% | +12.21% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 91 for Performance Summary footnotes.
90 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE SAUDI ARABIA ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.332627 |
Total Annual Operating Expenses5
0.39% |
All investments involve risks, including possible loss of principal. 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 Saudi Arabian issuers involve risks that are specific to Saudi Arabia, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
franklintempleton.com |
Semiannual Report |
91 |
FRANKLIN FTSE SAUDI ARABIA ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 889.00 | $ | 1.85 | $ | 1,023.11 | $ | 1.98 | 0.39 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
92 |
Semiannual Report |
franklintempleton.com |
Franklin FTSE South Africa ETF
This semiannual report for Franklin FTSE South Africa ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE/JSE South Africa RIC Capped Index (the FTSE/JSE South Africa Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE/JSE South Africa Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -33.29% based on market price and -32.23% based on net asset value. In comparison, the FTSE/JSE South Africa Capped Index posted a -32.24% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 95.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE/JSE South Africa Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Metals & Mining |
18.2% | |||
Banks |
14.4% | |||
Internet & Direct Marketing Retail |
12.5% | |||
Diversified Financial Services |
9.6% | |||
Food & Staples Retailing |
8.5% | |||
Wireless Telecommunication Services |
7.5% | |||
Insurance |
6.3% | |||
Chemicals |
4.1% | |||
Specialty Retail |
3.6% | |||
Equity Real Estate Investment Trusts (REITs) |
2.0% |
respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE/JSE South Africa Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE/JSE South Africa Capped Index is based on the FTSE South Africa Index and is designed to measure the performance of South African large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 264.
franklintempleton.com |
Semiannual Report |
93 |
FRANKLIN FTSE SOUTH AFRICA ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Naspers Ltd., N Internet & Direct Marketing Retail, South Africa |
12.5% | |||
FirstRand
Ltd. Diversified Financial Services, South Africa |
7.8% | |||
MTN Group Ltd. Wireless Telecommunication Services, South Africa |
5.6% | |||
Standard Bank Group Ltd. Banks, South Africa |
5.0% | |||
Sasol Ltd. Chemicals, South Africa |
4.1% | |||
Absa Group Ltd. Banks, South Africa |
3.8% | |||
Impala Platinum Holdings Ltd. Metals & Mining, South Africa |
3.6% | |||
Capitec Bank Holdings Ltd. Banks, South Africa |
3.4% | |||
Gold Fields Ltd. Metals & Mining, South Africa |
3.4% | |||
Sibanye Stillwater Ltd. Metals & Mining, South Africa |
3.1% |
Thank you for your participation in Franklin FTSE South Africa ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
94 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE SOUTH AFRICA ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (10/11/18), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-32.23% | -33.29% | -32.23% | -33.29% | ||||||||||||
1-Year |
-19.06% | -20.77% | -19.06% | -20.77% | ||||||||||||
3-Year |
-3.47% | -5.08% | -1.17% | -1.72% | ||||||||||||
Since Inception (10/10/18) |
-1.39% | -3.00% | -0.35% | -0.76% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 96 for Performance Summary footnotes.
franklintempleton.com |
Semiannual Report |
95 |
FRANKLIN FTSE SOUTH AFRICA ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.598684 |
Total Annual Operating Expenses5
0.19% |
All investments involve risks, including possible loss of principal. 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 South African issuers involve risks that are specific to South Africa, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
96 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE SOUTH AFRICA ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 677.70 | $ | 0.80 | $ | 1,024.12 | $ | 0.96 | 0.19 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
franklintempleton.com |
Semiannual Report |
97 |
This semiannual report for Franklin FTSE South Korea ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE South Korea RIC Capped Index (the FTSE South Korea Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE South Korea Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -34.13% based on market price and -33.72% based on net asset value. In comparison, the FTSE South Korea Capped Index posted a -33.70% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 100.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE South Korea Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Technology Hardware, Storage & Peripherals |
20.9% | |||
Banks |
7.5% | |||
Semiconductors & Semiconductor Equipment |
6.1% | |||
Automobiles |
6.0% | |||
Electronic Equipment, Instruments & Components |
5.9% | |||
Interactive Media & Services |
5.7% | |||
Chemicals |
5.4% | |||
Industrial Conglomerates |
3.2% | |||
Electrical Equipment |
3.2% | |||
Metals & Mining |
3.0% |
be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE South Korea Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE South Korea Capped Index is based on the FTSE South Korea Index and is designed to measure the performance of South Korean large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 267.
98 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE SOUTH KOREA ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Samsung Electronics Co. Ltd. Technology Hardware, Storage & Peripherals, South Korea |
20.9% | |||
SK Hynix Inc. Semiconductors & Semiconductor Equipment, South Korea |
5.7% | |||
Hyundai Motor Co. Automobiles, South Korea |
3.7% | |||
Samsung SDI Co. Ltd. Electronic Equipment, Instruments & Components, South Korea |
3.6% | |||
NAVER Corp. Interactive Media & Services, South Korea |
3.5% | |||
LG Chem Ltd. Chemicals, South Korea |
3.3% | |||
Celltrion Inc., A Biotechnology, South Korea |
2.4% | |||
Kia Corp. Automobiles, South Korea |
2.3% | |||
Kakao Corp. Interactive Media & Services, South Korea |
2.2% | |||
KB Financial Group Inc. Banks, South Korea |
2.1% |
Thank you for your participation in Franklin FTSE South Korea ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
franklintempleton.com |
Semiannual Report |
99 |
FRANKLIN FTSE SOUTH KOREA ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-33.72% | -34.13% | -33.72% | -34.13% | ||||||||||||
1-Year |
-40.68% | -41.14% | -40.68% | -41.14% | ||||||||||||
3-Year |
-9.20% | -10.37% | -3.16% | -3.58% | ||||||||||||
Since Inception (11/2/17) |
-28.56% | -29.62% | -6.62% | -6.91% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 101 for Performance Summary footnotes.
100 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE SOUTH KOREA ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net Investment Income |
$0.073957 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of South Korean issuers involve risks that are specific to South Korea, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in
this report.
See www.franklintempletondatasources.com for additional data provider information.
franklintempleton.com |
Semiannual Report |
101 |
FRANKLIN FTSE SOUTH KOREA ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 662.80 | $ | 0.38 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
102 |
Semiannual Report |
franklintempleton.com |
This semiannual report for Franklin FTSE Switzerland ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Switzerland RIC Capped Index (the FTSE Switzerland Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Switzerland Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -21.25% based on market price and -20.98% based on net asset value. In comparison, the FTSE Switzerland Capped Index posted a -21.13% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 105.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Switzerland Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Pharmaceuticals |
28.8% | |||
Food Products |
22.5% | |||
Insurance |
8.1% | |||
Capital Markets |
6.7% | |||
Chemicals |
5.6% | |||
Textiles, Apparel & Luxury Goods |
4.4% | |||
Health Care Equipment & Supplies |
4.1% | |||
Life Sciences Tools & Services |
3.4% | |||
Electrical Equipment |
3.1% | |||
Construction Materials |
1.9% |
respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Switzerland Capped Index is a free float-adjusted market-capitalization weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Switzerland Capped Index is based on the FTSE Switzerland Index and is designed to measure the performance of Swiss large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 272.
franklintempleton.com |
Semiannual Report |
103 |
FRANKLIN FTSE SWITZERLAND ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Nestle
SA Food Products, Switzerland |
20.1% | |||
Roche Holding
AG, Non-Voting Pharmaceuticals, Switzerland |
16.5% | |||
Novartis
AG Pharmaceuticals, Switzerland |
11.5% | |||
Zurich
Insurance Group AG Insurance, Switzerland |
4.4% | |||
Cie Financiere
Richemont SA Textiles, Apparel & Luxury Goods, Switzerland |
3.7% | |||
UBS Group
AG Capital Markets, Switzerland |
3.4% | |||
ABB
Ltd. Electrical Equipment, Switzerland |
3.1% | |||
Lonza Group
AG Life Sciences Tools & Services, Switzerland |
2.9% | |||
Sika
AG Chemicals, Switzerland |
2.5% | |||
Givaudan
AG Chemicals, Switzerland |
2.4% |
Thank you for your participation in Franklin FTSE Switzerland ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
104 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE SWITZERLAND ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (2/9/18), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-20.98% | -21.25% | -20.98% | -21.25% | ||||||||||||
1-Year |
-16.67% | -17.10% | -16.67% | -17.10% | ||||||||||||
3-Year |
+9.78% | +8.53% | +3.16% | +2.77% | ||||||||||||
Since Inception (2/6/18) |
+24.26% | +23.13% | +4.79% | +4.58% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 106 for Performance Summary footnotes.
franklintempleton.com |
Semiannual Report |
105 |
FRANKLIN FTSE SWITZERLAND ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net
Investment Income |
$0.543061 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of Swiss issuers involve risks that are specific to Switzerland, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
106 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE SWITZERLAND ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual (actual return after expenses) |
Hypothetical (5% annual return before expenses) |
|||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 790.20 | $ | 0.40 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
franklintempleton.com |
Semiannual Report |
107 |
This semiannual report for Franklin FTSE Taiwan ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE Taiwan RIC Capped Index (the FTSE Taiwan Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE Taiwan Capped Index and in depositary receipts representing such securities.
Performance Overview
During the six-month period, the Fund posted cumulative total returns of -29.35% based on market price and -29.26% based on net asset value. In comparison, the FTSE Taiwan Capped Index posted a -29.23% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 110.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE Taiwan Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Semiconductors & Semiconductor Equipment |
32.4% | |||
Electronic Equipment, Instruments & Components |
14.5% | |||
Banks |
13.6% | |||
Technology Hardware, Storage & Peripherals |
7.3% | |||
Chemicals |
5.0% | |||
Insurance |
4.0% | |||
Diversified Telecommunication Services |
2.2% | |||
Metals & Mining |
1.6% | |||
Food Products |
1.6% | |||
Electrical Equipment |
1.5% |
practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE Taiwan Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE Taiwan Capped Index is based on the FTSE Taiwan Index and is designed to measure the performance of Taiwanese large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 275.
108 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE TAIWAN ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Taiwan
Semiconductor Manufacturing Co.
Ltd. Semiconductors & Semiconductor Equipment, Taiwan |
19.3% | |||
Hon Hai
Precision Industry Co. Ltd. Electronic Equipment, Instruments & Components, Taiwan |
6.1% | |||
MediaTek
Inc. Semiconductors & Semiconductor Equipment, Taiwan |
4.1% | |||
Delta
Electronics Inc., A Electronic Equipment, Instruments & Components, Taiwan |
2.7% | |||
Chunghwa
Telecom Co. Ltd. Diversified Telecommunication Services, Taiwan |
2.2% | |||
United
Microelectronics Corp. Semiconductors & Semiconductor Equipment, Taiwan |
2.1% | |||
Nan Ya Plastics
Corp. Chemicals, Taiwan |
1.9% | |||
Fubon Financial
Holding Co. Ltd. Insurance, Taiwan |
1.8% | |||
CTBC Financial
Holding Co. Ltd., A Banks, Taiwan |
1.8% | |||
E.Sun Financial
Holding Co. Ltd., A Banks, Taiwan |
1.8% |
Thank you for your participation in Franklin FTSE Taiwan ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
franklintempleton.com |
Semiannual Report |
109 |
FRANKLIN FTSE TAIWAN ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-29.26% | -29.35% | -29.26% | -29.35% | ||||||||||||
1-Year |
-28.06% | -28.68% | -28.06% | -28.68% | ||||||||||||
3-Year |
+29.55% | +27.10% | +9.01% | +8.32% | ||||||||||||
Since Inception (11/2/17) |
+31.70% | +29.86% | +5.77% | +5.47% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 111 for Performance Summary footnotes.
110 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE TAIWAN ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net
Investment Income |
$0.004973 |
Total Annual Operating Expenses5
0.19% |
All investments involve risks, including possible loss of principal. 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 Taiwanese issuers involve risks that are specific to Taiwan, including certain legal, regulatory, political and economic risks. Investments in securities of Chinese issuers involve risks that are specific to China, 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
franklintempleton.com |
Semiannual Report |
111 |
FRANKLIN FTSE TAIWAN ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual | Hypothetical | |||||||||||||||||||||
(actual return after expenses) | (5% annual return before expenses) | |||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 707.40 | $ | 0.81 | $ | 1,024.12 | $ | 0.96 | 0.19 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
112 |
Semiannual Report |
franklintempleton.com |
Franklin FTSE United Kingdom ETF
This semiannual report for Franklin FTSE United Kingdom ETF covers the period ended September 30, 2022.
Your Fund’s Goal and Main Investments
The Fund seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the FTSE UK RIC Capped Index (the FTSE UK Capped Index or the Underlying Index).1 Under normal market conditions, the Fund invests at least 80% of its assets in the component securities of the FTSE UK Capped Index and in depositary receipts representing such securities.
Performance Overview
For the six-month period, the Fund posted cumulative total returns of -20.95% based on market price and -20.61% based on net asset value. In comparison, the FTSE UK Capped Index posted a -20.61% total return for the same period.2 You can find more of the Fund’s performance data in the Performance Summary beginning on page 115.
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
Investment Strategy
The Fund, using a “passive” or indexing investment approach, seeks investment results that closely correspond, before fees and expenses, to the performance of the FTSE UK Capped Index. The Fund may use either a replication strategy or representative sampling strategy. Under a replication strategy, the Fund will replicate the component securities of the Underlying Index as closely as possible (i.e., invest in all of the component securities in their respective weightings in the Underlying Index). However, it may not be possible or practicable to replicate the Underlying Index. In these circumstances, we may use a representative sampling strategy
Top 10 Sectors/Industries | ||||
9/30/22 | ||||
% of Total Net Assets |
||||
Oil, Gas & Consumable Fuels | 13.3% | |||
Pharmaceuticals | 11.1% | |||
Banks | 9.3% | |||
Metals & Mining | 8.6% | |||
Personal Products | 6.2% | |||
Tobacco | 4.9% | |||
Beverages | 4.9% | |||
Professional Services | 3.9% | |||
Hotels, Restaurants & Leisure | 3.8% | |||
Insurance | 3.4% |
whereby we will invest in what we believe to be a representative sample of the component securities of the Underlying Index, but may not track the Underlying Index with the same degree of accuracy as would an investment vehicle replicating the entire Underlying Index. Under the representative sampling technique, we will select securities that collectively have an investment profile similar to that of the Underlying Index, including securities that resemble those included in the Underlying Index in terms of risk factors, performance attributes and other characteristics, such as market capitalization and industry weightings. The Fund will concentrate its investments (i.e., hold 25% or more of its net assets) in a particular industry or group of industries to approximately the same extent that the Underlying Index is concentrated.
1. The FTSE UK Capped Index is a free float-adjusted market capitalization-weighted index maintained and calculated by FTSE Russell with a capping methodology applied quarterly to issuer weights so that no single issuer of a component exceeds 25% of the index weight, and all issuers with weights above 5% do not cumulatively exceed 50% of the index’s weight. The FTSE UK Capped Index is based on the FTSE UK Index and is designed to measure the performance of U.K. large- and mid-capitalization stocks.
2. Source: FactSet.
The index is unmanaged and includes reinvestment of any income or distributions (after the deduction of certain withholding taxes). It does not reflect any fees, expenses or sales charges. One cannot invest directly in an index.
See www.franklintempletondatasources.com for additional data provider information.
The dollar value, number of shares or principal amount, and names of all portfolio holdings are listed in the Fund’s Schedule of Investments (SOI). The SOI begins on page 279.
franklintempleton.com |
Semiannual Report |
113 |
FRANKLIN FTSE UNITED KINGDOM ETF
Top 10 Holdings | ||||
9/30/22 | ||||
Company Sector/Industry, Country |
% of Total Net Assets |
|||
Shell PLC Oil, Gas & Consumable Fuels, Netherlands |
8.9% | |||
AstraZeneca PLC Pharmaceuticals, United Kingdom |
8.0% | |||
Unilever PLC Personal Products, United Kingdom |
5.5% | |||
HSBC Holdings PLC Banks, United Kingdom |
5.1% | |||
Diageo PLC Beverages, United Kingdom |
4.7% | |||
BP PLC Oil, Gas & Consumable Fuels, United Kingdom |
4.4% | |||
British American Tobacco PLC Tobacco, United Kingdom |
3.9% | |||
Glencore PLC Metals & Mining, Australia |
3.4% | |||
Rio Tinto PLC Metals & Mining, Australia |
2.9% | |||
GSK PLC Pharmaceuticals, United Kingdom |
2.8% |
Thank you for your participation in Franklin FTSE United Kingdom ETF. We look forward to serving your future investment needs.
Dina Ting, CFA
Hailey Harris
Joe Diederich
Basit Amin, CFA
Portfolio Management Team
The foregoing information reflects our analysis, opinions and portfolio holdings as of September 30, 2022, the end of the reporting period. These opinions may not be relied upon as investment advice or an offer for a particular security. The information is not a complete analysis of every aspect of any market, country, industry, security or the Fund. Statements of fact are from sources considered reliable, but the investment manager makes no representation or warranty as to their completeness or accuracy. Although historical performance is no guarantee of future results, these insights may help you understand our investment management philosophy.
114 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE UNITED KINGDOM ETF
Performance Summary as of September 30, 2022
Total return reflects reinvestment of the Fund’s dividends and capital gain distributions, if any, and any unrealized gains or losses. Total returns do not include brokerage commissions that may be payable on secondary market transactions. The performance table does not reflect any taxes that a shareholder would pay on Fund dividends, capital gain distributions, if any, or any realized gains on the sale of Fund shares.
Net asset value or “NAV” is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. Market Price returns typically are based upon the official closing price of the ETF’s shares. Since shares of the Fund did not trade in the secondary market until after the Fund’s inception, for the period from inception to the first day of secondary trading (11/6/17), the NAV of the Fund is used as a proxy for the Market Price to calculate market returns. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV.
Your dividend income will vary depending on dividends or interest paid by securities in the Fund’s portfolio, adjusted for operating expenses. Capital gain distributions are net profits realized from the sale of portfolio securities.
Performance as of 9/30/221
Cumulative Total Return2 | Average Annual Total Return2 | |||||||||||||||
Based on NAV3 |
Based on market price4 |
Based on NAV3 |
Based on market price4 |
|||||||||||||
6-Month |
-20.61% | -20.95% | -20.61% | -20.95% | ||||||||||||
1-Year |
-16.69% | -17.33% | -16.69% | -17.33% | ||||||||||||
3-Year |
-6.35% | -7.36% | -2.16% | -2.51% | ||||||||||||
Since Inception (11/2/17) |
-6.31% | -7.25% | -1.32% | -1.52% |
Performance data represent past performance, which does not guarantee future results. Investment return and principal value will fluctuate, and you may have a gain or loss when you sell your shares. Current performance may differ from figures shown. For most recent month-end performance, go to franklintempleton.com or call (800) 342-5236.
See page 116 for Performance Summary footnotes.
franklintempleton.com |
Semiannual Report |
115 |
FRANKLIN FTSE UNITED KINGDOM ETF
PERFORMANCE SUMMARY
Distributions (4/1/22–9/30/22)
Net
Investment Income |
$0.486685 |
Total Annual Operating Expenses5
0.09% |
All investments involve risks, including possible loss of principal. 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 securities of U.K. issuers involve risks that are specific to U.K., 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. Events such as the spread of deadly diseases, disasters, and financial, political or social disruptions, may heighten risks and adversely affect performance. The Fund’s prospectus also includes a description of the main investment risks.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion. To the extent that the Fund has exposure to Russian investments or investments in countries affected by the invasion, the Fund’s ability to price, buy, sell, receive or deliver such investments may be impaired. The Fund could determine at any time that certain of the most affected securities have zero value. In addition, any exposure that the Fund may have to counterparties in Russia or in countries affected by the invasion could negatively impact the Fund’s portfolio. The extent and duration of Russia’s military actions and the repercussions of such actions (including any retaliatory actions or countermeasures that may be taken by those subject to sanctions) are impossible to predict, but could result in significant market disruptions, including in the oil and natural gas markets, and may negatively affect global supply chains, inflation and global growth. These and any related events could significantly impact the Fund’s performance and the value of an investment in the Fund, even beyond any direct exposure the Fund may have to Russian issuers or issuers in other countries affected by the invasion.
ETFs trade like stocks, fluctuate in market value and may trade at prices above or below their net asset value. Brokerage commissions and ETF expenses will reduce returns.
1. The total annual operating expenses are sourced from the Fund’s prospectus available at the time of publication. Actual expenses may be higher and may impact portfolio returns.
2. Total return calculations represent the cumulative and average annual changes in value of an investment over the periods indicated. Return for less than one year, if any, has not been annualized.
3. Assumes reinvestment of distributions based on net asset value.
4. Assumes reinvestment of distributions based on market price.
5. Figures are as stated in the Fund’s current prospectus and may differ from the expense ratios disclosed in the Your Fund’s Expenses and Financial Highlights sections in this report.
See www.franklintempletondatasources.com for additional data provider information.
116 |
Semiannual Report |
franklintempleton.com |
FRANKLIN FTSE UNITED KINGDOM ETF
Your Fund’s Expenses
As a Fund shareholder, you can incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares; and (2) ongoing Fund costs, including management fees and other Fund expenses. All funds have ongoing costs, sometimes referred to as operating expenses. The table below shows ongoing costs of investing in the Fund and can help you understand these costs and compare them with those of other funds. The table assumes a $1,000 investment held for the six months indicated.
Actual Fund Expenses
The table below provides information about actual account values and actual expenses in the columns under the heading “Actual.” In these columns the Fund’s actual return, which includes the effect of Fund expenses, is used to calculate the “Ending Account Value.” You can estimate the expenses you paid during the period by following these steps (of course, your account value and expenses will differ from those in this illustration): Divide your account value by $1,000 (if your account had an $8,600 value, then $8,600 ÷ $1,000 = 8.6). Then multiply the result by the number in the row under the headings “Actual” and “Expenses Paid During Period” (if Actual Expenses Paid During Period were $7.50, then 8.6 × $7.50 = $64.50). In this illustration, the actual expenses paid this period are $64.50.
Hypothetical Example for Comparison with Other Funds
Under the heading “Hypothetical” in the table, information is provided about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. This information may not be used to estimate the actual ending account balance or expenses you paid for the period, but it can help you compare ongoing costs of investing in the Fund with those of other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that expenses shown in the table are meant to highlight ongoing costs and do not reflect any transactional costs. Therefore, information under the heading “Hypothetical” is useful in comparing ongoing costs only, and will not help you compare total costs of owning different funds. In addition, if transactional costs were included, your total costs would have been higher.
Actual | Hypothetical | |||||||||||||||||||||
(actual return after expenses) | (5% annual return before expenses) | |||||||||||||||||||||
Beginning Account Value 4/1/22 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Ending Account Value 9/30/22 |
Expenses Paid During Period 4/1/22–9/30/221 |
Net Annualized Expense Ratio |
|||||||||||||||||
$1,000.00 | $ | 793.90 | $ | 0.40 | $ | 1,024.62 | $ | 0.46 | 0.09 | % |
1. Expenses are equal to the annualized expense ratio for the six-month period as indicated above—in the far right column—multiplied by the simple average account value over the period indicated, and then multiplied by 183/365 to reflect the one-half year period.
franklintempleton.com |
Semiannual Report |
117 |
FRANKLIN TEMPLETON ETF TRUST
Franklin FTSE Asia ex Japan ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$ | 24.22 | $ | 28.60 | $ | 18.39 | $ | 21.86 | $ | 23.63 | $ | 23.64 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment incomec |
0.40 | 0.55 | 0.44 | 0.49 | 0.51 | 0.04 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(5.58 | ) | (4.31 | ) | 10.21 | (3.46 | ) | (1.82 | ) | (0.05 | ) | |||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(5.18 | ) | (3.76 | ) | 10.65 | (2.97 | ) | (1.31 | ) | (0.01 | ) | |||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(0.11 | ) | (0.62 | ) | (0.44 | ) | (0.50 | ) | (0.46 | ) | — | |||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 18.93 | $ | 24.22 | $ | 28.60 | $ | 18.39 | $ | 21.86 | $ | 23.63 | ||||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(21.44)% | (13.34)% | 58.16% | (13.88)% | (5.34)% | (0.04)% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Expenses before waiver and payments by affiliates |
0.19% | 0.19% | 0.19% | 0.19% | 0.19% | 0.19% | ||||||||||||||||||
Expenses net of waiver and payments by affiliates |
0.19% | 0.19% | 0.19% | 0.19% | 0.19% | 0.19% | ||||||||||||||||||
Net investment income |
3.60% | 2.01% | 1.78% | 2.32% | 2.34% | 1.06% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$30,286 | $38,751 | $34,317 | $14,712 | $17,488 | $9,451 | ||||||||||||||||||
Portfolio turnover ratef |
3.00% | g | 10.09% | g | 11.45% | g | 11.42% | g | 7.11% | 0.96% |
aFor the period February 6, 2018 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 3.00% | 9.63% | 11.45% | 11.42% |
118 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Franklin FTSE Asia ex Japan ETF
Industry | Shares | Value | ||||||||||||
Common Stocks 99.6% | ||||||||||||||
Cambodia 0.0%† | ||||||||||||||
a |
NagaCorp Ltd. |
Hotels, Restaurants & Leisure | 8,075 | $ | 5,308 | |||||||||
|
|
|||||||||||||
China 34.2% | ||||||||||||||
360 DigiTech Inc. |
Consumer Finance | 724 | 9,282 | |||||||||||
360 Security Technology Inc., A |
Software | 2,800 | 2,553 | |||||||||||
b |
3SBio Inc., A, 144A |
Biotechnology | 8,000 | 5,677 | ||||||||||
a |
AAC Technologies Holdings Inc., H |
Electronic Equipment, Instruments & Components | 4,000 | 6,257 | ||||||||||
ADAMA Ltd. |
Chemicals | 400 | 517 | |||||||||||
Addsino Co. Ltd., A |
Communications Equipment | 800 | 1,117 | |||||||||||
a |
Advanced Micro-Fabrication Equipment Inc. China, A |
Semiconductors & Semiconductor Equipment | 200 | 3,026 | ||||||||||
AECC Aero-Engine Control Co. Ltd., A |
Aerospace & Defense | 400 | 1,409 | |||||||||||
AECC Aviation Power Co. Ltd., A |
Aerospace & Defense | 1,200 | 7,061 | |||||||||||
a |
Agile Group Holdings Ltd. |
Real Estate Management & Development | 8,000 | 1,875 | ||||||||||
Agricultural Bank of China Ltd., A |
Banks | 38,000 | 15,244 | |||||||||||
Agricultural Bank of China Ltd., H |
Banks | 176,000 | 52,689 | |||||||||||
Aier Eye Hospital Group Co. Ltd., A |
Health Care Providers & Services | 2,804 | 11,276 | |||||||||||
a |
Air China Ltd., A |
Airlines | 2,400 | 3,525 | ||||||||||
a |
Air China Ltd., H |
Airlines | 10,000 | 7,643 | ||||||||||
Airtac International Group, A |
Machinery | 880 | 20,289 | |||||||||||
a,b |
Akeso Inc., 144A |
Biotechnology | 3,000 | 8,293 | ||||||||||
a |
Alibaba Group Holding Ltd., A |
Internet & Catalog Retail | 85,000 | 844,055 | ||||||||||
b |
A-Living Services Co. Ltd., H, 144A |
Commercial Services & Supplies | 4,000 | 3,169 | ||||||||||
All Winner Technology Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 400 | 1,101 | |||||||||||
a |
Alpha Group, A |
Leisure Products | 400 | 244 | ||||||||||
Aluminum Corp. of China Ltd., A |
Metals & Mining | 4,800 | 2,781 | |||||||||||
Aluminum Corp. of China Ltd., H |
Metals & Mining | 22,000 | 7,203 | |||||||||||
a |
Amlogic Shanghai Co. Ltd. |
Semiconductors & Semiconductor Equipment | 200 | 1,823 | ||||||||||
a |
An Hui Wenergy Co. Ltd., A |
Independent Power Producers & Energy Traders | 1,200 | 754 | ||||||||||
Angang Steel Co. Ltd., A |
Metals & Mining | 2,000 | 752 | |||||||||||
Angang Steel Co. Ltd., H |
Metals & Mining | 8,000 | 1,977 | |||||||||||
Angel Yeast Co. Ltd., A |
Food Products | 400 | 2,333 | |||||||||||
Anhui Anke Biotechnology Group Co. Ltd., A |
Pharmaceuticals | 532 | 672 | |||||||||||
Anhui Conch Cement Co. Ltd., A |
Construction Materials | 1,600 | 6,466 | |||||||||||
Anhui Conch Cement Co. Ltd., H |
Construction Materials | 6,500 | 20,618 | |||||||||||
Anhui Expressway Co. Ltd., A |
Transportation Infrastructure | 400 | 374 | |||||||||||
Anhui Expressway Co. Ltd., H |
Transportation Infrastructure | 4,000 | 2,543 | |||||||||||
Anhui Gujing Distillery Co. Ltd., A |
Beverages | 200 | 7,629 | |||||||||||
Anhui Gujing Distillery Co. Ltd., B |
Beverages | 700 | 10,344 | |||||||||||
Anhui Zhongding Sealing Parts Co. Ltd., A |
Auto Components | 400 | 786 | |||||||||||
Anker Innovations Technology Co. Ltd., A |
Technology Hardware, Storage & Peripherals | 100 | 778 | |||||||||||
Anta Sports Products Ltd., A |
Textiles, Apparel & Luxury Goods | 6,400 | 67,833 | |||||||||||
Apeloa Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 400 | 921 | |||||||||||
Asymchem Laboratories Tianjin Co. Ltd., A |
Pharmaceuticals | 140 | 2,724 | |||||||||||
Autohome Inc., ADR |
Software | 349 | 10,037 | |||||||||||
Avary Holding Shenzhen Co. Ltd., A |
Electronic Equipment, Instruments & Components | 400 | 1,454 | |||||||||||
Avic Capital Co. Ltd., A |
Diversified Financial Services | 3,600 | 1,520 | |||||||||||
AVIC Electromechanical Systems Co. Ltd., A |
Aerospace & Defense | 1,600 | 2,545 | |||||||||||
AviChina Industry & Technology Co. Ltd., H |
Aerospace & Defense | 14,000 | 5,422 | |||||||||||
AVICOPTER PLC, A |
Aerospace & Defense | 400 | 2,227 | |||||||||||
b |
BAIC Motor Corp. Ltd., A, 144A |
Automobiles | 14,000 | 3,068 | ||||||||||
a |
Baidu Inc. |
Interactive Media & Services | 12,600 | 183,144 | ||||||||||
Bank of Beijing Co. Ltd., A |
Banks | 8,000 | 4,612 | |||||||||||
Bank of Changsha Co. Ltd., A |
Banks | 1,200 | 1,114 | |||||||||||
Bank of Chengdu Co. Ltd., A |
Banks | 400 | 918 | |||||||||||
Bank of China Ltd., A |
Banks | 18,000 | 7,802 | |||||||||||
Bank of China Ltd., H |
Banks | 434,000 | 142,088 | |||||||||||
Bank of Communications Co. Ltd., A |
Banks | 16,000 | 10,369 |
franklintempleton.com |
Semiannual Report |
119 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Bank of Communications Co. Ltd., H |
Banks | 42,000 | $ | 22,151 | ||||||||||
Bank of Guiyang Co. Ltd., A |
Banks | 1,200 | 912 | |||||||||||
Bank of Hangzhou Co. Ltd., A |
Banks | 2,400 | 4,797 | |||||||||||
Bank of Jiangsu Co. Ltd., A |
Banks | 2,280 | 2,379 | |||||||||||
Bank of Nanjing Co. Ltd., A |
Banks | 3,600 | 5,312 | |||||||||||
Bank of Ningbo Co. Ltd., A |
Banks | 2,780 | 12,303 | |||||||||||
Bank of Qingdao Co. Ltd., A |
Banks | 1,600 | 761 | |||||||||||
Bank of Shanghai Co. Ltd., A |
Banks | 6,080 | 4,989 | |||||||||||
a |
Bank of Zhengzhou Co. Ltd., A |
Banks | 3,484 | 1,168 | ||||||||||
Baoshan Iron & Steel Co. Ltd., A |
Metals & Mining | 7,200 | 5,312 | |||||||||||
BBMG Corp., A |
Construction Materials | 2,400 | 838 | |||||||||||
BBMG Corp., H |
Construction Materials | 16,000 | 1,936 | |||||||||||
a |
BeiGene Ltd. |
Biotechnology | 3,400 | 35,105 | ||||||||||
Beijing Capital Co. Ltd., A |
Water Utilities | 3,200 | 1,167 | |||||||||||
Beijing Capital Development Co. Ltd., A |
Real Estate Management & Development | 800 | 492 | |||||||||||
a |
Beijing Capital International Airport Co. Ltd., A |
Transportation Infrastructure | 10,000 | 5,414 | ||||||||||
a |
Beijing Dabeinong Technology Group Co. Ltd., A |
Food Products | 1,200 | 1,347 | ||||||||||
Beijing Easpring Material Technology Co. Ltd. |
Chemicals | 200 | 1,852 | |||||||||||
a |
Beijing E-Hualu Information Technology Co. Ltd., A |
Software | 400 | 703 | ||||||||||
Beijing Enlight Media Co. Ltd., H |
Entertainment | 1,200 | 1,195 | |||||||||||
Beijing Enterprises Holdings Ltd., H |
Industrial Conglomerates | 3,000 | 8,427 | |||||||||||
a |
Beijing Jetsen Technology Co. Ltd., A |
Software | 1,200 | 747 | ||||||||||
Beijing Jingneng Clean Energy Co. Ltd., H |
Independent Power Producers & Energy Traders | 10,000 | 1,911 | |||||||||||
Beijing Kingsoft Office Software Inc., A |
Software | 141 | 3,978 | |||||||||||
Beijing New Building Materials PLC, A |
Building Products | 800 | 2,699 | |||||||||||
a |
Beijing Orient National Communication Science & Technology Co. Ltd., A |
Software | 400 | 405 | ||||||||||
Beijing Originwater Technology Co. Ltd., H |
Commercial Services & Supplies | 247 | 164 | |||||||||||
Beijing Sanju Environmental Protection and New Material Co. Ltd., A |
Chemicals | 800 | 460 | |||||||||||
Beijing Shiji Information Technology Co. Ltd., A |
Software | 800 | 1,388 | |||||||||||
Beijing Shougang Co. Ltd., A |
Metals & Mining | 2,000 | 1,002 | |||||||||||
Beijing Shunxin Agriculture Co. Ltd., A |
Beverages | 400 | 1,117 | |||||||||||
Beijing Sinnet Technology Co. Ltd., A |
IT Services | 800 | 897 | |||||||||||
Beijing SL Pharmaceutical Co. Ltd., H |
Biotechnology | 400 | 462 | |||||||||||
Beijing Tiantan Biological Products Corp. Ltd., A |
Biotechnology | 528 | 1,495 | |||||||||||
Beijing Tongrentang Co. Ltd., A |
Pharmaceuticals | 800 | 5,111 | |||||||||||
Beijing Ultrapower Software Co. Ltd., A |
IT Services | 800 | 415 | |||||||||||
Beijing United Information Technology Co. Ltd., A |
Trading Companies & Distributors | 145 | 2,196 | |||||||||||
Beijing Wantai Biological Pharmacy Enterprise Co. Ltd., A |
Biotechnology | 145 | 2,327 | |||||||||||
Beijing Yanjing Brewery Co. Ltd., A |
Beverages | 800 | 1,047 | |||||||||||
Beijing Yuanliu Hongyuan Electronic Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 100 | 1,729 | |||||||||||
Beijing Zhong Ke San Huan High-Tech Co. Ltd., A |
Electronic Equipment, Instruments & Components | 445 | 864 | |||||||||||
Beijing-Shanghai High Speed Railway Co. Ltd., A |
Road & Rail | 11,600 | 7,355 | |||||||||||
BGI Genomics Co. Ltd., A |
Biotechnology | 100 | 748 | |||||||||||
a |
Bilibili Inc. |
Entertainment | 1,440 | 21,940 | ||||||||||
b |
Blue Moon Group Holdings Ltd., 144A |
Household Products | 4,000 | 2,823 | ||||||||||
a |
Blue Sail Medical Co. Ltd., A |
Health Care Equipment & Supplies | 400 | 437 | ||||||||||
Bluefocus Intelligent Communications Group Co. Ltd., A |
Media | 800 | 503 | |||||||||||
Bluestar Adisseo Co., A |
Chemicals | 400 | 553 | |||||||||||
BOC Hong Kong (Holdings) Ltd. |
Banks | 20,500 | 68,291 | |||||||||||
BOC International China Co. Ltd., A |
Capital Markets | 400 | 589 |
120 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
BOE Technology Group Co. Ltd., A |
Electronic Equipment, Instruments & Components | 14,800 | $ | 6,788 | ||||||||||
BOE Technology Group Co. Ltd., B |
Electronic Equipment, Instruments & Components | 5,600 | 2,390 | |||||||||||
Boya Bio-pharmaceutical Group Co. Ltd., A |
Biotechnology | 400 | 1,795 | |||||||||||
Bright Dairy & Food Co. Ltd., A |
Food Products | 400 | 587 | |||||||||||
BTG Hotels Group Co. Ltd., A |
Hotels, Restaurants & Leisure | 400 | 1,200 | |||||||||||
b |
Budweiser Brewing Co. APAC Ltd., H, 144A |
Beverages | 9,600 | 25,132 | ||||||||||
BYD Co. Ltd., A |
Automobiles | 800 | 28,279 | |||||||||||
BYD Co. Ltd., H |
Automobiles | 4,700 | 116,394 | |||||||||||
BYD Electronic International Co. Ltd. |
Communications Equipment | 4,500 | 10,869 | |||||||||||
By-health Co. Ltd., A |
Personal Products | 800 | 1,975 | |||||||||||
C&S Paper Co. Ltd., A |
Household Products | 400 | 571 | |||||||||||
Caitong Securities Co. Ltd., A |
Capital Markets | 2,020 | 1,915 | |||||||||||
Camel Group Co. Ltd., A |
Electrical Equipment | 460 | 544 | |||||||||||
CanSino Biologics Inc., A |
Pharmaceuticals | 26 | 441 | |||||||||||
b,c |
CanSino Biologics Inc., H, 144A, Reg S |
Pharmaceuticals | 400 | 2,270 | ||||||||||
a |
CECEP Solar Energy Co. Ltd., H |
Semiconductors & Semiconductor Equipment | 1,200 | 1,150 | ||||||||||
CECEP Wind-Power Corp, A |
Independent Power Producers & Energy Traders | 2,000 | 1,234 | |||||||||||
Central China Securities Co. Ltd., A |
Capital Markets | 1,200 | 587 | |||||||||||
Central China Securities Co. Ltd., H |
Capital Markets | 4,000 | 515 | |||||||||||
CGN Power Co. Ltd., A |
Independent Power Producers & Energy Traders | 3,200 | 1,185 | |||||||||||
b |
CGN Power Co. Ltd., H, 144A |
Independent Power Producers & Energy Traders | 64,000 | 13,860 | ||||||||||
Changchun High & New Technology Industry Group Inc., A |
Pharmaceuticals | 200 | 4,779 | |||||||||||
Changjiang Securities Co. Ltd., A |
Capital Markets | 2,400 | 1,754 | |||||||||||
Changzhou Xingyu Automotive LightingSystems Co. Ltd., A |
Auto Components | 100 | 2,138 | |||||||||||
Chaozhou Three-Circle Group Co. Ltd., A |
Electronic Equipment, Instruments & Components | 800 | 2,922 | |||||||||||
Chengdu Xingrong Environment Co. Ltd., A |
Water Utilities | 1,600 | 1,115 | |||||||||||
Chengxin Lithium Group Co. Ltd., A |
Paper & Forest Products | 400 | 2,624 | |||||||||||
China Baoan Group Co. Ltd., A |
Industrial Conglomerates | 1,200 | 1,889 | |||||||||||
China Cinda Asset Management Co. Ltd., H |
Capital Markets | 52,000 | 5,763 | |||||||||||
China CITIC Bank Corp. Ltd., A |
Banks | 4,400 | 2,814 | |||||||||||
China CITIC Bank Corp. Ltd., H |
Banks | 54,000 | 21,463 | |||||||||||
China Coal Energy Co. Ltd., A |
Oil, Gas & Consumable Fuels | 2,000 | 2,985 | |||||||||||
China Coal Energy Co. Ltd., H |
Oil, Gas & Consumable Fuels | 12,000 | 10,884 | |||||||||||
China Communications Services Corp. Ltd., H |
Diversified Telecommunication Services | 14,000 | 4,708 | |||||||||||
a |
China Conch Environment Protection Holdings Ltd. |
Commercial Services & Supplies | 8,000 | 4,097 | ||||||||||
China Conch Venture Holdings Ltd. |
Construction & Engineering | 8,500 | 13,557 | |||||||||||
China Construction Bank Corp., A |
Banks | 4,000 | 3,097 | |||||||||||
China Construction Bank Corp., H |
Banks | 528,000 | 305,369 | |||||||||||
China CSSC Holdings Ltd., A |
Machinery | 1,800 | 5,719 | |||||||||||
b,c |
China East Education Holdings Ltd., A, 144A, Reg S |
Diversified Consumer Services | 2,000 | 662 | ||||||||||
a |
China Eastern Airlines Corp. Ltd., A |
Airlines | 4,400 | 3,012 | ||||||||||
a |
China Eastern Airlines Corp. Ltd., H |
Airlines | 8,000 | 2,721 | ||||||||||
China Energy Engineering Corp. Ltd. |
Construction & Engineering | 13,200 | 4,147 | |||||||||||
China Everbright Bank Co. Ltd., A |
Banks | 17,200 | 6,804 | |||||||||||
China Everbright Bank Co. Ltd., H |
Banks | 17,000 | 4,678 | |||||||||||
a |
China Evergrande Group, A |
Real Estate Management & Development | 24,000 | 2,019 | ||||||||||
b,c |
China Feihe Ltd., 144A, Reg S |
Food Products | 22,000 | 15,414 | ||||||||||
China Galaxy Securities Co. Ltd., A |
Capital Markets | 800 | 1,010 | |||||||||||
China Galaxy Securities Co. Ltd., H |
Capital Markets | 21,000 | 9,711 | |||||||||||
China Great Wall Securities Co. Ltd., A |
Capital Markets | 800 | 918 | |||||||||||
China Greatwall Technology Group Co. Ltd., A |
Technology Hardware, Storage & Peripherals | 1,200 | 1,437 | |||||||||||
China Hongqiao Group Ltd. |
Metals & Mining | 12,500 | 10,350 | |||||||||||
China International Capital Corp. Ltd., A |
Capital Markets | 400 | 1,931 | |||||||||||
b |
China International Capital Corp. Ltd., H, 144A |
Capital Markets | 8,500 | 12,366 |
franklintempleton.com |
Semiannual Report |
121 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
China International Marine Containers (Group) Co. Ltd., H |
Machinery | 4,200 | $ | 2,675 | ||||||||||
China International Marine Containers Group Co. Ltd., A |
Machinery | 750 | 727 | |||||||||||
China Jinmao Holdings Group Ltd., A |
Real Estate Management & Development | 36,000 | 7,338 | |||||||||||
China Jushi Co. Ltd., A |
Construction Materials | 1,771 | 3,274 | |||||||||||
China Lesso Group Holdings Ltd. |
Building Products | 5,000 | 4,656 | |||||||||||
China Life Insurance Co. Ltd., H |
Insurance | 42,000 | 53,825 | |||||||||||
a,b |
China Literature Ltd., A, 144A |
Media | 2,400 | 6,803 | ||||||||||
China Lodging Group Ltd., ADR |
Hotels, Restaurants & Leisure | 1,228 | 41,187 | |||||||||||
China Longyuan Power Group Corp., A |
Independent Power Producers & Energy Traders | 19,000 | 23,841 | |||||||||||
China Medical System Holdings Ltd. |
Pharmaceuticals | 7,000 | 8,356 | |||||||||||
China Meheco Co. Ltd., A |
Trading Companies & Distributors | 560 | 946 | |||||||||||
China Meidong Auto Holdings Ltd. |
Specialty Retail | 2,000 | 3,164 | |||||||||||
China Merchants Bank Co. Ltd., A |
Banks | 8,400 | 39,648 | |||||||||||
China Merchants Bank Co. Ltd., H |
Banks | 21,500 | 99,969 | |||||||||||
China Merchants Energy Shipping Co. Ltd., A |
Oil, Gas & Consumable Fuels | 4,000 | 3,984 | |||||||||||
China Merchants Expressway Network & Technology Holdings Co. Ltd., A |
Transportation Infrastructure | 800 | 851 | |||||||||||
China Merchants Port Holdings Co. Ltd. |
Transportation Infrastructure | 8,000 | 10,059 | |||||||||||
China Merchants Property Operation & Service Co. Ltd., A |
Real Estate Management & Development | 400 | 856 | |||||||||||
b |
China Merchants Securities Co. Ltd., A, 144A |
Capital Markets | 2,400 | 2,079 | ||||||||||
China Merchants Securities Co. Ltd., A |
Capital Markets | 3,020 | 5,227 | |||||||||||
China Merchants Shekou Industrial Zone Holdings Co. Ltd., A |
Real Estate Management & Development | 2,800 | 6,418 | |||||||||||
a |
China Minmetals Rare Earth Co. Ltd., A |
Metals & Mining | 400 | 1,477 | ||||||||||
China Minsheng Banking Corp. Ltd., A |
Banks | 14,000 | 6,657 | |||||||||||
China Minsheng Banking Corp. Ltd., H |
Banks | 36,000 | 10,319 | |||||||||||
China Molybdenum Co. Ltd., A |
Metals & Mining | 4,000 | 2,648 | |||||||||||
China Molybdenum Co. Ltd., H |
Metals & Mining | 24,000 | 9,386 | |||||||||||
China National Building Material Co. Ltd., H |
Construction Materials | 26,000 | 19,906 | |||||||||||
China National Chemical Engineering Co. Ltd., A |
Construction & Engineering | 2,400 | 2,697 | |||||||||||
China National Nuclear Power Co. Ltd., A |
Independent Power Producers & Energy Traders | 6,600 | 5,416 | |||||||||||
a |
China Nonferrous Metal Industry’s Foreign Engineeringand Construction Co. Ltd., A |
Metals & Mining | 800 | 494 | ||||||||||
China Northern Rare Earth Group High-Tech Co. Ltd., A |
Metals & Mining | 1,600 | 5,961 | |||||||||||
China Oilfield Services Ltd., A |
Energy Equipment & Services | 800 | 1,610 | |||||||||||
China Oilfield Services Ltd., H |
Energy Equipment & Services | 10,000 | 9,924 | |||||||||||
China Orient Securities Co. Ltd., A |
Capital Markets | 3,072 | 3,314 | |||||||||||
China Overseas Land & Investment Ltd., A |
Real Estate Management & Development | 22,000 | 57,313 | |||||||||||
China Pacific Insurance Group Co. Ltd., A |
Insurance | 2,800 | 7,985 | |||||||||||
China Pacific Insurance Group Co. Ltd., H |
Insurance | 14,800 | 27,263 | |||||||||||
China Petroleum & Chemical Corp., A |
Oil, Gas & Consumable Fuels | 13,200 | 7,943 | |||||||||||
China Petroleum & Chemical Corp., H |
Oil, Gas & Consumable Fuels | 146,000 | 62,679 | |||||||||||
China Railway Group Ltd., A |
Construction & Engineering | 8,000 | 5,869 | |||||||||||
China Railway Group Ltd., H |
Construction & Engineering | 24,000 | 11,771 | |||||||||||
b,c |
China Railway Signal & Communication Corp. Ltd., 144A, Reg S |
Electronic Equipment, Instruments & Components | 8,000 | 2,201 | ||||||||||
China Railway Signal & Communication Corp. Ltd., A |
Electronic Equipment, Instruments & Components | 2,666 | 1,552 | |||||||||||
China Reinsurance Group Corp., H |
Insurance | 40,000 | 2,471 | |||||||||||
China Resources Cement Holdings Ltd. |
Construction Materials | 12,000 | 5,564 | |||||||||||
China Resources Double Crane Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 400 | 987 | |||||||||||
China Resources Microelectronics Ltd., A |
Semiconductors & Semiconductor Equipment | 392 | 2,618 |
122 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
b |
China Resources Mixc Lifestyle Services Ltd., 144A |
Real Estate Management & Development | 3,400 | $ | 13,059 | |||||||||
b |
China Resources Pharmaceutical Group Ltd., A, 144A |
Pharmaceuticals | 10,000 | 6,866 | ||||||||||
China Resources Power Holdings Co. Ltd. |
Independent Power Producers & Energy Traders | 10,000 | 15,542 | |||||||||||
China Resources Sanjiu Medical & Pharmaceutical Co. Ltd., B |
Pharmaceuticals | 400 | 2,155 | |||||||||||
China Shenhua Energy Co. Ltd., A |
Oil, Gas & Consumable Fuels | 2,800 | 12,427 | |||||||||||
China Shenhua Energy Co. Ltd., H |
Oil, Gas & Consumable Fuels | 19,500 | 58,252 | |||||||||||
China Shipping Container Lines Co. Ltd., A |
Marine | 3,200 | 1,109 | |||||||||||
a |
China Shipping Development Co. Ltd., A |
Marine | 1,200 | 3,045 | ||||||||||
China South Publishing & Media Group Co. Ltd., A |
Media | 800 | 1,104 | |||||||||||
a |
China Southern Airlines Co. Ltd., A |
Airlines | 4,400 | 4,098 | ||||||||||
a |
China Southern Airlines Co. Ltd., H |
Airlines | 8,000 | 4,219 | ||||||||||
China Southern Power Grid Energy Efficiency & Clean Energy Co. Ltd., A |
Commercial Services & Supplies | 1,200 | 956 | |||||||||||
China State Construction Engineering Corp. Ltd., A |
Construction & Engineering | 16,800 | 12,136 | |||||||||||
China Suntien Green Energy Corp. Ltd. |
Oil, Gas & Consumable Fuels | 10,000 | 3,669 | |||||||||||
China Taiping Insurance Holdings Co. Ltd. |
Insurance | 8,000 | 6,736 | |||||||||||
China Three Gorges Renewables Group Co. Ltd., A |
Independent Power Producers & Energy Traders | 10,000 | 7,897 | |||||||||||
China Tourism Group Duty Free Corp. Ltd., A |
Hotels, Restaurants & Leisure | 800 | 22,247 | |||||||||||
b,c |
China Tower Corp. Ltd., H, 144A, Reg S |
Diversified Telecommunication Services | 264,000 | 28,250 | ||||||||||
a |
China TransInfo Technology Co. Ltd., A |
IT Services | 400 | 466 | ||||||||||
a |
China Travel International Investment Hong Kong Ltd., A |
Hotels, Restaurants & Leisure | 16,000 | 2,813 | ||||||||||
China United Network Communications Ltd., A |
Wireless Telecommunication Services | 10,000 | 4,699 | |||||||||||
China Vanke Co. Ltd., A |
Real Estate Management & Development | 4,000 | 10,004 | |||||||||||
China Vanke Co. Ltd., H |
Real Estate Management & Development | 10,800 | 19,674 | |||||||||||
China World Trade Center Co. Ltd., A |
Real Estate Management & Development | 400 | 768 | |||||||||||
China Yangtze Power Co. Ltd., A |
Independent Power Producers & Energy Traders | 9,200 | 29,345 | |||||||||||
China Zhenhua Group Science & Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 200 | 3,254 | |||||||||||
a |
China Zheshang Bank Co. Ltd., A |
Banks | 2,800 | 1,170 | ||||||||||
Chinalin Securities Co. Ltd., A |
Capital Markets | 400 | 732 | |||||||||||
Chinese Universe Publishing and Media Group Co. Ltd., A |
Media | 400 | 471 | |||||||||||
Chongqing Brewery Co. Ltd., A |
Beverages | 200 | 3,148 | |||||||||||
Chongqing Changan Automobile Co. Ltd., A |
Automobiles | 3,120 | 5,497 | |||||||||||
Chongqing Changan Automobile Co. Ltd., B |
Automobiles | 9,438 | 4,340 | |||||||||||
Chongqing Fuling Zhacai Group Co. Ltd., A |
Food Products | 400 | 1,525 | |||||||||||
Chongqing Rural Commercial Bank Co. Ltd., A |
Banks | 2,000 | 1,002 | |||||||||||
Chongqing Rural Commercial Bank Co. Ltd., H |
Banks | 13,000 | 4,223 | |||||||||||
Chongqing Water Group Co. Ltd., A |
Water Utilities | 400 | 286 | |||||||||||
Chongqing Zhifei Biological Products Co. Ltd., B |
Biotechnology | 600 | 7,274 | |||||||||||
Chow Tai Fook Jewellery Co. Ltd., A |
Specialty Retail | 10,000 | 18,828 | |||||||||||
CIFI Holdings Group Co. Ltd., A |
Real Estate Management & Development | 22,880 | 2,332 | |||||||||||
CITIC Ltd., B |
Industrial Conglomerates | 28,000 | 26,395 | |||||||||||
Citic Pacific Special Steel Group Co. Ltd., A |
Metals & Mining | 2,080 | 5,141 | |||||||||||
CITIC Securities Co. Ltd., A |
Capital Markets | 4,995 | 12,205 | |||||||||||
CITIC Securities Co. Ltd., H |
Capital Markets | 12,500 | 21,242 | |||||||||||
CMST Development Co. Ltd., A |
Air Freight & Logistics | 400 | 273 | |||||||||||
CNOOC Energy Technology & Services Ltd., A |
Energy Equipment & Services | 2,800 | 1,131 | |||||||||||
Contemporary Amperex Technology Co. Ltd., H |
Electrical Equipment | 1,000 | 56,233 | |||||||||||
COSCO SHIPPING Development Co. Ltd., H |
Marine | 20,000 | 2,522 |
franklintempleton.com |
Semiannual Report |
123 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
a |
COSCO SHIPPING Energy Transportation Co. Ltd., H |
Marine | 8,000 | $ | 6,655 | |||||||||
COSCO SHIPPING Holdings Co. Ltd., A |
Marine | 5,200 | 8,038 | |||||||||||
COSCO SHIPPING Holdings Co. Ltd., B |
Marine | 18,950 | 22,233 | |||||||||||
Country Garden Holdings Co. Ltd. |
Real Estate Management & Development | 52,000 | 12,056 | |||||||||||
Country Garden Services Holdings Co. Ltd. |
Commercial Services & Supplies | 10,600 | 15,610 | |||||||||||
CRRC Corp. Ltd., A |
Machinery | 9,200 | 6,052 | |||||||||||
CRRC Corp. Ltd., H |
Machinery | 24,000 | 7,766 | |||||||||||
b |
CSC Financial Co. Ltd., A, 144A |
Capital Markets | 5,000 | 3,822 | ||||||||||
CSC Financial Co. Ltd., A |
Capital Markets | 2,000 | 6,500 | |||||||||||
CSG Holding Co. Ltd. |
Construction Materials | 6,101 | 2,339 | |||||||||||
CSG Holding Co. Ltd., A |
Construction Materials | 800 | 779 | |||||||||||
CSPC Pharmaceutical Group Ltd., A |
Pharmaceuticals | 48,000 | 47,573 | |||||||||||
Daan Gene Co. Ltd. |
Biotechnology | 612 | 1,423 | |||||||||||
a |
Dada Nexus Ltd., A, ADR |
Internet & Catalog Retail | 392 | 1,854 | ||||||||||
b |
Dali Foods Group Co. Ltd., 144A |
Food Products | 12,500 | 5,382 | ||||||||||
Daqin Railway Co. Ltd., A |
Road & Rail | 6,000 | 5,698 | |||||||||||
a |
Daqo New Energy Corp. |
Semiconductors & Semiconductor Equipment | 320 | 16,986 | ||||||||||
a |
Datang International Power Generation Co. Ltd., A |
Independent Power Producers & Energy Traders | 3,200 | 1,490 | ||||||||||
a |
Datang International Power Generation Co. Ltd., H |
Independent Power Producers & Energy Traders | 16,000 | 3,057 | ||||||||||
DHC Software Co. Ltd., A |
IT Services | 1,200 | 897 | |||||||||||
Dian Diagnostics Group Co. Ltd., A |
Health Care Providers & Services | 400 | 1,628 | |||||||||||
Digital China Information Service Co. Ltd., H |
IT Services | 400 | 541 | |||||||||||
Do-Fluoride Chemicals Co. Ltd., A |
Chemicals | 400 | 2,014 | |||||||||||
Dong-E-E-Jiao Co. Ltd., A |
Pharmaceuticals | 400 | 1,817 | |||||||||||
Dongfang Electric Corp. Ltd., A |
Electrical Equipment | 1,200 | 3,441 | |||||||||||
Dongfang Electric Corp. Ltd., H |
Electrical Equipment | 2,000 | 2,726 | |||||||||||
Dongfeng Motor Group Co. Ltd., H |
Automobiles | 16,000 | 8,561 | |||||||||||
Dongguan Development Holdings Co. Ltd., A |
Transportation Infrastructure | 400 | 515 | |||||||||||
Dongxing Securities Co. Ltd., A |
Capital Markets | 1,200 | 1,246 | |||||||||||
East Group Co. Ltd., A |
Electrical Equipment | 400 | 365 | |||||||||||
East Money Information Co. Ltd. |
Capital Markets | 5,488 | 13,564 | |||||||||||
Easyhome New Retail Group Co. Ltd., A |
Multiline Retail | 1,200 | 635 | |||||||||||
Ecovacs Robotics Co. Ltd., A |
Household Durables | 200 | 1,871 | |||||||||||
ENN Ecological Holdings Co. Ltd., A |
Chemicals | 1,200 | 3,124 | |||||||||||
ENN Energy Holdings Ltd. |
Gas Utilities | 4,300 | 57,517 | |||||||||||
b |
ESR Cayman Ltd., H, 144A |
Real Estate Management & Development | 11,200 | 28,250 | ||||||||||
Eternal Asia Supply Chain Management Ltd., A |
Commercial Services & Supplies | 1,000 | 774 | |||||||||||
Eve Energy Co. Ltd. |
Electrical Equipment | 780 | 9,256 | |||||||||||
b |
Everbright Securities Co. Ltd., 144A |
Capital Markets | 1,600 | 864 | ||||||||||
Everbright Securities Co. Ltd., A |
Capital Markets | 1,600 | 2,951 | |||||||||||
a,b |
Evergrande Property Services Group Ltd., 144A |
Real Estate Management & Development | 24,000 | 2,536 | ||||||||||
a |
Fangda Carbon New Material Co. Ltd. |
Electrical Equipment | 1,660 | 1,451 | ||||||||||
Faw Jiefang Group Co. Ltd. |
Automobiles | 1,200 | 1,209 | |||||||||||
Fiberhome Telecommunication Technologies Co. Ltd., A |
Communications Equipment | 400 | 697 | |||||||||||
a |
FIH Mobile Ltd. |
Electronic Equipment, Instruments & Components | 20,000 | 2,064 | ||||||||||
Financial Street Holdings Co. Ltd., A |
Real Estate Management & Development | 1,200 | 855 | |||||||||||
First Capital Securities Co. Ltd. |
Capital Markets | 1,600 | 1,223 | |||||||||||
a |
Flat Glass Group Co Ltd., H |
Semiconductors & Semiconductor Equipment | 3,000 | 7,299 | ||||||||||
a |
Flat Glass Group Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 400 | 1,835 | ||||||||||
Focus Media Information Technology Co. Ltd. |
Technology Hardware, Storage & Peripherals | 6,200 | 4,801 | |||||||||||
Foshan Haitian Flavouring & Food Co. Ltd. |
Food Products | 1,600 | 18,587 | |||||||||||
Fosun International Ltd. |
Industrial Conglomerates | 12,000 | 7,445 | |||||||||||
Founder Securities Co. Ltd., A |
Capital Markets | 3,400 | 3,124 | |||||||||||
Foxconn Industrial Internet Co. Ltd., A |
Electronic Equipment, Instruments & Components | 5,200 | 6,214 |
124 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Fu Jian Anjoy Foods Co. Ltd., A |
Food Products | 100 | $ | 2,178 | ||||||||||
Fujian Funeng Co. Ltd., A |
Independent Power Producers & Energy Traders | 400 | 600 | |||||||||||
Fujian Sunner Development Co. Ltd. |
Food Products | 400 | 1,086 | |||||||||||
a |
Full Truck Alliance Co. Ltd. |
Road & Rail | 3,628 | 23,763 | ||||||||||
Fuyao Glass Industry Group Co. Ltd., A |
Auto Components | 800 | 4,018 | |||||||||||
b |
Fuyao Group Glass Industries Co. Ltd., 144A |
Auto Components | 3,600 | 14,538 | ||||||||||
Ganfeng Lithium Co. Ltd. |
Metals & Mining | 700 | 7,348 | |||||||||||
b |
Ganfeng Lithium Co. Ltd., H, 144A |
Metals & Mining | 1,400 | 9,319 | ||||||||||
a |
GCL System Integration Technology Co. Ltd. |
Semiconductors & Semiconductor Equipment | 1,600 | 709 | ||||||||||
a |
GD Power Development Co. Ltd., A |
Independent Power Producers & Energy Traders | 6,400 | 3,654 | ||||||||||
a |
GDS Holdings Ltd. |
IT Services | 5,200 | 11,394 | ||||||||||
GEM Co. Ltd. |
Metals & Mining | 2,000 | 2,070 | |||||||||||
Gemdale Corp., A |
Real Estate Management & Development | 2,000 | 3,223 | |||||||||||
a |
Genscript Biotech Corp. |
Life Sciences Tools & Services | 6,000 | 13,116 | ||||||||||
GF Securities Co. Ltd. |
Capital Markets | 2,500 | 5,004 | |||||||||||
GF Securities Co. Ltd., H |
Capital Markets | 6,400 | 6,971 | |||||||||||
Gigadevice Semiconductor Beijing Inc., A |
Semiconductors & Semiconductor Equipment | 300 | 3,945 | |||||||||||
a |
Ginlong Technologies Co. Ltd., A |
Electrical Equipment | 150 | 4,649 | ||||||||||
Glarun Technology Co. Ltd., A |
Communications Equipment | 400 | 752 | |||||||||||
GoerTek Inc. |
Electronic Equipment, Instruments & Components | 1,200 | 4,461 | |||||||||||
a |
GOME Retail Holdings Ltd. |
Specialty Retail | 68,000 | 1,273 | ||||||||||
a |
Grandjoy Holdings Group Co. Ltd., A |
Real Estate Management & Development | 800 | 376 | ||||||||||
Great Wall Motor Co. Ltd., A |
Automobiles | 1,200 | 4,679 | |||||||||||
Great Wall Motor Co. Ltd., H |
Automobiles | 17,500 | 20,109 | |||||||||||
a |
Greattown Holdings Ltd., A |
Real Estate Management & Development | 400 | 178 | ||||||||||
Greentown China Holdings Ltd. |
Real Estate Management & Development | 5,000 | 9,401 | |||||||||||
GRG Banking Equipment Co. Ltd. |
Technology Hardware, Storage & Peripherals | 800 | 915 | |||||||||||
Guangdong Baolihua New Energy Stock Co. Ltd. |
Independent Power Producers & Energy Traders | 1,200 | 794 | |||||||||||
a |
Guangdong Electric Power Development Co. Ltd., A |
Independent Power Producers & Energy Traders | 1,200 | 751 | ||||||||||
a |
Guangdong Electric Power Development Co. Ltd., B |
Independent Power Producers & Energy Traders | 3,600 | 968 | ||||||||||
Guangdong Golden Dragon Development Inc. |
Capital Markets | 400 | 759 | |||||||||||
Guangdong Haid Group Co. Ltd. |
Food Products | 800 | 6,764 | |||||||||||
Guangdong HEC Technology Holding Co. Ltd., A |
Metals & Mining | 800 | 988 | |||||||||||
Guangdong Kinlong Hardware Products Co. Ltd. |
Building Products | 100 | 1,242 | |||||||||||
a |
Guangdong LY Intelligent Manufacturing Co. Ltd. |
Electrical Equipment | 3,200 | 1,997 | ||||||||||
Guangdong Xinbao Electrical Appliances Holdings Co. Ltd. |
Household Durables | 400 | 994 | |||||||||||
Guanghui Energy Co. Ltd., A |
Oil, Gas & Consumable Fuels | 2,400 | 4,134 | |||||||||||
a |
Guangshen Railway Co. Ltd., A |
Road & Rail | 1,200 | 328 | ||||||||||
a |
Guangshen Railway Co. Ltd., H |
Road & Rail | 8,000 | 1,090 | ||||||||||
Guangxi Guiguan Electric Power Co. Ltd., A |
Independent Power Producers & Energy Traders | 1,200 | 986 | |||||||||||
Guangxi Liugong Machinery Co. Ltd. |
Machinery | 500 | 396 | |||||||||||
Guangzhou Automobile Group Co. Ltd., A |
Automobiles | 1,200 | 2,042 | |||||||||||
Guangzhou Automobile Group Co. Ltd., H |
Automobiles | 18,000 | 12,841 | |||||||||||
Guangzhou Baiyunshan Pharmaceutical Holdings Co. Ltd., A |
Pharmaceuticals | 400 | 1,457 | |||||||||||
Guangzhou Baiyunshan Pharmceutical Holdings Co. Ltd. |
Pharmaceuticals | 1,200 | 2,593 | |||||||||||
Guangzhou Haige Communications Group Inc. Co. |
Communications Equipment | 800 | 872 | |||||||||||
Guangzhou Kingmed Diagnostics Group Co. Ltd. |
Health Care Providers & Services | 200 | 1,778 | |||||||||||
Guangzhou Shiyuan Electronic Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 100 | 837 | |||||||||||
Guangzhou TInc.i Materials Technology Co. Ltd. |
Chemicals | 820 | 5,068 | |||||||||||
Guangzhou Yuexiu Financial Holdings Group Co. Ltd., A |
Capital Markets | 1,080 | 860 |
franklintempleton.com |
Semiannual Report |
125 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Guangzhou Zhujiang Brewery Co. Ltd. |
Beverages | 400 | $ | 425 | ||||||||||
Guizhou Panjiang Refined Coal Co. Ltd., A |
Oil, Gas & Consumable Fuels | 800 | 952 | |||||||||||
Guizhou Xinbang Pharmaceutical Co. Ltd. |
Pharmaceuticals | 400 | 272 | |||||||||||
Guolian Securities Co. Ltd., A |
Capital Markets | 800 | 981 | |||||||||||
Guosen Securities Co. Ltd. |
Capital Markets | 1,800 | 2,171 | |||||||||||
a |
Guosheng Financial Holding Inc. |
Electrical Equipment | 400 | 428 | ||||||||||
b |
Guotai Junan Securities Co. Ltd., 144A |
Capital Markets | 4,000 | 4,250 | ||||||||||
Guotai Junan Securities Co. Ltd., A |
Capital Markets | 2,800 | 5,369 | |||||||||||
Guoxuan High-Tech Co. Ltd. |
Electrical Equipment | 800 | 3,426 | |||||||||||
Guoyuan Securities Co. Ltd. |
Capital Markets | 2,120 | 1,903 | |||||||||||
a,b,c |
Haidilao International Holding Ltd., 144A, Reg S |
Hotels, Restaurants & Leisure | 6,200 | 12,163 | ||||||||||
Haier Smart Home Co. Ltd., A |
Household Durables | 2,400 | 8,339 | |||||||||||
Haier Smart Home Co. Ltd., H |
Household Durables | 13,200 | 40,441 | |||||||||||
Haisco Pharmaceutical Group Co. Ltd. |
Pharmaceuticals | 400 | 1,075 | |||||||||||
Haitian International Holdings Ltd. |
Machinery | 3,000 | 5,702 | |||||||||||
Haitong Securities Co. Ltd., A |
Capital Markets | 3,600 | 4,373 | |||||||||||
Haitong Securities Co. Ltd., H |
Capital Markets | 19,200 | 10,175 | |||||||||||
a |
Hang Zhou Great Star Industrial Co. Ltd. |
Household Durables | 400 | 1,066 | ||||||||||
Hangzhou Binjiang Real Estate Group Co. Ltd. |
Real Estate Management & Development | 800 | 1,175 | |||||||||||
Hangzhou Chang Chuan Technology Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 400 | 3,199 | |||||||||||
Hangzhou First Applied Material Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 324 | 2,418 | |||||||||||
Hangzhou Lion Electronics Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 400 | 2,555 | |||||||||||
Hangzhou Oxygen Plant Group Co. Ltd. |
Machinery | 400 | 1,924 | |||||||||||
Hangzhou Robam Appliances Co. Ltd., A |
Household Durables | 400 | 1,287 | |||||||||||
Hangzhou Shunwang Technology Co. Ltd. |
Entertainment | 400 | 555 | |||||||||||
Hangzhou Silan Microelectronics Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 600 | 2,697 | |||||||||||
Hangzhou Tigermed Consulting Co. Ltd. |
Life Sciences Tools & Services | 300 | 3,837 | |||||||||||
b,c |
Hangzhou Tigermed Consulting Co. Ltd., A, 144A, Reg S |
Life Sciences Tools & Services | 700 | 5,676 | ||||||||||
Han’s Laser Technology Industry Group Co. Ltd., A |
Machinery | 400 | 1,462 | |||||||||||
b |
Hansoh Pharmaceutical Group Co. Ltd., 144A |
Pharmaceuticals | 6,000 | 9,493 | ||||||||||
Haohua Chemical Science & Technology Co. Ltd., A |
Chemicals | 400 | 2,183 | |||||||||||
Hefei Meiya Optoelectronic Technology Inc. |
Machinery | 120 | 385 | |||||||||||
Heilongjiang Agriculture Co. Ltd., A |
Food Products | 800 | 1,494 | |||||||||||
Henan Shuanghui Investment & Development Co. Ltd. |
Food Products | 1,300 | 4,460 | |||||||||||
Hengan International Group Co. Ltd. |
Personal Products | 4,000 | 17,886 | |||||||||||
Hengdian Group DMEGC Magnetics Co. Ltd. |
Electronic Equipment, Instruments & Components | 800 | 2,221 | |||||||||||
Hengli Petrochemical Co. Ltd., A |
Chemicals | 1,360 | 3,228 | |||||||||||
a |
HengTen Networks Group Ltd. |
Internet & Catalog Retail | 16,000 | 3,424 | ||||||||||
Hengtong Optic-electric Co. Ltd. |
Communications Equipment | 800 | 2,042 | |||||||||||
Hengyi Petrochemical Co. Ltd., A |
Chemicals | 1,200 | 1,298 | |||||||||||
Hesteel Co. Ltd. |
Metals & Mining | 5,200 | 1,641 | |||||||||||
Hithink RoyalFlush Information Network Co. Ltd., A |
Capital Markets | 200 | 2,174 | |||||||||||
a |
Holitech Technology Co. Ltd. |
Electronic Equipment, Instruments & Components | 800 | 292 | ||||||||||
Hongfa Technology Co. Ltd., A |
Electrical Equipment | 560 | 2,736 | |||||||||||
Hopson Development Holdings Ltd. |
Real Estate Management & Development | 4,257 | 4,458 | |||||||||||
Hoshine Silicon Industry Co. Ltd., A |
Chemicals | 200 | 3,073 | |||||||||||
a,b,c |
Hua Hong Semiconductor Ltd., 144A |
Semiconductors & Semiconductor Equipment | 2,000 | 4,576 | ||||||||||
Huadian Power International Corp. Ltd., A |
Independent Power Producers & Energy Traders | 2,000 | 1,669 | |||||||||||
Huadian Power International Corp. Ltd., H |
Independent Power Producers & Energy Traders | 10,000 | 3,656 | |||||||||||
Huadong Medicine Co. Ltd., A |
Health Care Providers & Services | 800 | 4,502 | |||||||||||
Huafa Industrial Co. Ltd. Zhuhai, A |
Real Estate Management & Development | 800 | 1,105 | |||||||||||
Huafon Chemical Co. Ltd. |
Chemicals | 1,600 | 1,466 | |||||||||||
Huagong Tech Co. Ltd. |
Electronic Equipment, Instruments & Components | 400 | 1,037 |
126 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Huaibei Mining Holdings Co. Ltd., A |
Metals & Mining | 800 | $ | 1,891 | ||||||||||
Hualan Biological Engineering Inc. |
Biotechnology | 800 | 2,038 | |||||||||||
a |
Huaneng Power International Inc., A |
Independent Power Producers & Energy Traders | 3,200 | 3,407 | ||||||||||
a |
Huaneng Power International Inc., H |
Independent Power Producers & Energy Traders | 24,000 | 10,456 | ||||||||||
Huapont Life Sciences Co. Ltd. |
Chemicals | 1,200 | 895 | |||||||||||
b |
Huatai Securities Co. Ltd., 144A |
Capital Markets | 9,200 | 10,126 | ||||||||||
Huatai Securities Co. Ltd., A |
Capital Markets | 3,000 | 5,100 | |||||||||||
Huaxi Securities Co. Ltd. |
Capital Markets | 800 | 823 | |||||||||||
Huaxia Bank Co. Ltd., A |
Banks | 5,600 | 3,951 | |||||||||||
Huaxin Cement Co. Ltd., H |
Construction Materials | 1,500 | 1,546 | |||||||||||
Huaxin Cement Co. Ltd., A |
Construction Materials | 400 | 940 | |||||||||||
Huayu Automotive Systems Co. Ltd. |
Auto Components | 1,200 | 2,781 | |||||||||||
Hubei Biocause Pharmaceutical Co. Ltd. |
Insurance | 800 | 340 | |||||||||||
Hubei Energy Group Co. Ltd. |
Independent Power Producers & Energy Traders | 2,400 | 1,478 | |||||||||||
Hubei Xingfa Chemicals Group Co. Ltd., A |
Chemicals | 400 | 1,878 | |||||||||||
Hubei Xinyangfeng Fertilizer Co. Ltd. |
Chemicals | 400 | 728 | |||||||||||
Huizhou Desay Sv Automotive Co. Ltd. |
Household Durables | 200 | 3,870 | |||||||||||
Humanwell Healthcare Group Co. Ltd., A |
Pharmaceuticals | 800 | 1,967 | |||||||||||
Hunan Gold Corp. Ltd. |
Metals & Mining | 400 | 674 | |||||||||||
Hunan Valin Steel Co. Ltd., A |
Metals & Mining | 2,800 | 1,602 | |||||||||||
Hundsun Technologies Inc., A |
Software | 676 | 3,214 | |||||||||||
Huolinhe Opencut Coal Industry Corp. Ltd. of Inner Mongolia |
Oil, Gas & Consumable Fuels | 400 | 733 | |||||||||||
a |
HUTCHMED China Ltd. |
Pharmaceuticals | 3,000 | 5,052 | ||||||||||
a,b |
Hygeia Healthcare Holdings Co. Ltd., 144A |
Health Care Providers & Services | 2,000 | 11,300 | ||||||||||
a |
Hytera Communications Corp. Ltd., A |
Communications Equipment | 400 | 251 | ||||||||||
Iflytek Co. Ltd. |
Software | 900 | 4,143 | |||||||||||
Imeik Technology Development Co. Ltd., A |
Biotechnology | 100 | 6,878 | |||||||||||
Industrial and Commercial Bank of China Ltd. |
Banks | 30,400 | 18,549 | |||||||||||
Industrial and Commercial Bank of China Ltd., H |
Banks | 444,000 | 208,145 | |||||||||||
Industrial Bank Co. Ltd., A |
Banks | 8,400 | 19,618 | |||||||||||
a |
Industrial Securities Co. Ltd., A |
Capital Markets | 3,640 | 2,783 | ||||||||||
Ingenic Semiconductor Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 200 | 2,075 | |||||||||||
Inmyshow Digital Technology Group Co. Ltd. |
Media | 800 | 667 | |||||||||||
Inner Mongolia BaoTou Steel Union Co. Ltd., A |
Metals & Mining | 15,200 | 3,923 | |||||||||||
Inner Mongolia ERDOS Resources Co. Ltd., B |
Metals & Mining | 2,400 | 4,543 | |||||||||||
Inner Mongolia Junzheng Energy & Chemical Industry Group Co. Ltd., A |
Chemicals | 3,200 | 1,764 | |||||||||||
Inner Mongolia Yili Industrial Group Co. Ltd., A |
Food Products | 2,500 | 11,565 | |||||||||||
Inner Mongolia Yitai Coal Co. Ltd., B |
Oil, Gas & Consumable Fuels | 5,600 | 8,439 | |||||||||||
a,b |
Innovent Biologics Inc., B, 144A |
Biotechnology | 7,500 | 23,360 | ||||||||||
Inspur Electronic Information Industry Co. Ltd. |
Technology Hardware, Storage & Peripherals | 400 | 1,108 | |||||||||||
Intco Medical Technology Co. Ltd. |
Health Care Equipment & Supplies | 180 | 503 | |||||||||||
a |
Iqiyi Inc., ADR |
Entertainment | 1,830 | 4,959 | ||||||||||
JA Solar Technology Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 840 | 7,546 | |||||||||||
Jafron Biomedical Co. Ltd., A |
Health Care Equipment & Supplies | 400 | 2,720 | |||||||||||
Jason Furniture Hangzhou Co. Ltd., A |
Household Durables | 460 | 2,577 | |||||||||||
a,b |
JD Health International Inc., 144A |
Internet & Catalog Retail | 4,200 | 24,130 | ||||||||||
a,b |
JD Logistics Inc., 144A |
Air Freight & Logistics | 9,200 | 16,173 | ||||||||||
JD.com Inc., A |
Internet & Catalog Retail | 13,400 | 339,016 | |||||||||||
a |
Jiajiayue Group Co. Ltd., A |
Food & Staples Retailing | 400 | 605 | ||||||||||
Jiangling Motors Corp. Ltd., A |
Automobiles | 400 | 816 | |||||||||||
Jiangsu Changjiang Electronics Technology Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 800 | 2,405 | |||||||||||
Jiangsu Eastern Shenghong Co. Ltd. |
Chemicals | 1,600 | 3,910 | |||||||||||
Jiangsu Expressway Co. Ltd., A |
Transportation Infrastructure | 400 | 403 | |||||||||||
Jiangsu Expressway Co. Ltd., H |
Transportation Infrastructure | 8,000 | 6,003 | |||||||||||
Jiangsu Hengli Hydraulic Co. Ltd., A |
Machinery | 496 | 3,150 |
franklintempleton.com |
Semiannual Report |
127 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Jiangsu Hengrui Medicine Co. Ltd., A |
Pharmaceuticals | 2,632 | $ | 12,959 | ||||||||||
Jiangsu King’s Luck Brewery JSC Ltd. |
Beverages | 500 | 3,218 | |||||||||||
Jiangsu Linyang Energy Co. Ltd., A |
Electrical Equipment | 800 | 753 | |||||||||||
Jiangsu Yanghe Brewery JST Co. Ltd., A |
Beverages | 600 | 13,310 | |||||||||||
Jiangsu Yangnong Chemical Co. Ltd., A |
Chemicals | 100 | 1,403 | |||||||||||
Jiangsu Yuyue Medical Equipment & Supply Co. Ltd. |
Health Care Equipment & Supplies | 400 | 1,616 | |||||||||||
Jiangsu Zhangjiagang Rural Commercial Bank Co. Ltd. |
Banks | 480 | 313 | |||||||||||
a |
Jiangsu Zhongnan Construction Group Co. Ltd. |
Real Estate Management & Development | 2,000 | 651 | ||||||||||
Jiangsu Zhongtian Technology Co. Ltd., A |
Electrical Equipment | 1,200 | 3,782 | |||||||||||
Jiangxi Copper Co. Ltd., A |
Metals & Mining | 800 | 1,710 | |||||||||||
Jiangxi Copper Co. Ltd., H |
Metals & Mining | 7,000 | 8,097 | |||||||||||
a |
Jiangxi Special Electric Motor Co. Ltd., A |
Electrical Equipment | 800 | 2,203 | ||||||||||
a |
Jiangxi Zhengbang Technology Co. Ltd., A |
Food Products | 800 | 502 | ||||||||||
Jilin Aodong Pharmaceutical Group Co. Ltd. |
Pharmaceuticals | 400 | 751 | |||||||||||
a |
Jinke Properties Group Co. Ltd. |
Real Estate Management & Development | 2,800 | 821 | ||||||||||
Jinke Smart Services Group Co. Ltd., H |
Real Estate Management & Development | 1,600 | 2,426 | |||||||||||
b,c |
Jinxin Fertility Group Ltd., 144A, Reg S |
Health Care Providers & Services | 8,500 | 4,169 | ||||||||||
JiuGui Liquor Co. Ltd., A |
Beverages | 100 | 1,762 | |||||||||||
b |
Jiumaojiu International Holdings Ltd., 144A |
Hotels, Restaurants & Leisure | 4,000 | 6,563 | ||||||||||
Jizhong Energy Resources Co. Ltd., A |
Oil, Gas & Consumable Fuels | 1,200 | 1,220 | |||||||||||
JoInc.are Pharmaceutical Group Industry Co. Ltd., A |
Pharmaceuticals | 800 | 1,181 | |||||||||||
Joinn Laboratories China Co. Ltd., A |
Life Sciences Tools & Services | 140 | 1,110 | |||||||||||
b |
Joinn Laboratories China Co. Ltd., H, 144A |
Life Sciences Tools & Services | 560 | 2,137 | ||||||||||
a |
Jointo Energy Investment Co. Ltd. |
Independent Power Producers & Energy Traders | 400 | 247 | ||||||||||
Jointown Pharmaceutical Group Co. Ltd., A |
Health Care Providers & Services | 800 | 1,284 | |||||||||||
Jonjee Hi-Tech Industrial And Commercial Holding Co. Ltd., A |
Food Products | 400 | 1,789 | |||||||||||
Joyoung Co. Ltd. |
Household Durables | 400 | 829 | |||||||||||
JOYY Inc., ADR |
Interactive Media & Services | 260 | 6,760 | |||||||||||
Juewei Food Co. Ltd., A |
Food Products | 100 | 703 | |||||||||||
a |
Juneyao Airlines Co. Ltd., A |
Airlines | 400 | 849 | ||||||||||
a |
Kaishan Group Co. Ltd., A |
Machinery | 400 | 1,043 | ||||||||||
a |
Kanzhun Ltd., ADR |
Interactive Media & Services | 768 | 12,964 | ||||||||||
a |
KE Holdings Inc., ADR |
Real Estate Management & Development | 3,432 | 60,129 | ||||||||||
Keda Industrial Group Co. Ltd. |
Machinery | 800 | 1,878 | |||||||||||
Kerry Logistics Network Ltd. |
Air Freight & Logistics | 1,500 | 2,412 | |||||||||||
Kingboard Holdings Ltd. |
Electronic Equipment, Instruments & Components | 4,000 | 11,312 | |||||||||||
a |
Kingdee International Software Group Co. Ltd. |
Software | 14,000 | 18,334 | ||||||||||
Kingfa Sci & Tech Co. Ltd., A |
Chemicals | 1,200 | 1,579 | |||||||||||
a |
Kingsoft Cloud Holdings Ltd., ADR |
IT Services | 561 | 1,116 | ||||||||||
Kingsoft Corp. Ltd. |
Software | 5,000 | 13,312 | |||||||||||
a,b |
Kuaishou Technology, B, 144A |
Interactive Media & Services | 11,000 | 71,396 | ||||||||||
a |
Kuang-Chi Technologies Co. Ltd. |
Auto Components | 800 | 1,666 | ||||||||||
Kunlun Tech Co. Ltd. |
Entertainment | 400 | 695 | |||||||||||
Kweichow Moutai Co. Ltd., A |
Beverages | 500 | 131,327 | |||||||||||
a |
KWG Group Holdings Ltd. |
Real Estate Management & Development | 8,000 | 989 | ||||||||||
a |
Lakala Payment Co. Ltd., A |
IT Services | 400 | 768 | ||||||||||
Lao Feng Xiang Co. Ltd., B |
Textiles, Apparel & Luxury Goods | 1,200 | 3,468 | |||||||||||
Laobaixing Pharmacy Chain JSC |
Food & Staples Retailing | 130 | 585 | |||||||||||
Lee & Man Paper Manufacturing Ltd. |
Paper & Forest Products | 8,000 | 2,568 | |||||||||||
b |
Legend Holdings Corp., 144A |
Technology Hardware, Storage & Peripherals | 3,000 | 2,606 | ||||||||||
Lenovo Group Ltd. |
Technology Hardware, Storage & Peripherals | 44,000 | 30,604 | |||||||||||
Lens Technology Co. Ltd. |
Electronic Equipment, Instruments & Components | 2,000 | 2,589 | |||||||||||
a |
Leo Group Co. Ltd. |
Media | 2,400 | 589 |
128 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Lepu Medical Technology Beijing Co. Ltd. |
Health Care Equipment & Supplies | 800 | $ | 2,371 | ||||||||||
Levima Advanced Materials Corp., A |
Chemicals | 400 | 2,243 | |||||||||||
Leyard Optoelectronic Co. Ltd. |
Electronic Equipment, Instruments & Components | 800 | 618 | |||||||||||
a |
Li Auto Inc., ADR |
Automobiles | 2,944 | 67,741 | ||||||||||
Li Ning Co. Ltd. |
Textiles, Apparel & Luxury Goods | 12,500 | 95,702 | |||||||||||
LianChuang Electronic Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 400 | 769 | |||||||||||
Lianhe Chemical Technology Co. Ltd. |
Chemicals | 400 | 1,004 | |||||||||||
Liaoning Port Co. Ltd., A |
Transportation Infrastructure | 7,600 | 1,706 | |||||||||||
Liuzhou Iron & Steel Co. Ltd., A |
Metals & Mining | 400 | 190 | |||||||||||
Livzon Pharmaceutical Group Inc. |
Pharmaceuticals | 400 | 1,689 | |||||||||||
Livzon Pharmaceutical Group Inc., H |
Pharmaceuticals | 900 | 2,256 | |||||||||||
Lomon Billions Group Co. Ltd. |
Chemicals | 1,000 | 2,209 | |||||||||||
b,c |
Longfor Group Holdings Ltd., 144A, Reg S |
Real Estate Management & Development | 10,660 | 30,622 | ||||||||||
LONGi Green Energy Technology Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 3,052 | 20,510 | |||||||||||
Longshine Technology Group Co. Ltd., A |
Software | 400 | 1,203 | |||||||||||
Luenmei Quantum Co. Ltd., A |
Water Utilities | 800 | 794 | |||||||||||
Lufax Holding Ltd., ADR |
Consumer Finance | 3,908 | 9,926 | |||||||||||
Luolai Lifestyle Technology Co. Ltd., A |
Textiles, Apparel & Luxury Goods | 400 | 573 | |||||||||||
Luxi Chemical Group Co. Ltd., A |
Chemicals | 800 | 1,454 | |||||||||||
Luxshare Precision Industry Co. Ltd., A |
Electronic Equipment, Instruments & Components | 2,800 | 11,547 | |||||||||||
a,b |
Luye Pharma Group Ltd., 144A |
Pharmaceuticals | 10,500 | 2,916 | ||||||||||
Luzhou Laojiao Co. Ltd., A |
Beverages | 600 | 19,413 | |||||||||||
Maanshan Iron & Steel Co. Ltd., A |
Metals & Mining | 2,000 | 755 | |||||||||||
Maanshan Iron & Steel Co. Ltd., H |
Metals & Mining | 4,000 | 831 | |||||||||||
Mango Excellent Media Co. Ltd. |
Entertainment | 840 | 2,937 | |||||||||||
Maxscend Microelectronics Co. Ltd., A |
Electronic Equipment, Instruments & Components | 160 | 1,984 | |||||||||||
a |
Meinian Onehealth Healthcare Holdings Co. Ltd. |
Health Care Providers & Services | 1,720 | 1,030 | ||||||||||
a,b |
Meituan Dianping, B, 144A |
Internet & Catalog Retail | 23,200 | 489,423 | ||||||||||
Metallurgical Corp. of China Ltd. |
Construction & Engineering | 17,000 | 2,772 | |||||||||||
Metallurgical Corp. of China Ltd., A |
Construction & Engineering | 6,400 | 2,684 | |||||||||||
a |
Microport Scientific Corp. |
Health Care Equipment & Supplies | 2,900 | 4,995 | ||||||||||
Ming Yang Smart Energy Group Ltd. |
Electrical Equipment | 800 | 2,708 | |||||||||||
Ming Yuan Cloud Group Holdings Ltd. |
Software | 3,000 | 1,777 | |||||||||||
MINISO Group Holding Ltd., ADR |
Multiline Retail | 416 | 2,284 | |||||||||||
Minth Group Ltd. |
Auto Components | 4,000 | 8,856 | |||||||||||
a |
MMG Ltd. |
Metals & Mining | 16,000 | 3,832 | ||||||||||
Montage Technology Co. Ltd. |
Semiconductors & Semiconductor Equipment | 339 | 2,488 | |||||||||||
a |
Montnets Rongxin Technology Group Co. Ltd. |
Software | 400 | 549 | ||||||||||
Muyuan Foods Co. Ltd. |
Food Products | 2,096 | 16,029 | |||||||||||
NanJi E-Commerce Co. Ltd. |
Media | 800 | 499 | |||||||||||
Nanjing Hanrui Cobalt Co. Ltd., A |
Metals & Mining | 100 | 615 | |||||||||||
Nanjing Iron & Steel Co. Ltd., A |
Metals & Mining | 2,800 | 1,072 | |||||||||||
Nanjing King-Friend Biochemical Pharmaceutical Co. Ltd. |
Pharmaceuticals | 520 | 1,214 | |||||||||||
Nanjing Securities Co. Ltd., A |
Capital Markets | 1,200 | 1,284 | |||||||||||
Nanyang Topsec Technologies Group Inc., A |
Electrical Equipment | 400 | 516 | |||||||||||
Nari Technology Development Co. Ltd., A |
Electrical Equipment | 2,880 | 10,047 | |||||||||||
a |
National Silicon Industry Group Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 712 | 1,783 | ||||||||||
NAURA Technology Group Co. Ltd., A |
Electronic Equipment, Instruments & Components | 200 | 7,810 | |||||||||||
NavInfo Co. Ltd. |
Household Durables | 800 | 1,295 | |||||||||||
NetEase Inc. |
Entertainment | 10,400 | 156,996 | |||||||||||
New China Life Insurance Co. Ltd., A |
Insurance | 800 | 3,023 | |||||||||||
New China Life Insurance Co. Ltd., H |
Insurance | 5,200 | 9,923 | |||||||||||
a |
New Hope Liuhe Co. Ltd. |
Food Products | 1,600 | 3,120 | ||||||||||
a |
New Oriental Education & Technology Group Inc., Sponsored ADR |
Diversified Consumer Services | 751 | 18,001 | ||||||||||
Newland Digital Technology Co. Ltd. |
Software | 400 | 679 |
franklintempleton.com |
Semiannual Report |
129 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Nexteer Automotive Group Ltd. |
Auto Components | 5,000 | $ | 2,713 | ||||||||||
Nine Dragons Paper Holdings Ltd. |
Paper & Forest Products | 9,000 | 5,595 | |||||||||||
Ninestar Corp. |
Technology Hardware, Storage & Peripherals | 800 | 4,842 | |||||||||||
Ningbo Deye Technology Co. Ltd., A |
Machinery | 140 | 8,252 | |||||||||||
a |
Ningbo Joyson Electronic Corp. |
Auto Components | 500 | 927 | ||||||||||
Ningbo Orient Wires & Cables Co. Ltd., A |
Electrical Equipment | 300 | 2,934 | |||||||||||
Ningbo Ronbay New Energy Technology Co. Ltd. |
Electrical Equipment | 200 | 2,361 | |||||||||||
Ningbo Sanxing Medical Electric Co. Ltd., A |
Electrical Equipment | 400 | 642 | |||||||||||
Ningbo Shanshan Co. Ltd., A |
Chemicals | 800 | 2,340 | |||||||||||
Ningbo Tuopu Group Co. Ltd., A |
Auto Components | 400 | 4,141 | |||||||||||
Ningbo Zhoushan Port Co. Ltd., A |
Transportation Infrastructure | 3,600 | 1,833 | |||||||||||
Ningxia Baofeng Energy Group Co. Ltd., A |
Chemicals | 1,200 | 2,242 | |||||||||||
a |
NIO Inc., ADR |
Automobiles | 7,408 | 116,824 | ||||||||||
b |
Nongfu Spring Co. Ltd., H, 144A |
Beverages | 9,600 | 55,705 | ||||||||||
North Huajin Chemical Industries Co. Ltd. |
Chemicals | 400 | 399 | |||||||||||
North Industries Group Red Arrow Co. Ltd., A |
Machinery | 400 | 1,254 | |||||||||||
Northeast Securities Co. Ltd. |
Capital Markets | 800 | 724 | |||||||||||
NSFOCUS Information Technology Co. Ltd. |
Software | 400 | 457 | |||||||||||
a |
Oceanwide Holdings Co. Ltd. |
Diversified Financial Services | 800 | 134 | ||||||||||
a |
Offcn Education Technology Co. Ltd., A |
Diversified Consumer Services | 800 | 454 | ||||||||||
Offshore Oil Engineering Co. Ltd., A |
Energy Equipment & Services | 2,000 | 1,248 | |||||||||||
a |
OFILM Group Co. Ltd. |
Electronic Equipment, Instruments & Components | 1,600 | 1,183 | ||||||||||
Oppein Home Group Inc., A |
Household Durables | 100 | 1,594 | |||||||||||
ORG Technology Co. Ltd. |
Containers & Packaging | 800 | 520 | |||||||||||
b |
Orient Securities Co. Ltd. of China, 144A |
Capital Markets | 4,000 | 1,569 | ||||||||||
Oriental Energy Co. Ltd., A |
Oil, Gas & Consumable Fuels | 800 | 855 | |||||||||||
a |
Ourpalm Co. Ltd. |
Entertainment | 1,600 | 626 | ||||||||||
Ovctek China Inc., A |
Health Care Equipment & Supplies | 400 | 2,317 | |||||||||||
a |
Pangang Group Vanadium Titanium & Resources Co. Ltd., A |
Metals & Mining | 2,800 | 1,815 | ||||||||||
People.cn Co. Ltd. |
Media | 400 | 579 | |||||||||||
Perfect World Co. Ltd. |
Entertainment | 400 | 697 | |||||||||||
PetroChina Co. Ltd. |
Oil, Gas & Consumable Fuels | 10,000 | 7,196 | |||||||||||
PetroChina Co. Ltd., H |
Oil, Gas & Consumable Fuels | 120,000 | 49,224 | |||||||||||
Pharmaron Beijing Co. Ltd., A |
Life Sciences Tools & Services | 150 | 1,137 | |||||||||||
b,c |
Pharmaron Beijing Co. Ltd., H, 144A, Reg S |
Life Sciences Tools & Services | 1,100 | 5,346 | ||||||||||
PICC Property and Casualty Co. Ltd., H |
Insurance | 38,000 | 39,404 | |||||||||||
a |
Pinduoduo Inc., ADR |
Internet & Direct Marketing Retail | 2,112 | 132,169 | ||||||||||
Ping An Bank Co. Ltd., A |
Banks | 7,600 | 12,622 | |||||||||||
a,b,c |
Ping An Healthcare and Technology Co. Ltd., 144A, Reg S |
Health Care Technology | 2,200 | 4,148 | ||||||||||
Ping An Insurance Group Co. of China Ltd., A |
Insurance | 4,400 | 25,663 | |||||||||||
Ping An Insurance Group Co. of China Ltd., H |
Insurance | 34,000 | 169,786 | |||||||||||
Pingdingshan Tianan Coal Mining Co. Ltd., A |
Oil, Gas & Consumable Fuels | 900 | 1,722 | |||||||||||
Poly Developments and Holdings Group Co. Ltd., A |
Real Estate Management & Development | 4,800 | 12,119 | |||||||||||
Poly Property Services Co. Ltd., H |
Real Estate Management & Development | 800 | 4,245 | |||||||||||
b |
Pop Mart International Group Ltd., 144A |
Specialty Retail | 4,000 | 7,358 | ||||||||||
b |
Postal Savings Bank of China Co. Ltd., 144A |
Banks | 54,000 | 31,850 | ||||||||||
Postal Savings Bank of China Co. Ltd. |
Banks | 8,400 | 5,255 | |||||||||||
Power Construction Corp. of China Ltd. |
Construction & Engineering | 4,400 | 4,302 | |||||||||||
Qingdao Port International Co. Ltd., A |
Transportation Infrastructure | 400 | 307 | |||||||||||
Qingdao TGOOD Electric Co. Ltd. |
Electrical Equipment | 400 | 816 | |||||||||||
a |
Qinghai Salt Lake Industry Co. Ltd., A |
Chemicals | 2,000 | 6,699 | ||||||||||
Qinhuangdao Port Co. Ltd., A |
Transportation Infrastructure | 800 | 298 | |||||||||||
Raytron Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 126 | 672 | |||||||||||
b |
Red Star Macalline Group Corp. Ltd., 144A |
Real Estate Management & Development | 4,000 | 1,096 | ||||||||||
Red Star Macalline Group Corp. Ltd., A |
Real Estate Management & Development | 420 | 256 |
130 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
a,b |
Remegen Co. Ltd., H, 144A |
Biotechnology | 1,000 | $ | 4,847 | |||||||||
a |
RiseSun Real Estate Development Co. Ltd. |
Real Estate Management & Development | 1,200 | 396 | ||||||||||
a |
RLX Technology Inc., ADR |
Tobacco | 4,056 | 4,259 | ||||||||||
Rongsheng Petro Chemical Co. Ltd. |
Chemicals | 1,350 | 2,619 | |||||||||||
SAIC Motor Corp. Ltd. |
Automobiles | 4,000 | 8,023 | |||||||||||
Sailun Group Co. Ltd., A |
Auto Components | 1,200 | 1,703 | |||||||||||
Sangfor Technologies Inc. |
Software | 100 | 1,403 | |||||||||||
Sansteel Minguang Co. Ltd. |
Metals & Mining | 800 | 549 | |||||||||||
Sany Heavy Industry Co. Ltd., A |
Machinery | 3,200 | 6,230 | |||||||||||
SDIC Power Holdings Co. Ltd., A |
Independent Power Producers & Energy Traders | 2,800 | 4,218 | |||||||||||
Sealand Securities Co. Ltd. |
Capital Markets | 1,380 | 625 | |||||||||||
a |
Seazen Group Ltd. |
Real Estate Management & Development | 12,000 | 2,813 | ||||||||||
a |
Seazen Holdings Co. Ltd., A |
Real Estate Management & Development | 900 | 2,207 | ||||||||||
SF Holding Co. Ltd. |
Air Freight & Logistics | 2,000 | 13,247 | |||||||||||
SG Micro Corp., A |
Semiconductors & Semiconductor Equipment | 150 | 2,964 | |||||||||||
Shaanxi Coal Industry Co. Ltd. |
Oil, Gas & Consumable Fuels | 4,000 | 12,776 | |||||||||||
Shaanxi International Trust Co. Ltd. |
Capital Markets | 800 | 324 | |||||||||||
a |
Shandong Chenming Paper Holdings Ltd., A |
Paper & Forest Products | 800 | 525 | ||||||||||
a |
Shandong Chenming Paper Holdings Ltd., B |
Paper & Forest Products | 4,000 | 1,187 | ||||||||||
a |
Shandong Chenming Paper Holdings Ltd., H |
Paper & Forest Products | 3,000 | 829 | ||||||||||
Shandong Denghai Seeds Co. Ltd. |
Food Products | 400 | 1,071 | |||||||||||
b |
Shandong Gold Mining Co. Ltd., 144A |
Metals & Mining | 4,000 | 6,359 | ||||||||||
Shandong Gold Mining Co. Ltd., A |
Metals & Mining | 1,600 | 3,845 | |||||||||||
Shandong Himile Mechanical Science & |
||||||||||||||
Technology Co. Ltd. |
Machinery | 400 | 1,296 | |||||||||||
Shandong Hi-speed Co. Ltd., A |
Transportation Infrastructure | 1,200 | 914 | |||||||||||
Shandong Hualu Hengsheng Chemical Co. Ltd., A |
Chemicals | 800 | 3,273 | |||||||||||
Shandong Humon Smelting Co. Ltd. |
Metals & Mining | 400 | 510 | |||||||||||
Shandong Linglong Tyre Co. Ltd., A |
Auto Components | 400 | 1,021 | |||||||||||
Shandong Nanshan Aluminum Co. Ltd., A |
Metals & Mining | 4,000 | 1,689 | |||||||||||
Shandong Pharmaceutical Glass Co. Ltd., A |
Health Care Equipment & Supplies | 400 | 1,625 | |||||||||||
Shandong Shida Shenghua Chemical Group Co. Ltd., A |
Chemicals | 100 | 1,356 | |||||||||||
Shandong Sun Paper Industry JSC Ltd., A |
Paper & Forest Products | 800 | 1,285 | |||||||||||
Shandong Weigao Group Medical Polymer Co. Ltd., H |
Health Care Equipment & Supplies | 13,400 | 18,026 | |||||||||||
Shanghai 2345 Network Holding Group Co. Ltd. |
Software | 1,200 | 323 | |||||||||||
Shanghai AJ Group Co. Ltd., A |
Diversified Financial Services | 400 | 298 | |||||||||||
Shanghai Bailian Group Co. Ltd., B |
Food & Staples Retailing | 1,600 | 1,072 | |||||||||||
Shanghai Bairun Investment Holding Group Co. Ltd. |
Beverages | 392 | 1,481 | |||||||||||
Shanghai Baosight Software Co. Ltd., A |
Software | 520 | 2,683 | |||||||||||
Shanghai Baosight Software Co. Ltd., B |
Software | 2,912 | 8,474 | |||||||||||
Shanghai Construction Group Co. Ltd., A |
Construction & Engineering | 2,800 | 994 | |||||||||||
Shanghai Dazhong Public Utilities Group Co. Ltd., A |
Gas Utilities | 800 | 334 | |||||||||||
a |
Shanghai Electric Group Co. Ltd., A |
Electrical Equipment | 3,200 | 1,737 | ||||||||||
a |
Shanghai Electric Group Co. Ltd., H |
Electrical Equipment | 16,000 | 3,180 | ||||||||||
a |
Shanghai Electric Power Co. Ltd., A |
Independent Power Producers & Energy Traders | 1,200 | 1,513 | ||||||||||
Shanghai Environment Group Co. Ltd., A |
Commercial Services & Supplies | 400 | 499 | |||||||||||
Shanghai Fosun Pharmaceutical Group Co. Ltd., A |
Pharmaceuticals | 800 | 3,317 | |||||||||||
Shanghai Fosun Pharmaceutical Group Co. Ltd., H |
Pharmaceuticals | 3,000 | 7,277 | |||||||||||
Shanghai Huayi Group Co. Ltd., B |
Chemicals | 800 | 471 | |||||||||||
a |
Shanghai International Airport Co. Ltd., A |
Transportation Infrastructure | 1,200 | 9,726 | ||||||||||
Shanghai International Port Group Co. Ltd., A |
Transportation Infrastructure | 4,000 | 3,120 |
franklintempleton.com |
Semiannual Report |
131 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Shanghai Jinjiang International Hotels Co. Ltd. |
Hotels, Restaurants & Leisure | 800 | $ | 1,486 | ||||||||||
Shanghai Jinjiang International Hotels Co. Ltd., A |
Hotels, Restaurants & Leisure | 400 | 3,235 | |||||||||||
Shanghai Jinqiao Export Processing Zone Development Co. Ltd., A |
Real Estate Management & Development | 400 | 597 | |||||||||||
Shanghai Jinqiao Export Processing Zone Development Co. Ltd., B |
Real Estate Management & Development | 1,200 | 1,068 | |||||||||||
a,b |
Shanghai Junshi Biosciences Co. Ltd., H, 144A |
Biotechnology | 1,000 | 3,178 | ||||||||||
Shanghai Lingang Holdings Corp. Ltd. |
Real Estate Management & Development | 520 | 862 | |||||||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd., A |
Real Estate Management & Development | 800 | 1,081 | |||||||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd., B |
Real Estate Management & Development | 6,000 | 4,698 | |||||||||||
Shanghai Mechanical and Electrical Industry Co. Ltd., B |
Machinery | 1,600 | 1,629 | |||||||||||
Shanghai Pharmaceuticals Holding Co. Ltd., A |
Health Care Providers & Services | 1,600 | 3,705 | |||||||||||
Shanghai Pharmaceuticals Holding Co. Ltd., H |
Health Care Providers & Services | 5,000 | 6,905 | |||||||||||
Shanghai Pudong Development Bank Co. Ltd., A |
Banks | 12,000 | 11,850 | |||||||||||
Shanghai Putailai New Energy Technology Co. Ltd., A |
Chemicals | 540 | 4,227 | |||||||||||
Shanghai RAAS Blood Products Co. Ltd., A |
Biotechnology | 2,000 | 1,495 | |||||||||||
Shanghai Shibei Hi-Tech Co. Ltd., B |
Real Estate Management & Development | 3,600 | 882 | |||||||||||
a |
Shanghai Shimao Co. Ltd., A |
Real Estate Management & Development | 1,600 | 530 | ||||||||||
Shanghai Tunnel Engineering Co. Ltd., A |
Construction & Engineering | 1,600 | 1,106 | |||||||||||
Shanghai Waigaoqiao Free Trade Zone Group Co. Ltd. |
Trading Companies & Distributors | 800 | 686 | |||||||||||
Shanghai Waigaoqiao Free Trade Zone Group Co. Ltd., A |
Trading Companies & Distributors | 400 | 654 | |||||||||||
Shanghai Yuyuan Tourist Mart Group Co. Ltd., A |
Specialty Retail | 1,600 | 1,497 | |||||||||||
Shanghai Zhangjiang High-Tech Park Development Co. Ltd., A |
Real Estate Management & Development | 800 | 1,166 | |||||||||||
Shanghai Zhenhua Port Machinery Co. Ltd., B |
Machinery | 4,400 | 1,065 | |||||||||||
a |
Shangri-La Asia Ltd. |
Hotels, Restaurants & Leisure | 6,000 | 4,166 | ||||||||||
Shanxi Lu’an Environmental Energy Development Co. Ltd., A |
Oil, Gas & Consumable Fuels | 1,200 | 2,841 | |||||||||||
Shanxi Meijin Energy Co. Ltd., A |
Metals & Mining | 1,600 | 2,157 | |||||||||||
Shanxi Securities Co. Ltd. |
Capital Markets | 920 | 653 | |||||||||||
Shanxi Taigang Stainless Steel Co. Ltd., A |
Metals & Mining | 2,400 | 1,505 | |||||||||||
Shanxi Xinghuacun Fen Wine Factory Co. Ltd., A |
Beverages | 500 | 21,243 | |||||||||||
Shanxi Xishan Coal & Electricity Power Co. Ltd. |
Oil, Gas & Consumable Fuels | 1,680 | 3,530 | |||||||||||
Shanying International Holding Co. Ltd., A |
Paper & Forest Products | 1,200 | 401 | |||||||||||
Shenghe Resources Holding Co. Ltd., A |
Metals & Mining | 800 | 1,699 | |||||||||||
Shengyi Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 800 | 1,470 | |||||||||||
Shennan Circuits Co. Ltd., A |
Electronic Equipment, Instruments & Components | 100 | 1,060 | |||||||||||
Shenwan Hongyuan Group Co. Ltd. |
Capital Markets | 8,400 | 4,548 | |||||||||||
b,c |
Shenwan Hongyuan Group Co. Ltd., 144A, Reg S |
Capital Markets | 9,600 | 1,565 | ||||||||||
Shenzhen Accord Pharmaceutical Co. Ltd., B |
Health Care Providers & Services | 400 | 824 | |||||||||||
Shenzhen Agricultural Products Group Co. Ltd. |
Food & Staples Retailing | 400 | 291 | |||||||||||
Shenzhen Airport Co. Ltd. |
Transportation Infrastructure | 800 | 754 | |||||||||||
Shenzhen Aisidi Co. Ltd. |
Electronic Equipment, Instruments & Components | 400 | 471 | |||||||||||
Shenzhen Capchem Technology Co. Ltd., A |
Chemicals | 360 | 2,115 | |||||||||||
Shenzhen Dynanonic Co. Ltd., A |
Chemicals | 100 | 3,953 | |||||||||||
Shenzhen Energy Group Co. Ltd. |
Independent Power Producers & Energy Traders | 2,080 | 1,637 | |||||||||||
a |
Shenzhen Everwin Precision Technology Co. Ltd. |
Electronic Equipment, Instruments & Components | 460 | 692 | ||||||||||
Shenzhen Expressway Co. Ltd., H |
Transportation Infrastructure | 4,000 | 2,925 | |||||||||||
Shenzhen Gas Corporation Ltd., A |
Gas Utilities | 1,200 | 1,145 | |||||||||||
b |
Shenzhen Hepalink Pharmaceutical Group Co. Ltd., 144A |
Pharmaceuticals | 500 | 330 |
132 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Shenzhen Huaqiang Industry Co. Ltd. |
Electronic Equipment, Instruments & Components | 400 | $ | 669 | ||||||||||
a |
Shenzhen Infogem Technologies Co. Ltd., A |
Software | 400 | 486 | ||||||||||
Shenzhen Inovance Technology Co. Ltd. |
Machinery | 1,200 | 9,680 | |||||||||||
Shenzhen International Holdings Ltd. |
Transportation Infrastructure | 8,000 | 6,115 | |||||||||||
Shenzhen Investment Ltd. |
Real Estate Management & Development | 16,000 | 2,426 | |||||||||||
Shenzhen Jinjia Group Co. Ltd. |
Containers & Packaging | 400 | 476 | |||||||||||
Shenzhen Kaifa Technology Co. Ltd. |
Technology Hardware, Storage & Peripherals | 400 | 589 | |||||||||||
Shenzhen Kangtai Biological Products Co. Ltd. |
Biotechnology | 480 | 2,041 | |||||||||||
Shenzhen Kedali Industry Co. Ltd., A |
Auto Components | 100 | 1,349 | |||||||||||
Shenzhen Kingdom Sci-Tech Co. Ltd., A |
Software | 400 | 552 | |||||||||||
Shenzhen Mindray Bio-Medical Electronics Co. Ltd., A |
Health Care Equipment & Supplies | 500 | 20,970 | |||||||||||
a |
Shenzhen MTC Co. Ltd. |
Household Durables | 2,400 | 1,097 | ||||||||||
Shenzhen Overseas Chinese Town Co. Ltd. |
Hotels, Restaurants & Leisure | 2,800 | 1,889 | |||||||||||
Shenzhen Salubris Pharmaceuticals Co. Ltd. |
Pharmaceuticals | 400 | 1,371 | |||||||||||
Shenzhen SC New Energy Technology Corp., A |
Semiconductors & Semiconductor Equipment | 100 | 1,616 | |||||||||||
Shenzhen Sunway Communication Co. Ltd. |
Communications Equipment | 400 | 794 | |||||||||||
Shenzhen Transsion Holdings Co. Ltd., A |
Technology Hardware, Storage & Peripherals | 246 | 2,007 | |||||||||||
Shenzhen Yan Tian Port Holding Co. Ltd., A |
Transportation Infrastructure | 800 | 572 | |||||||||||
Shenzhen YUTO Packaging Technology Co. Ltd. |
Containers & Packaging | 400 | 1,689 | |||||||||||
Shenzhen Zhongjin Lingnan Nonfemet Co. Ltd., A |
Metals & Mining | 1,200 | 693 | |||||||||||
Shenzhou International Group Holdings Ltd. |
Textiles, Apparel & Luxury Goods | 4,300 | 33,606 | |||||||||||
a |
Shijiazhuang Changshan BeiMing Technology Co. Ltd. |
Textiles, Apparel & Luxury Goods | 400 | 306 | ||||||||||
Shijiazhuang Yiling Pharmaceutical Co. Ltd. |
Pharmaceuticals | 820 | 2,497 | |||||||||||
a |
Shimao Group Holdings Ltd. |
Real Estate Management & Development | 8,500 | 2,006 | ||||||||||
a,b |
Shimao Services Holdings Ltd., Z, 144A |
Real Estate Management & Development | 4,000 | 851 | ||||||||||
Shui On Land Ltd. |
Real Estate Management & Development | 20,500 | 2,089 | |||||||||||
a |
Siasun Robot & Automation Co. Ltd. |
Machinery | 400 | 490 | ||||||||||
Sichuan Chuantou Energy Co Ltd., A |
Independent Power Producers & Energy Traders | 1,600 | 2,700 | |||||||||||
Sichuan Hebang Biotechnology Co. Ltd., A |
Chemicals | 4,000 | 1,807 | |||||||||||
Sichuan Kelun Pharmaceutical Co. Ltd. |
Pharmaceuticals | 400 | 1,237 | |||||||||||
a |
Sichuan New Energy Power Co. Ltd. |
Trading Companies & Distributors | 400 | 1,057 | ||||||||||
Sichuan Road & Bridge Co. Ltd., A |
Construction & Engineering | 2,000 | 2,867 | |||||||||||
Sichuan Swellfun Co. Ltd., A |
Beverages | 200 | 1,760 | |||||||||||
Sichuan Yahua Industrial Group Co. Ltd., A |
Chemicals | 400 | 1,426 | |||||||||||
Sieyuan Electric Co. Ltd. |
Electrical Equipment | 400 | 2,144 | |||||||||||
Silergy Corp. |
Semiconductors & Semiconductor Equipment | 1,840 | 24,399 | |||||||||||
Sinolink Securities Co. Ltd., A |
Capital Markets | 1,200 | 1,286 | |||||||||||
Sinoma International Engineering Co. |
Construction & Engineering | 800 | 921 | |||||||||||
Sinoma Science & Technology Co. Ltd. |
Chemicals | 800 | 2,235 | |||||||||||
Sino-Ocean Land Holdings Ltd. |
Real Estate Management & Development | 16,000 | 1,671 | |||||||||||
Sinopec Engineering Group Co. Ltd. |
Construction & Engineering | 8,500 | 3,411 | |||||||||||
a |
Sinopec Oilfield Service Corp. |
Energy Equipment & Services | 16,000 | 927 | ||||||||||
a |
Sinopec Oilfield Service Corp., A |
Energy Equipment & Services | 1,200 | 310 | ||||||||||
Sinopec Shangıhai Petrochemical Co. Ltd., A |
Chemicals | 1,600 | 669 | |||||||||||
Sinopec Shanghai Petrochemical Co. Ltd., H |
Chemicals | 20,000 | 2,624 | |||||||||||
Sinopharm Group Co. Ltd., H |
Health Care Providers & Services | 7,200 | 14,437 | |||||||||||
Sinotrans Ltd., A |
Air Freight & Logistics | 2,000 | 996 | |||||||||||
Sinotrans Ltd., H |
Air Freight & Logistics | 12,000 | 3,027 | |||||||||||
Sinotruk Hong Kong Ltd. |
Machinery | 4,000 | 3,348 | |||||||||||
SITC International Holdings Co. Ltd. |
Marine | 7,000 | 12,948 | |||||||||||
a |
Skshu Paint Co. Ltd., A |
Chemicals | 100 | 1,229 | ||||||||||
Skyworth Digital Co. Ltd., A |
Communications Equipment | 400 | 897 | |||||||||||
b |
Smoore International Holdings Ltd., 144A |
Tobacco | 10,000 | 11,962 | ||||||||||
Songcheng Performance Development Co. Ltd. |
Hotels, Restaurants & Leisure | 1,200 | 2,020 | |||||||||||
SooChow Securities Co. Ltd., A |
Capital Markets | 2,086 | 1,802 |
franklintempleton.com |
Semiannual Report |
133 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Southwest Securities Co. Ltd., A |
Capital Markets | 2,800 | $ | 1,441 | ||||||||||
StarPower Semiconductor Ltd., A |
Semiconductors & Semiconductor Equipment | 100 | 4,545 | |||||||||||
a |
STO Express Co. Ltd. |
Air Freight & Logistics | 400 | 715 | ||||||||||
Sun Art Retail Group Ltd. |
Food & Staples Retailing | 10,000 | 2,140 | |||||||||||
a |
Sunac China Holdings Ltd. |
Real Estate Management & Development | 18,000 | 2,440 | ||||||||||
b |
Sunac Services Holdings Ltd., 144A |
Real Estate Management & Development | 4,000 | 1,004 | ||||||||||
Sungrow Power Supply Co. Ltd. |
Electrical Equipment | 600 | 9,310 | |||||||||||
Suning Universal Co. Ltd. |
Real Estate Management & Development | 2,000 | 864 | |||||||||||
Sunny Optical Technology Group Co. Ltd. |
Electronic Equipment, Instruments & Components | 3,700 | 35,421 | |||||||||||
Sunwoda Electronic Co. Ltd., A |
Electrical Equipment | 800 | 2,612 | |||||||||||
Suofeiya Home Collection Co. Ltd. |
Household Durables | 400 | 942 | |||||||||||
Suzhou Anjie Technology Co. Ltd., A |
Electrical Equipment | 400 | 697 | |||||||||||
Suzhou Dongshan Precision Manufacturing Co. Ltd., A |
Electronic Equipment, Instruments & Components | 800 | 2,598 | |||||||||||
a |
Suzhou Gold Mantis Construction Decoration Co. Ltd. |
Construction & Engineering | 800 | 507 | ||||||||||
Suzhou Maxwell Technologies Co. Ltd. |
Electrical Equipment | 100 | 6,788 | |||||||||||
Suzhou TA&A Ultra Clean Technology Co. Ltd., A |
Chemicals | 200 | 1,859 | |||||||||||
Taiji Computer Corp. Ltd. |
IT Services | 400 | 946 | |||||||||||
a |
TAL Education Group, ADR |
Diversified Consumer Services | 2,504 | 12,370 | ||||||||||
Tangshan Jidong Cement Co. Ltd. |
Construction Materials | 1,200 | 1,407 | |||||||||||
TangShan Port Group Co. Ltd., A |
Transportation Infrastructure | 1,600 | 579 | |||||||||||
Tangshan Sanyou Chemical Industries Co. Ltd., A |
Chemicals | 800 | 688 | |||||||||||
TBEA Co. Ltd., A |
Electrical Equipment | 1,600 | 4,863 | |||||||||||
TCL Corp. |
Household Durables | 5,200 | 2,648 | |||||||||||
Tencent Holdings Ltd. |
Interactive Media & Services | 33,900 | 1,150,455 | |||||||||||
a |
Tencent Music Entertainment Group, ADR |
Entertainment | 3,352 | 13,609 | ||||||||||
The People’s Insurance Co. Group of China Ltd., H |
Insurance | 46,000 | 13,361 | |||||||||||
Thunder Software Technology Co. Ltd. |
Software | 200 | 2,962 | |||||||||||
Tian Di Science & Technology Co. Ltd., A |
Machinery | 1,600 | 1,071 | |||||||||||
Tianjin Chase Sun Pharmaceutical Co. Ltd. |
Pharmaceuticals | 1,200 | 885 | |||||||||||
Tianjin Guangyu Development Co. Ltd., A |
Real Estate Management & Development | 800 | 1,394 | |||||||||||
Tianjin Zhonghuan Semiconductor Co. Ltd. |
Semiconductors & Semiconductor Equipment | 1,200 | 7,534 | |||||||||||
Tianma Microelectronics Co. Ltd. |
Electronic Equipment, Instruments & Components | 900 | 1,074 | |||||||||||
a |
Tianqi Lithium Corp., A |
Chemicals | 800 | 11,266 | ||||||||||
Tianshan Aluminum Group Co. Ltd., A |
Machinery | 800 | 803 | |||||||||||
Tianshui Huatian Technology Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 1,200 | 1,363 | |||||||||||
a |
Tibet Summit Resources Co. Ltd., A |
Metals & Mining | 400 | 1,251 | ||||||||||
Tingyi Cayman Islands Holding Corp. |
Food Products | 10,000 | 17,249 | |||||||||||
Titan Wind Energy Suzhou Co. Ltd., A |
Electrical Equipment | 800 | 1,420 | |||||||||||
a,c |
Tongcheng-Elong Holdings Ltd., Reg S |
Internet & Catalog Retail | 4,800 | 9,417 | ||||||||||
a |
TongFu Microelectronics Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 400 | 846 | ||||||||||
Tongkun Group Co. Ltd., A |
Chemicals | 800 | 1,515 | |||||||||||
Tongling Nonferrous Metals Group Co. Ltd. |
Metals & Mining | 4,400 | 1,611 | |||||||||||
Tongwei Co. Ltd., A |
Food Products | 2,000 | 13,174 | |||||||||||
a |
Topchoice Medical Investment Corp., A |
Health Care Providers & Services | 100 | 1,795 | ||||||||||
b |
Topsports International Holdings Ltd., 144A |
Specialty Retail | 10,000 | 7,045 | ||||||||||
Towngas China Co. Ltd. |
Gas Utilities | 6,000 | 2,301 | |||||||||||
TravelSky Technology Ltd., H |
IT Services | 5,000 | 7,656 | |||||||||||
Trina Solar Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 844 | 7,590 | |||||||||||
a |
Trip.com Group Ltd., ADR |
Internet & Catalog Retail | 3,024 | 82,585 | ||||||||||
Tsingtao Brewery Co. Ltd., A |
Beverages | 300 | 4,469 | |||||||||||
Tsingtao Brewery Co. Ltd., H |
Beverages | 3,500 | 33,195 | |||||||||||
a |
Tuya Inc., ADR |
Software | 672 | 625 |
134 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Unigroup Guoxin Microelectronics Co. Ltd. |
Electronic Equipment, Instruments & Components | 419 | $ | 8,463 | ||||||||||
Uni-President China Holdings Ltd. |
Food Products | 7,000 | 5,877 | |||||||||||
Unisplendour Corp. Ltd. |
Electronic Equipment, Instruments & Components | 560 | 1,246 | |||||||||||
Universal Scientific Industrial Shanghai Co. Ltd., A |
Electronic Equipment, Instruments & Components | 400 | 846 | |||||||||||
Valiant Co. Ltd., A |
Chemicals | 400 | 818 | |||||||||||
a |
Vipshop Holdings Ltd., ADR |
Internet & Catalog Retail | 2,336 | 19,646 | ||||||||||
Visual China Group Co. Ltd., A |
Internet & Catalog Retail | 400 | 555 | |||||||||||
Walvax Biotechnology Co. Ltd. |
Biotechnology | 800 | 4,163 | |||||||||||
Wangsu Science & Technology Co. Ltd. |
IT Services | 800 | 509 | |||||||||||
Wanhua Chemical Group Co. Ltd., A |
Chemicals | 1,300 | 16,794 | |||||||||||
Want Want China Holdings Ltd. |
Food Products | 25,000 | 16,338 | |||||||||||
Wanxiang Qianchao Co. Ltd. |
Auto Components | 1,600 | 1,104 | |||||||||||
a |
Weibo Corp., ADR |
Interactive Media & Services | 404 | 6,908 | ||||||||||
Weichai Power Co. Ltd., A |
Machinery | 2,800 | 3,778 | |||||||||||
Weichai Power Co. Ltd., H |
Machinery | 11,000 | 10,440 | |||||||||||
Weifu High-Technology Co. Ltd., B |
Auto Components | 800 | 1,371 | |||||||||||
Weifu High-Technology Group Co. Ltd., A |
Auto Components | 400 | 968 | |||||||||||
Weihai Guangwei Composites Co. Ltd., A |
Chemicals | 200 | 2,326 | |||||||||||
a |
Wens Foodstuffs Group Co. Ltd. |
Food Products | 800 | 2,302 | ||||||||||
Western Mining Co. Ltd., A |
Metals & Mining | 800 | 1,048 | |||||||||||
Western Securities Co. Ltd. |
Capital Markets | 2,000 | 1,636 | |||||||||||
Western Superconducting Technologies Co. Ltd., A |
Metals & Mining | 135 | 2,024 | |||||||||||
Westone Information Industry Inc. |
Electronic Equipment, Instruments & Components | 400 | 1,543 | |||||||||||
Will Semiconductor Ltd., A |
Semiconductors & Semiconductor Equipment | 405 | 4,552 | |||||||||||
Wingtech Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 500 | 3,343 | |||||||||||
Winning Health Technology Group Co. Ltd. |
Health Care Technology | 800 | 790 | |||||||||||
Wolong Electric Group Co. Ltd., A |
Electrical Equipment | 400 | 651 | |||||||||||
Wuchan Zhongda Group Co. Ltd., A |
Distributors | 2,000 | 1,156 | |||||||||||
Wuhan Guide Infrared Co. Ltd. |
Electronic Equipment, Instruments & Components | 1,142 | 1,861 | |||||||||||
Wuhu Sanqi Interactive Entertainment NetworkTechnology Group Co. Ltd. |
Entertainment | 1,200 | 2,932 | |||||||||||
Wuliangye Yibin Co. Ltd., A |
Beverages | 1,600 | 37,980 | |||||||||||
WUS Printed Circuit Kunshan Co. Ltd. |
Electronic Equipment, Instruments & Components | 800 | 1,118 | |||||||||||
b |
WuXi AppTec Co. Ltd., 144A |
Life Sciences Tools & Services | 1,940 | 15,681 | ||||||||||
WuXi AppTec Co. Ltd., A |
Life Sciences Tools & Services | 1,000 | 10,056 | |||||||||||
a,b |
WuXi Biologics (Cayman) Inc., 144A |
Life Sciences Tools & Services | 20,000 | 120,766 | ||||||||||
Wuxi Shangji Automation Co. Ltd., A |
Machinery | 140 | 2,649 | |||||||||||
XCMG Construction Machinery Co. Ltd. |
Machinery | 2,800 | 1,760 | |||||||||||
Xiamen C & D Inc., A |
Trading Companies & Distributors | 1,200 | 2,331 | |||||||||||
Xiamen Faratronic Co. Ltd., A |
Electronic Equipment, Instruments & Components | 100 | 2,254 | |||||||||||
Xiamen ITG Group Corp. Ltd., A |
Trading Companies & Distributors | 800 | 716 | |||||||||||
Xiamen Tungsten Co. Ltd., A |
Metals & Mining | 1,200 | 3,809 | |||||||||||
Xiangcai Co. Ltd., A |
Real Estate Management & Development | 800 | 710 | |||||||||||
a,b |
Xiaomi Corp., B, 144A |
Technology Hardware, Storage & Peripherals | 83,600 | 95,422 | ||||||||||
Xinhua Winshare Publishing and Media Co. Ltd., H |
Distributors | 2,000 | 1,271 | |||||||||||
Xinjiang Goldwind Science & Technology Co. Ltd. |
Electrical Equipment | 1,200 | 1,909 | |||||||||||
Xinjiang Goldwind Science & Technology Co. Ltd., H |
Electrical Equipment | 4,000 | 4,642 | |||||||||||
Xinjiang Tianshan Cement Co. Ltd., A |
Construction Materials | 800 | 998 | |||||||||||
Xinjiang Zhongtai Chemical Co. Ltd., A |
Chemicals | 1,200 | 1,123 | |||||||||||
Xinxing Ductile Iron Pipes Co. Ltd. |
Metals & Mining | 2,000 | 1,004 | |||||||||||
Xinyi Solar Holdings Ltd. |
Semiconductors & Semiconductor Equipment | 24,000 | 25,407 | |||||||||||
a |
XPeng Inc., ADR |
Automobiles | 2,988 | 35,707 | ||||||||||
Xtep International Holdings Ltd. |
Textiles, Apparel & Luxury Goods | 6,000 | 6,382 |
franklintempleton.com |
Semiannual Report |
135 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Xuji Electric Co. Ltd., A |
Electrical Equipment | 400 | $ | 934 | ||||||||||
b,c |
Yadea Group Holdings Ltd., 144A, Reg S |
Automobiles | 5,300 | 8,507 | ||||||||||
Yang Quan Coal Industry Group Co. Ltd., A |
Oil, Gas & Consumable Fuels | 800 | 2,050 | |||||||||||
a |
Yango Group Co. Ltd. |
Real Estate Management & Development | 2,400 | 656 | ||||||||||
b,c |
Yangtze Optical Fibre and Cable Joint Stock Ltd. Co., 144A, Reg S |
Communications Equipment | 1,000 | 2,273 | ||||||||||
Yangzhou Yangjie Electronic Technology Co. Ltd. |
Semiconductors & Semiconductor Equipment | 200 | 1,386 | |||||||||||
Yangzijiang Shipbuilding Holdings Ltd. |
Machinery | 14,400 | 10,337 | |||||||||||
Yantai Changyu Pioneer Wine Co. Ltd., B |
Beverages | 1,200 | 1,761 | |||||||||||
Yantai Eddie Precision Machinery Co. Ltd., A |
Machinery | 440 | 882 | |||||||||||
Yantai Jereh Oilfield Services Group Co. Ltd. |
Energy Equipment & Services | 400 | 1,831 | |||||||||||
Yanzhou Coal Mining Co. Ltd., A |
Oil, Gas & Consumable Fuels | 500 | 3,519 | |||||||||||
Yanzhou Coal Mining Co. Ltd., H |
Oil, Gas & Consumable Fuels | 10,000 | 36,370 | |||||||||||
a |
Yatsen Holding Ltd., ADR |
Personal Products | 1,468 | 1,600 | ||||||||||
Yealink Network Technology Corp. Ltd. |
Communications Equipment | 300 | 2,651 | |||||||||||
a |
Yifan Pharmaceutical Co. Ltd. |
Pharmaceuticals | 400 | 587 | ||||||||||
Yifeng Pharmacy Chain Co. Ltd. |
Food & Staples Retailing | 260 | 1,815 | |||||||||||
Yihai International Holding Ltd. |
Food Products | 2,600 | 5,498 | |||||||||||
Yihai Kerry Arawana Holdings Co. Ltd., A |
Food Products | 800 | 4,847 | |||||||||||
Yintai Gold Co. Ltd. |
Metals & Mining | 800 | 1,443 | |||||||||||
YongXing Special Materials Technology Co. Ltd. |
Metals & Mining | 200 | 3,484 | |||||||||||
Yonyou Network Technology Co. Ltd., A |
Software | 1,380 | 3,407 | |||||||||||
Youngor Group Co. Ltd., A |
Real Estate Management & Development | 2,000 | 1,773 | |||||||||||
YTO Express Group Co. Ltd., A |
Air Freight & Logistics | 1,200 | 3,493 | |||||||||||
a |
Yuan Longping High-tech Agriculture Co. Ltd. |
Food Products | 400 | 775 | ||||||||||
Yuexiu Property Co. Ltd. |
Real Estate Management & Development | 7,000 | 8,454 | |||||||||||
Yum China Holdings Inc. |
Hotels, Restaurants & Leisure | 2,400 | 114,835 | |||||||||||
Yunda Holding Co. Ltd., A |
Air Freight & Logistics | 400 | 878 | |||||||||||
Yunnan Aluminium Co. Ltd. |
Metals & Mining | 1,200 | 1,550 | |||||||||||
Yunnan Baiyao Group Co. Ltd. |
Pharmaceuticals | 600 | 4,406 | |||||||||||
Yunnan Botanee Bio-Technology Group Co. Ltd., A |
Personal Products | 100 | 2,413 | |||||||||||
Yunnan Copper Co. Ltd. |
Metals & Mining | 800 | 1,103 | |||||||||||
Yunnan Energy New Material Co. Ltd. |
Containers & Packaging | 300 | 7,327 | |||||||||||
Yunnan Hongxiang Yixintang Pharmaceutical Co. Ltd. |
Food & Staples Retailing | 200 | 678 | |||||||||||
Yunnan Tin Co. Ltd. |
Metals & Mining | 600 | 1,037 | |||||||||||
a |
Zai Lab Ltd., ADR |
Biotechnology | 524 | 17,921 | ||||||||||
Zhangzhou Pientzehuang Pharmaceutical Co. Ltd. |
Pharmaceuticals | 300 | 11,227 | |||||||||||
a |
Zhaojin Mining Industry Co. Ltd., H |
Metals & Mining | 6,000 | 4,097 | ||||||||||
Zhefu Holding Group Co. Ltd. |
Electrical Equipment | 2,400 | 1,316 | |||||||||||
a |
Zhejiang Century Huatong Group Co. Ltd., A |
Entertainment | 3,200 | 1,674 | ||||||||||
Zhejiang China Commodities City Group Co. Ltd., A |
Real Estate Management & Development | 2,400 | 1,501 | |||||||||||
Zhejiang Chint Electrics Co. Ltd., A |
Electrical Equipment | 500 | 1,878 | |||||||||||
Zhejiang Crystal-Optech Co. Ltd. |
Electronic Equipment, Instruments & Components | 580 | 868 | |||||||||||
Zhejiang Dahua Technology Co. Ltd. |
Electronic Equipment, Instruments & Components | 1,200 | 2,163 | |||||||||||
Zhejiang Dingli Machinery Co. Ltd. |
Machinery | 200 | 1,018 | |||||||||||
Zhejiang Expressway Co. Ltd., H |
Transportation Infrastructure | 8,000 | 5,452 | |||||||||||
Zhejiang Hailiang Co. Ltd. |
Metals & Mining | 400 | 650 | |||||||||||
Zhejiang Hisoar Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 400 | 381 | |||||||||||
Zhejiang Huace Film & TV Co. Ltd., A |
Entertainment | 400 | 274 | |||||||||||
Zhejiang Huahai Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 400 | 1,077 | |||||||||||
Zhejiang Huayou Cobalt Co. Ltd., A |
Metals & Mining | 650 | 5,866 | |||||||||||
Zhejiang Jingsheng Mechanical & Electrical Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 500 | 4,742 | |||||||||||
Zhejiang Jiuzhou Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 400 | 2,198 |
136 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Zhejiang Juhua Co. Ltd., A |
Chemicals | 1,200 | $ | 2,338 | ||||||||||
Zhejiang Medicine Co. Ltd., A |
Pharmaceuticals | 400 | 760 | |||||||||||
Zhejiang NHU Co. Ltd. |
Pharmaceuticals | 1,344 | 4,183 | |||||||||||
Zhejiang Runtu Co. Ltd. |
Chemicals | 400 | 453 | |||||||||||
Zhejiang Sanhua Intelligent Controls Co. Ltd. |
Machinery | 400 | 1,380 | |||||||||||
Zhejiang Satellite Petrochemical Co. Ltd. |
Chemicals | 867 | 2,587 | |||||||||||
Zhejiang Semir Garment Co. Ltd. |
Textiles, Apparel & Luxury Goods | 400 | 268 | |||||||||||
Zhejiang Supor Co. Ltd. |
Household Durables | 200 | 1,294 | |||||||||||
a |
Zhejiang Wanfeng Auto Wheel Co. Ltd. |
Auto Components | 2,400 | 1,788 | ||||||||||
a |
Zhejiang Wanliyang Co. Ltd. |
Machinery | 400 | 445 | ||||||||||
Zhejiang Weiming Environment Protection Co. Ltd., A |
Commercial Services & Supplies | 520 | 1,706 | |||||||||||
Zhejiang Weixing New Building Materials Co. Ltd., A |
Building Products | 800 | 2,312 | |||||||||||
Zhejiang Wolwo Bio-Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 200 | 1,367 | |||||||||||
Zhejiang Yongtai Technology Co. Ltd., A |
Chemicals | 400 | 1,288 | |||||||||||
Zhengzhou Coal Mining Machinery Group Co. Ltd., A |
Machinery | 800 | 1,458 | |||||||||||
Zheshang Securities Co. Ltd., A |
Capital Markets | 400 | 532 | |||||||||||
a |
Zhihu Inc., ADR |
Interactive Media & Services | 892 | 946 | ||||||||||
a,b,c |
ZhongAn Online P & C Insurance Co. Ltd., 144A, Reg S |
Insurance | 4,400 | 9,865 | ||||||||||
Zhongji Innolight Co. Ltd. |
Machinery | 400 | 1,463 | |||||||||||
Zhongshan Public Utilities Group Co. Ltd., A |
Water Utilities | 800 | 731 | |||||||||||
Zhongsheng Group Holdings Ltd. |
Specialty Retail | 4,000 | 15,975 | |||||||||||
Zhongtai Securities Co. Ltd., A |
Capital Markets | 1,200 | 1,111 | |||||||||||
Zhuzhau CRRC Times Electric Co. Ltd., A |
Electrical Equipment | 228 | 1,733 | |||||||||||
Zhuzhou CRRC Times Electric Co. Ltd., H |
Electrical Equipment | 3,000 | 12,612 | |||||||||||
Zhuzhou Hongda Electronics Corp. Ltd., A |
Electronic Equipment, Instruments & Components | 200 | 1,247 | |||||||||||
Zhuzhou Kibing Group Co. Ltd., A |
Building Products | 800 | 1,083 | |||||||||||
Zijin Mining Group Co. Ltd., A |
Metals & Mining | 8,400 | 9,238 | |||||||||||
Zijin Mining Group Co. Ltd., H |
Metals & Mining | 32,000 | 31,185 | |||||||||||
Zoomlion Heavy Industry Science and Technology Co. Ltd. |
Machinery | 3,200 | 2,487 | |||||||||||
Zoomlion Heavy Industry Science and Technology Co. Ltd., H |
Machinery | 8,800 | 3,060 | |||||||||||
ZTE Corp. |
Communications Equipment | 1,600 | 4,803 | |||||||||||
ZTE Corp., H |
Communications Equipment | 4,400 | 7,892 | |||||||||||
ZTO Express Cayman Inc. |
Air Freight & Logistics | 2,600 | 62,368 | |||||||||||
|
|
|||||||||||||
10,359,464 | ||||||||||||||
|
|
|||||||||||||
Hong Kong 7.5% | ||||||||||||||
AIA Group Ltd., A |
Insurance | 67,400 | 561,960 | |||||||||||
a |
Alibaba Health Information Technology Ltd., A |
Health Care Technology | 26,000 | 11,924 | ||||||||||
a |
Alibaba Pictures Group Ltd., A |
Media | 80,000 | 4,127 | ||||||||||
ASM Pacific Technology Ltd., A |
Semiconductors & Semiconductor Equipment | 1,800 | 10,961 | |||||||||||
Beijing Enterprises Water Group Ltd., A |
Water Utilities | 24,000 | 5,534 | |||||||||||
Bosideng International Holdings Ltd., A |
Household Durables | 16,000 | 7,929 | |||||||||||
Cafe de Coral Holdings Ltd., A |
Hotels, Restaurants & Leisure | 2,000 | 2,489 | |||||||||||
a |
Cathay Pacific Airways Ltd., A |
Airlines | 6,000 | 6,329 | ||||||||||
Champion REIT, A |
Equity Real Estate Investment Trusts (REITs | ) | 12,000 | 4,234 | ||||||||||
China Everbright Environment Group Ltd., B |
Commercial Services & Supplies | 21,000 | 8,721 | |||||||||||
China Everbright Ltd., A |
Capital Markets | 4,000 | 2,313 | |||||||||||
China Gas Holdings Ltd., A |
Gas Utilities | 16,800 | 20,139 | |||||||||||
China Mengniu Dairy Co. Ltd., B |
Food Products | 17,000 | 67,459 | |||||||||||
China Power International Development Ltd., H |
Independent Power Producers & Energy Traders | 32,000 | 12,759 | |||||||||||
China Resources Beer Holdings Co. Ltd., A |
Beverages | 8,960 | 62,378 | |||||||||||
China Resources Gas Group Ltd., A |
Gas Utilities | 5,100 | 16,210 |
franklintempleton.com |
Semiannual Report |
137 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Hong Kong (continued) | ||||||||||||||
China Resources Land Ltd., H |
Real Estate Management & Development | 16,000 | $ | 62,982 | ||||||||||
China State Construction International Holdings Ltd., A |
Construction & Engineering | 10,000 | 10,128 | |||||||||||
China Traditional Chinese Medicine Co. Ltd. |
Pharmaceuticals | 14,000 | 4,887 | |||||||||||
CK Asset Holdings Ltd. |
Real Estate Management & Development | 11,000 | 66,141 | |||||||||||
CK Infrastructure Holdings Ltd., A |
Electric Utilities | 3,300 | 16,837 | |||||||||||
CLP Holdings Ltd. |
Electric Utilities | 9,000 | 68,045 | |||||||||||
COSCO SHIPPING Ports Ltd., B |
Transportation Infrastructure | 10,000 | 6,306 | |||||||||||
Dah Sing Banking Group Ltd., A |
Banks | 2,400 | 1,590 | |||||||||||
Dah Sing Financial Group, H |
Banks | 800 | 1,822 | |||||||||||
Dairy Farm International Holdings Ltd., A |
Food & Staples Retailing | 1,700 | 3,927 | |||||||||||
Far East Horizon Ltd. |
Diversified Financial Services | 8,000 | 5,401 | |||||||||||
Geely Automobile Holdings Ltd. |
Automobiles | 31,000 | 42,729 | |||||||||||
Guangdong Investment Ltd. |
Water Utilities | 16,000 | 12,821 | |||||||||||
Guotai Junan International Holdings Ltd. |
Capital Markets | 14,000 | 1,034 | |||||||||||
a |
Haitong International Securities Group Ltd. |
Capital Markets | 17,600 | 1,502 | ||||||||||
Hang Lung Group Ltd. |
Real Estate Management & Development | 5,000 | 8,077 | |||||||||||
Hang Lung Properties Ltd. |
Real Estate Management & Development | 10,000 | 16,408 | |||||||||||
Hang Seng Bank Ltd. |
Banks | 4,100 | 62,258 | |||||||||||
Henderson Land Development Co. Ltd. |
Real Estate Management & Development | 7,000 | 19,618 | |||||||||||
Hong Kong and China Gas Co. Ltd. |
Gas Utilities | 62,000 | 54,655 | |||||||||||
Hong Kong Exchanges and Clearing Ltd. |
Capital Markets | 7,200 | 247,280 | |||||||||||
Hongkong Land Holdings Ltd. |
Real Estate Management & Development | 6,400 | 28,288 | |||||||||||
Huabao International Holdings Ltd. |
Chemicals | 5,000 | 2,318 | |||||||||||
Hutchison Port Holdings Trust |
Transportation Infrastructure | 30,000 | 5,520 | |||||||||||
Hutchison Telecommunications Hong Kong Holdings Ltd. |
Diversified Telecommunication Services | 8,000 | 1,172 | |||||||||||
Hysan Development Co. Ltd. |
Real Estate Management & Development | 3,000 | 7,559 | |||||||||||
Jardine Matheson Holdings Ltd. |
Industrial Conglomerates | 1,120 | 56,717 | |||||||||||
Johnson Electric Holdings Ltd. |
Electrical Equipment | 2,000 | 2,008 | |||||||||||
Kerry Properties Ltd. |
Real Estate Management & Development | 3,500 | 6,643 | |||||||||||
Kingboard Laminates Holdings Ltd. |
Electronic Equipment, Instruments & Components | 6,000 | 5,404 | |||||||||||
Kunlun Energy Co. Ltd. |
Oil, Gas & Consumable Fuels | 22,000 | 15,891 | |||||||||||
Link REIT |
Equity Real Estate Investment Trusts (REITs | ) | 12,000 | 83,925 | ||||||||||
Man Wah Holdings Ltd. |
Household Durables | 8,800 | 5,605 | |||||||||||
a |
Melco International Development Ltd. |
Hotels, Restaurants & Leisure | 4,000 | 3,108 | ||||||||||
MTR Corp. Ltd. |
Road & Rail | 8,500 | 39,036 | |||||||||||
New World Development Co. Ltd. |
Real Estate Management & Development | 8,000 | 22,726 | |||||||||||
NWS Holdings Ltd. |
Industrial Conglomerates | 8,000 | 7,236 | |||||||||||
Orient Overseas International Ltd. |
Marine | 750 | 13,137 | |||||||||||
PCCW Ltd. |
Diversified Telecommunication Services | 24,000 | 10,854 | |||||||||||
Power Assets Holdings Ltd. |
Electric Utilities | 8,000 | 40,153 | |||||||||||
Shanghai Industrial Holdings Ltd. |
Industrial Conglomerates | 3,000 | 3,248 | |||||||||||
Shougang Fushan Resources Group Ltd. |
Metals & Mining | 8,000 | 2,334 | |||||||||||
Sino Biopharmaceutical Ltd. |
Pharmaceuticals | 56,000 | 26,324 | |||||||||||
Sino Land Co. Ltd. |
Real Estate Management & Development | 20,000 | 26,446 | |||||||||||
Sun Hung Kai Properties Ltd. |
Real Estate Management & Development | 8,000 | 88,511 | |||||||||||
Swire Pacific Ltd., A |
Real Estate Management & Development | 3,000 | 22,453 | |||||||||||
Swire Pacific Ltd., B |
Real Estate Management & Development | 5,000 | 5,841 | |||||||||||
Swire Properties Ltd. |
Real Estate Management & Development | 6,400 | 13,779 | |||||||||||
Techtronic Industries Co. Ltd. |
Household Durables | 7,500 | 72,469 | |||||||||||
The Bank of East Asia Ltd., A |
Banks | 5,600 | 6,135 | |||||||||||
The Wharf Holdings Ltd. |
Real Estate Management & Development | 7,000 | 22,427 | |||||||||||
United Energy Group Ltd. |
Oil, Gas & Consumable Fuels | 40,000 | 4,586 | |||||||||||
Vinda International Holdings Ltd. |
Household Products | 1,000 | 2,354 | |||||||||||
a |
Vitasoy International Holdings Ltd. |
Food Products | 4,000 | 4,978 | ||||||||||
VTech Holdings Ltd. |
Communications Equipment | 900 | 5,165 | |||||||||||
b |
WH Group Ltd., 144A, Reg S |
Food Products | 44,000 | 27,746 |
138 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Hong Kong (continued) | ||||||||||||||
Wharf Real Estate Investment Co. Ltd. |
Real Estate Management & Development | 9,000 | $ | 40,930 | ||||||||||
Xinyi Glass Holdings Ltd. |
Auto Components | 11,000 | 16,003 | |||||||||||
Yue Yuen Industrial Holdings Ltd. |
Textiles, Apparel & Luxury Goods | 4,000 | 5,116 | |||||||||||
|
|
|||||||||||||
2,274,059 | ||||||||||||||
|
|
|||||||||||||
India 18.9% | ||||||||||||||
a |
3M India Ltd. |
Industrial Conglomerates | 16 | 4,839 | ||||||||||
Aarti Industries Ltd. |
Chemicals | 1,064 | 9,745 | |||||||||||
ABB India Ltd. |
Electrical Equipment | 308 | 11,693 | |||||||||||
ACC Ltd. |
Construction Materials | 488 | 14,491 | |||||||||||
Adani Enterprises Ltd. |
Trading Companies & Distributors | 1,496 | 63,549 | |||||||||||
a |
Adani Green Energy Ltd. |
Independent Power Producers & Energy Traders | 2,236 | 62,140 | ||||||||||
Adani Ports & Special Economic Zone Ltd. |
Transportation Infrastructure | 4,508 | 45,475 | |||||||||||
a |
Adani Power Ltd. |
Independent Power Producers & Energy Traders | 5,496 | 25,233 | ||||||||||
Adani Total Gas Ltd. |
Gas Utilities | 1,524 | 62,567 | |||||||||||
a |
Adani Transmission Ltd. |
Electric Utilities | 1,416 | 57,262 | ||||||||||
a |
Adani Wilmar Ltd. |
Food Products | 880 | 8,172 | ||||||||||
a |
Aditya Birla Capital Ltd. |
Diversified Financial Services | 2,745 | 3,772 | ||||||||||
Alkem Laboratories Ltd. |
Pharmaceuticals | 148 | 5,962 | |||||||||||
Ambuja Cements Ltd. |
Construction Materials | 3,908 | 24,769 | |||||||||||
Apollo Hospitals Enterprise Ltd. |
Health Care Providers & Services | 560 | 30,174 | |||||||||||
Ashok Leyland Ltd. |
Machinery | 8,080 | 15,162 | |||||||||||
Asian Paints Ltd. |
Chemicals | 2,508 | 103,045 | |||||||||||
Astral Ltd. |
Building Products | 500 | 13,721 | |||||||||||
b |
AU Small Finance Bank Ltd., 144A |
Banks | 1,792 | 13,640 | ||||||||||
Aurobindo Pharma Ltd. |
Pharmaceuticals | 1,504 | 9,440 | |||||||||||
a,b |
Avenue Supermarts Ltd., 144A |
Food & Staples Retailing | 804 | 43,353 | ||||||||||
Axis Bank Ltd. |
Banks | 12,688 | 114,354 | |||||||||||
Bajaj Auto Ltd. |
Automobiles | 392 | 16,999 | |||||||||||
Bajaj Finance Ltd. |
Consumer Finance | 1,316 | 118,669 | |||||||||||
Bajaj Finserv Ltd. |
Diversified Financial Services | 2,080 | 42,912 | |||||||||||
Bajaj Holdings & Investment Ltd. |
Diversified Financial Services | 148 | 11,626 | |||||||||||
Balkrishna Industries Ltd. |
Auto Components | 448 | 10,373 | |||||||||||
a,b |
Bandhan Bank Ltd, 144A |
Banks | 4,568 | 14,970 | ||||||||||
Bank of Baroda |
Banks | 5,904 | 9,609 | |||||||||||
Bank of India |
Banks | 2,744 | 1,626 | |||||||||||
Bata India Ltd. |
Textiles, Apparel & Luxury Goods | 352 | 7,881 | |||||||||||
Bayer CropScience Ltd. |
Chemicals | 68 | 4,082 | |||||||||||
Berger Paints India Ltd. |
Chemicals | 1,380 | 10,466 | |||||||||||
Bharat Electronics Ltd. |
Aerospace & Defense | 18,684 | 23,185 | |||||||||||
Bharat Forge Ltd. |
Auto Components | 1,416 | 12,106 | |||||||||||
a |
Bharat Heavy Electricals Ltd. |
Electrical Equipment | 7,456 | 5,490 | ||||||||||
Bharat Petroleum Corp. Ltd. |
Oil, Gas & Consumable Fuels | 5,748 | 21,536 | |||||||||||
Bharti Airtel Ltd. |
Wireless Telecommunication Services | 840 | 4,151 | |||||||||||
Bharti Airtel Ltd. |
Wireless Telecommunication Services | 13,016 | 127,982 | |||||||||||
Bharti Infratel Ltd. |
Diversified Telecommunication Services | 4,984 | 12,097 | |||||||||||
Biocon Ltd. |
Biotechnology | 2,520 | 9,013 | |||||||||||
Bosch Ltd. |
Auto Components | 48 | 9,331 | |||||||||||
Britannia Industries Ltd. |
Food Products | 684 | 32,312 | |||||||||||
Canara Bank Ltd. |
Banks | 2,128 | 5,984 | |||||||||||
Castrol India Ltd. |
Chemicals | 2,816 | 3,901 | |||||||||||
a |
CG Power & Industrial Solutions Ltd. |
Electrical Equipment | 3,952 | 11,450 | ||||||||||
Cholamandalam Investment and Finance Co. Ltd. |
Consumer Finance | 2,304 | 20,737 | |||||||||||
Cipla Ltd. |
Pharmaceuticals | 2,896 | 39,691 | |||||||||||
Coal India Ltd. |
Oil, Gas & Consumable Fuels | 10,728 | 27,990 | |||||||||||
Coforge Ltd. |
IT Services | 204 | 8,431 | |||||||||||
Colgate-Palmolive India Ltd. |
Personal Products | 744 | 14,902 | |||||||||||
Container Corp. Of India Ltd. |
Road & Rail | 1,564 | 13,682 |
franklintempleton.com |
Semiannual Report |
139 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
India (continued) | ||||||||||||||
Coromandel International Ltd. |
Chemicals | 632 | $ | 7,724 | ||||||||||
Cummins India Ltd. |
Machinery | 756 | 11,113 | |||||||||||
Dabur India Ltd. |
Personal Products | 3,284 | 23,129 | |||||||||||
Dalmia Bharat Ltd. |
Construction Materials | 480 | 9,429 | |||||||||||
Deepak Nitrite Ltd. |
Chemicals | 424 | 10,612 | |||||||||||
Divi’s Laboratories Ltd. |
Life Sciences Tools & Services | 676 | 30,789 | |||||||||||
Dixon Technologies India Ltd. |
Household Durables | 204 | 10,962 | |||||||||||
DLF Ltd. |
Real Estate Management & Development | 3,440 | 15,083 | |||||||||||
b |
Dr Lal PathLabs Ltd., 144A |
Health Care Providers & Services | 200 | 6,192 | ||||||||||
Dr Reddy’s Laboratories Ltd. |
Pharmaceuticals | 684 | 36,454 | |||||||||||
Eicher Motors Ltd. |
Automobiles | 792 | 35,745 | |||||||||||
Emami Ltd. |
Personal Products | 1,240 | 7,687 | |||||||||||
Embassy Office Parks REIT |
Equity Real Estate Investment Trusts (REITs | ) | 3,053 | 12,979 | ||||||||||
Exide Industries Ltd. |
Auto Components | 2,508 | 4,839 | |||||||||||
Federal Bank Ltd. |
Banks | 7,508 | 10,960 | |||||||||||
a |
FSN E-Commerce Ventures Ltd. |
Internet & Catalog Retail | 332 | 5,192 | ||||||||||
GAIL India Ltd. |
Gas Utilities | 15,234 | 16,301 | |||||||||||
b |
General Insurance Corp. of India, 144A |
Insurance | 592 | 895 | ||||||||||
Gillette India Ltd. |
Personal Products | 48 | 3,053 | |||||||||||
GlaxoSmithKline Pharmaceuticals Ltd. |
Pharmaceuticals | 228 | 3,992 | |||||||||||
Glenmark Pharmaceuticals Ltd. |
Pharmaceuticals | 808 | 3,860 | |||||||||||
a |
GMR Infrastructure Ltd. |
Construction & Engineering | 13,596 | 5,941 | ||||||||||
a |
Godrej Consumer Products Ltd. |
Personal Products | 2,100 | 23,502 | ||||||||||
a |
Godrej Industries Ltd. |
Chemicals | 480 | 2,590 | ||||||||||
a |
Godrej Properties Ltd. |
Real Estate Management & Development | 504 | 7,397 | ||||||||||
Grasim Industries Ltd. |
Construction Materials | 2,184 | 44,964 | |||||||||||
Gujarat Fluorochemicals Ltd. |
Chemicals | 196 | 9,505 | |||||||||||
Gujarat Gas Ltd. |
Gas Utilities | 1,176 | 7,275 | |||||||||||
Havells India Ltd. |
Electrical Equipment | 1,376 | 22,810 | |||||||||||
HCL Technologies Ltd. |
IT Services | 6,180 | 70,828 | |||||||||||
b |
HDFC Asset Management Co. Ltd., 144A |
Capital Markets | 320 | 7,433 | ||||||||||
b |
HDFC Life Insurance Co. Ltd., 144A |
Insurance | 5,520 | 35,993 | ||||||||||
Hero MotoCorp Ltd. |
Automobiles | 680 | 21,308 | |||||||||||
Hindalco Industries Ltd. |
Metals & Mining | 7,956 | 38,195 | |||||||||||
Hindustan Aeronautics Ltd. |
Aerospace & Defense | 472 | 13,605 | |||||||||||
Hindustan Petroleum Corp. Ltd. |
Oil, Gas & Consumable Fuels | 3,952 | 10,508 | |||||||||||
Hindustan Unilever Ltd. |
Household Products | 4,964 | 164,536 | |||||||||||
Hindustan Zinc Ltd. |
Metals & Mining | 1,380 | 4,533 | |||||||||||
Honeywell Automation India Ltd. |
Electronic Equipment, Instruments & Components | 13 | 6,393 | |||||||||||
Housing Development Finance Corp. Ltd. |
Thrifts & Mortgage Finance | 9,900 | 278,407 | |||||||||||
ICICI Bank Ltd. |
Banks | 8,904 | 94,347 | |||||||||||
b,c |
ICICI Lombard General Insurance Co. Ltd., 144A, Reg S |
Insurance | 1,356 | 19,188 | ||||||||||
b,c |
ICICI Prudential Life Insurance Co. Ltd., 144A, Reg S |
Insurance | 2,180 | 14,094 | ||||||||||
a |
IDFC First Bank Ltd. |
Banks | 17,928 | 10,986 | ||||||||||
Indian Hotels Co. Ltd. |
Hotels, Restaurants & Leisure | 4,660 | 19,001 | |||||||||||
Indian Oil Corp. Ltd. |
Oil, Gas & Consumable Fuels | 23,226 | 19,114 | |||||||||||
Indian Railway Catering and Tourism Corp. Ltd. |
Commercial Services & Supplies | 1,452 | 12,601 | |||||||||||
b |
Indian Railway Finance Corp. Ltd., 144A |
Diversified Financial Services | 10,936 | 2,857 | ||||||||||
Indraprastha Gas Ltd. |
Gas Utilities | 1,992 | 9,716 | |||||||||||
Info Edge India Ltd. |
Interactive Media & Services | 428 | 20,311 | |||||||||||
Infosys Ltd. |
IT Services | 20,236 | 351,594 | |||||||||||
a,b,c |
InterGlobe Aviation Ltd., 144A, Reg S |
Airlines | 540 | 12,315 | ||||||||||
Ipca Laboratories Ltd. |
Pharmaceuticals | 792 | 8,908 | |||||||||||
ITC Ltd. |
Tobacco | 16,844 | 68,783 | |||||||||||
Jindal Steel & Power Ltd. |
Metals & Mining | 2,244 | 11,823 | |||||||||||
JSW Energy Ltd. |
Independent Power Producers & Energy Traders | 2,124 | 7,842 |
140 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
India (continued) | ||||||||||||||
JSW Steel Ltd. |
Metals & Mining | 5,700 | $ | 44,258 | ||||||||||
Jubilant Foodworks Ltd. |
Hotels, Restaurants & Leisure | 2,080 | 15,921 | |||||||||||
Kansai Nerolac Paints Ltd. |
Chemicals | 772 | 4,647 | |||||||||||
L&T Finance Holdings Ltd. |
Diversified Financial Services | 5,140 | 4,720 | |||||||||||
b |
L&T Technology Services Ltd., 144A |
Professional Services | 152 | 6,711 | ||||||||||
b,c |
Larsen & Toubro Infotech Ltd.,, 144A, Reg S |
IT Services | 256 | 14,028 | ||||||||||
Larsen & Toubro Ltd. |
Construction & Engineering | 3,816 | 86,671 | |||||||||||
b |
Laurus Labs Ltd., 144A |
Pharmaceuticals | 2,064 | 13,016 | ||||||||||
LIC Housing Finance Ltd. |
Thrifts & Mortgage Finance | 1,912 | 9,727 | |||||||||||
Linde India Ltd. |
Chemicals | 120 | 4,885 | |||||||||||
Lupin Ltd. |
Pharmaceuticals | 1,404 | 11,733 | |||||||||||
Macrotech Developers Ltd. |
Real Estate Management & Development | 440 | 4,999 | |||||||||||
Mahindra & Mahindra Financial Services Ltd. |
Consumer Finance | 3,464 | 7,888 | |||||||||||
Mahindra & Mahindra Ltd. |
Automobiles | 5,236 | 81,625 | |||||||||||
a |
Mangalore Refinery & Petrochemicals Ltd. |
Oil, Gas & Consumable Fuels | 892 | 651 | ||||||||||
Marico Ltd. |
Personal Products | 2,988 | 19,755 | |||||||||||
Maruti Suzuki India Ltd. |
Automobiles | 752 | 81,606 | |||||||||||
a |
Max Financial Services Ltd. |
Insurance | 1,400 | 13,124 | ||||||||||
a |
Max Healthcare Institute Ltd. |
Health Care Providers & Services | 4,124 | 20,678 | ||||||||||
Minda Industries Ltd. |
Auto Components | 968 | 6,653 | |||||||||||
Mindtree Ltd. |
IT Services | 240 | 9,320 | |||||||||||
Mphasis Ltd. |
IT Services | 516 | 13,242 | |||||||||||
MRF Ltd. |
Auto Components | 15 | 15,056 | |||||||||||
Muthoot Finance Ltd. |
Consumer Finance | 616 | 7,875 | |||||||||||
Nestle India Ltd. |
Food Products | 204 | 48,008 | |||||||||||
NHPC Ltd. |
Independent Power Producers & Energy Traders | 13,216 | 5,800 | |||||||||||
b |
Nippon Life India Asset Management Ltd., 144A |
Capital Markets | 904 | 2,985 | ||||||||||
NMDC Ltd. |
Metals & Mining | 6,544 | 10,276 | |||||||||||
NTPC Ltd. |
Independent Power Producers & Energy Traders | 24,944 | 48,952 | |||||||||||
Oberoi Realty Ltd. |
Real Estate Management & Development | 688 | 7,762 | |||||||||||
Oil & Natural Gas Corp. Ltd. |
Oil, Gas & Consumable Fuels | 21,152 | 32,969 | |||||||||||
Oil India Ltd. |
Oil, Gas & Consumable Fuels | 1,956 | 4,194 | |||||||||||
One 97 Communications Ltd. |
IT Services | 524 | 4,109 | |||||||||||
Oracle Financial Services Software Ltd. |
Software | 136 | 4,986 | |||||||||||
Page Industries Ltd. |
Textiles, Apparel & Luxury Goods | 33 | 20,553 | |||||||||||
a |
PB Fintech Ltd. |
Insurance | 900 | 5,228 | ||||||||||
Persistent Systems Ltd. |
IT Services | 280 | 11,156 | |||||||||||
Petronet LNG Ltd. |
Oil, Gas & Consumable Fuels | 4,348 | 10,684 | |||||||||||
PI Industries Ltd. |
Chemicals | 416 | 15,332 | |||||||||||
Pidilite Industries Ltd. |
Chemicals | 852 | 28,176 | |||||||||||
Piramal Enterprises Ltd. |
Pharmaceuticals | 724 | 7,692 | |||||||||||
a |
Piramal Pharma Ltd. |
Pharmaceuticals | 2,896 | 7,801 | ||||||||||
Polycab India Ltd. |
Electrical Equipment | 152 | 4,785 | |||||||||||
Power Finance Corp. Ltd. |
Diversified Financial Services | 6,840 | 8,795 | |||||||||||
Power Grid Corp. of India Ltd. |
Electric Utilities | 17,892 | 46,670 | |||||||||||
Punjab National Bank |
Banks | 6,412 | 2,881 | |||||||||||
Rajesh Exports Ltd. |
Textiles, Apparel & Luxury Goods | 788 | 5,606 | |||||||||||
a,b,c |
RBL Bank Ltd., 144A, Reg S |
Banks | 2,720 | 3,803 | ||||||||||
REC Ltd. |
Diversified Financial Services | 7,274 | 8,405 | |||||||||||
Relaxo Footwears Ltd. |
Textiles, Apparel & Luxury Goods | 420 | 5,198 | |||||||||||
Reliance Industries Ltd. |
Oil, Gas & Consumable Fuels | 19,020 | 555,920 | |||||||||||
Samvardhana Motherson International Ltd. |
Auto Components | 8,348 | 11,185 | |||||||||||
SBI Cards & Payment Services Ltd. |
Consumer Finance | 1,660 | 18,640 | |||||||||||
b |
SBI Life Insurance Co. Ltd., 144A |
Insurance | 2,388 | 36,706 | ||||||||||
Schaeffler India Ltd. |
Machinery | 228 | 9,003 | |||||||||||
Shree Cement Ltd. |
Construction Materials | 76 | 19,650 | |||||||||||
Shriram Transport Finance Co. Ltd. |
Consumer Finance | 1,152 | 16,958 | |||||||||||
Siemens Ltd. |
Industrial Conglomerates | 448 | 15,259 |
franklintempleton.com |
Semiannual Report |
141 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
India (continued) | ||||||||||||||
b |
Sona Blw Precision Forgings Ltd., 144A |
Auto Components | 1,472 | $ | 8,391 | |||||||||
SRF Ltd. |
Chemicals | 788 | 24,249 | |||||||||||
a |
Star Health & Allied Insurance Co. Ltd. |
Insurance | 468 | 4,063 | ||||||||||
State Bank of India |
Banks | 10,164 | 66,293 | |||||||||||
Steel Authority of India Ltd. |
Metals & Mining | 8,056 | 7,600 | |||||||||||
Sun Pharmaceutical Industries Ltd. |
Pharmaceuticals | 6,180 | 72,066 | |||||||||||
Sun TV Network Ltd. |
Media | 572 | 3,578 | |||||||||||
Tata Communications Ltd. |
Diversified Telecommunication Services | 660 | 9,336 | |||||||||||
Tata Consultancy Services Ltd. |
IT Services | 5,828 | 215,246 | |||||||||||
Tata Consumer Products Ltd. |
Food Products | 3,432 | 33,870 | |||||||||||
Tata Elxsi Ltd. |
Software | 192 | 20,194 | |||||||||||
a |
Tata Motors Ltd. |
Automobiles | 2,048 | 4,925 | ||||||||||
a |
Tata Motors Ltd., A |
Automobiles | 10,476 | 52,102 | ||||||||||
Tata Power Co. Ltd. |
Electric Utilities | 9,304 | 24,761 | |||||||||||
Tata Steel Ltd. |
Metals & Mining | 46,440 | 56,686 | |||||||||||
a |
Tata Teleservices Maharashtra Ltd. |
Diversified Telecommunication Services | 2,920 | 3,711 | ||||||||||
Tech Mahindra Ltd. |
IT Services | 3,464 | 42,947 | |||||||||||
Titan Co. Ltd. |
Textiles, Apparel & Luxury Goods | 2,368 | 75,884 | |||||||||||
Torrent Pharmaceuticals Ltd. |
Pharmaceuticals | 536 | 10,277 | |||||||||||
Torrent Power Ltd. |
Electric Utilities | 1,188 | 7,110 | |||||||||||
Trent Ltd. |
Multiline Retail | 1,040 | 18,153 | |||||||||||
Tube Investments of India Ltd. |
Auto Components | 560 | 18,891 | |||||||||||
TVS Motor Co. Ltd. |
Automobiles | 1,160 | 14,719 | |||||||||||
UltraTech Cement Ltd. |
Construction Materials | 652 | 50,132 | |||||||||||
Union Bank of India Ltd. |
Banks | 6,424 | 3,526 | |||||||||||
United Breweries Ltd. |
Beverages | 412 | 8,644 | |||||||||||
a |
United Spirits Ltd. |
Beverages | 1,676 | 17,353 | ||||||||||
UPL Ltd. |
Chemicals | 3,000 | 24,783 | |||||||||||
Varun Beverages Ltd. |
Beverages | 1,152 | 14,787 | |||||||||||
Vedanta Ltd. |
Metals & Mining | 6,916 | 22,958 | |||||||||||
a |
Vodafone Idea Ltd. |
Wireless Telecommunication Services | 47,708 | 5,161 | ||||||||||
Voltas Ltd. |
Construction & Engineering | 1,320 | 14,708 | |||||||||||
Whirlpool of India Ltd. |
Household Durables | 180 | 3,617 | |||||||||||
Wipro Ltd. |
IT Services | 7,148 | 34,641 | |||||||||||
a |
Yes Bank Ltd. |
Banks | 71,244 | 13,706 | ||||||||||
Zee Entertainment Enterprises Ltd. |
Media | 4,632 | 14,699 | |||||||||||
a |
Zomato Ltd. |
Internet & Catalog Retail | 25,972 | 19,906 | ||||||||||
Zydus Lifesciences Ltd. |
Pharmaceuticals | 1,352 | 6,430 | |||||||||||
|
|
|||||||||||||
5,716,954 | ||||||||||||||
|
|
|||||||||||||
Indonesia 2.4% | ||||||||||||||
Adaro Energy Tbk PT, B |
Oil, Gas & Consumable Fuels | 72,400 | 18,828 | |||||||||||
Astra Agro Lestari Tbk PT, H |
Food Products | 2,800 | 1,517 | |||||||||||
Astra International Tbk PT, H |
Automobiles | 109,600 | 47,683 | |||||||||||
Avia Avian Tbk PT |
Chemicals | 66,800 | 3,488 | |||||||||||
Bank Central Asia Tbk PT, A |
Banks | 313,200 | 175,857 | |||||||||||
Bank Danamon Indonesia Tbk PT, H |
Banks | 4,800 | 801 | |||||||||||
Bank Mandiri Persero Tbk PT, A |
Banks | 105,200 | 65,113 | |||||||||||
Bank Negara Indonesia Persero Tbk PT, H |
Banks | 42,400 | 24,990 | |||||||||||
Bank Rakyat Indonesia Persero Tbk PT, A |
Banks | 361,200 | 106,504 | |||||||||||
Bank Syariah Indonesia Tbk PT |
Banks | 16,800 | 1,622 | |||||||||||
Bukit Asam Tbk PT, A |
Oil, Gas & Consumable Fuels | 23,200 | 6,353 | |||||||||||
a |
Bumi Serpong Damai Tbk PT, A |
Real Estate Management & Development | 50,400 | 2,995 | ||||||||||
Charoen Pokphand Indonesia Tbk PT, A |
Food Products | 42,000 | 15,584 | |||||||||||
Dayamitra Telekomunikasi PT |
Diversified Telecommunication Services | 133,600 | 6,361 | |||||||||||
Elang Mahkota Teknologi Tbk PT |
Media | 170,000 | 16,969 | |||||||||||
First Pacific Co. Ltd. |
Diversified Financial Services | 14,000 | 4,262 | |||||||||||
Gudang Garam Tbk PT |
Tobacco | 2,800 | 4,215 |
142 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Indonesia (continued) | ||||||||||||||
Hanjaya Mandala Sampoerna Tbk PT |
Tobacco | 50,800 | $ | 3,036 | ||||||||||
Indah Kiat Pulp & Paper Corp Tbk PT |
Paper & Forest Products | 14,400 | 8,558 | |||||||||||
Indocement Tunggal Prakarsa Tbk PT |
Construction Materials | 10,400 | 6,488 | |||||||||||
Indofood CBP Sukses Makmur Tbk PT |
Food Products | 12,400 | 7,044 | |||||||||||
Indofood Sukses Makmur Tbk PT |
Food Products | 24,400 | 9,654 | |||||||||||
a |
Jasa Marga Persero Tbk PT |
Transportation Infrastructure | 12,800 | 2,724 | ||||||||||
Kalbe Farma Tbk PT |
Pharmaceuticals | 105,600 | 12,691 | |||||||||||
Mayora Indah Tbk PT |
Food Products | 22,400 | 2,692 | |||||||||||
a |
Media Nusantara Citra Tbk PT |
Media | 24,800 | 1,352 | ||||||||||
a |
MNC Digital Entertainment Tbk PT |
Entertainment | 9,200 | 2,966 | ||||||||||
Perusahaan Gas Negara Tbk PT |
Gas Utilities | 57,200 | 6,592 | |||||||||||
Perusahaan Perseroan (Persero) PT TelekomunikasiIndonesia Tbk, B |
Diversified Telecommunication Services | 263,600 | 77,206 | |||||||||||
PT Barito Pacific Tbk, A |
Chemicals | 138,000 | 7,205 | |||||||||||
PT XL Axiata Tbk |
Wireless Telecommunication Services | 21,600 | 3,489 | |||||||||||
Sarana Menara Nusantara Tbk PT |
Diversified Telecommunication Services | 141,600 | 11,484 | |||||||||||
Semen Indonesia (Persero) Tbk PT |
Construction Materials | 16,400 | 8,051 | |||||||||||
a |
Smartfren Telecom Tbk PT |
Wireless Telecommunication Services | 581,655 | 3,056 | ||||||||||
Sumber Alfaria Trijaya Tbk PT |
Food & Staples Retailing | 108,000 | 16,951 | |||||||||||
Surya Citra Media Tbk PT |
Media | 160,000 | 2,165 | |||||||||||
Tower Bersama Infrastructure Tbk PT |
Diversified Telecommunication Services | 23,200 | 4,312 | |||||||||||
Unilever Indonesia Tbk PT |
Household Products | 31,600 | 10,023 | |||||||||||
United Tractors Tbk PT |
Oil, Gas & Consumable Fuels | 8,700 | 18,754 | |||||||||||
a |
Vale Indonesia Tbk PT |
Metals & Mining | 12,000 | 5,044 | ||||||||||
|
|
|||||||||||||
734,679 | ||||||||||||||
|
|
|||||||||||||
Italy 0.1% | ||||||||||||||
Prada SpA |
Textiles, Apparel & Luxury Goods | 3,000 | 13,911 | |||||||||||
|
|
|||||||||||||
Luxembourg 0.0%† | ||||||||||||||
L’Occitane International SA |
Specialty Retail | 2,500 | 7,596 | |||||||||||
|
|
|||||||||||||
Macau 0.4% | ||||||||||||||
Galaxy Entertainment Group Ltd. |
Hotels, Restaurants & Leisure | 12,400 | 73,295 | |||||||||||
a |
MGM China Holdings Ltd. |
Hotels, Restaurants & Leisure | 4,800 | 2,654 | ||||||||||
a |
Sands China Ltd. |
Hotels, Restaurants & Leisure | 13,600 | 34,130 | ||||||||||
a |
SJM Holdings Ltd. |
Hotels, Restaurants & Leisure | 12,500 | 4,682 | ||||||||||
a |
Wynn Macau Ltd. |
Hotels, Restaurants & Leisure | 8,400 | 5,393 | ||||||||||
|
|
|||||||||||||
120,154 | ||||||||||||||
|
|
|||||||||||||
Malaysia 1.9% | ||||||||||||||
Alliance Bank Malaysia Bhd., A |
Banks | 6,800 | 5,177 | |||||||||||
AMMB Holdings Bhd. |
Beverages | 12,000 | 10,093 | |||||||||||
Astro Malaysia Holdings Bhd., A |
Media | 6,800 | 1,122 | |||||||||||
Axiata Group Bhd., A |
Wireless Telecommunication Services | 26,000 | 14,690 | |||||||||||
British American Tobacco Malaysia Bhd., A |
Tobacco | 800 | 1,770 | |||||||||||
CIMB Group Holdings Bhd., A |
Banks | 35,600 | 39,385 | |||||||||||
Dialog Group Bhd., A |
Energy Equipment & Services | 23,200 | 9,956 | |||||||||||
Digi.com Bhd. |
Wireless Telecommunication Services | 18,000 | 13,121 | |||||||||||
FGV Holdings Bhd. |
Food Products | 3,600 | 1,095 | |||||||||||
Fraser & Neave Holdings Bhd. |
Beverages | 600 | 2,795 | |||||||||||
Gamuda Bhd. |
Construction & Engineering | 12,400 | 10,509 | |||||||||||
Genting Bhd. |
Hotels, Restaurants & Leisure | 12,800 | 12,367 | |||||||||||
Genting Malaysia Bhd. |
Hotels, Restaurants & Leisure | 16,000 | 9,627 | |||||||||||
Hartalega Holdings Bhd. |
Health Care Equipment & Supplies | 9,000 | 3,222 | |||||||||||
Hong Leong Bank Bhd. |
Banks | 3,600 | 15,915 | |||||||||||
Hong Leong Financial Group Bhd. |
Banks | 1,200 | 4,777 | |||||||||||
IHH Healthcare Bhd. |
Health Care Providers & Services | 11,600 | 14,760 | |||||||||||
IJM Corp. Bhd. |
Construction & Engineering | 17,600 | 6,339 | |||||||||||
IOI Corp. Bhd. |
Food Products | 18,000 | 14,634 |
franklintempleton.com |
Semiannual Report |
143 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Malaysia (continued) | ||||||||||||||
Kuala Lumpur Kepong Bhd. |
Food Products | 2,400 | $ | 10,714 | ||||||||||
Malayan Banking Bhd. |
Banks | 40,400 | 74,753 | |||||||||||
a |
Malaysia Airports Holdings Bhd. |
Transportation Infrastructure | 5,200 | 6,280 | ||||||||||
Maxis Bhd. |
Wireless Telecommunication Services | 11,600 | 8,781 | |||||||||||
MISC Bhd. |
Marine | 10,000 | 14,578 | |||||||||||
b |
MR DIY Group M Bhd., 144A |
Specialty Retail | 12,600 | 5,353 | ||||||||||
Nestle (Malaysia) Bhd. |
Food Products | 300 | 8,443 | |||||||||||
Petronas Chemicals Group Bhd. |
Chemicals | 16,000 | 28,950 | |||||||||||
Petronas Dagangan Bhd. |
Oil, Gas & Consumable Fuels | 1,600 | 6,908 | |||||||||||
Petronas Gas Bhd. |
Gas Utilities | 3,300 | 11,742 | |||||||||||
PPB Group Bhd. |
Food Products | 3,200 | 11,111 | |||||||||||
Press Metal Aluminium Holdings Bhd. |
Metals & Mining | 20,000 | 17,425 | |||||||||||
Public Bank Bhd. |
Banks | 80,800 | 73,708 | |||||||||||
QL Resources Bhd. |
Food Products | 6,500 | 6,981 | |||||||||||
RHB Bank Bhd. |
Banks | 9,200 | 11,031 | |||||||||||
Sime Darby Bhd. |
Industrial Conglomerates | 20,200 | 9,322 | |||||||||||
Sime Darby Plantation Bhd. |
Food Products | 20,400 | 17,993 | |||||||||||
Telekom Malaysia Bhd. |
Diversified Telecommunication Services | 6,800 | 8,022 | |||||||||||
Tenaga Nasional Bhd. |
Electric Utilities | 18,400 | 31,943 | |||||||||||
Top Glove Corp. Bhd. |
Health Care Equipment & Supplies | 30,000 | 4,044 | |||||||||||
Westports Holdings Bhd. |
Transportation Infrastructure | 4,000 | 2,640 | |||||||||||
YTL Corp. Bhd. |
Multi-Utilities | 23,613 | 2,953 | |||||||||||
|
|
|||||||||||||
565,029 | ||||||||||||||
|
|
|||||||||||||
Pakistan 0.0%† | ||||||||||||||
Fauji Fertilizer Co. Ltd. |
Chemicals | 4,000 | 1,777 | |||||||||||
Habib Bank Ltd. |
Banks | 4,000 | 1,222 | |||||||||||
Oil & Gas Development Co. Ltd. |
Oil, Gas & Consumable Fuels | 4,000 | 1,328 | |||||||||||
Pakistan Petroleum Ltd. |
Oil, Gas & Consumable Fuels | 4,008 | 1,080 | |||||||||||
|
|
|||||||||||||
5,407 | ||||||||||||||
|
|
|||||||||||||
Philippines 0.8% | ||||||||||||||
Aboitiz Power Corp., A |
Independent Power Producers & Energy Traders | 9,200 | 4,833 | |||||||||||
AC Energy Corp. |
Independent Power Producers & Energy Traders | 37,640 | 3,595 | |||||||||||
Alliance Global Group Inc., A |
Industrial Conglomerates | 22,000 | 3,096 | |||||||||||
Ayala Corp., A |
Diversified Financial Services | 1,600 | 16,812 | |||||||||||
Ayala Land Inc., A |
Real Estate Management & Development | 45,600 | 17,773 | |||||||||||
Bank of the Philippine Islands, A |
Banks | 10,160 | 15,511 | |||||||||||
BDO Unibank Inc., A |
Banks | 11,280 | 21,454 | |||||||||||
a |
Bloomberry Resorts Corp., H |
Hotels, Restaurants & Leisure | 17,200 | 1,966 | ||||||||||
a |
Converge Information and Communications Technology Solutions Inc. |
Diversified Telecommunication Services | 11,600 | 2,592 | ||||||||||
DMCI Holdings Inc., A |
Industrial Conglomerates | 20,400 | 3,442 | |||||||||||
a |
Emperador Inc. |
Beverages | 13,600 | 4,463 | ||||||||||
Globe Telecom Inc. |
Wireless Telecommunication Services | 160 | 5,540 | |||||||||||
GT Capital Holdings Inc. |
Diversified Financial Services | 600 | 4,254 | |||||||||||
International Container Terminal Services Inc. |
Transportation Infrastructure | 6,320 | 16,882 | |||||||||||
JG Summit Holdings Inc. |
Industrial Conglomerates | 17,160 | 12,308 | |||||||||||
Jollibee Foods Corp. |
Hotels, Restaurants & Leisure | 2,440 | 9,531 | |||||||||||
LT Group Inc. |
Industrial Conglomerates | 18,000 | 2,536 | |||||||||||
Manila Electric Co. |
Electric Utilities | 1,520 | 6,819 | |||||||||||
Megaworld Corp. |
Real Estate Management & Development | 72,000 | 2,505 | |||||||||||
Metro Pacific Investments Corp. |
Diversified Financial Services | 40,000 | 2,272 | |||||||||||
Metropolitan Bank & Trust Co. |
Banks | 10,260 | 8,488 | |||||||||||
b |
Monde Nissin Corp., 144A |
Food Products | 41,600 | 8,643 | ||||||||||
PLDT Inc. |
Wireless Telecommunication Services | 525 | 13,505 | |||||||||||
Puregold Price Club Inc. |
Food & Staples Retailing | 6,060 | 2,920 | |||||||||||
San Miguel Corp. |
Industrial Conglomerates | 2,180 | 3,642 |
144 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Philippines (continued) | ||||||||||||||
Semirara Mining and Power Corp. |
Oil, Gas & Consumable Fuels | 6,400 | $ | 4,258 | ||||||||||
SM Prime Holdings Inc. |
Real Estate Management & Development | 60,000 | 30,806 | |||||||||||
Universal Robina Corp. |
Food Products | 5,160 | 10,034 | |||||||||||
|
|
|||||||||||||
240,480 | ||||||||||||||
|
|
|||||||||||||
Singapore 3.7% | ||||||||||||||
Ascendas REIT, A |
Equity Real Estate Investment Trusts (REITs | ) | 19,600 | 36,744 | ||||||||||
Ascott Residence Trust, A |
Equity Real Estate Investment Trusts (REITs | ) | 10,400 | 7,103 | ||||||||||
b |
BOC Aviation Ltd., A, 144A |
Trading Companies & Distributors | 1,200 | 8,522 | ||||||||||
Capitaland Investment Ltd. |
Real Estate Management & Development | 14,400 | 34,823 | |||||||||||
CapitaLand Mall Trust, A |
Equity Real Estate Investment Trusts (REITs | ) | 28,800 | 38,537 | ||||||||||
City Developments Ltd., H |
Real Estate Management & Development | 2,800 | 14,830 | |||||||||||
ComfortDelGro Corp. Ltd., H |
Road & Rail | 11,600 | 10,671 | |||||||||||
DBS Group Holdings Ltd., A |
Banks | 10,300 | 239,680 | |||||||||||
Frasers Logistics & Commercial Trust |
Equity Real Estate Investment Trusts (REITs | ) | 16,000 | 13,715 | ||||||||||
Genting Singapore Ltd. |
Hotels, Restaurants & Leisure | 32,800 | 17,944 | |||||||||||
Golden Agri-Resources Ltd. |
Food Products | 34,400 | 6,353 | |||||||||||
Jardine Cycle & Carriage Ltd. |
Distributors | 600 | 14,129 | |||||||||||
Keppel Corp. Ltd. |
Industrial Conglomerates | 8,000 | 38,748 | |||||||||||
Keppel DC REIT |
Equity Real Estate Investment Trusts (REITs | ) | 7,200 | 8,530 | ||||||||||
Keppel REIT |
Equity Real Estate Investment Trusts (REITs | ) | 9,600 | 6,624 | ||||||||||
Mapletree Commercial Trust |
Equity Real Estate Investment Trusts (REITs | ) | 12,400 | 14,864 | ||||||||||
Mapletree Industrial Trust |
Equity Real Estate Investment Trusts (REITs | ) | 10,800 | 17,914 | ||||||||||
Mapletree Logistics Trust |
Equity Real Estate Investment Trusts (REITs | ) | 18,400 | 20,004 | ||||||||||
c |
NetLink NBN Trust, Reg S |
Diversified Telecommunication Services | 16,000 | 10,091 | ||||||||||
Olam Group Ltd. |
Food & Staples Retailing | 4,500 | 4,108 | |||||||||||
Oversea-Chinese Banking Corp. Ltd. |
Banks | 19,600 | 161,592 | |||||||||||
a |
SATS Ltd. |
Transportation Infrastructure | 3,700 | 7,762 | ||||||||||
SembCorp Industries Ltd. |
Industrial Conglomerates | 5,200 | 11,162 | |||||||||||
a |
SembCorp Marine Ltd. |
Machinery | 90,000 | 6,649 | ||||||||||
a |
SIA Engineering Co. Ltd. |
Transportation Infrastructure | 1,200 | 1,873 | ||||||||||
a |
Singapore Airlines Ltd. |
Airlines | 7,200 | 25,591 | ||||||||||
Singapore Exchange Ltd. |
Capital Markets | 4,400 | 29,008 | |||||||||||
Singapore Post Ltd. |
Air Freight & Logistics | 8,800 | 3,342 | |||||||||||
Singapore Technologies Engineering Ltd. |
Aerospace & Defense | 8,600 | 21,457 | |||||||||||
Singapore Telecommunications Ltd. |
Diversified Telecommunication Services | 42,800 | 79,342 | |||||||||||
StarHub Ltd. |
Wireless Telecommunication Services | 3,200 | 2,453 | |||||||||||
Suntec REIT |
Equity Real Estate Investment Trusts (REITs | ) | 12,000 | 12,795 | ||||||||||
United Overseas Bank Ltd. |
Banks | 7,300 | 133,088 | |||||||||||
UOL Group Ltd. |
Real Estate Management & Development | 2,400 | 11,123 | |||||||||||
Venture Corp. Ltd. |
Electronic Equipment, Instruments & Components | 1,500 | 17,175 | |||||||||||
Wilmar International Ltd. |
Food Products | 12,000 | 32,114 | |||||||||||
a |
Yangzijiang Financial Holding Ltd. |
Capital Markets | 14,400 | 3,763 | ||||||||||
Yanlord Land Group Ltd. |
Real Estate Management & Development | 3,200 | 2,130 | |||||||||||
|
|
|||||||||||||
1,126,353 | ||||||||||||||
|
|
|||||||||||||
South Korea 11.3% | ||||||||||||||
a |
Alteogen Inc., A |
Biotechnology | 160 | 5,072 | ||||||||||
Amorepacific Corp., H |
Personal Products | 164 | 11,692 | |||||||||||
AMOREPACIFIC Group, A |
Personal Products | 168 | 3,153 | |||||||||||
BGF retail Co. Ltd. |
Food & Staples Retailing | 36 | 4,164 | |||||||||||
BNK Financial Group Inc., H |
Banks | 1,692 | 7,119 | |||||||||||
Celltrion Healthcare Co. Ltd., A |
Health Care Providers & Services | 540 | 25,590 | |||||||||||
Celltrion Inc., A |
Biotechnology | 588 | 72,128 | |||||||||||
a |
Celltrion Pharm Inc., A |
Pharmaceuticals | 109 | 4,884 | ||||||||||
Cheil Worldwide Inc., A |
Media | 408 | 6,473 | |||||||||||
CJ CheilJedang Corp., A |
Food Products | 44 | 12,640 | |||||||||||
CJ Corp., A |
Industrial Conglomerates | 68 | 3,303 |
franklintempleton.com |
Semiannual Report |
145 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
South Korea (continued) | ||||||||||||||
CJ ENM Co. Ltd., A |
Internet & Catalog Retail | 62 | $ | 3,298 | ||||||||||
a |
CJ Logistics Corp., A |
Road & Rail | 48 | 3,033 | ||||||||||
Coway Co. Ltd. |
Household Durables | 320 | 12,056 | |||||||||||
a |
Daewoo Engineering & Construction Co. Ltd., A |
Construction & Engineering | 976 | 2,811 | ||||||||||
a |
Daewoo Shipbuilding & Marine Engineering Co. Ltd., A |
Machinery | 280 | 3,709 | ||||||||||
DB Insurance Co. Ltd., A |
Insurance | 248 | 9,568 | |||||||||||
DGB Financial Group Inc., A |
Banks | 892 | 4,346 | |||||||||||
DL E&C Co. Ltd., A |
Construction & Engineering | 176 | 4,219 | |||||||||||
DL Holdings Co. Ltd., A |
Construction & Engineering | 72 | 2,884 | |||||||||||
Dongsuh Cos. Inc., A |
Food & Staples Retailing | 176 | 2,559 | |||||||||||
Doosan Bobcat Inc., A |
Machinery | 124 | 2,470 | |||||||||||
a |
Doosan Enerbility Co. Ltd., H |
Electrical Equipment | 2,212 | 22,032 | ||||||||||
Ecopro BM Co. Ltd. |
Electrical Equipment | 224 | 13,794 | |||||||||||
E-MART Inc., A |
Food & Staples Retailing | 116 | 6,803 | |||||||||||
F&F Co. Ltd. / New |
Textiles, Apparel & Luxury Goods | 90 | 8,650 | |||||||||||
Fila Holdings Corp. |
Textiles, Apparel & Luxury Goods | 280 | 6,126 | |||||||||||
Green Cross Corp. |
Biotechnology | 32 | 2,762 | |||||||||||
GS Engineering & Construction Corp. |
Construction & Engineering | 352 | 5,548 | |||||||||||
GS Holdings Corp. |
Oil, Gas & Consumable Fuels | 288 | 8,394 | |||||||||||
GS Retail Co. Ltd. |
Food & Staples Retailing | 216 | 3,865 | |||||||||||
Hana Financial Group Inc. |
Banks | 1,632 | 40,438 | |||||||||||
a |
Hanjin Kal Corp. |
Airlines | 126 | 3,289 | ||||||||||
Hankook Tire & Technology Co. Ltd. |
Auto Components | 416 | 10,250 | |||||||||||
Hanmi Pharm Co. Ltd. |
Pharmaceuticals | 44 | 7,043 | |||||||||||
Hanmi Science Co. Ltd. |
Pharmaceuticals | 89 | 1,963 | |||||||||||
Hanon Systems |
Auto Components | 956 | 5,559 | |||||||||||
Hanssem Co. Ltd. |
Household Durables | 60 | 1,793 | |||||||||||
Hanwha Aerospace Co. Ltd. |
Aerospace & Defense | 192 | 8,253 | |||||||||||
Hanwha Corp. |
Industrial Conglomerates | 228 | 3,896 | |||||||||||
Hanwha Corp. |
Industrial Conglomerates | 100 | 979 | |||||||||||
a |
Hanwha Life Insurance Co. Ltd. |
Insurance | 1,644 | 2,402 | ||||||||||
a |
Hanwha Solutions Corp. |
Chemicals | 640 | 21,114 | ||||||||||
HD Hyundai Co. Ltd. |
Machinery | 280 | 10,588 | |||||||||||
Hite Jinro Co. Ltd. |
Beverages | 176 | 3,260 | |||||||||||
HL Mando Co. Ltd. |
Auto Components | 196 | 6,076 | |||||||||||
a |
HLB Inc. |
Leisure Products | 508 | 15,215 | ||||||||||
HMM Co. Ltd. |
Marine | 1,632 | 21,103 | |||||||||||
Hotel Shilla Co. Ltd. |
Specialty Retail | 180 | 9,046 | |||||||||||
a |
HYBE Co. Ltd. |
Entertainment | 104 | 9,813 | ||||||||||
Hyundai Department Store Co. Ltd. |
Multiline Retail | 84 | 3,194 | |||||||||||
a |
Hyundai Doosan Infracore Co. Ltd. |
Machinery | 740 | 2,302 | ||||||||||
Hyundai Engineering & Construction Co. Ltd. |
Construction & Engineering | 408 | 10,694 | |||||||||||
Hyundai Glovis Co. Ltd. |
Air Freight & Logistics | 104 | 11,812 | |||||||||||
a |
Hyundai Heavy Industries Co. Ltd. |
Machinery | 80 | 6,430 | ||||||||||
Hyundai Marine & Fire Insurance Co. Ltd. |
Insurance | 349 | 7,147 | |||||||||||
a |
Hyundai Mipo Dockyard Co. Ltd. |
Machinery | 117 | 8,423 | ||||||||||
Hyundai Mobis Co. Ltd. |
Auto Components | 348 | 46,458 | |||||||||||
Hyundai Motor Co. |
Automobiles | 768 | 94,745 | |||||||||||
Hyundai Steel Co. |
Metals & Mining | 424 | 8,328 | |||||||||||
Hyundai Wia Corp. |
Auto Components | 96 | 4,033 | |||||||||||
Iljin Materials Co. Ltd. |
Electronic Equipment, Instruments & Components | 100 | 3,551 | |||||||||||
Industrial Bank of Korea |
Banks | 1,456 | 9,688 | |||||||||||
Kakao Corp. |
Interactive Media & Services | 1,712 | 68,327 | |||||||||||
a |
Kakao Games Corp. |
Entertainment | 156 | 4,650 | ||||||||||
a |
KakaoBank Corp. |
Banks | 876 | 12,276 | ||||||||||
a |
Kakaopay Corp. |
IT Services | 120 | 4,118 | ||||||||||
a |
Kangwon Land Inc. |
Hotels, Restaurants & Leisure | 616 | 10,140 |
146 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
South Korea (continued) | ||||||||||||||
KB Financial Group Inc. |
Banks | 2,200 | $ | 67,198 | ||||||||||
KCC Corp. |
Building Products | 25 | 4,045 | |||||||||||
KEPCO Plant Service & Engineering Co. Ltd. |
Commercial Services & Supplies | 132 | 3,201 | |||||||||||
Kia Corp. |
Automobiles | 1,460 | 73,372 | |||||||||||
Korea Aerospace Industries Ltd. |
Aerospace & Defense | 400 | 13,546 | |||||||||||
a |
Korea Electric Power Corp. |
Electric Utilities | 1,432 | 20,118 | ||||||||||
Korea Gas Corp. |
Gas Utilities | 152 | 3,591 | |||||||||||
Korea Investment Holdings Co. Ltd. |
Capital Markets | 208 | 6,906 | |||||||||||
a |
Korea Shipbuilding & Offshore Engineering Co Ltd. |
Machinery | 244 | 12,433 | ||||||||||
Korea Zinc Co. Ltd. |
Metals & Mining | 56 | 23,289 | |||||||||||
a |
Korean Air Lines Co. Ltd. |
Airlines | 1,000 | 15,447 | ||||||||||
a |
Krafton Inc. |
Entertainment | 152 | 22,311 | ||||||||||
KT&G Corp. |
Tobacco | 604 | 36,560 | |||||||||||
Kumho Petrochemical Co. Ltd. |
Chemicals | 96 | 7,750 | |||||||||||
a |
L&F Co. Ltd. |
Electronic Equipment, Instruments & Components | 124 | 15,401 | ||||||||||
LG Chem Ltd. |
Chemicals | 258 | 96,658 | |||||||||||
LG Corp. |
Industrial Conglomerates | 496 | 25,655 | |||||||||||
LG Display Co. Ltd. |
Electronic Equipment, Instruments & Components | 1,264 | 10,602 | |||||||||||
LG Electronics Inc. |
Household Durables | 608 | 33,402 | |||||||||||
a |
LG Energy Solution Ltd. |
Electrical Equipment | 196 | 58,429 | ||||||||||
LG H&H Co. Ltd. |
Personal Products | 50 | 22,122 | |||||||||||
LG Innotek Co. Ltd. |
Electronic Equipment, Instruments & Components | 80 | 15,293 | |||||||||||
LG Uplus Corp. |
Diversified Telecommunication Services | 1,204 | 9,047 | |||||||||||
Lotte Chemical Corp. |
Chemicals | 84 | 8,455 | |||||||||||
Lotte Chilsung Beverage Co. Ltd. |
Beverages | 20 | 2,230 | |||||||||||
Lotte Corp. |
Industrial Conglomerates | 152 | 4,069 | |||||||||||
LOTTE Fine Chemical Co. Ltd. |
Chemicals | 96 | 3,778 | |||||||||||
Lotte Shopping Co. Ltd. |
Multiline Retail | 64 | 3,869 | |||||||||||
LS Corp. |
Electrical Equipment | 92 | 3,646 | |||||||||||
Meritz Financial Group Inc. |
Diversified Financial Services | 156 | 2,273 | |||||||||||
Mirae Asset Securities Co. Ltd. |
Capital Markets | 1,496 | 6,253 | |||||||||||
Mirae Asset Securities Co. Ltd. |
Capital Markets | 824 | 2,105 | |||||||||||
NAVER Corp. |
Interactive Media & Services | 816 | 110,363 | |||||||||||
NCSoft Corp. |
Entertainment | 90 | 21,766 | |||||||||||
b |
Netmarble Corp., 144A |
Software | 100 | 3,586 | ||||||||||
NH Investment & Securities Co. Ltd. |
Capital Markets | 740 | 4,650 | |||||||||||
a |
NHN Corp. |
Software | 88 | 1,322 | ||||||||||
NongShim Co. Ltd. |
Food Products | 20 | 4,166 | |||||||||||
OCI Co. Ltd. |
Chemicals | 100 | 6,361 | |||||||||||
Orion Corp/Republic of Korea |
Food Products | 128 | 9,215 | |||||||||||
Ottogi Corp. |
Food Products | 8 | 2,578 | |||||||||||
Pan Ocean Co. Ltd. |
Marine | 1,132 | 3,560 | |||||||||||
a |
Paradise Co. Ltd. |
Hotels, Restaurants & Leisure | 272 | 2,928 | ||||||||||
a |
Pearl Abyss Corp. |
Entertainment | 172 | 5,608 | ||||||||||
POSCO Chemical Co. Ltd. |
Construction Materials | 152 | 15,936 | |||||||||||
POSCO Holdings Inc. |
Metals & Mining | 424 | 62,532 | |||||||||||
Posco International Corp. |
Trading Companies & Distributors | 296 | 4,324 | |||||||||||
S-1 Corp. |
Commercial Services & Supplies | 100 | 4,047 | |||||||||||
a,b |
Samsung Biologics Co. Ltd., 144A |
Life Sciences Tools & Services | 104 | 58,662 | ||||||||||
Samsung C&T Corp. |
Industrial Conglomerates | 476 | 34,435 | |||||||||||
Samsung Card Co. Ltd. |
Consumer Finance | 176 | 3,715 | |||||||||||
Samsung Electro-Mechanics Co. Ltd. |
Electronic Equipment, Instruments & Components | 316 | 24,738 | |||||||||||
Samsung Electronics Co. Ltd. |
Technology Hardware, Storage & Peripherals | 26,740 | 992,447 | |||||||||||
a |
Samsung Engineering Co. Ltd. |
Construction & Engineering | 896 | 14,248 | ||||||||||
Samsung Fire & Marine Insurance Co. Ltd. |
Insurance | 188 | 24,178 | |||||||||||
a |
Samsung Heavy Industries Co. Ltd. |
Machinery | 3,422 | 12,701 | ||||||||||
Samsung Life Insurance Co. Ltd. |
Insurance | 368 | 16,050 |
franklintempleton.com |
Semiannual Report |
147 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
South Korea (continued) | ||||||||||||||
Samsung SDI Co. Ltd. |
Electronic Equipment, Instruments & Components | 298 | $ | 113,726 | ||||||||||
Samsung SDS Co. Ltd. |
IT Services | 204 | 16,398 | |||||||||||
Samsung Securities Co. Ltd. |
Capital Markets | 368 | 7,909 | |||||||||||
SD Biosensor Inc. |
Health Care Equipment & Supplies | 196 | 3,644 | |||||||||||
Seegene Inc. |
Biotechnology | 168 | 3,147 | |||||||||||
a |
Shin Poong Pharmaceutical Co. Ltd. |
Pharmaceuticals | 196 | 2,726 | ||||||||||
Shinhan Financial Group Co. Ltd. |
Banks | 2,824 | 66,124 | |||||||||||
Shinsegae Inc. |
Multiline Retail | 40 | 6,458 | |||||||||||
a,d |
SillaJen Inc. |
Biotechnology | 196 | — | ||||||||||
a |
SK Biopharmaceuticals Co. Ltd. |
Pharmaceuticals | 144 | 5,727 | ||||||||||
a |
SK Bioscience Co. Ltd. |
Biotechnology | 112 | 6,286 | ||||||||||
SK Chemicals Co. Ltd. |
Chemicals | 80 | 5,088 | |||||||||||
SK Hynix Inc. |
Semiconductors & Semiconductor Equipment | 3,024 | 175,644 | |||||||||||
a,b |
SK IE Technology Co. Ltd., 144A |
Chemicals | 148 | 5,421 | ||||||||||
SK Inc. |
Industrial Conglomerates | 200 | 26,840 | |||||||||||
a |
SK Innovation Co. Ltd. |
Oil, Gas & Consumable Fuels | 292 | 29,288 | ||||||||||
SK Networks Co. Ltd. |
Trading Companies & Distributors | 832 | 2,303 | |||||||||||
a |
SK Square Co. Ltd. |
Semiconductors & Semiconductor Equipment | 564 | 14,251 | ||||||||||
SK Telecom Co. Ltd. |
Wireless Telecommunication Services | 188 | 6,675 | |||||||||||
SKC Co. Ltd. |
Chemicals | 108 | 6,333 | |||||||||||
S-Oil Corp. |
Oil, Gas & Consumable Fuels | 232 | 13,135 | |||||||||||
Solus Advanced Materials Co. Ltd. |
Electronic Equipment, Instruments & Components | 82 | 1,714 | |||||||||||
SSANGYONG C&E Co. Ltd. |
Construction Materials | 656 | 2,691 | |||||||||||
Wemade Co. Ltd. |
Entertainment | 96 | 3,073 | |||||||||||
Woori Financial Group Inc. |
Banks | 3,588 | 26,834 | |||||||||||
Yuhan Corp. |
Pharmaceuticals | 280 | 10,627 | |||||||||||
|
|
|||||||||||||
3,422,773 | ||||||||||||||
|
|
|||||||||||||
Taiwan 15.3% | ||||||||||||||
Accton Technology Corp. |
Communications Equipment | 3,000 | 25,749 | |||||||||||
Acer Inc., H |
Technology Hardware, Storage & Peripherals | 16,000 | 11,037 | |||||||||||
Advanced Energy Solution Holding Co. Ltd. |
Electrical Equipment | 120 | 2,411 | |||||||||||
Advantech Co. Ltd. |
Technology Hardware, Storage & Peripherals | 2,000 | 18,489 | |||||||||||
ASE Industrial Holding Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 19,000 | 47,935 | |||||||||||
Asia Cement Corp. |
Construction Materials | 14,330 | 17,783 | |||||||||||
ASMedia Technology Inc. |
Semiconductors & Semiconductor Equipment | 200 | 4,183 | |||||||||||
ASPEED Technology Inc. |
Semiconductors & Semiconductor Equipment | 176 | 9,867 | |||||||||||
Asustek Computer Inc. |
Technology Hardware, Storage & Peripherals | 4,000 | 29,481 | |||||||||||
AU Optronics Corp., H |
Electronic Equipment, Instruments & Components | 50,000 | 23,150 | |||||||||||
Capital Securities Corp., A |
Capital Markets | 12,000 | 3,988 | |||||||||||
Catcher Technology Co. Ltd. |
Technology Hardware, Storage & Peripherals | 4,270 | 23,200 | |||||||||||
Cathay Financial Holding Co. Ltd., A |
Insurance | 47,000 | 59,140 | |||||||||||
Chailease Holding Co. Ltd., A |
Diversified Financial Services | 7,938 | 45,629 | |||||||||||
Chang Hwa Commercial Bank Ltd., A |
Banks | 37,673 | 20,350 | |||||||||||
Cheng Shin Rubber Industry Co. Ltd., A |
Auto Components | 10,000 | 11,244 | |||||||||||
Chicony Electronics Co. Ltd. |
Technology Hardware, Storage & Peripherals | 3,000 | 7,786 | |||||||||||
China Airlines Ltd., A |
Airlines | 16,000 | 9,903 | |||||||||||
China Development Financial Holding Corp., A |
Banks | 92,000 | 34,773 | |||||||||||
China Motor Corp., A |
Automobiles | 1,060 | 1,357 | |||||||||||
China Steel Corp., A |
Metals & Mining | 70,000 | 58,868 | |||||||||||
Chunghwa Telecom Co. Ltd. |
Diversified Telecommunication Services | 21,000 | 75,404 | |||||||||||
Compal Electronics Inc., H |
Technology Hardware, Storage & Peripherals | 24,000 | 16,404 | |||||||||||
CTBC Financial Holding Co. Ltd., A |
Banks | 103,000 | 64,397 | |||||||||||
Delta Electronics Inc., A |
Electronic Equipment, Instruments & Components | 12,000 | 95,625 | |||||||||||
E Ink Holdings Inc. |
Electronic Equipment, Instruments & Components | 5,000 | 33,387 | |||||||||||
E.Sun Financial Holding Co. Ltd., A |
Banks | 76,852 | 62,331 | |||||||||||
Eclat Textile Co. Ltd., A |
Textiles, Apparel & Luxury Goods | 1,160 | 14,322 | |||||||||||
eMemory Technology Inc. |
Semiconductors & Semiconductor Equipment | 400 | 14,426 |
148 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Taiwan (continued) | ||||||||||||||
ENNOSTAR Inc., H |
Semiconductors & Semiconductor Equipment | 3,330 | $ | 4,348 | ||||||||||
Eternal Materials Co. Ltd., H |
Chemicals | 6,000 | 5,726 | |||||||||||
EVA Airways Corp., H |
Airlines | 14,000 | 12,435 | |||||||||||
Evergreen Marine Corp. Taiwan Ltd. |
Marine | 6,000 | 27,591 | |||||||||||
Far Eastern International Bank |
Banks | 13,770 | 4,814 | |||||||||||
Far Eastern New Century Corp. |
Industrial Conglomerates | 22,000 | 22,416 | |||||||||||
Far EasTone Telecommunications Co. Ltd. |
Wireless Telecommunication Services | 9,000 | 20,523 | |||||||||||
Feng Tay Enterprise Co. Ltd. |
Textiles, Apparel & Luxury Goods | 2,640 | 13,138 | |||||||||||
First Financial Holding Co. Ltd. |
Banks | 59,160 | 48,448 | |||||||||||
a,b |
FIT Hon Teng Ltd., 144A |
Electronic Equipment, Instruments & Components | 8,000 | 948 | ||||||||||
Formosa Chemicals & Fibre Corp. |
Chemicals | 19,000 | 41,353 | |||||||||||
Formosa Petrochemical Corp. |
Oil, Gas & Consumable Fuels | 7,000 | 18,278 | |||||||||||
Formosa Plastics Corp. |
Chemicals | 21,000 | 57,281 | |||||||||||
Formosa Sumco Technology Corp. |
Semiconductors & Semiconductor Equipment | 400 | 1,726 | |||||||||||
Formosa Taffeta Co. Ltd. |
Textiles, Apparel & Luxury Goods | 6,000 | 5,112 | |||||||||||
Foxconn Technology Co. Ltd. |
Technology Hardware, Storage & Peripherals | 6,000 | 8,665 | |||||||||||
Fubon Financial Holding Co. Ltd. |
Insurance | 42,000 | 66,012 | |||||||||||
Genius Electronic Optical Co. Ltd. |
Electronic Equipment, Instruments & Components | 520 | 5,659 | |||||||||||
Giant Manufacturing Co. Ltd. |
Leisure Products | 1,730 | 11,198 | |||||||||||
Globalwafers Co. Ltd. |
Semiconductors & Semiconductor Equipment | 1,200 | 13,852 | |||||||||||
Hiwin Technologies Corp. |
Machinery | 1,685 | 9,394 | |||||||||||
Hon Hai Precision Industry Co. Ltd. |
Electronic Equipment, Instruments & Components | 67,000 | 215,251 | |||||||||||
Hotai Motor Co. Ltd. |
Specialty Retail | 1,800 | 32,429 | |||||||||||
a |
HTC Corp. |
Technology Hardware, Storage & Peripherals | 4,000 | 6,904 | ||||||||||
Hua Nan Financial Holdings Co. Ltd. |
Banks | 57,904 | 40,580 | |||||||||||
Innolux Corp. |
Electronic Equipment, Instruments & Components | 52,000 | 17,116 | |||||||||||
Inventec Corp. |
Technology Hardware, Storage & Peripherals | 17,000 | 12,262 | |||||||||||
Largan Precision Co. Ltd. |
Electronic Equipment, Instruments & Components | 580 | 30,599 | |||||||||||
Lite-On Technology Corp. |
Technology Hardware, Storage & Peripherals | 12,000 | 24,114 | |||||||||||
MediaTek Inc. |
Semiconductors & Semiconductor Equipment | 8,440 | 146,475 | |||||||||||
Mega Financial Holding Co. Ltd. |
Banks | 61,000 | 59,849 | |||||||||||
Micro-Star International Co. Ltd. |
Technology Hardware, Storage & Peripherals | 4,000 | 13,544 | |||||||||||
momo.com Inc. |
Internet & Catalog Retail | 336 | 5,651 | |||||||||||
Nan Ya Plastics Corp. |
Chemicals | 32,000 | 67,429 | |||||||||||
Nan Ya Printed Circuit Board Corp. |
Electronic Equipment, Instruments & Components | 1,330 | 7,917 | |||||||||||
Nanya Technology Corp. |
Semiconductors & Semiconductor Equipment | 4,330 | 6,676 | |||||||||||
Nien Made Enterprise Co. Ltd. |
Household Durables | 880 | 6,971 | |||||||||||
Novatek Microelectronics Corp. Ltd. |
Semiconductors & Semiconductor Equipment | 3,300 | 22,763 | |||||||||||
a |
OBI Pharma Inc. |
Biotechnology | 1,000 | 2,252 | ||||||||||
a |
Oneness Biotech Co. Ltd. |
Pharmaceuticals | 1,600 | 12,725 | ||||||||||
Pegatron Corp. |
Technology Hardware, Storage & Peripherals | 12,000 | 22,111 | |||||||||||
Pou Chen Corp. |
Textiles, Apparel & Luxury Goods | 15,000 | 13,465 | |||||||||||
Powerchip Semiconductor Manufacturing Corp. |
Semiconductors & Semiconductor Equipment | 16,000 | 14,363 | |||||||||||
Powertech Technology Inc. |
Semiconductors & Semiconductor Equipment | 4,000 | 9,714 | |||||||||||
President Chain Store Corp. |
Food & Staples Retailing | 3,200 | 28,473 | |||||||||||
Quanta Computer Inc. |
Technology Hardware, Storage & Peripherals | 15,000 | 36,379 | |||||||||||
Realtek Semiconductor Corp. |
Semiconductors & Semiconductor Equipment | 2,708 | 23,029 | |||||||||||
Ruentex Development Co. Ltd. |
Real Estate Management & Development | 9,000 | 14,571 | |||||||||||
Shin Kong Financial Holding Co. Ltd. |
Insurance | 76,041 | 19,664 | |||||||||||
Sino-American Silicon Products Inc. |
Semiconductors & Semiconductor Equipment | 3,060 | 12,626 | |||||||||||
SinoPac Financial Holdings Co. Ltd. |
Banks | 60,600 | 33,021 | |||||||||||
Synnex Technology International Corp. |
Electronic Equipment, Instruments & Components | 8,000 | 13,304 | |||||||||||
Taishin Financial Holding Co. Ltd. |
Banks | 65,257 | 28,159 | |||||||||||
Taiwan Business Bank |
Banks | 31,110 | 12,346 | |||||||||||
Taiwan Cement Corp. |
Construction Materials | 34,097 | 36,300 | |||||||||||
Taiwan Cooperative Financial Holding Co. Ltd. |
Banks | 57,680 | 47,690 | |||||||||||
Taiwan Fertilizer Co. Ltd. |
Chemicals | 4,000 | 6,942 | |||||||||||
Taiwan Glass Industry Corp. |
Building Products | 9,000 | 4,947 |
franklintempleton.com |
Semiannual Report |
149 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Taiwan (continued) | ||||||||||||||
Taiwan High Speed Rail Corp. |
Transportation Infrastructure | 12,000 | $ | 10,772 | ||||||||||
Taiwan Mobile Co. Ltd. |
Wireless Telecommunication Services | 10,330 | 31,105 | |||||||||||
Taiwan Secom Co. Ltd. |
Commercial Services & Supplies | 1,330 | 4,231 | |||||||||||
Taiwan Semiconductor Manufacturing Co. Ltd. |
Semiconductors & Semiconductor Equipment | 135,720 | 1,803,957 | |||||||||||
Teco Electric & Machinery Co. Ltd. |
Electrical Equipment | 11,000 | 9,753 | |||||||||||
The Shanghai Commercial & Savings Bank Ltd. |
Banks | 19,000 | 29,443 | |||||||||||
Transcend Information Inc. |
Technology Hardware, Storage & Peripherals | 1,330 | 2,702 | |||||||||||
U-Ming Marine Transport Corp. |
Marine | 2,000 | 2,299 | |||||||||||
Unimicron Technology Corp. |
Electronic Equipment, Instruments & Components | 7,000 | 25,906 | |||||||||||
Uni-President Enterprises Corp. |
Food Products | 27,000 | 57,233 | |||||||||||
United Microelectronics Corp. |
Semiconductors & Semiconductor Equipment | 66,000 | 74,317 | |||||||||||
Vanguard International Semiconductor Corp. |
Semiconductors & Semiconductor Equipment | 5,000 | 10,237 | |||||||||||
Voltronic Power Technology Corp. |
Electrical Equipment | 370 | 16,374 | |||||||||||
Walsin Lihwa Corp. |
Electrical Equipment | 19,258 | 24,566 | |||||||||||
Walsin Technology Corp. |
Electronic Equipment, Instruments & Components | 2,800 | 6,570 | |||||||||||
Wan Hai Lines Ltd. |
Marine | 5,060 | 10,646 | |||||||||||
Win Semiconductors Corp. |
Semiconductors & Semiconductor Equipment | 2,000 | 7,780 | |||||||||||
Winbond Electronics Corp. |
Semiconductors & Semiconductor Equipment | 17,000 | 10,575 | |||||||||||
Wistron Corp. |
Technology Hardware, Storage & Peripherals | 16,000 | 13,380 | |||||||||||
Wiwynn Corp. |
Technology Hardware, Storage & Peripherals | 480 | 12,216 | |||||||||||
Yageo Corp. |
Electronic Equipment, Instruments & Components | 3,000 | 25,418 | |||||||||||
Yang Ming Marine Transport Corp. |
Marine | 10,000 | 19,371 | |||||||||||
Yuanta Financial Holding Co. Ltd. |
Capital Markets | 67,980 | 41,860 | |||||||||||
Yulon Motor Co. Ltd. |
Automobiles | 3,271 | 4,229 | |||||||||||
Zhen Ding Technology Holding Ltd. |
Electronic Equipment, Instruments & Components | 3,000 | 10,016 | |||||||||||
|
|
|||||||||||||
4,615,103 | ||||||||||||||
|
|
|||||||||||||
Thailand 2.7% | ||||||||||||||
Advanced Info Service PCL, NVDR |
Wireless Telecommunication Services | 6,400 | 33,086 | |||||||||||
a |
Airports of Thailand Public Co. Ltd., H, NVDR |
Transportation Infrastructure | 24,400 | 46,898 | ||||||||||
Asset World Corp PCL, H, NVDR |
Hotels, Restaurants & Leisure | 42,400 | 6,520 | |||||||||||
B Grimm Power PCL, A, NVDR |
Independent Power Producers & Energy Traders | 4,400 | 3,937 | |||||||||||
Bangkok Bank PCL, A, fgn. |
Banks | 2,400 | 8,685 | |||||||||||
Bangkok Bank PCL, A, NVDR |
Banks | 1,200 | 4,343 | |||||||||||
Bangkok Dusit Medical Services PCL, A, NVDR |
Health Care Providers & Services | 50,400 | 39,417 | |||||||||||
Bangkok Expressway and Metro PCL, H, NVDR |
Transportation Infrastructure | 44,400 | 10,829 | |||||||||||
Bangkok Life Assurance PCL, A, NVDR |
Insurance | 2,800 | 2,505 | |||||||||||
Banpu PCL, A, NVDR |
Oil, Gas & Consumable Fuels | 32,000 | 10,435 | |||||||||||
Berli Jucker PCL, A, NVDR |
Food & Staples Retailing | 5,600 | 4,862 | |||||||||||
BTS Group Holdings PCL, A, NVDR |
Road & Rail | 48,000 | 10,562 | |||||||||||
Bumrungrad Hospital PCL, NVDR |
Health Care Providers & Services | 3,200 | 19,258 | |||||||||||
Carabao Group PCL, A, NVDR |
Beverages | 2,000 | 4,520 | |||||||||||
Central Pattana PCL, A, NVDR |
Real Estate Management & Development | 15,600 | 26,986 | |||||||||||
Central Retail Corp. PCL, A, NVDR |
Multiline Retail | 16,000 | 16,755 | |||||||||||
Charoen Pokphand Foods PCL, A, NVDR |
Food Products | 28,400 | 18,823 | |||||||||||
CP ALL PCL, B, NVDR |
Food & Staples Retailing | 34,000 | 50,703 | |||||||||||
Delta Electronics Thailand PCL, A, NVDR |
Electronic Equipment, Instruments & Components | 1,600 | 27,741 | |||||||||||
Digital Telecommunications Infrastructure Fund, A, fgn. |
Diversified Financial Services | 29,600 | 10,594 | |||||||||||
Electricity Generating PCL, A, NVDR |
Independent Power Producers & Energy Traders | 1,600 | 6,999 | |||||||||||
Energy Absolute PCL, A, NVDR |
Oil, Gas & Consumable Fuels | 9,600 | 22,460 | |||||||||||
Global Power Synergy PCL, NVDR |
Independent Power Producers & Energy Traders | 4,000 | 6,760 | |||||||||||
Gulf Energy Development PCL, NVDR |
Independent Power Producers & Energy Traders | 24,400 | 33,961 | |||||||||||
Home Product Center PCL, NVDR, NVDR |
Specialty Retail | 32,000 | 11,453 | |||||||||||
Indorama Ventures PCL, NVDR |
Chemicals | 10,000 | 10,339 | |||||||||||
Intouch Holdings PCL, NVDR |
Wireless Telecommunication Services | 8,000 | 15,430 | |||||||||||
IRPC PCL, NVDR |
Oil, Gas & Consumable Fuels | 55,600 | 4,599 | |||||||||||
Kasikornbank PCL, fgn. |
Banks | 6,000 | 23,144 |
150 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Thailand (continued) | ||||||||||||||
Kasikornbank PCL, NVDR |
Banks | 2,000 | $ | 7,635 | ||||||||||
Krung Thai Bank PCL, NVDR |
Banks | 35,200 | 15,584 | |||||||||||
Krungthai Card PCL, NVDR |
Consumer Finance | 7,500 | 11,433 | |||||||||||
Land and Houses PCL, NVDR |
Real Estate Management & Development | 47,600 | 11,231 | |||||||||||
a |
Minor International PCL, NVDR |
Hotels, Restaurants & Leisure | 22,800 | 16,018 | ||||||||||
Muangthai Capital PCL, NVDR |
Consumer Finance | 4,000 | 3,844 | |||||||||||
Osotspa PCL, NVDR |
Beverages | 7,600 | 5,490 | |||||||||||
PTT Exploration and Production PCL, NVDR |
Oil, Gas & Consumable Fuels | 8,000 | 34,040 | |||||||||||
PTT Global Chemical PCL, NVDR |
Chemicals | 11,200 | 12,322 | |||||||||||
PTT Oil & Retail Business PCL, NVDR |
Specialty Retail | 15,600 | 10,650 | |||||||||||
PTT PCL, NVDR |
Oil, Gas & Consumable Fuels | 81,200 | 73,192 | |||||||||||
Ratch Group PCL, NVDR |
Independent Power Producers & Energy Traders | 6,800 | 7,391 | |||||||||||
SCB X PCL |
Banks | 9,600 | 26,469 | |||||||||||
SCG Packaging PCL, NVDR |
Containers & Packaging | 6,800 | 9,374 | |||||||||||
Siam City Cement PCL, NVDR |
Construction Materials | 400 | 1,623 | |||||||||||
Siam Makro Public Company Ltd., NVDR |
Food & Staples Retailing | 8,000 | 7,158 | |||||||||||
Sri Trang Gloves Thailand PCL, NVDR |
Health Care Equipment & Supplies | 5,600 | 1,692 | |||||||||||
Srisawad Corp. PCL, NVDR |
Consumer Finance | 3,600 | 4,104 | |||||||||||
Thai Oil PCL, NVDR |
Oil, Gas & Consumable Fuels | 6,075 | 8,254 | |||||||||||
Thai Union Group PCL, NVDR |
Food Products | 16,400 | 8,130 | |||||||||||
The Siam Cement PCL, NVDR |
Construction Materials | 4,000 | 34,571 | |||||||||||
TMB Bank PCL, NVDR |
Banks | 240,000 | 7,699 | |||||||||||
Total Access Communication PCL, NVDR |
Wireless Telecommunication Services | 4,000 | 4,825 | |||||||||||
True Corporation PCL, NVDR |
Diversified Telecommunication Services | 62,000 | 8,301 | |||||||||||
|
|
|||||||||||||
823,634 | ||||||||||||||
|
|
|||||||||||||
United Kingdom 0.3% | ||||||||||||||
CK Hutchison Holdings Ltd., A |
Real Estate Management & Development | 15,000 | 82,931 | |||||||||||
|
|
|||||||||||||
United States 0.1% | ||||||||||||||
b |
JS Global Lifestyle Co. Ltd., 144A |
Household Durables | 6,000 | 5,801 | ||||||||||
Parade Technologies Ltd. |
Semiconductors & Semiconductor Equipment | 400 | 7,459 | |||||||||||
a,b |
Samsonite International SA, 144A |
Textiles, Apparel & Luxury Goods | 7,200 | 17,445 | ||||||||||
|
|
|||||||||||||
30,705 | ||||||||||||||
|
|
|||||||||||||
Total Common Stocks (Cost $37,725,806) |
30,144,540 | |||||||||||||
|
|
|||||||||||||
Preferred Stocks 0.6% | ||||||||||||||
South Korea 0.6% | ||||||||||||||
e |
Amorepacific Corp., 2.345%, pfd. |
Personal Products | 60 | 1,761 | ||||||||||
e |
CJ CheilJedang Corp., 4.184%, pfd. |
Food Products | 8 | 942 | ||||||||||
e |
Hyundai Motor Co., 6.093%, pfd. |
Automobiles | 196 | 11,467 | ||||||||||
e |
Hyundai Motor Co., 6.005%, pfd. |
Automobiles | 128 | 7,524 | ||||||||||
e |
LG Chem Ltd., 4.782%, pfd. |
Chemicals | 45 | 7,926 | ||||||||||
e |
LG Electronics Inc., 2.436%, pfd. |
Household Durables | 88 | 2,273 | ||||||||||
e |
LG H&H Co. Ltd., 3.657%, pfd. |
Personal Products | 12 | 2,764 | ||||||||||
e |
Samsung Electronics Co. Ltd., 2.311%, pfd. |
Technology Hardware, Storage & Peripherals | 4,624 | 151,580 | ||||||||||
e |
Samsung Fire & Marine Insurance Co. Ltd., 7.77%, pfd. |
Insurance | 16 | 1,728 | ||||||||||
e |
Samsung SDI Co. Ltd., 0.387%, pfd. |
Electronic Equipment, Instruments & Components | 8 | 1,515 | ||||||||||
|
|
|||||||||||||
Total Preferred Stocks (Cost $272,013) |
189,480 | |||||||||||||
|
|
franklintempleton.com |
Semiannual Report |
151 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Asia ex Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Right 0.0%† | ||||||||||||||
Philippines 0.0%† | ||||||||||||||
a |
GLOBE TELECOM Inc. RIGHTS |
Wireless Telecommunication Services | 12 | $ | 72 | |||||||||
|
|
|||||||||||||
Total Rights (Cost $0) |
72 | |||||||||||||
|
|
|||||||||||||
Total Investments (Cost $37,997,819) 100.2% |
30,334,092 | |||||||||||||
Other Assets, less Liabilities (0.2)% |
(48,316 | ) | ||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 30,285,776 | ||||||||||||
|
|
†Rounds to less than 0.1% of net assets.
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $1,743,205, representing 5.8% of net assets.
cSecurity was purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration. At September 30, 2022, the value of was $220,645, representing 0.7% of net assets.
dFair valued using significant unobservable inputs. See Note 9 regarding fair value measurements.
eVariable rate security. The rate shown represents the yield at period end.
See Note 8 regarding other derivative information.
See Abbreviations on page 332.
152 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Australia ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$ | 31.55 | $ | 29.12 | $ | 17.38 | $ | 24.63 | $ | 24.67 | $ | 25.23 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment incomec |
1.06 | 1.48 | 0.81 | 1.07 | 1.29 | 0.52 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(8.39 | ) | 2.47 | 11.55 | (7.18 | ) | (0.37 | ) | (1.03 | ) | ||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(7.33 | ) | 3.95 | 12.36 | (6.11 | ) | 0.92 | (0.51 | ) | |||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(0.89 | ) | (1.52 | ) | (0.62 | ) | (1.14 | ) | (0.96 | ) | (0.05 | ) | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 23.33 | $ | 31.55 | $ | 29.12 | $ | 17.38 | $ | 24.63 | $ | 24.67 | ||||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(23.38)% | 13.93% | 71.72% | (26.23)% | 4.00% | (2.05)% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Total expenses |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
7.72% | 4.93% | 3.25% | 4.28% | 5.30% | 4.96% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$23,326 | $29,968 | $23,295 | $7,820 | $7,389 | $2,467 | ||||||||||||||||||
Portfolio turnover ratef |
3.13% | g | 15.26% | g | 6.98% | g | 8.16% | g | 4.56% | 1.63% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 3.13% | 15.26% | 6.98% | 8.16% |
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
153 |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 98.2% | ||||||||||||||
Australia 95.4% | ||||||||||||||
Adbri Ltd. |
Construction Materials | 9,580 | $ | 11,333 | ||||||||||
AGL Energy Ltd. |
Multi-Utilities | 13,960 | 61,393 | |||||||||||
a |
Allkem Ltd. |
Metals & Mining | 12,100 | 107,749 | ||||||||||
ALS Ltd. |
Professional Services | 9,980 | 65,001 | |||||||||||
Altium Ltd. |
Software | 2,260 | 50,029 | |||||||||||
Alumina Ltd. |
Metals & Mining | 52,220 | 42,472 | |||||||||||
a |
AMP Ltd. |
Diversified Financial Services | 68,080 | 47,930 | ||||||||||
Ampol Ltd. |
Oil, Gas & Consumable Fuels | 4,880 | 90,206 | |||||||||||
Ansell Ltd. |
Health Care Equipment & Supplies | 2,660 | 43,081 | |||||||||||
Apa Group |
Gas Utilities | 24,400 | 150,448 | |||||||||||
Aristocrat Leisure Ltd. |
Hotels, Restaurants & Leisure | 13,820 | 292,513 | |||||||||||
Atlas Arteria Ltd. |
Transportation Infrastructure | 29,856 | 119,591 | |||||||||||
Aurizon Holdings Ltd. |
Road & Rail | 36,480 | 80,919 | |||||||||||
Australia & New Zealand Banking Group Ltd. |
Banks | 63,660 | 933,208 | |||||||||||
Australian Stock Exchange Ltd. |
Capital Markets | 4,000 | 184,552 | |||||||||||
Bank of Queensland Ltd. |
Banks | 13,340 | 55,836 | |||||||||||
Beach Energy Ltd. |
Oil, Gas & Consumable Fuels | 36,580 | 34,926 | |||||||||||
Bendigo and Adelaide Bank Ltd. |
Banks | 11,700 | 58,600 | |||||||||||
BHP Group Ltd. |
Metals & Mining | 103,940 | 2,574,223 | |||||||||||
BlueScope Steel Ltd. |
Metals & Mining | 9,700 | 94,734 | |||||||||||
Boral Ltd. |
Construction Materials | 6,840 | 11,742 | |||||||||||
Brambles Ltd. |
Commercial Services & Supplies | 28,660 | 210,251 | |||||||||||
carsales.com Ltd. |
Interactive Media & Services | 6,920 | 83,690 | |||||||||||
Challenger Ltd. |
Diversified Financial Services | 13,940 | 52,432 | |||||||||||
Charter Hall Group |
Equity Real Estate Investment Trusts (REITs | ) | 9,780 | 72,187 | ||||||||||
Cleanaway Waste Management Ltd. |
Commercial Services & Supplies | 42,460 | 73,982 | |||||||||||
Cochlear Ltd. |
Health Care Equipment & Supplies | 1,320 | 165,105 | |||||||||||
Coles Group Ltd. |
Food & Staples Retailing | 26,240 | 277,191 | |||||||||||
Commonwealth Bank of Australia |
Banks | 35,280 | 2,057,373 | |||||||||||
Computershare Ltd. |
IT Services | 11,060 | 176,069 | |||||||||||
CSL Ltd. |
Biotechnology | 9,940 | 1,821,541 | |||||||||||
CSR Ltd. |
Construction Materials | 10,080 | 28,840 | |||||||||||
Deterra Royalties Ltd. |
Metals & Mining | 8,760 | 22,529 | |||||||||||
Dexus |
Equity Real Estate Investment Trusts (REITs | ) | 22,220 | 110,291 | ||||||||||
Domain Holdings Australia Ltd. |
Interactive Media & Services | 5,200 | 10,766 | |||||||||||
Domino’s Pizza Enterprises Ltd. |
Hotels, Restaurants & Leisure | 1,260 | 41,737 | |||||||||||
Downer EDI Ltd. |
Commercial Services & Supplies | 14,020 | 41,195 | |||||||||||
Endeavour Group Ltd. |
Food & Staples Retailing | 26,240 | 118,097 | |||||||||||
Evolution Mining Ltd. |
Metals & Mining | 35,780 | 47,160 | |||||||||||
a |
Flight Centre Travel Group Ltd. |
Hotels, Restaurants & Leisure | 3,000 | 27,428 | ||||||||||
Fortescue Metals Group Ltd. |
Metals & Mining | 32,880 | 355,578 | |||||||||||
Goodman Group |
Equity Real Estate Investment Trusts (REITs | ) | 37,860 | 384,118 | ||||||||||
Harvey Norman Holdings Ltd. |
Multiline Retail | 12,280 | 31,898 | |||||||||||
IDP Education Ltd. |
Diversified Consumer Services | 3,720 | 63,310 | |||||||||||
IGO Ltd. |
Metals & Mining | 12,880 | 113,452 | |||||||||||
Iluka Resources Ltd. |
Metals & Mining | 8,720 | 50,795 | |||||||||||
Incitec Pivot Ltd. |
Chemicals | 40,240 | 90,812 | |||||||||||
Insignia Financial Ltd. |
Capital Markets | 13,300 | 25,226 | |||||||||||
Insurance Australia Group Ltd. |
Insurance | 50,960 | 150,718 | |||||||||||
JB Hi-Fi Ltd. |
Specialty Retail | 2,260 | 55,158 | |||||||||||
Lendlease Corp. Ltd. |
Real Estate Management & Development | 14,200 | 81,439 | |||||||||||
a |
Lottery Corp. Ltd. |
Hotels, Restaurants & Leisure | 45,780 | 123,035 | ||||||||||
a |
Lynas Rare Earths Ltd. |
Metals & Mining | 18,600 | 90,409 | ||||||||||
Macquarie Group Ltd. |
Capital Markets | 7,180 | 705,106 | |||||||||||
Magellan Financial Group Ltd. |
Capital Markets | 2,900 | 20,995 | |||||||||||
Medibank Private Ltd. |
Insurance | 56,960 | 127,080 | |||||||||||
Metcash Ltd. |
Food & Staples Retailing | 20,100 | 50,013 |
154 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Australia ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Australia (continued) | ||||||||||||||
Mineral Resources Ltd. |
Metals & Mining | 3,440 | $ | 145,422 | ||||||||||
Mirvac Group |
Equity Real Estate Investment Trusts (REITs | ) | 81,500 | 101,919 | ||||||||||
National Australia Bank Ltd. |
Banks | 65,620 | 1,215,505 | |||||||||||
Newcrest Mining Ltd. |
Metals & Mining | 18,400 | 200,168 | |||||||||||
a |
NEXTDC Ltd. |
IT Services | 9,420 | 53,419 | ||||||||||
Northern Star Resources Ltd. |
Metals & Mining | 23,520 | 118,407 | |||||||||||
Nufarm Ltd. |
Chemicals | 7,800 | 25,075 | |||||||||||
Orica Ltd. |
Chemicals | 9,220 | 78,368 | |||||||||||
Origin Energy Ltd. |
Oil, Gas & Consumable Fuels | 35,480 | 117,937 | |||||||||||
Orora Ltd. |
Containers & Packaging | 17,640 | 34,025 | |||||||||||
OZ Minerals Ltd. |
Metals & Mining | 6,780 | 112,380 | |||||||||||
Perpetual Ltd. |
Capital Markets | 1,160 | 17,594 | |||||||||||
a |
Pilbara Minerals Ltd. |
Metals & Mining | 54,260 | 159,082 | ||||||||||
Platinum Asset Management Ltd. |
Capital Markets | 10,920 | 11,936 | |||||||||||
Pro Medicus Ltd. |
Health Care Technology | 860 | 27,752 | |||||||||||
a |
Qantas Airways Ltd. |
Airlines | 17,180 | 55,450 | ||||||||||
QBE Insurance Group Ltd. |
Insurance | 30,560 | 226,548 | |||||||||||
Qube Logistics Holdings Ltd. |
Transportation Infrastructure | 34,280 | 54,660 | |||||||||||
Ramsay Health Care Ltd. |
Health Care Providers & Services | 3,620 | 133,318 | |||||||||||
REA Group Ltd. |
Media | 1,040 | 76,797 | |||||||||||
Reece Ltd. |
Trading Companies & Distributors | 4,420 | 39,843 | |||||||||||
Rio Tinto Ltd. |
Metals & Mining | 7,680 | 461,146 | |||||||||||
Santos Ltd. |
Oil, Gas & Consumable Fuels | 63,480 | 289,375 | |||||||||||
Scentre Group |
Real Estate Investment Trusts (REITs | ) | 106,900 | 174,578 | ||||||||||
SEEK Ltd. |
Professional Services | 7,220 | 88,989 | |||||||||||
Seven Group Holdings Ltd. |
Trading Companies & Distributors | 2,940 | 32,040 | |||||||||||
Shopping Centres Australasia Property Group |
Equity Real Estate Investment Trusts (REITs | ) | 23,180 | 35,023 | ||||||||||
a |
Sierra Rutile Holdings Ltd. |
Metals & Mining | 8,720 | 1,177 | ||||||||||
Sonic Healthcare Ltd. |
Health Care Providers & Services | 9,880 | 194,255 | |||||||||||
South32 Ltd. |
Metals & Mining | 95,920 | 223,868 | |||||||||||
a |
Star Entertainment Grp Ltd. |
Hotels, Restaurants & Leisure | 17,820 | 29,560 | ||||||||||
Stockland |
Real Estate Investment Trusts (REITs | ) | 49,340 | 103,735 | ||||||||||
Suncorp-Metway Ltd. |
Insurance | 26,000 | 167,668 | |||||||||||
Tabcorp Holdings Ltd. |
Hotels, Restaurants & Leisure | 45,700 | 27,473 | |||||||||||
Telstra Corp. Ltd. |
Diversified Telecommunication Services | 84,140 | 208,277 | |||||||||||
The GPT Group |
Equity Real Estate Investment Trusts (REITs | ) | 39,800 | 98,007 | ||||||||||
TPG Telecom Limited |
Diversified Telecommunication Services | 7,620 | 23,762 | |||||||||||
Transurban Group |
Transportation Infrastructure | 63,480 | 503,650 | |||||||||||
Treasury Wine Estates Ltd. |
Beverages | 14,940 | 120,743 | |||||||||||
Vicinity Centres |
Real Estate Investment Trusts (REITs | ) | 77,940 | 86,943 | ||||||||||
Washington H Soul Pattinson & Co. Ltd. |
Oil, Gas & Consumable Fuels | 5,520 | 95,080 | |||||||||||
Wesfarmers Ltd. |
Multiline Retail | 23,400 | 642,724 | |||||||||||
Westpac Banking Corp. |
Banks | 71,980 | 955,210 | |||||||||||
Whitehaven Coal Ltd. |
Oil, Gas & Consumable Fuels | 16,540 | 95,816 | |||||||||||
WiseTech Global Ltd. |
Software | 3,260 | 108,993 | |||||||||||
Woodside Petroleum Ltd. |
Oil, Gas & Consumable Fuels | 39,080 | 795,505 | |||||||||||
Woolworths Group Ltd. |
Food & Staples Retailing | 25,080 | 547,450 | |||||||||||
Worley Ltd. |
Energy Equipment & Services | 7,780 | 63,677 | |||||||||||
|
|
|||||||||||||
22,247,821 | ||||||||||||||
|
|
|||||||||||||
Ireland 0.8% | ||||||||||||||
James Hardie Industries PLC |
Construction Materials | 9,120 | 180,836 | |||||||||||
|
|
|||||||||||||
New Zealand 0.5% | ||||||||||||||
a |
Xero Ltd. |
Software | 2,620 | 123,830 | ||||||||||
|
|
|||||||||||||
United Kingdom 1.4% | ||||||||||||||
Amcor PLC, IDR |
Containers & Packaging | 31,100 | 332,729 | |||||||||||
|
|
franklintempleton.com |
Semiannual Report |
155 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Australia ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
United States 0.1% | ||||||||||||||
Sims Ltd. |
Metals & Mining | 3,320 | $ | 28,561 | ||||||||||
|
|
|||||||||||||
Total Investments (Cost $25,399,172) 98.2% |
22,913,777 | |||||||||||||
Other Assets, less Liabilities 1.8% |
412,240 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 23,326,017 | ||||||||||||
|
|
aNon-income producing.
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized Appreciation (Depreciation) |
|||||||||||||||
Index Contracts | ||||||||||||||||||||
SPI 200 Index |
Long | 4 | $ | 415,731 | 12/15/22 | $ | (30,610 | ) |
*As of period end.
See 335 regarding other derivative information.
See Abbreviations on page 332.
156 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Brazil ETF
Six Months Ended (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$ | 23.56 | $ | 20.70 | $ | 14.46 | $ | 25.72 | $ | 27.87 | $ | 24.37 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment incomec |
1.45 | 1.84 | 0.46 | 1.07 | 0.80 | 0.50 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(5.90 | ) | 2.55 | 6.31 | (11.33 | ) | (2.07 | ) | 3.11 | |||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(4.45 | ) | 4.39 | 6.77 | (10.26 | ) | (1.27 | ) | 3.61 | |||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(1.03 | ) | (1.53 | ) | (0.53 | ) | (1.00 | ) | (0.88 | ) | (0.11 | ) | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 18.08 | $ | 23.56 | $ | 20.70 | $ | 14.46 | $ | 25.72 | $ | 27.87 | ||||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(18.70)% | 23.03% | 46.83% | (41.69)% | (3.98)% | 14.86% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Total expenses |
0.19% | 0.19% | 0.19% | 0.23% | 0.19% | 0.19% | ||||||||||||||||||
Net investment income |
14.67% | 8.87% | 2.43% | 4.26% | 3.37% | 4.53% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$280,200 | $527,820 | $107,656 | $102,700 | $20,579 | $44,593 | ||||||||||||||||||
Portfolio turnover ratef |
22.89% | g | 17.71% | g | 21.01% | g | 36.07% | g | 39.76% | 4.79% |
aFor the period November 3, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 8.63% | 14.95% | 9.31% | 17.47% |
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
157 |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 71.8% | ||||||||||||||
Brazil 70.1% | ||||||||||||||
Ambev SA |
Beverages | 3,255,000 | $ | 9,351,840 | ||||||||||
Americanas SA |
Internet & Catalog Retail | 496,000 | 1,557,093 | |||||||||||
Atacadao SA |
Food & Staples Retailing | 387,500 | 1,384,837 | |||||||||||
Auren Energia SA |
Independent Power Producers & Energy Traders | 263,543 | 660,216 | |||||||||||
B3 SA – Brasil Bolsa Balcao |
Capital Markets | 4,541,500 | 10,957,334 | |||||||||||
Banco Bradesco SA |
Banks | 1,131,500 | 3,411,957 | |||||||||||
Banco BTG Pactual SA |
Capital Markets | 868,000 | 3,981,453 | |||||||||||
Banco do Brasil SA |
Banks | 635,504 | 4,525,844 | |||||||||||
Banco Santander Brasil SA |
Banks | 279,000 | 1,565,002 | |||||||||||
BB Seguridade Participacoes SA |
Insurance | 496,000 | 2,436,511 | |||||||||||
BR Malls Participacoes SA |
Real Estate Management & Development | 620,000 | 1,080,932 | |||||||||||
Bradespar SA |
Metals & Mining | 24,630 | 101,319 | |||||||||||
a |
BRF SA |
Food Products | 589,000 | 1,402,575 | ||||||||||
Caixa Seguridade Participacoes S/A |
Insurance | 341,000 | 536,511 | |||||||||||
CCR SA |
Transportation Infrastructure | 837,000 | 1,938,972 | |||||||||||
Centrais Eletricas Brasileiras SA |
Electric Utilities | 930,000 | 7,388,280 | |||||||||||
Cia de Saneamento Basico do Estado de Sao Paulo |
Water Utilities | 248,000 | 2,274,199 | |||||||||||
Cia Energetica de Minas Gerais |
Electric Utilities | 248,000 | 742,783 | |||||||||||
Cia Paranaense de Energia |
Electric Utilities | 232,500 | 266,508 | |||||||||||
Cia Siderurgica Nacional SA |
Metals & Mining | 465,000 | 1,093,541 | |||||||||||
Cielo SA |
IT Services | 852,500 | 851,105 | |||||||||||
Cosan SA |
Oil, Gas & Consumable Fuels | 899,000 | 2,888,714 | |||||||||||
CPFL Energia SA |
Electric Utilities | 139,500 | 870,706 | |||||||||||
CSN Mineracao SA |
Metals & Mining | 387,500 | 237,135 | |||||||||||
Dexco SA |
Paper & Forest Products | 232,500 | 401,911 | |||||||||||
Diagnosticos da America SA |
Health Care Providers & Services | 62,000 | 216,186 | |||||||||||
EDP – Energias do Brasil SA |
Electric Utilities | 201,500 | 813,250 | |||||||||||
a |
Embraer SA |
Aerospace & Defense | 542,500 | 1,168,479 | ||||||||||
Energisa SA |
Electric Utilities | 186,080 | 1,441,136 | |||||||||||
a |
Eneva SA |
Independent Power Producers & Energy Traders | 914,500 | 2,392,408 | ||||||||||
Engie Brasil Energia SA |
Independent Power Producers & Energy Traders | 139,500 | 993,214 | |||||||||||
Equatorial Energia SA |
Electric Utilities | 697,500 | 3,468,898 | |||||||||||
b |
GPS Participacoes e Empreendimentos SA, 144A |
Commercial Services & Supplies | 310,000 | 770,293 | ||||||||||
Grendene SA |
Textiles, Apparel & Luxury Goods | 248,000 | 324,165 | |||||||||||
GRUPO DE MODA SOMA SA |
Textiles, Apparel & Luxury Goods | 325,500 | 801,586 | |||||||||||
a |
Grupo Mateus SA |
Food & Staples Retailing | 305,600 | 372,900 | ||||||||||
b |
Hapvida Participacoes e Investimentos S/A, 144A |
Health Care Providers & Services | 2,991,500 | 4,186,778 | ||||||||||
Hypera SA |
Pharmaceuticals | 294,500 | 2,409,315 | |||||||||||
Itau Unibanco Holding SA |
Banks | 341,000 | 1,482,814 | |||||||||||
Klabin SA |
Containers & Packaging | 573,500 | 1,924,443 | |||||||||||
Localiza Rent a Car SA |
Road & Rail | 580,949 | 6,561,501 | |||||||||||
Lojas Renner SA |
Multiline Retail | 728,500 | 3,751,024 | |||||||||||
M Dias Branco SA |
Food Products | 93,000 | 753,271 | |||||||||||
a |
Magazine Luiza SA |
Multiline Retail | 2,278,500 | 1,887,218 | ||||||||||
Marfrig Global Foods SA |
Food Products | 263,500 | 480,831 | |||||||||||
Multiplan Empreendimentos Imobiliarios SA |
Real Estate Management & Development | 201,500 | 900,423 | |||||||||||
Natura & Co. Holding SA |
Personal Products | 713,016 | 1,941,767 | |||||||||||
Neoenergia SA |
Electric Utilities | 170,500 | 482,293 | |||||||||||
Odontoprev SA |
Health Care Providers & Services | 217,020 | 353,084 | |||||||||||
a |
Petro Rio SA |
Oil, Gas & Consumable Fuels | 496,000 | 2,524,544 | ||||||||||
Petroleo Brasileiro SA |
Oil, Gas & Consumable Fuels | 2,774,500 | 16,968,572 | |||||||||||
Porto Seguro SA |
Insurance | 139,500 | 544,965 | |||||||||||
Raia Drogasil SA |
Food & Staples Retailing | 806,043 | 3,387,293 | |||||||||||
b |
Rede D’Or Sao Luiz SA, 144A |
Health Care Providers & Services | 356,500 | 1,958,860 |
158 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Brazil ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Brazil (continued) | ||||||||||||||
Rumo SA |
Road & Rail | 930,000 | $ | 3,177,459 | ||||||||||
Sao Martinho SA |
Food Products | 124,400 | 586,943 | |||||||||||
Sendas Distribuidora SA |
Food & Staples Retailing | 589,000 | 1,911,118 | |||||||||||
SIMPAR SA |
Road & Rail | 217,000 | 387,554 | |||||||||||
SLC Agricola SA |
Food Products | 77,500 | 620,275 | |||||||||||
a |
Smartfit Escola de Ginastica e Danca SA |
Hotels, Restaurants & Leisure | 93,000 | 261,349 | ||||||||||
Sul America SA |
Insurance | 294,541 | 1,201,286 | |||||||||||
Suzano SA |
Paper & Forest Products | 542,500 | 4,463,287 | |||||||||||
Telefonica Brasil SA |
Diversified Telecommunication Services | 325,500 | 2,436,654 | |||||||||||
TIM SA |
Wireless Telecommunication Services | 604,500 | 1,350,076 | |||||||||||
Totvs SA |
Software | 341,000 | 1,850,366 | |||||||||||
Transmissora Alianca de Energia Eletrica SA |
Electric Utilities | 170,500 | 1,227,798 | |||||||||||
Ultrapar Participacoes SA |
Oil, Gas & Consumable Fuels | 620,000 | 1,344,574 | |||||||||||
Usinas Siderurgicas de Minas Gerais SA Usiminas . |
Metals & Mining | 124,000 | 187,988 | |||||||||||
Vale SA |
Metals & Mining | 2,903,989 | 38,677,975 | |||||||||||
Vamos Locacao de Caminhoes Maquinas e Equipamentos SA |
Road & Rail | 139,500 | 352,564 | |||||||||||
Vibra Energia SA |
Specialty Retail | 837,000 | 2,669,375 | |||||||||||
WEG SA |
Machinery | 1,116,000 | 6,631,399 | |||||||||||
|
|
|||||||||||||
196,506,829 | ||||||||||||||
|
|
|||||||||||||
United States 1.7% | ||||||||||||||
JBS SA |
Food Products | 1,007,500 | 4,679,072 | |||||||||||
|
|
|||||||||||||
Total
Common Stocks |
201,185,901 | |||||||||||||
|
|
|||||||||||||
Preferred Stocks 27.3% | ||||||||||||||
Brazil 27.3% | ||||||||||||||
Alpargatas SA, 2.045%, pfd. |
Textiles, Apparel & Luxury Goods | 170,500 | 670,482 | |||||||||||
Banco Bradesco SA, 3.165%, pfd. |
Banks | 3,890,500 | 14,270,597 | |||||||||||
Bradespar SA, 32.075%, pfd. |
Metals & Mining | 186,084 | 817,430 | |||||||||||
Braskem SA, 35.194%, pfd., A |
Chemicals | 134,900 | 654,442 | |||||||||||
Centrais Eletricas Brasileiras SA, 3.575%, pfd., B |
Electric Utilities | 201,500 | 1,682,007 | |||||||||||
Cia de Transmissao de Energia Eletrica Paulista, 6.461%, pfd. |
Electric Utilities | 139,500 | 592,421 | |||||||||||
Cia Paranaense de Energia, 17.781%, pfd. |
Electric Utilities | 992,000 | 1,206,793 | |||||||||||
Companhia Energetica de Minas Gerais, 12.825%, pfd. |
Electric Utilities | 945,500 | 1,880,914 | |||||||||||
Gerdau SA, 14.894%, pfd. |
Metals & Mining | 790,500 | 3,571,890 | |||||||||||
Itau Unibanco Holding SA, 2.937%, pfd. |
Banks | 3,611,500 | 18,735,718 | |||||||||||
Itausa SA, 5.807%, pfd. |
Banks | 3,549,500 | 6,385,208 | |||||||||||
Metalurgica Gerdau SA, 21.719%, pfd. |
Metals & Mining | 542,500 | 1,062,162 | |||||||||||
Petroleo Brasileiro SA, 38.601%, pfd. |
Oil, Gas & Consumable Fuels | 4,185,000 | 23,057,212 | |||||||||||
Raizen SA, 1.575%, pfd. |
Oil, Gas & Consumable Fuels | 883,500 | 684,409 | |||||||||||
Unipar Carbocloro SA, 16.852%, pfd., B |
Chemicals | 34,540 | 612,976 | |||||||||||
Usinas Siderurgicas de Minas Gerais SA Usiminas, 10.931%, pfd., A |
Metals & Mining | 341,000 | 474,097 | |||||||||||
|
|
|||||||||||||
Total
Preferred Stocks |
76,358,758 | |||||||||||||
|
|
franklintempleton.com |
Semiannual Report |
159 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Brazil ETF (continued)
Industry | Shares | Value | ||||||||||||
Right 0.0%† | ||||||||||||||
Brazil 0.0%† | ||||||||||||||
Localiza Rent a Car SA |
Road & Rail | 1,782 | $ | 3,624 | ||||||||||
|
|
|||||||||||||
Total Rights (Cost $0) |
3,624 | |||||||||||||
|
|
|||||||||||||
Total Investments (Cost $283,908,891) 99.1% |
277,548,283 | |||||||||||||
Other Assets, less Liabilities 0.9% |
2,652,215 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 280,200,498 | ||||||||||||
|
|
†Rounds to less than 0.1% of net assets.
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $6,915,931, representing 2.5% of net assets.
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized Appreciation (Depreciation) |
|||||||||||||||
Equity Contracts | ||||||||||||||||||||
Bovespa Index |
Long | 115 | $ | 2,349,433 | 10/13/22 | $ | (88,239 | ) |
*As of period end.
See 335 regarding other derivative information.
See Abbreviations on page 332.
160 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Canada ETF
Six Months Ended (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$ | 36.07 | $ | 30.20 | $ | 19.50 | $ | 24.13 | $ | 23.77 | $ | 24.80 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment incomec |
0.47 | 0.80 | 0.75 | 0.69 | 0.67 | 0.24 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(8.35 | ) | 5.77 | 10.63 | (4.72 | ) | 0.33 | (1.25 | ) | |||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(7.88 | ) | 6.57 | 11.38 | (4.03 | ) | 1.00 | (1.01 | ) | |||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(0.05 | ) | (0.70 | ) | (0.68 | ) | (0.60 | ) | (0.64 | ) | (0.02 | ) | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 28.14 | $ | 36.07 | $ | 30.20 | $ | 19.50 | $ | 24.13 | $ | 23.77 | ||||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(21.85)% | 21.95% | 59.10% | (17.25)% | 4.48% | (4.06)% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Total expenses |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
3.05% | 2.37% | 2.88% | 2.73% | 2.79% | 2.39% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$258,861 | $43,289 | $24,160 | $4,876 | $4,827 | $2,377 | ||||||||||||||||||
Portfolio turnover ratef |
3.26% | g | 5.63% | g | 3.14% | g | 4.57% | g | 6.95% | 1.26% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 3.26% | 5.63% | 3.14% | 4.57% |
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
161 |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 99.6% | ||||||||||||||
Canada 97.2% | ||||||||||||||
Agnico Eagle Mines Ltd. |
Metals & Mining | 82,616 | $ | 3,508,948 | ||||||||||
Alimentation Couche-Tard Inc. |
Food & Staples Retailing | 141,496 | 5,726,569 | |||||||||||
Bank of Montreal |
Banks | 122,176 | 10,765,146 | |||||||||||
Bank of Nova Scotia |
Banks | 218,040 | 10,425,551 | |||||||||||
Barrick Gold Corp. |
Metals & Mining | 321,264 | 5,005,831 | |||||||||||
BCE Inc. |
Diversified Telecommunication Services | 54,832 | 2,311,320 | |||||||||||
Brookfield Asset Management Inc., A |
Capital Markets | 241,040 | 9,913,155 | |||||||||||
Canadian Imperial Bank of Commerce |
Banks | 159,712 | 7,027,537 | |||||||||||
Canadian National Railway Co. |
Road & Rail | 111,136 | 12,065,986 | |||||||||||
Canadian Natural Resources Ltd. |
Oil, Gas & Consumable Fuels | 198,720 | 9,299,295 | |||||||||||
Canadian Pacific Railway Ltd. |
Road & Rail | 168,176 | 11,285,986 | |||||||||||
Canadian Tire Corp. Ltd., A |
Multiline Retail | 9,936 | 1,063,345 | |||||||||||
Canadian Utilities Ltd., A |
Multi-Utilities | 21,896 | 572,558 | |||||||||||
Cenovus Energy Inc. |
Oil, Gas & Consumable Fuels | 222,824 | 3,441,160 | |||||||||||
a |
CGI Inc. |
IT Services | 38,272 | 2,896,478 | ||||||||||
Constellation Software Inc. |
Software | 3,466 | 4,848,414 | |||||||||||
Dollarama Inc. |
Multiline Retail | 50,048 | 2,888,400 | |||||||||||
Enbridge Inc. |
Oil, Gas & Consumable Fuels | 366,344 | 13,656,082 | |||||||||||
Fairfax Financial Holdings Ltd. |
Insurance | 3,874 | 1,778,733 | |||||||||||
Fortis Inc. |
Electric Utilities | 86,480 | 3,302,988 | |||||||||||
Franco-Nevada Corp. |
Metals & Mining | 34,408 | 4,131,815 | |||||||||||
George Weston Ltd. |
Food & Staples Retailing | 12,696 | 1,336,358 | |||||||||||
Great-West Lifeco Inc. |
Insurance | 48,944 | 1,062,196 | |||||||||||
b |
Hydro One Ltd., 144A |
Electric Utilities | 57,224 | 1,406,810 | ||||||||||
IGM Financial Inc. |
Capital Markets | 14,720 | 368,737 | |||||||||||
Imperial Oil Ltd. |
Oil, Gas & Consumable Fuels | 34,960 | 1,521,748 | |||||||||||
Intact Financial Corp. |
Insurance | 31,832 | 4,528,829 | |||||||||||
Loblaw Companies Ltd. |
Food & Staples Retailing | 28,152 | 2,241,014 | |||||||||||
Magna International Inc. |
Auto Components | 48,760 | 2,325,420 | |||||||||||
Manulife Financial Corp. |
Insurance | 345,368 | 5,449,276 | |||||||||||
Metro Inc., A |
Food & Staples Retailing | 43,240 | 2,176,712 | |||||||||||
National Bank of Canada |
Banks | 60,904 | 3,837,610 | |||||||||||
Nutrien Ltd. |
Chemicals | 97,520 | 8,176,052 | |||||||||||
Pembina Pipeline Corp. |
Oil, Gas & Consumable Fuels | 99,728 | 3,045,440 | |||||||||||
Power Corp. of Canada |
Insurance | 97,336 | 2,205,211 | |||||||||||
Restaurant Brands International Inc. |
Hotels, Restaurants & Leisure | 54,648 | 2,922,408 | |||||||||||
Royal Bank of Canada |
Banks | 253,920 | 22,983,174 | |||||||||||
Saputo Inc. |
Food Products | 43,424 | 1,040,684 | |||||||||||
Shaw Communications Inc. |
Media | 77,280 | 1,889,185 | |||||||||||
a |
Shopify Inc., A |
IT Services | 205,759 | 5,569,067 | ||||||||||
Sun Life Financial Inc. |
Insurance | 106,168 | 4,244,247 | |||||||||||
Suncor Energy Inc. |
Oil, Gas & Consumable Fuels | 247,112 | 6,995,857 | |||||||||||
TC Energy Corp. |
Oil, Gas & Consumable Fuels | 182,712 | 7,398,636 | |||||||||||
a |
Teck Resources Ltd., B |
Metals & Mining | 83,536 | 2,554,017 | ||||||||||
TELUS Corp. |
Diversified Telecommunication Services | 85,192 | 1,700,678 | |||||||||||
The Toronto-Dominion Bank |
Banks | 329,176 | 20,296,052 | |||||||||||
Thomson Reuters Corp. |
Professional Services | 29,808 | 3,076,143 | |||||||||||
Tourmaline Oil Corp. |
Oil, Gas & Consumable Fuels | 51,152 | 2,672,539 | |||||||||||
Wheaton Precious Metals Corp. |
Metals & Mining | 81,328 | 2,647,503 | |||||||||||
|
|
|||||||||||||
251,586,900 | ||||||||||||||
|
|
162 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Canada ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
United States 2.4% | ||||||||||||||
Waste Connections Inc. |
Commercial Services & Supplies | 46,368 | $ | 6,298,597 | ||||||||||
|
|
|||||||||||||
Total Investments (Cost $300,579,922) 99.6% |
257,885,497 | |||||||||||||
Other Assets, less Liabilities 0.4% |
975,758 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 258,861,255 | ||||||||||||
|
|
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $1,406,810, representing 0.5% of net assets.
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized Appreciation (Depreciation) |
|||||||||||||||
Index Contracts | ||||||||||||||||||||
S&P/TSX 60 Index |
Long | 5 | $ | 812,198 | 12/15/22 | $ | (27,595 | ) |
*As of period end.
See Note 8 regarding other derivative information.
See Abbreviations on page 332.
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
163 |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE China ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating
performance (for a share outstanding throughout the period) |
| |||||||||||||||||||||||
Net asset value, beginning of period |
$ | 21.43 | $ | 31.78 | $ | 22.19 | $ | 24.01 | $ | 25.99 | $ | 24.95 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: |
| |||||||||||||||||||||||
Net investment income (loss)c |
0.41 | 0.49 | 0.32 | 0.45 | 0.40 | (0.01 | ) | |||||||||||||||||
Net realized and unrealized gains (losses) |
(4.76 | ) | (10.47 | ) | 9.56 | (1.78 | ) | (1.99 | ) | 1.05 | ||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(4.35 | ) | (9.98 | ) | 9.88 | (1.33 | ) | (1.59 | ) | 1.04 | ||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(0.14 | ) | (0.37 | ) | (0.29 | ) | (0.49 | ) | (0.39 | ) | — | d | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 16.94 | $ | 21.43 | $ | 31.78 | $ | 22.19 | $ | 24.01 | $ | 25.99 | ||||||||||||
|
|
|||||||||||||||||||||||
Total returne |
(20.42)% | (31.63)% | 44.67% | (5.64)% | (5.94)% | 4.17% | ||||||||||||||||||
Ratios to average net assetsf |
| |||||||||||||||||||||||
Expenses before waiver and payments by affiliates |
0.19% | 0.19% | 0.19% | 0.19% | 0.19% | 0.19% | ||||||||||||||||||
Expenses net of waiver and payments by affiliates |
0.19% | 0.19% | 0.19% | 0.19% | 0.19% | 0.19% | ||||||||||||||||||
Net investment income (loss) |
4.11% | 1.80% | 1.06% | 1.94% | 1.70% | (0.12)% | ||||||||||||||||||
Supplemental data |
| |||||||||||||||||||||||
Net assets, end of period (000’s) |
$91,484 | $111,454 | $120,782 | $48,807 | $43,220 | $31,191 | ||||||||||||||||||
Portfolio turnover rateg |
5.46% | h | 12.78% | h | 15.97% | h | 32.47% | h | 7.21% | 2.71% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dAmount rounds to less than $0.01 per share.
eTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
fRatios are annualized for periods less than one year.
gPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
h Portfolio turnover rate excluding cash creations was as follows: | 5.46% | 12.00% | 15.31% | 32.47% |
164 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 99.9% | ||||||||||||||
China 95.3% | ||||||||||||||
360 DigiTech Inc. |
Consumer Finance | 6,480 | $ | 83,074 | ||||||||||
360 Security Technology Inc., A |
Software | 27,000 | 24,617 | |||||||||||
3peak Inc., A |
Semiconductors & Semiconductor Equipment | 321 | 10,502 | |||||||||||
a |
3SBio Inc., A, 144A |
Biotechnology | 67,500 | 47,896 | ||||||||||
Addsino Co. Ltd., A |
Communications Equipment | 5,400 | 7,537 | |||||||||||
b |
Advanced Micro-Fabrication Equipment Inc. China, A |
Semiconductors & Semiconductor Equipment | 2,040 | 30,867 | ||||||||||
AECC Aero-Engine Control Co. Ltd., A |
Aerospace & Defense | 5,400 | 19,027 | |||||||||||
AECC Aviation Power Co. Ltd., A |
Aerospace & Defense | 8,100 | 47,663 | |||||||||||
Agile Group Holdings Ltd. |
Real Estate Management & Development | 74,000 | 17,345 | |||||||||||
Agricultural Bank of China Ltd., A |
Banks | 332,100 | 133,229 | |||||||||||
Agricultural Bank of China Ltd., H |
Banks | 1,485,000 | 444,560 | |||||||||||
Aier Eye Hospital Group Co. Ltd., A |
Health Care Providers & Services | 22,741 | 91,453 | |||||||||||
b |
Air China Ltd., A |
Airlines | 16,200 | 23,792 | ||||||||||
b |
Air China Ltd., H |
Airlines | 78,000 | 59,619 | ||||||||||
a,b |
Akeso Inc., 144A |
Biotechnology | 27,000 | 74,638 | ||||||||||
b |
Alibaba Group Holding Ltd., A |
Internet & Catalog Retail | 738,717 | 7,335,506 | ||||||||||
a |
A-Living Services Co. Ltd., H, 144A |
Commercial Services & Supplies | 33,750 | 26,742 | ||||||||||
Aluminum Corp. of China Ltd., A |
Metals & Mining | 45,900 | 26,590 | |||||||||||
Aluminum Corp. of China Ltd., H |
Metals & Mining | 216,000 | 70,717 | |||||||||||
b |
Amlogic Shanghai Co. Ltd. |
Semiconductors & Semiconductor Equipment | 1,456 | 13,273 | ||||||||||
Angang Steel Co. Ltd., A |
Metals & Mining | 21,600 | 8,120 | |||||||||||
Angang Steel Co. Ltd., H |
Metals & Mining | 72,000 | 17,794 | |||||||||||
Angel Yeast Co. Ltd., A |
Food Products | 2,700 | 15,747 | |||||||||||
a |
Angelalign Technology Inc., 144A |
Health Care Equipment & Supplies | 1,200 | 11,519 | ||||||||||
Anhui Anke Biotechnology Group Co. Ltd., A |
Pharmaceuticals | 6,516 | 8,235 | |||||||||||
Anhui Conch Cement Co. Ltd., A |
Construction Materials | 13,500 | 54,556 | |||||||||||
Anhui Conch Cement Co. Ltd., H |
Construction Materials | 59,400 | 188,418 | |||||||||||
Anhui Expressway Co. Ltd., H |
Transportation Infrastructure | 18,000 | 11,442 | |||||||||||
Anhui Gujing Distillery Co. Ltd., A |
Beverages | 1,500 | 57,219 | |||||||||||
Anhui Gujing Distillery Co. Ltd., B |
Beverages | 5,900 | 87,186 | |||||||||||
Anhui Zhongding Sealing Parts Co. Ltd., A |
Auto Components | 5,400 | 10,612 | |||||||||||
Anta Sports Products Ltd., A |
Textiles, Apparel & Luxury Goods | 57,110 | 605,301 | |||||||||||
Apeloa Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 5,400 | 12,437 | |||||||||||
Asymchem Laboratories Tianjin Co. Ltd., A |
Pharmaceuticals | 700 | 13,619 | |||||||||||
Autohome Inc., ADR |
Software | 3,024 | 86,970 | |||||||||||
Avary Holding Shenzhen Co. Ltd., A |
Electronic Equipment, Instruments & Components | 2,700 | 9,813 | |||||||||||
Avic Capital Co. Ltd., A |
Diversified Financial Services | 35,100 | 14,820 | |||||||||||
AVIC Electromechanical Systems Co. Ltd., A |
Aerospace & Defense | 13,500 | 21,474 | |||||||||||
AviChina Industry & Technology Co. Ltd., H |
Aerospace & Defense | 108,000 | 41,825 | |||||||||||
AVICOPTER PLC, A |
Aerospace & Defense | 2,700 | 15,032 | |||||||||||
a |
BAIC Motor Corp. Ltd., A, 144A |
Automobiles | 108,000 | 23,664 | ||||||||||
b |
Baidu Inc. |
Interactive Media & Services | 109,538 | 1,592,159 | ||||||||||
Bank of Beijing Co. Ltd., A |
Banks | 75,600 | 43,584 | |||||||||||
Bank of Changsha Co. Ltd., A |
Banks | 13,500 | 12,536 | |||||||||||
Bank of Chengdu Co. Ltd., A |
Banks | 5,400 | 12,392 | |||||||||||
Bank of China Ltd., A |
Banks | 153,900 | 66,705 | |||||||||||
Bank of China Ltd., H |
Banks | 3,726,000 | 1,219,865 | |||||||||||
Bank of Communications Co. Ltd., A |
Banks | 135,000 | 87,486 | |||||||||||
Bank of Communications Co. Ltd., H |
Banks | 351,000 | 185,116 | |||||||||||
Bank of Guiyang Co. Ltd., A |
Banks | 13,500 | 10,263 | |||||||||||
Bank of Hangzhou Co. Ltd., A |
Banks | 21,600 | 43,175 | |||||||||||
Bank of Jiangsu Co. Ltd., A |
Banks | 19,700 | 20,559 | |||||||||||
Bank of Nanjing Co. Ltd., A |
Banks | 35,100 | 51,795 | |||||||||||
Bank of Ningbo Co. Ltd., A |
Banks | 21,620 | 95,679 | |||||||||||
Bank of Qingdao Co. Ltd., A |
Banks | 16,200 | 7,703 | |||||||||||
Bank of Shanghai Co. Ltd., A |
Banks | 51,300 | 42,095 | |||||||||||
Bank of Suzhou Co. Ltd., A |
Banks | 5,920 | 5,539 |
franklintempleton.com |
Semiannual Report |
165 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
b |
Bank of Zhengzhou Co. Ltd., A |
Banks | 20,580 | $ | 6,899 | |||||||||
Baoshan Iron & Steel Co. Ltd., A |
Metals & Mining | 64,800 | 47,810 | |||||||||||
BBMG Corp., A |
Construction Materials | 35,100 | 12,259 | |||||||||||
BBMG Corp., H |
Construction Materials | 108,000 | 13,070 | |||||||||||
b |
BeiGene Ltd. |
Biotechnology | 29,700 | 306,652 | ||||||||||
Beijing Capital Co. Ltd., A |
Water Utilities | 27,000 | 9,847 | |||||||||||
Beijing Capital Development Co. Ltd., A |
Real Estate Management & Development | 8,100 | 4,976 | |||||||||||
b |
Beijing Capital International Airport Co. Ltd., A |
Transportation Infrastructure | 108,000 | 58,472 | ||||||||||
b |
Beijing Dabeinong Technology Group Co. Ltd., A |
Food Products | 13,500 | 15,149 | ||||||||||
Beijing Easpring Material Technology Co. Ltd. |
Chemicals | 2,700 | 25,000 | |||||||||||
b |
Beijing E-Hualu Information Technology Co. Ltd., A |
Software | 2,700 | 4,745 | ||||||||||
Beijing Enlight Media Co. Ltd., H |
Entertainment | 10,800 | 10,756 | |||||||||||
Beijing Enterprises Holdings Ltd., H |
Industrial Conglomerates | 27,000 | 75,842 | |||||||||||
b |
Beijing Jetsen Technology Co. Ltd., A |
Software | 8,100 | 5,045 | ||||||||||
Beijing Jingneng Clean Energy Co. Ltd., H |
Independent Power Producers & Energy Traders | 54,000 | 10,319 | |||||||||||
Beijing Kingsoft Office Software Inc., A |
Software | 1,560 | 44,007 | |||||||||||
Beijing New Building Materials PLC, A |
Building Products | 5,400 | 18,217 | |||||||||||
b |
Beijing Orient National Communication Science &Technology Co. Ltd., A |
Software | 5,400 | 5,469 | ||||||||||
Beijing Originwater Technology Co. Ltd., H |
Commercial Services & Supplies | 3,335 | 2,208 | |||||||||||
Beijing Roborock Technology Co. Ltd., A |
Household Durables | 280 | 10,140 | |||||||||||
Beijing Sanju Environmental Protection and New Material Co. Ltd., A |
Chemicals | 9,300 | 5,348 | |||||||||||
Beijing Shiji Information Technology Co. Ltd., A |
Software | 6,080 | 10,550 | |||||||||||
Beijing Shougang Co. Ltd., A |
Metals & Mining | 27,000 | 13,521 | |||||||||||
Beijing Shunxin Agriculture Co. Ltd., A |
Beverages | 2,700 | 7,540 | |||||||||||
Beijing Sinnet Technology Co. Ltd., A |
IT Services | 5,600 | 6,276 | |||||||||||
Beijing Tiantan Biological Products Corp. Ltd., A |
Biotechnology | 6,920 | 19,598 | |||||||||||
Beijing Tongrentang Co. Ltd., A |
Pharmaceuticals | 5,400 | 34,502 | |||||||||||
Beijing Ultrapower Software Co. Ltd., A |
IT Services | 8,100 | 4,204 | |||||||||||
Beijing United Information Technology Co. Ltd., A |
Trading Companies & Distributors | 1,740 | 26,350 | |||||||||||
Beijing Wantai Biological Pharmacy Enterprise Co. Ltd., A |
Biotechnology | 1,015 | 16,287 | |||||||||||
Beijing Yanjing Brewery Co. Ltd., A |
Beverages | 10,800 | 14,134 | |||||||||||
Beijing Yuanliu Hongyuan Electronic Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 800 | 13,828 | |||||||||||
Beijing Zhong Ke San Huan High-Tech Co. Ltd., A |
Electronic Equipment, Instruments & Components | 5,760 | 11,182 | |||||||||||
Beijing-Shanghai High Speed Railway Co. Ltd., A |
Road & Rail | 102,600 | 65,050 | |||||||||||
b |
Bilibili Inc. |
Entertainment | 12,420 | 189,229 | ||||||||||
Bloomage Biotechnology Corp. Ltd., A |
Biotechnology | 1,118 | 20,544 | |||||||||||
a |
Blue Moon Group Holdings Ltd., 144A |
Household Products | 40,500 | 28,583 | ||||||||||
Bluefocus Intelligent Communications Group Co. Ltd., A |
Media | 10,800 | 6,787 | |||||||||||
Bluestar Adisseo Co., A |
Chemicals | 2,700 | 3,734 | |||||||||||
BOC International China Co. Ltd., A |
Capital Markets | 2,700 | 3,973 | |||||||||||
BOE Technology Group Co. Ltd., A |
Electronic Equipment, Instruments & Components | 129,600 | 59,445 | |||||||||||
BOE Technology Group Co. Ltd., B |
Electronic Equipment, Instruments & Components | 51,300 | 21,893 | |||||||||||
Bright Dairy & Food Co. Ltd., A |
Food Products | 5,400 | 7,931 | |||||||||||
BTG Hotels Group Co. Ltd., A |
Hotels, Restaurants & Leisure | 5,400 | 16,202 | |||||||||||
BYD Co. Ltd., A |
Automobiles | 6,400 | 226,235 | |||||||||||
BYD Co. Ltd., H |
Automobiles | 40,738 | 1,008,862 | |||||||||||
BYD Electronic International Co. Ltd. |
Communications Equipment | 37,500 | 90,574 | |||||||||||
By-health Co. Ltd., A |
Personal Products | 5,400 | 13,331 | |||||||||||
C&S Paper Co. Ltd., A |
Household Products | 5,400 | 7,711 | |||||||||||
Caida Securities Co. Ltd., A |
Capital Markets | 5,400 | 5,189 | |||||||||||
Caitong Securities Co. Ltd., A |
Capital Markets | 16,260 | 15,418 |
166 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Camel Group Co. Ltd., A |
Electrical Equipment | 5,400 | $ | 6,385 | ||||||||||
CanSino Biologics Inc., A |
Pharmaceuticals | 240 | 4,073 | |||||||||||
a,c |
CanSino Biologics Inc., H, 144A, Reg S |
Pharmaceuticals | 3,200 | 18,161 | ||||||||||
b |
CECEP Solar Energy Co. Ltd., H |
Semiconductors & Semiconductor Equipment | 10,800 | 10,347 | ||||||||||
CECEP Wind-Power Corp, A |
Independent Power Producers & Energy Traders | 18,900 | 11,665 | |||||||||||
Central China Securities Co. Ltd., A |
Capital Markets | 10,800 | 5,287 | |||||||||||
Central China Securities Co. Ltd., H |
Capital Markets | 54,000 | 6,948 | |||||||||||
CGN Power Co. Ltd., A |
Independent Power Producers & Energy Traders | 29,700 | 10,998 | |||||||||||
a |
CGN Power Co. Ltd., H, 144A |
Independent Power Producers & Energy Traders | 540,000 | 116,944 | ||||||||||
Changchun High & New Technology Industry Group Inc., A |
Pharmaceuticals | 1,500 | 35,842 | |||||||||||
Changjiang Securities Co. Ltd., A |
Capital Markets | 21,600 | 15,785 | |||||||||||
Changzhou Xingyu Automotive LightingSystems Co. Ltd., A |
Auto Components | 1,000 | 21,376 | |||||||||||
Chaozhou Three-Circle Group Co. Ltd., A |
Electronic Equipment, Instruments & Components | 5,400 | 19,724 | |||||||||||
Chengdu Xingrong Environment Co. Ltd., A |
Water Utilities | 10,800 | 7,529 | |||||||||||
Chengxin Lithium Group Co. Ltd., A |
Paper & Forest Products | 2,700 | 17,709 | |||||||||||
China Baoan Group Co. Ltd., A |
Industrial Conglomerates | 8,100 | 12,748 | |||||||||||
China Cinda Asset Management Co. Ltd., H |
Capital Markets | 432,000 | 47,878 | |||||||||||
China CITIC Bank Corp. Ltd., A |
Banks | 35,100 | 22,451 | |||||||||||
China CITIC Bank Corp. Ltd., H |
Banks | 459,000 | 182,433 | |||||||||||
China Coal Energy Co. Ltd., A |
Oil, Gas & Consumable Fuels | 18,900 | 28,208 | |||||||||||
China Coal Energy Co. Ltd., H |
Oil, Gas & Consumable Fuels | 108,000 | 97,958 | |||||||||||
China Communications Services Corp. Ltd., H |
Diversified Telecommunication Services | 118,000 | 39,685 | |||||||||||
b |
China Conch Environment Protection Holdings Ltd. |
Commercial Services & Supplies | 67,120 | 34,373 | ||||||||||
China Conch Venture Holdings Ltd. |
Construction & Engineering | 73,410 | 117,083 | |||||||||||
China Construction Bank Corp., A |
Banks | 35,100 | 27,177 | |||||||||||
China Construction Bank Corp., H |
Banks | 4,590,000 | 2,654,633 | |||||||||||
China CSSC Holdings Ltd., A |
Machinery | 16,200 | 51,469 | |||||||||||
a,c |
China East Education Holdings Ltd., A, 144A, Reg S |
Diversified Consumer Services | 27,000 | 8,943 | ||||||||||
b |
China Eastern Airlines Corp. Ltd., A |
Airlines | 40,500 | 27,723 | ||||||||||
b |
China Eastern Airlines Corp. Ltd., H |
Airlines | 54,000 | 18,367 | ||||||||||
China Energy Engineering Corp. Ltd. |
Construction & Engineering | 116,100 | 36,479 | |||||||||||
China Energy Engineering Corp. Ltd., H |
Construction & Engineering | 216,000 | 22,563 | |||||||||||
China Everbright Bank Co. Ltd., A |
Banks | 143,100 | 56,604 | |||||||||||
China Everbright Bank Co. Ltd., H |
Banks | 135,000 | 37,147 | |||||||||||
b |
China Evergrande Group, A |
Real Estate Management & Development | 182,000 | 15,314 | ||||||||||
a,c |
China Feihe Ltd., 144A, Reg S |
Food Products | 189,000 | 132,422 | ||||||||||
China Galaxy Securities Co. Ltd., A |
Capital Markets | 8,100 | 10,226 | |||||||||||
China Galaxy Securities Co. Ltd., H |
Capital Markets | 175,500 | 81,156 | |||||||||||
China Great Wall Securities Co. Ltd., A |
Capital Markets | 8,100 | 9,294 | |||||||||||
China Greatwall Technology Group Co. Ltd., A |
Technology Hardware, Storage & Peripherals | 10,800 | 12,937 | |||||||||||
China Hongqiao Group Ltd. |
Metals & Mining | 108,000 | 89,428 | |||||||||||
China International Capital Corp. Ltd., A |
Capital Markets | 2,700 | 13,032 | |||||||||||
a |
China International Capital Corp. Ltd., H, 144A |
Capital Markets | 75,600 | 109,983 | ||||||||||
China International Marine Containers (Group) Co. Ltd., H |
Machinery | 35,100 | 22,357 | |||||||||||
China International Marine Containers Group Co. Ltd., A |
Machinery | 8,550 | 8,287 | |||||||||||
China Jushi Co. Ltd., A |
Construction Materials | 14,787 | 27,337 | |||||||||||
China Lesso Group Holdings Ltd. |
Building Products | 54,000 | 50,286 | |||||||||||
China Life Insurance Co. Ltd., H |
Insurance | 378,000 | 484,424 | |||||||||||
a,b |
China Literature Ltd., A, 144A |
Media | 21,600 | 61,224 | ||||||||||
China Lodging Group Ltd., ADR |
Hotels, Restaurants & Leisure | 10,692 | 358,610 | |||||||||||
China Longyuan Power Group Corp., A |
Independent Power Producers & Energy Traders | 162,000 | 203,276 | |||||||||||
China Medical System Holdings Ltd. |
Pharmaceuticals | 61,000 | 72,812 |
franklintempleton.com |
Semiannual Report |
167 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
China Meheco Co. Ltd., A |
Trading Companies & Distributors | 5,440 | $ | 9,187 | ||||||||||
China Meidong Auto Holdings Ltd. |
Specialty Retail | 22,000 | 34,808 | |||||||||||
China Merchants Bank Co. Ltd., A |
Banks | 70,200 | 331,348 | |||||||||||
China Merchants Bank Co. Ltd., H |
Banks | 186,000 | 864,852 | |||||||||||
China Merchants Energy Shipping Co. Ltd., A |
Oil, Gas & Consumable Fuels | 27,000 | 26,890 | |||||||||||
China Merchants Expressway Network & Technology Holdings Co. Ltd., A |
Transportation Infrastructure | 10,800 | 11,483 | |||||||||||
China Merchants Port Holdings Co. Ltd. |
Transportation Infrastructure | 71,980 | 90,503 | |||||||||||
China Merchants Property Operation & Service Co. Ltd., A |
Real Estate Management & Development | 2,700 | 5,779 | |||||||||||
a |
China Merchants Securities Co. Ltd., A, 144A |
Capital Markets | 21,600 | 18,711 | ||||||||||
China Merchants Securities Co. Ltd., A |
Capital Markets | 27,000 | 46,735 | |||||||||||
China Merchants Shekou Industrial Zone Holdings Co. Ltd., A |
Real Estate Management & Development | 24,300 | 55,696 | |||||||||||
b |
China Minmetals Rare Earth Co. Ltd., A |
Metals & Mining | 2,700 | 9,968 | ||||||||||
China Minsheng Banking Corp. Ltd., A |
Banks | 124,200 | 59,059 | |||||||||||
China Minsheng Banking Corp. Ltd., H |
Banks | 297,000 | 85,128 | |||||||||||
China Molybdenum Co. Ltd., A |
Metals & Mining | 35,100 | 23,239 | |||||||||||
China Molybdenum Co. Ltd., H |
Metals & Mining | 201,000 | 78,609 | |||||||||||
China National Building Material Co. Ltd., H |
Construction Materials | 216,000 | 165,373 | |||||||||||
China National Chemical Engineering Co. Ltd., A |
Construction & Engineering | 21,600 | 24,269 | |||||||||||
China National Nuclear Power Co. Ltd., A |
Independent Power Producers & Energy Traders | 59,400 | 48,742 | |||||||||||
China National Software & Service Co. Ltd., A |
Software | 2,700 | 16,308 | |||||||||||
China Northern Rare Earth Group High-Tech Co. Ltd., A |
Metals & Mining | 10,800 | 40,236 | |||||||||||
China Oilfield Services Ltd., A |
Energy Equipment & Services | 5,400 | 10,869 | |||||||||||
China Oilfield Services Ltd., H |
Energy Equipment & Services | 90,000 | 89,313 | |||||||||||
China Orient Securities Co. Ltd., A |
Capital Markets | 24,924 | 26,885 | |||||||||||
China Pacific Insurance Group Co. Ltd., A |
Insurance | 24,300 | 69,296 | |||||||||||
China Pacific Insurance Group Co. Ltd., H |
Insurance | 124,200 | 228,784 | |||||||||||
China Petroleum & Chemical Corp., A |
Oil, Gas & Consumable Fuels | 118,800 | 71,488 | |||||||||||
China Petroleum & Chemical Corp., H |
Oil, Gas & Consumable Fuels | 1,242,000 | 533,197 | |||||||||||
China Railway Group Ltd., A |
Construction & Engineering | 72,900 | 53,480 | |||||||||||
China Railway Group Ltd., H |
Construction & Engineering | 189,000 | 92,695 | |||||||||||
a,c |
China Railway Signal & Communication Corp. Ltd., 144A, Reg S |
|
Electronic Equipment,
Instruments & Components |
|
81,000 | 22,288 | ||||||||
China Railway Signal & Communication Corp. Ltd., A |
|
Electronic Equipment,
Instruments & Components |
|
23,382 | 13,611 | |||||||||
China Reinsurance Group Corp., H |
Insurance | 324,000 | 20,018 | |||||||||||
China Resources Cement Holdings Ltd. |
Construction Materials | 118,000 | 54,717 | |||||||||||
China Resources Double Crane Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 2,700 | 6,662 | |||||||||||
China Resources Microelectronics Ltd., A |
Semiconductors & Semiconductor Equipment | 3,432 | 22,924 | |||||||||||
a |
China Resources Mixc Lifestyle Services Ltd., 144A |
Real Estate Management & Development | 27,000 | 103,702 | ||||||||||
a |
China Resources Pharmaceutical Group Ltd., A, 144A |
Pharmaceuticals | 81,000 | 55,617 | ||||||||||
China Resources Power Holdings Co. Ltd. |
Independent Power Producers & Energy Traders | 95,100 | 147,801 | |||||||||||
China Resources Sanjiu Medical & Pharmaceutical Co. Ltd., B |
Pharmaceuticals | 2,700 | 14,547 | |||||||||||
China Shenhua Energy Co. Ltd., A |
Oil, Gas & Consumable Fuels | 24,300 | 107,846 | |||||||||||
China Shenhua Energy Co. Ltd., H |
Oil, Gas & Consumable Fuels | 166,649 | 497,830 | |||||||||||
China Shipping Container Lines Co. Ltd., A |
Marine | 37,800 | 13,096 | |||||||||||
b |
China Shipping Development Co. Ltd., A |
Marine | 10,800 | 27,405 | ||||||||||
China South Publishing & Media Group Co. Ltd., A |
Media | 8,100 | 11,180 | |||||||||||
b |
China Southern Airlines Co. Ltd., A |
Airlines | 35,100 | 32,692 |
168 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
b |
China Southern Airlines Co. Ltd., H |
Airlines | 74,000 | $ | 39,027 | |||||||||
China Southern Power Grid Energy Efficiency&Clean Energy Co. Ltd., A |
Commercial Services & Supplies | 10,800 | 8,605 | |||||||||||
China State Construction Engineering Corp. Ltd., A |
Construction & Engineering | 137,700 | 99,473 | |||||||||||
China Suntien Green Energy Corp. Ltd. |
Oil, Gas & Consumable Fuels | 81,000 | 29,718 | |||||||||||
China Taiping Insurance Holdings Co. Ltd. |
Insurance | 70,200 | 59,112 | |||||||||||
China Three Gorges Renewables Group Co. Ltd., A |
Independent Power Producers & Energy Traders | 89,100 | 70,364 | |||||||||||
China Tourism Group Duty Free Corp. Ltd., A |
Hotels, Restaurants & Leisure | 7,100 | 197,439 | |||||||||||
a,c |
China Tower Corp. Ltd., H, 144A, Reg S |
Diversified Telecommunication Services | 2,268,000 | 242,694 | ||||||||||
b |
China TransInfo Technology Co. Ltd., A |
IT Services | 2,700 | 3,147 | ||||||||||
China United Network Communications Ltd., A |
Wireless Telecommunication Services | 97,200 | 45,674 | |||||||||||
China Vanke Co. Ltd., A |
Real Estate Management & Development | 32,400 | 81,032 | |||||||||||
China Vanke Co. Ltd., H |
Real Estate Management & Development | 94,500 | 172,149 | |||||||||||
China World Trade Center Co. Ltd., A |
Real Estate Management & Development | 2,700 | 5,185 | |||||||||||
China Yangtze Power Co. Ltd., A |
Independent Power Producers & Energy Traders | 78,300 | 249,755 | |||||||||||
China Zhenhua Group Science & Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 1,800 | 29,283 | |||||||||||
b |
China Zheshang Bank Co. Ltd., A |
Banks | 27,000 | 11,286 | ||||||||||
Chinalin Securities Co. Ltd., A |
Capital Markets | 2,700 | 4,939 | |||||||||||
Chinese Universe Publishing and Media Group Co. Ltd., A |
Media | 5,400 | 6,355 | |||||||||||
Chongqing Brewery Co. Ltd., A |
Beverages | 1,700 | 26,755 | |||||||||||
Chongqing Changan Automobile Co. Ltd., A |
Automobiles | 28,144 | 49,584 | |||||||||||
Chongqing Changan Automobile Co. Ltd., B |
Automobiles | 76,172 | 35,030 | |||||||||||
Chongqing Fuling Zhacai Group Co. Ltd., A |
Food Products | 2,700 | 10,294 | |||||||||||
Chongqing Rural Commercial Bank Co. Ltd., A |
Banks | 16,200 | 8,112 | |||||||||||
Chongqing Rural Commercial Bank Co. Ltd., H |
Banks | 108,000 | 35,083 | |||||||||||
Chongqing Water Group Co. Ltd., A |
Water Utilities | 8,100 | 5,783 | |||||||||||
Chongqing Zhifei Biological Products Co. Ltd., B |
Biotechnology | 5,400 | 65,467 | |||||||||||
CIFI Holdings Group Co. Ltd., A |
Real Estate Management & Development | 196,320 | 20,007 | |||||||||||
CITIC Ltd., B |
Industrial Conglomerates | 243,000 | 229,073 | |||||||||||
Citic Pacific Special Steel Group Co. Ltd., A |
Metals & Mining | 17,080 | 42,214 | |||||||||||
CITIC Securities Co. Ltd., A |
Capital Markets | 40,500 | 98,961 | |||||||||||
CITIC Securities Co. Ltd., H |
Capital Markets | 108,200 | 183,873 | |||||||||||
CMST Development Co. Ltd., A |
Air Freight & Logistics | 8,100 | 5,522 | |||||||||||
CNOOC Energy Technology & Services Ltd., A |
Energy Equipment & Services | 18,900 | 7,635 | |||||||||||
CNPC Capital Co. Ltd., A |
Machinery | 16,200 | 10,180 | |||||||||||
b |
Contemporary Amperex Technology Co. Ltd., H |
Electrical Equipment | 8,300 | 466,730 | ||||||||||
COSCO SHIPPING Development Co. Ltd., H |
Marine | 189,000 | 23,836 | |||||||||||
b |
COSCO SHIPPING Energy Transportation Co. Ltd., H |
Marine | 66,000 | 54,903 | ||||||||||
COSCO SHIPPING Holdings Co. Ltd., A |
Marine | 45,180 | 69,838 | |||||||||||
COSCO SHIPPING Holdings Co. Ltd., B |
Marine | 162,000 | 190,069 | |||||||||||
Country Garden Holdings Co. Ltd. |
Real Estate Management & Development | 486,000 | 112,679 | |||||||||||
Country Garden Services Holdings Co. Ltd. |
Commercial Services & Supplies | 91,300 | 134,451 | |||||||||||
CRRC Corp. Ltd., A |
Machinery | 78,300 | 51,511 | |||||||||||
CRRC Corp. Ltd., H |
Machinery | 189,000 | 61,155 | |||||||||||
a |
CSC Financial Co. Ltd., A, 144A |
Capital Markets | 40,500 | 30,956 | ||||||||||
CSC Financial Co. Ltd., A |
Capital Markets | 16,200 | 52,651 | |||||||||||
CSG Holding Co. Ltd. |
Construction Materials | 56,700 | 21,741 | |||||||||||
CSG Holding Co. Ltd., A |
Construction Materials | 5,400 | 5,257 | |||||||||||
CSPC Pharmaceutical Group Ltd., A |
Pharmaceuticals | 432,000 | 428,153 | |||||||||||
Daan Gene Co. Ltd. |
Biotechnology | 3,940 | 9,163 | |||||||||||
b |
Dada Nexus Ltd., A, ADR |
Internet & Catalog Retail | 3,510 | 16,602 | ||||||||||
a |
Dali Foods Group Co. Ltd., 144A |
Food Products | 108,000 | 46,502 | ||||||||||
Daqin Railway Co. Ltd., A |
Road & Rail | 54,000 | 51,280 |
franklintempleton.com |
Semiannual Report |
169 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
b |
Daqo New Energy Corp. |
Semiconductors & Semiconductor Equipment | 2,754 | $ | 146,182 | |||||||||
DaShenLin Pharmaceutical Group Co. Ltd., A |
Food & Staples Retailing | 1,152 | 4,896 | |||||||||||
b |
Datang International Power Generation Co. Ltd., A |
Independent Power Producers & Energy Traders | 24,300 | 11,316 | ||||||||||
b |
Datang International Power Generation Co. Ltd., H |
Independent Power Producers & Energy Traders | 108,000 | 20,637 | ||||||||||
DHC Software Co. Ltd., A |
IT Services | 10,800 | 8,074 | |||||||||||
Dian Diagnostics Group Co. Ltd., A |
Health Care Providers & Services | 2,700 | 10,991 | |||||||||||
Do-Fluoride Chemicals Co. Ltd., A |
Chemicals | 2,700 | 13,596 | |||||||||||
Dong-E-E-Jiao Co. Ltd., A |
Pharmaceuticals | 2,700 | 12,267 | |||||||||||
Dongfang Electric Corp. Ltd., A |
Electrical Equipment | 10,800 | 30,965 | |||||||||||
Dongfang Electric Corp. Ltd., H |
Electrical Equipment | 16,200 | 22,082 | |||||||||||
Dongfeng Motor Group Co. Ltd., H |
Automobiles | 143,300 | 76,671 | |||||||||||
Dongxing Securities Co. Ltd., A |
Capital Markets | 10,800 | 11,210 | |||||||||||
East Group Co. Ltd., A |
Electrical Equipment | 8,100 | 7,385 | |||||||||||
East Money Information Co. Ltd. |
Capital Markets | 45,280 | 111,911 | |||||||||||
Eastern Air Logistics Co. Ltd., A |
Air Freight & Logistics | 5,400 | 12,028 | |||||||||||
Ecovacs Robotics Co. Ltd., A |
Household Durables | 1,700 | 15,905 | |||||||||||
ENN Ecological Holdings Co. Ltd., A |
Chemicals | 8,100 | 21,088 | |||||||||||
ENN Energy Holdings Ltd. |
Gas Utilities | 38,300 | 512,300 | |||||||||||
Eternal Asia Supply Chain Management Ltd., A |
Commercial Services & Supplies | 10,800 | 8,362 | |||||||||||
Eve Energy Co. Ltd. |
Electrical Equipment | 6,900 | 81,881 | |||||||||||
a |
Everbright Securities Co. Ltd., 144A |
Capital Markets | 16,200 | 8,750 | ||||||||||
Everbright Securities Co. Ltd., A |
Capital Markets | 13,500 | 24,901 | |||||||||||
a,b |
Evergrande Property Services Group Ltd., 144A |
Real Estate Management & Development | 221,000 | 23,348 | ||||||||||
b |
Fangda Carbon New Material Co. Ltd. |
Electrical Equipment | 13,500 | 11,797 | ||||||||||
Far East Horizon Ltd. |
Diversified Financial Services | 54,000 | 36,459 | |||||||||||
Faw Jiefang Group Co. Ltd. |
Automobiles | 10,800 | 10,877 | |||||||||||
Fiberhome Telecommunication Technologies Co. Ltd., A |
Communications Equipment | 5,400 | 9,408 | |||||||||||
b |
FIH Mobile Ltd. |
Electronic Equipment, Instruments & Components | 135,000 | 13,930 | ||||||||||
Financial Street Holdings Co. Ltd., A |
Real Estate Management & Development | 10,800 | 7,696 | |||||||||||
First Capital Securities Co. Ltd. |
Capital Markets | 16,200 | 12,384 | |||||||||||
b |
Flat Glass Group Co Ltd., H |
Semiconductors & Semiconductor Equipment | 27,000 | 65,695 | ||||||||||
b |
Flat Glass Group Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 2,700 | 12,384 | ||||||||||
Focus Media Information Technology Co. Ltd. |
Technology Hardware, Storage & Peripherals | 51,300 | 39,721 | |||||||||||
Foshan Haitian Flavouring & Food Co. Ltd. |
Food Products | 14,061 | 163,348 | |||||||||||
Fosun International Ltd. |
Industrial Conglomerates | 108,000 | 67,002 | |||||||||||
Founder Securities Co. Ltd., A |
Capital Markets | 29,700 | 27,287 | |||||||||||
Foxconn Industrial Internet Co. Ltd., A |
Electronic Equipment, Instruments & Components | 45,900 | 54,855 | |||||||||||
Fu Jian Anjoy Foods Co. Ltd., A |
Food Products | 700 | 15,247 | |||||||||||
Fujian Funeng Co. Ltd., A |
Independent Power Producers & Energy Traders | 5,400 | 8,097 | |||||||||||
Fujian Sunner Development Co. Ltd. |
Food Products | 5,400 | 14,664 | |||||||||||
b |
Full Truck Alliance Co. Ltd. |
Road & Rail | 30,915 | 202,493 | ||||||||||
Fuyao Glass Industry Group Co. Ltd., A |
Auto Components | 8,100 | 40,687 | |||||||||||
a |
Fuyao Group Glass Industries Co. Ltd., 144A |
Auto Components | 32,400 | 130,840 | ||||||||||
Ganfeng Lithium Co. Ltd. |
Metals & Mining | 5,660 | 59,417 | |||||||||||
a |
Ganfeng Lithium Co. Ltd., H, 144A |
Metals & Mining | 10,560 | 70,289 | ||||||||||
G-bits Network Technology Xiamen Co. Ltd., A |
Entertainment | 200 | 6,972 | |||||||||||
b |
GCL System Integration Technology Co. Ltd. |
Semiconductors & Semiconductor Equipment | 21,600 | 9,574 | ||||||||||
b |
GD Power Development Co. Ltd., A |
Independent Power Producers & Energy Traders | 64,800 | 36,994 | ||||||||||
b |
GDS Holdings Ltd. |
IT Services | 45,900 | 100,572 | ||||||||||
GEM Co. Ltd. |
Metals & Mining | 18,900 | 19,565 | |||||||||||
Gemdale Corp., A |
Real Estate Management & Development | 16,200 | 26,109 | |||||||||||
b |
Genscript Biotech Corp. |
Life Sciences Tools & Services | 47,769 | 104,424 | ||||||||||
GF Securities Co. Ltd. |
Capital Markets | 21,600 | 43,235 | |||||||||||
GF Securities Co. Ltd., H |
Capital Markets | 54,000 | 58,816 | |||||||||||
Gigadevice Semiconductor Beijing Inc., A |
Semiconductors & Semiconductor Equipment | 2,248 | 29,562 |
170 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Ginlong Technologies Co. Ltd., A |
Electrical Equipment | 1,350 | $ | 41,840 | ||||||||||
Glarun Technology Co. Ltd., A |
Communications Equipment | 5,400 | 10,157 | |||||||||||
GoerTek Inc. |
Electronic Equipment, Instruments & Components | 10,800 | 40,145 | |||||||||||
b |
GOME Retail Holdings Ltd. |
Specialty Retail | 621,000 | 11,629 | ||||||||||
b |
Grandjoy Holdings Group Co. Ltd., A |
Real Estate Management & Development | 16,200 | 7,612 | ||||||||||
Great Wall Motor Co. Ltd., A |
Automobiles | 8,100 | 31,586 | |||||||||||
Great Wall Motor Co. Ltd., H |
Automobiles | 148,500 | 170,635 | |||||||||||
Greentown China Holdings Ltd. |
Real Estate Management & Development | 40,500 | 76,151 | |||||||||||
GRG Banking Equipment Co. Ltd. |
Technology Hardware, Storage & Peripherals | 8,100 | 9,260 | |||||||||||
Guangdong Baolihua New Energy Stock Co. Ltd. |
Independent Power Producers & Energy Traders | 8,100 | 5,363 | |||||||||||
b |
Guangdong Electric Power Development Co. Ltd., A |
Independent Power Producers & Energy Traders | 8,100 | 5,067 | ||||||||||
b |
Guangdong Electric Power Development Co. Ltd., B |
Independent Power Producers & Energy Traders | 43,200 | 11,612 | ||||||||||
Guangdong Golden Dragon Development Inc. |
Capital Markets | 2,700 | 5,120 | |||||||||||
Guangdong Haid Group Co. Ltd. |
Food Products | 6,300 | 53,269 | |||||||||||
b |
Guangdong HEC Technology Holding Co. Ltd., A |
Metals & Mining | 10,800 | 13,331 | ||||||||||
Guangdong Kinlong Hardware Products Co. Ltd. |
Building Products | 700 | 8,693 | |||||||||||
b |
Guangdong LY Intelligent Manufacturing Co. Ltd. |
Electrical Equipment | 27,000 | 16,853 | ||||||||||
Guangdong Xinbao Electrical Appliances Holdings Co. Ltd. |
Household Durables | 2,700 | 6,711 | |||||||||||
Guanghui Energy Co. Ltd., A |
Oil, Gas & Consumable Fuels | 24,300 | 41,857 | |||||||||||
Guangshen Railway Co. Ltd., A |
Road & Rail | 13,500 | 3,693 | |||||||||||
b |
Guangshen Railway Co. Ltd., H |
Road & Rail | 108,000 | 14,721 | ||||||||||
Guangxi Guiguan Electric Power Co. Ltd., A |
Independent Power Producers & Energy Traders | 13,500 | 11,097 | |||||||||||
Guangxi Liugong Machinery Co. Ltd. |
Machinery | 5,400 | 4,280 | |||||||||||
Guangzhou Automobile Group Co. Ltd., A |
Automobiles | 10,800 | 18,376 | |||||||||||
Guangzhou Automobile Group Co. Ltd., H |
Automobiles | 154,000 | 109,861 | |||||||||||
Guangzhou Baiyunshan Pharmaceutical Holdings Co. Ltd., A |
Pharmaceuticals | 5,400 | 19,663 | |||||||||||
Guangzhou Baiyunshan Pharmceutical Holdings Co. Ltd. |
Pharmaceuticals | 9,900 | 21,389 | |||||||||||
Guangzhou Haige Communications Group Inc. Co. |
Communications Equipment | 8,100 | 8,828 | |||||||||||
Guangzhou Kingmed Diagnostics Group Co. Ltd. |
Health Care Providers & Services | 2,700 | 24,004 | |||||||||||
Guangzhou Shiyuan Electronic Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 700 | 5,862 | |||||||||||
Guangzhou TInc.i Materials Technology Co. Ltd. |
Chemicals | 7,060 | 43,633 | |||||||||||
Guangzhou Wondfo Biotech Co. Ltd., A |
Health Care Equipment & Supplies | 1,300 | 5,348 | |||||||||||
Guangzhou Yuexiu Financial Holdings Group Co. Ltd., A |
Capital Markets | 9,493 | 7,563 | |||||||||||
Guangzhou Zhujiang Brewery Co. Ltd. |
Beverages | 5,400 | 5,734 | |||||||||||
b |
Guizhou Bailing Group Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 5,400 | 4,810 | ||||||||||
Guizhou Panjiang Refined Coal Co. Ltd., A |
Oil, Gas & Consumable Fuels | 5,400 | 6,423 | |||||||||||
Guizhou Xinbang Pharmaceutical Co. Ltd. |
Pharmaceuticals | 8,100 | 5,499 | |||||||||||
Guolian Securities Co. Ltd., A |
Capital Markets | 8,100 | 9,930 | |||||||||||
Guosen Securities Co. Ltd. |
Capital Markets | 18,900 | 22,799 | |||||||||||
b |
Guosheng Financial Holding Inc. |
Electrical Equipment | 8,100 | 8,669 | ||||||||||
a |
Guotai Junan Securities Co. Ltd., 144A |
Capital Markets | 37,800 | 40,160 | ||||||||||
Guotai Junan Securities Co. Ltd., A |
Capital Markets | 24,300 | 46,595 | |||||||||||
Guoxuan High-Tech Co. Ltd. |
Electrical Equipment | 5,400 | 23,125 | |||||||||||
Guoyuan Securities Co. Ltd. |
Capital Markets | 16,200 | 14,543 | |||||||||||
a,b,c |
Haidilao International Holding Ltd., 144A, Reg S |
Hotels, Restaurants & Leisure | 54,000 | 105,938 | ||||||||||
Haier Smart Home Co. Ltd., A |
Household Durables | 21,600 | 75,048 | |||||||||||
Haier Smart Home Co. Ltd., H |
Household Durables | 113,400 | 347,427 | |||||||||||
Haitian International Holdings Ltd. |
Machinery | 28,000 | 53,219 | |||||||||||
Haitong Securities Co. Ltd., A |
Capital Markets | 35,100 | 42,637 |
franklintempleton.com |
Semiannual Report |
171 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Haitong Securities Co. Ltd., H |
Capital Markets | 162,000 | $ | 85,851 | ||||||||||
b |
Hang Zhou Great Star Industrial Co. Ltd. |
Household Durables | 5,400 | 14,392 | ||||||||||
Hangzhou Binjiang Real Estate Group Co. Ltd. |
Real Estate Management & Development | 10,800 | 15,861 | |||||||||||
Hangzhou Chang Chuan Technology Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 2,700 | 21,595 | |||||||||||
Hangzhou First Applied Material Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 2,440 | 18,208 | |||||||||||
Hangzhou Lion Electronics Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 2,700 | 17,243 | |||||||||||
Hangzhou Oxygen Plant Group Co. Ltd. |
Machinery | 2,700 | 12,987 | |||||||||||
Hangzhou Robam Appliances Co. Ltd., A |
Household Durables | 2,700 | 8,684 | |||||||||||
Hangzhou Silan Microelectronics Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 5,400 | 24,276 | |||||||||||
Hangzhou Tigermed Consulting Co. Ltd. |
Life Sciences Tools & Services | 2,700 | 34,532 | |||||||||||
a,c |
Hangzhou Tigermed Consulting Co. Ltd., A, 144A, Reg S |
Life Sciences Tools & Services | 6,500 | 52,704 | ||||||||||
Han’s Laser Technology Industry Group Co. Ltd., A |
Machinery | 2,700 | 9,870 | |||||||||||
a |
Hansoh Pharmaceutical Group Co. Ltd., 144A |
Pharmaceuticals | 54,000 | 85,438 | ||||||||||
Haohua Chemical Science & Technology Co. Ltd., A |
Chemicals | 2,700 | 14,732 | |||||||||||
Harbin Boshi Automation Co. Ltd. |
Machinery | 2,700 | 5,408 | |||||||||||
Hefei Meiya Optoelectronic Technology Inc. |
Machinery | 3,480 | 11,169 | |||||||||||
Heilongjiang Agriculture Co. Ltd., A |
Food Products | 5,400 | 10,082 | |||||||||||
Henan Shuanghui Investment & Development Co. Ltd. |
Food Products | 10,800 | 37,055 | |||||||||||
Hengan International Group Co. Ltd. |
Personal Products | 34,750 | 155,381 | |||||||||||
Hengdian Group DMEGC Magnetics Co. Ltd. |
Electronic Equipment, Instruments & Components | 5,400 | 14,990 | |||||||||||
Hengli Petrochemical Co. Ltd., A |
Chemicals | 10,800 | 25,632 | |||||||||||
b |
HengTen Networks Group Ltd. |
Internet & Catalog Retail | 108,000 | 23,114 | ||||||||||
Hengtong Optic-electric Co. Ltd. |
Communications Equipment | 8,100 | 20,678 | |||||||||||
Hengyi Petrochemical Co. Ltd., A |
Chemicals | 13,500 | 14,600 | |||||||||||
Hesteel Co. Ltd. |
Metals & Mining | 37,800 | 11,930 | |||||||||||
Hithink RoyalFlush Information Network Co. Ltd., A |
Capital Markets | 2,700 | 29,344 | |||||||||||
b |
Holitech Technology Co. Ltd. |
Electronic Equipment, Instruments & Components | 10,800 | 3,939 | ||||||||||
Hongfa Technology Co. Ltd., A |
Electrical Equipment | 3,740 | 18,272 | |||||||||||
Hopson Development Holdings Ltd. |
Real Estate Management & Development | 36,544 | 38,267 | |||||||||||
Hoshine Silicon Industry Co. Ltd., A |
Chemicals | 2,700 | 41,490 | |||||||||||
a,b |
Hua Hong Semiconductor Ltd., 144A |
Semiconductors & Semiconductor Equipment | 20,000 | 45,759 | ||||||||||
Huadian Power International Corp. Ltd., A |
Independent Power Producers & Energy Traders | 24,300 | 20,281 | |||||||||||
Huadian Power International Corp. Ltd., H |
Independent Power Producers & Energy Traders | 54,000 | 19,743 | |||||||||||
Huadong Medicine Co. Ltd., A |
Health Care Providers & Services | 5,400 | 30,389 | |||||||||||
Huafa Industrial Co. Ltd. Zhuhai, A |
Real Estate Management & Development | 8,100 | 11,191 | |||||||||||
Huafon Chemical Co. Ltd. |
Chemicals | 13,500 | 12,365 | |||||||||||
Huagong Tech Co. Ltd. |
Electronic Equipment, Instruments & Components | 2,700 | 6,999 | |||||||||||
Huaibei Mining Holdings Co. Ltd., A |
Metals & Mining | 8,100 | 19,145 | |||||||||||
Hualan Biological Engineering Inc. |
Biotechnology | 6,060 | 15,437 | |||||||||||
Huaneng Lancang River Hydropower Inc., A |
Independent Power Producers & Energy Traders | 21,600 | 20,845 | |||||||||||
b |
Huaneng Power International Inc., A |
Independent Power Producers & Energy Traders | 27,000 | 28,745 | ||||||||||
Huaneng Power International Inc., H |
Independent Power Producers & Energy Traders | 216,000 | 94,106 | |||||||||||
Huapont Life Sciences Co. Ltd. |
Chemicals | 5,400 | 4,030 | |||||||||||
a |
Huatai Securities Co. Ltd., 144A |
Capital Markets | 75,600 | 83,209 | ||||||||||
Huatai Securities Co. Ltd., A |
Capital Markets | 27,000 | 45,902 | |||||||||||
Huaxi Securities Co. Ltd. |
Capital Markets | 8,100 | 8,328 | |||||||||||
Huaxia Bank Co. Ltd., A |
Banks | 56,700 | 40,005 | |||||||||||
Huaxin Cement Co. Ltd., H |
Construction Materials | 17,400 | 17,932 | |||||||||||
Huaxin Cement Co. Ltd., A |
Construction Materials | 5,400 | 12,687 | |||||||||||
Huayu Automotive Systems Co. Ltd. |
Auto Components | 10,800 | 25,026 | |||||||||||
Hubei Biocause Pharmaceutical Co. Ltd. |
Insurance | 13,500 | 5,738 | |||||||||||
Hubei Energy Group Co. Ltd. |
Independent Power Producers & Energy Traders | 24,300 | 14,963 | |||||||||||
Hubei Xingfa Chemicals Group Co. Ltd., A |
Chemicals | 2,700 | 12,680 |
172 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Hubei Xinyangfeng Fertilizer Co. Ltd. |
Chemicals | 5,400 | $ | 9,832 | ||||||||||
Huizhou Desay Sv Automotive Co. Ltd. |
Household Durables | 1,700 | 32,895 | |||||||||||
Humanwell Healthcare Group Co. Ltd., A |
Pharmaceuticals | 5,400 | 13,278 | |||||||||||
Hunan Gold Corp. Ltd. |
Metals & Mining | 5,400 | 9,097 | |||||||||||
Hunan Valin Steel Co. Ltd., A |
Metals & Mining | 24,300 | 13,907 | |||||||||||
Hundsun Technologies Inc., A |
Software | 6,506 | 30,928 | |||||||||||
Huolinhe Opencut Coal Industry Corp. Ltd. of Inner Mongolia |
Oil, Gas & Consumable Fuels | 5,400 | 9,900 | |||||||||||
a,b |
Hygeia Healthcare Holdings Co. Ltd., 144A |
Health Care Providers & Services | 16,200 | 91,526 | ||||||||||
Iflytek Co. Ltd. |
Software | 8,100 | 37,289 | |||||||||||
Imeik Technology Development Co. Ltd., A |
Biotechnology | 600 | 41,266 | |||||||||||
Industrial and Commercial Bank of China Ltd. |
Banks | 259,200 | 158,156 | |||||||||||
Industrial and Commercial Bank of China Ltd., H |
Banks | 3,861,000 | 1,810,020 | |||||||||||
Industrial Bank Co. Ltd., A |
Banks | 70,200 | 163,951 | |||||||||||
b |
Industrial Securities Co. Ltd., A |
Capital Markets | 31,590 | 24,150 | ||||||||||
Ingenic Semiconductor Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 1,300 | 13,488 | |||||||||||
Inmyshow Digital Technology Group Co. Ltd. |
Media | 5,400 | 4,499 | |||||||||||
Inner Mongolia BaoTou Steel Union Co. Ltd., A |
Metals & Mining | 148,500 | 38,327 | |||||||||||
Inner Mongolia ERDOS Resources Co. Ltd. |
Metals & Mining | 5,400 | 11,491 | |||||||||||
Inner Mongolia ERDOS Resources Co. Ltd., B |
Metals & Mining | 18,900 | 35,778 | |||||||||||
Inner Mongolia Junzheng Energy & Chemical Industry Group Co. Ltd., A |
Chemicals | 27,000 | 14,884 | |||||||||||
Inner Mongolia Yili Industrial Group Co. Ltd., A |
Food Products | 21,600 | 99,923 | |||||||||||
Inner Mongolia Yitai Coal Co. Ltd., B |
Oil, Gas & Consumable Fuels | 51,300 | 77,309 | |||||||||||
Inner Mongolia Yuan Xing Energy Co. Ltd. |
Chemicals | 13,500 | 14,070 | |||||||||||
a,b |
Innovent Biologics Inc., B, 144A |
Biotechnology | 65,000 | 202,455 | ||||||||||
Inspur Electronic Information Industry Co. Ltd. |
Technology Hardware, Storage & Peripherals | 5,508 | 15,259 | |||||||||||
Intco Medical Technology Co. Ltd. |
Health Care Equipment & Supplies | 1,890 | 5,284 | |||||||||||
b |
Iqiyi Inc., ADR |
Entertainment | 15,633 | 42,365 | ||||||||||
JA Solar Technology Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 7,480 | 67,192 | |||||||||||
Jafron Biomedical Co. Ltd., A |
Health Care Equipment & Supplies | 2,700 | 18,361 | |||||||||||
Jason Furniture Hangzhou Co. Ltd., A |
Household Durables | 3,480 | 19,496 | |||||||||||
a,b |
JD Health International Inc., 144A |
Internet & Catalog Retail | 36,450 | 209,416 | ||||||||||
a,b |
JD Logistics Inc., 144A |
Air Freight & Logistics | 81,000 | 142,397 | ||||||||||
JD.com Inc., A |
Internet & Catalog Retail | 115,910 | 2,932,487 | |||||||||||
b |
Jiajiayue Group Co. Ltd., A |
Food & Staples Retailing | 2,700 | 4,086 | ||||||||||
Jiangsu Changjiang Electronics Technology Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 5,400 | 16,232 | |||||||||||
Jiangsu Cnano Technology Co. Ltd., A |
Chemicals | 810 | 13,085 | |||||||||||
Jiangsu Eastern Shenghong Co. Ltd. |
Chemicals | 13,500 | 32,987 | |||||||||||
Jiangsu Expressway Co. Ltd., A |
Transportation Infrastructure | 8,100 | 8,169 | |||||||||||
Jiangsu Expressway Co. Ltd., H |
Transportation Infrastructure | 64,000 | 48,021 | |||||||||||
Jiangsu GoodWe Power Supply Technology Co. Ltd., A |
Electrical Equipment | 364 | 14,451 | |||||||||||
Jiangsu Hengli Hydraulic Co. Ltd., A |
Machinery | 3,980 | 25,279 | |||||||||||
Jiangsu Hengrui Medicine Co. Ltd., A |
Pharmaceuticals | 22,740 | 111,959 | |||||||||||
Jiangsu King’s Luck Brewery JSC Ltd |
Beverages | 5,400 | 34,752 | |||||||||||
Jiangsu Linyang Energy Co. Ltd., A |
Electrical Equipment | 8,100 | 7,624 | |||||||||||
Jiangsu Yanghe Brewery JST Co. Ltd., A |
Beverages | 5,400 | 119,791 | |||||||||||
Jiangsu Yangnong Chemical Co. Ltd., A |
Chemicals | 900 | 12,625 | |||||||||||
Jiangsu Yoke Technology Co. Ltd., A |
Chemicals | 2,700 | 23,288 | |||||||||||
Jiangsu Yuyue Medical Equipment & Supply Co. Ltd. |
Health Care Equipment & Supplies | 2,700 | 10,911 | |||||||||||
b |
Jiangsu Zhongnan Construction Group Co. Ltd. |
Real Estate Management & Development | 16,200 | 5,272 | ||||||||||
Jiangsu Zhongtian Technology Co. Ltd., A |
Electrical Equipment | 10,800 | 34,040 | |||||||||||
Jiangxi Copper Co. Ltd., A |
Metals & Mining | 8,100 | 17,315 | |||||||||||
Jiangxi Copper Co. Ltd., H |
Metals & Mining | 54,000 | 62,462 | |||||||||||
b |
Jiangxi Special Electric Motor Co. Ltd., A |
Electrical Equipment | 5,400 | 14,869 |
franklintempleton.com |
Semiannual Report |
173 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
b |
Jiangxi Zhengbang Technology Co. Ltd., A |
Food Products | 10,800 | $ | 6,772 | |||||||||
Jilin Aodong Pharmaceutical Group Co. Ltd. |
Pharmaceuticals | 5,400 | 10,135 | |||||||||||
b |
Jinke Properties Group Co. Ltd. |
Real Estate Management & Development | 21,600 | 6,332 | ||||||||||
Jinke Smart Services Group Co. Ltd., H |
Real Estate Management & Development | 16,200 | 24,558 | |||||||||||
a,c |
Jinxin Fertility Group Ltd., 144A, Reg S |
Health Care Providers & Services | 74,000 | 36,293 | ||||||||||
JiuGui Liquor Co. Ltd., A |
Beverages | 900 | 15,862 | |||||||||||
a |
Jiumaojiu International Holdings Ltd., 144A |
Hotels, Restaurants & Leisure | 27,000 | 44,301 | ||||||||||
Jizhong Energy Resources Co. Ltd., A |
Oil, Gas & Consumable Fuels | 10,800 | 10,983 | |||||||||||
JoInc.are Pharmaceutical Group Industry Co. Ltd., A |
Pharmaceuticals | 8,100 | 11,953 | |||||||||||
Joinn Laboratories China Co. Ltd., A |
Life Sciences Tools & Services | 1,400 | 11,097 | |||||||||||
a |
Joinn Laboratories China Co. Ltd., H, 144A |
Life Sciences Tools & Services | 3,780 | 14,422 | ||||||||||
Jointown Pharmaceutical Group Co. Ltd., A |
Health Care Providers & Services | 8,100 | 12,998 | |||||||||||
Jonjee Hi-Tech Industrial And Commercial Holding Co. Ltd., A |
Food Products | 2,700 | 12,074 | |||||||||||
Joyoung Co. Ltd. |
Household Durables | 2,700 | 5,594 | |||||||||||
JOYY Inc., ADR |
Interactive Media & Services | 2,295 | 59,670 | |||||||||||
b |
Juneyao Airlines Co. Ltd., A |
Airlines | 2,700 | 5,734 | ||||||||||
b |
Kaishan Group Co. Ltd., A |
Machinery | 2,700 | 7,041 | ||||||||||
b |
Kanzhun Ltd., ADR |
Interactive Media & Services | 6,453 | 108,927 | ||||||||||
b |
KE Holdings Inc., ADR |
Real Estate Management & Development | 31,428 | 550,619 | ||||||||||
Keda Industrial Group Co. Ltd. |
Machinery | 5,400 | 12,680 | |||||||||||
Kingboard Holdings Ltd. |
Electronic Equipment, Instruments & Components | 40,500 | 114,536 | |||||||||||
b |
Kingdee International Software Group Co. Ltd. |
Software | 126,000 | 165,006 | ||||||||||
Kingfa Sci & Tech Co. Ltd., A |
Chemicals | 10,800 | 14,210 | |||||||||||
b |
Kingsoft Cloud Holdings Ltd., ADR |
IT Services | 4,914 | 9,779 | ||||||||||
Kingsoft Corp. Ltd. |
Software | 45,000 | 119,810 | |||||||||||
a,b |
Kuaishou Technology, B, 144A |
Interactive Media & Services | 94,500 | 613,355 | ||||||||||
b |
Kuang-Chi Technologies Co. Ltd. |
Auto Components | 8,100 | 16,872 | ||||||||||
Kunlun Tech Co. Ltd. |
Entertainment | 5,400 | 9,377 | |||||||||||
Kweichow Moutai Co. Ltd., A |
Beverages | 4,300 | 1,129,412 | |||||||||||
KWG Group Holdings Ltd. |
Real Estate Management & Development | 67,500 | 8,341 | |||||||||||
b |
Lakala Payment Co. Ltd., A |
IT Services | 2,700 | 5,181 | ||||||||||
Lao Feng Xiang Co. Ltd., B |
Textiles, Apparel & Luxury Goods | 10,800 | 31,212 | |||||||||||
Lee & Man Paper Manufacturing Ltd. |
Paper & Forest Products | 54,000 | 17,335 | |||||||||||
a |
Legend Holdings Corp., 144A |
Technology Hardware, Storage & Peripherals | 27,000 | 23,458 | ||||||||||
Lens Technology Co. Ltd. |
Electronic Equipment, Instruments & Components | 16,200 | 20,974 | |||||||||||
b |
Leo Group Co. Ltd. |
Media | 29,700 | 7,290 | ||||||||||
Lepu Medical Technology Beijing Co. Ltd. |
Health Care Equipment & Supplies | 5,400 | 16,005 | |||||||||||
Levima Advanced Materials Corp., A |
Chemicals | 2,700 | 15,141 | |||||||||||
Leyard Optoelectronic Co. Ltd. |
Electronic Equipment, Instruments & Components | 8,100 | 6,260 | |||||||||||
b |
Li Auto Inc., ADR |
Automobiles | 25,704 | 591,449 | ||||||||||
Li Ning Co. Ltd. |
Textiles, Apparel & Luxury Goods | 111,500 | 853,661 | |||||||||||
LianChuang Electronic Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 3,360 | 6,462 | |||||||||||
Lianhe Chemical Technology Co. Ltd. |
Chemicals | 2,700 | 6,779 | |||||||||||
Liaoning Port Co. Ltd., A |
Transportation Infrastructure | 62,100 | 13,937 | |||||||||||
Livzon Pharmaceutical Group Inc. |
Pharmaceuticals | 2,700 | 11,400 | |||||||||||
Livzon Pharmaceutical Group Inc., H |
Pharmaceuticals | 8,100 | 20,307 | |||||||||||
Lomon Billions Group Co. Ltd. |
Chemicals | 8,100 | 17,895 | |||||||||||
a,c |
Longfor Group Holdings Ltd., 144A, Reg S |
Real Estate Management & Development | 90,910 | 261,152 | ||||||||||
LONGi Green Energy Technology Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 27,000 | 181,448 | |||||||||||
Longshine Technology Group Co. Ltd., A |
Software | 2,700 | 8,120 | |||||||||||
Luenmei Quantum Co. Ltd., A |
Water Utilities | 5,400 | 5,363 | |||||||||||
Lufax Holding Ltd., ADR |
Consumer Finance | 33,723 | 85,656 | |||||||||||
Luolai Lifestyle Technology Co. Ltd., A |
Textiles, Apparel & Luxury Goods | 2,700 | 3,867 | |||||||||||
Luxi Chemical Group Co. Ltd., A |
Chemicals | 5,400 | 9,817 | |||||||||||
Luxshare Precision Industry Co. Ltd., A |
Electronic Equipment, Instruments & Components | 24,399 | 100,619 | |||||||||||
a,b |
Luye Pharma Group Ltd., 144A |
Pharmaceuticals | 94,500 | 26,244 |
174 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Luzhou Laojiao Co. Ltd., A |
Beverages | 5,400 | $ | 174,714 | ||||||||||
Maanshan Iron & Steel Co. Ltd., A |
Metals & Mining | 21,600 | 8,150 | |||||||||||
Maccura Biotechnology Co. Ltd. |
Life Sciences Tools & Services | 2,700 | 6,344 | |||||||||||
Mango Excellent Media Co. Ltd. |
Entertainment | 8,130 | 28,430 | |||||||||||
Maxscend Microelectronics Co. Ltd., A |
Electronic Equipment, Instruments & Components | 1,632 | 20,239 | |||||||||||
b |
Meinian Onehealth Healthcare Holdings Co. Ltd. |
Health Care Providers & Services | 13,500 | 8,086 | ||||||||||
a,b |
Meituan Dianping, B, 144A |
Internet & Catalog Retail | 201,615 | 4,253,232 | ||||||||||
Metallurgical Corp. of China Ltd. |
Construction & Engineering | 135,000 | 22,013 | |||||||||||
Metallurgical Corp. of China Ltd., A |
Construction & Engineering | 59,400 | 24,913 | |||||||||||
b |
Microport Scientific Corp. |
Health Care Equipment & Supplies | 24,300 | 41,852 | ||||||||||
Ming Yang Smart Energy Group Ltd. |
Electrical Equipment | 8,100 | 27,416 | |||||||||||
Ming Yuan Cloud Group Holdings Ltd. |
Software | 27,000 | 15,994 | |||||||||||
MINISO Group Holding Ltd., ADR |
Multiline Retail | 3,834 | 21,049 | |||||||||||
Minth Group Ltd. |
Auto Components | 34,000 | 75,277 | |||||||||||
Montage Technology Co. Ltd. |
Semiconductors & Semiconductor Equipment | 4,025 | 29,545 | |||||||||||
Muyuan Foods Co. Ltd. |
Food Products | 18,360 | 140,408 | |||||||||||
NanJi E-Commerce Co. Ltd. |
Media | 10,800 | 6,741 | |||||||||||
Nanjing Hanrui Cobalt Co. Ltd., A |
Metals & Mining | 800 | 4,921 | |||||||||||
Nanjing Iron & Steel Co. Ltd., A |
Metals & Mining | 21,600 | 8,271 | |||||||||||
Nanjing King-Friend Biochemical Pharmaceutical Co. Ltd. |
Pharmaceuticals | 4,845 | 11,309 | |||||||||||
Nanjing Securities Co. Ltd., A |
Capital Markets | 13,500 | 14,448 | |||||||||||
Nanyang Topsec Technologies Group Inc., A |
Electrical Equipment | 5,400 | 6,969 | |||||||||||
Nari Technology Development Co. Ltd., A |
Electrical Equipment | 22,640 | 78,980 | |||||||||||
b |
National Silicon Industry Group Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 6,399 | 16,022 | ||||||||||
NAURA Technology Group Co. Ltd., A |
Electronic Equipment, Instruments & Components | 1,800 | 70,292 | |||||||||||
NavInfo Co. Ltd. |
Household Durables | 8,100 | 13,112 | |||||||||||
NetEase Inc. |
Entertainment | 89,100 | 1,345,030 | |||||||||||
New China Life Insurance Co. Ltd., A |
Insurance | 8,100 | 30,609 | |||||||||||
New China Life Insurance Co. Ltd., H |
Insurance | 45,900 | 87,591 | |||||||||||
b |
New Hope Liuhe Co. Ltd. |
Food Products | 16,200 | 31,586 | ||||||||||
b |
New Oriental Education & Technology Group Inc., Sponsored ADR |
Diversified Consumer Services | 6,868 | 164,626 | ||||||||||
Newland Digital Technology Co. Ltd. |
Software | 2,700 | 4,586 | |||||||||||
Nine Dragons Paper Holdings Ltd. |
Paper & Forest Products | 77,000 | 47,868 | |||||||||||
Ninestar Corp. |
Technology Hardware, Storage & Peripherals | 5,400 | 32,684 | |||||||||||
Ningbo Deye Technology Co. Ltd., A |
Machinery | 700 | 41,260 | |||||||||||
b |
Ningbo Joyson Electronic Corp. |
Auto Components | 5,400 | 10,014 | ||||||||||
Ningbo Orient Wires & Cables Co. Ltd., A |
Electrical Equipment | 2,700 | 26,409 | |||||||||||
Ningbo Ronbay New Energy Technology Co. Ltd. |
Electrical Equipment | 1,586 | 18,721 | |||||||||||
Ningbo Sanxing Medical Electric Co. Ltd., A |
Electrical Equipment | 5,400 | 8,665 | |||||||||||
Ningbo Shanshan Co. Ltd., A |
Chemicals | 8,100 | 23,689 | |||||||||||
Ningbo Tuopu Group Co. Ltd., A |
Auto Components | 2,700 | 27,950 | |||||||||||
Ningbo Zhoushan Port Co. Ltd., A |
Transportation Infrastructure | 32,400 | 16,497 | |||||||||||
Ningxia Baofeng Energy Group Co. Ltd., A |
Chemicals | 10,800 | 20,179 | |||||||||||
b |
NIO Inc., ADR |
Automobiles | 64,881 | 1,023,173 | ||||||||||
a |
Nongfu Spring Co. Ltd., H, 144A |
Beverages | 86,400 | 501,347 | ||||||||||
North Huajin Chemical Industries Co. Ltd. |
Chemicals | 5,400 | 5,393 | |||||||||||
North Industries Group Red Arrow Co. Ltd., A |
Machinery | 2,700 | 8,465 | |||||||||||
Northeast Securities Co. Ltd. |
Capital Markets | 8,100 | 7,328 | |||||||||||
NSFOCUS Information Technology Co. Ltd. |
Software | 2,700 | 3,087 | |||||||||||
b |
Offcn Education Technology Co. Ltd., A |
Diversified Consumer Services | 8,100 | 4,602 | ||||||||||
Offshore Oil Engineering Co. Ltd., A |
Energy Equipment & Services | 13,500 | 8,427 | |||||||||||
b |
OFILM Group Co. Ltd. |
Electronic Equipment, Instruments & Components | 10,800 | 7,984 | ||||||||||
Oppein Home Group Inc., A |
Household Durables | 900 | 14,342 | |||||||||||
ORG Technology Co. Ltd. |
Containers & Packaging | 8,100 | 5,261 | |||||||||||
a |
Orient Securities Co. Ltd. of China, 144A |
Capital Markets | 43,200 | 16,950 | ||||||||||
Oriental Energy Co. Ltd., A |
Oil, Gas & Consumable Fuels | 5,400 | 5,772 |
franklintempleton.com |
Semiannual Report |
175 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
b |
Ourpalm Co. Ltd. |
Entertainment | 13,500 | $ | 5,283 | |||||||||
Ovctek China Inc., A |
Health Care Equipment & Supplies | 3,420 | 19,812 | |||||||||||
b |
Pangang Group Vanadium Titanium & Resources Co. Ltd., A |
Metals & Mining | 29,700 | 19,247 | ||||||||||
People.cn Co. Ltd. |
Media | 5,400 | 7,817 | |||||||||||
People’s Insurance Co. Group of China Ltd., A |
Insurance | 35,100 | 24,666 | |||||||||||
Perfect World Co. Ltd. |
Entertainment | 5,400 | 9,408 | |||||||||||
PetroChina Co. Ltd. |
Oil, Gas & Consumable Fuels | 83,700 | 60,229 | |||||||||||
PetroChina Co. Ltd., H |
Oil, Gas & Consumable Fuels | 1,026,000 | 420,861 | |||||||||||
Pharmaron Beijing Co. Ltd., A |
Life Sciences Tools & Services | 1,500 | 11,372 | |||||||||||
a,c |
Pharmaron Beijing Co. Ltd., H, 144A, Reg S |
Life Sciences Tools & Services | 9,400 | 45,683 | ||||||||||
PICC Property and Casualty Co. Ltd., H |
Insurance | 324,000 | 335,974 | |||||||||||
b |
Pinduoduo Inc., ADR |
Internet & Direct Marketing Retail | 18,225 | 1,140,520 | ||||||||||
Ping An Bank Co. Ltd., A |
Banks | 67,500 | 112,103 | |||||||||||
a,b,c |
Ping An Healthcare and Technology Co. Ltd., 144A, Reg S |
Health Care Technology | 18,900 | 35,634 | ||||||||||
Ping An Insurance Group Co. of China Ltd., A |
Insurance | 37,800 | 220,464 | |||||||||||
Ping An Insurance Group Co. of China Ltd., H |
Insurance | 297,000 | 1,483,127 | |||||||||||
Pingdingshan Tianan Coal Mining Co. Ltd., A |
Oil, Gas & Consumable Fuels | 8,100 | 15,497 | |||||||||||
Poly Developments and Holdings Group Co. Ltd., A |
Real Estate Management & Development | 40,500 | 102,256 | |||||||||||
Poly Property Services Co. Ltd., H |
Real Estate Management & Development | 6,400 | 33,957 | |||||||||||
a |
Pop Mart International Group Ltd., 144A |
Specialty Retail | 32,400 | 59,600 | ||||||||||
Porton Pharma Solutions Ltd., A |
Pharmaceuticals | 2,700 | 17,649 | |||||||||||
a |
Postal Savings Bank of China Co. Ltd., 144A |
Banks | 459,000 | 270,726 | ||||||||||
Postal Savings Bank of China Co. Ltd. |
Banks | 75,600 | 47,295 | |||||||||||
Power Construction Corp. of China Ltd. |
Construction & Engineering | 37,800 | 36,956 | |||||||||||
Pylon Technologies Co. Ltd., A |
Electrical Equipment | 459 | 25,753 | |||||||||||
Qingdao TGOOD Electric Co. Ltd. |
Electrical Equipment | 2,700 | 5,510 | |||||||||||
b |
Qinghai Salt Lake Industry Co. Ltd., A |
Chemicals | 18,900 | 63,308 | ||||||||||
Raytron Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 1,348 | 7,189 | |||||||||||
a |
Red Star Macalline Group Corp. Ltd., 144A |
Real Estate Management & Development | 33,600 | 9,203 | ||||||||||
a,b |
Remegen Co. Ltd., H, 144A |
Biotechnology | 7,500 | 36,354 | ||||||||||
b |
RiseSun Real Estate Development Co. Ltd. |
Real Estate Management & Development | 13,500 | 4,450 | ||||||||||
b |
RLX Technology Inc., ADR |
Tobacco | 36,450 | 38,272 | ||||||||||
Rongsheng Petro Chemical Co. Ltd. |
Chemicals | 10,800 | 20,951 | |||||||||||
SAIC Motor Corp Ltd. |
Automobiles | 32,400 | 64,990 | |||||||||||
Sailun Group Co. Ltd., A |
Auto Components | 10,800 | 15,331 | |||||||||||
Sangfor Technologies Inc. |
Software | 300 | 4,208 | |||||||||||
Sansteel Minguang Co. Ltd. |
Metals & Mining | 8,100 | 5,556 | |||||||||||
Sany Heavy Industry Co. Ltd., A |
Machinery | 29,700 | 57,824 | |||||||||||
SDIC Power Holdings Co. Ltd., A |
Independent Power Producers & Energy Traders | 27,000 | 40,675 | |||||||||||
Sealand Securities Co. Ltd. |
Capital Markets | 22,640 | 10,257 | |||||||||||
b |
Seazen Group Ltd. |
Real Estate Management & Development | 108,000 | 25,315 | ||||||||||
b |
Seazen Holdings Co. Ltd., A |
Real Estate Management & Development | 8,100 | 19,860 | ||||||||||
SF Holding Co. Ltd. |
Air Freight & Logistics | 16,200 | 107,301 | |||||||||||
SG Micro Corp., A |
Semiconductors & Semiconductor Equipment | 1,275 | 25,197 | |||||||||||
Shaanxi Coal Industry Co. Ltd. |
Oil, Gas & Consumable Fuels | 32,400 | 103,483 | |||||||||||
Shaanxi International Trust Co. Ltd. |
Capital Markets | 13,500 | 5,473 | |||||||||||
b |
Shandong Chenming Paper Holdings Ltd., A |
Paper & Forest Products | 5,400 | 3,545 | ||||||||||
b |
Shandong Chenming Paper Holdings Ltd., B |
Paper & Forest Products | 32,400 | 9,617 | ||||||||||
b |
Shandong Chenming Paper Holdings Ltd., H |
Paper & Forest Products | 27,000 | 7,464 | ||||||||||
Shandong Denghai Seeds Co. Ltd. |
Food Products | 2,700 | 7,230 | |||||||||||
a |
Shandong Gold Mining Co. Ltd., 144A |
Metals & Mining | 34,250 | 54,452 | ||||||||||
Shandong Gold Mining Co. Ltd., A |
Metals & Mining | 11,484 | 27,594 | |||||||||||
Shandong Himile Mechanical Science & Technology Co. Ltd. |
Machinery | 2,700 | 8,749 | |||||||||||
Shandong Hi-speed Co. Ltd., A |
Transportation Infrastructure | 10,800 | 8,226 |
176 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Shandong Hualu Hengsheng Chemical Co. Ltd., A |
Chemicals | 8,180 | $ | 33,470 | ||||||||||
Shandong Humon Smelting Co. Ltd. |
Metals & Mining | 2,700 | 3,443 | |||||||||||
Shandong Linglong Tyre Co. Ltd., A |
Auto Components | 2,700 | 6,893 | |||||||||||
Shandong Nanshan Aluminum Co. Ltd., A |
Metals & Mining | 40,500 | 17,100 | |||||||||||
Shandong Pharmaceutical Glass Co. Ltd., A |
Health Care Equipment & Supplies | 2,700 | 10,972 | |||||||||||
Shandong Sun Paper Industry JSC Ltd., A |
Paper & Forest Products | 8,100 | 13,009 | |||||||||||
Shandong Weigao Group Medical Polymer Co. Ltd., H |
Health Care Equipment & Supplies | 112,900 | 151,878 | |||||||||||
Shanghai AJ Group Co. Ltd., A |
Diversified Financial Services | 5,400 | 4,022 | |||||||||||
Shanghai Bailian Group Co. Ltd., B |
Food & Staples Retailing | 10,800 | 7,236 | |||||||||||
Shanghai Bairun Investment Holding Group Co. Ltd. |
Beverages | 3,740 | 14,133 | |||||||||||
Shanghai Baosight Software Co. Ltd., A |
Software | 3,080 | 15,894 | |||||||||||
Shanghai Baosight Software Co. Ltd., B |
Software | 22,990 | 66,901 | |||||||||||
Shanghai Construction Group Co. Ltd., A |
Construction & Engineering | 24,300 | 8,624 | |||||||||||
b |
Shanghai Electric Group Co. Ltd., A |
Electrical Equipment | 32,400 | 17,588 | ||||||||||
b |
Shanghai Electric Group Co. Ltd., H |
Electrical Equipment | 108,000 | 21,463 | ||||||||||
b |
Shanghai Electric Power Co. Ltd., A |
Independent Power Producers & Energy Traders | 10,800 | 13,619 | ||||||||||
Shanghai Environment Group Co. Ltd., A |
Commercial Services & Supplies | 5,400 | 6,741 | |||||||||||
Shanghai Fosun Pharmaceutical Group Co. Ltd., A |
Pharmaceuticals | 5,400 | 22,390 | |||||||||||
Shanghai Fosun Pharmaceutical Group Co. Ltd., H |
Pharmaceuticals | 27,000 | 65,489 | |||||||||||
Shanghai Friendess Electronic Technology Corp. Ltd., A |
Electronic Equipment, Instruments & Components | 420 | 11,164 | |||||||||||
Shanghai Fudan Microelectronics Group Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 999 | 10,546 | |||||||||||
Shanghai Fudan Microelectronics Group Co. Ltd., H |
Semiconductors & Semiconductor Equipment | 14,000 | 64,026 | |||||||||||
Shanghai Huayi Group Co. Ltd., B |
Chemicals | 16,200 | 9,542 | |||||||||||
b |
Shanghai International Airport Co. Ltd., A |
Transportation Infrastructure | 7,100 | 57,544 | ||||||||||
Shanghai International Port Group Co. Ltd., A |
Transportation Infrastructure | 37,800 | 29,480 | |||||||||||
Shanghai Jinjiang International Hotels Co. Ltd. |
Hotels, Restaurants & Leisure | 8,100 | 15,042 | |||||||||||
Shanghai Jinjiang International Hotels Co. Ltd., A |
Hotels, Restaurants & Leisure | 2,700 | 21,834 | |||||||||||
Shanghai Jinqiao Export Processing Zone Development Co. Ltd., A |
Real Estate Management & Development | 2,700 | 4,030 | |||||||||||
Shanghai Jinqiao Export Processing Zone Development Co. Ltd., B |
Real Estate Management & Development | 16,200 | 14,418 | |||||||||||
b |
Shanghai Junshi Biosciences Co. Ltd., A |
Biotechnology | 866 | 6,133 | ||||||||||
a,b |
Shanghai Junshi Biosciences Co. Ltd., H, 144A |
Biotechnology | 10,800 | 34,327 | ||||||||||
Shanghai Lingang Holdings Corp. Ltd. |
Real Estate Management & Development | 6,200 | 10,279 | |||||||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd., A |
Real Estate Management & Development | 5,400 | 7,294 | |||||||||||
Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd., B |
Real Estate Management & Development | 56,700 | 44,396 | |||||||||||
Shanghai M&G Stationery Inc., A |
Commercial Services & Supplies | 2,700 | 17,077 | |||||||||||
Shanghai Mechanical and Electrical Industry Co. Ltd., B |
Machinery | 10,800 | 10,994 | |||||||||||
Shanghai Pharmaceuticals Holding Co. Ltd., A |
Health Care Providers & Services | 8,100 | 18,758 | |||||||||||
Shanghai Pharmaceuticals Holding Co. Ltd., H |
Health Care Providers & Services | 43,200 | 59,655 | |||||||||||
Shanghai Pudong Development Bank Co. Ltd., A . |
Banks | 97,215 | 95,999 | |||||||||||
Shanghai Putailai New Energy Technology Co. Ltd., A |
Chemicals | 5,520 | 43,205 | |||||||||||
Shanghai RAAS Blood Products Co. Ltd., A |
Biotechnology | 24,300 | 18,168 | |||||||||||
Shanghai Rural Commercial Bank Co. Ltd., A |
Banks | 10,800 | 8,044 | |||||||||||
Shanghai Shibei Hi-Tech Co. Ltd., B |
Real Estate Management & Development | 29,700 | 7,276 |
franklintempleton.com |
Semiannual Report |
177 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
b |
Shanghai Shimao Co. Ltd., A |
Real Estate Management & Development | 10,800 | $ | 3,575 | |||||||||
Shanghai Tunnel Engineering Co. Ltd., A |
Construction & Engineering | 13,500 | 9,336 | |||||||||||
Shanghai Waigaoqiao Free Trade Zone Group Co. Ltd. |
Trading Companies & Distributors | 10,800 | 9,256 | |||||||||||
Shanghai Yuyuan Tourist Mart Group Co. Ltd., A . |
Specialty Retail | 16,200 | 15,157 | |||||||||||
Shanghai Zhangjiang High-Tech Park Development Co. Ltd., A |
Real Estate Management & Development | 5,400 | 7,870 | |||||||||||
Shanghai Zhenhua Port Machinery Co. Ltd., B |
Machinery | 59,400 | 14,375 | |||||||||||
Shanxi Lu’an Environmental Energy Development Co. Ltd., A |
Oil, Gas & Consumable Fuels | 10,800 | 25,572 | |||||||||||
Shanxi Meijin Energy Co. Ltd., A |
Metals & Mining | 16,200 | 21,837 | |||||||||||
Shanxi Securities Co. Ltd. |
Capital Markets | 13,700 | 9,724 | |||||||||||
Shanxi Taigang Stainless Steel Co. Ltd., A |
Metals & Mining | 21,600 | 13,543 | |||||||||||
Shanxi Xinghuacun Fen Wine Factory Co. Ltd., A . |
Beverages | 4,220 | 179,291 | |||||||||||
Shanxi Xishan Coal & Electricity Power Co. Ltd. |
Oil, Gas & Consumable Fuels | 13,500 | 28,367 | |||||||||||
Shanying International Holding Co. Ltd., A |
Paper & Forest Products | 16,200 | 5,408 | |||||||||||
Shenghe Resources Holding Co. Ltd., A |
Metals & Mining | 5,400 | 11,468 | |||||||||||
Shengyi Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 8,100 | 14,884 | |||||||||||
Shennan Circuits Co. Ltd., A |
Electronic Equipment, Instruments & Components | 600 | 6,361 | |||||||||||
Shenwan Hongyuan Group Co. Ltd. |
Capital Markets | 72,900 | 39,471 | |||||||||||
a,c |
Shenwan Hongyuan Group Co. Ltd., 144A, Reg S |
Capital Markets | 86,400 | 14,088 | ||||||||||
Shenzhen Accord Pharmaceutical Co. Ltd., B |
Health Care Providers & Services | 2,700 | 5,565 | |||||||||||
Shenzhen Agricultural Products Group Co. Ltd. |
Food & Staples Retailing | 5,400 | 3,931 | |||||||||||
Shenzhen Airport Co. Ltd. |
Transportation Infrastructure | 10,800 | 10,180 | |||||||||||
Shenzhen Capchem Technology Co. Ltd., A |
Chemicals | 2,080 | 12,219 | |||||||||||
Shenzhen Dynanonic Co. Ltd., A |
Chemicals | 540 | 21,345 | |||||||||||
Shenzhen Energy Group Co. Ltd. |
Independent Power Producers & Energy Traders | 16,200 | 12,748 | |||||||||||
b |
Shenzhen Everwin Precision Technology Co. Ltd. |
Electronic Equipment, Instruments & Components | 5,400 | 8,120 | ||||||||||
Shenzhen Expressway Co. Ltd., H |
Transportation Infrastructure | 24,000 | 17,549 | |||||||||||
Shenzhen Gas Corporation Ltd., A |
Gas Utilities | 8,800 | 8,394 | |||||||||||
Shenzhen Hepalink Pharmaceutical Group Co. Ltd., A |
Pharmaceuticals | 2,700 | 5,696 | |||||||||||
Shenzhen Huaqiang Industry Co. Ltd. |
Electronic Equipment, Instruments & Components | 2,700 | 4,518 | |||||||||||
b |
Shenzhen Infogem Technologies Co. Ltd., A |
Software | 2,700 | 3,280 | ||||||||||
Shenzhen Inovance Technology Co. Ltd. |
Machinery | 9,050 | 73,005 | |||||||||||
Shenzhen International Holdings Ltd. |
Transportation Infrastructure | 67,500 | 51,593 | |||||||||||
Shenzhen Investment Ltd. |
Real Estate Management & Development | 108,000 | 16,372 | |||||||||||
Shenzhen Jinjia Group Co. Ltd. |
Containers & Packaging | 5,400 | 6,423 | |||||||||||
Shenzhen Kaifa Technology Co. Ltd. |
Technology Hardware, Storage & Peripherals | 5,400 | 7,953 | |||||||||||
Shenzhen Kangtai Biological Products Co. Ltd. |
Biotechnology | 4,260 | 18,112 | |||||||||||
Shenzhen Kedali Industry Co. Ltd., A |
Auto Components | 800 | 10,794 | |||||||||||
Shenzhen Kingdom Sci-Tech Co. Ltd., A |
Software | 2,700 | 3,727 | |||||||||||
Shenzhen Mindray Bio-Medical Electronics Co. Ltd., A |
Health Care Equipment & Supplies | 4,300 | 180,344 | |||||||||||
b |
Shenzhen MTC Co. Ltd. |
Household Durables | 18,900 | 8,643 | ||||||||||
b |
Shenzhen Neptunus Bioengineering Co. Ltd. |
Health Care Providers & Services | 10,800 | 4,893 | ||||||||||
Shenzhen Overseas Chinese Town Co. Ltd. |
Hotels, Restaurants & Leisure | 29,700 | 20,038 | |||||||||||
Shenzhen Salubris Pharmaceuticals Co. Ltd. |
Pharmaceuticals | 2,700 | 9,252 | |||||||||||
Shenzhen SC New Energy Technology Corp., A |
Semiconductors & Semiconductor Equipment | 1,100 | 17,778 | |||||||||||
Shenzhen Senior Technology Material Co. Ltd., A . |
Chemicals | 5,400 | 15,164 | |||||||||||
Shenzhen Sunway Communication Co. Ltd. |
Communications Equipment | 2,700 | 5,359 | |||||||||||
Shenzhen Transsion Holdings Co. Ltd., A |
Technology Hardware, Storage & Peripherals | 2,912 | 23,756 | |||||||||||
Shenzhen Yan Tian Port Holding Co. Ltd., A |
Transportation Infrastructure | 8,100 | 5,795 | |||||||||||
Shenzhen YUTO Packaging Technology Co. Ltd. |
Containers & Packaging | 2,700 | 11,400 | |||||||||||
Shenzhen Zhongjin Lingnan Nonfemet Co. Ltd., A |
Metals & Mining | 13,500 | 7,802 | |||||||||||
Shenzhou International Group Holdings Ltd. |
Textiles, Apparel & Luxury Goods | 37,800 | 295,422 |
178 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
b |
Shijiazhuang Changshan BeiMing Technology Co. Ltd. |
Textiles, Apparel & Luxury Goods | 5,400 | $ | 4,136 | |||||||||
Shijiazhuang Yiling Pharmaceutical Co. Ltd. |
Pharmaceuticals | 6,080 | 18,515 | |||||||||||
a,b |
Shimao Services Holdings Ltd., Z, 144A |
Real Estate Management & Development | 27,000 | 5,744 | ||||||||||
Shui On Land Ltd. |
Real Estate Management & Development | 162,000 | 16,510 | |||||||||||
b |
Siasun Robot & Automation Co. Ltd. |
Machinery | 5,400 | 6,613 | ||||||||||
Sichuan Chuantou Energy Co Ltd., A |
Independent Power Producers & Energy Traders | 16,200 | 27,336 | |||||||||||
Sichuan Hebang Biotechnology Co. Ltd., A |
Chemicals | 32,400 | 14,634 | |||||||||||
Sichuan Kelun Pharmaceutical Co. Ltd. |
Pharmaceuticals | 5,400 | 16,694 | |||||||||||
b |
Sichuan New Energy Power Co. Ltd. |
Trading Companies & Distributors | 5,400 | 14,263 | ||||||||||
Sichuan Road & Bridge Co. Ltd., A |
Construction & Engineering | 16,200 | 23,224 | |||||||||||
Sichuan Swellfun Co. Ltd., A |
Beverages | 1,600 | 14,076 | |||||||||||
Sichuan Yahua Industrial Group Co. Ltd., A |
Chemicals | 2,700 | 9,627 | |||||||||||
Sieyuan Electric Co. Ltd. |
Electrical Equipment | 2,700 | 14,475 | |||||||||||
Sinolink Securities Co. Ltd., A |
Capital Markets | 10,800 | 11,574 | |||||||||||
Sinoma International Engineering Co. |
Construction & Engineering | 8,100 | 9,328 | |||||||||||
Sinoma Science & Technology Co. Ltd. |
Chemicals | 5,400 | 15,088 | |||||||||||
Sino-Ocean Land Holdings Ltd. |
Real Estate Management & Development | 108,000 | 11,282 | |||||||||||
Sinopec Engineering Group Co. Ltd. |
Construction & Engineering | 67,500 | 27,086 | |||||||||||
b |
Sinopec Oilfield Service Corp. |
Energy Equipment & Services | 162,000 | 9,390 | ||||||||||
b |
Sinopec Oilfield Service Corp., A |
Energy Equipment & Services | 24,300 | 6,272 | ||||||||||
Sinopec Shanghai Petrochemical Co. Ltd., A |
Chemicals | 21,600 | 9,029 | |||||||||||
Sinopec Shanghai Petrochemical Co. Ltd., H |
Chemicals | 162,000 | 21,256 | |||||||||||
Sinopharm Group Co. Ltd., H |
Health Care Providers & Services | 64,800 | 129,932 | |||||||||||
Sinotrans Ltd., A |
Air Freight & Logistics | 13,500 | 6,722 | |||||||||||
Sinotrans Ltd., H |
Air Freight & Logistics | 108,000 | 27,241 | |||||||||||
Sinotruk Hong Kong Ltd. |
Machinery | 27,000 | 22,598 | |||||||||||
b |
Skshu Paint Co. Ltd., A |
Chemicals | 980 | 12,040 | ||||||||||
Skyworth Digital Co. Ltd., A |
Communications Equipment | 2,700 | 6,052 | |||||||||||
a |
Smoore International Holdings Ltd., 144A |
Tobacco | 87,230 | 104,344 | ||||||||||
Songcheng Performance Development Co. Ltd. |
Hotels, Restaurants & Leisure | 8,760 | 14,745 | |||||||||||
SooChow Securities Co. Ltd., A |
Capital Markets | 19,104 | 16,507 | |||||||||||
Southwest Securities Co. Ltd., A |
Capital Markets | 24,300 | 12,509 | |||||||||||
StarPower Semiconductor Ltd., A |
Semiconductors & Semiconductor Equipment | 500 | 22,724 | |||||||||||
b |
STO Express Co. Ltd. |
Air Freight & Logistics | 5,400 | 9,658 | ||||||||||
Sun Art Retail Group Ltd. |
Food & Staples Retailing | 94,500 | 20,224 | |||||||||||
Sunac China Holdings Ltd. |
Real Estate Management & Development | 160,000 | 21,689 | |||||||||||
a |
Sunac Services Holdings Ltd., 144A |
Real Estate Management & Development | 28,898 | 7,252 | ||||||||||
Sungrow Power Supply Co. Ltd. |
Electrical Equipment | 5,400 | 83,790 | |||||||||||
Suning Universal Co. Ltd. |
Real Estate Management & Development | 13,500 | 5,832 | |||||||||||
Sunny Optical Technology Group Co. Ltd. |
Electronic Equipment, Instruments & Components | 32,400 | 310,177 | |||||||||||
Sunwoda Electronic Co. Ltd., A |
Electrical Equipment | 5,400 | 17,634 | |||||||||||
Suofeiya Home Collection Co. Ltd. |
Household Durables | 2,700 | 6,359 | |||||||||||
Suzhou Anjie Technology Co. Ltd., A |
Electrical Equipment | 2,700 | 4,704 | |||||||||||
Suzhou Dongshan Precision Manufacturing Co. Ltd., A |
Electronic Equipment, Instruments & Components | 5,400 | 17,535 | |||||||||||
b |
Suzhou Gold Mantis Construction Decoration Co. Ltd. |
Construction & Engineering | 8,100 | 5,136 | ||||||||||
Suzhou Maxwell Technologies Co. Ltd. |
Electrical Equipment | 540 | 36,658 | |||||||||||
Suzhou
TA&A Ultra Clean Technology Co. |
Chemicals | 2,700 | 25,098 | |||||||||||
Taiji Computer Corp. Ltd. |
IT Services | 2,700 | 6,385 | |||||||||||
b |
TAL Education Group, ADR |
Diversified Consumer Services | 21,546 | 106,437 | ||||||||||
Tangshan Jidong Cement Co. Ltd. |
Construction Materials | 10,800 | 12,665 | |||||||||||
TangShan Port Group Co. Ltd., A |
Transportation Infrastructure | 18,900 | 6,840 | |||||||||||
Tangshan Sanyou Chemical Industries Co. Ltd., A |
Chemicals | 8,300 | 7,137 | |||||||||||
TBEA Co. Ltd., A |
Electrical Equipment | 13,500 | 41,035 | |||||||||||
TCL Corp. |
Household Durables | 51,300 | 26,121 |
franklintempleton.com |
Semiannual Report |
179 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Tencent Holdings Ltd. |
Interactive Media & Services | 294,626 | $ | 9,998,645 | ||||||||||
b |
Tencent Music Entertainment Group, ADR |
Entertainment | 29,484 | 119,705 | ||||||||||
The People’s Insurance Co. Group of China Ltd., H |
Insurance | 405,000 | 117,632 | |||||||||||
Thunder Software Technology Co. Ltd. |
Software | 1,200 | 17,772 | |||||||||||
Tian Di Science & Technology Co. Ltd., A |
Machinery | 13,500 | 9,033 | |||||||||||
Tianjin Chase Sun Pharmaceutical Co. Ltd. |
Pharmaceuticals | 10,800 | 7,968 | |||||||||||
Tianjin Guangyu Development Co. Ltd., A |
Real Estate Management & Development | 5,400 | 9,408 | |||||||||||
Tianjin Zhonghuan Semiconductor Co. Ltd. |
Semiconductors & Semiconductor Equipment | 10,800 | 67,807 | |||||||||||
Tianma Microelectronics Co. Ltd. |
Electronic Equipment, Instruments & Components | 8,100 | 9,669 | |||||||||||
b |
Tianqi Lithium Corp., A |
Chemicals | 5,400 | 76,048 | ||||||||||
Tianshan Aluminum Group Co. Ltd., A |
Machinery | 8,100 | 8,135 | |||||||||||
Tianshui Huatian Technology Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 10,800 | 12,271 | |||||||||||
b |
Tibet Summit Resources Co. Ltd., A |
Metals & Mining | 2,700 | 8,446 | ||||||||||
Tingyi Cayman Islands Holding Corp. |
Food Products | 92,000 | 158,687 | |||||||||||
Titan Wind Energy Suzhou Co. Ltd., A |
Electrical Equipment | 5,400 | 9,582 | |||||||||||
b,c |
Tongcheng-Elong Holdings Ltd., Reg S |
Internet & Catalog Retail | 57,600 | 113,000 | ||||||||||
b |
TongFu Microelectronics Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 5,400 | 11,422 | ||||||||||
Tongkun Group Co. Ltd., A |
Chemicals | 8,100 | 15,338 | |||||||||||
Tongling Nonferrous Metals Group Co. Ltd. |
Metals & Mining | 37,800 | 13,839 | |||||||||||
Tongwei Co. Ltd., A |
Food Products | 16,200 | 106,710 | |||||||||||
b |
Topchoice Medical Investment Corp., A |
Health Care Providers & Services | 1,200 | 21,545 | ||||||||||
a |
Topsports International Holdings Ltd., 144A |
Specialty Retail | 81,000 | 57,062 | ||||||||||
Towngas China Co. Ltd. |
Gas Utilities | 54,000 | 20,706 | |||||||||||
TravelSky Technology Ltd., H |
IT Services | 54,000 | 82,686 | |||||||||||
Trina Solar Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 7,479 | 67,256 | |||||||||||
b |
Trip.com Group Ltd., ADR |
Internet & Catalog Retail | 26,109 | 713,037 | ||||||||||
Tsingtao Brewery Co. Ltd., A |
Beverages | 2,700 | 40,221 | |||||||||||
Tsingtao Brewery Co. Ltd., H |
Beverages | 29,492 | 279,708 | |||||||||||
b |
Tuya Inc., ADR |
Software | 6,021 | 5,598 | ||||||||||
Unigroup Guoxin Microelectronics Co. Ltd. |
Electronic Equipment, Instruments & Components | 2,799 | 56,536 | |||||||||||
Uni-President China Holdings Ltd. |
Food Products | 54,000 | 45,333 | |||||||||||
Unisplendour Corp. Ltd. |
Electronic Equipment, Instruments & Components | 5,400 | 12,013 | |||||||||||
Universal Scientific Industrial Shanghai Co. Ltd., A |
Electronic Equipment, Instruments & Components | 2,700 | 5,711 | |||||||||||
Valiant Co. Ltd., A |
Chemicals | 2,700 | 5,522 | |||||||||||
b |
Vipshop Holdings Ltd., ADR |
Internet & Catalog Retail | 19,980 | 168,032 | ||||||||||
Visual China Group Co. Ltd., A |
Internet & Catalog Retail | 2,700 | 3,749 | |||||||||||
Walvax Biotechnology Co. Ltd. |
Biotechnology | 5,400 | 28,102 | |||||||||||
b |
Wanda Film Holding Co. Ltd., A |
Entertainment | 8,100 | 11,850 | ||||||||||
Wangsu Science & Technology Co. Ltd. |
IT Services | 8,100 | 5,158 | |||||||||||
Wanhua Chemical Group Co. Ltd., A |
Chemicals | 10,800 | 139,523 | |||||||||||
Wanxiang Qianchao Co. Ltd. |
Auto Components | 13,500 | 9,317 | |||||||||||
b |
Weibo Corp., ADR |
Interactive Media & Services | 3,564 | 60,944 | ||||||||||
Weichai Power Co. Ltd., A |
Machinery | 24,300 | 32,790 | |||||||||||
Weichai Power Co. Ltd., H |
Machinery | 81,000 | 76,874 | |||||||||||
Weifu High-Technology Co. Ltd., B |
Auto Components | 8,100 | 13,879 | |||||||||||
Weifu High-Technology Group Co. Ltd., A |
Auto Components | 2,700 | 6,533 | |||||||||||
Weihai Guangwei Composites Co. Ltd., A |
Chemicals | 2,700 | 31,400 | |||||||||||
b |
Wens Foodstuffs Group Co. Ltd. |
Food Products | 5,400 | 15,535 | ||||||||||
Western Mining Co. Ltd., A |
Metals & Mining | 8,100 | 10,612 | |||||||||||
Western Securities Co. Ltd. |
Capital Markets | 16,200 | 13,248 | |||||||||||
Western Superconducting Technologies Co. Ltd., A |
Metals & Mining | 1,488 | 22,310 | |||||||||||
Westone Information Industry Inc. |
Electronic Equipment, Instruments & Components | 2,700 | 10,415 | |||||||||||
Will Semiconductor Ltd., A |
Semiconductors & Semiconductor Equipment | 2,700 | 30,347 | |||||||||||
Wingtech Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 5,400 | 36,108 | |||||||||||
Winning Health Technology Group Co. Ltd. |
Health Care Technology | 9,000 | 8,887 |
180 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Wolong Electric Group Co. Ltd., A |
Electrical Equipment | 5,400 | $ | 8,786 | ||||||||||
Wuchan Zhongda Group Co. Ltd., A |
Distributors | 21,600 | 12,483 | |||||||||||
Wuhan Guide Infrared Co. Ltd. |
Electronic Equipment, Instruments & Components | 10,873 | 17,722 | |||||||||||
Wuhu Sanqi Interactive Entertainment |
||||||||||||||
NetworkTechnology Group Co. Ltd. |
Entertainment | 5,400 | 13,195 | |||||||||||
Wuliangye Yibin Co. Ltd., A |
Beverages | 13,400 | 318,086 | |||||||||||
WUS Printed Circuit Kunshan Co. Ltd. |
Electronic Equipment, Instruments & Components | 5,440 | 7,600 | |||||||||||
a |
WuXi AppTec Co. Ltd., 144A |
Life Sciences Tools & Services | 16,820 | 135,954 | ||||||||||
WuXi AppTec Co. Ltd., A |
Life Sciences Tools & Services | 8,960 | 90,101 | |||||||||||
a,b |
WuXi Biologics (Cayman) Inc., 144A |
Life Sciences Tools & Services | 176,284 | 1,064,455 | ||||||||||
Wuxi Shangji Automation Co. Ltd., A |
Machinery | 1,260 | 23,842 | |||||||||||
b |
XCMG Construction Machinery Co. Ltd. |
Machinery | 27,000 | 16,967 | ||||||||||
Xiamen C & D Inc., A |
Trading Companies & Distributors | 10,800 | 20,981 | |||||||||||
Xiamen Faratronic Co. Ltd., A |
Electronic Equipment, Instruments & Components | 800 | 18,030 | |||||||||||
Xiamen ITG Group Corp. Ltd., A |
Trading Companies & Distributors | 8,100 | 7,249 | |||||||||||
Xiamen Tungsten Co. Ltd., A |
Metals & Mining | 5,400 | 17,141 | |||||||||||
Xiangcai Co. Ltd., A |
Real Estate Management & Development | 5,400 | 4,795 | |||||||||||
a,b |
Xiaomi Corp., B, 144A |
Technology Hardware, Storage & Peripherals | 718,200 | 819,765 | ||||||||||
Xinfengming Group Co. Ltd., A |
Chemicals | 2,700 | 3,409 | |||||||||||
Xinhua Winshare Publishing and Media Co. Ltd., H |
Distributors | 27,000 | 17,163 | |||||||||||
Xinjiang Goldwind Science & Technology Co. Ltd. |
Electrical Equipment | 13,500 | 21,474 | |||||||||||
Xinjiang Goldwind Science & Technology Co. Ltd., H |
Electrical Equipment | 32,400 | 37,601 | |||||||||||
Xinjiang Tianshan Cement Co. Ltd., A |
Construction Materials | 8,100 | 10,101 | |||||||||||
Xinjiang Zhongtai Chemical Co. Ltd., A |
Chemicals | 10,800 | 10,104 | |||||||||||
Xinxing Ductile Iron Pipes Co. Ltd. |
Metals & Mining | 13,500 | 6,779 | |||||||||||
Xinyi Solar Holdings Ltd. |
Semiconductors & Semiconductor Equipment | 216,000 | 228,660 | |||||||||||
b |
XPeng Inc., ADR |
Automobiles | 26,325 | 314,584 | ||||||||||
Xtep International Holdings Ltd. |
Textiles, Apparel & Luxury Goods | 54,000 | 57,440 | |||||||||||
Xuji Electric Co. Ltd., A |
Electrical Equipment | 2,700 | 6,306 | |||||||||||
a,c |
Yadea Group Holdings Ltd., 144A, Reg S |
Automobiles | 54,000 | 86,676 | ||||||||||
Yang Quan Coal Industry Group Co. Ltd., A |
Oil, Gas & Consumable Fuels | 8,100 | 20,758 | |||||||||||
Yangling Metron New Material Inc., A |
Semiconductors & Semiconductor Equipment | 2,700 | 21,466 | |||||||||||
b |
Yango Group Co. Ltd. |
Real Estate Management & Development | 18,900 | 5,170 | ||||||||||
a,c |
Yangtze Optical Fibre and Cable Joint Stock Ltd. Co., 144A, Reg S |
Communications Equipment | 13,500 | 30,681 | ||||||||||
Yangzhou Yangjie Electronic Technology Co. Ltd. |
Semiconductors & Semiconductor Equipment | 2,700 | 18,705 | |||||||||||
Yangzijiang Shipbuilding Holdings Ltd. |
Machinery | 126,900 | 91,091 | |||||||||||
Yantai Changyu Pioneer Wine Co. Ltd., B |
Beverages | 10,800 | 15,849 | |||||||||||
Yantai Eddie Precision Machinery Co. Ltd., A |
Machinery | 3,460 | 6,935 | |||||||||||
Yantai Jereh Oilfield Services Group Co. Ltd. |
Energy Equipment & Services | 2,700 | 12,358 | |||||||||||
Yanzhou Coal Mining Co. Ltd., A |
Oil, Gas & Consumable Fuels | 5,400 | 38,001 | |||||||||||
Yanzhou Coal Mining Co. Ltd., H |
Oil, Gas & Consumable Fuels | 92,000 | 334,603 | |||||||||||
b |
Yatsen Holding Ltd., ADR |
Personal Products | 14,823 | 16,157 | ||||||||||
Yealink Network Technology Corp. Ltd. |
Communications Equipment | 2,700 | 23,860 | |||||||||||
b |
Yifan Pharmaceutical Co. Ltd. |
Pharmaceuticals | 5,400 | 7,923 | ||||||||||
Yifeng Pharmacy Chain Co. Ltd. |
Food & Staples Retailing | 1,690 | 11,796 | |||||||||||
Yihai International Holding Ltd. |
Food Products | 27,000 | 57,096 | |||||||||||
Yihai Kerry Arawana Holdings Co. Ltd., A |
Food Products | 8,100 | 49,072 | |||||||||||
Yintai Gold Co. Ltd. |
Metals & Mining | 11,000 | 19,842 | |||||||||||
YongXing Special Materials Technology Co. Ltd. |
Metals & Mining | 1,100 | 19,164 | |||||||||||
Yonyou Network Technology Co. Ltd., A |
Software | 11,790 | 29,106 | |||||||||||
Youngor Group Co. Ltd., A |
Real Estate Management & Development | 18,900 | 16,755 | |||||||||||
b |
Youngy Co. Ltd., A |
Metals & Mining | 1,000 | 15,789 | ||||||||||
YTO Express Group Co. Ltd., A |
Air Freight & Logistics | 10,800 | 31,434 | |||||||||||
b |
Yuan Longping High-tech Agriculture Co. Ltd. |
Food Products | 5,400 | 10,460 | ||||||||||
Yuexiu Property Co. Ltd. |
Real Estate Management & Development | 62,800 | 75,841 |
franklintempleton.com |
Semiannual Report |
181 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Yum China Holdings Inc. |
Hotels, Restaurants & Leisure | 20,600 | $ | 985,663 | ||||||||||
Yunda Holding Co. Ltd., A |
Air Freight & Logistics | 5,700 | 12,513 | |||||||||||
Yunnan Aluminium Co. Ltd. |
Metals & Mining | 12,390 | 16,006 | |||||||||||
Yunnan Baiyao Group Co. Ltd. |
Pharmaceuticals | 5,780 | 42,443 | |||||||||||
Yunnan Botanee Bio-Technology Group Co. Ltd., A |
Personal Products | 700 | 16,891 | |||||||||||
Yunnan Copper Co. Ltd. |
Metals & Mining | 5,400 | 7,446 | |||||||||||
Yunnan Energy New Material Co. Ltd. |
Containers & Packaging | 2,700 | 65,944 | |||||||||||
Yunnan Hongxiang Yixintang Pharmaceutical Co. Ltd. |
Food & Staples Retailing | 2,700 | 9,158 | |||||||||||
Yunnan Tin Co. Ltd. |
Metals & Mining | 5,400 | 9,332 | |||||||||||
b |
Yunnan Yuntianhua Co. Ltd., A |
Chemicals | 5,400 | 17,974 | ||||||||||
b |
Zai Lab Ltd., ADR |
Biotechnology | 4,536 | 155,131 | ||||||||||
Zangge Mining Co. Ltd., A |
Chemicals | 5,400 | 21,587 | |||||||||||
Zhangzhou Pientzehuang Pharmaceutical Co. Ltd. |
Pharmaceuticals | 2,100 | 78,590 | |||||||||||
b |
Zhaojin Mining Industry Co. Ltd., H |
Metals & Mining | 54,000 | 36,872 | ||||||||||
Zhefu Holding Group Co. Ltd. |
Electrical Equipment | 21,600 | 11,847 | |||||||||||
b |
Zhejiang Century Huatong Group Co. Ltd., A |
Entertainment | 24,300 | 12,714 | ||||||||||
Zhejiang China Commodities City Group Co. Ltd., A |
Real Estate Management & Development | 18,900 | 11,824 | |||||||||||
Zhejiang Chint Electrics Co. Ltd., A |
Electrical Equipment | 2,700 | 10,142 | |||||||||||
Zhejiang Crystal-Optech Co. Ltd. |
Electronic Equipment, Instruments & Components | 5,400 | 8,082 | |||||||||||
Zhejiang Dahua Technology Co. Ltd. |
Electronic Equipment, Instruments & Components | 10,800 | 19,467 | |||||||||||
Zhejiang Dingli Machinery Co. Ltd. |
Machinery | 2,700 | 13,744 | |||||||||||
Zhejiang Expressway Co. Ltd., H |
Transportation Infrastructure | 72,692 | 49,542 | |||||||||||
Zhejiang Hailiang Co. Ltd. |
Metals & Mining | 5,400 | 8,779 | |||||||||||
Zhejiang HangKe Technology Inc. Co. |
Electrical Equipment | 1,196 | 8,386 | |||||||||||
Zhejiang Hisoar Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 5,400 | 5,143 | |||||||||||
Zhejiang Huace Film & TV Co. Ltd., A |
Entertainment | 8,100 | 5,556 | |||||||||||
Zhejiang Huahai Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 5,600 | 15,074 | |||||||||||
Zhejiang Huayou Cobalt Co. Ltd., A |
Metals & Mining | 4,260 | 38,446 | |||||||||||
Zhejiang Jingsheng Mechanical & Electrical Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 5,400 | 51,219 | |||||||||||
Zhejiang Jiuzhou Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 2,700 | 14,839 | |||||||||||
Zhejiang Juhua Co. Ltd., A |
Chemicals | 10,800 | 21,042 | |||||||||||
Zhejiang Medicine Co. Ltd., A |
Pharmaceuticals | 2,700 | 5,132 | |||||||||||
Zhejiang NHU Co. Ltd. |
Pharmaceuticals | 11,056 | 34,413 | |||||||||||
Zhejiang Sanhua Intelligent Controls Co. Ltd. |
Machinery | 2,700 | 9,317 | |||||||||||
Zhejiang Satellite Petrochemical Co. Ltd. |
Chemicals | 6,890 | 20,556 | |||||||||||
Zhejiang Supcon Technology Co. Ltd., A |
Electronic Equipment, Instruments & Components | 1,728 | 18,935 | |||||||||||
Zhejiang Supor Co. Ltd. |
Household Durables | 1,400 | 9,059 | |||||||||||
b |
Zhejiang Wanfeng Auto Wheel Co. Ltd. |
Auto Components | 10,800 | 8,044 | ||||||||||
b |
Zhejiang Wanliyang Co. Ltd. |
Machinery | 5,400 | 6,007 | ||||||||||
Zhejiang Weiming Environment Protection Co. Ltd., A |
Commercial Services & Supplies | 780 | 2,559 | |||||||||||
Zhejiang Weixing New Building Materials Co. Ltd., A |
Building Products | 5,400 | 15,604 | |||||||||||
Zhejiang Wolwo Bio-Pharmaceutical Co. Ltd., A |
Pharmaceuticals | 2,700 | 18,455 | |||||||||||
Zhejiang Yongtai Technology Co. Ltd., A |
Chemicals | 2,700 | 8,696 | |||||||||||
Zhengzhou Coal Mining Machinery Group Co. Ltd., A |
Machinery | 5,400 | 9,839 | |||||||||||
Zheshang Securities Co. Ltd., A |
Capital Markets | 5,400 | 7,181 | |||||||||||
b |
Zhihu Inc., ADR |
Interactive Media & Services | 7,884 | 8,357 | ||||||||||
a,b,c |
ZhongAn Online P & C Insurance Co. Ltd., 144A, Reg S |
Insurance | 35,100 | 78,697 | ||||||||||
Zhongji Innolight Co. Ltd. |
Machinery | 2,700 | 9,877 | |||||||||||
Zhongshan Public Utilities Group Co. Ltd., A |
Water Utilities | 5,400 | 4,931 | |||||||||||
Zhongsheng Group Holdings Ltd. |
Specialty Retail | 33,500 | 133,788 |
182 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
China (continued) | ||||||||||||||
Zhongtai Securities Co. Ltd., A |
Capital Markets | 8,100 | $ | 7,499 | ||||||||||
Zhuzhau CRRC Times Electric Co. Ltd., A |
Electrical Equipment | 2,002 | 15,220 | |||||||||||
Zhuzhou CRRC Times Electric Co. Ltd., H |
Electrical Equipment | 24,300 | 102,154 | |||||||||||
Zhuzhou Kibing Group Co. Ltd., A |
Building Products | 8,100 | 10,964 | |||||||||||
Zijin Mining Group Co. Ltd., A |
Metals & Mining | 72,900 | 80,169 | |||||||||||
Zijin Mining Group Co. Ltd., H |
Metals & Mining | 286,000 | 278,717 | |||||||||||
Zoomlion Heavy Industry Science and Technology Co. Ltd. |
Machinery | 27,000 | 20,981 | |||||||||||
Zoomlion Heavy Industry Science and Technology Co. Ltd., H |
Machinery | 75,600 | 26,292 | |||||||||||
ZTE Corp. |
Communications Equipment | 13,500 | 40,524 | |||||||||||
ZTE Corp., H |
Communications Equipment | 37,800 | 67,800 | |||||||||||
ZTO Express Cayman Inc. |
Air Freight & Logistics | 21,498 | 515,685 | |||||||||||
|
|
|||||||||||||
87,179,005 | ||||||||||||||
|
|
|||||||||||||
Hong Kong 4.5% | ||||||||||||||
b |
Alibaba Health Information Technology Ltd., A |
Health Care Technology | 236,000 | 108,231 | ||||||||||
b |
Alibaba Pictures Group Ltd., A |
Media | 540,000 | 27,860 | ||||||||||
Beijing Enterprises Water Group Ltd., A |
Water Utilities | 162,000 | 37,353 | |||||||||||
Bosideng International Holdings Ltd., A |
Household Durables | 135,000 | 66,899 | |||||||||||
China Everbright Environment Group Ltd., B |
Commercial Services & Supplies | 162,000 | 67,277 | |||||||||||
China Everbright Ltd., A |
Capital Markets | 42,000 | 24,291 | |||||||||||
China Gas Holdings Ltd., A |
Gas Utilities | 145,800 | 174,776 | |||||||||||
China Jinmao Holdings Group Ltd., A |
Real Estate Management & Development | 324,000 | 66,039 | |||||||||||
China Mengniu Dairy Co. Ltd., B |
Food Products | 152,000 | 603,167 | |||||||||||
China Overseas Land & Investment Ltd., A |
Real Estate Management & Development | 189,000 | 492,369 | |||||||||||
China Power International Development Ltd., H |
Independent Power Producers & Energy Traders | 270,000 | 107,657 | |||||||||||
China Resources Beer Holdings Co. Ltd., A |
Beverages | 75,884 | 528,295 | |||||||||||
China Resources Gas Group Ltd., A |
Gas Utilities | 43,600 | 138,578 | |||||||||||
China Resources Land Ltd., H |
Real Estate Management & Development | 138,500 | 545,185 | |||||||||||
China State Construction International Holdings Ltd., A |
Construction & Engineering | 78,000 | 78,995 | |||||||||||
China Traditional Chinese Medicine Co. Ltd. |
Pharmaceuticals | 108,000 | 37,697 | |||||||||||
COSCO SHIPPING Ports Ltd., B |
Transportation Infrastructure | 108,000 | 68,103 | |||||||||||
Geely Automobile Holdings Ltd. |
Automobiles | 273,000 | 376,293 | |||||||||||
Guangdong Investment Ltd. |
Water Utilities | 147,900 | 118,510 | |||||||||||
Kingboard Laminates Holdings Ltd. |
Electronic Equipment, Instruments & Components | 52,100 | 46,924 | |||||||||||
Kunlun Energy Co. Ltd. |
Oil, Gas & Consumable Fuels | 162,000 | 117,013 | |||||||||||
Shanghai Industrial Holdings Ltd. |
Industrial Conglomerates | 27,000 | 29,236 | |||||||||||
Shimao Group Holdings Ltd. |
Real Estate Management & Development | 78,000 | 18,405 | |||||||||||
Shougang Fushan Resources Group Ltd. |
Metals & Mining | 54,000 | 15,753 | |||||||||||
Sino Biopharmaceutical Ltd. |
Pharmaceuticals | 459,000 | 215,762 | |||||||||||
Vinda International Holdings Ltd. |
Household Products | 13,000 | 30,604 | |||||||||||
|
|
|||||||||||||
4,141,272 | ||||||||||||||
|
|
|||||||||||||
Singapore 0.1% | ||||||||||||||
b |
Yangzijiang Financial Holding Ltd. |
Capital Markets | 126,900 | 33,165 | ||||||||||
Yanlord Land Group Ltd. |
Real Estate Management & Development | 24,300 | 16,173 | |||||||||||
|
|
|||||||||||||
49,338 | ||||||||||||||
|
|
|||||||||||||
Total
Investments |
91,369,615 | |||||||||||||
Other Assets, less Liabilities 0.1% |
114,757 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 91,484,372 | ||||||||||||
|
|
aSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $11,214,865, representing 12.3% of net assets.
franklintempleton.com |
Semiannual Report |
183 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE China ETF (continued)
bNon-income producing.
cSecurity was purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration. At September 30, 2022, the value of was $1,285,054, representing 1.4% of net assets.
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized Appreciation (Depreciation) |
|||||||||||||||
Equity Contracts | ||||||||||||||||||||
MSCI China Future |
Long | 4 | $ | 85,300 | 12/16/22 | $ | (10,265 | ) |
*As of period end.
See Note 8 regarding other derivative information.
See Abbreviations on page 332.
184 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Europe ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$27.18 | $27.28 | $19.03 | $23.24 | $24.98 | $25.05 | ||||||||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment incomec |
0.61 | 0.85 | 0.60 | 0.76 | 0.86 | 0.24 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(6.97 | ) | 0.11 | 8.14 | (4.21 | ) | (1.79 | ) | (0.30 | ) | ||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(6.36 | ) | 0.96 | 8.74 | (3.45 | ) | (0.93 | ) | (0.06 | ) | ||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(0.51 | ) | (1.06 | ) | (0.49 | ) | (0.76 | ) | (0.81 | ) | (0.01 | ) | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$20.31 | $27.18 | $27.28 | $19.03 | $23.24 | $24.98 | ||||||||||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(23.57)% | 3.30% | 46.23% | (15.44)% | (3.69)% | (0.26)% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Expenses before waiver and payments by affiliates |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Expenses net of waiver and payments by affiliates |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
4.96% | 2.96% | 2.53% | 3.23% | 3.61% | 2.35% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$36,555 | $184,857 | $229,126 | $91,356 | $74,359 | $104,911 | ||||||||||||||||||
Portfolio turnover ratef |
2.66% | g | 5.47% | g | 5.00% | g | 4.47% | g | 5.81% | 0.96% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 2.63% | 5.47% | 4.92% | 4.47% |
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
185 |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 98.2% | ||||||||||||||
Australia 1.6% | ||||||||||||||
Glencore PLC |
Metals & Mining | 59,328 | $ | 316,668 | ||||||||||
Rio Tinto PLC |
Metals & Mining | 4,896 | 267,586 | |||||||||||
|
|
|||||||||||||
584,254 | ||||||||||||||
|
|
|||||||||||||
Austria 0.3% | ||||||||||||||
Andritz AG |
Machinery | 315 | 13,467 | |||||||||||
Erste Group Bank AG |
Banks | 1,458 | 32,337 | |||||||||||
OMV AG |
Oil, Gas & Consumable Fuels | 639 | 23,393 | |||||||||||
Raiffeisen Bank International AG |
Banks | 585 | 6,998 | |||||||||||
Telekom Austria AG |
Diversified Telecommunication Services | 648 | 3,752 | |||||||||||
Verbund AG |
Electric Utilities | 297 | 25,444 | |||||||||||
Voestalpine AG |
Metals & Mining | 513 | 8,800 | |||||||||||
|
|
|||||||||||||
114,191 | ||||||||||||||
|
|
|||||||||||||
Belgium 1.3% | ||||||||||||||
Ackermans & van Haaren NV |
Diversified Financial Services | 99 | 12,618 | |||||||||||
Ageas SA/NV |
Insurance | 846 | 31,030 | |||||||||||
Anheuser-Busch InBev SA/NV |
Beverages | 3,888 | 178,046 | |||||||||||
Colruyt SA |
Food & Staples Retailing | 234 | 5,158 | |||||||||||
D’ieteren Group |
Distributors | 108 | 15,373 | |||||||||||
Elia Group SA/NV |
Electric Utilities | 180 | 21,231 | |||||||||||
Groupe Bruxelles Lambert SA |
Diversified Financial Services | 441 | 31,054 | |||||||||||
KBC Groep NV |
Banks | 1,215 | 57,919 | |||||||||||
Proximus SADP |
Diversified Telecommunication Services | 639 | 6,632 | |||||||||||
Sofina SA |
Diversified Financial Services | 72 | 12,520 | |||||||||||
Solvay SA |
Chemicals | 315 | 24,576 | |||||||||||
UCB SA |
Pharmaceuticals | 549 | 38,250 | |||||||||||
Umicore SA |
Chemicals | 936 | 27,628 | |||||||||||
Warehouses De Pauw CVA |
Equity Real Estate Investment Trusts (REITs | ) | 630 | 15,503 | ||||||||||
|
|
|||||||||||||
477,538 | ||||||||||||||
|
|
|||||||||||||
Bermuda 0.1% | ||||||||||||||
Hiscox Ltd. |
Insurance | 1,512 | 14,894 | |||||||||||
|
|
|||||||||||||
Chile 0.1% | ||||||||||||||
Antofagasta PLC |
Metals & Mining | 1,557 | 19,388 | |||||||||||
|
|
|||||||||||||
Denmark 4.0% | ||||||||||||||
AP Moller-Maersk A/S, A |
Marine | 13 | 23,089 | |||||||||||
AP Moller-Maersk A/S, B |
Marine | 24 | 43,842 | |||||||||||
Carlsberg AS, B |
Beverages | 423 | 49,813 | |||||||||||
Chr. Hansen Holding AS |
Chemicals | 468 | 23,111 | |||||||||||
Coloplast AS, B |
Health Care Equipment & Supplies | 603 | 61,636 | |||||||||||
Danske Bank AS |
Banks | 2,979 | 37,224 | |||||||||||
DSV A/S |
Air Freight & Logistics | 855 | 100,934 | |||||||||||
a |
Genmab A/S |
Biotechnology | 297 | 96,301 | ||||||||||
GN Store Nord AS |
Health Care Equipment & Supplies | 585 | 10,336 | |||||||||||
H Lundbeck A/S |
Pharmaceuticals | 1,116 | 3,575 | |||||||||||
a |
H Lundbeck A/S, A |
Pharmaceuticals | 279 | 832 | ||||||||||
Novo Nordisk AS, B |
Pharmaceuticals | 7,083 | 710,549 | |||||||||||
Novozymes AS |
Chemicals | 891 | 44,985 | |||||||||||
b |
Orsted AS, 144A |
Electric Utilities | 855 | 68,435 | ||||||||||
Pandora AS |
Textiles, Apparel & Luxury Goods | 414 | 19,588 | |||||||||||
Rockwool International AS, B |
Building Products | 27 | 4,280 | |||||||||||
Royal Unibrew A/S |
Beverages | 225 | 14,671 | |||||||||||
SimCorp A/S |
Software | 180 | 10,195 | |||||||||||
Tryg AS |
Insurance | 1,602 | 33,117 | |||||||||||
Vestas Wind Systems A/S |
Electrical Equipment | 4,527 | 84,469 |
186 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Denmark (continued) | ||||||||||||||
a |
William Demant Holding AS |
Health Care Equipment & Supplies | 432 | $ | 10,755 | |||||||||
|
|
|||||||||||||
1,451,737 | ||||||||||||||
|
|
|||||||||||||
Finland 2.1% | ||||||||||||||
Elisa OYJ |
Diversified Telecommunication Services | 648 | 29,424 | |||||||||||
c |
Fortum OYJ, Reg S |
Electric Utilities | 1,881 | 25,374 | ||||||||||
Huhtamaki OYJ |
Containers & Packaging | 423 | 13,534 | |||||||||||
Kesko OYJ |
Food & Staples Retailing | 1,224 | 22,957 | |||||||||||
Kojamo Oyj |
Real Estate Management & Development | 891 | 11,452 | |||||||||||
Kone OYJ, B |
Machinery | 1,764 | 68,450 | |||||||||||
Metso Outotec Oyj |
Machinery | 2,763 | 18,558 | |||||||||||
Neste Oil OYJ |
Oil, Gas & Consumable Fuels | 1,863 | 81,764 | |||||||||||
Nokia OYJ |
Communications Equipment | 25,371 | 109,870 | |||||||||||
Nordea Bank Abp |
Banks | 16,263 | 140,202 | |||||||||||
Orion OYJ |
Pharmaceuticals | 495 | 20,891 | |||||||||||
Sampo OYJ, A |
Insurance | 2,205 | 94,527 | |||||||||||
Stora Enso OYJ, R |
Paper & Forest Products | 2,646 | 33,931 | |||||||||||
UPM-Kymmene OYJ |
Paper & Forest Products | 2,403 | 76,696 | |||||||||||
Valmet Oyj |
Machinery | 765 | 15,611 | |||||||||||
Wartsila OYJ ABP |
Machinery | 2,250 | 14,508 | |||||||||||
|
|
|||||||||||||
777,749 | ||||||||||||||
|
|
|||||||||||||
France 16.2% | ||||||||||||||
a |
Accor SA |
Hotels, Restaurants & Leisure | 837 | 17,720 | ||||||||||
a |
Aeroports de Paris SA |
Transportation Infrastructure | 126 | 14,689 | ||||||||||
Air Liquide SA |
Chemicals | 2,313 | 266,383 | |||||||||||
Airbus SE |
Aerospace & Defense | 2,529 | 220,228 | |||||||||||
b |
ALD SA, 144A |
Road & Rail | 360 | 3,336 | ||||||||||
Alstom SA |
Machinery | 1,341 | 21,998 | |||||||||||
b |
Amundi SA, 144A |
Capital Markets | 261 | 10,984 | ||||||||||
Arkema SA |
Chemicals | 297 | 21,845 | |||||||||||
AXA SA |
Insurance | 8,370 | 184,288 | |||||||||||
Biomerieux |
Health Care Equipment & Supplies | 198 | 15,789 | |||||||||||
BNP Paribas SA |
Banks | 4,833 | 206,454 | |||||||||||
Bollore |
Entertainment | 4,545 | 21,025 | |||||||||||
Bouygues SA |
Construction & Engineering | 963 | 25,330 | |||||||||||
Bureau Veritas SA |
Professional Services | 1,287 | 28,973 | |||||||||||
Capgemini SE |
IT Services | 720 | 116,735 | |||||||||||
Carrefour SA |
Food & Staples Retailing | 2,736 | 38,101 | |||||||||||
Cie Generale des Etablissements Michelin SCA |
Auto Components | 3,231 | 73,291 | |||||||||||
Compagnie de Saint-Gobain |
Building Products | 2,106 | 76,439 | |||||||||||
Covivio |
Equity Real Estate Investment Trusts (REITs | ) | 225 | 10,915 | ||||||||||
Credit Agricole SA |
Banks | 5,373 | 44,025 | |||||||||||
Danone SA |
Food Products | 2,745 | 130,611 | |||||||||||
Dassault Aviation SA |
Aerospace & Defense | 99 | 11,347 | |||||||||||
Dassault Systemes SE |
Software | 3,078 | 107,754 | |||||||||||
Edenred |
IT Services | 1,125 | 52,196 | |||||||||||
EDF SA |
Electric Utilities | 2,772 | 32,288 | |||||||||||
Eiffage SA |
Construction & Engineering | 333 | 26,920 | |||||||||||
Engie SA |
Multi-Utilities | 7,524 | 87,286 | |||||||||||
EssilorLuxottica SA |
Textiles, Apparel & Luxury Goods | 1,359 | 186,854 | |||||||||||
Eurazeo SE |
Diversified Financial Services | 207 | 10,920 | |||||||||||
a |
Euroapi SA |
Pharmaceuticals | 218 | 3,639 | ||||||||||
a |
Faurecia SE |
Auto Components | 707 | 7,778 | ||||||||||
Gecina SA |
Equity Real Estate Investment Trusts (REITs | ) | 234 | 18,442 | ||||||||||
Getlink SE |
Transportation Infrastructure | 2,070 | 32,253 | |||||||||||
Hermes International |
Textiles, Apparel & Luxury Goods | 139 | 165,721 | |||||||||||
ICADE |
Equity Real Estate Investment Trusts (REITs | ) | 144 | 5,389 |
franklintempleton.com |
Semiannual Report |
187 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
France (continued) | ||||||||||||||
Ipsen SA |
Pharmaceuticals | 153 | $ | 14,224 | ||||||||||
a |
JCDecaux SA |
Media | 342 | 4,044 | ||||||||||
Kering SA |
Textiles, Apparel & Luxury Goods | 333 | 149,590 | |||||||||||
Klepierre SA |
Equity Real Estate Investment Trusts (REITs | ) | 846 | 14,835 | ||||||||||
b |
La Francaise des Jeux SAEM, 144A |
Hotels, Restaurants & Leisure | 396 | 11,821 | ||||||||||
Legrand SA |
Electrical Equipment | 1,224 | 79,931 | |||||||||||
L’Oreal SA |
Personal Products | 1,116 | 361,059 | |||||||||||
LVMH Moet Hennessy Louis Vuitton SE |
Textiles, Apparel & Luxury Goods | 1,125 | 672,726 | |||||||||||
b |
Neoen SA, 144A |
Independent Power Producers & Energy Traders | 198 | 6,661 | ||||||||||
Orange SA |
Diversified Telecommunication Services | 8,604 | 77,951 | |||||||||||
Pernod Ricard SA |
Beverages | 936 | 173,166 | |||||||||||
Publicis Groupe |
Media | 1,017 | 48,719 | |||||||||||
Remy Cointreau SA |
Beverages | 108 | 18,082 | |||||||||||
a |
Renault SA |
Automobiles | 837 | 22,935 | ||||||||||
Rexel SA |
Trading Companies & Distributors | 1,080 | 16,378 | |||||||||||
Safran SA |
Aerospace & Defense | 1,575 | 145,053 | |||||||||||
Sanofi |
Pharmaceuticals | 4,932 | 378,800 | |||||||||||
Sartorius Stedim Biotech |
Life Sciences Tools & Services | 108 | 33,550 | |||||||||||
Schneider Electric SE |
Electrical Equipment | 2,412 | 276,319 | |||||||||||
SCOR SE |
Insurance | 720 | 10,485 | |||||||||||
SEB SA |
Household Durables | 135 | 8,557 | |||||||||||
Societe Generale SA |
Banks | 3,510 | 70,198 | |||||||||||
Sodexo SA |
Hotels, Restaurants & Leisure | 396 | 29,934 | |||||||||||
a |
SOITEC |
Semiconductors & Semiconductor Equipment | 126 | 14,646 | ||||||||||
Somfy SA |
Electrical Equipment | 36 | 3,354 | |||||||||||
Teleperformance |
Professional Services | 261 | 66,709 | |||||||||||
Thales SA |
Aerospace & Defense | 459 | 50,812 | |||||||||||
TotalEnergies SE |
Oil, Gas & Consumable Fuels | 10,710 | 506,504 | |||||||||||
a |
Ubisoft Entertainment SA |
Entertainment | 405 | 11,236 | ||||||||||
a |
Unibail-Rodamco-Westfield |
Equity Real Estate Investment Trusts (REITs | ) | 364 | 15,292 | |||||||||
a |
Unibail-Rodamco-Westfield |
Equity Real Estate Investment Trusts (REITs | ) | 104 | 4,369 | |||||||||
Valeo |
Auto Components | 1,098 | 16,813 | |||||||||||
Veolia Environnement SA |
Multi-Utilities | 2,781 | 53,698 | |||||||||||
Vinci SA |
Construction & Engineering | 2,241 | 182,591 | |||||||||||
Vivendi SA |
Media | 3,168 | 24,741 | |||||||||||
Wendel SE |
Diversified Financial Services | 126 | 9,116 | |||||||||||
a,b,c |
Worldline SA, 144A, Reg S |
IT Services | 1,107 | 44,116 | ||||||||||
|
|
|||||||||||||
5,926,961 | ||||||||||||||
|
|
|||||||||||||
Germany 11.1% | ||||||||||||||
1&1 Drillisch AG |
Wireless Telecommunication Services | 198 | 2,632 | |||||||||||
Adidas AG |
Textiles, Apparel & Luxury Goods | 756 | 88,044 | |||||||||||
Allianz SE |
Insurance | 1,845 | 292,446 | |||||||||||
Aroundtown SA |
Real Estate Management & Development | 5,247 | 11,602 | |||||||||||
BASF SE |
Chemicals | 4,122 | 159,909 | |||||||||||
Bayer AG |
Pharmaceuticals | 4,464 | 207,353 | |||||||||||
Bayerische Motoren Werke AG |
Automobiles | 1,458 | 99,969 | |||||||||||
Bechtle AG |
IT Services | 387 | 14,077 | |||||||||||
Beiersdorf AG |
Personal Products | 450 | 44,503 | |||||||||||
Brenntag AG |
Trading Companies & Distributors | 702 | 42,900 | |||||||||||
Carl Zeiss Meditec AG |
Health Care Equipment & Supplies | 180 | 18,947 | |||||||||||
a |
Commerzbank AG |
Banks | 4,734 | 34,050 | ||||||||||
Continental AG |
Auto Components | 477 | 21,472 | |||||||||||
b |
Covestro AG, 144A |
Chemicals | 819 | 23,701 | ||||||||||
a |
CTS Eventim AG & Co. KGaA |
Entertainment | 261 | 10,872 | ||||||||||
Daimler AG |
Automobiles | 3,798 | 194,779 | |||||||||||
a |
Daimler Truck Holding AG |
Machinery | 1,908 | 43,645 | ||||||||||
a,b |
Delivery Hero SE, 144A |
Internet & Direct Marketing Retail | 882 | 32,782 |
188 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Germany (continued) | ||||||||||||||
Deutsche Bank AG |
Capital Markets | 9,126 | $ | 68,357 | ||||||||||
Deutsche Boerse AG |
Capital Markets | 846 | 139,443 | |||||||||||
a |
Deutsche Lufthansa AG |
Airlines | 2,700 | 15,653 | ||||||||||
Deutsche Post AG |
Air Freight & Logistics | 4,383 | 133,602 | |||||||||||
Deutsche Telekom AG |
Diversified Telecommunication Services | 15,336 | 262,798 | |||||||||||
Deutsche Wohnen AG |
Real Estate Management & Development | 198 | 3,783 | |||||||||||
b |
DWS Group GmbH & Co. KGaA, 144A |
Capital Markets | 162 | 3,898 | ||||||||||
E.ON SE |
Multi-Utilities | 10,044 | 77,694 | |||||||||||
Evonik Industries AG |
Chemicals | 882 | 14,905 | |||||||||||
a |
Evotec SE |
Life Sciences Tools & Services | 711 | 12,506 | ||||||||||
Fielmann AG |
Specialty Retail | 108 | 3,487 | |||||||||||
a |
Fraport AG Frankfurt Airport Services Worldwide . |
Transportation Infrastructure | 162 | 5,902 | ||||||||||
Fresenius Medical Care AG & Co. KGaA |
Health Care Providers & Services | 954 | 27,131 | |||||||||||
Fresenius SE & Co. KGaA |
Health Care Providers & Services | 1,809 | 38,900 | |||||||||||
Fuchs Petrolub SE |
Chemicals | 153 | 3,380 | |||||||||||
GEA Group AG |
Machinery | 747 | 24,398 | |||||||||||
Hannover Rueck SE |
Insurance | 270 | 40,787 | |||||||||||
HeidelbergCement AG |
Construction Materials | 639 | 25,572 | |||||||||||
Hella GmbH & Co. KGaA |
Auto Components | 99 | 6,605 | |||||||||||
a |
HelloFresh SE |
Internet & Direct Marketing Retail | 738 | 15,725 | ||||||||||
Henkel AG & Co. KGaA |
Household Products | 459 | 26,215 | |||||||||||
Hochtief AG |
Construction & Engineering | 90 | 4,308 | |||||||||||
Infineon Technologies AG |
Semiconductors & Semiconductor Equipment | 5,886 | 130,951 | |||||||||||
KION Group AG |
Machinery | 369 | 7,163 | |||||||||||
Knorr-Bremse AG |
Machinery | 297 | 12,913 | |||||||||||
Lanxess AG |
Chemicals | 378 | 11,135 | |||||||||||
LEG Immobilien AG |
Real Estate Management & Development | 324 | 19,476 | |||||||||||
Merck KGaA |
Pharmaceuticals | 585 | 95,592 | |||||||||||
a |
METRO AG |
Food & Staples Retailing | 603 | 4,230 | ||||||||||
MTU Aero Engines AG |
Aerospace & Defense | 252 | 38,080 | |||||||||||
Muenchener Rueckversicherungs-Gesellschaft Aktiengesellschaft in Muenchen |
Insurance | 639 | 154,934 | |||||||||||
Nemetschek AG |
Software | 243 | 11,719 | |||||||||||
Puma SE |
Textiles, Apparel & Luxury Goods | 450 | 21,147 | |||||||||||
Rational AG |
Machinery | 18 | 8,826 | |||||||||||
Rheinmetall AG |
Industrial Conglomerates | 198 | 30,686 | |||||||||||
RWE AG |
Multi-Utilities | 2,853 | 105,621 | |||||||||||
SAP SE |
Software | 5,022 | 413,854 | |||||||||||
Sartorius AG |
Health Care Equipment & Supplies | 9 | 2,724 | |||||||||||
b,c |
Scout24 AG, 144A, Reg S |
Interactive Media & Services | 342 | 17,328 | ||||||||||
Siemens AG |
Industrial Conglomerates | 3,420 | 339,061 | |||||||||||
a |
Siemens Energy AG |
Electrical Equipment | 1,935 | 21,582 | ||||||||||
b |
Siemens Healthineers AG, 144A |
Health Care Equipment & Supplies | 1,233 | 53,486 | ||||||||||
Sixt SE |
Road & Rail | 63 | 5,064 | |||||||||||
Symrise AG |
Chemicals | 585 | 57,567 | |||||||||||
a |
Talanx AG |
Insurance | 234 | 8,344 | ||||||||||
Telefonica Deutschland Holding AG |
Diversified Telecommunication Services | 4,113 | 8,353 | |||||||||||
a |
thyssenkrupp AG |
Metals & Mining | 2,250 | 9,668 | ||||||||||
Traton SE |
Machinery | 225 | 2,698 | |||||||||||
a |
TUI AG |
Hotels, Restaurants & Leisure | 5,427 | 6,552 | ||||||||||
Uniper SE |
Independent Power Producers & Energy Traders | 396 | 1,515 | |||||||||||
United Internet AG |
Diversified Telecommunication Services | 495 | 9,340 | |||||||||||
Vantage Towers AG |
Diversified Telecommunication Services | 432 | 11,232 | |||||||||||
Varta AG |
Electrical Equipment | 63 | 1,811 | |||||||||||
Volkswagen AG |
Automobiles | 126 | 20,818 | |||||||||||
Vonovia SE |
Real Estate Management & Development | 3,645 | 79,308 | |||||||||||
Wacker Chemie AG |
Chemicals | 72 | 7,487 |
franklintempleton.com |
Semiannual Report |
189 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Germany (continued) | ||||||||||||||
a,b |
Zalando SE, 144A |
Internet & Direct Marketing Retail | 990 | $ | 19,620 | |||||||||
|
|
|||||||||||||
4,048,617 | ||||||||||||||
|
|
|||||||||||||
Ireland 1.4% | ||||||||||||||
AIB Group PLC |
Banks | 4,869 | 11,858 | |||||||||||
Bank of Ireland Group PLC |
Banks | 4,104 | 26,479 | |||||||||||
CRH PLC |
Construction Materials | 3,447 | 111,973 | |||||||||||
DCC PLC |
Industrial Conglomerates | 450 | 23,555 | |||||||||||
Experian PLC |
Professional Services | 4,140 | 122,978 | |||||||||||
a |
Flutter Entertainment PLC |
Hotels, Restaurants & Leisure | 792 | 87,863 | ||||||||||
Glanbia PLC |
Food Products | 873 | 10,075 | |||||||||||
Kerry Group |
Food Products | 693 | 61,915 | |||||||||||
Kingspan Group PLC |
Building Products | 666 | 30,234 | |||||||||||
Smurfit Kappa Group PLC |
Containers & Packaging | 1,179 | 33,982 | |||||||||||
|
|
|||||||||||||
520,912 | ||||||||||||||
|
|
|||||||||||||
Isle Of Man 0.1% | ||||||||||||||
GVC Holdings PLC |
Hotels, Restaurants & Leisure | 2,637 | 31,968 | |||||||||||
|
|
|||||||||||||
Italy 3.2% | ||||||||||||||
A2A SpA |
Multi-Utilities | 7,029 | 6,885 | |||||||||||
Amplifon SpA |
Health Care Providers & Services | 603 | 15,891 | |||||||||||
Assicurazioni Generali SpA |
Insurance | 6,255 | 85,910 | |||||||||||
Atlantia SpA |
Transportation Infrastructure | 2,430 | 53,824 | |||||||||||
Banca Mediolanum SpA |
Diversified Financial Services | 1,044 | 6,617 | |||||||||||
Buzzi Unicem SpA |
Construction Materials | 387 | 5,529 | |||||||||||
Davide Campari-Milano NV |
Beverages | 2,250 | 20,085 | |||||||||||
De’ Longhi SpA |
Household Durables | 288 | 4,252 | |||||||||||
DiaSorin SpA |
Health Care Equipment & Supplies | 99 | 11,134 | |||||||||||
Enel SpA |
Electric Utilities | 35,127 | 145,357 | |||||||||||
Eni SpA |
Oil, Gas & Consumable Fuels | 11,115 | 118,797 | |||||||||||
Ferrari NV |
Automobiles | 549 | 103,101 | |||||||||||
FinecoBank Banca Fineco SpA |
Banks | 2,763 | 34,471 | |||||||||||
Hera SpA |
Multi-Utilities | 3,753 | 8,037 | |||||||||||
b,c |
Infrastrutture Wireless Italiane SpA, 144A, Reg S |
Diversified Telecommunication Services | 1,494 | 13,128 | ||||||||||
Interpump Group SpA |
Machinery | 360 | 11,786 | |||||||||||
Intesa Sanpaolo SpA |
Banks | 74,988 | 125,091 | |||||||||||
Italgas Reti SpA |
Gas Utilities | 2,277 | 10,654 | |||||||||||
Leonardo SpA |
Aerospace & Defense | 1,827 | 13,016 | |||||||||||
Mediobanca Banca di Credito Finanziario SpA |
Banks | 2,952 | 23,309 | |||||||||||
Moncler SpA |
Textiles, Apparel & Luxury Goods | 918 | 38,122 | |||||||||||
a,b |
Nexi SpA, 144A |
IT Services | 3,357 | 27,434 | ||||||||||
b |
Pirelli & C SpA, 144A |
Auto Components | 2,115 | 6,962 | ||||||||||
b,c |
Poste Italiane SpA, 144A, Reg S |
Insurance | 2,079 | 15,866 | ||||||||||
Prysmian SpA |
Electrical Equipment | 1,170 | 33,950 | |||||||||||
Recordati Industria Chimica e Farmaceutica SpA |
Pharmaceuticals | 432 | 15,951 | |||||||||||
Reply SpA |
IT Services | 99 | 10,436 | |||||||||||
Snam SpA |
Gas Utilities | 9,981 | 40,539 | |||||||||||
a |
Telecom Italia SpA |
Diversified Telecommunication Services | 48,339 | 9,012 | ||||||||||
a |
Telecom Italia SpA/Milano |
Diversified Telecommunication Services | 27,675 | 5,016 | ||||||||||
Tenaris SA |
Energy Equipment & Services | 2,124 | 27,601 | |||||||||||
Terna – Rete Elettrica Nazionale |
Electric Utilities | 6,408 | 39,235 | |||||||||||
UniCredit SpA |
Banks | 8,883 | 91,008 | |||||||||||
UnipolSai Assicurazioni SpA |
Insurance | 2,160 | 4,507 | |||||||||||
|
|
|||||||||||||
1,182,513 | ||||||||||||||
|
|
|||||||||||||
Luxembourg 0.2% | ||||||||||||||
ArcelorMittal SA |
Metals & Mining | 2,313 | 46,826 | |||||||||||
Eurofins Scientific SE |
Life Sciences Tools & Services | 549 | 32,872 |
190 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Luxembourg (continued) | ||||||||||||||
a |
RTL Group SA |
Media | 171 | $ | 5,451 | |||||||||
a |
SUSE SA |
Software | 162 | 2,409 | ||||||||||
|
|
|||||||||||||
87,558 | ||||||||||||||
|
|
|||||||||||||
Mexico 0.0%† | ||||||||||||||
Fresnillo PLC |
Metals & Mining | 855 | 7,342 | |||||||||||
|
|
|||||||||||||
Netherlands 9.0% | ||||||||||||||
Aalberts NV |
Machinery | 432 | 14,292 | |||||||||||
b |
ABN AMRO Bank NV, 144A |
Banks | 1,881 | 17,005 | ||||||||||
a,b |
Adyen NV, 144A |
IT Services | 135 | 172,167 | ||||||||||
Aegon NV |
Insurance | 7,983 | 32,080 | |||||||||||
Akzo Nobel NV |
Chemicals | 801 | 45,764 | |||||||||||
a |
Argenx SE |
Biotechnology | 198 | 71,478 | ||||||||||
a |
Argenx SE |
Biotechnology | 54 | 19,494 | ||||||||||
ASM International NV |
Semiconductors & Semiconductor Equipment | 207 | 47,402 | |||||||||||
ASML Holding NV |
Semiconductors & Semiconductor Equipment | 1,827 | 776,066 | |||||||||||
ASR Nederland NV |
Insurance | 576 | 22,328 | |||||||||||
BE Semiconductor Industries NV |
Semiconductors & Semiconductor Equipment | 333 | 14,546 | |||||||||||
b |
CTP NV, 144A |
Real Estate Management & Development | 225 | 2,328 | ||||||||||
b,c |
Euronext NV, 144A, Reg S |
Capital Markets | 369 | 23,533 | ||||||||||
a |
EXOR NV |
Diversified Financial Services | 50 | 3,207 | ||||||||||
a |
EXOR NV |
Diversified Financial Services | 400 | 25,659 | ||||||||||
Heineken Holding NV |
Beverages | 477 | 32,944 | |||||||||||
Heineken NV |
Beverages | 1,071 | 94,282 | |||||||||||
IMCD Group NV |
Trading Companies & Distributors | 270 | 32,428 | |||||||||||
ING Groep NV |
Banks | 17,091 | 148,311 | |||||||||||
JDE Peet’s BV |
Food Products | 369 | 10,823 | |||||||||||
Koninklijke Ahold Delhaize NV |
Food & Staples Retailing | 4,554 | 116,597 | |||||||||||
Koninklijke DSM NV |
Chemicals | 792 | 91,127 | |||||||||||
Koninklijke KPN NV |
Diversified Telecommunication Services | 14,535 | 39,471 | |||||||||||
Koninklijke Philips NV |
Health Care Equipment & Supplies | 3,996 | 62,635 | |||||||||||
Koninklijke Vopak NV |
Oil, Gas & Consumable Fuels | 297 | 5,441 | |||||||||||
NN Group NV |
Insurance | 1,350 | 52,861 | |||||||||||
OCI NV |
Chemicals | 432 | 15,896 | |||||||||||
Prosus NV |
Internet & Direct Marketing Retail | 3,888 | 205,565 | |||||||||||
a |
QIAGEN NV |
Life Sciences Tools & Services | 999 | 42,063 | ||||||||||
Randstad NV |
Professional Services | 504 | 22,011 | |||||||||||
Shell PLC |
Oil, Gas & Consumable Fuels | 33,156 | 831,475 | |||||||||||
b |
Signify NV, 144A |
Electrical Equipment | 567 | 14,792 | ||||||||||
Universal Music Group NV |
Entertainment | 3,420 | 64,750 | |||||||||||
Wolters Kluwer NV |
Professional Services | 1,161 | 113,646 | |||||||||||
|
|
|||||||||||||
3,284,467 | ||||||||||||||
|
|
|||||||||||||
Nigeria 0.0%† | ||||||||||||||
b |
Airtel Africa PLC, 144A |
Wireless Telecommunication Services | 4,518 | 6,516 | ||||||||||
|
|
|||||||||||||
Norway 1.3% | ||||||||||||||
a |
Adevinta ASA, B |
Interactive Media & Services | 1,305 | 7,784 | ||||||||||
Aker ASA |
Diversified Financial Services | 108 | 6,997 | |||||||||||
Aker BP ASA |
Oil, Gas & Consumable Fuels | 1,388 | 39,816 | |||||||||||
a,b |
AutoStore Holdings Ltd., 144A |
Machinery | 2,673 | 2,948 | ||||||||||
DNB Bank ASA |
Banks | 4,608 | 73,091 | |||||||||||
Equinor ASA |
Oil, Gas & Consumable Fuels | 4,248 | 139,596 | |||||||||||
Gjensidige Forsikring ASA |
Insurance | 747 | 12,819 | |||||||||||
Kongsberg Gruppen ASA |
Aerospace & Defense | 333 | 10,145 | |||||||||||
Leroy Seafood Group ASA |
Food Products | 1,188 | 4,664 | |||||||||||
Mowi ASA |
Food Products | 2,007 | 25,508 | |||||||||||
a |
Nordic Semiconductor ASA |
Semiconductors & Semiconductor Equipment | 702 | 9,373 |
franklintempleton.com |
Semiannual Report |
191 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Norway (continued) | ||||||||||||||
Norsk Hydro ASA |
Metals & Mining | 6,057 | $ | 32,705 | ||||||||||
Orkla ASA |
Food Products | 3,456 | 25,118 | |||||||||||
Salmar ASA |
Food Products | 243 | 8,188 | |||||||||||
Schibsted ASA, A |
Media | 351 | 4,761 | |||||||||||
Schibsted ASA, B |
Media | 450 | 5,666 | |||||||||||
Telenor ASA |
Diversified Telecommunication Services | 2,880 | 26,339 | |||||||||||
TOMRA Systems ASA |
Commercial Services & Supplies | 1,044 | 18,431 | |||||||||||
Var Energi ASA |
Oil, Gas & Consumable Fuels | 1,827 | 5,950 | |||||||||||
Yara International ASA |
Chemicals | 711 | 25,009 | |||||||||||
|
|
|||||||||||||
484,908 | ||||||||||||||
|
|
|||||||||||||
Poland 0.3% | ||||||||||||||
a,b |
Allegro.eu, 144A |
Internet & Direct Marketing Retail | 1,773 | 7,734 | ||||||||||
Bank Pekao SA |
Banks | 711 | 8,738 | |||||||||||
a,b |
Dino Polska SA, 144A |
Food & Staples Retailing | 216 | 13,207 | ||||||||||
a |
InPost SA |
Air Freight & Logistics | 909 | 5,355 | ||||||||||
KGHM Polska Miedz SA |
Metals & Mining | 621 | 11,022 | |||||||||||
LPP SA |
Textiles, Apparel & Luxury Goods | 5 | 7,891 | |||||||||||
Polski Koncern Naftowy Orlen SA |
Oil, Gas & Consumable Fuels | 1,854 | 20,098 | |||||||||||
a |
Polskie Gornictwo Naftowe i Gazownictwo SA |
Oil, Gas & Consumable Fuels | 7,965 | 7,867 | ||||||||||
Powszechna Kasa Oszczednosci Bank Polski SA |
Banks | 3,879 | 17,153 | |||||||||||
Powszechny Zaklad Ubezpieczen SA |
Insurance | 2,520 | 11,817 | |||||||||||
Santander Bank Polska SA |
Banks | 135 | 5,382 | |||||||||||
|
|
|||||||||||||
116,264 | ||||||||||||||
|
|
|||||||||||||
Portugal 0.3% | ||||||||||||||
EDP – Energias de Portugal SA |
Electric Utilities | 12,654 | 55,040 | |||||||||||
Galp Energia SGPS SA, B |
Oil, Gas & Consumable Fuels | 2,340 | 22,520 | |||||||||||
Jeronimo Martins SGPS SA |
Food & Staples Retailing | 1,215 | 22,675 | |||||||||||
|
|
|||||||||||||
100,235 | ||||||||||||||
|
|
|||||||||||||
Russia 0.0%† | ||||||||||||||
d |
Evraz PLC |
Metals & Mining | 10,404 | — | ||||||||||
|
|
|||||||||||||
Spain 3.7% | ||||||||||||||
Acciona SA |
Electric Utilities | 108 | 19,108 | |||||||||||
ACS Actividades de Construccion y Servicios SA |
Construction & Engineering | 982 | 22,251 | |||||||||||
a,b |
Aena SME SA, 144A |
Transportation Infrastructure | 306 | 32,046 | ||||||||||
a |
Amadeus IT Group SA |
IT Services | 1,917 | 89,974 | ||||||||||
Banco Bilbao Vizcaya Argentaria SA |
Banks | 27,441 | 124,211 | |||||||||||
Banco Santander SA |
Banks | 75,042 | 176,252 | |||||||||||
Bankinter SA |
Banks | 3,114 | 17,590 | |||||||||||
CaixaBank SA |
Banks | 19,980 | 64,807 | |||||||||||
a |
Cellnex Telecom SA, 144A |
Diversified Telecommunication Services | 2,718 | 84,647 | ||||||||||
Corp. ACCIONA Energias Renovables SA |
Independent Power Producers & Energy Traders | 225 | 8,455 | |||||||||||
Corporacion Mapfre SA |
Insurance | 4,365 | 6,799 | |||||||||||
EDP Renovaveis SA |
Independent Power Producers & Energy Traders | 1,080 | 22,261 | |||||||||||
Enagas SA |
Gas Utilities | 1,125 | 17,457 | |||||||||||
Endesa SA |
Electric Utilities | 1,440 | 21,753 | |||||||||||
Ferrovial SA |
Construction & Engineering | 2,178 | 49,907 | |||||||||||
Fluidra SA |
Machinery | 486 | 7,389 | |||||||||||
a |
Grifols SA |
Biotechnology | 1,503 | 13,078 | ||||||||||
Iberdrola SA |
Electric Utilities | 26,937 | 252,858 | |||||||||||
Industria de Diseno Textil SA |
Specialty Retail | 4,779 | 99,628 | |||||||||||
Inmobiliaria Colonial SA |
Equity Real Estate Investment Trusts (REITs | ) | 1,503 | 7,268 | ||||||||||
Merlin Properties Socimi SA |
Equity Real Estate Investment Trusts (REITs | ) | 1,512 | 11,709 | ||||||||||
Naturgy Energy Group SA |
Gas Utilities | 666 | 15,483 | |||||||||||
Red Electrica Corp. SA |
Electric Utilities | 1,962 | 30,196 | |||||||||||
Repsol SA |
Oil, Gas & Consumable Fuels | 5,562 | 64,323 |
192 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Spain (continued) | ||||||||||||||
a |
Siemens Gamesa Renewable Energy SA |
Electrical Equipment | 1,026 | $ | 18,017 | |||||||||
Telefonica SA |
Diversified Telecommunication Services | 23,427 | 77,480 | |||||||||||
|
|
|||||||||||||
1,354,947 | ||||||||||||||
|
|
|||||||||||||
Sweden 5.0% | ||||||||||||||
Alfa Laval AB |
Machinery | 1,368 | 34,319 | |||||||||||
a |
Alleima AB |
Metals & Mining | 967 | 3,032 | ||||||||||
Assa Abloy AB, B |
Building Products | 4,086 | 77,210 | |||||||||||
Atlas Copco AB, A |
Machinery | 11,385 | 107,515 | |||||||||||
Atlas Copco AB, B |
Machinery | 7,047 | 59,221 | |||||||||||
Axfood AB |
Food & Staples Retailing | 486 | 11,163 | |||||||||||
Beijer Ref AB |
Trading Companies & Distributors | 1,107 | 13,716 | |||||||||||
Boliden AB |
Metals & Mining | 1,242 | 38,785 | |||||||||||
Castellum AB |
Real Estate Management & Development | 1,134 | 12,788 | |||||||||||
Electrolux AB, B |
Household Durables | 1,035 | 10,839 | |||||||||||
Epiroc AB, A |
Machinery | 2,826 | 40,782 | |||||||||||
Epiroc AB, B |
Machinery | 1,719 | 21,841 | |||||||||||
EQT AB |
Capital Markets | 1,323 | 26,120 | |||||||||||
Ericsson, B |
Communications Equipment | 13,500 | 79,668 | |||||||||||
Essity AB, B |
Household Products | 2,700 | 53,720 | |||||||||||
b,c |
Evolution Gaming Group AB, 144A, Reg S |
Hotels, Restaurants & Leisure | 711 | 56,816 | ||||||||||
a |
Fastighets AB Balder, B |
Real Estate Management & Development | 2,700 | 10,889 | ||||||||||
Getinge AB, B |
Health Care Equipment & Supplies | 1,017 | 17,568 | |||||||||||
Hennes & Mauritz AB, B |
Specialty Retail | 3,987 | 37,170 | |||||||||||
Hexagon AB, B |
Electronic Equipment, Instruments & Components | 8,433 | 79,562 | |||||||||||
Holmen AB, B |
Paper & Forest Products | 432 | 16,525 | |||||||||||
Husqvarna AB, A |
Household Durables | 117 | 654 | |||||||||||
Husqvarna AB, B |
Household Durables | 1,926 | 10,778 | |||||||||||
Industrivarden AB, A |
Diversified Financial Services | 972 | 19,768 | |||||||||||
Industrivarden AB, C |
Diversified Financial Services | 801 | 16,117 | |||||||||||
Indutrade AB |
Machinery | 1,269 | 20,857 | |||||||||||
Investment AB Latour, B |
Industrial Conglomerates | 639 | 10,687 | |||||||||||
Investor AB, A |
Diversified Financial Services | 2,412 | 37,286 | |||||||||||
Investor AB, B |
Diversified Financial Services | 8,208 | 120,988 | |||||||||||
a |
Kinnevik AB, B |
Diversified Financial Services | 1,089 | 14,484 | ||||||||||
L E Lundbergforetagen AB, B |
Diversified Financial Services | 342 | 12,463 | |||||||||||
Lifco AB, B |
Industrial Conglomerates | 1,035 | 14,568 | |||||||||||
Nibe Industrier AB, B |
Building Products | 6,534 | 58,937 | |||||||||||
Saab AB, B |
Aerospace & Defense | 414 | 12,967 | |||||||||||
Sagax AB, B |
Real Estate Management & Development | 774 | 12,847 | |||||||||||
Sagax AB, D |
Real Estate Management & Development | 540 | 1,216 | |||||||||||
Sandvik AB |
Machinery | 4,842 | 66,560 | |||||||||||
Securitas AB, B |
Commercial Services & Supplies | 1,483 | 10,370 | |||||||||||
Skandinaviska Enskilda Banken AB, A |
Banks | 6,435 | 61,929 | |||||||||||
Skandinaviska Enskilda Banken AB, C |
Banks | 99 | 1,053 | |||||||||||
Skanska AB, B |
Construction & Engineering | 1,629 | 20,477 | |||||||||||
SKF AB, B |
Machinery | 1,737 | 23,517 | |||||||||||
Svenska Cellulosa AB, A |
Paper & Forest Products | 108 | 1,388 | |||||||||||
Svenska Cellulosa AB, B |
Paper & Forest Products | 2,691 | 34,433 | |||||||||||
Svenska Handelsbanken AB, A |
Banks | 6,876 | 56,768 | |||||||||||
Svenska Handelsbanken AB, B |
Banks | 171 | 1,680 | |||||||||||
Sweco AB, B |
Construction & Engineering | 900 | 7,591 | |||||||||||
Swedbank AB, A |
Banks | 4,554 | 60,262 | |||||||||||
Swedish Match AB |
Tobacco | 6,876 | 68,156 | |||||||||||
a |
Swedish Orphan Biovitrum AB |
Biotechnology | 810 | 15,736 | ||||||||||
Tele2 AB, B |
Wireless Telecommunication Services | 2,475 | 21,410 | |||||||||||
Telefonaktiebolaget LM Ericsson, A |
Communications Equipment | 171 | 1,032 | |||||||||||
Telia Co. AB |
Diversified Telecommunication Services | 11,682 | 33,717 |
franklintempleton.com |
Semiannual Report |
193 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Sweden (continued) | ||||||||||||||
Trelleborg AB, B |
Machinery | 1,098 | $ | 20,768 | ||||||||||
Vitrolife AB |
Biotechnology | 297 | 4,255 | |||||||||||
Volvo AB, A |
Machinery | 936 | 13,900 | |||||||||||
Volvo AB, B |
Machinery | 6,858 | 97,690 | |||||||||||
a |
Volvo Car AB, B |
Automobiles | 2,457 | 10,789 | ||||||||||
|
|
|||||||||||||
1,807,347 | ||||||||||||||
|
|
|||||||||||||
Switzerland 16.4% | ||||||||||||||
ABB Ltd. |
Electrical Equipment | 6,876 | 180,240 | |||||||||||
Adecco Group AG |
Professional Services | 729 | 20,302 | |||||||||||
Alcon Inc. |
Health Care Equipment & Supplies | 2,115 | 124,934 | |||||||||||
Bachem Holding AG |
Life Sciences Tools & Services | 144 | 9,188 | |||||||||||
Baloise Holding AG |
Insurance | 207 | 26,647 | |||||||||||
Banque Cantonale Vaudoise |
Banks | 126 | 11,995 | |||||||||||
Barry Callebaut AG |
Food Products | 18 | 34,180 | |||||||||||
Belimo Holding AG |
Building Products | 45 | 16,802 | |||||||||||
BKW AG |
Electric Utilities | 81 | 9,719 | |||||||||||
Chocoladefabriken Lindt & Spruengli AG |
Food Products | 9 | 87,417 | |||||||||||
Cie Financiere Richemont SA |
Textiles, Apparel & Luxury Goods | 2,322 | 222,421 | |||||||||||
Clariant AG |
Chemicals | 1,035 | 16,720 | |||||||||||
Coca-Cola HBC AG |
Beverages | 891 | 18,838 | |||||||||||
Credit Suisse Group AG |
Capital Markets | 11,826 | 47,773 | |||||||||||
DKSH Holding AG |
Professional Services | 162 | 11,818 | |||||||||||
Emmi AG |
Food Products | 9 | 7,032 | |||||||||||
EMS-Chemie Holding AG |
Chemicals | 36 | 22,988 | |||||||||||
a |
Flughafen Zurich AG |
Transportation Infrastructure | 90 | 13,433 | ||||||||||
Geberit AG |
Building Products | 153 | 66,454 | |||||||||||
Georg Fischer AG |
Machinery | 360 | 17,410 | |||||||||||
Givaudan AG |
Chemicals | 42 | 128,144 | |||||||||||
Helvetia Holding AG |
Insurance | 162 | 15,291 | |||||||||||
Holcim Ltd., B |
Construction Materials | 2,475 | 103,048 | |||||||||||
Julius Baer Group Ltd. |
Capital Markets | 972 | 42,959 | |||||||||||
Kuehne + Nagel International AG |
Marine | 225 | 46,177 | |||||||||||
Logitech International SA |
Technology Hardware, Storage & Peripherals | 666 | 31,092 | |||||||||||
Lonza Group AG |
Life Sciences Tools & Services | 333 | 164,529 | |||||||||||
Nestle SA |
Food Products | 12,213 | 1,328,695 | |||||||||||
Novartis AG |
Pharmaceuticals | 9,288 | 712,748 | |||||||||||
Partners Group Holding AG |
Capital Markets | 99 | 80,930 | |||||||||||
PSP Swiss Property AG |
Real Estate Management & Development | 198 | 19,916 | |||||||||||
Roche Holding AG, Bearer |
Pharmaceuticals | 117 | 46,099 | |||||||||||
Roche Holding AG, Non-Voting |
Pharmaceuticals | 3,141 | 1,032,214 | |||||||||||
Schindler Holding AG, PC |
Machinery | 189 | 29,697 | |||||||||||
Schindler Holding AG |
Machinery | 90 | 13,716 | |||||||||||
SGS SA |
Professional Services | 27 | 58,293 | |||||||||||
SIG Combibloc Group AG |
Containers & Packaging | 1,710 | 35,060 | |||||||||||
Sika AG |
Chemicals | 693 | 141,311 | |||||||||||
Sonova Holding AG |
Health Care Equipment & Supplies | 234 | 52,304 | |||||||||||
STMicroelectronics NV |
Semiconductors & Semiconductor Equipment | 2,844 | 89,838 | |||||||||||
Straumann Holding AG |
Health Care Equipment & Supplies | 477 | 44,509 | |||||||||||
Swatch Group AG |
Textiles, Apparel & Luxury Goods | 207 | 8,783 | |||||||||||
Swiss Life Holding AG |
Insurance | 135 | 60,145 | |||||||||||
Swiss Prime Site AG |
Real Estate Management & Development | 342 | 27,450 | |||||||||||
Swiss Re AG |
Insurance | 1,305 | 97,002 | |||||||||||
Swisscom AG |
Diversified Telecommunication Services | 117 | 55,097 | |||||||||||
Tecan Group AG |
Life Sciences Tools & Services | 54 | 18,818 | |||||||||||
Temenos AG |
Software | 279 | 19,117 | |||||||||||
The Swatch Group AG |
Textiles, Apparel & Luxury Goods | 135 | 30,792 | |||||||||||
UBS Group AG |
Capital Markets | 13,743 | 202,113 |
194 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Switzerland (continued) | ||||||||||||||
b,c |
VAT Group AG, 144A |
Machinery | 117 | $ | 24,226 | |||||||||
Zurich Insurance Group AG |
Insurance | 675 | 270,891 | |||||||||||
|
|
|||||||||||||
5,997,315 | ||||||||||||||
|
|
|||||||||||||
United Kingdom 20.2% | ||||||||||||||
3i Group PLC |
Capital Markets | 4,365 | 53,258 | |||||||||||
Abrdn PLC |
Capital Markets | 9,702 | 15,065 | |||||||||||
Admiral Group PLC |
Insurance | 1,287 | 27,505 | |||||||||||
Allfunds Group PLC |
Capital Markets | 1,098 | 8,148 | |||||||||||
Anglo American PLC |
Metals & Mining | 5,463 | 166,820 | |||||||||||
Ashtead Group PLC |
Trading Companies & Distributors | 1,989 | 90,722 | |||||||||||
Associated British Foods PLC |
Food Products | 1,584 | 22,306 | |||||||||||
AstraZeneca PLC |
Pharmaceuticals | 6,696 | 743,288 | |||||||||||
b |
Auto Trader Group PLC, 144A |
Interactive Media & Services | 4,077 | 23,438 | ||||||||||
AVEVA Group PLC |
Software | 531 | 18,624 | |||||||||||
Aviva PLC |
Insurance | 12,816 | 55,538 | |||||||||||
B&M European Value Retail SA |
Multiline Retail | 4,014 | 13,716 | |||||||||||
BAE Systems PLC |
Aerospace & Defense | 14,202 | 125,212 | |||||||||||
Barclays PLC |
Banks | 73,854 | 118,966 | |||||||||||
Barratt Developments PLC |
Household Durables | 4,446 | 16,984 | |||||||||||
Bellway PLC |
Household Durables | 558 | 10,608 | |||||||||||
Berkeley Group Holdings PLC |
Household Durables | 450 | 16,562 | |||||||||||
BP PLC |
Oil, Gas & Consumable Fuels | 84,294 | 407,536 | |||||||||||
British American Tobacco PLC |
Tobacco | 10,152 | 365,649 | |||||||||||
British Land Co. PLC |
Equity Real Estate Investment Trusts (REITs | ) | 4,176 | 16,348 | ||||||||||
BT Group PLC |
Diversified Telecommunication Services | 31,428 | 42,573 | |||||||||||
Bunzl PLC |
Trading Companies & Distributors | 1,530 | 47,139 | |||||||||||
Burberry Group PLC |
Textiles, Apparel & Luxury Goods | 1,728 | 34,876 | |||||||||||
a |
Centrica PLC |
Multi-Utilities | 26,883 | 21,259 | ||||||||||
CNH Industrial NV |
Machinery | 4,500 | 51,270 | |||||||||||
Compass Group PLC |
Hotels, Restaurants & Leisure | 8,028 | 161,758 | |||||||||||
b |
ConvaTec Group PLC, 144A |
Health Care Equipment & Supplies | 7,299 | 16,752 | ||||||||||
Croda International PLC |
Chemicals | 612 | 44,037 | |||||||||||
Dechra Pharmaceuticals PLC |
Pharmaceuticals | 477 | 13,962 | |||||||||||
Derwent London PLC |
Equity Real Estate Investment Trusts (REITs | ) | 450 | 10,147 | ||||||||||
Diageo PLC |
Beverages | 10,206 | 432,647 | |||||||||||
Direct Line Insurance Group PLC |
Insurance | 5,652 | 11,704 | |||||||||||
Dr. Martens PLC |
Textiles, Apparel & Luxury Goods | 2,529 | 6,290 | |||||||||||
DS Smith PLC |
Containers & Packaging | 5,805 | 16,647 | |||||||||||
a |
easyJet PLC |
Airlines | 1,705 | 5,641 | ||||||||||
Electrocomponents PLC |
Trading Companies & Distributors | 2,124 | 22,975 | |||||||||||
Endeavour Mining PLC |
Metals & Mining | 828 | 15,168 | |||||||||||
Ferguson PLC |
Trading Companies & Distributors | 972 | 102,037 | |||||||||||
GSK PLC |
Pharmaceuticals | 18,054 | 263,167 | |||||||||||
a |
Haleon PLC |
Personal Products | 22,491 | 70,110 | ||||||||||
Halma PLC |
Electronic Equipment, Instruments & Components | 1,719 | 39,242 | |||||||||||
Hargreaves Lansdown PLC |
Capital Markets | 1,719 | 16,641 | |||||||||||
Hikma Pharmaceuticals PLC |
Pharmaceuticals | 765 | 11,644 | |||||||||||
HomeServe PLC |
Commercial Services & Supplies | 1,233 | 16,297 | |||||||||||
Howden Joinery Group PLC |
Trading Companies & Distributors | 2,592 | 14,618 | |||||||||||
HSBC Holdings PLC |
Banks | 91,242 | 475,961 | |||||||||||
IMI PLC |
Machinery | 1,161 | 14,503 | |||||||||||
Imperial Brands PLC |
Tobacco | 4,284 | 88,710 | |||||||||||
Informa PLC |
Media | 6,642 | 38,496 | |||||||||||
InterContinental Hotels Group PLC |
Hotels, Restaurants & Leisure | 837 | 40,821 | |||||||||||
Intermediate Capital Group PLC |
Capital Markets | 1,260 | 13,823 | |||||||||||
a |
International Consolidated Airlines Group SA |
Airlines | 5,151 | 5,444 | ||||||||||
Intertek Group PLC |
Professional Services | 729 | 30,167 |
franklintempleton.com |
Semiannual Report |
195 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
United Kingdom (continued) | ||||||||||||||
ITV PLC |
Media | 17,073 | $ | 10,917 | ||||||||||
J Sainsbury PLC |
Food & Staples Retailing | 7,659 | 14,902 | |||||||||||
JD Sports Fashion PLC |
Specialty Retail | 11,583 | 12,956 | |||||||||||
Johnson Matthey PLC |
Chemicals | 810 | 16,570 | |||||||||||
a,b,c |
Just Eat Takeaway.com NV, 144A, Reg S |
Internet & Direct Marketing Retail | 819 | 12,979 | ||||||||||
Kingfisher PLC |
Specialty Retail | 8,973 | 22,076 | |||||||||||
Land Securities Group PLC |
Equity Real Estate Investment Trusts (REITs | ) | 3,240 | 18,873 | ||||||||||
Legal & General Group PLC |
Insurance | 26,856 | 64,905 | |||||||||||
Lloyds Banking Group PLC |
Banks | 308,025 | 142,319 | |||||||||||
London Stock Exchange Group PLC |
Capital Markets | 1,647 | 140,244 | |||||||||||
M&G PLC |
Diversified Financial Services | 11,826 | 21,987 | |||||||||||
Melrose Industries PLC |
Industrial Conglomerates | 17,289 | 19,724 | |||||||||||
Mondi PLC |
Paper & Forest Products | 2,223 | 34,593 | |||||||||||
National Grid PLC |
Multi-Utilities | 16,434 | 170,794 | |||||||||||
NatWest Group PLC |
Banks | 23,040 | 58,100 | |||||||||||
Next PLC |
Multiline Retail | 549 | 29,423 | |||||||||||
a |
NMC Health PLC |
Health Care Providers & Services | 1,159 | — | ||||||||||
a |
Ocado Group PLC |
Food & Staples Retailing | 2,817 | 14,858 | ||||||||||
Pearson PLC |
Media | 3,411 | 33,005 | |||||||||||
Pennon Group PLC |
Water Utilities | 1,125 | 9,883 | |||||||||||
a,b |
Pepco Group NV, 144A |
Multiline Retail | 486 | 2,942 | ||||||||||
Persimmon PLC |
Household Durables | 1,440 | 19,892 | |||||||||||
Phoenix Group Holdings PLC |
Insurance | 3,195 | 18,789 | |||||||||||
Prudential PLC |
Insurance | 12,429 | 124,010 | |||||||||||
Reckitt Benckiser Group PLC |
Household Products | 3,240 | 216,141 | |||||||||||
RELX PLC |
Professional Services | 8,397 | 206,406 | |||||||||||
Renishaw PLC |
Electronic Equipment, Instruments & Components | 153 | 6,005 | |||||||||||
Rentokil Initial PLC |
Commercial Services & Supplies | 8,442 | 44,999 | |||||||||||
Rightmove PLC |
Interactive Media & Services | 3,726 | 20,056 | |||||||||||
a |
Rolls-Royce Holdings PLC |
Aerospace & Defense | 37,872 | 29,420 | ||||||||||
Royal Mail PLC |
Air Freight & Logistics | 4,320 | 8,895 | |||||||||||
Schroders PLC |
Capital Markets | 3,017 | 13,111 | |||||||||||
Segro PLC |
Equity Real Estate Investment Trusts (REITs | ) | 5,508 | 46,299 | ||||||||||
Severn Trent PLC |
Water Utilities | 1,197 | 31,468 | |||||||||||
Smith & Nephew PLC |
Health Care Equipment & Supplies | 3,915 | 45,910 | |||||||||||
Smiths Group PLC |
Industrial Conglomerates | 1,701 | 28,672 | |||||||||||
Spirax-Sarco Engineering PLC |
Machinery | 333 | 38,660 | |||||||||||
SSE PLC |
Electric Utilities | 4,833 | 82,410 | |||||||||||
St. James’s Place Capital PLC |
Capital Markets | 2,403 | 27,790 | |||||||||||
Standard Chartered PLC |
Banks | 11,097 | 70,213 | |||||||||||
Tate & Lyle PLC |
Food Products | 1,828 | 13,876 | |||||||||||
Taylor Wimpey PLC |
Household Durables | 16,461 | 16,225 | |||||||||||
Tesco PLC |
Food & Staples Retailing | 33,867 | 78,182 | |||||||||||
The Sage Group PLC |
Software | 4,761 | 37,054 | |||||||||||
Unilever PLC |
Personal Products | 11,475 | 508,411 | |||||||||||
UNITE Group PLC |
Equity Real Estate Investment Trusts (REITs | ) | 1,449 | 13,886 | ||||||||||
United Utilities Group PLC |
Water Utilities | 3,105 | 30,807 | |||||||||||
Vodafone Group PLC |
Wireless Telecommunication Services | 113,328 | 127,925 | |||||||||||
Weir Group PLC |
Machinery | 1,188 | 18,653 | |||||||||||
Whitbread PLC |
Hotels, Restaurants & Leisure | 918 | 23,590 | |||||||||||
a |
Wise PLC, A |
IT Services | 2,025 | 14,933 | ||||||||||
WPP PLC |
Media | 4,923 | 41,217 | |||||||||||
|
|
|||||||||||||
7,368,774 | ||||||||||||||
|
|
|||||||||||||
United States 0.3% | ||||||||||||||
Stellantis NV |
Automobiles | 9,297 | 111,771 | |||||||||||
|
|
|||||||||||||
Total
Common Stocks |
35,878,166 | |||||||||||||
|
|
196 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe ETF (continued)
Industry | Shares | Value | ||||||||||||
Preferred Stocks 0.6% |
||||||||||||||
Germany 0.6% | ||||||||||||||
e |
Bayerische Motoren Werke AG, 8.700%, pfd. |
Automobiles | 261 | $ | 17,106 | |||||||||
e |
Fuchs Petrolub SE, 3.962%, pfd. |
Chemicals | 315 | 8,023 | ||||||||||
e |
Henkel AG & Co. KGaA, 3.032%, pfd. |
Household Products | 792 | 47,344 | ||||||||||
e |
Sartorius AG, 0.353%, pfd. |
Health Care Equipment & Supplies | 108 | 37,782 | ||||||||||
e |
Sixt SE, 9.740%, pfd. |
Road & Rail | 72 | 3,305 | ||||||||||
e |
Volkswagen AG, 5.981%, pfd. |
Automobiles | 909 | 112,559 | ||||||||||
|
|
|||||||||||||
226,119 | ||||||||||||||
|
|
|||||||||||||
Spain 0.0%† | ||||||||||||||
a |
Grifols SA, pfd., B |
Biotechnology | 1,170 | 7,393 | ||||||||||
|
|
|||||||||||||
Total Preferred Stocks (Cost $364,977) |
233,512 | |||||||||||||
|
|
|||||||||||||
Right 0.0%† | ||||||||||||||
Sweden 0.0%† | ||||||||||||||
a |
Securitas AB, rts., 10/11/2022 |
Commercial Services & Supplies | 4,960 | 2,069 | ||||||||||
|
|
|||||||||||||
Total Rights (Cost $3,371) |
2,069 | |||||||||||||
|
|
|||||||||||||
Total Investments (Cost $51,710,478) 98.8% |
36,113,747 | |||||||||||||
Other Assets, less Liabilities 1.2% |
441,377 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 36,555,124 | ||||||||||||
|
|
†Rounds to less than 0.1% of net assets.
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $873,635, representing 2.4% of net assets.
cSecurity was purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration. At September 30, 2022, the value of was $233,367, representing 0.6% of net assets.
dFair valued using significant unobservable inputs. See Note 9 regarding fair value measurements.
eVariable rate security. The rate shown represents the yield at period end.
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized Appreciation (Depreciation) |
|||||||||||||||
Index Contracts | ||||||||||||||||||||
EURO STOXX 50 Index |
Long | 10 | $ | 324,754 | 12/16/22 | $ | (22,195 | ) | ||||||||||||
FTSE 100 Index |
Long | 2 | 154,373 | 12/16/22 | (10,808 | ) | ||||||||||||||
|
|
|||||||||||||||||||
Total Futures Contracts |
$ | (33,003 | ) | |||||||||||||||||
|
|
*As of period end.
See Note 8 regarding other derivative information.
See Abbreviations on page 332.
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
197 |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Europe Hedged ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period | $ | 27.12 | $ | 25.72 | $ | 19.15 | $ | 22.81 | $ | 23.88 | $ | 25.05 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment incomec |
0.54 | 0.76 | 0.59 | 0.73 | 0.79 | 0.25 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(3.75 | ) | 1.51 | 6.45 | (2.92 | ) | 0.62 | (1.40 | ) | |||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(3.21 | ) | 2.27 | 7.04 | (2.19 | ) | 1.41 | (1.15 | ) | |||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income |
(0.24 | ) | (0.87 | ) | (0.47 | ) | (1.47 | ) | (0.38 | ) | (0.02 | ) | ||||||||||||
Net realized gains |
— | — | — | — | (2.10 | ) | — | d | ||||||||||||||||
|
|
|||||||||||||||||||||||
Total Distributions | (0.24 | ) | (0.87 | ) | (0.47 | ) | (1.47 | ) | (2.48 | ) | (0.02 | ) | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period | $ | 23.67 | $ | 27.12 | $ | 25.72 | $ | 19.15 | $ | 22.81 | $ | 23.88 | ||||||||||||
|
|
|||||||||||||||||||||||
Total return |
(11.84)% | 8.75% | 36.92% | (10.67)% | 6.98% | (4.61)% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Expenses before waiver and payments by affiliates |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Expenses net of waiver and payments by affiliates |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
4.19% | 2.77% | 2.58% | 3.10% | 3.28% | 2.47% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$14,204 | $21,695 | $15,429 | $3,831 | $4,563 | $33,428 | ||||||||||||||||||
Portfolio turnover ratef |
3.56% | g | 11.67% | g | 12.87% | g | 14.81% | g | 26.81% | 5.33% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dAmount rounds to less than $0.001 per share.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 1.47% | 11.67% | 12.87% | 14.81% |
198 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Franklin FTSE Europe Hedged ETF
Industry | Shares | Value | ||||||||||||
Common Stocks 98.9% | ||||||||||||||
Australia 1.6% | ||||||||||||||
Glencore PLC |
Metals & Mining | 23,208 | $ | 123,875 | ||||||||||
Rio Tinto PLC |
Metals & Mining | 1,929 | 105,427 | |||||||||||
|
|
|||||||||||||
229,302 | ||||||||||||||
|
|
|||||||||||||
Austria 0.3% | ||||||||||||||
Andritz AG |
Machinery | 123 | 5,259 | |||||||||||
Erste Group Bank AG |
Banks | 579 | 12,842 | |||||||||||
OMV AG |
Oil, Gas & Consumable Fuels | 252 | 9,226 | |||||||||||
Raiffeisen Bank International AG |
Banks | 222 | 2,655 | |||||||||||
Telekom Austria AG |
Diversified Telecommunication Services | 240 | 1,390 | |||||||||||
Verbund AG |
Electric Utilities | 117 | 10,023 | |||||||||||
Voestalpine AG |
Metals & Mining | 210 | 3,602 | |||||||||||
|
|
|||||||||||||
44,997 | ||||||||||||||
|
|
|||||||||||||
Belgium 1.3% | ||||||||||||||
Ackermans & van Haaren NV |
Diversified Financial Services | 39 | 4,971 | |||||||||||
Ageas SA/NV |
Insurance | 324 | 11,884 | |||||||||||
Anheuser-Busch InBev SA/NV |
Beverages | 1,533 | 70,202 | |||||||||||
Colruyt SA |
Food & Staples Retailing | 87 | 1,918 | |||||||||||
D’ieteren Group |
Distributors | 42 | 5,978 | |||||||||||
Elia Group SA/NV |
Electric Utilities | 66 | 7,785 | |||||||||||
Groupe Bruxelles Lambert SA |
Diversified Financial Services | 177 | 12,464 | |||||||||||
KBC Groep NV |
Banks | 486 | 23,167 | |||||||||||
Proximus SADP |
Diversified Telecommunication Services | 240 | 2,491 | |||||||||||
Sofina SA |
Diversified Financial Services | 27 | 4,695 | |||||||||||
Solvay SA |
Chemicals | 123 | 9,596 | |||||||||||
UCB SA |
Pharmaceuticals | 213 | 14,840 | |||||||||||
Umicore SA |
Chemicals | 363 | 10,715 | |||||||||||
Warehouses De Pauw CVA |
Equity Real Estate Investment Trusts (REITs | ) | 252 | 6,201 | ||||||||||
|
|
|||||||||||||
186,907 | ||||||||||||||
|
|
|||||||||||||
Bermuda 0.0%† | ||||||||||||||
Hiscox Ltd. |
Insurance | 594 | 5,851 | |||||||||||
|
|
|||||||||||||
Chile 0.1% | ||||||||||||||
Antofagasta PLC |
Metals & Mining | 618 | 7,695 | |||||||||||
|
|
|||||||||||||
Denmark 4.0% | ||||||||||||||
AP Moller-Maersk A/S, A |
Marine | 5 | 8,880 | |||||||||||
AP Moller-Maersk A/S, B |
Marine | 9 | 16,441 | |||||||||||
Carlsberg AS, B |
Beverages | 165 | 19,431 | |||||||||||
Chr. Hansen Holding AS |
Chemicals | 183 | 9,037 | |||||||||||
Coloplast AS, B |
Health Care Equipment & Supplies | 237 | 24,225 | |||||||||||
Danske Bank AS |
Banks | 1,167 | 14,582 | |||||||||||
DSV A/S |
Air Freight & Logistics | 333 | 39,311 | |||||||||||
a |
Genmab A/S |
Biotechnology | 117 | 37,937 | ||||||||||
GN Store Nord AS |
Health Care Equipment & Supplies | 228 | 4,028 | |||||||||||
H Lundbeck A/S |
Pharmaceuticals | 408 | 1,307 | |||||||||||
a |
H Lundbeck A/S, A |
Pharmaceuticals | 102 | 304 | ||||||||||
Novo Nordisk AS, B |
Pharmaceuticals | 2,772 | 278,080 | |||||||||||
Novozymes AS |
Chemicals | 351 | 17,721 | |||||||||||
b |
Orsted AS, 144A |
Electric Utilities | 333 | 26,654 | ||||||||||
Pandora AS |
Textiles, Apparel & Luxury Goods | 159 | 7,523 | |||||||||||
Rockwool International AS, B |
Building Products | 12 | 1,902 | |||||||||||
Royal Unibrew A/S |
Beverages | 87 | 5,673 | |||||||||||
SimCorp A/S |
Software | 66 | 3,738 | |||||||||||
Tryg AS |
Insurance | 636 | 13,148 | |||||||||||
Vestas Wind Systems A/S |
Electrical Equipment | 1,782 | 33,250 |
franklintempleton.com |
Semiannual Report |
199 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Denmark (continued) | ||||||||||||||
a |
William Demant Holding AS |
Health Care Equipment & Supplies | 177 | $ | 4,407 | |||||||||
|
|
|||||||||||||
567,579 | ||||||||||||||
|
|
|||||||||||||
Finland 2.2% | ||||||||||||||
Elisa OYJ |
Diversified Telecommunication Services | 255 | 11,579 | |||||||||||
c |
Fortum OYJ, Reg S |
Electric Utilities | 765 | 10,320 | ||||||||||
Huhtamaki OYJ |
Containers & Packaging | 168 | 5,375 | |||||||||||
Kesko OYJ |
Food & Staples Retailing | 480 | 9,002 | |||||||||||
Kojamo Oyj |
Real Estate Management & Development | 333 | 4,280 | |||||||||||
Kone OYJ, B |
Machinery | 696 | 27,007 | |||||||||||
Metso Outotec Oyj |
Machinery | 1,077 | 7,234 | |||||||||||
Neste Oil OYJ |
Oil, Gas & Consumable Fuels | 738 | 32,389 | |||||||||||
Nokia OYJ |
Communications Equipment | 9,999 | 43,301 | |||||||||||
Nordea Bank Abp |
Banks | 6,366 | 54,881 | |||||||||||
Orion OYJ |
Pharmaceuticals | 180 | 7,597 | |||||||||||
Sampo OYJ, A |
Insurance | 870 | 37,296 | |||||||||||
Stora Enso OYJ, R |
Paper & Forest Products | 1,017 | 13,042 | |||||||||||
UPM-Kymmene OYJ |
Paper & Forest Products | 945 | 30,161 | |||||||||||
Valmet Oyj |
Machinery | 297 | 6,061 | |||||||||||
Wartsila OYJ ABP |
Machinery | 870 | 5,610 | |||||||||||
|
|
|||||||||||||
305,135 | ||||||||||||||
|
|
|||||||||||||
France 16.3% | ||||||||||||||
a |
Accor SA |
Hotels, Restaurants & Leisure | 327 | 6,923 | ||||||||||
a |
Aeroports de Paris SA |
Transportation Infrastructure | 51 | 5,945 | ||||||||||
Air Liquide SA |
Chemicals | 906 | 104,342 | |||||||||||
Airbus SE |
Aerospace & Defense | 990 | 86,210 | |||||||||||
b |
ALD SA, 144A |
Road & Rail | 147 | 1,362 | ||||||||||
Alstom SA |
Machinery | 537 | 8,809 | |||||||||||
b |
Amundi SA, 144A |
Capital Markets | 99 | 4,166 | ||||||||||
Arkema SA |
Chemicals | 117 | 8,606 | |||||||||||
AXA SA |
Insurance | 3,279 | 72,196 | |||||||||||
Biomerieux |
Health Care Equipment & Supplies | 78 | 6,220 | |||||||||||
BNP Paribas SA |
Banks | 1,896 | 80,993 | |||||||||||
Bollore |
Entertainment | 1,752 | 8,105 | |||||||||||
Bouygues SA |
Construction & Engineering | 378 | 9,943 | |||||||||||
Bureau Veritas SA |
Professional Services | 504 | 11,346 | |||||||||||
Capgemini SE |
IT Services | 285 | 46,208 | |||||||||||
Carrefour SA |
Food & Staples Retailing | 1,047 | 14,580 | |||||||||||
Cie Generale des Etablissements Michelin SCA |
Auto Components | 1,242 | 28,173 | |||||||||||
Compagnie de Saint-Gobain |
Building Products | 813 | 29,509 | |||||||||||
Covivio |
Equity Real Estate Investment Trusts (REITs | ) | 90 | 4,366 | ||||||||||
Credit Agricole SA |
Banks | 2,148 | 17,600 | |||||||||||
Danone SA |
Food Products | 1,080 | 51,388 | |||||||||||
Dassault Aviation SA |
Aerospace & Defense | 42 | 4,814 | |||||||||||
Dassault Systemes SE |
Software | 1,185 | 41,484 | |||||||||||
Edenred |
IT Services | 441 | 20,461 | |||||||||||
EDF SA |
Electric Utilities | 1,119 | 13,034 | |||||||||||
Eiffage SA |
Construction & Engineering | 132 | 10,671 | |||||||||||
Engie SA |
Multi-Utilities | 2,946 | 34,177 | |||||||||||
EssilorLuxottica SA |
Textiles, Apparel & Luxury Goods | 528 | 72,597 | |||||||||||
Eurazeo SE |
Diversified Financial Services | 84 | 4,431 | |||||||||||
a |
Euroapi SA |
Pharmaceuticals | 75 | 1,252 | ||||||||||
a |
Faurecia SE |
Auto Components | 270 | 2,970 | ||||||||||
Gecina SA |
Equity Real Estate Investment Trusts (REITs | ) | 93 | 7,330 | ||||||||||
Getlink SE |
Transportation Infrastructure | 810 | 12,621 | |||||||||||
Hermes International |
Textiles, Apparel & Luxury Goods | 55 | 65,573 | |||||||||||
ICADE |
Equity Real Estate Investment Trusts (REITs | ) | 57 | 2,133 |
200 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
France (continued) | ||||||||||||||
Ipsen SA |
Pharmaceuticals | 60 | $ | 5,578 | ||||||||||
a |
JCDecaux SA |
Media | 129 | 1,525 | ||||||||||
Kering SA |
Textiles, Apparel & Luxury Goods | 129 | 57,949 | |||||||||||
Klepierre SA |
Equity Real Estate Investment Trusts (REITs | ) | 333 | 5,839 | ||||||||||
b |
La Francaise des Jeux SAEM, 144A |
Hotels, Restaurants & Leisure | 156 | 4,657 | ||||||||||
Legrand SA |
Electrical Equipment | 474 | 30,954 | |||||||||||
L’Oreal SA |
Personal Products | 438 | 141,706 | |||||||||||
LVMH Moet Hennessy Louis Vuitton SE |
Textiles, Apparel & Luxury Goods | 442 | 264,306 | |||||||||||
b |
Neoen SA, 144A |
Independent Power Producers & Energy Traders | 75 | 2,523 | ||||||||||
Orange SA |
Diversified Telecommunication Services | 3,399 | 30,794 | |||||||||||
Pernod Ricard SA |
Beverages | 363 | 67,158 | |||||||||||
Publicis Groupe |
Media | 402 | 19,258 | |||||||||||
Remy Cointreau SA |
Beverages | 45 | 7,534 | |||||||||||
a |
Renault SA |
Automobiles | 339 | 9,289 | ||||||||||
Rexel SA |
Trading Companies & Distributors | 429 | 6,506 | |||||||||||
Safran SA |
Aerospace & Defense | 618 | 56,916 | |||||||||||
Sanofi |
Pharmaceuticals | 1,932 | 148,386 | |||||||||||
Sartorius Stedim Biotech |
Life Sciences Tools & Services | 42 | 13,047 | |||||||||||
Schneider Electric SE |
Electrical Equipment | 942 | 107,916 | |||||||||||
SCOR SE |
Insurance | 273 | 3,976 | |||||||||||
SEB SA |
Household Durables | 51 | 3,233 | |||||||||||
Societe Generale SA |
Banks | 1,344 | 26,879 | |||||||||||
Sodexo SA |
Hotels, Restaurants & Leisure | 156 | 11,792 | |||||||||||
a |
SOITEC |
Semiconductors & Semiconductor Equipment | 45 | 5,231 | ||||||||||
Somfy SA |
Electrical Equipment | 15 | 1,397 | |||||||||||
Teleperformance |
Professional Services | 102 | 26,070 | |||||||||||
Thales SA |
Aerospace & Defense | 177 | 19,594 | |||||||||||
TotalEnergies SE |
Oil, Gas & Consumable Fuels | 4,194 | 198,345 | |||||||||||
a |
Ubisoft Entertainment SA |
Entertainment | 171 | 4,744 | ||||||||||
a |
Unibail-Rodamco-Westfield |
Equity Real Estate Investment Trusts (REITs | ) | 186 | 7,814 | |||||||||
Valeo |
Auto Components | 429 | 6,569 | |||||||||||
Veolia Environnement SA |
Multi-Utilities | 1,104 | 21,317 | |||||||||||
Vinci SA |
Construction & Engineering | 882 | 71,863 | |||||||||||
Vivendi SA |
Media | 1,218 | 9,512 | |||||||||||
Wendel SE |
Diversified Financial Services | 45 | 3,256 | |||||||||||
a,b,c |
Worldline SA, 144A, Reg S |
IT Services | 432 | 17,216 | ||||||||||
|
|
|||||||||||||
2,321,187 | ||||||||||||||
|
|
|||||||||||||
Germany 11.2% | ||||||||||||||
1&1 Drillisch AG |
Wireless Telecommunication Services | 84 | 1,117 | |||||||||||
Adidas AG |
Textiles, Apparel & Luxury Goods | 297 | 34,589 | |||||||||||
Allianz SE |
Insurance | 723 | 114,601 | |||||||||||
Aroundtown SA |
Real Estate Management & Development | 1,926 | 4,259 | |||||||||||
BASF SE |
Chemicals | 1,623 | 62,963 | |||||||||||
Bayer AG |
Pharmaceuticals | 1,734 | 80,544 | |||||||||||
Bayerische Motoren Werke AG |
Automobiles | 570 | 39,082 | |||||||||||
Bechtle AG |
IT Services | 147 | 5,347 | |||||||||||
Beiersdorf AG |
Personal Products | 177 | 17,505 | |||||||||||
Brenntag AG |
Trading Companies & Distributors | 273 | 16,683 | |||||||||||
Carl Zeiss Meditec AG |
Health Care Equipment & Supplies | 66 | 6,947 | |||||||||||
a |
Commerzbank AG |
Banks | 1,845 | 13,270 | ||||||||||
Continental AG |
Auto Components | 192 | 8,643 | |||||||||||
b |
Covestro AG, 144A |
Chemicals | 318 | 9,203 | ||||||||||
a |
CTS Eventim AG & Co. KGaA |
Entertainment | 102 | 4,249 | ||||||||||
Daimler AG |
Automobiles | 1,491 | 76,465 | |||||||||||
a |
Daimler Truck Holding AG |
Machinery | 744 | 17,019 | ||||||||||
a,b |
Delivery Hero SE, 144A |
Internet & Direct Marketing Retail | 339 | 12,600 |
franklintempleton.com |
Semiannual Report |
201 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Germany (continued) | ||||||||||||||
Deutsche Bank AG |
Capital Markets | 3,591 | $ | 26,898 | ||||||||||
Deutsche Boerse AG |
Capital Markets | 327 | 53,898 | |||||||||||
a |
Deutsche Lufthansa AG |
Airlines | 1,062 | 6,157 | ||||||||||
Deutsche Post AG |
Air Freight & Logistics | 1,716 | 52,307 | |||||||||||
Deutsche Telekom AG |
Diversified Telecommunication Services | 6,003 | 102,868 | |||||||||||
Deutsche Wohnen AG |
Real Estate Management & Development | 87 | 1,662 | |||||||||||
b |
DWS Group GmbH & Co. KGaA, 144A |
Capital Markets | 63 | 1,516 | ||||||||||
E.ON SE |
Multi-Utilities | 3,927 | 30,377 | |||||||||||
Evonik Industries AG |
Chemicals | 339 | 5,729 | |||||||||||
a |
Evotec SE |
Life Sciences Tools & Services | 285 | 5,013 | ||||||||||
Fielmann AG |
Specialty Retail | 39 | 1,259 | |||||||||||
a |
Fraport AG Frankfurt Airport Services Worldwide |
Transportation Infrastructure | 63 | 2,295 | ||||||||||
Fresenius Medical Care AG & Co. KGaA |
Health Care Providers & Services | 360 | 10,238 | |||||||||||
Fresenius SE & Co. KGaA |
Health Care Providers & Services | 723 | 15,547 | |||||||||||
Fuchs Petrolub SE |
Chemicals | 60 | 1,325 | |||||||||||
GEA Group AG |
Machinery | 291 | 9,505 | |||||||||||
Hannover Rueck SE |
Insurance | 105 | 15,862 | |||||||||||
HeidelbergCement AG |
Construction Materials | 261 | 10,445 | |||||||||||
Hella GmbH & Co. KGaA |
Auto Components | 39 | 2,602 | |||||||||||
a |
HelloFresh SE |
Internet & Direct Marketing Retail | 279 | 5,945 | ||||||||||
Henkel AG & Co. KGaA |
Household Products | 180 | 10,280 | |||||||||||
Hochtief AG |
Construction & Engineering | 39 | 1,867 | |||||||||||
Infineon Technologies AG |
Semiconductors & Semiconductor Equipment | 2,310 | 51,393 | |||||||||||
KION Group AG |
Machinery | 135 | 2,621 | |||||||||||
Knorr-Bremse AG |
Machinery | 117 | 5,087 | |||||||||||
Lanxess AG |
Chemicals | 156 | 4,595 | |||||||||||
LEG Immobilien AG |
Real Estate Management & Development | 132 | 7,935 | |||||||||||
Merck KGaA |
Pharmaceuticals | 228 | 37,256 | |||||||||||
a |
METRO AG |
Food & Staples Retailing | 240 | 1,683 | ||||||||||
MTU Aero Engines AG |
Aerospace & Defense | 96 | 14,507 | |||||||||||
Muenchener Rueckversicherungs-Gesellschaft Aktiengesellschaft in Muenchen |
Insurance | 249 | 60,373 | |||||||||||
Nemetschek AG |
Software | 93 | 4,485 | |||||||||||
Puma SE |
Textiles, Apparel & Luxury Goods | 177 | 8,318 | |||||||||||
Rational AG |
Machinery | 9 | 4,413 | |||||||||||
Rheinmetall AG |
Industrial Conglomerates | 78 | 12,089 | |||||||||||
RWE AG |
Multi-Utilities | 1,116 | 41,315 | |||||||||||
SAP SE |
Software | 1,968 | 162,179 | |||||||||||
Sartorius AG |
Health Care Equipment & Supplies | 4 | 1,211 | |||||||||||
b,c |
Scout24 AG, 144A, Reg S |
Interactive Media & Services | 138 | 6,992 | ||||||||||
Siemens AG |
Industrial Conglomerates | 1,338 | 132,650 | |||||||||||
a |
Siemens Energy AG |
Electrical Equipment | 759 | 8,465 | ||||||||||
b |
Siemens Healthineers AG, 144A |
Health Care Equipment & Supplies | 492 | 21,342 | ||||||||||
Sixt SE |
Road & Rail | 21 | 1,688 | |||||||||||
Symrise AG |
Chemicals | 231 | 22,732 | |||||||||||
a |
Talanx AG |
Insurance | 90 | 3,209 | ||||||||||
Telefonica Deutschland Holding AG |
Diversified Telecommunication Services | 1,638 | 3,326 | |||||||||||
a |
thyssenkrupp AG |
Metals & Mining | 897 | 3,854 | ||||||||||
Traton SE |
Machinery | 93 | 1,115 | |||||||||||
a |
TUI AG |
Hotels, Restaurants & Leisure | 2,076 | 2,506 | ||||||||||
Uniper SE |
Independent Power Producers & Energy Traders | 135 | 517 | |||||||||||
United Internet AG |
Diversified Telecommunication Services | 180 | 3,396 | |||||||||||
Vantage Towers AG |
Diversified Telecommunication Services | 159 | 4,134 | |||||||||||
Varta AG |
Electrical Equipment | 24 | 690 | |||||||||||
Volkswagen AG |
Automobiles | 51 | 8,426 | |||||||||||
Vonovia SE |
Real Estate Management & Development | 1,413 | 30,744 | |||||||||||
Wacker Chemie AG |
Chemicals | 27 | 2,808 |
202 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Germany (continued) | ||||||||||||||
a,b |
Zalando SE, 144A |
Internet & Direct Marketing Retail | 393 | $ | 7,789 | |||||||||
|
|
|||||||||||||
1,584,524 | ||||||||||||||
|
|
|||||||||||||
Ireland 1.4% | ||||||||||||||
AIB Group PLC |
Banks | 1,656 | 4,033 | |||||||||||
Bank of Ireland Group PLC |
Banks | 1,623 | 10,471 | |||||||||||
CRH PLC |
Construction Materials | 1,356 | 44,049 | |||||||||||
DCC PLC |
Industrial Conglomerates | 177 | 9,265 | |||||||||||
Experian PLC |
Professional Services | 1,632 | 48,478 | |||||||||||
a |
Flutter Entertainment PLC |
Hotels, Restaurants & Leisure | 312 | 34,613 | ||||||||||
Glanbia PLC |
Food Products | 318 | 3,670 | |||||||||||
Kerry Group |
Food Products | 273 | 24,391 | |||||||||||
Kingspan Group PLC |
Building Products | 267 | 12,121 | |||||||||||
Smurfit Kappa Group PLC |
Containers & Packaging | 462 | 13,316 | |||||||||||
|
|
|||||||||||||
204,407 | ||||||||||||||
|
|
|||||||||||||
Isle Of Man 0.1% | ||||||||||||||
GVC Holdings PLC |
Hotels, Restaurants & Leisure | 1,038 | 12,584 | |||||||||||
|
|
|||||||||||||
Italy 3.3% | ||||||||||||||
A2A SpA |
Multi-Utilities | 2,658 | 2,603 | |||||||||||
Amplifon SpA |
Health Care Providers & Services | 231 | 6,087 | |||||||||||
Assicurazioni Generali SpA |
Insurance | 2,445 | 33,581 | |||||||||||
Atlantia SpA |
Transportation Infrastructure | 951 | 21,065 | |||||||||||
Banca Mediolanum SpA |
Diversified Financial Services | 417 | 2,643 | |||||||||||
Buzzi Unicem SpA |
Construction Materials | 159 | 2,272 | |||||||||||
Davide Campari-Milano NV |
Beverages | 882 | 7,873 | |||||||||||
De’ Longhi SpA |
Household Durables | 126 | 1,860 | |||||||||||
DiaSorin SpA |
Health Care Equipment & Supplies | 39 | 4,386 | |||||||||||
Enel SpA |
Electric Utilities | 13,782 | 57,030 | |||||||||||
Eni SpA |
Oil, Gas & Consumable Fuels | 4,323 | 46,204 | |||||||||||
Ferrari NV |
Automobiles | 213 | 40,001 | |||||||||||
FinecoBank Banca Fineco SpA |
Banks | 1,083 | 13,511 | |||||||||||
Hera SpA |
Multi-Utilities | 1,344 | 2,878 | |||||||||||
b,c |
Infrastrutture Wireless Italiane SpA, 144A, Reg S |
Diversified Telecommunication Services | 624 | 5,483 | ||||||||||
Interpump Group SpA |
Machinery | 144 | 4,715 | |||||||||||
Intesa Sanpaolo SpA |
Banks | 29,445 | 49,119 | |||||||||||
Italgas Reti SpA |
Gas Utilities | 882 | 4,127 | |||||||||||
Leonardo SpA |
Aerospace & Defense | 708 | 5,044 | |||||||||||
Mediobanca Banca di Credito Finanziario SpA |
Banks | 1,140 | 9,001 | |||||||||||
Moncler SpA |
Textiles, Apparel & Luxury Goods | 360 | 14,950 | |||||||||||
a,b |
Nexi SpA, 144A |
IT Services | 1,344 | 10,984 | ||||||||||
b |
Pirelli & C SpA, 144A |
Auto Components | 843 | 2,775 | ||||||||||
b,c |
Poste Italiane SpA, 144A, Reg S |
Insurance | 825 | 6,296 | ||||||||||
Prysmian SpA |
Electrical Equipment | 468 | 13,580 | |||||||||||
Recordati Industria Chimica e Farmaceutica SpA |
Pharmaceuticals | 174 | 6,425 | |||||||||||
Reply SpA |
IT Services | 39 | 4,111 | |||||||||||
Snam SpA |
Gas Utilities | 3,951 | 16,048 | |||||||||||
a |
Telecom Italia SpA |
Diversified Telecommunication Services | 19,608 | 3,655 | ||||||||||
a |
Telecom Italia SpA/Milano |
Diversified Telecommunication Services | 10,329 | 1,872 | ||||||||||
Tenaris SA |
Energy Equipment & Services | 828 | 10,760 | |||||||||||
Terna - Rete Elettrica Nazionale |
Electric Utilities | 2,499 | 15,301 | |||||||||||
UniCredit SpA |
Banks | 3,477 | 35,622 | |||||||||||
UnipolSai Assicurazioni SpA |
Insurance | 756 | 1,578 | |||||||||||
|
|
|||||||||||||
463,440 | ||||||||||||||
|
|
|||||||||||||
Luxembourg 0.3% | ||||||||||||||
ArcelorMittal SA |
Metals & Mining | 927 | 18,767 |
franklintempleton.com |
Semiannual Report |
203 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Luxembourg (continued) | ||||||||||||||
Eurofins Scientific SE |
Life Sciences Tools & Services | 216 | $ | 12,933 | ||||||||||
a |
RTL Group SA |
Media | 66 | 2,104 | ||||||||||
a |
SUSE SA |
Software | 63 | 937 | ||||||||||
|
|
|||||||||||||
34,741 | ||||||||||||||
|
|
|||||||||||||
Mexico 0.0%† | ||||||||||||||
Fresnillo PLC |
Metals & Mining | 336 | 2,885 | |||||||||||
|
|
|||||||||||||
Netherlands 9.1% | ||||||||||||||
Aalberts NV |
Machinery | 171 | 5,657 | |||||||||||
b |
ABN AMRO Bank NV, 144A |
Banks | 735 | 6,645 | ||||||||||
a,b |
Adyen NV, 144A |
IT Services | 52 | 66,316 | ||||||||||
Aegon NV |
Insurance | 3,141 | 12,622 | |||||||||||
Akzo Nobel NV |
Chemicals | 312 | 17,826 | |||||||||||
a |
Argenx SE |
Biotechnology | 96 | 34,656 | ||||||||||
ASM International NV |
Semiconductors & Semiconductor Equipment | 81 | 18,549 | |||||||||||
ASML Holding NV |
Semiconductors & Semiconductor Equipment | 714 | 303,290 | |||||||||||
ASR Nederland NV |
Insurance | 234 | 9,071 | |||||||||||
BE Semiconductor Industries NV |
Semiconductors & Semiconductor Equipment | 147 | 6,421 | |||||||||||
b |
CTP NV, 144A |
Real Estate Management & Development | 111 | 1,148 | ||||||||||
b,c |
Euronext NV, 144A, Reg S |
Capital Markets | 144 | 9,184 | ||||||||||
a |
EXOR NV |
Diversified Financial Services | 183 | 11,739 | ||||||||||
Heineken Holding NV |
Beverages | 186 | 12,846 | |||||||||||
Heineken NV |
Beverages | 423 | 37,237 | |||||||||||
IMCD Group NV |
Trading Companies & Distributors | 102 | 12,251 | |||||||||||
ING Groep NV |
Banks | 6,708 | 58,210 | |||||||||||
JDE Peet’s BV |
Food Products | 144 | 4,224 | |||||||||||
Koninklijke Ahold Delhaize NV |
Food & Staples Retailing | 1,794 | 45,932 | |||||||||||
Koninklijke DSM NV |
Chemicals | 309 | 35,554 | |||||||||||
Koninklijke KPN NV |
Diversified Telecommunication Services | 5,790 | 15,723 | |||||||||||
Koninklijke Philips NV |
Health Care Equipment & Supplies | 1,572 | 24,640 | |||||||||||
Koninklijke Vopak NV |
Oil, Gas & Consumable Fuels | 114 | 2,088 | |||||||||||
NN Group NV |
Insurance | 528 | 20,675 | |||||||||||
OCI NV |
Chemicals | 174 | 6,402 | |||||||||||
Prosus NV |
Internet & Direct Marketing Retail | 1,512 | 79,942 | |||||||||||
a |
QIAGEN NV |
Life Sciences Tools & Services | 390 | 16,421 | ||||||||||
Randstad NV |
Professional Services | 195 | 8,516 | |||||||||||
Shell PLC |
Oil, Gas & Consumable Fuels | 12,981 | 325,533 | |||||||||||
b |
Signify NV, 144A |
Electrical Equipment | 225 | 5,870 | ||||||||||
Universal Music Group NV |
Entertainment | 1,323 | 25,048 | |||||||||||
Wolters Kluwer NV |
Professional Services | 459 | 44,930 | |||||||||||
|
|
|||||||||||||
1,285,166 | ||||||||||||||
|
|
|||||||||||||
Nigeria 0.0%† | ||||||||||||||
Airtel Africa PLC, 144A |
Wireless Telecommunication Services | 2,001 | 2,886 | |||||||||||
|
|
|||||||||||||
Norway 1.3% | ||||||||||||||
a |
Adevinta ASA, B |
Interactive Media & Services | 468 | 2,791 | ||||||||||
Aker ASA |
Diversified Financial Services | 42 | 2,721 | |||||||||||
Aker BP ASA |
Oil, Gas & Consumable Fuels | 543 | 15,577 | |||||||||||
a,b |
AutoStore Holdings Ltd., 144A |
Machinery | 1,041 | 1,148 | ||||||||||
DNB Bank ASA |
Banks | 1,815 | 28,789 | |||||||||||
Equinor ASA |
Oil, Gas & Consumable Fuels | 1,659 | 54,517 | |||||||||||
Gjensidige Forsikring ASA |
Insurance | 294 | 5,045 | |||||||||||
Kongsberg Gruppen ASA |
Aerospace & Defense | 135 | 4,113 | |||||||||||
Leroy Seafood Group ASA |
Food Products | 438 | 1,719 | |||||||||||
Mowi ASA |
Food Products | 759 | 9,647 | |||||||||||
a |
Nordic Semiconductor ASA |
Semiconductors & Semiconductor Equipment | 270 | 3,605 | ||||||||||
Norsk Hydro ASA |
Metals & Mining | 2,373 | 12,813 |
204 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Norway (continued) | ||||||||||||||
Orkla ASA |
Food Products | 1,350 | $ | 9,812 | ||||||||||
Salmar ASA |
Food Products | 93 | 3,134 | |||||||||||
Schibsted ASA, A |
Media | 132 | 1,790 | |||||||||||
Schibsted ASA, B |
Media | 162 | 2,040 | |||||||||||
Telenor ASA |
Diversified Telecommunication Services | 1,125 | 10,289 | |||||||||||
TOMRA Systems ASA |
Commercial Services & Supplies | 414 | 7,309 | |||||||||||
Var Energi ASA |
Oil, Gas & Consumable Fuels | 690 | 2,247 | |||||||||||
Yara International ASA |
Chemicals | 288 | 10,130 | |||||||||||
|
|
|||||||||||||
189,236 | ||||||||||||||
|
|
|||||||||||||
Poland 0.3% | ||||||||||||||
a,b |
Allegro.eu, 144A |
Internet & Direct Marketing Retail | 708 | 3,088 | ||||||||||
Bank Pekao SA |
Banks | 285 | 3,503 | |||||||||||
a,b |
Dino Polska SA, 144A |
Food & Staples Retailing | 84 | 5,136 | ||||||||||
a |
InPost SA |
Air Freight & Logistics | 381 | 2,245 | ||||||||||
KGHM Polska Miedz SA |
Metals & Mining | 246 | 4,366 | |||||||||||
LPP SA |
Textiles, Apparel & Luxury Goods | 2 | 3,157 | |||||||||||
Polski Koncern Naftowy Orlen SA |
Oil, Gas & Consumable Fuels | 738 | 8,000 | |||||||||||
a |
Polskie Gornictwo Naftowe i Gazownictwo SA |
Oil, Gas & Consumable Fuels | 2,973 | 2,936 | ||||||||||
Powszechna Kasa Oszczednosci Bank Polski SA |
Banks | 1,518 | 6,713 | |||||||||||
Powszechny Zaklad Ubezpieczen SA |
Insurance | 969 | 4,544 | |||||||||||
Santander Bank Polska SA |
Banks | 51 | 2,033 | |||||||||||
|
|
|||||||||||||
45,721 | ||||||||||||||
|
|
|||||||||||||
Portugal 0.3% | ||||||||||||||
EDP- Energias de Portugal SA |
Electric Utilities | 5,013 | 21,805 | |||||||||||
Galp Energia SGPS SA, B |
Oil, Gas & Consumable Fuels | 912 | 8,777 | |||||||||||
Jeronimo Martins SGPS SA |
Food & Staples Retailing | 489 | 9,126 | |||||||||||
|
|
|||||||||||||
39,708 | ||||||||||||||
|
|
|||||||||||||
Russia 0.0%† | ||||||||||||||
d |
Evraz PLC |
Metals & Mining | 1,168 | — | ||||||||||
|
|
|||||||||||||
Spain 3.7% | ||||||||||||||
Acciona SA |
Electric Utilities | 42 | 7,431 | |||||||||||
ACS Actividades de Construccion y Servicios SA |
Construction & Engineering | 385 | 8,724 | |||||||||||
a,b |
Aena SME SA, 144A |
Transportation Infrastructure | 126 | 13,195 | ||||||||||
a |
Amadeus IT Group SA |
IT Services | 753 | 35,342 | ||||||||||
Banco Bilbao Vizcaya Argentaria SA |
Banks | 10,833 | 49,035 | |||||||||||
Banco Santander SA |
Banks | 29,445 | 69,158 | |||||||||||
Bankinter SA |
Banks | 1,215 | 6,863 | |||||||||||
CaixaBank SA |
Banks | 7,629 | 24,746 | |||||||||||
b |
Cellnex Telecom SA, 144A |
Diversified Telecommunication Services | 1,065 | 33,167 | ||||||||||
Corp. ACCIONA Energias Renovables SA |
Independent Power Producers & Energy Traders | 105 | 3,946 | |||||||||||
Corporacion Mapfre SA |
Insurance | 1,707 | 2,659 | |||||||||||
EDP Renovaveis SA |
Independent Power Producers & Energy Traders | 426 | 8,781 | |||||||||||
Enagas SA |
Gas Utilities | 447 | 6,936 | |||||||||||
Endesa SA |
Electric Utilities | 561 | 8,475 | |||||||||||
Ferrovial SA |
Construction & Engineering | 831 | 19,041 | |||||||||||
Fluidra SA |
Machinery | 195 | 2,965 | |||||||||||
a |
Grifols SA |
Biotechnology | 564 | 4,907 | ||||||||||
Iberdrola SA |
Electric Utilities | 10,569 | 99,211 | |||||||||||
Industria de Diseno Textil SA |
Specialty Retail | 1,863 | 38,838 | |||||||||||
Inmobiliaria Colonial SA |
Equity Real Estate Investment Trusts (REITs | ) | 585 | 2,829 | ||||||||||
Merlin Properties Socimi SA |
Equity Real Estate Investment Trusts (REITs | ) | 576 | 4,461 | ||||||||||
Naturgy Energy Group SA |
Gas Utilities | 255 | 5,928 | |||||||||||
Red Electrica Corp. SA |
Electric Utilities | 765 | 11,774 | |||||||||||
Repsol SA |
Oil, Gas & Consumable Fuels | 2,220 | 25,674 |
franklintempleton.com |
Semiannual Report |
205 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Spain (continued) | ||||||||||||||
a |
Siemens Gamesa Renewable Energy SA |
Electrical Equipment | 399 | $ | 7,006 | |||||||||
Telefonica SA |
Diversified Telecommunication Services | 9,027 | 29,855 | |||||||||||
|
|
|||||||||||||
530,947 | ||||||||||||||
|
|
|||||||||||||
Sweden 5.0% | ||||||||||||||
Alfa Laval AB |
Machinery | 549 | 13,773 | |||||||||||
a |
Alleima AB |
Metals & Mining | 356 | 1,116 | ||||||||||
Assa Abloy AB, B |
Building Products | 1,626 | 30,725 | |||||||||||
Atlas Copco AB, A |
Machinery | 4,488 | 42,383 | |||||||||||
Atlas Copco AB, B |
Machinery | 2,679 | 22,513 | |||||||||||
Axfood AB |
Food & Staples Retailing | 189 | 4,341 | |||||||||||
Beijer Ref AB |
Trading Companies & Distributors | 423 | 5,241 | |||||||||||
Boliden AB |
Metals & Mining | 486 | 15,177 | |||||||||||
Castellum AB |
Real Estate Management & Development | 444 | 5,007 | |||||||||||
Electrolux AB, B |
Household Durables | 378 | 3,959 | |||||||||||
Epiroc AB, A |
Machinery | 1,107 | 15,975 | |||||||||||
Epiroc AB, B |
Machinery | 669 | 8,500 | |||||||||||
EQT AB |
Capital Markets | 504 | 9,951 | |||||||||||
Ericsson, B |
Communications Equipment | 5,337 | 31,495 | |||||||||||
Essity AB, B |
Household Products | 1,080 | 21,488 | |||||||||||
b,c |
Evolution Gaming Group AB, 144A, Reg S |
Hotels, Restaurants & Leisure | 285 | 22,774 | ||||||||||
a |
Fastighets AB Balder, B |
Real Estate Management & Development | 1,086 | 4,380 | ||||||||||
Getinge AB, B |
Health Care Equipment & Supplies | 402 | 6,944 | |||||||||||
Hennes & Mauritz AB, B |
Specialty Retail | 1,554 | 14,488 | |||||||||||
Hexagon AB, B |
Electronic Equipment, Instruments & Components | 3,321 | 31,332 | |||||||||||
Holmen AB, B |
Paper & Forest Products | 171 | 6,541 | |||||||||||
Husqvarna AB, A |
Household Durables | 36 | 201 | |||||||||||
Husqvarna AB, B |
Household Durables | 738 | 4,130 | |||||||||||
Industrivarden AB, A |
Diversified Financial Services | 399 | 8,115 | |||||||||||
Industrivarden AB, C |
Diversified Financial Services | 306 | 6,157 | |||||||||||
Indutrade AB |
Machinery | 498 | 8,185 | |||||||||||
Investment AB Latour, B |
Industrial Conglomerates | 249 | 4,164 | |||||||||||
Investor AB, A |
Diversified Financial Services | 942 | 14,562 | |||||||||||
Investor AB, B |
Diversified Financial Services | 3,225 | 47,537 | |||||||||||
a |
Kinnevik AB, B |
Diversified Financial Services | 426 | 5,666 | ||||||||||
L E Lundbergforetagen AB, B |
Diversified Financial Services | 132 | 4,810 | |||||||||||
Lifco AB, B |
Industrial Conglomerates | 411 | 5,785 | |||||||||||
Nibe Industrier AB, B |
Building Products | 2,577 | 23,245 | |||||||||||
Saab AB, B |
Aerospace & Defense | 159 | 4,980 | |||||||||||
Sagax AB, B |
Real Estate Management & Development | 300 | 4,980 | |||||||||||
Sagax AB, D |
Real Estate Management & Development | 165 | 372 | |||||||||||
Sandvik AB |
Machinery | 1,908 | 26,228 | |||||||||||
Securitas AB, B |
Commercial Services & Supplies | 562 | 3,930 | |||||||||||
Skandinaviska Enskilda Banken AB, A |
Banks | 2,523 | 24,281 | |||||||||||
Skandinaviska Enskilda Banken AB, C |
Banks | 30 | 319 | |||||||||||
Skanska AB, B |
Construction & Engineering | 636 | 7,995 | |||||||||||
SKF AB, B |
Machinery | 684 | 9,261 | |||||||||||
Svenska Cellulosa AB, A |
Paper & Forest Products | 36 | 463 | |||||||||||
Svenska Cellulosa AB, B |
Paper & Forest Products | 1,053 | 13,474 | |||||||||||
Svenska Handelsbanken AB, A |
Banks | 2,634 | 21,746 | |||||||||||
Svenska Handelsbanken AB, B |
Banks | 60 | 589 | |||||||||||
Sweco AB, B |
Construction & Engineering | 351 | 2,960 | |||||||||||
Swedbank AB, A |
Banks | 1,782 | 23,581 | |||||||||||
Swedish Match AB |
Tobacco | 2,619 | 25,960 | |||||||||||
a |
Swedish Orphan Biovitrum AB |
Biotechnology | 315 | 6,120 | ||||||||||
Tele2 AB, B |
Wireless Telecommunication Services | 978 | 8,460 | |||||||||||
Telefonaktiebolaget LM Ericsson, A |
Communications Equipment | 72 | 435 | |||||||||||
Telia Co. AB |
Diversified Telecommunication Services | 4,551 | 13,135 |
206 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Sweden (continued) | ||||||||||||||
Trelleborg AB, B |
Machinery | 414 | $ | 7,830 | ||||||||||
Vitrolife AB |
Biotechnology | 111 | 1,590 | |||||||||||
Volvo AB, A |
Machinery | 357 | 5,302 | |||||||||||
Volvo AB, B |
Machinery | 2,676 | 38,119 | |||||||||||
a |
Volvo Car AB, B |
Automobiles | 957 | 4,202 | ||||||||||
|
|
|||||||||||||
706,972 | ||||||||||||||
|
|
|||||||||||||
Switzerland 16.5% | ||||||||||||||
ABB Ltd. |
Electrical Equipment | 2,697 | 70,696 | |||||||||||
Adecco Group AG |
Professional Services | 282 | 7,853 | |||||||||||
Alcon Inc. |
Health Care Equipment & Supplies | 816 | 48,201 | |||||||||||
Bachem Holding AG |
Life Sciences Tools & Services | 57 | 3,637 | |||||||||||
Baloise Holding AG |
Insurance | 81 | 10,427 | |||||||||||
Banque Cantonale Vaudoise |
Banks | 51 | 4,855 | |||||||||||
Barry Callebaut AG |
Food Products | 6 | 11,393 | |||||||||||
Belimo Holding AG |
Building Products | 15 | 5,601 | |||||||||||
BKW AG |
Electric Utilities | 33 | 3,960 | |||||||||||
Chocoladefabriken Lindt & Spruengli AG |
Food Products | 4 | 38,852 | |||||||||||
Cie Financiere Richemont SA |
Textiles, Apparel & Luxury Goods | 906 | 86,785 | |||||||||||
a |
Clariant AG |
Chemicals | 402 | 6,494 | ||||||||||
Coca-Cola HBC AG |
Beverages | 330 | 6,977 | |||||||||||
Credit Suisse Group AG |
Capital Markets | 4,632 | 18,712 | |||||||||||
DKSH Holding AG |
Professional Services | 66 | 4,815 | |||||||||||
Emmi AG |
Food Products | 3 | 2,344 | |||||||||||
EMS-Chemie Holding AG |
Chemicals | 13 | 8,301 | |||||||||||
a |
Flughafen Zurich AG |
Transportation Infrastructure | 33 | 4,925 | ||||||||||
Geberit AG |
Building Products | 63 | 27,363 | |||||||||||
Georg Fischer AG |
Machinery | 145 | 7,012 | |||||||||||
Givaudan AG |
Chemicals | 16 | 48,817 | |||||||||||
Helvetia Holding AG |
Insurance | 63 | 5,946 | |||||||||||
Holcim Ltd., B |
Construction Materials | 966 | 40,220 | |||||||||||
Julius Baer Group Ltd. |
Capital Markets | 375 | 16,573 | |||||||||||
Kuehne + Nagel International AG |
Marine | 90 | 18,471 | |||||||||||
Logitech International SA |
Technology Hardware, Storage & Peripherals | 258 | 12,045 | |||||||||||
Lonza Group AG |
Life Sciences Tools & Services | 132 | 65,219 | |||||||||||
Nestle SA |
Food Products | 4,782 | 520,250 | |||||||||||
Novartis AG |
Pharmaceuticals | 3,636 | 279,022 | |||||||||||
Partners Group Holding AG |
Capital Markets | 39 | 31,881 | |||||||||||
PSP Swiss Property AG |
Real Estate Management & Development | 75 | 7,544 | |||||||||||
Roche Holding AG, Bearer |
Pharmaceuticals | 48 | 18,912 | |||||||||||
Roche Holding AG, Non-Voting |
Pharmaceuticals | 1,233 | 405,196 | |||||||||||
Schindler Holding AG, PC |
Machinery | 72 | 11,313 | |||||||||||
Schindler Holding AG |
Machinery | 33 | 5,029 | |||||||||||
SGS SA |
Professional Services | 10 | 21,590 | |||||||||||
SIG Combibloc Group AG |
Containers & Packaging | 675 | 13,839 | |||||||||||
Sika AG |
Chemicals | 270 | 55,056 | |||||||||||
Sonova Holding AG |
Health Care Equipment & Supplies | 90 | 20,117 | |||||||||||
STMicroelectronics NV |
Semiconductors & Semiconductor Equipment | 1,122 | 35,443 | |||||||||||
Straumann Holding AG |
Health Care Equipment & Supplies | 189 | 17,635 | |||||||||||
Swatch Group AG |
Textiles, Apparel & Luxury Goods | 81 | 3,437 | |||||||||||
Swiss Life Holding AG |
Insurance | 54 | 24,058 | |||||||||||
Swiss Prime Site AG |
Real Estate Management & Development | 135 | 10,836 | |||||||||||
Swiss Re AG |
Insurance | 513 | 38,132 | |||||||||||
Swisscom AG |
Diversified Telecommunication Services | 45 | 21,191 | |||||||||||
Tecan Group AG |
Life Sciences Tools & Services | 22 | 7,667 | |||||||||||
Temenos AG |
Software | 108 | 7,400 | |||||||||||
The Swatch Group AG |
Textiles, Apparel & Luxury Goods | 51 | 11,633 | |||||||||||
UBS Group AG |
Capital Markets | 5,403 | 79,460 |
franklintempleton.com |
Semiannual Report |
207 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Switzerland (continued) | ||||||||||||||
b,c |
VAT Group AG, 144A |
Machinery | 45 | $ | 9,318 | |||||||||
Zurich Insurance Group AG |
Insurance | 264 | 105,949 | |||||||||||
|
|
|||||||||||||
2,348,402 | ||||||||||||||
|
|
|||||||||||||
United Kingdom 20.3% | ||||||||||||||
3i Group PLC |
Capital Markets | 1,689 | 20,608 | |||||||||||
Abrdn PLC |
Capital Markets | 3,885 | 6,033 | |||||||||||
Admiral Group PLC |
Insurance | 507 | 10,835 | |||||||||||
Allfunds Group PLC |
Capital Markets | 417 | 3,095 | |||||||||||
Anglo American PLC |
Metals & Mining | 2,139 | 65,317 | |||||||||||
Ashtead Group PLC |
Trading Companies & Distributors | 783 | 35,714 | |||||||||||
Associated British Foods PLC |
Food Products | 615 | 8,661 | |||||||||||
AstraZeneca PLC |
Pharmaceuticals | 2,622 | 291,055 | |||||||||||
b |
Auto Trader Group PLC, 144A |
Interactive Media & Services | 1,635 | 9,400 | ||||||||||
AVEVA Group PLC |
Software | 210 | 7,366 | |||||||||||
Aviva PLC |
Insurance | 4,956 | 21,477 | |||||||||||
B&M European Value Retail SA |
Multiline Retail | 1,653 | 5,648 | |||||||||||
BAE Systems PLC |
Aerospace & Defense | 5,595 | 49,328 | |||||||||||
Barclays PLC |
Banks | 28,632 | 46,121 | |||||||||||
Barratt Developments PLC |
Household Durables | 1,803 | 6,887 | |||||||||||
Bellway PLC |
Household Durables | 225 | 4,277 | |||||||||||
Berkeley Group Holdings PLC |
Household Durables | 183 | 6,735 | |||||||||||
BP PLC |
Oil, Gas & Consumable Fuels | 32,916 | 159,139 | |||||||||||
British American Tobacco PLC |
Tobacco | 3,975 | 143,169 | |||||||||||
British Land Co. PLC |
Equity Real Estate Investment Trusts (REITs | ) | 1,644 | 6,436 | ||||||||||
BT Group PLC |
Diversified Telecommunication Services | 12,327 | 16,699 | |||||||||||
Bunzl PLC |
Trading Companies & Distributors | 597 | 18,393 | |||||||||||
Burberry Group PLC |
Textiles, Apparel & Luxury Goods | 699 | 14,108 | |||||||||||
a |
Centrica PLC |
Multi-Utilities | 10,473 | 8,282 | ||||||||||
CNH Industrial NV |
Machinery | 1,752 | 19,961 | |||||||||||
Compass Group PLC |
Hotels, Restaurants & Leisure | 3,162 | 63,712 | |||||||||||
b |
ConvaTec Group PLC, 144A |
Health Care Equipment & Supplies | 2,904 | 6,665 | ||||||||||
Croda International PLC |
Chemicals | 240 | 17,270 | |||||||||||
Dechra Pharmaceuticals PLC |
Pharmaceuticals | 204 | 5,971 | |||||||||||
Derwent London PLC |
Equity Real Estate Investment Trusts (REITs | ) | 207 | 4,668 | ||||||||||
Diageo PLC |
Beverages | 4,002 | 169,651 | |||||||||||
Direct Line Insurance Group PLC |
Insurance | 2,346 | 4,858 | |||||||||||
Dr. Martens PLC |
Textiles, Apparel & Luxury Goods | 996 | 2,477 | |||||||||||
DS Smith PLC |
Containers & Packaging | 2,298 | 6,590 | |||||||||||
a |
easyJet PLC |
Airlines | 642 | 2,124 | ||||||||||
Electrocomponents PLC |
Trading Companies & Distributors | 834 | 9,021 | |||||||||||
Endeavour Mining PLC |
Metals & Mining | 327 | 5,990 | |||||||||||
Ferguson PLC |
Trading Companies & Distributors | 375 | 39,366 | |||||||||||
GSK PLC |
Pharmaceuticals | 7,089 | 103,334 | |||||||||||
a |
Haleon PLC |
Personal Products | 8,859 | 27,616 | ||||||||||
Halma PLC |
Electronic Equipment, Instruments & Components | 672 | 15,341 | |||||||||||
Hargreaves Lansdown PLC |
Capital Markets | 672 | 6,505 | |||||||||||
Hikma Pharmaceuticals PLC |
Pharmaceuticals | 288 | 4,384 | |||||||||||
HomeServe PLC |
Commercial Services & Supplies | 489 | 6,463 | |||||||||||
Howden Joinery Group PLC |
Trading Companies & Distributors | 924 | 5,211 | |||||||||||
HSBC Holdings PLC |
Banks | 35,706 | 186,259 | |||||||||||
IMI PLC |
Machinery | 462 | 5,771 | |||||||||||
Imperial Brands PLC |
Tobacco | 1,677 | 34,726 | |||||||||||
Informa PLC |
Media | 2,553 | 14,797 | |||||||||||
InterContinental Hotels Group PLC |
Hotels, Restaurants & Leisure | 327 | 15,948 | |||||||||||
Intermediate Capital Group PLC |
Capital Markets | 501 | 5,496 | |||||||||||
a |
International Consolidated Airlines Group SA |
Airlines | 2,019 | 2,134 | ||||||||||
Intertek Group PLC |
Professional Services | 285 | 11,794 |
208 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
United Kingdom (continued) | ||||||||||||||
ITV PLC |
Media | 6,606 | $ | 4,224 | ||||||||||
J Sainsbury PLC |
Food & Staples Retailing | 3,051 | 5,936 | |||||||||||
JD Sports Fashion PLC |
Specialty Retail | 4,374 | 4,892 | |||||||||||
Johnson Matthey PLC |
Chemicals | 321 | 6,566 | |||||||||||
a,b,c |
Just Eat Takeaway.com NV, 144A, Reg S |
Internet & Direct Marketing Retail | 327 | 5,182 | ||||||||||
Kingfisher PLC |
Specialty Retail | 3,513 | 8,643 | |||||||||||
Land Securities Group PLC |
Equity Real Estate Investment Trusts (REITs | ) | 1,263 | 7,357 | ||||||||||
Legal & General Group PLC |
Insurance | 10,515 | 25,413 | |||||||||||
Lloyds Banking Group PLC |
Banks | 121,242 | 56,018 | |||||||||||
London Stock Exchange Group PLC |
Capital Markets | 648 | 55,178 | |||||||||||
M&G PLC |
Diversified Financial Services | 4,554 | 8,467 | |||||||||||
Melrose Industries PLC |
Industrial Conglomerates | 7,119 | 8,122 | |||||||||||
Mondi PLC |
Paper & Forest Products | 858 | 13,352 | |||||||||||
National Grid PLC |
Multi-Utilities | 6,462 | 67,158 | |||||||||||
NatWest Group PLC |
Banks | 9,015 | 22,733 | |||||||||||
Next PLC |
Multiline Retail | 219 | 11,737 | |||||||||||
a,d |
NMC Health PLC |
Health Care Providers & Services | 60 | — | ||||||||||
a |
Ocado Group PLC |
Food & Staples Retailing | 975 | 5,143 | ||||||||||
Pearson PLC |
Media | 1,302 | 12,598 | |||||||||||
Pennon Group PLC |
Water Utilities | 474 | 4,164 | |||||||||||
a,b |
Pepco Group NV, 144A |
Multiline Retail | 204 | 1,235 | ||||||||||
Persimmon PLC |
Household Durables | 564 | 7,791 | |||||||||||
Phoenix Group Holdings PLC |
Insurance | 1,302 | 7,657 | |||||||||||
Prudential PLC |
Insurance | 4,875 | 48,640 | |||||||||||
Reckitt Benckiser Group PLC |
Household Products | 1,269 | 84,655 | |||||||||||
RELX PLC |
Professional Services | 3,288 | 80,822 | |||||||||||
Renishaw PLC |
Electronic Equipment, Instruments & Components | 60 | 2,355 | |||||||||||
Rentokil Initial PLC |
Commercial Services & Supplies | 3,309 | 17,638 | |||||||||||
Rightmove PLC |
Interactive Media & Services | 1,479 | 7,961 | |||||||||||
a |
Rolls-Royce Holdings PLC |
Aerospace & Defense | 14,850 | 11,536 | ||||||||||
Royal Mail PLC |
Air Freight & Logistics | 1,614 | 3,323 | |||||||||||
Schroders PLC |
Capital Markets | 1,170 | 5,085 | |||||||||||
Segro PLC |
Equity Real Estate Investment Trusts (REITs | ) | 2,130 | 17,904 | ||||||||||
Severn Trent PLC |
Water Utilities | 444 | 11,672 | |||||||||||
Smith & Nephew PLC |
Health Care Equipment & Supplies | 1,548 | 18,153 | |||||||||||
Smiths Group PLC |
Industrial Conglomerates | 645 | 10,872 | |||||||||||
Spirax-Sarco Engineering PLC |
Machinery | 129 | 14,976 | |||||||||||
SSE PLC |
Electric Utilities | 1,893 | 32,278 | |||||||||||
St. James’s Place Capital PLC |
Capital Markets | 948 | 10,963 | |||||||||||
Standard Chartered PLC |
Banks | 4,332 | 27,409 | |||||||||||
Tate & Lyle PLC |
Food Products | 708 | 5,374 | |||||||||||
Taylor Wimpey PLC |
Household Durables | 6,324 | 6,234 | |||||||||||
Tesco PLC |
Food & Staples Retailing | 13,119 | 30,285 | |||||||||||
The Sage Group PLC |
Software | 1,806 | 14,056 | |||||||||||
Unilever PLC |
Personal Products | 4,497 | 199,244 | |||||||||||
UNITE Group PLC |
Equity Real Estate Investment Trusts (REITs | ) | 555 | 5,319 | ||||||||||
United Utilities Group PLC |
Water Utilities | 1,209 | 11,995 | |||||||||||
Vodafone Group PLC |
Wireless Telecommunication Services | 44,514 | 50,247 | |||||||||||
Weir Group PLC |
Machinery | 459 | 7,207 | |||||||||||
Whitbread PLC |
Hotels, Restaurants & Leisure | 357 | 9,174 | |||||||||||
a |
Wise PLC, A |
IT Services | 810 | 5,973 | ||||||||||
WPP PLC |
Media | 1,893 | 15,849 | |||||||||||
|
|
|||||||||||||
2,885,651 | ||||||||||||||
|
|
|||||||||||||
United States 0.3% | ||||||||||||||
Stellantis NV |
Automobiles | 3,591 | 43,172 | |||||||||||
|
|
|||||||||||||
Total
Common Stocks |
14,049,095 | |||||||||||||
|
|
franklintempleton.com |
Semiannual Report |
209 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Preferred Stocks 0.7% | ||||||||||||||
Germany 0.7% | ||||||||||||||
e |
ayerische Motoren Werke AG, 8.700%, pfd. |
Automobiles | 108 | $ | 7,078 | |||||||||
e |
Fuchs Petrolub SE, 3.962%, pfd. |
Chemicals | 126 | 3,209 | ||||||||||
e |
Henkel AG & Co. KGaA, 3.032%, pfd. |
Household Products | 297 | 17,754 | ||||||||||
e |
Sartorius AG, 0.353%, pfd. |
Health Care Equipment & Supplies | 44 | 15,393 | ||||||||||
e |
Sixt SE, 9.740%, pfd. |
Road & Rail | 27 | 1,239 | ||||||||||
e |
Volkswagen AG, 5.981%, pfd. |
Automobiles | 357 | 44,207 | ||||||||||
|
|
|||||||||||||
88,880 | ||||||||||||||
|
|
|||||||||||||
Spain 0.0%† | ||||||||||||||
a,e |
Grifols SA, pfd., B |
Biotechnology | 435 | 2,749 | ||||||||||
|
|
|||||||||||||
Total
Preferred Stocks |
91,629 | |||||||||||||
|
|
|||||||||||||
Right 0.0%† | ||||||||||||||
Sweden 0.0%† | ||||||||||||||
a |
Securitas AB, rts., 10/11/2022 |
Commercial Services & Supplies | 2,100 | 876 | ||||||||||
|
|
|||||||||||||
Total Rights (Cost $1,416) |
876 | |||||||||||||
|
|
|||||||||||||
Total Investments (Cost $19,730,791) 99.6% |
14,141,600 | |||||||||||||
Other Assets, less Liabilities 0.4% |
62,297 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 14,203,897 | ||||||||||||
|
|
†Rounds to less than 0.1% of net assets.
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $343,915, representing 2.4% of net assets.
cSecurity was purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration. At September 30, 2022, the value of was $92,765, representing 0.7% of net assets.
dFair valued using significant unobservable inputs. See Note 9 regarding fair value measurements.
eVariable rate security. The rate shown represents the yield at period end.
At September 30, 2022 the Fund had the following forward exchange contracts outstanding. See Note 1(c).
Forward Exchange Contracts | ||||||||||||||||||||||||||||
Currency | Counterpartya | Type | Quantity | Contract Amount |
Settlement Date |
Unrealized Appreciation |
Unrealized Depreciation |
|||||||||||||||||||||
OTC Forward Exchange Contracts | ||||||||||||||||||||||||||||
Danish Krone |
BOFA | Buy | 130,263 | $ | 17,408 | 10/04/22 | $ | — | $ | (245 | ) | |||||||||||||||||
Danish Krone |
BOFA | Buy | 4,540,337 | 598,220 | 10/04/22 | — | (12 | ) | ||||||||||||||||||||
Danish Krone |
BOFA | Sell | 4,670,600 | 632,753 | 10/04/22 | 17,383 | — | |||||||||||||||||||||
Euro |
BOFA | Buy | 66,570 | 66,160 | 10/04/22 | — | (945 | ) | ||||||||||||||||||||
Euro |
HSBK | Buy | 66,570 | 66,160 | 10/04/22 | — | (945 | ) | ||||||||||||||||||||
Euro |
UBSW | Buy | 66,570 | 66,159 | 10/04/22 | — | (944 | ) | ||||||||||||||||||||
Euro |
BOFA | Buy | 2,320,297 | 2,273,125 | 10/04/22 | — | (47 | ) | ||||||||||||||||||||
Euro |
HSBK | Buy | 2,320,297 | 2,273,114 | 10/04/22 | — | (35 | ) | ||||||||||||||||||||
Euro |
UBSW | Buy | 2,320,297 | 2,273,102 | 10/04/22 | — | (24 | ) | ||||||||||||||||||||
Euro |
UBSW | Sell | 2,386,867 | 2,405,129 | 10/04/22 | 66,835 | — | |||||||||||||||||||||
Euro |
HSBK | Sell | 2,386,867 | 2,405,150 | 10/04/22 | 66,857 | — | |||||||||||||||||||||
Euro |
BOFA | Sell | 2,386,867 | 2,405,200 | 10/04/22 | 66,906 | — | |||||||||||||||||||||
Great British Pound |
DBAB | Buy | 94,185 | 108,427 | 10/04/22 | — | (3,288 | ) | ||||||||||||||||||||
Great British Pound |
DBAB | Buy | 3,282,815 | 3,663,622 | 10/04/22 | 983 | — | |||||||||||||||||||||
Great British Pound |
DBAB | Sell | 3,377,000 | 3,931,470 | 10/04/22 | 161,726 | — | |||||||||||||||||||||
Norwegian Krone |
BOFA | Buy | 62,513 | 6,280 | 10/04/22 | — | (543 | ) | ||||||||||||||||||||
Norwegian Krone |
BOFA | Buy | 2,178,887 | 199,952 | 10/04/22 | — | (4 | ) |
210 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Europe Hedged ETF (continued)
Forward Exchange Contracts (continued) | ||||||||||||||||||||||||||||
Currency | Counterpartya | Type | Quantity | Contract Amount |
Settlement Date |
Unrealized Appreciation |
Unrealized Depreciation |
|||||||||||||||||||||
OTC Forward Exchange Contracts (continued) | ||||||||||||||||||||||||||||
Norwegian Krone |
BOFA | Sell | 2,241,400 | $ | 225,971 | 10/04/22 | $ | 20,286 | $ | — | ||||||||||||||||||
Polish Zloty |
BOFA | Buy | 7,171 | 1,501 | 10/04/22 | — | (49 | ) | ||||||||||||||||||||
Polish Zloty |
BOFA | Buy | 249,929 | 50,604 | 10/04/22 | — | (1 | ) | ||||||||||||||||||||
Polish Zloty |
BOFA | Sell | 257,100 | 54,493 | 10/04/22 | 2,437 | — | |||||||||||||||||||||
Swedish Krona |
BOFA | Buy | 226,046 | 20,964 | 10/04/22 | — | (595 | ) | ||||||||||||||||||||
Swedish Krona |
BOFA | Buy | 7,878,854 | 709,981 | 10/04/22 | — | (14 | ) | ||||||||||||||||||||
Swedish Krona |
BOFA | Sell | 8,104,900 | 763,401 | 10/04/22 | 33,066 | — | |||||||||||||||||||||
Swiss Franc |
MSCO | Buy | 66,233 | 67,627 | 10/04/22 | — | (334 | ) | ||||||||||||||||||||
Swiss Franc |
MSCO | Buy | 2,308,567 | 2,345,452 | 10/04/22 | 57 | — | |||||||||||||||||||||
Swiss Franc |
MSCO | Sell | 2,374,800 | 2,439,573 | 10/04/22 | 26,772 | — | |||||||||||||||||||||
Danish Krone |
BOFA | Sell | 4,389,700 | 579,519 | 11/02/22 | — | (15 | ) | ||||||||||||||||||||
Euro |
UBSW | Sell | 2,312,527 | 2,270,002 | 11/02/22 | 29 | — | |||||||||||||||||||||
Euro |
HSBK | Sell | 2,312,527 | 2,270,011 | 11/02/22 | 38 | — | |||||||||||||||||||||
Euro |
BOFA | Sell | 2,312,527 | 2,270,061 | 11/02/22 | 88 | — | |||||||||||||||||||||
Great British Pound |
DBAB | Sell | 3,275,900 | 3,657,870 | 11/02/22 | — | (1,304 | ) | ||||||||||||||||||||
Norwegian Krone |
BOFA | Sell | 2,102,800 | 192,990 | 11/02/22 | — | (13 | ) | ||||||||||||||||||||
Swedish Krona |
BOFA | Sell | 7,833,100 | 706,733 | 11/02/22 | — | (16 | ) | ||||||||||||||||||||
Swiss Franc |
MSCO | Sell | 2,286,100 | 2,328,452 | 11/02/22 | — | (163 | ) | ||||||||||||||||||||
Polish Zloty |
BOFA | Sell | 225,500 | 45,421 | 11/03/22 | — | (15 | ) | ||||||||||||||||||||
|
|
|||||||||||||||||||||||||||
Total Forward Exchange Contracts |
|
$ | 463,463 | $ | (9,551 | ) | ||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||
Net unrealized appreciation (depreciation) |
|
$ | 453,912 | |||||||||||||||||||||||||
|
|
aMay be comprised of multiple contracts with the same counterparty, currency and settlement date.
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized (Depreciation) |
|||||||||||||||
Index Contracts | ||||||||||||||||||||
EURO STOXX 50 Index |
Long | 1 | $ | 32,475 | 12/16/22 | $ | (2,661 | ) |
*As of period end.
See Note 8 regarding other derivative information.
See Abbreviations on page 332.
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
211 |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE France ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$28.82 | $ | 28.44 | $ | 19.34 | $ | 23.86 | $ | 25.33 | $ | 25.32 | |||||||||||||
|
|
|
|
|||||||||||||||||||||
Income from investment operationsb: |
||||||||||||||||||||||||
Net investment incomec |
0.57 | 0.85 | 0.40 | 0.52 | 0.70 | 0.08 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(6.98 | ) | 0.41 | 9.10 | (4.47 | ) | (1.48 | ) | (0.01 | ) | ||||||||||||||
|
|
|
|
|||||||||||||||||||||
Total from investment operations |
(6.41 | ) | 1.26 | 9.50 | (3.95 | ) | (0.78 | ) | 0.07 | |||||||||||||||
|
|
|
|
|||||||||||||||||||||
Less distributions from net investment income |
(0.45 | ) | (0.88 | ) | (0.40 | ) | (0.57 | ) | (0.69 | ) | (0.06 | ) | ||||||||||||
|
|
|
|
|||||||||||||||||||||
Net asset value, end of period |
$21.96 | $ | 28.82 | $ | 28.44 | $ | 19.34 | $ | 23.86 | $ | 25.33 | |||||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(22.36)% | 4.23% | 49.47% | (17.08)% | (3.07)% | 0.26% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Total expenses |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
4.43% | 2.77% | 1.68% | 2.14% | 2.90% | 0.78% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$6,587 | $ | 10,088 | $ | 7,111 | $ | 8,702 | $ | 2,386 | $ | 2,533 | |||||||||||||
Portfolio turnover ratef |
2.48% | g | 5.94% | g | 4.56% | g | 2.60% | g | 5.80% | 1.90% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 2.87% | 5.94% | 4.56% | 2.60% |
212 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 99.9% | ||||||||||||||
France 97.5% | ||||||||||||||
a |
Accor SA |
Hotels, Restaurants & Leisure | 906 | $ | 19,180 | |||||||||
a |
Aeroports de Paris SA |
Transportation Infrastructure | 138 | 16,088 | ||||||||||
Air Liquide SA |
Chemicals | 2,514 | 289,531 | |||||||||||
Airbus SE |
Aerospace & Defense | 2,742 | 238,776 | |||||||||||
b |
ALD SA, 144A |
Road & Rail | 396 | 3,670 | ||||||||||
Alstom SA |
Machinery | 1,488 | 24,409 | |||||||||||
b |
Amundi SA, 144A |
Capital Markets | 276 | 11,616 | ||||||||||
Arkema SA |
Chemicals | 318 | 23,390 | |||||||||||
AXA SA |
Insurance | 9,108 | 200,537 | |||||||||||
Biomerieux |
Health Care Equipment & Supplies | 210 | 16,746 | |||||||||||
BNP Paribas SA |
Banks | 5,268 | 225,036 | |||||||||||
Bollore |
Entertainment | 4,884 | 22,593 | |||||||||||
Bouygues SA |
Construction & Engineering | 1,044 | 27,461 | |||||||||||
Bureau Veritas SA |
Professional Services | 1,410 | 31,742 | |||||||||||
Capgemini SE |
IT Services | 786 | 127,436 | |||||||||||
Carrefour SA |
Food & Staples Retailing | 2,904 | 40,440 | |||||||||||
Cie de L’Odet SE |
Air Freight & Logistics | 2 | 2,257 | |||||||||||
Cie Generale des Etablissements Michelin SCA |
Auto Components | 3,444 | 78,123 | |||||||||||
Compagnie de Saint-Gobain |
Building Products | 2,262 | 82,102 | |||||||||||
Covivio |
Equity Real Estate Investment Trusts (REITs | ) | 246 | 11,934 | ||||||||||
Credit Agricole SA |
Banks | 5,952 | 48,769 | |||||||||||
Danone SA |
Food Products | 3,000 | 142,745 | |||||||||||
Dassault Aviation SA |
Aerospace & Defense | 114 | 13,067 | |||||||||||
Dassault Systemes SE |
Software | 3,294 | 115,316 | |||||||||||
Edenred |
IT Services | 1,230 | 57,067 | |||||||||||
EDF SA |
Electric Utilities | 3,084 | 35,923 | |||||||||||
Eiffage SA |
Construction & Engineering | 360 | 29,103 | |||||||||||
Engie SA |
Multi-Utilities | 8,166 | 94,734 | |||||||||||
EssilorLuxottica SA |
Textiles, Apparel & Luxury Goods | 1,464 | 201,291 | |||||||||||
Eurazeo SE |
Diversified Financial Services | 240 | 12,661 | |||||||||||
a |
Euroapi SA |
Pharmaceuticals | 233 | 3,889 | ||||||||||
a |
Faurecia SE |
Auto Components | 780 | 8,581 | ||||||||||
Gecina SA |
Equity Real Estate Investment Trusts (REITs | ) | 252 | 19,861 | ||||||||||
Getlink SE |
Transportation Infrastructure | 2,250 | 35,058 | |||||||||||
Hermes International |
Textiles, Apparel & Luxury Goods | 153 | 182,412 | |||||||||||
ICADE |
Equity Real Estate Investment Trusts (REITs | ) | 156 | 5,838 | ||||||||||
Ipsen SA |
Pharmaceuticals | 168 | 15,619 | |||||||||||
a |
JCDecaux SA |
Media | 354 | 4,186 | ||||||||||
Kering SA |
Textiles, Apparel & Luxury Goods | 359 | 161,269 | |||||||||||
Klepierre SA |
Equity Real Estate Investment Trusts (REITs | ) | 936 | 16,413 | ||||||||||
b |
La Francaise des Jeux SAEM, 144A |
Hotels, Restaurants & Leisure | 432 | 12,895 | ||||||||||
Legrand SA |
Electrical Equipment | 1,320 | 86,201 | |||||||||||
L’Oreal SA |
Personal Products | 1,212 | 392,117 | |||||||||||
LVMH Moet Hennessy Louis Vuitton SE |
Textiles, Apparel & Luxury Goods | 1,226 | 733,121 | |||||||||||
b |
Neoen SA, 144A |
Independent Power Producers & Energy Traders | 216 | 7,266 | ||||||||||
Orange SA |
Diversified Telecommunication Services | 9,426 | 85,398 | |||||||||||
Pernod Ricard SA |
Beverages | 1,008 | 186,487 | |||||||||||
Publicis Groupe |
Media | 1,110 | 53,174 | |||||||||||
Remy Cointreau SA |
Beverages | 124 | 20,760 | |||||||||||
a |
Renault SA |
Automobiles | 942 | 25,812 | ||||||||||
Rexel SA |
Trading Companies & Distributors | 1,182 | 17,925 | |||||||||||
Safran SA |
Aerospace & Defense | 1,716 | 158,038 | |||||||||||
Sanofi |
Pharmaceuticals | 5,358 | 411,519 | |||||||||||
Sartorius Stedim Biotech |
Life Sciences Tools & Services | 119 | 36,967 | |||||||||||
Schneider Electric SE |
Electrical Equipment | 2,616 | 299,690 | |||||||||||
SCOR SE |
Insurance | 732 | 10,660 | |||||||||||
SEB SA |
Household Durables | 150 | 9,507 |
franklintempleton.com |
Semiannual Report |
213 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE France ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
France (continued) | ||||||||||||||
Societe Generale SA |
Banks | 3,726 | $ | 74,518 | ||||||||||
Sodexo SA |
Hotels, Restaurants & Leisure | 432 | 32,655 | |||||||||||
a |
SOITEC |
Semiconductors & Semiconductor Equipment | 120 | 13,948 | ||||||||||
Somfy SA |
Electrical Equipment | 36 | 3,354 | |||||||||||
Teleperformance |
Professional Services | 286 | 73,099 | |||||||||||
Thales SA |
Aerospace & Defense | 492 | 54,465 | |||||||||||
TotalEnergies SE |
Oil, Gas & Consumable Fuels | 11,640 | 550,486 | |||||||||||
a |
Ubisoft Entertainment SA |
Entertainment | 468 | 12,984 | ||||||||||
Valeo |
Auto Components | 1,200 | 18,374 | |||||||||||
Veolia Environnement SA |
Multi-Utilities | 3,066 | 59,201 | |||||||||||
Vinci SA |
Construction & Engineering | 2,442 | 198,968 | |||||||||||
Vivendi SA |
Media | 3,420 | 26,709 | |||||||||||
Wendel SE |
Diversified Financial Services | 132 | 9,550 | |||||||||||
a,b,c |
Worldline SA, 144A, Reg S |
IT Services | 1,200 | 47,823 | ||||||||||
|
|
|||||||||||||
6,420,540 | ||||||||||||||
|
|
|||||||||||||
Luxembourg 0.5% | ||||||||||||||
Eurofins Scientific SE |
Life Sciences Tools & Services | 606 | 36,285 | |||||||||||
|
|
|||||||||||||
Netherlands 0.4% | ||||||||||||||
b,c |
Euronext NV, 144A, Reg S |
Capital Markets | 402 | 25,638 | ||||||||||
|
|
|||||||||||||
Switzerland 1.5% | ||||||||||||||
STMicroelectronics NV |
Semiconductors & Semiconductor Equipment | 3,114 | 98,368 | |||||||||||
|
|
|||||||||||||
Total Investments (Cost $ 8,467,663) 99.9% |
6,580,831 | |||||||||||||
Other Assets, less Liabilities 0.1% |
6,492 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 6,587,323 | ||||||||||||
|
|
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $108,908, representing 1.7% of net assets.
cSecurity was purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration. At September 30, 2022, the value of was $73,461, representing 1.1% of net assets.
See Note 8 regarding other derivative information.
See Abbreviations on page 332
214 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Germany ETF
Six Months Ended (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$22.37 | $ | 25.98 | $ | 16.73 | $ | 20.70 | $ | 24.60 | $ | 25.55 | |||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment incomec |
0.52 | 0.70 | 0.61 | 0.52 | 0.53 | 0.05 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(6.81 | ) | (3.63 | ) | 9.29 | (3.92 | ) | (3.83 | ) | (1.00 | ) | |||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(6.29 | ) | (2.93 | ) | 9.90 | (3.40 | ) | (3.30 | ) | (0.95 | ) | |||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(0.59 | ) | (0.68 | ) | (0.65 | ) | (0.57 | ) | (0.60 | ) | — | |||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$15.49 | $ | 22.37 | $ | 25.98 | $ | 16.73 | $ | 20.70 | $ | 24.60 | |||||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(28.52)% | (11.68)% | 59.79% | (17.00)% | (13.72)% | (3.72)% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Total expenses |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
5.47% | 2.73% | 2.66% | 2.46% | 2.44% | 0.52% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$13,167 | $16,775 | $9,093 | $4,182 | $4,140 | $2,460 | ||||||||||||||||||
Portfolio turnover ratef |
2.93% | g | 6.70% | g | 5.79% | g | 5.74% | g | 10.75% | 1.75% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 2.93% | 6.70% | 5.79% | 5.74% |
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
215 |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 94.7% | ||||||||||||||
Germany 93.5% | ||||||||||||||
1&1 Drillisch AG |
Wireless Telecommunication Services | 629 | $ | 8,362 | ||||||||||
Adidas AG |
Textiles, Apparel & Luxury Goods | 2,312 | 269,257 | |||||||||||
Allianz SE |
Insurance | 5,610 | 889,226 | |||||||||||
Aroundtown SA |
Real Estate Management & Development | 14,858 | 32,852 | |||||||||||
BASF SE |
Chemicals | 12,631 | 490,009 | |||||||||||
Bayer AG |
Pharmaceuticals | 13,566 | 630,142 | |||||||||||
Bayerische Motoren Werke AG |
Automobiles | 4,420 | 303,060 | |||||||||||
Bechtle AG |
IT Services | 1,122 | 40,812 | |||||||||||
Beiersdorf AG |
Personal Products | 1,377 | 136,179 | |||||||||||
Brenntag AG |
Trading Companies & Distributors | 2,142 | 130,899 | |||||||||||
Carl Zeiss Meditec AG |
Health Care Equipment & Supplies | 510 | 53,684 | |||||||||||
a |
Commerzbank AG |
Banks | 14,382 | 103,444 | ||||||||||
Continental AG |
Auto Components | 1,479 | 66,577 | |||||||||||
b |
Covestro AG, 144A |
Chemicals | 2,465 | 71,334 | ||||||||||
a |
CTS Eventim AG & Co. KGaA |
Entertainment | 816 | 33,990 | ||||||||||
Daimler AG |
Automobiles | 11,628 | 596,338 | |||||||||||
a |
Daimler Truck Holding AG |
Machinery | 5,814 | 132,994 | ||||||||||
a,b |
Delivery Hero SE, 144A |
Internet & Direct Marketing Retail | 2,635 | 97,937 | ||||||||||
Deutsche Bank AG |
Capital Markets | 27,965 | 209,469 | |||||||||||
Deutsche Boerse AG |
Capital Markets | 2,533 | 417,504 | |||||||||||
a |
Deutsche Lufthansa AG |
Airlines | 8,262 | 47,900 | ||||||||||
Deutsche Post AG |
Air Freight & Logistics | 13,362 | 407,298 | |||||||||||
Deutsche Telekom AG |
Diversified Telecommunication Services | 46,716 | 800,527 | |||||||||||
Deutsche Wohnen AG |
Real Estate Management & Development | 663 | 12,669 | |||||||||||
b |
DWS Group GmbH & Co. KGaA, 144A |
Capital Markets | 476 | 11,453 | ||||||||||
E.ON SE |
Multi-Utilities | 30,566 | 236,438 | |||||||||||
Evonik Industries AG |
Chemicals | 2,618 | 44,241 | |||||||||||
a |
Evotec SE |
Life Sciences Tools & Services | 2,193 | 38,574 | ||||||||||
Fielmann AG |
Specialty Retail | 340 | 10,978 | |||||||||||
a |
Fraport AG Frankfurt Airport Services Worldwide |
Transportation Infrastructure | 493 | 17,962 | ||||||||||
Fresenius Medical Care AG & Co. KGaA |
Health Care Providers & Services | 2,805 | 79,772 | |||||||||||
Fresenius SE & Co. KGaA |
Health Care Providers & Services | 5,627 | 120,999 | |||||||||||
Fuchs Petrolub SE |
Chemicals | 459 | 10,140 | |||||||||||
GEA Group AG |
Machinery | 2,261 | 73,848 | |||||||||||
Hannover Rueck SE |
Insurance | 833 | 125,835 | |||||||||||
HeidelbergCement AG |
Construction Materials | 2,006 | 80,278 | |||||||||||
Hella GmbH & Co. KGaA |
Auto Components | 306 | 20,415 | |||||||||||
a |
HelloFresh SE |
Internet & Direct Marketing Retail | 2,261 | 48,176 | ||||||||||
Henkel AG & Co. KGaA |
Household Products | 1,411 | 80,587 | |||||||||||
Hochtief AG |
Construction & Engineering | 272 | 13,019 | |||||||||||
Infineon Technologies AG |
|
Semiconductors &Semiconductor Equipment |
|
18,003 | 400,528 | |||||||||
KION Group AG |
Machinery | 1,071 | 20,790 | |||||||||||
Knorr-Bremse AG |
Machinery | 901 | 39,173 | |||||||||||
Lanxess AG |
Chemicals | 1,173 | 34,554 | |||||||||||
LEG Immobilien AG |
Real Estate Management & Development | 1,020 | 61,314 | |||||||||||
Merck KGaA |
Pharmaceuticals | 1,785 | 291,679 | |||||||||||
a |
METRO AG |
Food & Staples Retailing | 1,836 | 12,878 | ||||||||||
MTU Aero Engines AG |
Aerospace & Defense | 737 | 111,369 | |||||||||||
Muenchener Rueckversicherungs-Gesellschaft Aktiengesellschaft in Muenchen |
Insurance | 1,938 | 469,894 | |||||||||||
Nemetschek AG |
Software | 748 | 36,075 | |||||||||||
Puma SE |
Textiles, Apparel & Luxury Goods | 1,377 | 64,710 | |||||||||||
Rational AG |
Machinery | 68 | 33,341 | |||||||||||
Rheinmetall AG |
Industrial Conglomerates | 595 | 92,213 | |||||||||||
RWE AG |
Multi-Utilities | 8,704 | 322,231 | |||||||||||
SAP SE |
Software | 15,300 | 1,260,845 | |||||||||||
Sartorius AG |
Health Care Equipment & Supplies | 34 | 10,292 |
216 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Germany ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Germany (continued) | ||||||||||||||
b |
Scout24 AG, 144A, Reg S |
Interactive Media & Services | 1,071 | $ | 54,265 | |||||||||
Siemens AG |
Industrial Conglomerates | 10,421 | 1,033,144 | |||||||||||
a |
Siemens Energy AG |
Electrical Equipment | 5,916 | 65,983 | ||||||||||
b |
Siemens Healthineers AG, 144A |
Health Care Equipment & Supplies | 3,791 | 164,449 | ||||||||||
Sixt SE |
Road & Rail | 187 | 15,031 | |||||||||||
Symrise AG |
Chemicals | 1,802 | 177,327 | |||||||||||
a |
Talanx AG |
Insurance | 731 | 26,067 | ||||||||||
Telefonica Deutschland Holding AG |
Diversified Telecommunication Services | 12,461 | 25,306 | |||||||||||
a |
thyssenkrupp AG |
Metals & Mining | 6,817 | 29,291 | ||||||||||
Traton SE |
Machinery | 697 | 8,358 | |||||||||||
Uniper SE |
Independent Power Producers & Energy Traders | 1,207 | 4,619 | |||||||||||
United Internet AG |
Diversified Telecommunication Services | 1,513 | 28,547 | |||||||||||
Vantage Towers AG |
Diversified Telecommunication Services | 1,275 | 33,150 | |||||||||||
Varta AG |
Electrical Equipment | 187 | 5,377 | |||||||||||
Volkswagen AG |
Automobiles | 391 | 64,600 | |||||||||||
Vonovia SE |
Real Estate Management & Development | 11,016 | 239,686 | |||||||||||
Wacker Chemie AG |
Chemicals | 204 | 21,214 | |||||||||||
a,b |
Zalando SE, 144A |
Internet & Direct Marketing Retail | 3,026 | 59,970 | ||||||||||
|
|
|||||||||||||
12,313,448 | ||||||||||||||
|
|
|||||||||||||
Luxembourg 0.2% | ||||||||||||||
RTL Group SA |
Media | 527 | 16,799 | |||||||||||
a |
SUSE SA |
Software | 544 | 8,090 | ||||||||||
|
|
|||||||||||||
24,889 | ||||||||||||||
|
|
|||||||||||||
Netherlands 1.0% | ||||||||||||||
a |
QIAGEN NV |
Life Sciences Tools & Services | 3,026 | 127,411 | ||||||||||
|
|
|||||||||||||
Total
Common Stocks |
12,465,748 | |||||||||||||
|
|
|||||||||||||
Preferred Stocks 5.2% | ||||||||||||||
Germany 5.2% | ||||||||||||||
c |
Bayerische Motoren Werke AG, 8.700%, pfd. |
Automobiles | 816 | 53,479 | ||||||||||
c |
Fuchs Petrolub SE, 3.962%, pfd. |
Chemicals | 969 | 24,681 | ||||||||||
c |
Henkel AG & Co. KGaA, 3.032%, pfd. |
Household Products | 2,329 | 139,224 | ||||||||||
c |
Sartorius AG, 0.353%, pfd. |
Health Care Equipment & Supplies | 340 | 118,943 | ||||||||||
c |
Sixt SE, 9.740%, pfd. |
Road & Rail | 221 | 10,143 | ||||||||||
c |
Volkswagen AG, 5.981%, pfd. |
Automobiles | 2,788 | 345,232 | ||||||||||
|
|
|||||||||||||
Total
Preferred Stocks |
691,702 | |||||||||||||
|
|
|||||||||||||
Total
Investments |
13,157,450 | |||||||||||||
Other Assets, less Liabilities 0.1% |
9,397 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 13,166,847 | ||||||||||||
|
|
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $459,409, representing 3.5% of net assets.
cVariable rate security. The rate shown represents the yield at period end.
franklintempleton.com |
Semiannual Report |
217 |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Hong Kong ETF
Six Months Ended (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance | ||||||||||||||||||||||||
(for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$23.43 | $ | 28.10 | $ | 20.58 | $ | 26.82 | $ | 26.17 | $ | 25.30 | |||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment incomec | 0.58 | 0.74 | 0.72 | 0.77 | 0.66 | 0.16 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(4.83 | ) | (4.72 | ) | 7.61 | (6.25 | ) | 0.59 | 0.78 | |||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(4.25 | ) | (3.98 | ) | 8.33 | (5.48 | ) | 1.25 | 0.94 | |||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(0.42 | ) | (0.69 | ) | (0.81 | ) | (0.76 | ) | (0.60 | ) | (0.07 | ) | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$18.76 | $ | 23.43 | $ | 28.10 | $ | 20.58 | $ | 26.82 | $ | 26.17 | |||||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(18.38)% | (14.41)% | 41.14% | (20.90)% | 4.97% | 3.70% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Total expenses |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
5.27% | 2.79% | 2.99% | 3.10% | 2.67% | 1.49% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$11,254 | $17,573 | $16,862 | $15,433 | $20,118 | $7,852 | ||||||||||||||||||
Portfolio turnover ratef |
5.10% | g | 9.91% | g | 14.84% | g | 5.99% | g | 5.33% | 0.93% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 5.10% | 9.74% | 14.84% | 5.99% |
218 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||
Common Stocks 99.3% | ||||||||||||
Cambodia 0.2% | ||||||||||||
a |
NagaCorp Ltd. |
Hotels, Restaurants & Leisure | 40,372 | $ | 26,538 | |||||||
|
|
|||||||||||
China 10.1% | ||||||||||||
a |
AAC Technologies Holdings Inc., H |
Electronic Equipment, Instruments & Components | 20,000 | 31,287 | ||||||||
BOC Hong Kong (Holdings) Ltd. |
Banks | 103,000 | 343,119 | |||||||||
b |
Budweiser Brewing Co. APAC Ltd., H, 144A |
Beverages | 48,800 | 127,752 | ||||||||
a |
China Travel International Investment Hong Kong Ltd., A |
Hotels, Restaurants & Leisure | 80,000 | 14,064 | ||||||||
Chow Tai Fook Jewellery Co. Ltd., A |
Specialty Retail | 50,400 | 94,895 | |||||||||
a,b |
ESR Cayman Ltd., H, 144A |
Real Estate Management & Development | 58,400 | 147,304 | ||||||||
a |
HUTCHMED China Ltd. |
Pharmaceuticals | 14,000 | 23,577 | ||||||||
Kerry Logistics Network Ltd. |
Air Freight & Logistics | 8,000 | 12,861 | |||||||||
Lenovo Group Ltd. |
Technology Hardware, Storage & Peripherals | 216,000 | 150,239 | |||||||||
a |
MMG Ltd. |
Metals & Mining | 68,000 | 16,286 | ||||||||
Nexteer Automotive Group Ltd. |
Auto Components | 24,000 | 13,024 | |||||||||
a |
Shangri-La Asia Ltd. |
Hotels, Restaurants & Leisure | 32,000 | 22,217 | ||||||||
SITC International Holdings Co. Ltd. |
Marine | 33,000 | 61,040 | |||||||||
Want Want China Holdings Ltd. |
Food Products | 124,000 | 81,035 | |||||||||
|
|
|||||||||||
1,138,700 | ||||||||||||
|
|
|||||||||||
Hong Kong 77.5% | ||||||||||||
AIA Group Ltd., A |
Insurance | 260,200 | 2,169,466 | |||||||||
ASM Pacific Technology Ltd., A |
Semiconductors & Semiconductor Equipment | 8,800 | 53,585 | |||||||||
Cafe de Coral Holdings Ltd., A |
Hotels, Restaurants & Leisure | 8,000 | 9,957 | |||||||||
a |
Cathay Pacific Airways Ltd., A |
Airlines | 28,000 | 29,534 | ||||||||
Champion REIT, A |
Equity Real Estate Investment Trusts (REITs) | 56,000 | 19,761 | |||||||||
CK Asset Holdings Ltd. |
Real Estate Management & Development | 57,000 | 342,731 | |||||||||
CK Infrastructure Holdings Ltd., A |
Electric Utilities | 17,000 | 86,734 | |||||||||
CLP Holdings Ltd. |
Electric Utilities | 47,000 | 355,349 | |||||||||
Dah Sing Banking Group Ltd., A |
Banks | 9,600 | 6,359 | |||||||||
Dah Sing Financial Group, H |
Banks | 4,000 | 9,111 | |||||||||
Dairy Farm International Holdings Ltd., A |
Food & Staples Retailing | 8,800 | 20,328 | |||||||||
Guotai Junan International Holdings Ltd. |
Capital Markets | 76,000 | 5,615 | |||||||||
a |
Haitong International Securities Group Ltd. |
Capital Markets | 84,000 | 7,170 | ||||||||
Hang Lung Group Ltd. |
Real Estate Management & Development | 24,000 | 38,767 | |||||||||
Hang Lung Properties Ltd. |
Real Estate Management & Development | 52,000 | 85,321 | |||||||||
Hang Seng Bank Ltd. |
Banks | 20,800 | 315,846 | |||||||||
Henderson Land Development Co. Ltd. |
Real Estate Management & Development | 37,000 | 103,696 | |||||||||
Hong Kong and China Gas Co. Ltd. |
Gas Utilities | 312,000 | 275,040 | |||||||||
Hong Kong Exchanges and Clearing Ltd. |
Capital Markets | 36,500 | 1,253,570 | |||||||||
Hongkong Land Holdings Ltd. |
Real Estate Management & Development | 32,000 | 141,440 | |||||||||
Huabao International Holdings Ltd. |
Chemicals | 28,000 | 12,984 | |||||||||
Hutchison Telecommunications Hong Kong Holdings Ltd. |
Diversified Telecommunication Services | 32,000 | 4,688 | |||||||||
Hysan Development Co. Ltd. |
Real Estate Management & Development | 17,000 | 42,836 | |||||||||
Jardine Matheson Holdings Ltd. |
Industrial Conglomerates | 5,700 | 288,648 | |||||||||
Johnson Electric Holdings Ltd. |
Electrical Equipment | 10,000 | 10,038 | |||||||||
b |
JS Global Lifestyle Co. Ltd., 144A |
Household Durables | 36,000 | 34,808 | ||||||||
Kerry Properties Ltd. |
Real Estate Management & Development | 18,000 | 34,166 | |||||||||
Link REIT |
Equity Real Estate Investment Trusts (REITs) | 60,800 | 425,218 | |||||||||
Man Wah Holdings Ltd. |
Household Durables | 44,800 | 28,535 | |||||||||
a |
Melco International Development Ltd. |
Hotels, Restaurants & Leisure | 24,000 | 18,650 | ||||||||
MTR Corp. Ltd. |
Road & Rail | 41,500 | 190,585 | |||||||||
New World Development Co. Ltd. |
Real Estate Management & Development | 40,000 | 113,632 | |||||||||
NWS Holdings Ltd. |
Industrial Conglomerates | 40,000 | 36,179 | |||||||||
Orient Overseas International Ltd. |
Marine | 3,800 | 66,561 | |||||||||
PCCW Ltd. |
Diversified Telecommunication Services | 120,000 | 54,268 | |||||||||
Power Assets Holdings Ltd. |
Electric Utilities | 39,500 | 198,257 | |||||||||
Sino Land Co. Ltd. |
Real Estate Management & Development | 104,000 | 137,520 |
franklintempleton.com |
Semiannual Report |
219 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Hong Kong ETF (continued)
Industry | Shares | Value | ||||||||||
Common Stocks (continued) | ||||||||||||
Hong Kong (continued) | ||||||||||||
Sun Hung Kai Properties Ltd. |
Real Estate Management & Development | 41,000 | $ | 453,617 | ||||||||
Swire Pacific Ltd., A |
Real Estate Management & Development | 14,500 | 108,521 | |||||||||
Swire Pacific Ltd., B |
Real Estate Management & Development | 27,500 | 32,125 | |||||||||
Swire Properties Ltd. |
Real Estate Management & Development | 30,400 | 65,448 | |||||||||
Techtronic Industries Co. Ltd. |
Household Durables | 37,500 | 362,345 | |||||||||
The Bank of East Asia Ltd., A |
Banks | 27,200 | 29,799 | |||||||||
The Wharf Holdings Ltd. |
Real Estate Management & Development | 35,000 | 112,135 | |||||||||
United Energy Group Ltd. |
Oil, Gas & Consumable Fuels | 216,000 | 24,765 | |||||||||
a |
Vitasoy International Holdings Ltd. |
Food Products | 22,600 | 28,128 | ||||||||
VTech Holdings Ltd. |
Communications Equipment | 4,800 | 27,547 | |||||||||
b |
WH Group Ltd., 144A, Reg S |
Food Products | 225,748 | 142,353 | ||||||||
Wharf Real Estate Investment Co. Ltd. |
Real Estate Management & Development | 44,060 | 200,377 | |||||||||
Xinyi Glass Holdings Ltd. |
Auto Components | 58,400 | 84,960 | |||||||||
Yue Yuen Industrial Holdings Ltd. |
Textiles, Apparel & Luxury Goods | 20,000 | 25,580 | |||||||||
|
|
|||||||||||
8,724,653 | ||||||||||||
|
|
|||||||||||
Indonesia 0.2% | ||||||||||||
First Pacific Co. Ltd. |
Diversified Financial Services | 64,000 | 19,486 | |||||||||
|
|
|||||||||||
Italy 0.6% | ||||||||||||
Prada SpA |
Textiles, Apparel & Luxury Goods | 14,800 | 68,628 | |||||||||
|
|
|||||||||||
Luxembourg 0.3% | ||||||||||||
L’Occitane International SA |
Specialty Retail | 13,000 | 39,497 | |||||||||
|
|
|||||||||||
Macau 5.4% | ||||||||||||
Galaxy Entertainment Group Ltd. |
Hotels, Restaurants & Leisure | 62,000 | 366,476 | |||||||||
a |
MGM China Holdings Ltd. |
Hotels, Restaurants & Leisure | 20,800 | 11,500 | ||||||||
a |
Sands China Ltd. |
Hotels, Restaurants & Leisure | 68,800 | 172,660 | ||||||||
a |
SJM Holdings Ltd. |
Hotels, Restaurants & Leisure | 68,000 | 25,468 | ||||||||
a |
Wynn Macau Ltd. |
Hotels, Restaurants & Leisure | 43,200 | 27,736 | ||||||||
|
|
|||||||||||
603,840 | ||||||||||||
|
|
|||||||||||
Singapore 0.4% | ||||||||||||
b |
BOC Aviation Ltd., A, 144A |
Trading Companies & Distributors | 6,000 | 42,612 | ||||||||
|
|
|||||||||||
Taiwan 0.0%† | ||||||||||||
a,b |
FIT Hon Teng Ltd., 144A |
Electronic Equipment, Instruments & Components | 28,000 | 3,317 | ||||||||
|
|
|||||||||||
United Kingdom 3.8% | ||||||||||||
CK Hutchison Holdings Ltd., A |
Real Estate Management & Development | 76,500 | 422,948 | |||||||||
|
|
|||||||||||
United States 0.8% | ||||||||||||
a,b |
Samsonite International SA, 144A |
Textiles, Apparel & Luxury Goods | 37,200 | 90,134 | ||||||||
|
|
|||||||||||
Total
Investments |
11,180,353 | |||||||||||
Other Assets, less Liabilities 0.7% |
73,894 | |||||||||||
|
|
|||||||||||
Net Assets 100.0% |
$ | 11,254,247 | ||||||||||
|
|
†Rounds to less than 0.1% of net assets.
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $588,280, representing 5.2% of net assets.
220 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Hong Kong ETF (continued)
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized Appreciation (Depreciation) |
|||||||||||||||
Equity Contracts | ||||||||||||||||||||
MINI HSI IDX |
Long | 3 | $ | 65,772 | 10/28/22 | $(2,203) |
*As of period end.
See Note 8 regarding other derivative information.
See Abbreviations on page 332.
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
221 |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE India ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$ | 31.34 | $ | 27.70 | $ | 15.98 | $ | 23.36 | $ | 22.74 | $ | 23.72 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: |
||||||||||||||||||||||||
Net investment incomec |
0.19 | 0.27 | 0.20 | 0.26 | 0.29 | 0.09 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(2.71 | ) | 4.09 | 11.70 | (7.43 | ) | 0.53 | (1.07 | ) | |||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
|
(2.52 |
) |
4.36 | 11.90 | (7.17 | ) | 0.82 | (0.98 | ) | ||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
— | (0.72 | ) | (0.18 | ) | (0.21 | ) | (0.20 | ) | — | ||||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ |
28.82 |
|
$ | 31.34 | $ | 27.70 | $ | 15.98 | $ | 23.36 | $ | 22.74 | |||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(8.04)% | 15.75% | 74.87% | (30.98)% | 3.66% | (4.13)% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Total expenses |
0.19% | 0.19% | 0.19% | 0.19% | 0.19% | 0.19% | ||||||||||||||||||
Net investment income |
1.28% | 0.86% | 0.89% | 1.20% | 1.33% | 2.78% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$53,325 | $50,140 | $23,544 | $8,790 | $7,007 | $2,274 | ||||||||||||||||||
Portfolio turnover ratef |
2.41% | g | 10.73% | g | 23.48% | g | 36.55% | g | 8.03% | 1.59% |
aFor the period February 6, 2018 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 2.41% | 8.16% | 16.91% | 6.83% |
222 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 101.3% | ||||||||||||||
India 101.3% | ||||||||||||||
a |
3M India Ltd. |
Industrial Conglomerates | 148 | $ | 44,766 | |||||||||
Aarti Industries Ltd. |
Chemicals | 9,842 | 90,137 | |||||||||||
ABB India Ltd. |
Electrical Equipment | 2,849 | 108,159 | |||||||||||
ACC Ltd. |
Construction Materials | 4,514 | 134,039 | |||||||||||
Adani Enterprises Ltd. |
Trading Companies & Distributors | 14,541 | 617,693 | |||||||||||
a |
Adani Green Energy Ltd. |
Independent Power Producers & Energy Traders | 21,201 | 589,189 | ||||||||||
Adani Ports & Special Economic Zone Ltd. |
Transportation Infrastructure | 42,291 | 426,620 | |||||||||||
a |
Adani Power Ltd. |
Independent Power Producers & Energy Traders | 51,171 | 234,936 | ||||||||||
Adani Total Gas Ltd. |
Gas Utilities | 14,800 | 607,609 | |||||||||||
a |
Adani Transmission Ltd. |
Electric Utilities | 13,542 | 547,631 | ||||||||||
a |
Adani Wilmar Ltd. |
Food Products | 8,436 | 78,344 | ||||||||||
a |
Aditya Birla Capital Ltd. |
Diversified Financial Services | 23,199 | 31,882 | ||||||||||
Alkem Laboratories Ltd. |
Pharmaceuticals | 1,332 | 53,659 | |||||||||||
Ambuja Cements Ltd. |
Construction Materials | 36,667 | 232,394 | |||||||||||
Apollo Hospitals Enterprise Ltd. |
Health Care Providers & Services | 5,291 | 285,092 | |||||||||||
Ashok Leyland Ltd. |
Machinery | 76,146 | 142,883 | |||||||||||
Asian Paints Ltd. |
Chemicals | 24,087 | 989,654 | |||||||||||
Astral Ltd. |
Building Products | 4,736 | 129,966 | |||||||||||
b |
AU Small Finance Bank Ltd., 144A |
Banks | 17,390 | 132,363 | ||||||||||
Aurobindo Pharma Ltd. |
Pharmaceuticals | 13,875 | 87,086 | |||||||||||
a,b |
Avenue Supermarts Ltd., 144A |
Food & Staples Retailing | 7,955 | 428,942 | ||||||||||
Axis Bank Ltd. |
Banks | 121,397 | 1,094,123 | |||||||||||
Bajaj Auto Ltd. |
Automobiles | 3,700 | 160,448 | |||||||||||
Bajaj Finance Ltd. |
Consumer Finance | 12,580 | 1,134,386 | |||||||||||
Bajaj Finserv Ltd. |
Diversified Financial Services | 20,387 | 420,602 | |||||||||||
Bajaj Holdings & Investment Ltd. |
Diversified Financial Services | 1,443 | 113,358 | |||||||||||
Balkrishna Industries Ltd. |
Auto Components | 4,292 | 99,379 | |||||||||||
a,b |
Bandhan Bank Ltd, 144A |
Banks | 42,365 | 138,836 | ||||||||||
Bank of Baroda |
Banks | 54,168 | 88,159 | |||||||||||
Bank of India |
Banks | 26,344 | 15,609 | |||||||||||
Bata India Ltd. |
Textiles, Apparel & Luxury Goods | 3,256 | 72,904 | |||||||||||
Bayer CropScience Ltd. |
Chemicals | 703 | 42,197 | |||||||||||
Berger Paints India Ltd. |
Chemicals | 12,839 | 97,376 | |||||||||||
Bharat Electronics Ltd. |
Aerospace & Defense | 176,490 | 219,009 | |||||||||||
Bharat Forge Ltd. |
Auto Components | 13,320 | 113,877 | |||||||||||
a |
Bharat Heavy Electricals Ltd. |
Electrical Equipment | 65,934 | 48,548 | ||||||||||
Bharat Petroleum Corp. Ltd. |
Oil, Gas & Consumable Fuels | 52,947 | 198,377 | |||||||||||
Bharti Airtel Ltd. |
Wireless Telecommunication Services | 7,585 | 37,486 | |||||||||||
Bharti Airtel Ltd. |
Wireless Telecommunication Services | 123,432 | 1,213,666 | |||||||||||
Bharti Infratel Ltd. |
Diversified Telecommunication Services | 47,101 | 114,320 | |||||||||||
Biocon Ltd. |
Biotechnology | 24,605 | 87,999 | |||||||||||
Bosch Ltd. |
Auto Components | 444 | 86,315 | |||||||||||
Britannia Industries Ltd. |
Food Products | 6,364 | 300,637 | |||||||||||
Canara Bank Ltd. |
Banks | 19,573 | 55,037 | |||||||||||
Castrol India Ltd. |
Chemicals | 26,159 | 36,239 | |||||||||||
a |
CG Power & Industrial Solutions Ltd. |
Electrical Equipment | 37,333 | 108,165 | ||||||||||
Cholamandalam Investment and Finance Co. Ltd. |
Consumer Finance | 21,275 | 191,485 | |||||||||||
Cipla Ltd. |
Pharmaceuticals | 27,343 | 374,746 | |||||||||||
Coal India Ltd. |
Oil, Gas & Consumable Fuels | 100,640 | 262,575 | |||||||||||
Coforge Ltd. |
IT Services | 1,924 | 79,512 | |||||||||||
Colgate-Palmolive India Ltd. |
Personal Products | 7,067 | 141,546 | |||||||||||
Container Corp. Of India Ltd. |
Road & Rail | 14,578 | 127,526 | |||||||||||
Coromandel International Ltd. |
Chemicals | 5,772 | 70,540 | |||||||||||
Cummins India Ltd. |
Machinery | 7,104 | 104,428 | |||||||||||
Dabur India Ltd. |
Personal Products | 31,043 | 218,633 | |||||||||||
Dalmia Bharat Ltd. |
Construction Materials | 4,440 | 87,216 | |||||||||||
Deepak Nitrite Ltd. |
Chemicals | 3,885 | 97,231 | |||||||||||
Divi’s Laboratories Ltd. |
Life Sciences Tools & Services | 6,808 | 310,075 |
franklintempleton.com |
Semiannual Report |
223 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE India ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
India (continued) | ||||||||||||||
Dixon Technologies India Ltd. |
Household Durables | 1,887 | $ | 101,402 | ||||||||||
DLF Ltd. |
Real Estate Management & Development | 33,115 | 145,199 | |||||||||||
b |
Dr Lal PathLabs Ltd., 144A |
Health Care Providers & Services | 1,887 | 58,424 | ||||||||||
Dr Reddy’s Laboratories Ltd. |
Pharmaceuticals | 6,438 | 343,120 | |||||||||||
Eicher Motors Ltd. |
Automobiles | 7,400 | 333,982 | |||||||||||
Emami Ltd. |
Personal Products | 11,285 | 69,956 | |||||||||||
Embassy Office Parks REIT |
Equity Real Estate Investment Trusts (REITs | ) | 32,523 | 138,262 | ||||||||||
Exide Industries Ltd. |
Auto Components | 24,346 | 46,970 | |||||||||||
Federal Bank Ltd. |
Banks | 83,102 | 121,306 | |||||||||||
a |
FSN E-Commerce Ventures Ltd. |
Internet & Catalog Retail | 3,219 | 50,336 | ||||||||||
GAIL India Ltd. |
Gas Utilities | 140,655 | 150,508 | |||||||||||
b |
General Insurance Corp. of India, 144A |
Insurance | 5,624 | 8,500 | ||||||||||
Gillette India Ltd. |
Personal Products | 370 | 23,532 | |||||||||||
GlaxoSmithKline Pharmaceuticals Ltd. |
Pharmaceuticals | 2,257 | 39,518 | |||||||||||
Glenmark Pharmaceuticals Ltd. |
Pharmaceuticals | 7,992 | 38,181 | |||||||||||
a |
GMR Infrastructure Ltd. |
Construction & Engineering | 132,275 | 57,803 | ||||||||||
a |
Godrej Consumer Products Ltd. |
Personal Products | 19,351 | 216,569 | ||||||||||
a |
Godrej Industries Ltd. |
Chemicals | 4,736 | 25,557 | ||||||||||
a |
Godrej Properties Ltd. |
Real Estate Management & Development | 4,773 | 70,048 | ||||||||||
Grasim Industries Ltd. |
Construction Materials | 20,498 | 422,010 | |||||||||||
Gujarat Fluorochemicals Ltd. |
Chemicals | 1,850 | 89,720 | |||||||||||
Gujarat Gas Ltd. |
Gas Utilities | 10,397 | 64,317 | |||||||||||
Havells India Ltd. |
Electrical Equipment | 12,765 | 211,604 | |||||||||||
HCL Technologies Ltd. |
IT Services | 57,942 | 664,061 | |||||||||||
b |
HDFC Asset Management Co. Ltd., 144A |
Capital Markets | 3,663 | 85,083 | ||||||||||
b |
HDFC Life Insurance Co. Ltd., 144A |
Insurance | 51,726 | 337,279 | ||||||||||
Hero MotoCorp Ltd. |
Automobiles | 6,956 | 217,971 | |||||||||||
Hindalco Industries Ltd. |
Metals & Mining | 75,295 | 361,475 | |||||||||||
Hindustan Aeronautics Ltd. |
Aerospace & Defense | 4,440 | 127,978 | |||||||||||
Hindustan Petroleum Corp. Ltd. |
Oil, Gas & Consumable Fuels | 37,481 | 99,656 | |||||||||||
Hindustan Unilever Ltd. |
Household Products | 47,323 | 1,568,557 | |||||||||||
Hindustan Zinc Ltd. |
Metals & Mining | 12,358 | 40,590 | |||||||||||
Honeywell Automation India Ltd. |
Electronic Equipment, Instruments & Components | 119 | 58,518 | |||||||||||
Housing Development Finance Corp. Ltd. |
Thrifts & Mortgage Finance | 93,573 | 2,631,449 | |||||||||||
ICICI Bank Ltd. |
Banks | 83,546 | 885,256 | |||||||||||
b,c |
ICICI Lombard General Insurance Co. Ltd., 144A, Reg S |
Insurance | 12,728 | 180,106 | ||||||||||
b,c |
ICICI Prudential Life Insurance Co. Ltd., 144A, Reg S |
Insurance | 20,572 | 133,002 | ||||||||||
a |
IDFC First Bank Ltd. |
Banks | 164,354 | 100,712 | ||||||||||
Indian Hotels Co. Ltd. |
Hotels, Restaurants & Leisure | 44,215 | 180,281 | |||||||||||
Indian Oil Corp. Ltd. |
Oil, Gas & Consumable Fuels | 216,820 | 178,437 | |||||||||||
Indian Railway Catering and Tourism Corp. Ltd. |
Commercial Services & Supplies | 14,060 | 122,019 | |||||||||||
b |
Indian Railway Finance Corp. Ltd., 144A |
Diversified Financial Services | 92,685 | 24,211 | ||||||||||
Indraprastha Gas Ltd. |
Gas Utilities | 18,352 | 89,514 | |||||||||||
Info Edge India Ltd. |
Interactive Media & Services | 4,070 | 193,146 | |||||||||||
Infosys Ltd. |
IT Services | 189,588 | 3,294,026 | |||||||||||
a,b,c |
InterGlobe Aviation Ltd., 144A, Reg S |
Airlines | 5,698 | 129,949 | ||||||||||
Ipca Laboratories Ltd. |
Pharmaceuticals | 7,400 | 83,232 | |||||||||||
ITC Ltd. |
Tobacco | 157,842 | 644,552 | |||||||||||
Jindal Steel & Power Ltd. |
Metals & Mining | 20,868 | 109,943 | |||||||||||
JSW Energy Ltd. |
Independent Power Producers & Energy Traders | 20,646 | 76,225 | |||||||||||
JSW Steel Ltd. |
Metals & Mining | 53,502 | 415,415 | |||||||||||
Jubilant Foodworks Ltd. |
Hotels, Restaurants & Leisure | 19,388 | 148,405 | |||||||||||
Kansai Nerolac Paints Ltd. |
Chemicals | 6,882 | 41,422 | |||||||||||
L&T Finance Holdings Ltd. |
Diversified Financial Services | 45,769 | 42,027 | |||||||||||
b |
L&T Technology Services Ltd., 144A |
Professional Services | 1,406 | 62,074 | ||||||||||
b,c |
Larsen & Toubro Infotech Ltd.,, 144A, Reg S |
IT Services | 2,368 | 129,761 |
224 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE India ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
India (continued) | ||||||||||||||
Larsen & Toubro Ltd. |
Construction & Engineering | 36,778 | $ | 835,325 | ||||||||||
b |
Laurus Labs Ltd., 144A |
Pharmaceuticals | 19,166 | 120,861 | ||||||||||
LIC Housing Finance Ltd. |
Thrifts & Mortgage Finance | 17,723 | 90,160 | |||||||||||
Linde India Ltd. |
Chemicals | 1,147 | 46,694 | |||||||||||
Lupin Ltd. |
Pharmaceuticals | 12,913 | 107,914 | |||||||||||
a |
Macrotech Developers Ltd. |
Real Estate Management & Development | 4,144 | 47,078 | ||||||||||
Mahindra & Mahindra Financial Services Ltd. |
Consumer Finance | 31,339 | 71,364 | |||||||||||
Mahindra & Mahindra Ltd. |
Automobiles | 49,136 | 765,990 | |||||||||||
a |
Mangalore Refinery & Petrochemicals Ltd. |
Oil, Gas & Consumable Fuels | 11,544 | 8,422 | ||||||||||
Marico Ltd. |
Personal Products | 27,528 | 182,000 | |||||||||||
Maruti Suzuki India Ltd. |
Automobiles | 7,067 | 766,903 | |||||||||||
a |
Max Financial Services Ltd. |
Insurance | 12,987 | 121,742 | ||||||||||
a |
Max Healthcare Institute Ltd. |
Health Care Providers & Services | 39,146 | 196,280 | ||||||||||
Minda Industries Ltd. |
Auto Components | 8,917 | 61,284 | |||||||||||
Mindtree Ltd. |
IT Services | 2,331 | 90,521 | |||||||||||
Mphasis Ltd. |
IT Services | 4,810 | 123,435 | |||||||||||
MRF Ltd. |
Auto Components | 148 | 148,552 | |||||||||||
Muthoot Finance Ltd. |
Consumer Finance | 5,735 | 73,320 | |||||||||||
Nestle India Ltd. |
Food Products | 1,924 | 452,785 | |||||||||||
NHPC Ltd. |
Independent Power Producers & Energy Traders | 119,473 | 52,429 | |||||||||||
b |
Nippon Life India Asset Management Ltd., 144A |
Capital Markets | 8,473 | 27,981 | ||||||||||
NMDC Ltd. |
Metals & Mining | 61,383 | 96,393 | |||||||||||
NTPC Ltd. |
Independent Power Producers & Energy Traders | 236,948 | 465,005 | |||||||||||
Oberoi Realty Ltd. |
Real Estate Management & Development | 6,179 | 69,711 | |||||||||||
Oil & Natural Gas Corp. Ltd. |
Oil, Gas & Consumable Fuels | 196,581 | 306,406 | |||||||||||
Oil India Ltd. |
Oil, Gas & Consumable Fuels | 17,649 | 37,847 | |||||||||||
a |
One 97 Communications Ltd. |
IT Services | 4,921 | 38,590 | ||||||||||
Oracle Financial Services Software Ltd. |
Software | 1,221 | 44,764 | |||||||||||
Page Industries Ltd. |
Textiles, Apparel & Luxury Goods | 306 | 190,579 | |||||||||||
a |
PB Fintech Ltd. |
Insurance | 8,510 | 49,433 | ||||||||||
Persistent Systems Ltd. |
IT Services | 2,553 | 101,717 | |||||||||||
Petronet LNG Ltd. |
Oil, Gas & Consumable Fuels | 40,552 | 99,646 | |||||||||||
PI Industries Ltd. |
Chemicals | 3,848 | 141,825 | |||||||||||
Pidilite Industries Ltd. |
Chemicals | 8,103 | 267,968 | |||||||||||
Piramal Enterprises Ltd. |
Pharmaceuticals | 6,707 | 71,253 | |||||||||||
a |
Piramal Pharma Ltd. |
Pharmaceuticals | 27,528 | 74,149 | ||||||||||
Polycab India Ltd. |
Electrical Equipment | 1,369 | 43,093 | |||||||||||
Power Finance Corp. Ltd. |
Diversified Financial Services | 62,900 | 80,876 | |||||||||||
Power Grid Corp. of India Ltd. |
Electric Utilities | 167,980 | 438,166 | |||||||||||
Punjab National Bank |
Banks | 58,386 | 26,232 | |||||||||||
Rajesh Exports Ltd. |
Textiles, Apparel & Luxury Goods | 7,326 | 52,123 | |||||||||||
a,b,c |
RBL Bank Ltd., 144A, Reg S |
Banks | 24,309 | 33,990 | ||||||||||
REC Ltd. |
Diversified Financial Services | 67,093 | 77,525 | |||||||||||
Relaxo Footwears Ltd. |
Textiles, Apparel & Luxury Goods | 3,922 | 48,541 | |||||||||||
Reliance Industries Ltd. |
Oil, Gas & Consumable Fuels | 179,413 | 5,243,918 | |||||||||||
Samvardhana Motherson International Ltd. |
Auto Components | 76,960 | 103,116 | |||||||||||
SBI Cards & Payment Services Ltd. |
Consumer Finance | 15,392 | 172,838 | |||||||||||
b |
SBI Life Insurance Co. Ltd., 144A |
Insurance | 22,422 | 344,649 | ||||||||||
Schaeffler India Ltd. |
Machinery | 2,146 | 84,740 | |||||||||||
Shree Cement Ltd. |
Construction Materials | 740 | 191,325 | |||||||||||
Shriram Transport Finance Co. Ltd. |
Consumer Finance | 10,545 | 155,230 | |||||||||||
Siemens Ltd. |
Industrial Conglomerates | 4,736 | 161,307 | |||||||||||
b |
Sona Blw Precision Forgings Ltd., 144A |
Auto Components | 13,986 | 79,728 | ||||||||||
SRF Ltd. |
Chemicals | 7,511 | 231,139 | |||||||||||
a |
Star Health & Allied Insurance Co. Ltd. |
Insurance | 4,403 | 38,225 | ||||||||||
State Bank of India |
Banks | 95,386 | 622,139 | |||||||||||
Steel Authority of India Ltd. |
Metals & Mining | 78,033 | 73,619 | |||||||||||
Sun Pharmaceutical Industries Ltd. |
Pharmaceuticals | 58,016 | 676,534 |
franklintempleton.com |
Semiannual Report |
225 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE India ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
India (continued) | ||||||||||||||
Sun TV Network Ltd. |
Media | 5,143 | $ | 32,169 | ||||||||||
Tata Communications Ltd. |
Diversified Telecommunication Services | 6,179 | 87,409 | |||||||||||
Tata Consultancy Services Ltd. |
IT Services | 54,501 | 2,012,888 | |||||||||||
Tata Consumer Products Ltd. |
Food Products | 32,227 | 318,046 | |||||||||||
Tata Elxsi Ltd. |
Software | 1,813 | 190,690 | |||||||||||
a |
Tata Motors Ltd. |
Automobiles | 20,387 | 49,031 | ||||||||||
a |
Tata Motors Ltd., A |
Automobiles | 98,050 | 487,651 | ||||||||||
Tata Power Co. Ltd. |
Electric Utilities | 88,430 | 235,339 | |||||||||||
Tata Steel Ltd. |
Metals & Mining | 435,268 | 531,302 | |||||||||||
a |
Tata Teleservices Maharashtra Ltd. |
Diversified Telecommunication Services | 27,380 | 34,801 | ||||||||||
Tech Mahindra Ltd. |
IT Services | 32,301 | 400,471 | |||||||||||
Titan Co. Ltd. |
Textiles, Apparel & Luxury Goods | 22,200 | 711,412 | |||||||||||
Torrent Pharmaceuticals Ltd. |
Pharmaceuticals | 5,106 | 97,904 | |||||||||||
Torrent Power Ltd. |
Electric Utilities | 11,729 | 70,200 | |||||||||||
Trent Ltd. |
Multiline Retail | 9,731 | 169,856 | |||||||||||
Tube Investments of India Ltd. |
Auto Components | 5,217 | 175,993 | |||||||||||
TVS Motor Co. Ltd. |
Automobiles | 10,730 | 136,151 | |||||||||||
UltraTech Cement Ltd. |
Construction Materials | 6,105 | 469,414 | |||||||||||
Union Bank of India Ltd. |
Banks | 60,458 | 33,183 | |||||||||||
United Breweries Ltd. |
Beverages | 3,737 | 78,409 | |||||||||||
a |
United Spirits Ltd. |
Beverages | 15,392 | 159,367 | ||||||||||
UPL Ltd. |
Chemicals | 28,194 | 232,913 | |||||||||||
Varun Beverages Ltd. |
Beverages | 10,748 | 137,958 | |||||||||||
Vedanta Ltd. |
Metals & Mining | 66,082 | 219,363 | |||||||||||
a |
Vodafone Idea Ltd. |
Wireless Telecommunication Services | 432,604 | 46,796 | ||||||||||
Voltas Ltd. |
Construction & Engineering | 12,210 | 136,049 | |||||||||||
Whirlpool of India Ltd. |
Household Durables | 1,665 | 33,453 | |||||||||||
Wipro Ltd. |
IT Services | 67,303 | 326,168 | |||||||||||
a |
Yes Bank Ltd. |
Banks | 661,100 | 127,180 | ||||||||||
Zee Entertainment Enterprises Ltd. |
Media | 44,326 | 140,659 | |||||||||||
a |
Zomato Ltd. |
Internet & Catalog Retail | 243,497 | 186,623 | ||||||||||
Zydus Lifesciences Ltd. |
Pharmaceuticals | 13,690 | 65,109 | |||||||||||
|
|
|||||||||||||
Total
Investments |
53,998,101 | |||||||||||||
Other Assets, less Liabilities (1.3)% |
(673,174 | ) | ||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 53,324,927 | ||||||||||||
|
|
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $2,455,739, representing 4.6% of net assets.
cSecurity was purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration. At September 30, 2022, the value of was $606,808, representing 1.1% of net assets.
See Abbreviations on page 332.
226 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Italy ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$ | 24.65 | $ | 26.50 | $ | 17.61 | $ | 23.13 | $ | 26.27 | $ | 25.51 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment incomec |
0.63 | 0.85 | 0.67 | 0.90 | 0.46 | 0.11 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(6.84 | ) | (1.59 | ) | 8.80 | (5.52 | ) | (2.99 | ) | 0.70 | ||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(6.21 | ) | (0.74 | ) | 9.47 | (4.62 | ) | (2.53 | ) | 0.81 | ||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(0.57 | ) | (1.11 | ) | (0.58 | ) | (0.90 | ) | (0.61 | ) | (0.05 | ) | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 17.87 | $ | 24.65 | $ | 26.50 | $ | 17.61 | $ | 23.13 | $ | 26.27 | ||||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(25.44)% | (3.15)% | 54.64% | (20.84)% | (9.67)% | 3.19% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Total expenses |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
5.99% | 3.15% | 3.04% | 3.85% | 2.05% | 1.01% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$2,681 | $3,698 | $3,974 | $2,641 | $10,410 | $2,627 | ||||||||||||||||||
Portfolio turnover ratef |
5.49% | g | 12.75% | g | 17.45%g | 9.89% | g | 16.67% | 3.09% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 5.49% | 12.75% | 17.45% | 9.89% |
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
227 |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 99.9% | ||||||||||||||
Italy 88.8% | ||||||||||||||
A2A SpA |
Multi-Utilities | 16,890 | $ | 16,543 | ||||||||||
Amplifon SpA |
Health Care Providers & Services | 1,428 | 37,632 | |||||||||||
Assicurazioni Generali SpA |
Insurance | 11,868 | 163,003 | |||||||||||
Atlantia SpA |
Transportation Infrastructure | 4,503 | 99,741 | |||||||||||
Banca Mediolanum SpA |
Diversified Financial Services | 2,664 | 16,885 | |||||||||||
Buzzi Unicem SpA |
Construction Materials | 954 | 13,631 | |||||||||||
Davide Campari-Milano NV |
Beverages | 5,526 | 49,328 | |||||||||||
De’ Longhi SpA |
Household Durables | 765 | 11,294 | |||||||||||
DiaSorin SpA |
Health Care Equipment & Supplies | 248 | 27,891 | |||||||||||
Enel SpA |
Electric Utilities | 63,438 | 262,509 | |||||||||||
Eni SpA |
Oil, Gas & Consumable Fuels | 20,319 | 217,169 | |||||||||||
Ferrari NV |
Automobiles | 1,022 | 191,930 | |||||||||||
FinecoBank Banca Fineco SpA |
Banks | 6,780 | 84,586 | |||||||||||
Hera SpA |
Multi-Utilities | 8,706 | 18,644 | |||||||||||
a,b |
Infrastrutture Wireless Italiane SpA, 144A, Reg S |
Diversified Telecommunication Services | 3,912 | 34,377 | ||||||||||
Interpump Group SpA |
Machinery | 885 | 28,975 | |||||||||||
Intesa Sanpaolo SpA |
Banks | 137,676 | 229,664 | |||||||||||
Italgas Reti SpA |
Gas Utilities | 5,460 | 25,546 | |||||||||||
Leonardo SpA |
Aerospace & Defense | 4,431 | 31,567 | |||||||||||
Mediobanca Banca di Credito Finanziario SpA |
Banks | 7,203 | 56,875 | |||||||||||
Moncler SpA |
Textiles, Apparel & Luxury Goods | 2,043 | 84,840 | |||||||||||
a,c |
Nexi SpA, 144A |
IT Services | 8,415 | 68,769 | ||||||||||
a |
Pirelli & C SpA, 144A |
Auto Components | 5,421 | 17,844 | ||||||||||
a,b |
Poste Italiane SpA, 144A, Reg S |
Insurance | 5,067 | 38,669 | ||||||||||
Prysmian SpA |
Electrical Equipment | 2,763 | 80,175 | |||||||||||
Recordati Industria Chimica e Farmaceutica SpA |
Pharmaceuticals | 1,077 | 39,766 | |||||||||||
Reply SpA |
IT Services | 251 | 26,458 | |||||||||||
Snam SpA |
Gas Utilities | 20,376 | 82,760 | |||||||||||
c |
Telecom Italia SpA |
Diversified Telecommunication Services | 118,872 | 22,161 | ||||||||||
c |
Telecom Italia SpA/Milano |
Diversified Telecommunication Services | 67,173 | 12,174 | ||||||||||
Tenaris SA |
Energy Equipment & Services | 5,190 | 67,444 | |||||||||||
Terna - Rete Elettrica Nazionale |
Electric Utilities | 13,365 | 81,831 | |||||||||||
UniCredit SpA |
Banks | 12,660 | 129,704 | |||||||||||
UnipolSai Assicurazioni SpA |
Insurance | 4,719 | 9,847 | |||||||||||
|
|
|||||||||||||
2,380,232 | ||||||||||||||
|
|
|||||||||||||
United Kingdom 3.5% | ||||||||||||||
CNH Industrial NV |
Machinery | 8,307 | 94,644 | |||||||||||
|
|
|||||||||||||
United States 7.6% | ||||||||||||||
Stellantis NV |
Automobiles | 16,971 | 204,030 | |||||||||||
|
|
|||||||||||||
Total Investments (Cost $ 3,322,879) 99.9% |
2,678,906 | |||||||||||||
Other Assets, less Liabilities 0.1% |
2,131 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 2,681,037 | ||||||||||||
|
|
aSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $159,659, representing 6.0% of net assets.
bSecurity was purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration. At September 30, 2022, the value of was $73,046, representing 2.7% of net assets.
cNon-income producing.
228 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Japan ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$ | 27.42 | $ | 30.25 | $ | 21.93 | $ | 24.18 | $ | 26.69 | $ | 25.91 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment income |
0.29 | 0.63 | 0.53 | 0.56 | 0.59 | 0.44 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(5.84 | ) | (2.76 | ) | 8.24 | (2.22 | ) | (2.76 | ) | 0.37 | ||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(5.55 | ) | (2.13 | ) | 8.77 | (1.66 | ) | (2.17 | ) | 0.81 | ||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(0.26 | ) | (0.70 | ) | (0.45 | ) | (0.59 | ) | (0.34 | ) | (0.03 | ) | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 21.61 | $ | 27.42 | $ | 30.25 | $ | 21.93 | $ | 24.18 | $ | 26.69 | ||||||||||||
|
|
|||||||||||||||||||||||
Total returnc |
(20.31)% | 7.21% | 40.23% | (7.15)% | (8.10)% | 3.11% | ||||||||||||||||||
Ratios to average net assetsd | ||||||||||||||||||||||||
Expenses before waiver and payments by affiliates |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Expenses net of waiver and payments by affiliates |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
2.40% | 2.14% | 1.98% | 2.30% | 2.39% | 4.07% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$777,972 | $789,637 | $598,934 | $315,851 | $290,205 | $96,082 | ||||||||||||||||||
Portfolio turnover ratee |
1.68% | f | 2.95% | f | 5.76% | f | 4.59% | f | 4.35% | 0.93% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
dRatios are annualized for periods less than one year.
ePortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
fPortfolio turnover rate excluding cash creations was as follows: | 1.68% | 2.80% | 5.76% | 4.51% |
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
229 |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 98.9% | ||||||||||||||
Japan 98.9% | ||||||||||||||
ABC-Mart Inc. |
Specialty Retail | 6,000 | $ | 258,247 | ||||||||||
Acom Co. Ltd. |
Consumer Finance | 90,000 | 193,375 | |||||||||||
Activia Properties Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 180 | 526,029 | ||||||||||
Advance Residence Investment |
Equity Real Estate Investment Trusts (REITs | ) | 300 | 734,740 | ||||||||||
Advantest Corp. |
Semiconductors & Semiconductor Equipment | 48,000 | 2,221,838 | |||||||||||
AEON Co. Ltd. |
Food & Staples Retailing | 168,000 | 3,137,849 | |||||||||||
AEON Financial Service Co. Ltd. |
Consumer Finance | 30,000 | 296,798 | |||||||||||
AEON Mall Co. Ltd. |
Real Estate Management & Development | 30,000 | 333,690 | |||||||||||
AEON REIT Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 420 | 452,658 | ||||||||||
AGC Inc. |
Building Products | 42,000 | 1,302,843 | |||||||||||
Aica Kogyo Co. Ltd. |
Building Products | 12,000 | 259,491 | |||||||||||
AIN Holdings Inc. |
Food & Staples Retailing | 6,000 | 259,076 | |||||||||||
Air Water Inc. |
Chemicals | 42,000 | 495,603 | |||||||||||
Aisin Seiki Co. Ltd. |
Auto Components | 42,000 | 1,076,514 | |||||||||||
Ajinomoto Co. Inc. |
Food Products | 114,000 | 3,120,439 | |||||||||||
Alfresa Holdings Corp. |
Health Care Providers & Services | 36,000 | 420,325 | |||||||||||
Alps Alpine Co. Ltd. |
Electronic Equipment, Instruments & Components | 48,000 | 346,872 | |||||||||||
Amada Co. Ltd. |
Machinery | 72,000 | 487,975 | |||||||||||
Amano Corp. |
Electronic Equipment, Instruments & Components | 18,000 | 302,187 | |||||||||||
a |
ANA Holdings Inc. |
Airlines | 36,000 | 676,003 | ||||||||||
Anritsu Corp. |
Electronic Equipment, Instruments & Components | 30,000 | 327,265 | |||||||||||
Aozora Bank Ltd. |
Banks | 30,000 | 535,148 | |||||||||||
Ariake Japan Co. Ltd. |
Food Products | 6,000 | 208,090 | |||||||||||
As One Corp. |
Health Care Providers & Services | 6,000 | 248,299 | |||||||||||
Asahi Group Holdings Ltd. |
Beverages | 114,000 | 3,531,562 | |||||||||||
Asahi Intecc Co. Ltd. |
Health Care Equipment & Supplies | 48,000 | 768,358 | |||||||||||
Asahi Kasei Corp. |
Chemicals | 294,000 | 1,940,772 | |||||||||||
Asics Corp. |
Textiles, Apparel & Luxury Goods | 42,000 | 667,381 | |||||||||||
ASKUL Corp. |
Internet & Direct Marketing Retail | 12,000 | 123,859 | |||||||||||
Astellas Pharma Inc. |
Pharmaceuticals | 438,000 | 5,800,864 | |||||||||||
Azbil Corp. |
Electronic Equipment, Instruments & Components | 30,000 | 781,374 | |||||||||||
Bandai Namco Holdings Inc. |
Leisure Products | 46,240 | 3,013,451 | |||||||||||
BayCurrent Consulting Inc. |
Professional Services | 2,841 | 738,980 | |||||||||||
Benefit One Inc. |
Professional Services | 12,000 | 168,545 | |||||||||||
Benesse Holdings Inc. |
Diversified Consumer Services | 18,000 | 267,989 | |||||||||||
BIC CAMERA Inc. |
Specialty Retail | 36,000 | 307,658 | |||||||||||
Bridgestone Corp. |
Auto Components | 138,000 | 4,451,428 | |||||||||||
Brother Industries Ltd. |
Technology Hardware, Storage & Peripherals | 54,000 | 929,317 | |||||||||||
Calbee Inc. |
Food Products | 18,000 | 385,506 | |||||||||||
CANON Inc. |
Technology Hardware, Storage & Peripherals | 234,000 | 5,127,970 | |||||||||||
Canon Marketing Japan Inc. |
Electronic Equipment, Instruments & Components | 12,000 | 265,294 | |||||||||||
Capcom Co. Ltd. |
Entertainment | 42,000 | 1,056,202 | |||||||||||
Casio Computer Co. Ltd. |
Household Durables | 48,000 | 420,823 | |||||||||||
Central Japan Railway Co. |
Road & Rail | 43,260 | 5,061,371 | |||||||||||
Chubu Electric Power Co. Inc. |
Electric Utilities | 168,000 | 1,513,503 | |||||||||||
Chugai Pharmaceutical Co. Ltd. |
Pharmaceuticals | 154,900 | 3,880,392 | |||||||||||
Chuo Mitsui Trust Holdings Inc. |
Banks | 84,000 | 2,378,776 | |||||||||||
Coca-Cola Bottlers Japan Holdings Inc. |
Beverages | 30,000 | 290,995 | |||||||||||
COMSYS Holdings Corp. |
Construction & Engineering | 24,000 | 408,221 | |||||||||||
Concordia Financial Group Ltd. |
Banks | 264,000 | 815,282 | |||||||||||
Cosmo Energy Holdings Co. Ltd. |
Oil, Gas & Consumable Fuels | 18,000 | 461,363 | |||||||||||
Cosmos Pharmaceutical Corp. |
Food & Staples Retailing | 4,200 | 416,387 | |||||||||||
Credit Saison Co. Ltd. |
Consumer Finance | 36,000 | 420,823 | |||||||||||
CyberAgent Inc. |
Media | 102,000 | 858,309 | |||||||||||
Dai Nippon Printing Co. Ltd. |
Commercial Services & Supplies | 60,000 | 1,202,114 | |||||||||||
Daicel Corp. |
Chemicals | 60,000 | 352,758 | |||||||||||
Daido Steel Co. Ltd. |
Metals & Mining | 8,200 | 199,413 |
230 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Daifuku Co. Ltd. |
Machinery | 24,000 | $ | 1,129,158 | ||||||||||
Dai-ichi Life Holdings Inc. |
Insurance | 234,000 | 3,705,330 | |||||||||||
Daiichi Sankyo Co. Ltd. |
Pharmaceuticals | 450,000 | 12,566,237 | |||||||||||
Daiichikosho Co. Ltd. |
Entertainment | 12,000 | 337,421 | |||||||||||
Daikin Industries Ltd. |
Building Products | 63,480 | 9,777,793 | |||||||||||
Daio Paper Corp. |
Paper & Forest Products | 18,000 | 144,254 | |||||||||||
Daito Trust Construction Co. Ltd. |
Real Estate Management & Development | 15,430 | 1,446,579 | |||||||||||
Daiwa House Industry Co. Ltd. |
Real Estate Management & Development | 150,000 | 3,050,364 | |||||||||||
Daiwa House Residential Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 480 | 998,169 | ||||||||||
Daiwa Office Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 60 | 278,559 | ||||||||||
Daiwa Securities Group Inc. |
Capital Markets | 348,000 | 1,361,755 | |||||||||||
Daiwa Securities Living Investments Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 480 | 380,697 | ||||||||||
DeNA Co. Ltd. |
Entertainment | 18,000 | 227,448 | |||||||||||
Denka Co. Ltd. |
Chemicals | 18,000 | 394,832 | |||||||||||
Denso Corp. |
Auto Components | 108,000 | 4,914,076 | |||||||||||
Dentsu Group Inc. |
Media | 48,000 | 1,362,949 | |||||||||||
Descente Ltd. |
Textiles, Apparel & Luxury Goods | 12,000 | 275,657 | |||||||||||
DIC Corp. |
Chemicals | 18,000 | 299,326 | |||||||||||
Disco Corp. |
Semiconductors & Semiconductor Equipment | 6,720 | 1,485,647 | |||||||||||
DMG Mori Co. Ltd. |
Machinery | 24,000 | 273,585 | |||||||||||
Dowa Holdings Co. Ltd. |
Metals & Mining | 12,000 | 430,274 | |||||||||||
East Japan Railway Co. |
Road & Rail | 87,100 | 4,465,571 | |||||||||||
EBARA Corp. |
Machinery | 24,000 | 785,105 | |||||||||||
Eisai Co. Ltd. |
Pharmaceuticals | 62,740 | 3,358,819 | |||||||||||
Electric Power Development Co. Ltd. |
Independent Power Producers & Energy Traders | 42,000 | 594,259 | |||||||||||
ENEOS Holdings Inc. |
Oil, Gas & Consumable Fuels | 690,000 | 2,217,134 | |||||||||||
Ezaki Glico Co. Ltd. |
Food Products | 12,000 | 295,554 | |||||||||||
Fancl Corp. |
Personal Products | 18,000 | 357,650 | |||||||||||
FANUC Corp. |
Machinery | 45,800 | 6,410,639 | |||||||||||
Fast Retailing Co. Ltd. |
Specialty Retail | 12,200 | 6,465,591 | |||||||||||
FP Corp. |
Containers & Packaging | 12,000 | 294,725 | |||||||||||
Frontier Real Estate Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 120 | 441,881 | ||||||||||
Fuji Electric Co. Ltd. |
Electrical Equipment | 30,000 | 1,096,411 | |||||||||||
Fuji Kyuko Co. Ltd. |
Hotels, Restaurants & Leisure | 6,000 | 177,415 | |||||||||||
Fuji Media Holdings Inc. |
Media | 12,000 | 88,044 | |||||||||||
Fuji Oil Holdings Inc. |
Food Products | 12,000 | 199,468 | |||||||||||
FUJIFILM Holdings Corp. |
Technology Hardware, Storage & Peripherals | 84,000 | 3,835,407 | |||||||||||
Fujitsu General Ltd. |
Household Durables | 12,000 | 249,128 | |||||||||||
Fujitsu Ltd. |
IT Services | 44,050 | 4,803,822 | |||||||||||
Fukuoka Financial Group Inc. |
Banks | 36,000 | 638,198 | |||||||||||
Furukawa Electric Co. Ltd. |
Electrical Equipment | 18,000 | 285,150 | |||||||||||
Fuyo General Lease Co. Ltd. |
Diversified Financial Services | 6,000 | 327,058 | |||||||||||
GLP J-Reit |
Equity Real Estate Investment Trusts (REITs | ) | 1,020 | 1,128,205 | ||||||||||
GMO internet Inc. |
IT Services | 12,000 | 211,240 | |||||||||||
GMO Payment Gateway Inc. |
IT Services | 9,700 | 666,793 | |||||||||||
Goldwin Inc. |
Textiles, Apparel & Luxury Goods | 8,400 | 444,534 | |||||||||||
GS Yuasa Corp. |
Electrical Equipment | 18,000 | 280,797 | |||||||||||
GungHo Online Entertainment Inc. |
Entertainment | 6,000 | 92,231 | |||||||||||
Hachijuni Bank Ltd. |
Banks | 108,000 | 357,401 | |||||||||||
Hakuhodo DY Holdings Inc. |
Media | 54,000 | 379,785 | |||||||||||
Hamamatsu Photonics K.K. |
Electronic Equipment, Instruments & Components | 30,000 | 1,285,018 | |||||||||||
Hankyu Hanshin Holdings Inc. |
Road & Rail | 54,000 | 1,622,854 | |||||||||||
Haseko Corp. |
Household Durables | 60,000 | 651,214 | |||||||||||
Heiwa Corp. |
Leisure Products | 12,000 | 185,540 | |||||||||||
Hikari Tsushin Inc. |
Specialty Retail | 5,400 | 635,711 | |||||||||||
Hino Motors Ltd. |
Machinery | 66,000 | 271,761 | |||||||||||
Hirogin Holdings Inc. |
Banks | 72,000 | 302,435 |
franklintempleton.com |
Semiannual Report |
231 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Hirose Electric Co. Ltd. |
Electronic Equipment, Instruments & Components | 7,800 | $ | 1,022,792 | ||||||||||
Hisamitsu Pharmaceutical Co. Inc. |
Pharmaceuticals | 18,000 | 422,191 | |||||||||||
Hitachi Construction Machinery Co. Ltd. |
Machinery | 24,000 | 443,704 | |||||||||||
Hitachi Ltd. |
Industrial Conglomerates | 216,000 | 9,123,797 | |||||||||||
a |
Hitachi Metals Ltd. |
Metals & Mining | 48,000 | 721,268 | ||||||||||
Hitachi Transport System Ltd. |
Road & Rail | 6,000 | 358,976 | |||||||||||
Honda Motor Co. Ltd. |
Automobiles | 402,000 | 8,712,384 | |||||||||||
HORIBA Ltd. |
|
Electronic Equipment,
Instruments & Components |
|
9,100 | 352,696 | |||||||||
Hoshizaki Corp. |
Machinery | 24,000 | 669,039 | |||||||||||
House Foods Group Inc. |
Food Products | 18,000 | 359,018 | |||||||||||
Hoya Corp. |
Health Care Equipment & Supplies | 83,700 | 8,026,225 | |||||||||||
Hulic Co. Ltd. |
Real Estate Management & Development | 96,000 | 705,019 | |||||||||||
Ibiden Co. Ltd. |
|
Electronic Equipment,
Instruments & Components |
|
24,000 | 656,603 | |||||||||
Idemitsu Kosan Co. Ltd. |
Oil, Gas & Consumable Fuels | 54,000 | 1,169,574 | |||||||||||
IHI Corp. |
Machinery | 30,000 | 642,509 | |||||||||||
Iida Group Holdings Co. Ltd. |
Household Durables | 30,000 | 406,853 | |||||||||||
Industrial & Infrastructure Fund Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 480 | 544,185 | ||||||||||
Information Services International-Dentsu Ltd. |
IT Services | 6,000 | 183,633 | |||||||||||
INFRONEER Holdings Inc. |
Construction & Engineering | 54,000 | 367,101 | |||||||||||
INPEX Corp. |
Oil, Gas & Consumable Fuels | 234,000 | 2,197,009 | |||||||||||
Internet Initiative Japan Inc. |
Diversified Telecommunication Services | 24,000 | 368,261 | |||||||||||
Isetan Mitsukoshi Holdings Ltd. |
Multiline Retail | 84,000 | 712,066 | |||||||||||
Isuzu Motors Ltd. |
Automobiles | 126,000 | 1,390,183 | |||||||||||
Ito En Ltd. |
Beverages | 12,000 | 485,820 | |||||||||||
ITOCHU Corp. |
Trading Companies & Distributors | 318,000 | 7,691,582 | |||||||||||
ITOCHU Techno-Solutions Corp. |
IT Services | 24,000 | 562,092 | |||||||||||
Itoham Yonekyu Holdings Inc. |
Food Products | 30,000 | 138,036 | |||||||||||
Iwatani Corp. |
Oil, Gas & Consumable Fuels | 12,000 | 451,829 | |||||||||||
Izumi Co. Ltd. |
Multiline Retail | 12,000 | 257,418 | |||||||||||
J Front Retailing Co. Ltd. |
Multiline Retail | 60,000 | 487,478 | |||||||||||
a |
Japan Airlines Co. Ltd. |
Airlines | 36,000 | 642,178 | ||||||||||
a |
Japan Airport Terminal Co. Ltd. |
Transportation Infrastructure | 12,000 | 501,572 | ||||||||||
Japan Aviatn Elect |
Electronic Equipment, Instruments & Components | 12,000 | 175,757 | |||||||||||
Japan Exchange Group Inc. |
Capital Markets | 126,000 | 1,699,644 | |||||||||||
Japan Hotel REIT Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 1,080 | 537,967 | ||||||||||
Japan Logistics Fund Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 240 | 514,836 | ||||||||||
Japan Post Bank Co. Ltd. |
Banks | 96,000 | 669,204 | |||||||||||
Japan Post Holdings Co. Ltd. |
Insurance | 516,000 | 3,414,095 | |||||||||||
Japan Post Insurance Co. Ltd. |
Insurance | 48,000 | 671,857 | |||||||||||
Japan Prime Realty Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 240 | 651,629 | ||||||||||
Japan Real Estate Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 300 | 1,237,348 | ||||||||||
Japan Retail Fund Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 1,620 | 1,217,700 | ||||||||||
Japan Tobacco Inc. |
Tobacco | 282,000 | 4,625,155 | |||||||||||
JCR Pharmaceuticals Co. Ltd. |
Pharmaceuticals | 12,000 | 179,488 | |||||||||||
Jeol Ltd. |
Health Care Equipment & Supplies | 12,000 | 394,211 | |||||||||||
JFE Holdings Inc. |
Metals & Mining | 120,000 | 1,111,748 | |||||||||||
JGC Holdings Corp. |
Construction & Engineering | 54,000 | 674,883 | |||||||||||
JMDC Inc. |
Health Care Technology | 6,000 | 197,520 | |||||||||||
JSR Corp. |
Chemicals | 42,000 | 797,955 | |||||||||||
JTEKT Corp. |
Auto Components | 54,000 | 341,732 | |||||||||||
Justsystems Corp. |
Software | 6,000 | 138,658 | |||||||||||
Kadokawa Corp. |
Media | 24,000 | 441,383 | |||||||||||
Kagome Co. Ltd. |
Food Products | 18,000 | 374,935 | |||||||||||
Kajima Corp. |
Construction & Engineering | 102,000 | 967,536 | |||||||||||
Kakaku.com Inc. |
Interactive Media & Services | 30,000 | 510,277 | |||||||||||
Kaken Pharmaceutical Co. Ltd. |
Pharmaceuticals | 6,000 | 158,140 |
232 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Kamigumi Co. Ltd. |
Transportation Infrastructure | 24,000 | $ | 443,373 | ||||||||||
Kandenko Co. Ltd. |
Construction & Engineering | 24,000 | 137,953 | |||||||||||
Kaneka Corp. |
Chemicals | 12,000 | 299,285 | |||||||||||
Kansai Paint Co. Ltd. |
Chemicals | 42,000 | 593,969 | |||||||||||
KAO Corp. |
Personal Products | 108,000 | 4,400,732 | |||||||||||
Katitas Co. Ltd. |
Real Estate Management & Development | 12,000 | 266,538 | |||||||||||
Kawasaki Heavy Industries Ltd. |
Machinery | 36,000 | 543,936 | |||||||||||
Kawasaki Kisen Kaisha Ltd. |
Marine | 54,000 | 758,078 | |||||||||||
KDDI Corp. |
Wireless Telecommunication Services | 390,074 | 11,434,481 | |||||||||||
Keihan Holdings Co. Ltd. |
Industrial Conglomerates | 24,000 | 622,612 | |||||||||||
Keikyu Corp. |
Road & Rail | 60,000 | 607,689 | |||||||||||
Keio Corp. |
Road & Rail | 27,600 | 1,004,884 | |||||||||||
Keisei Electric Railway Co. Ltd. |
Road & Rail | 30,000 | 816,609 | |||||||||||
Kenedix Office Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 85 | 399,910 | ||||||||||
Kewpie Corp. |
Food Products | 24,000 | 394,625 | |||||||||||
Keyence Corp. |
Electronic Equipment, Instruments & Components | 46,422 | 15,362,284 | |||||||||||
Kikkoman Corp. |
Food Products | 42,000 | 2,379,357 | |||||||||||
Kinden Corp. |
Construction & Engineering | 30,000 | 316,695 | |||||||||||
Kintetsu Group Holdings Co. Ltd. |
Road & Rail | 42,000 | 1,398,598 | |||||||||||
Kirin Holdings Co. Ltd. |
Beverages | 180,000 | 2,769,422 | |||||||||||
Kobayashi Pharmaceutical Co. Ltd. |
Personal Products | 14,400 | 843,635 | |||||||||||
Kobe Bussan Co. Ltd. |
Food & Staples Retailing | 36,000 | 869,253 | |||||||||||
Kobe Steel Ltd. |
Metals & Mining | 78,000 | 312,550 | |||||||||||
Koei Tecmo Holdings Co. Ltd. |
Entertainment | 36,000 | 590,694 | |||||||||||
Koito Manufacturing Co. Ltd. |
Auto Components | 55,200 | 751,661 | |||||||||||
Kokuyo Co. Ltd. |
Commercial Services & Supplies | 18,000 | 228,319 | |||||||||||
Komatsu Ltd. |
Machinery | 216,000 | 3,896,342 | |||||||||||
Konami Holdings Corp. |
Entertainment | 24,000 | 1,107,603 | |||||||||||
Konica Minolta Inc. |
Technology Hardware, Storage & Peripherals | 108,000 | 332,778 | |||||||||||
Kose Corp. |
Personal Products | 6,860 | 706,166 | |||||||||||
Kotobuki Spirits Co. Ltd. |
Food Products | 6,000 | 346,126 | |||||||||||
K’s Holdings Corp. |
Specialty Retail | 36,000 | 297,212 | |||||||||||
Kubota Corp. |
Machinery | 258,000 | 3,572,020 | |||||||||||
Kuraray Co. Ltd. |
Chemicals | 78,000 | 544,806 | |||||||||||
Kurita Water Industries Ltd. |
Machinery | 24,000 | 855,574 | |||||||||||
Kusuri no Aoki Holdings Co. Ltd. |
Food & Staples Retailing | 3,900 | 183,488 | |||||||||||
Kyocera Corp. |
Electronic Equipment, Instruments & Components | 72,700 | 3,666,517 | |||||||||||
Kyowa Exeo Corp. |
Construction & Engineering | 24,000 | 346,706 | |||||||||||
Kyowa Kirin Co. Ltd. |
Pharmaceuticals | 60,000 | 1,374,141 | |||||||||||
Kyudenko Corp. |
Construction & Engineering | 12,000 | 227,987 | |||||||||||
Kyushu Electric Power Co. Inc. |
Electric Utilities | 108,000 | 576,020 | |||||||||||
Kyushu Financial Group Inc. |
Banks | 90,000 | 237,521 | |||||||||||
Kyushu Railway Co. |
Road & Rail | 36,000 | 777,229 | |||||||||||
LaSalle Logiport REIT |
Equity Real Estate Investment Trusts (REITs | ) | 420 | 469,778 | ||||||||||
Lasertec Corp. |
Semiconductors & Semiconductor Equipment | 18,000 | 1,827,421 | |||||||||||
Lawson Inc. |
Food & Staples Retailing | 12,000 | 392,967 | |||||||||||
LINTEC Corp. |
Chemicals | 12,000 | 184,131 | |||||||||||
Lion Corp. |
Household Products | 60,000 | 678,158 | |||||||||||
LIXIL Group Corp. |
Building Products | 60,000 | 878,372 | |||||||||||
M3 Inc. |
Health Care Technology | 100,580 | 2,814,948 | |||||||||||
Mabuchi Motor Co. Ltd. |
Electrical Equipment | 12,000 | 325,814 | |||||||||||
Makita Corp. |
Machinery | 60,000 | 1,160,247 | |||||||||||
Mani Inc. |
Health Care Equipment & Supplies | 12,000 | 145,746 | |||||||||||
Marubeni Corp. |
Trading Companies & Distributors | 366,000 | 3,206,245 | |||||||||||
Marui Group Co. Ltd. |
Multiline Retail | 42,000 | 695,817 | |||||||||||
Maruichi Steel Tube Ltd. |
Metals & Mining | 12,000 | 245,314 | |||||||||||
Maruwa Unyu Kikan Co. Ltd. |
Air Freight & Logistics | 12,000 | 120,294 |
franklintempleton.com |
Semiannual Report |
233 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Matsui Securities Co. Ltd. |
Capital Markets | 24,000 | $ | 129,331 | ||||||||||
Matsumotokiyoshi Holdings Co. Ltd. |
Food & Staples Retailing | 30,000 | 1,291,236 | |||||||||||
Mazda Motor Corp. |
Automobiles | 138,000 | 911,451 | |||||||||||
Mebuki Financial Group Inc. |
Banks | 240,000 | 467,581 | |||||||||||
Medipal Holdings Corp. |
Health Care Providers & Services | 36,000 | 458,379 | |||||||||||
Meiji Holdings Co. Ltd. |
Food Products | 30,000 | 1,332,689 | |||||||||||
Menicon Co. Ltd. |
Health Care Equipment & Supplies | 12,000 | 246,475 | |||||||||||
Minebea Mitsumi Inc. |
Machinery | 96,000 | 1,418,660 | |||||||||||
Miraca Holdings Inc. |
Health Care Providers & Services | 12,000 | 218,868 | |||||||||||
MISUMI Group Inc. |
Machinery | 66,000 | 1,422,640 | |||||||||||
Mitsubishi Chemical Holdings Corp. |
Chemicals | 306,000 | 1,398,664 | |||||||||||
Mitsubishi Corp. |
Trading Companies & Distributors | 282,000 | 7,730,671 | |||||||||||
Mitsubishi Electric Corp. |
Electrical Equipment | 462,000 | 4,163,729 | |||||||||||
Mitsubishi Estate Co. Ltd. |
Real Estate Management & Development | 270,000 | 3,537,635 | |||||||||||
Mitsubishi Gas Chemical Co. Inc. |
Chemicals | 42,000 | 550,154 | |||||||||||
Mitsubishi Heavy Industries Ltd. |
Machinery | 66,000 | 2,191,412 | |||||||||||
Mitsubishi Logistics Corp. |
Transportation Infrastructure | 12,000 | 282,704 | |||||||||||
Mitsubishi Materials Corp. |
Metals & Mining | 30,000 | 412,242 | |||||||||||
a |
Mitsubishi Motors Corp. |
Automobiles | 150,000 | 536,806 | ||||||||||
Mitsubishi UFJ Financial Group Inc. |
Banks | 2,856,000 | 12,854,910 | |||||||||||
Mitsubishi UFJ Lease & Finance Co. Ltd. |
Diversified Financial Services | 150,660 | 647,418 | |||||||||||
Mitsui & Co. Ltd. |
Trading Companies & Distributors | 372,000 | 7,938,844 | |||||||||||
Mitsui Chemicals Inc. |
Chemicals | 42,000 | 817,976 | |||||||||||
Mitsui Fudosan Co. Ltd. |
Real Estate Management & Development | 216,000 | 4,110,484 | |||||||||||
Mitsui Fudosan Logistics Park Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 120 | 410,377 | ||||||||||
Mitsui High-Tec Inc. |
Semiconductors & Semiconductor Equipment | 6,000 | 282,290 | |||||||||||
Mitsui Mining and Smelting Co. Ltd. |
Metals & Mining | 12,000 | 252,029 | |||||||||||
Mitsui OSK Lines Ltd. |
Marine | 78,000 | 1,402,162 | |||||||||||
Miura Co. Ltd. |
Machinery | 24,000 | 488,473 | |||||||||||
Mizuho Financial Group Inc. |
Banks | 606,000 | 6,541,677 | |||||||||||
a |
Money Forward Inc. |
Software | 12,000 | 255,346 | ||||||||||
MonotaRO Co. Ltd. |
Trading Companies & Distributors | 56,400 | 865,804 | |||||||||||
Mori Hills REIT Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 360 | 388,739 | ||||||||||
Morinaga & Co. Ltd. |
Food Products | 6,000 | 164,773 | |||||||||||
Morinaga Milk Industry Co. Ltd. |
Food Products | 6,000 | 176,379 | |||||||||||
MS&AD Insurance Group Holdings Inc. |
Insurance | 109,900 | 2,912,546 | |||||||||||
Murata Manufacturing Co. Ltd. |
Electronic Equipment, Instruments & Components | 134,830 | 6,177,710 | |||||||||||
Nabtesco Corp. |
Machinery | 24,000 | 489,965 | |||||||||||
Nagase & Co. Ltd. |
Trading Companies & Distributors | 24,000 | 326,809 | |||||||||||
Nagoya Railroad Co. Ltd. |
Road & Rail | 48,000 | 737,518 | |||||||||||
Nankai Electric Railway Co. Ltd. |
Road & Rail | 24,000 | 490,131 | |||||||||||
NEC Corp. |
IT Services | 60,000 | 1,917,165 | |||||||||||
NEC System Integration & Construction Ltd. |
IT Services | 18,000 | 195,613 | |||||||||||
Net One Systems Co. Ltd. |
IT Services | 18,000 | 350,437 | |||||||||||
Nexon Co. Ltd. |
Entertainment | 96,000 | 1,692,577 | |||||||||||
NGK Insulators Ltd. |
Machinery | 60,000 | 746,140 | |||||||||||
NGK Spark Plug Co. Ltd. |
Auto Components | 48,000 | 849,604 | |||||||||||
NH Foods Ltd. |
Food Products | 24,000 | 631,732 | |||||||||||
NHK Spring Co. Ltd. |
Auto Components | 36,000 | 211,655 | |||||||||||
Nichirei Corp. |
Food Products | 24,000 | 395,454 | |||||||||||
Nidec Corp. |
Electrical Equipment | 108,730 | 6,107,119 | |||||||||||
Nifco Inc. |
Auto Components | 18,000 | 373,692 | |||||||||||
Nihon Kohden Corp. |
Health Care Equipment & Supplies | 18,000 | 383,018 | |||||||||||
Nihon M&A Center Inc. |
Professional Services | 62,300 | 715,775 | |||||||||||
Nihon Unisys Ltd. |
IT Services | 18,000 | 390,480 | |||||||||||
Nikon Corp. |
Household Durables | 78,000 | 736,647 | |||||||||||
Nintendo Co. Ltd. |
Entertainment | 248,020 | 10,030,806 |
234 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Nippon Accommodations Fund Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 120 | $ | 543,853 | |||||||||
Nippon Building Fund Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 360 | 1,581,816 | ||||||||||
Nippon Electric Glass Co. Ltd. |
Electronic Equipment, Instruments & Components | 18,000 | 310,021 | |||||||||||
Nippon Express Co. Ltd. |
Road & Rail | 18,000 | 915,265 | |||||||||||
Nippon Kayaku Co. Ltd. |
Chemicals | 36,000 | 288,010 | |||||||||||
Nippon Paint Holdings Co. Ltd. |
Chemicals | 240,000 | 1,623,269 | |||||||||||
Nippon Prologis REIT Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 540 | 1,180,766 | ||||||||||
Nippon Sanso Holdings Corp. |
Chemicals | 36,000 | 567,315 | |||||||||||
Nippon Shinyaku Co. Ltd. |
Pharmaceuticals | 12,000 | 613,493 | |||||||||||
Nippon Shobukai Co. Ltd. |
Chemicals | 6,000 | 223,842 | |||||||||||
Nippon Steel Corp. |
Metals & Mining | 198,000 | 2,744,737 | |||||||||||
Nippon Telegraph & Telephone Corp. |
Diversified Telecommunication Services | 282,000 | 7,609,879 | |||||||||||
Nippon Television Holdings Inc. |
Media | 6,000 | 47,960 | |||||||||||
Nippon Yusen KK |
Marine | 114,750 | 1,955,772 | |||||||||||
Nipro Corp. |
Health Care Equipment & Supplies | 24,000 | 180,400 | |||||||||||
Nishi-Nippon Railroad Co. Ltd. |
Road & Rail | 18,000 | 358,645 | |||||||||||
Nissan Chemical Corp. |
Chemicals | 32,000 | 1,425,956 | |||||||||||
Nissan Motor Co. Ltd. |
Automobiles | 456,000 | 1,449,799 | |||||||||||
Nisshin Seifun Group Inc. |
Food Products | 60,000 | 608,518 | |||||||||||
Nissin Foods Holdings Co. Ltd. |
Food Products | 18,000 | 1,252,271 | |||||||||||
Nitori Holdings Co. Ltd. |
Specialty Retail | 18,000 | 1,515,907 | |||||||||||
Nitto Denko Corp. |
Chemicals | 36,000 | 1,947,425 | |||||||||||
Noevir Holdings Co. Ltd. |
Personal Products | 6,000 | 235,449 | |||||||||||
NOF Corp. |
Chemicals | 18,000 | 649,142 | |||||||||||
NOK Corp. |
Auto Components | 24,000 | 186,867 | |||||||||||
Nomura Holdings Inc. |
Capital Markets | 708,000 | 2,340,027 | |||||||||||
Nomura Real Estate Holdings Inc. |
Real Estate Management & Development | 24,000 | 543,024 | |||||||||||
Nomura Real Estate Master Fund Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 1,080 | 1,191,585 | ||||||||||
Nomura Research Institute Ltd. |
IT Services | 90,000 | 2,207,330 | |||||||||||
NS Solutions Corp. |
IT Services | 6,000 | 144,875 | |||||||||||
NSK Ltd. |
Machinery | 102,000 | 498,214 | |||||||||||
NTT Data Corp. |
IT Services | 150,000 | 1,933,746 | |||||||||||
Obayashi Corp. |
Construction & Engineering | 162,000 | 1,038,627 | |||||||||||
OBIC Business Consultants Co. Ltd. |
Software | 6,000 | 185,706 | |||||||||||
OBIC Co. Ltd. |
IT Services | 15,800 | 2,116,564 | |||||||||||
Odakyu Electric Railway Co. Ltd. |
Road & Rail | 72,000 | 927,203 | |||||||||||
Oji Holdings Corp. |
Paper & Forest Products | 210,000 | 780,545 | |||||||||||
Okuma Corp. |
Machinery | 6,000 | 205,188 | |||||||||||
Olympus Corp. |
Health Care Equipment & Supplies | 300,000 | 5,758,748 | |||||||||||
Omron Corp. |
Electronic Equipment, Instruments & Components | 44,040 | 2,012,979 | |||||||||||
Ono Pharmaceutical Co. Ltd. |
Pharmaceuticals | 102,000 | 2,382,549 | |||||||||||
Open House Co. Ltd. |
Household Durables | 18,000 | 608,726 | |||||||||||
Oracle Corp. Japan |
Software | 8,100 | 430,896 | |||||||||||
Orient Corp. |
Consumer Finance | 13,200 | 104,509 | |||||||||||
Oriental Land Co. Ltd. |
Hotels, Restaurants & Leisure | 44,540 | 6,063,496 | |||||||||||
ORIX Corp. |
Diversified Financial Services | 282,000 | 3,952,033 | |||||||||||
ORIX JREIT Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 600 | 766,866 | ||||||||||
Osaka Gas Co. Ltd. |
Gas Utilities | 90,000 | 1,359,218 | |||||||||||
OSG Corp. |
Machinery | 18,000 | 222,101 | |||||||||||
Otsuka Corp. |
IT Services | 24,000 | 750,285 | |||||||||||
Otsuka Holdings Co. Ltd. |
Pharmaceuticals | 102,000 | 3,230,288 | |||||||||||
Paltac Corp. |
Distributors | 6,000 | 184,670 | |||||||||||
Pan Pacific International Holdings Corp. |
Multiline Retail | 96,000 | 1,697,882 | |||||||||||
Panasonic Corp. |
Household Durables | 510,000 | 3,574,528 | |||||||||||
a |
Park24 Co. Ltd. |
Commercial Services & Supplies | 30,000 | 387,371 | ||||||||||
Penta-Ocean Construction Co. Ltd. |
Construction & Engineering | 66,000 | 331,493 | |||||||||||
a |
PeptiDream Inc. |
Biotechnology | 19,700 | 219,804 |
franklintempleton.com |
Semiannual Report |
235 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan ETF (continued)
236 |
Semiannual Report |
franklintempleton.com |
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Persol Holdings Co. Ltd. |
Professional Services | 42,000 | $ | 776,193 | ||||||||||
Pigeon Corp. |
Household Products | 24,000 | 350,520 | |||||||||||
Pola Orbis Holdings Inc. |
Personal Products | 18,000 | 203,323 | |||||||||||
Rakus Co. Ltd. |
Software | 24,000 | 226,826 | |||||||||||
Rakuten Inc. |
Internet & Direct Marketing Retail | 192,000 | 823,738 | |||||||||||
Recruit Holdings Co. Ltd. |
Professional Services | 330,000 | 9,486,545 | |||||||||||
Relo Group Inc. |
Real Estate Management & Development | 24,000 | 365,111 | |||||||||||
a |
Renesas Electronics Corp. |
Semiconductors & Semiconductor Equipment | 288,000 | 2,391,627 | ||||||||||
Rengo Co. Ltd. |
Containers & Packaging | 48,000 | 278,559 | |||||||||||
a |
RENOVA Inc. |
Independent Power Producers & Energy Traders | 12,000 | 282,290 | ||||||||||
Resona Holdings Inc. |
Banks | 510,000 | 1,860,375 | |||||||||||
Resorttrust Inc. |
Hotels, Restaurants & Leisure | 12,000 | 192,504 | |||||||||||
Ricoh Co. Ltd. |
Technology Hardware, Storage & Peripherals | 138,000 | 1,006,791 | |||||||||||
Rinnai Corp. |
Household Durables | 8,240 | 591,479 | |||||||||||
Rohm Co. Ltd. |
Semiconductors & Semiconductor Equipment | 19,800 | 1,294,055 | |||||||||||
Rohto Pharmaceutical Co. Ltd. |
Personal Products | 24,000 | 768,524 | |||||||||||
Ryohin Keikaku Co. Ltd. |
Multiline Retail | 54,000 | 451,042 | |||||||||||
Sankyo Co. Ltd. |
Leisure Products | 12,000 | 363,536 | |||||||||||
Sankyu Inc. |
Road & Rail | 12,000 | 348,199 | |||||||||||
Sanrio Co. Ltd. |
Specialty Retail | 12,000 | 308,404 | |||||||||||
Santen Pharmaceutical Co. Ltd. |
Pharmaceuticals | 84,000 | 565,823 | |||||||||||
Sanwa Holdings Corp. |
Building Products | 48,000 | 412,532 | |||||||||||
Sapporo Holdings Ltd. |
Beverages | 12,000 | 263,636 | |||||||||||
Sawai Group Holdings Co. Ltd. |
Pharmaceuticals | 6,000 | 168,296 | |||||||||||
SBI Holdings Inc. |
Capital Markets | 60,000 | 1,076,099 | |||||||||||
SCREEN Holdings Co. Ltd. |
Semiconductors & Semiconductor Equipment | 9,200 | 500,853 | |||||||||||
SCSK Corp. |
IT Services | 30,000 | 453,902 | |||||||||||
Secom Co. Ltd. |
Commercial Services & Supplies | 48,000 | 2,744,468 | |||||||||||
Sega Sammy Holdings Inc. |
Leisure Products | 36,000 | 489,716 | |||||||||||
Seibu Holdings Inc. |
Industrial Conglomerates | 48,000 | 479,519 | |||||||||||
Seiko Epson Corp. |
Technology Hardware, Storage & Peripherals | 66,000 | 898,269 | |||||||||||
Seino Holdings Co. Ltd. |
Road & Rail | 30,000 | 240,423 | |||||||||||
Sekisui Chemical Co. Ltd. |
Household Durables | 78,000 | 952,738 | |||||||||||
Sekisui House Ltd. |
Household Durables | 138,000 | 2,289,115 | |||||||||||
Sekisui House Reit Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 960 | 538,547 | ||||||||||
Seven & i Holdings Co. Ltd. |
Food & Staples Retailing | 186,000 | 7,460,817 | |||||||||||
Seven Bank Ltd. |
Banks | 156,000 | 279,139 | |||||||||||
SG Holdings Co. Ltd. |
Air Freight & Logistics | 102,000 | 1,395,281 | |||||||||||
Sharp Corp. |
Household Durables | 48,000 | 286,186 | |||||||||||
a |
SHIFT Inc. |
IT Services | 2,200 | 287,112 | ||||||||||
Shikoku Electric Power Co. Inc. |
Electric Utilities | 36,000 | 179,820 | |||||||||||
Shimadzu Corp. |
Electronic Equipment, Instruments & Components | 66,000 | 1,730,422 | |||||||||||
Shimamura Co. Ltd. |
Specialty Retail | 6,000 | 506,961 | |||||||||||
SHIMANO Inc. |
Leisure Products | 17,988 | 2,825,984 | |||||||||||
Shimizu Corp. |
Construction & Engineering | 126,000 | 617,182 | |||||||||||
Shin-Etsu Chemical Co. Ltd. |
Chemicals | 93,380 | 9,244,778 | |||||||||||
Shinko Electric Industries Co. Ltd. |
Semiconductors & Semiconductor Equipment | 18,000 | 387,371 | |||||||||||
Shinsei Bank Ltd. |
Banks | 12,000 | 172,027 | |||||||||||
Shionogi & Co. Ltd. |
Pharmaceuticals | 66,000 | 3,186,804 | |||||||||||
Ship Healthcare Holdings Inc. |
Health Care Providers & Services | 18,000 | 338,126 | |||||||||||
Shiseido Co. Ltd. |
Personal Products | 91,900 | 3,210,103 | |||||||||||
SHO-BOND Holdings Co. Ltd. |
Construction & Engineering | 12,000 | 518,982 | |||||||||||
a |
Shochiku Co. Ltd. |
Entertainment | 2,100 | 172,648 | ||||||||||
Showa Denko K.K. |
Chemicals | 42,000 | 596,000 | |||||||||||
a |
Skylark Holdings Co. Ltd. |
Hotels, Restaurants & Leisure | 54,000 | 575,647 | ||||||||||
SMC Corp. |
Machinery | 13,346 | 5,368,090 | |||||||||||
SMS Co. Ltd. |
Professional Services | 12,000 | 242,827 | |||||||||||
Softbank Corp. |
Wireless Telecommunication Services | 654,000 | 6,535,708 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
SoftBank Group Corp. |
Wireless Telecommunication Services | 246,000 | $ | 8,327,749 | ||||||||||
Sohgo Security Services Co. Ltd. |
Commercial Services & Supplies | 18,000 | 452,658 | |||||||||||
Sojitz Corp. |
Trading Companies & Distributors | 56,220 | 824,977 | |||||||||||
Sompo Holdings Inc. |
Insurance | 78,000 | 3,105,019 | |||||||||||
Sony Corp. |
Household Durables | 294,000 | 18,861,335 | |||||||||||
Sotetsu Holdings Inc. |
Road & Rail | 18,000 | 298,083 | |||||||||||
Square Enix Holdings Co. Ltd. |
Entertainment | 18,000 | 774,742 | |||||||||||
Stanley Electric Co. Ltd. |
Auto Components | 30,000 | 469,239 | |||||||||||
Subaru Corp. |
Automobiles | 144,000 | 2,155,847 | |||||||||||
Sugi Pharmacy Co. Ltd. |
Food & Staples Retailing | 8,440 | 338,778 | |||||||||||
Sumco Corp. |
Semiconductors & Semiconductor Equipment | 78,000 | 909,627 | |||||||||||
Sumitomo Bakelite Co. Ltd. |
Chemicals | 6,000 | 164,358 | |||||||||||
Sumitomo Chemical Co. Ltd. |
Chemicals | 360,000 | 1,236,105 | |||||||||||
Sumitomo Corp. |
Trading Companies & Distributors | 270,000 | 3,362,292 | |||||||||||
Sumitomo Dainippon Pharma Co. Ltd. |
Pharmaceuticals | 36,000 | 256,423 | |||||||||||
Sumitomo Electric Industries Ltd. |
Auto Components | 180,000 | 1,820,581 | |||||||||||
Sumitomo Forestry Co. Ltd. |
Household Durables | 36,000 | 548,413 | |||||||||||
Sumitomo Heavy Industries Ltd. |
Machinery | 24,000 | 443,207 | |||||||||||
Sumitomo Metal Mining Co. Ltd. |
Metals & Mining | 60,000 | 1,724,412 | |||||||||||
Sumitomo Mitsui Financial Group Inc. |
Banks | 306,000 | 8,506,988 | |||||||||||
Sumitomo Realty & Development Co. Ltd. |
Real Estate Management & Development | 96,000 | 2,180,718 | |||||||||||
Sumitomo Rubber Industries Ltd. |
Auto Components | 42,000 | 333,980 | |||||||||||
Sundrug Co. Ltd. |
Food & Staples Retailing | 16,200 | 393,402 | |||||||||||
Suntory Beverage & Food Ltd. |
Beverages | 30,000 | 1,063,249 | |||||||||||
Sushiro Global Holdings Ltd. |
Hotels, Restaurants & Leisure | 24,000 | 368,759 | |||||||||||
Suzuken Co. Ltd. |
Health Care Providers & Services | 18,000 | 410,999 | |||||||||||
Suzuki Motor Corp. |
Automobiles | 108,000 | 3,343,452 | |||||||||||
Sysmex Corp. |
Health Care Equipment & Supplies | 45,156 | 2,423,378 | |||||||||||
T&D Holdings Inc. |
Insurance | 120,000 | 1,133,303 | |||||||||||
Taiheiyo Cement Corp. |
Construction Materials | 30,000 | 422,398 | |||||||||||
Taisei Corp. |
Construction & Engineering | 42,000 | 1,166,465 | |||||||||||
Taisho Pharmaceutical Holdings Co. Ltd. |
Pharmaceuticals | 10,200 | 373,484 | |||||||||||
Taiyo Yuden Co. Ltd. |
Electronic Equipment, Instruments & Components | 30,000 | 772,047 | |||||||||||
Takara Bio Inc. |
Biotechnology | 12,000 | 141,020 | |||||||||||
Takara Holdings Inc. |
Beverages | 42,000 | 306,705 | |||||||||||
Takashimaya Co. Ltd. |
Multiline Retail | 36,000 | 425,548 | |||||||||||
Takeda Pharmaceutical Co. Ltd. |
Pharmaceuticals | 360,000 | 9,369,028 | |||||||||||
TBS Holdings Inc. |
Media | 6,000 | 65,619 | |||||||||||
TDK Corp. |
Electronic Equipment, Instruments & Components | 86,520 | 2,662,936 | |||||||||||
TechnoPro Holdings Inc. |
Professional Services | 25,320 | 539,654 | |||||||||||
Teijin Ltd. |
Chemicals | 42,000 | 406,812 | |||||||||||
Terumo Corp. |
Health Care Equipment & Supplies | 156,000 | 4,390,784 | |||||||||||
The Bank of Kyoto Ltd. |
Banks | 18,000 | 657,847 | |||||||||||
The Chiba Bank Ltd. |
Banks | 144,000 | 774,991 | |||||||||||
The Chugoku Bank Ltd. |
Banks | 42,000 | 264,921 | |||||||||||
The Chugoku Electric Power Co. Inc. |
Electric Utilities | 72,000 | 365,111 | |||||||||||
a |
The Iyo Bank Ltd. |
Banks | 66,000 | 322,374 | ||||||||||
The Japan Steel Works Ltd. |
Machinery | 12,000 | 235,946 | |||||||||||
The Kansai Electric Power Co. Inc. |
Electric Utilities | 174,000 | 1,456,962 | |||||||||||
The Shizuoka Bank Ltd. |
Banks | 114,000 | 700,169 | |||||||||||
THK Co. Ltd. |
Machinery | 30,000 | 517,324 | |||||||||||
TIS Inc. |
IT Services | 54,000 | 1,430,723 | |||||||||||
Tobu Railway Co. Ltd. |
Road & Rail | 48,000 | 1,130,816 | |||||||||||
Toda Corp. |
Construction & Engineering | 54,000 | 277,564 | |||||||||||
Toho Co. Ltd. |
Entertainment | 24,000 | 870,496 | |||||||||||
Toho Gas Co. Ltd. |
Gas Utilities | 19,600 | 390,389 | |||||||||||
Tohoku Electric Power Co. Inc. |
Electric Utilities | 114,000 | 536,350 | |||||||||||
Tokai Carbon Co. Ltd. |
Chemicals | 48,000 | 324,654 |
franklintempleton.com |
Semiannual Report |
237 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Tokio Marine Holdings Inc. |
Insurance | 450,000 | $ | 7,974,369 | ||||||||||
Tokyo Century Corp. |
Diversified Financial Services | 15,000 | 477,737 | |||||||||||
a |
Tokyo Electric Power Co. Holdings Inc. |
Electric Utilities | 372,000 | 1,187,357 | ||||||||||
Tokyo Electron Ltd. |
Semiconductors & Semiconductor Equipment | 35,120 | 8,662,019 | |||||||||||
Tokyo Gas Co. Ltd. |
Gas Utilities | 96,000 | 1,625,590 | |||||||||||
Tokyo Ohka Kogyo Co. Ltd. |
Chemicals | 9,000 | 375,557 | |||||||||||
Tokyo Tatemono Co. Ltd. |
Real Estate Management & Development | 48,000 | 682,469 | |||||||||||
TOKYU Corp. |
Road & Rail | 114,000 | 1,297,164 | |||||||||||
Tokyu Fudosan Holdings Corp. |
Real Estate Management & Development | 144,000 | 747,135 | |||||||||||
TOPPAN Inc. |
Commercial Services & Supplies | 66,000 | 982,169 | |||||||||||
Toray Industries Inc. |
Chemicals | 360,000 | 1,770,341 | |||||||||||
Toshiba Corp. |
Industrial Conglomerates | 102,000 | 3,627,732 | |||||||||||
Toshiba TEC Corp. |
Technology Hardware, Storage & Peripherals | 6,000 | 155,031 | |||||||||||
Tosoh Corp. |
Chemicals | 66,000 | 734,119 | |||||||||||
TOTO Ltd. |
Building Products | 36,000 | 1,198,798 | |||||||||||
Toyo Seikan Group Holdings Ltd. |
Containers & Packaging | 36,000 | 433,756 | |||||||||||
Toyo Suisan Kaisha Ltd. |
Food Products | 24,000 | 988,221 | |||||||||||
Toyo Tire Corp. |
Auto Components | 24,000 | 260,320 | |||||||||||
Toyoda Gosei Co. Ltd. |
Auto Components | 18,000 | 271,719 | |||||||||||
Toyota Boshoku Corp. |
Auto Components | 18,000 | 220,360 | |||||||||||
Toyota Industries Corp. |
Auto Components | 36,000 | 1,711,147 | |||||||||||
Toyota Motor Corp. |
Automobiles | 2,892,000 | 37,482,414 | |||||||||||
Toyota Tsusho Corp. |
Trading Companies & Distributors | 54,000 | 1,671,353 | |||||||||||
Trend Micro Inc. |
Software | 30,000 | 1,620,781 | |||||||||||
TS TECH Co. Ltd. |
Auto Components | 24,000 | 235,283 | |||||||||||
Tsumura & Co. |
Pharmaceuticals | 18,000 | 383,640 | |||||||||||
Tsuruha Holdings Inc. |
Food & Staples Retailing | 8,570 | 502,672 | |||||||||||
Ube Industries Ltd. |
Chemicals | 24,000 | 320,343 | |||||||||||
Ulvac Inc. |
Semiconductors & Semiconductor Equipment | 12,000 | 425,300 | |||||||||||
Unicharm Corp. |
Household Products | 90,000 | 2,953,470 | |||||||||||
United Urban Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 720 | 743,653 | ||||||||||
Ushio Inc. |
Electrical Equipment | 24,000 | 249,045 | |||||||||||
USS Co. Ltd. |
Specialty Retail | 48,000 | 741,829 | |||||||||||
Welcia Holdings Co. Ltd. |
Food & Staples Retailing | 24,000 | 506,546 | |||||||||||
West Japan Railway Co. |
Road & Rail | 54,000 | 2,066,807 | |||||||||||
Yakult Honsha Co. Ltd. |
Food Products | 30,000 | 1,743,065 | |||||||||||
Yamada Holdings Co. Ltd. |
Specialty Retail | 174,000 | 572,206 | |||||||||||
Yamaguchi Financial Group Inc. |
Banks | 54,000 | 286,518 | |||||||||||
Yamaha Corp. |
Leisure Products | 36,000 | 1,278,386 | |||||||||||
Yamaha Motor Co. Ltd. |
Automobiles | 72,000 | 1,346,534 | |||||||||||
Yamato Holdings Co. Ltd. |
Air Freight & Logistics | 78,000 | 1,173,139 | |||||||||||
Yamato Kogyo Co. Ltd. |
Metals & Mining | 6,000 | 181,561 | |||||||||||
Yamazaki Baking Co. Ltd. |
Food Products | 30,000 | 344,675 | |||||||||||
Yaoko Co. Ltd. |
Food & Staples Retailing | 6,000 | 271,927 | |||||||||||
YASKAWA Electric Corp. |
Machinery | 60,000 | 1,726,485 | |||||||||||
Yokogawa Electric Corp. |
Electronic Equipment, Instruments & Components | 60,000 | 943,038 | |||||||||||
Yokohama Rubber Co. Ltd. |
Auto Components | 30,000 | 459,290 | |||||||||||
Z Holdings Corp. |
Interactive Media & Services | 618,000 | 1,623,293 | |||||||||||
Zenkoku Hosho Co. Ltd. |
Diversified Financial Services | 12,000 | 399,185 | |||||||||||
Zensho Holdings Co. Ltd. |
Hotels, Restaurants & Leisure | 24,000 | 594,425 | |||||||||||
Zeon Corp. |
Chemicals | 36,000 | 317,856 | |||||||||||
Zozo Inc. |
Internet & Direct Marketing Retail | 24,000 | 479,851 | |||||||||||
|
|
|||||||||||||
Total Investments before Short
Term Investments |
769,637,967 | |||||||||||||
|
|
238 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan ETF (continued)
Industry | Shares | Value | ||||||||||||
Short-Term Investments 0.1% | ||||||||||||||
Money Market Funds 0.1% |
||||||||||||||
United States 0.1% | ||||||||||||||
b,c |
Institutional Fiduciary Trust Portfolio, 2.45% |
Money Market Funds | 392,360 | $ | 392,360 | |||||||||
|
|
|||||||||||||
Total
Short-Term Investments |
392,360 | |||||||||||||
|
|
|||||||||||||
Total
Investments |
770,030,327 | |||||||||||||
Other Assets, less Liabilities 1.0% | 7,942,048 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 777,972,375 | ||||||||||||
|
|
aNon-income producing.
bThe rate shown is the annualized seven-day effective yield at period end.
cSee Note 3(c) regarding investments in affiliated management investment companies.
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized (Depreciation) |
|||||||||||||||
Index Contracts | ||||||||||||||||||||
Nikkei 225 Mini |
Long | 45 | $ | 8,064,527 | 12/08/22 | $ | (46,911 | ) |
*As of period end.
See Note 8 regarding other derivative information.
See Abbreviations on page 332.
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
239 |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Japan Hedged ETF
Six Months Ended (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$30.90 | $ | 30.70 | $ | 21.35 | $ | 23.12 | $ | 25.11 | $ | 25.91 | |||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment incomec |
0.33 | 0.68 | 0.88 | 0.38 | 0.38 | 0.32 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(1.43 | ) | (0.08 | ) | 8.47 | (2.15 | ) | (1.11 | ) | (1.11 | ) | |||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(1.10 | ) | 0.60 | 9.35 | (1.77 | ) | (0.73 | ) | (0.79 | ) | ||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from: | ||||||||||||||||||||||||
Net investment income |
(0.92 | ) | (0.40 | ) | — | — | (0.01 | ) | (0.01 | ) | ||||||||||||||
Net realized gains |
— | — | — | — | (1.25 | ) | — | d | ||||||||||||||||
|
|
|||||||||||||||||||||||
Total Distributions |
(0.92 | ) | (0.40 | ) | — | — | (1.26 | ) | (0.01 | ) | ||||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$28.88 | $ | 30.90 | $ | 30.70 | $ | 21.35 | $ | 23.12 | $ | 25.11 | |||||||||||||
|
|
|||||||||||||||||||||||
Total returne |
(3.50)% | 1.93% | 43.84% | (7.66)% | (2.59)% | (3.04)% | ||||||||||||||||||
Ratios to average net assetsf | ||||||||||||||||||||||||
Expenses before waiver and payments by affiliates |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Expenses net of waiver and payments by affiliates |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
2.20% | 2.22% | 3.29% | 1.59% | 1.51% | 3.10% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$23,104 | $24,720 | $24,563 | $4,269 | $13,870 | $45,197 | ||||||||||||||||||
Portfolio turnover rateg |
6.68% | h | 5.46% | h | 6.31% | h | 10.06% | h | 19.78% | 1.92% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dAmount rounds to less than $0.001 per share.
eTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
fRatios are annualized for periods less than one year, except for non- recurring expenses, if any.
gPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
hPortfolio turnover rate excluding cash creations was as follows: | 6.68% | 5.03% | 6.31% | 10.06% |
240 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Franklin FTSE Japan Hedged ETF
Industry | Shares | Value | ||||||||||||
Common Stocks 98.4% | ||||||||||||||
Japan 98.4% | ||||||||||||||
ABC-Mart Inc. |
Specialty Retail | 236 | $ | 10,158 | ||||||||||
Acom Co. Ltd. |
Consumer Finance | 2,700 | 5,801 | |||||||||||
Activia Properties Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 5 | 14,612 | ||||||||||
Advance Residence Investment |
Equity Real Estate Investment Trusts (REITs | ) | 9 | 22,042 | ||||||||||
Advantest Corp. |
Semiconductors & Semiconductor Equipment | 1,400 | 64,804 | |||||||||||
AEON Co. Ltd. |
Food & Staples Retailing | 5,000 | 93,388 | |||||||||||
AEON Financial Service Co. Ltd. |
Consumer Finance | 900 | 8,904 | |||||||||||
AEON Mall Co. Ltd. |
Real Estate Management & Development | 800 | 8,898 | |||||||||||
AEON REIT Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 12 | 12,933 | ||||||||||
AGC Inc. |
Building Products | 1,336 | 41,443 | |||||||||||
Aica Kogyo Co. Ltd. |
Building Products | 372 | 8,044 | |||||||||||
AIN Holdings Inc. |
Food & Staples Retailing | 236 | 10,190 | |||||||||||
Air Water Inc. |
Chemicals | 1,300 | 15,340 | |||||||||||
Aisin Seiki Co. Ltd. |
Auto Components | 1,256 | 32,193 | |||||||||||
Ajinomoto Co. Inc. |
Food Products | 3,348 | 91,642 | |||||||||||
Alfresa Holdings Corp. |
Health Care Providers & Services | 1,100 | 12,843 | |||||||||||
Alps Alpine Co. Ltd. |
Electronic Equipment, Instruments & Components | 1,272 | 9,192 | |||||||||||
Amada Co. Ltd. |
Machinery | 2,100 | 14,233 | |||||||||||
Amano Corp. |
Electronic Equipment, Instruments & Components | 400 | 6,715 | |||||||||||
a |
ANA Holdings Inc. |
Airlines | 1,100 | 20,656 | ||||||||||
Anritsu Corp. |
Electronic Equipment, Instruments & Components | 913 | 9,960 | |||||||||||
Aozora Bank Ltd. |
Banks | 800 | 14,271 | |||||||||||
Ariake Japan Co. Ltd. |
Food Products | 96 | 3,329 | |||||||||||
As One Corp. |
Health Care Providers & Services | 228 | 9,435 | |||||||||||
Asahi Group Holdings Ltd. |
Beverages | 3,372 | 104,460 | |||||||||||
Asahi Intecc Co. Ltd. |
Health Care Equipment & Supplies | 1,360 | 21,770 | |||||||||||
Asahi Kasei Corp. |
Chemicals | 8,700 | 57,431 | |||||||||||
Asics Corp. |
Textiles, Apparel & Luxury Goods | 1,200 | 19,068 | |||||||||||
ASKUL Corp. |
Internet & Direct Marketing Retail | 272 | 2,807 | |||||||||||
Astellas Pharma Inc. |
Pharmaceuticals | 12,900 | 170,847 | |||||||||||
Azbil Corp. |
Electronic Equipment, Instruments & Components | 872 | 22,712 | |||||||||||
Bandai Namco Holdings Inc. |
Leisure Products | 1,351 | 88,044 | |||||||||||
BayCurrent Consulting Inc. |
Professional Services | 90 | 23,410 | |||||||||||
Benefit One Inc. |
Professional Services | 372 | 5,225 | |||||||||||
Benesse Holdings Inc. |
Diversified Consumer Services | 500 | 7,444 | |||||||||||
BIC CAMERA Inc. |
Specialty Retail | 1,000 | 8,546 | |||||||||||
Bridgestone Corp. |
Auto Components | 3,984 | 128,511 | |||||||||||
Brother Industries Ltd. |
Technology Hardware, Storage & Peripherals | 1,600 | 27,535 | |||||||||||
Calbee Inc. |
Food Products | 500 | 10,709 | |||||||||||
CANON Inc. |
Technology Hardware, Storage & Peripherals | 6,900 | 151,209 | |||||||||||
Canon Marketing Japan Inc. |
Electronic Equipment, Instruments & Components | 272 | 6,013 | |||||||||||
Capcom Co. Ltd. |
Entertainment | 1,248 | 31,384 | |||||||||||
Casio Computer Co. Ltd. |
Household Durables | 1,500 | 13,151 | |||||||||||
Central Japan Railway Co. |
Road & Rail | 1,290 | 150,929 | |||||||||||
Chubu Electric Power Co. Inc. |
Electric Utilities | 4,932 | 44,432 | |||||||||||
Chugai Pharmaceutical Co. Ltd. |
Pharmaceuticals | 4,592 | 115,034 | |||||||||||
Chuo Mitsui Trust Holdings Inc. |
Banks | 2,572 | 72,836 | |||||||||||
Coca-Cola Bottlers Japan Holdings Inc. |
Beverages | 900 | 8,730 | |||||||||||
COMSYS Holdings Corp. |
Construction & Engineering | 736 | 12,519 | |||||||||||
Concordia Financial Group Ltd. |
Banks | 7,500 | 23,161 | |||||||||||
Cosmo Energy Holdings Co. Ltd. |
Oil, Gas & Consumable Fuels | 520 | 13,328 | |||||||||||
Cosmos Pharmaceutical Corp. |
Food & Staples Retailing | 97 | 9,617 | |||||||||||
Credit Saison Co. Ltd. |
Consumer Finance | 1,000 | 11,690 | |||||||||||
CyberAgent Inc. |
Media | 2,884 | 24,268 | |||||||||||
Dai Nippon Printing Co. Ltd. |
Commercial Services & Supplies | 1,872 | 37,506 | |||||||||||
Daicel Corp. |
Chemicals | 1,800 | 10,583 | |||||||||||
Daido Steel Co. Ltd. |
Metals & Mining | 268 | 6,517 |
franklintempleton.com |
Semiannual Report |
241 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Daifuku Co. Ltd. |
Machinery | 701 | $ | 32,981 | ||||||||||
Dai-ichi Life Holdings Inc. |
Insurance | 6,900 | 109,260 | |||||||||||
Daiichi Sankyo Co. Ltd. |
Pharmaceuticals | 13,200 | 368,610 | |||||||||||
Daiichikosho Co. Ltd. |
Entertainment | 340 | 9,560 | |||||||||||
Daikin Industries Ltd. |
Building Products | 1,876 | 288,959 | |||||||||||
Daio Paper Corp. |
Paper & Forest Products | 500 | 4,007 | |||||||||||
Daito Trust Construction Co. Ltd. |
Real Estate Management & Development | 432 | 40,500 | |||||||||||
Daiwa House Industry Co. Ltd. |
Real Estate Management & Development | 4,472 | 90,942 | |||||||||||
Daiwa House Residential Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 15 | 31,193 | ||||||||||
Daiwa Office Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 2 | 9,285 | ||||||||||
Daiwa Securities Group Inc. |
Capital Markets | 10,300 | 40,305 | |||||||||||
Daiwa Securities Living Investments Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 14 | 11,104 | ||||||||||
DeNA Co. Ltd. |
Entertainment | 636 | 8,037 | |||||||||||
Denka Co. Ltd. |
Chemicals | 564 | 12,371 | |||||||||||
Denso Corp. |
Auto Components | 3,200 | 145,602 | |||||||||||
Dentsu Group Inc. |
Media | 1,500 | 42,592 | |||||||||||
Descente Ltd. |
Textiles, Apparel & Luxury Goods | 300 | 6,891 | |||||||||||
DIC Corp. |
Chemicals | 500 | 8,315 | |||||||||||
Disco Corp. |
Semiconductors & Semiconductor Equipment | 178 | 39,352 | |||||||||||
DMG Mori Co. Ltd. |
Machinery | 736 | 8,390 | |||||||||||
Dowa Holdings Co. Ltd. |
Metals & Mining | 372 | 13,339 | |||||||||||
East Japan Railway Co. |
Road & Rail | 2,580 | 132,275 | |||||||||||
EBARA Corp. |
Machinery | 680 | 22,245 | |||||||||||
Eisai Co. Ltd. |
Pharmaceuticals | 1,860 | 99,576 | |||||||||||
Electric Power Development Co. Ltd. |
Independent Power Producers & Energy Traders | 1,100 | 15,564 | |||||||||||
ENEOS Holdings Inc. |
Oil, Gas & Consumable Fuels | 20,500 | 65,871 | |||||||||||
Ezaki Glico Co. Ltd. |
Food Products | 372 | 9,162 | |||||||||||
Fancl Corp. |
Personal Products | 432 | 8,584 | |||||||||||
FANUC Corp. |
Machinery | 1,360 | 190,360 | |||||||||||
Fast Retailing Co. Ltd. |
Specialty Retail | 360 | 190,788 | |||||||||||
FP Corp. |
Containers & Packaging | 272 | 6,680 | |||||||||||
Frontier Real Estate Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 4 | 14,729 | ||||||||||
Fuji Electric Co. Ltd. |
Electrical Equipment | 872 | 31,869 | |||||||||||
Fuji Kyuko Co. Ltd. |
Hotels, Restaurants & Leisure | 200 | 5,914 | |||||||||||
Fuji Media Holdings Inc. |
Media | 272 | 1,996 | |||||||||||
Fuji Oil Holdings Inc. |
Food Products | 272 | 4,521 | |||||||||||
FUJIFILM Holdings Corp. |
Technology Hardware, Storage & Peripherals | 2,456 | 112,140 | |||||||||||
Fujitsu General Ltd. |
Household Durables | 372 | 7,723 | |||||||||||
Fujitsu Ltd. |
IT Services | 1,292 | 140,898 | |||||||||||
Fukuoka Financial Group Inc. |
Banks | 1,100 | 19,501 | |||||||||||
Furukawa Electric Co. Ltd. |
Electrical Equipment | 412 | 6,527 | |||||||||||
Fuyo General Lease Co. Ltd. |
Diversified Financial Services | 100 | 5,451 | |||||||||||
GLP J-Reit |
Equity Real Estate Investment Trusts (REITs | ) | 30 | 33,183 | ||||||||||
GMO internet Inc. |
IT Services | 400 | 7,041 | |||||||||||
GMO Payment Gateway Inc. |
IT Services | 260 | 17,873 | |||||||||||
Goldwin Inc. |
Textiles, Apparel & Luxury Goods | 276 | 14,606 | |||||||||||
GS Yuasa Corp. |
Electrical Equipment | 500 | 7,800 | |||||||||||
GungHo Online Entertainment Inc. |
Entertainment | 200 | 3,074 | |||||||||||
Hachijuni Bank Ltd. |
Banks | 3,100 | 10,259 | |||||||||||
Hakuhodo DY Holdings Inc. |
Media | 1,800 | 12,660 | |||||||||||
Hamamatsu Photonics K.K. |
Electronic Equipment, Instruments & Components | 872 | 37,351 | |||||||||||
Hankyu Hanshin Holdings Inc. |
Road & Rail | 1,500 | 45,079 | |||||||||||
Haseko Corp. |
Household Durables | 1,700 | 18,451 | |||||||||||
Heiwa Corp. |
Leisure Products | 372 | 5,752 | |||||||||||
Hikari Tsushin Inc. |
Specialty Retail | 116 | 13,656 | |||||||||||
Hino Motors Ltd. |
Machinery | 1,800 | 7,412 | |||||||||||
Hirogin Holdings Inc. |
Banks | 2,200 | 9,241 |
242 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Hirose Electric Co. Ltd. |
Electronic Equipment, Instruments & Components | 210 | $ | 27,537 | ||||||||||
Hisamitsu Pharmaceutical Co. Inc. |
Pharmaceuticals | 500 | 11,728 | |||||||||||
Hitachi Construction Machinery Co. Ltd. |
Machinery | 736 | 13,607 | |||||||||||
Hitachi Ltd. |
Industrial Conglomerates | 6,400 | 270,335 | |||||||||||
a |
Hitachi Metals Ltd. |
Metals & Mining | 1,372 | 20,616 | ||||||||||
Hitachi Transport System Ltd. |
Road & Rail | 208 | 12,445 | |||||||||||
Honda Motor Co. Ltd. |
Automobiles | 11,900 | 257,904 | |||||||||||
HORIBA Ltd. |
Electronic Equipment, Instruments & Components | 300 | 11,627 | |||||||||||
Hoshizaki Corp. |
Machinery | 844 | 23,528 | |||||||||||
House Foods Group Inc. |
Food Products | 500 | 9,973 | |||||||||||
Hoya Corp. |
Health Care Equipment & Supplies | 2,500 | 239,732 | |||||||||||
Hulic Co. Ltd. |
Real Estate Management & Development | 2,800 | 20,563 | |||||||||||
Ibiden Co. Ltd. |
Electronic Equipment, Instruments & Components | 736 | 20,136 | |||||||||||
Idemitsu Kosan Co. Ltd. |
Oil, Gas & Consumable Fuels | 1,688 | 36,560 | |||||||||||
IHI Corp. |
Machinery | 872 | 18,676 | |||||||||||
Iida Group Holdings Co. Ltd. |
Household Durables | 1,100 | 14,918 | |||||||||||
Industrial & Infrastructure Fund Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 14 | 15,872 | ||||||||||
Information Services International-Dentsu Ltd. |
IT Services | 200 | 6,121 | |||||||||||
INFRONEER Holdings Inc. |
Construction & Engineering | 1,592 | 10,823 | |||||||||||
INPEX Corp. |
Oil, Gas & Consumable Fuels | 7,000 | 65,722 | |||||||||||
Internet Initiative Japan Inc. |
Diversified Telecommunication Services | 800 | 12,275 | |||||||||||
Isetan Mitsukoshi Holdings Ltd. |
Multiline Retail | 2,500 | 21,192 | |||||||||||
Isuzu Motors Ltd. |
Automobiles | 3,600 | 39,720 | |||||||||||
Ito En Ltd. |
Beverages | 372 | 15,060 | |||||||||||
ITOCHU Corp. |
Trading Companies & Distributors | 9,412 | 227,651 | |||||||||||
ITOCHU Techno-Solutions Corp. |
IT Services | 700 | 16,394 | |||||||||||
Itoham Yonekyu Holdings Inc. |
Food Products | 1,100 | 5,061 | |||||||||||
Iwatani Corp. |
Oil, Gas & Consumable Fuels | 400 | 15,061 | |||||||||||
Izumi Co. Ltd. |
Multiline Retail | 308 | 6,607 | |||||||||||
J Front Retailing Co. Ltd. |
Multiline Retail | 1,700 | 13,812 | |||||||||||
a |
Japan Airlines Co. Ltd. |
Airlines | 1,000 | 17,838 | ||||||||||
a |
Japan Airport Terminal Co. Ltd. |
Transportation Infrastructure | 380 | 15,883 | ||||||||||
Japan Aviatn Elect |
Electronic Equipment, Instruments & Components | 272 | 3,984 | |||||||||||
Japan Exchange Group Inc. |
Capital Markets | 3,772 | 50,881 | |||||||||||
Japan Hotel REIT Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 32 | 15,940 | ||||||||||
Japan Logistics Fund Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 6 | 12,871 | ||||||||||
Japan Post Bank Co. Ltd. |
Banks | 2,800 | 19,518 | |||||||||||
Japan Post Holdings Co. Ltd. |
Insurance | 15,200 | 100,570 | |||||||||||
Japan Post Insurance Co. Ltd. |
Insurance | 1,496 | 20,940 | |||||||||||
Japan Prime Realty Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 7 | 19,006 | ||||||||||
Japan Real Estate Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 9 | 37,120 | ||||||||||
Japan Retail Fund Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 49 | 36,832 | ||||||||||
Japan Tobacco Inc. |
Tobacco | 8,300 | 136,130 | |||||||||||
JCR Pharmaceuticals Co. Ltd. |
Pharmaceuticals | 400 | 5,983 | |||||||||||
Jeol Ltd. |
Health Care Equipment & Supplies | 300 | 9,855 | |||||||||||
JFE Holdings Inc. |
Metals & Mining | 3,500 | 32,426 | |||||||||||
JGC Holdings Corp. |
Construction & Engineering | 1,600 | 19,997 | |||||||||||
JMDC Inc. |
Health Care Technology | 100 | 3,292 | |||||||||||
JSR Corp. |
Chemicals | 1,236 | 23,483 | |||||||||||
JTEKT Corp. |
Auto Components | 1,600 | 10,125 | |||||||||||
Justsystems Corp. |
Software | 200 | 4,622 | |||||||||||
Kadokawa Corp. |
Media | 600 | 11,035 | |||||||||||
Kagome Co. Ltd. |
Food Products | 500 | 10,415 | |||||||||||
Kajima Corp. |
Construction & Engineering | 3,100 | 29,406 | |||||||||||
Kakaku.com Inc. |
Interactive Media & Services | 872 | 14,832 | |||||||||||
Kaken Pharmaceutical Co. Ltd. |
Pharmaceuticals | 260 | 6,853 | |||||||||||
Kamigumi Co. Ltd. |
Transportation Infrastructure | 636 | 11,749 |
franklintempleton.com |
Semiannual Report |
243 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Kandenko Co. Ltd. |
Construction & Engineering | 600 | $ | 3,449 | ||||||||||
Kaneka Corp. |
Chemicals | 472 | 11,772 | |||||||||||
Kansai Paint Co. Ltd. |
Chemicals | 1,288 | 18,215 | |||||||||||
KAO Corp. |
Personal Products | 3,224 | 131,370 | |||||||||||
Katitas Co. Ltd. |
Real Estate Management & Development | 300 | 6,663 | |||||||||||
Kawasaki Heavy Industries Ltd. |
Machinery | 1,000 | 15,109 | |||||||||||
Kawasaki Kisen Kaisha Ltd. |
Marine | 1,700 | 23,865 | |||||||||||
KDDI Corp. |
Wireless Telecommunication Services | 11,568 | 339,100 | |||||||||||
Keihan Holdings Co. Ltd. |
Industrial Conglomerates | 692 | 17,952 | |||||||||||
Keikyu Corp. |
Road & Rail | 1,700 | 17,218 | |||||||||||
Keio Corp. |
Road & Rail | 800 | 29,127 | |||||||||||
Keisei Electric Railway Co. Ltd. |
Road & Rail | 1,004 | 27,329 | |||||||||||
Kenedix Office Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 3 | 14,114 | ||||||||||
Kewpie Corp. |
Food Products | 736 | 12,102 | |||||||||||
Keyence Corp. |
Electronic Equipment, Instruments & Components | 1,374 | 454,693 | |||||||||||
Kikkoman Corp. |
Food Products | 1,336 | 75,686 | |||||||||||
Kinden Corp. |
Construction & Engineering | 872 | 9,205 | |||||||||||
Kintetsu Group Holdings Co. Ltd. |
Road & Rail | 1,296 | 43,157 | |||||||||||
Kirin Holdings Co. Ltd. |
Beverages | 5,300 | 81,544 | |||||||||||
Kobayashi Pharmaceutical Co. Ltd. |
Personal Products | 424 | 24,840 | |||||||||||
Kobe Bussan Co. Ltd. |
Food & Staples Retailing | 1,000 | 24,146 | |||||||||||
Kobe Steel Ltd. |
Metals & Mining | 2,400 | 9,617 | |||||||||||
Koei Tecmo Holdings Co. Ltd. |
Entertainment | 994 | 16,310 | |||||||||||
Koito Manufacturing Co. Ltd. |
Auto Components | 1,594 | 21,706 | |||||||||||
Kokuyo Co. Ltd. |
Commercial Services & Supplies | 500 | 6,342 | |||||||||||
Komatsu Ltd. |
Machinery | 6,416 | 115,736 | |||||||||||
Konami Holdings Corp. |
Entertainment | 676 | 31,198 | |||||||||||
Konica Minolta Inc. |
Technology Hardware, Storage & Peripherals | 3,300 | 10,168 | |||||||||||
Kose Corp. |
Personal Products | 256 | 26,353 | |||||||||||
Kotobuki Spirits Co. Ltd. |
Food Products | 100 | 5,769 | |||||||||||
K’s Holdings Corp. |
Specialty Retail | 1,100 | 9,081 | |||||||||||
Kubota Corp. |
Machinery | 7,600 | 105,222 | |||||||||||
Kuraray Co. Ltd. |
Chemicals | 2,400 | 16,763 | |||||||||||
Kurita Water Industries Ltd. |
Machinery | 736 | 26,238 | |||||||||||
Kusuri no Aoki Holdings Co. Ltd. |
Food & Staples Retailing | 80 | 3,764 | |||||||||||
Kyocera Corp. |
Electronic Equipment, Instruments & Components | 2,192 | 110,550 | |||||||||||
Kyowa Exeo Corp. |
Construction & Engineering | 636 | 9,188 | |||||||||||
Kyowa Kirin Co. Ltd. |
Pharmaceuticals | 1,700 | 38,934 | |||||||||||
Kyudenko Corp. |
Construction & Engineering | 280 | 5,320 | |||||||||||
Kyushu Electric Power Co. Inc. |
Electric Utilities | 3,200 | 17,067 | |||||||||||
Kyushu Financial Group Inc. |
Banks | 2,700 | 7,126 | |||||||||||
Kyushu Railway Co. |
Road & Rail | 1,100 | 23,749 | |||||||||||
LaSalle Logiport REIT |
Equity Real Estate Investment Trusts (REITs | ) | 12 | 13,422 | ||||||||||
Lasertec Corp. |
Semiconductors & Semiconductor Equipment | 584 | 59,290 | |||||||||||
Lawson Inc. |
Food & Staples Retailing | 352 | 11,527 | |||||||||||
LINTEC Corp. |
Chemicals | 272 | 4,174 | |||||||||||
Lion Corp. |
Household Products | 1,700 | 19,214 | |||||||||||
LIXIL Group Corp. |
Building Products | 1,936 | 28,342 | |||||||||||
M3 Inc. |
Health Care Technology | 2,920 | 81,722 | |||||||||||
Mabuchi Motor Co. Ltd. |
Electrical Equipment | 372 | 10,100 | |||||||||||
Makita Corp. |
Machinery | 1,728 | 33,415 | |||||||||||
Mani Inc. |
Health Care Equipment & Supplies | 400 | 4,858 | |||||||||||
Marubeni Corp. |
Trading Companies & Distributors | 10,900 | 95,487 | |||||||||||
Marui Group Co. Ltd. |
Multiline Retail | 1,372 | 22,730 | |||||||||||
Maruichi Steel Tube Ltd. |
Metals & Mining | 412 | 8,422 | |||||||||||
Maruwa Unyu Kikan Co. Ltd. |
Air Freight & Logistics | 200 | 2,005 | |||||||||||
Matsui Securities Co. Ltd. |
Capital Markets | 600 | 3,233 |
244 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Matsumotokiyoshi Holdings Co. Ltd. |
Food & Staples Retailing | 900 | $ | 38,737 | ||||||||||
Mazda Motor Corp. |
Automobiles | 3,900 | 25,758 | |||||||||||
Mebuki Financial Group Inc. |
Banks | 6,800 | 13,248 | |||||||||||
Medipal Holdings Corp. |
Health Care Providers & Services | 1,100 | 14,006 | |||||||||||
Meiji Holdings Co. Ltd. |
Food Products | 893 | 39,670 | |||||||||||
Menicon Co. Ltd. |
Health Care Equipment & Supplies | 340 | 6,983 | |||||||||||
Minebea Mitsumi Inc. |
Machinery | 2,836 | 41,910 | |||||||||||
Miraca Holdings Inc. |
Health Care Providers & Services | 372 | 6,785 | |||||||||||
MISUMI Group Inc. |
Machinery | 1,980 | 42,679 | |||||||||||
Mitsubishi Chemical Holdings Corp. |
Chemicals | 9,000 | 41,137 | |||||||||||
Mitsubishi Corp. |
Trading Companies & Distributors | 8,373 | 229,535 | |||||||||||
Mitsubishi Electric Corp. |
Electrical Equipment | 13,700 | 123,470 | |||||||||||
Mitsubishi Estate Co. Ltd. |
Real Estate Management & Development | 7,901 | 103,522 | |||||||||||
Mitsubishi Gas Chemical Co. Inc. |
Chemicals | 1,236 | 16,190 | |||||||||||
Mitsubishi Heavy Industries Ltd. |
Machinery | 2,000 | 66,406 | |||||||||||
Mitsubishi Logistics Corp. |
Transportation Infrastructure | 424 | 9,989 | |||||||||||
Mitsubishi Materials Corp. |
Metals & Mining | 972 | 13,357 | |||||||||||
a |
Mitsubishi Motors Corp. |
Automobiles | 4,200 | 15,031 | ||||||||||
Mitsubishi UFJ Financial Group Inc. |
Banks | 84,500 | 380,336 | |||||||||||
Mitsubishi UFJ Lease & Finance Co. Ltd. |
Diversified Financial Services | 4,589 | 19,720 | |||||||||||
Mitsui & Co. Ltd. |
Trading Companies & Distributors | 11,000 | 234,751 | |||||||||||
Mitsui Chemicals Inc. |
Chemicals | 1,236 | 24,072 | |||||||||||
Mitsui Fudosan Co. Ltd. |
Real Estate Management & Development | 6,400 | 121,792 | |||||||||||
Mitsui Fudosan Logistics Park Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 4 | 13,679 | ||||||||||
Mitsui High-Tec Inc. |
Semiconductors & Semiconductor Equipment | 220 | 10,351 | |||||||||||
Mitsui Mining and Smelting Co. Ltd. |
Metals & Mining | 372 | 7,813 | |||||||||||
Mitsui OSK Lines Ltd. |
Marine | 2,308 | 41,490 | |||||||||||
Miura Co. Ltd. |
Machinery | 680 | 13,840 | |||||||||||
Mizuho Financial Group Inc. |
Banks | 17,900 | 193,228 | |||||||||||
a |
Money Forward Inc. |
Software | 300 | 6,384 | ||||||||||
MonotaRO Co. Ltd. |
Trading Companies & Distributors | 1,620 | 24,869 | |||||||||||
Mori Hills REIT Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 11 | 11,878 | ||||||||||
Morinaga & Co. Ltd. |
Food Products | 304 | 8,348 | |||||||||||
Morinaga Milk Industry Co. Ltd. |
Food Products | 308 | 9,054 | |||||||||||
MS&AD Insurance Group Holdings Inc. |
Insurance | 3,272 | 86,714 | |||||||||||
Murata Manufacturing Co. Ltd. |
Electronic Equipment, Instruments & Components | 4,032 | 184,740 | |||||||||||
Nabtesco Corp. |
Machinery | 776 | 15,842 | |||||||||||
Nagase & Co. Ltd. |
Trading Companies & Distributors | 700 | 9,532 | |||||||||||
Nagoya Railroad Co. Ltd. |
Road & Rail | 1,476 | 22,679 | |||||||||||
Nankai Electric Railway Co. Ltd. |
Road & Rail | 736 | 15,031 | |||||||||||
NEC Corp. |
IT Services | 1,860 | 59,432 | |||||||||||
NEC System Integration & Construction Ltd. |
IT Services | 600 | 6,520 | |||||||||||
Net One Systems Co. Ltd. |
IT Services | 600 | 11,681 | |||||||||||
Nexon Co. Ltd. |
Entertainment | 2,772 | 48,873 | |||||||||||
NGK Insulators Ltd. |
Machinery | 1,900 | 23,628 | |||||||||||
NGK Spark Plug Co. Ltd. |
Auto Components | 1,400 | 24,780 | |||||||||||
NH Foods Ltd. |
Food Products | 736 | 19,373 | |||||||||||
NHK Spring Co. Ltd. |
Auto Components | 1,100 | 6,467 | |||||||||||
Nichirei Corp. |
Food Products | 736 | 12,127 | |||||||||||
Nidec Corp. |
Electrical Equipment | 3,189 | 179,119 | |||||||||||
Nifco Inc. |
Auto Components | 600 | 12,456 | |||||||||||
Nihon Kohden Corp. |
Health Care Equipment & Supplies | 500 | 10,639 | |||||||||||
Nihon M&A Center Inc. |
Professional Services | 1,744 | 20,037 | |||||||||||
Nihon Unisys Ltd. |
IT Services | 412 | 8,938 | |||||||||||
Nikon Corp. |
Household Durables | 2,200 | 20,777 | |||||||||||
Nintendo Co. Ltd. |
Entertainment | 7,430 | 300,496 | |||||||||||
Nippon Accommodations Fund Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 3 | 13,596 |
franklintempleton.com |
Semiannual Report |
245 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Nippon Building Fund Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 11 | $ | 48,333 | |||||||||
Nippon Electric Glass Co. Ltd. |
Electronic Equipment, Instruments & Components | 500 | 8,612 | |||||||||||
Nippon Express Co. Ltd. |
Road & Rail | 500 | 25,424 | |||||||||||
Nippon Kayaku Co. Ltd. |
Chemicals | 1,100 | 8,800 | |||||||||||
Nippon Paint Holdings Co. Ltd. |
Chemicals | 7,152 | 48,373 | |||||||||||
Nippon Prologis REIT Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 16 | 34,986 | ||||||||||
Nippon Sanso Holdings Corp. |
Chemicals | 1,024 | 16,137 | |||||||||||
Nippon Shinyaku Co. Ltd. |
Pharmaceuticals | 336 | 17,178 | |||||||||||
Nippon Shobukai Co. Ltd. |
Chemicals | 256 | 9,551 | |||||||||||
Nippon Steel Corp. |
Metals & Mining | 5,700 | 79,015 | |||||||||||
Nippon Telegraph & Telephone Corp. |
Diversified Telecommunication Services | 8,300 | 223,979 | |||||||||||
Nippon Television Holdings Inc. |
Media | 100 | 799 | |||||||||||
Nippon Yusen KK |
Marine | 3,300 | 56,244 | |||||||||||
Nipro Corp. |
Health Care Equipment & Supplies | 700 | 5,262 | |||||||||||
Nishi-Nippon Railroad Co. Ltd. |
Road & Rail | 500 | 9,962 | |||||||||||
Nissan Chemical Corp. |
Chemicals | 912 | 40,640 | |||||||||||
Nissan Motor Co. Ltd. |
Automobiles | 13,600 | 43,240 | |||||||||||
Nisshin Seifun Group Inc. |
Food Products | 1,700 | 17,241 | |||||||||||
Nissin Foods Holdings Co. Ltd. |
Food Products | 452 | 31,446 | |||||||||||
Nitori Holdings Co. Ltd. |
Specialty Retail | 501 | 42,193 | |||||||||||
Nitto Denko Corp. |
Chemicals | 1,000 | 54,095 | |||||||||||
Noevir Holdings Co. Ltd. |
Personal Products | 92 | 3,610 | |||||||||||
NOF Corp. |
Chemicals | 500 | 18,032 | |||||||||||
NOK Corp. |
Auto Components | 872 | 6,789 | |||||||||||
Nomura Holdings Inc. |
Capital Markets | 21,100 | 69,738 | |||||||||||
Nomura Real Estate Holdings Inc. |
Real Estate Management & Development | 800 | 18,101 | |||||||||||
Nomura Real Estate Master Fund Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 32 | 35,306 | ||||||||||
Nomura Research Institute Ltd. |
IT Services | 2,740 | 67,201 | |||||||||||
NS Solutions Corp. |
IT Services | 236 | 5,698 | |||||||||||
NSK Ltd. |
Machinery | 3,100 | 15,142 | |||||||||||
NTT Data Corp. |
IT Services | 4,300 | 55,434 | |||||||||||
Obayashi Corp. |
Construction & Engineering | 4,700 | 30,133 | |||||||||||
OBIC Business Consultants Co. Ltd. |
Software | 184 | 5,695 | |||||||||||
OBIC Co. Ltd. |
IT Services | 467 | 62,559 | |||||||||||
Odakyu Electric Railway Co. Ltd. |
Road & Rail | 2,200 | 28,331 | |||||||||||
Oji Holdings Corp. |
Paper & Forest Products | 6,000 | 22,301 | |||||||||||
Okuma Corp. |
Machinery | 236 | 8,071 | |||||||||||
Olympus Corp. |
Health Care Equipment & Supplies | 8,840 | 169,691 | |||||||||||
Omron Corp. |
Electronic Equipment, Instruments & Components | 1,316 | 60,152 | |||||||||||
Ono Pharmaceutical Co. Ltd. |
Pharmaceuticals | 2,904 | 67,833 | |||||||||||
Open House Co. Ltd. |
Household Durables | 500 | 16,909 | |||||||||||
Oracle Corp. Japan |
Software | 260 | 13,831 | |||||||||||
Orient Corp. |
Consumer Finance | 360 | 2,850 | |||||||||||
Oriental Land Co. Ltd. |
Hotels, Restaurants & Leisure | 1,332 | 181,333 | |||||||||||
ORIX Corp. |
Diversified Financial Services | 8,400 | 117,720 | |||||||||||
ORIX JREIT Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 19 | 24,284 | ||||||||||
Osaka Gas Co. Ltd. |
Gas Utilities | 2,700 | 40,777 | |||||||||||
OSG Corp. |
Machinery | 600 | 7,403 | |||||||||||
Otsuka Corp. |
IT Services | 736 | 23,009 | |||||||||||
Otsuka Holdings Co. Ltd. |
Pharmaceuticals | 2,904 | 91,968 | |||||||||||
Paltac Corp. |
Distributors | 260 | 8,002 | |||||||||||
Pan Pacific International Holdings Corp. |
Multiline Retail | 2,828 | 50,017 | |||||||||||
Panasonic Corp. |
Household Durables | 15,000 | 105,133 | |||||||||||
a |
Park24 Co. Ltd. |
Commercial Services & Supplies | 872 | 11,260 | ||||||||||
Penta-Ocean Construction Co. Ltd. |
Construction & Engineering | 1,900 | 9,543 | |||||||||||
a |
PeptiDream Inc. |
Biotechnology | 660 | 7,364 | ||||||||||
Persol Holdings Co. Ltd. |
Professional Services | 1,200 | 22,177 |
246 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Pigeon Corp. |
Household Products | 736 | $ | 10,749 | ||||||||||
Pola Orbis Holdings Inc. |
Personal Products | 600 | 6,777 | |||||||||||
Rakus Co. Ltd. |
Software | 600 | 5,671 | |||||||||||
Rakuten Inc. |
Internet & Direct Marketing Retail | 5,500 | 23,597 | |||||||||||
Recruit Holdings Co. Ltd. |
Professional Services | 9,676 | 278,157 | |||||||||||
Relo Group Inc. |
Real Estate Management & Development | 736 | 11,197 | |||||||||||
a |
Renesas Electronics Corp. |
Semiconductors & Semiconductor Equipment | 8,500 | 70,586 | ||||||||||
Rengo Co. Ltd. |
Containers & Packaging | 1,500 | 8,705 | |||||||||||
a |
RENOVA Inc. |
Independent Power Producers & Energy Traders | 300 | 7,057 | ||||||||||
Resona Holdings Inc. |
Banks | 15,536 | 56,672 | |||||||||||
Resorttrust Inc. |
Hotels, Restaurants & Leisure | 400 | 6,417 | |||||||||||
Ricoh Co. Ltd. |
Technology Hardware, Storage & Peripherals | 4,200 | 30,641 | |||||||||||
Rinnai Corp. |
Household Durables | 228 | 16,366 | |||||||||||
Rohm Co. Ltd. |
Semiconductors & Semiconductor Equipment | 636 | 41,567 | |||||||||||
Rohto Pharmaceutical Co. Ltd. |
Personal Products | 736 | 23,568 | |||||||||||
Ryohin Keikaku Co. Ltd. |
Multiline Retail | 1,700 | 14,199 | |||||||||||
Sankyo Co. Ltd. |
Leisure Products | 272 | 8,240 | |||||||||||
Sankyu Inc. |
Road & Rail | 372 | 10,794 | |||||||||||
Sanrio Co. Ltd. |
Specialty Retail | 400 | 10,280 | |||||||||||
Santen Pharmaceutical Co. Ltd. |
Pharmaceuticals | 2,600 | 17,514 | |||||||||||
Sanwa Holdings Corp. |
Building Products | 1,300 | 11,173 | |||||||||||
Sapporo Holdings Ltd. |
Beverages | 400 | 8,788 | |||||||||||
Sawai Group Holdings Co. Ltd. |
Pharmaceuticals | 288 | 8,078 | |||||||||||
SBI Holdings Inc. |
Capital Markets | 1,712 | 30,705 | |||||||||||
SCREEN Holdings Co. Ltd. |
Semiconductors & Semiconductor Equipment | 292 | 15,897 | |||||||||||
SCSK Corp. |
IT Services | 872 | 13,193 | |||||||||||
Secom Co. Ltd. |
Commercial Services & Supplies | 1,372 | 78,446 | |||||||||||
Sega Sammy Holdings Inc. |
Leisure Products | 1,228 | 16,705 | |||||||||||
Seibu Holdings Inc. |
Industrial Conglomerates | 1,400 | 13,986 | |||||||||||
Seiko Epson Corp. |
Technology Hardware, Storage & Peripherals | 1,900 | 25,859 | |||||||||||
Seino Holdings Co. Ltd. |
Road & Rail | 1,000 | 8,014 | |||||||||||
Sekisui Chemical Co. Ltd. |
Household Durables | 2,300 | 28,094 | |||||||||||
Sekisui House Ltd. |
Household Durables | 3,900 | 64,692 | |||||||||||
Sekisui House Reit Inc. |
Equity Real Estate Investment Trusts (REITs | ) | 28 | 15,708 | ||||||||||
Seven & i Holdings Co. Ltd. |
Food & Staples Retailing | 5,400 | 216,604 | |||||||||||
Seven Bank Ltd. |
Banks | 4,300 | 7,694 | |||||||||||
SG Holdings Co. Ltd. |
Air Freight & Logistics | 3,044 | 41,640 | |||||||||||
Sharp Corp. |
Household Durables | 1,400 | 8,347 | |||||||||||
a |
SHIFT Inc. |
IT Services | 60 | 7,830 | ||||||||||
a |
Shikoku Electric Power Co. Inc. |
Electric Utilities | 1,000 | 4,995 | ||||||||||
Shimadzu Corp. |
Electronic Equipment, Instruments & Components | 1,900 | 49,815 | |||||||||||
Shimamura Co. Ltd. |
Specialty Retail | 116 | 9,801 | |||||||||||
SHIMANO Inc. |
Leisure Products | 539 | 84,679 | |||||||||||
Shimizu Corp. |
Construction & Engineering | 3,500 | 17,144 | |||||||||||
Shin-Etsu Chemical Co. Ltd. |
Chemicals | 2,770 | 274,235 | |||||||||||
Shinko Electric Industries Co. Ltd. |
Semiconductors & Semiconductor Equipment | 500 | 10,760 | |||||||||||
Shinsei Bank Ltd. |
Banks | 400 | 5,734 | |||||||||||
Shionogi & Co. Ltd. |
Pharmaceuticals | 1,912 | 92,321 | |||||||||||
Ship Healthcare Holdings Inc. |
Health Care Providers & Services | 500 | 9,392 | |||||||||||
Shiseido Co. Ltd. |
Personal Products | 2,708 | 94,592 | |||||||||||
SHO-BOND Holdings Co. Ltd. |
Construction & Engineering | 340 | 14,704 | |||||||||||
a |
Shochiku Co. Ltd. |
Entertainment | 56 | 4,604 | ||||||||||
Showa Denko K.K. |
Chemicals | 1,352 | 19,186 | |||||||||||
a |
Skylark Holdings Co. Ltd. |
Hotels, Restaurants & Leisure | 1,500 | 15,990 | ||||||||||
SMC Corp. |
Machinery | 397 | 159,683 | |||||||||||
SMS Co. Ltd. |
Professional Services | 380 | 7,690 | |||||||||||
Softbank Corp. |
Wireless Telecommunication Services | 19,300 | 192,873 |
franklintempleton.com |
Semiannual Report |
247 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
SoftBank Group Corp. |
Wireless Telecommunication Services | 7,360 | $ | 249,155 | ||||||||||
Sohgo Security Services Co. Ltd. |
Commercial Services & Supplies | 428 | 10,763 | |||||||||||
Sojitz Corp. |
Trading Companies & Distributors | 1,600 | 23,479 | |||||||||||
Sompo Holdings Inc. |
Insurance | 2,236 | 89,011 | |||||||||||
Sony Corp. |
Household Durables | 8,700 | 558,142 | |||||||||||
Sotetsu Holdings Inc. |
Road & Rail | 500 | 8,280 | |||||||||||
Square Enix Holdings Co. Ltd. |
Entertainment | 600 | 25,825 | |||||||||||
Stanley Electric Co. Ltd. |
Auto Components | 1,016 | 15,892 | |||||||||||
Subaru Corp. |
Automobiles | 4,200 | 62,879 | |||||||||||
Sugi Pharmacy Co. Ltd. |
Food & Staples Retailing | 284 | 11,400 | |||||||||||
Sumco Corp. |
Semiconductors & Semiconductor Equipment | 2,300 | 26,822 | |||||||||||
Sumitomo Bakelite Co. Ltd. |
Chemicals | 236 | 6,465 | |||||||||||
Sumitomo Chemical Co. Ltd. |
Chemicals | 10,600 | 36,396 | |||||||||||
Sumitomo Corp. |
Trading Companies & Distributors | 7,900 | 98,378 | |||||||||||
Sumitomo Dainippon Pharma Co. Ltd. |
Pharmaceuticals | 1,300 | 9,260 | |||||||||||
Sumitomo Electric Industries Ltd. |
Auto Components | 5,300 | 53,606 | |||||||||||
Sumitomo Forestry Co. Ltd. |
Household Durables | 1,000 | 15,234 | |||||||||||
Sumitomo Heavy Industries Ltd. |
Machinery | 736 | 13,592 | |||||||||||
Sumitomo Metal Mining Co. Ltd. |
Metals & Mining | 1,700 | 48,858 | |||||||||||
Sumitomo Mitsui Financial Group Inc. |
Banks | 9,188 | 255,432 | |||||||||||
Sumitomo Realty & Development Co. Ltd. |
Real Estate Management & Development | 2,700 | 61,333 | |||||||||||
Sumitomo Rubber Industries Ltd. |
Auto Components | 1,200 | 9,542 | |||||||||||
Sundrug Co. Ltd. |
Food & Staples Retailing | 440 | 10,685 | |||||||||||
Suntory Beverage & Food Ltd. |
Beverages | 940 | 33,315 | |||||||||||
Sushiro Global Holdings Ltd. |
Hotels, Restaurants & Leisure | 660 | 10,141 | |||||||||||
Suzuken Co. Ltd. |
Health Care Providers & Services | 500 | 11,417 | |||||||||||
Suzuki Motor Corp. |
Automobiles | 3,232 | 100,056 | |||||||||||
Sysmex Corp. |
Health Care Equipment & Supplies | 1,380 | 74,060 | |||||||||||
T&D Holdings Inc. |
Insurance | 3,600 | 33,999 | |||||||||||
Taiheiyo Cement Corp. |
Construction Materials | 800 | 11,264 | |||||||||||
Taisei Corp. |
Construction & Engineering | 1,240 | 34,439 | |||||||||||
Taisho Pharmaceutical Holdings Co. Ltd. |
Pharmaceuticals | 316 | 11,571 | |||||||||||
Taiyo Yuden Co. Ltd. |
Electronic Equipment, Instruments & Components | 841 | 21,643 | |||||||||||
Takara Bio Inc. |
Biotechnology | 272 | 3,196 | |||||||||||
Takara Holdings Inc. |
Beverages | 1,200 | 8,763 | |||||||||||
Takashimaya Co. Ltd. |
Multiline Retail | 1,100 | 13,003 | |||||||||||
Takeda Pharmaceutical Co. Ltd. |
Pharmaceuticals | 10,592 | 275,658 | |||||||||||
TBS Holdings Inc. |
Media | 172 | 1,881 | |||||||||||
TDK Corp. |
Electronic Equipment, Instruments & Components | 2,556 | 78,669 | |||||||||||
TechnoPro Holdings Inc. |
Professional Services | 728 | 15,516 | |||||||||||
Teijin Ltd. |
Chemicals | 1,200 | 11,623 | |||||||||||
Terumo Corp. |
Health Care Equipment & Supplies | 4,660 | 131,161 | |||||||||||
The Bank of Kyoto Ltd. |
Banks | 500 | 18,274 | |||||||||||
The Chiba Bank Ltd. |
Banks | 4,100 | 22,066 | |||||||||||
The Chugoku Bank Ltd. |
Banks | 1,000 | 6,308 | |||||||||||
The Chugoku Electric Power Co. Inc. |
Electric Utilities | 2,000 | 10,142 | |||||||||||
The Iyo Bank Ltd. |
Banks | 1,900 | 9,280 | |||||||||||
The Japan Steel Works Ltd. |
Machinery | 400 | 7,865 | |||||||||||
The Kansai Electric Power Co. Inc. |
Electric Utilities | 5,100 | 42,704 | |||||||||||
The Shizuoka Bank Ltd. |
Banks | 3,300 | 20,268 | |||||||||||
THK Co. Ltd. |
Machinery | 780 | 13,450 | |||||||||||
TIS Inc. |
IT Services | 1,600 | 42,392 | |||||||||||
Tobu Railway Co. Ltd. |
Road & Rail | 1,472 | 34,678 | |||||||||||
Toda Corp. |
Construction & Engineering | 1,600 | 8,224 | |||||||||||
Toho Co. Ltd. |
Entertainment | 760 | 27,566 | |||||||||||
Toho Gas Co. Ltd. |
Gas Utilities | 665 | 13,245 | |||||||||||
Tohoku Electric Power Co. Inc. |
Electric Utilities | 3,500 | 16,467 |
248 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Japan (continued) | ||||||||||||||
Tokai Carbon Co. Ltd. |
Chemicals | 1,300 | $ | 8,793 | ||||||||||
Tokio Marine Holdings Inc. |
Insurance | 13,292 | 235,545 | |||||||||||
Tokyo Century Corp. |
Diversified Financial Services | 432 | 13,759 | |||||||||||
a |
Tokyo Electric Power Co. Holdings Inc. |
Electric Utilities | 11,000 | 35,110 | ||||||||||
Tokyo Electron Ltd. |
Semiconductors & Semiconductor Equipment | 1,040 | 256,506 | |||||||||||
Tokyo Gas Co. Ltd. |
Gas Utilities | 2,897 | 49,056 | |||||||||||
Tokyo Ohka Kogyo Co. Ltd. |
Chemicals | 292 | 12,185 | |||||||||||
Tokyo Tatemono Co. Ltd. |
Real Estate Management & Development | 1,472 | 20,929 | |||||||||||
TOKYU Corp. |
Road & Rail | 3,500 | 39,825 | |||||||||||
Tokyu Fudosan Holdings Corp. |
Real Estate Management & Development | 4,100 | 21,273 | |||||||||||
TOPPAN Inc. |
Commercial Services & Supplies | 2,000 | 29,763 | |||||||||||
Toray Industries Inc. |
Chemicals | 10,700 | 52,618 | |||||||||||
Toshiba Corp. |
Industrial Conglomerates | 2,980 | 105,987 | |||||||||||
Toshiba TEC Corp. |
Technology Hardware, Storage & Peripherals | 220 | 5,684 | |||||||||||
Tosoh Corp. |
Chemicals | 1,872 | 20,822 | |||||||||||
TOTO Ltd. |
Building Products | 1,056 | 35,165 | |||||||||||
Toyo Seikan Group Holdings Ltd. |
Containers & Packaging | 1,000 | 12,049 | |||||||||||
Toyo Suisan Kaisha Ltd. |
Food Products | 673 | 27,711 | |||||||||||
Toyo Tire Corp. |
Auto Components | 636 | 6,898 | |||||||||||
Toyoda Gosei Co. Ltd. |
Auto Components | 500 | 7,548 | |||||||||||
Toyota Boshoku Corp. |
Auto Components | 400 | 4,897 | |||||||||||
Toyota Industries Corp. |
Auto Components | 1,100 | 52,285 | |||||||||||
Toyota Motor Corp. |
Automobiles | 85,509 | 1,108,259 | |||||||||||
Toyota Tsusho Corp. |
Trading Companies & Distributors | 1,600 | 49,522 | |||||||||||
Trend Micro Inc. |
Software | 808 | 43,653 | |||||||||||
TS TECH Co. Ltd. |
Auto Components | 800 | 7,843 | |||||||||||
Tsumura & Co. |
Pharmaceuticals | 500 | 10,657 | |||||||||||
Tsuruha Holdings Inc. |
Food & Staples Retailing | 296 | 17,362 | |||||||||||
Ube Industries Ltd. |
Chemicals | 636 | 8,489 | |||||||||||
Ulvac Inc. |
Semiconductors & Semiconductor Equipment | 372 | 13,184 | |||||||||||
Unicharm Corp. |
Household Products | 2,700 | 88,604 | |||||||||||
United Urban Investment Corp. |
Equity Real Estate Investment Trusts (REITs | ) | 20 | 20,657 | ||||||||||
Ushio Inc. |
Electrical Equipment | 700 | 7,264 | |||||||||||
USS Co. Ltd. |
Specialty Retail | 1,400 | 21,637 | |||||||||||
Welcia Holdings Co. Ltd. |
Food & Staples Retailing | 644 | 13,592 | |||||||||||
West Japan Railway Co. |
Road & Rail | 1,620 | 62,004 | |||||||||||
Yakult Honsha Co. Ltd. |
Food Products | 889 | 51,653 | |||||||||||
Yamada Holdings Co. Ltd. |
Specialty Retail | 5,000 | 16,443 | |||||||||||
Yamaguchi Financial Group Inc. |
Banks | 1,500 | 7,959 | |||||||||||
Yamaha Corp. |
Leisure Products | 1,100 | 39,062 | |||||||||||
Yamaha Motor Co. Ltd. |
Automobiles | 2,096 | 39,199 | |||||||||||
Yamato Holdings Co. Ltd. |
Air Freight & Logistics | 2,320 | 34,893 | |||||||||||
Yamato Kogyo Co. Ltd. |
Metals & Mining | 236 | 7,141 | |||||||||||
Yamazaki Baking Co. Ltd. |
Food Products | 772 | 8,870 | |||||||||||
Yaoko Co. Ltd. |
Food & Staples Retailing | 136 | 6,164 | |||||||||||
YASKAWA Electric Corp. |
Machinery | 1,820 | 52,370 | |||||||||||
Yokogawa Electric Corp. |
Electronic Equipment, Instruments & Components | 1,700 | 26,719 | |||||||||||
Yokohama Rubber Co. Ltd. |
Auto Components | 900 | 13,779 | |||||||||||
Z Holdings Corp. |
Interactive Media & Services | 18,400 | 48,331 | |||||||||||
Zenkoku Hosho Co. Ltd. |
Diversified Financial Services | 372 | 12,375 | |||||||||||
Zensho Holdings Co. Ltd. |
Hotels, Restaurants & Leisure | 700 | 17,337 | |||||||||||
Zeon Corp. |
Chemicals | 1,000 | 8,829 | |||||||||||
Zozo Inc. |
Internet & Direct Marketing Retail | 736 | 14,715 | |||||||||||
|
|
|||||||||||||
Total Investments before Short Term Investments (Cost $29,743,748) |
22,742,013 | |||||||||||||
|
|
franklintempleton.com |
Semiannual Report |
249 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Japan Hedged ETF (continued)
Industry | Shares | Value | ||||||||||||
Short-Term Investments 1.2% | ||||||||||||||
Money Market Funds 1.2% |
||||||||||||||
United States 1.2% | ||||||||||||||
b,c |
Institutional Fiduciary Trust Portfolio, 2.45% |
Money Market Funds | 272,885 | $ | 272,885 | |||||||||
|
|
|||||||||||||
Total Short-Term Investments (Cost $272,885) |
272,885 | |||||||||||||
|
|
|||||||||||||
Total Investments (Cost $30,016,633) 99.6% |
23,014,898 | |||||||||||||
Other Assets, less Liabilities 0.4% |
89,563 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 23,104,461 | ||||||||||||
|
|
aNon-income producing.
bThe rate shown is the annualized seven-day effective yield at period end.
cSee Note 3(c) regarding investments in affiliated management investment companies.
At September 30, 2022 the Fund had the following forward exchange contracts outstanding. See Note 1(c).
Forward Exchange Contracts | ||||||||||||||||||||||||||||
Currency | Counterpartya | Type | Quantity |
Contract Amount |
Settlement Date |
Unrealized Appreciation |
Unrealized Depreciation |
|||||||||||||||||||||
OTC Forward Exchange Contracts | ||||||||||||||||||||||||||||
Japanese Yen |
HSBK | Buy | 13,811,930 | $ | 98,490 | 10/04/22 | $ | — | $ | (3,068 | ) | |||||||||||||||||
Japanese Yen |
UBSW | Buy | 13,811,930 | 98,490 | 10/04/22 | — | (3,068 | ) | ||||||||||||||||||||
Japanese Yen |
DBAB | Buy | 13,811,930 | 98,486 | 10/04/22 | — | (3,064 | ) | ||||||||||||||||||||
Japanese Yen |
MSCO | Buy | 5,650,336 | 40,291 | 10/04/22 | — | (1,255 | ) | ||||||||||||||||||||
Japanese Yen |
DBAB | Buy | 979,852,070 | 6,769,739 | 10/04/22 | — | (234 | ) | ||||||||||||||||||||
Japanese Yen |
HSBK | Buy | 979,852,070 | 6,769,608 | 10/04/22 | — | (103 | ) | ||||||||||||||||||||
Japanese Yen |
UBSW | Buy | 979,852,070 | 6,769,571 | 10/04/22 | — | (65 | ) | ||||||||||||||||||||
Japanese Yen |
MSCO | Buy | 400,848,664 | 2,769,275 | 10/04/22 | 69 | — | |||||||||||||||||||||
Japanese Yen |
MSCO | Sell | 406,499,000 | 2,939,706 | 10/04/22 | 131,326 | — | |||||||||||||||||||||
Japanese Yen |
DBAB | Sell | 993,664,000 | 7,184,870 | 10/04/22 | 319,943 | — | |||||||||||||||||||||
Japanese Yen |
HSBK | Sell | 993,664,000 | 7,186,024 | 10/04/22 | 321,096 | — | |||||||||||||||||||||
Japanese Yen |
UBSW | Sell | 993,664,000 | 7,186,097 | 10/04/22 | 321,169 | — | |||||||||||||||||||||
Japanese Yen |
MSCO | Sell | 400,434,000 | 2,773,784 | 11/02/22 | — | (129 | ) | ||||||||||||||||||||
Japanese Yen |
UBSW | Sell | 978,839,000 | 6,780,556 | 11/02/22 | — | (123 | ) | ||||||||||||||||||||
Japanese Yen |
HSBK | Sell | 978,839,000 | 6,780,612 | 11/02/22 | — | (67 | ) | ||||||||||||||||||||
Japanese Yen |
DBAB | Sell | 978,839,000 | 6,780,739 | 11/02/22 | 60 | — | |||||||||||||||||||||
|
|
|||||||||||||||||||||||||||
Total Forward Exchange Contracts |
|
$ | 1,093,663 | $ | (11,176 | ) | ||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||
Net unrealized appreciation (depreciation) |
|
$ | 1,082,487 | |||||||||||||||||||||||||
|
|
aMay be comprised of multiple contracts with the same counterparty, currency and settlement date.
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized Appreciation (Depreciation) |
|||||||||||||||
Index Contracts | ||||||||||||||||||||
Nikkei 225 Mini |
Long | 12 | $ | 215,054 | 12/08/22 | $(2,018) |
*As of period end.
See Note 8 regarding other derivative information.
See Abbreviations on page 332.
250 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Latin America ETF
Six Months Ended (unaudited) |
Year Ended March 31, | |||||||||||||||||||
2022 | 2021 | 2020 | 2019a | |||||||||||||||||
Per share operating
performance (for a share outstanding throughout the period) |
| |||||||||||||||||||
Net asset value, beginning of period |
$25.25 | $ | 22.40 | $ | 15.20 | $ | 26.41 | $ | 26.17 | |||||||||||
|
|
|||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||
Net investment incomec |
1.33 | 1.54 | 0.57 | 0.77 | 0.38 | |||||||||||||||
Net realized and unrealized gains (losses) |
(6.11 | ) | 2.83 | 7.13 | (11.08 | ) | (0.02 | ) | ||||||||||||
|
|
|||||||||||||||||||
Total from investment operations |
(4.78 | ) | 4.37 | 7.70 | (10.31 | ) | 0.36 | |||||||||||||
|
|
|||||||||||||||||||
Less distributions from net investment income |
(0.80 | ) | (1.52 | ) | (0.50 | ) | (0.90 | ) | (0.12 | ) | ||||||||||
|
|
|||||||||||||||||||
Net asset value, end of period |
$19.67 | $ | 25.25 | $ | 22.40 | $ | 15.20 | $ | 26.41 | |||||||||||
|
|
|||||||||||||||||||
Total returnd |
(18.91)% | 21.12% | 50.80% | (40.49)% | 1.42% | |||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||
Total expenses |
0.19% | 0.19% | 0.19% | 0.21% | 0.19% | |||||||||||||||
Net investment income |
13.15% | 6.75% | 2.86% | 2.97% | 3.08% | |||||||||||||||
Supplemental data | ||||||||||||||||||||
Net assets, end of period (000’s) |
$60,974 | $7,575 | $4,480 | $1,520 | $2,641 | |||||||||||||||
Portfolio turnover ratef |
3.85% | g | 18.50%g | 10.21% | g | 12.74% | g | 4.08% |
aFor the period October 9, 2018 (commencement of operations) to March 31, 2019.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 3.85% | 18.50% | 10.21% | 12.74% |
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
251 |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Franklin FTSE Latin America ETF
Industry | Shares | Value | ||||||||||||
Common Stocks 78.7% | ||||||||||||||
Brazil 46.0% | ||||||||||||||
Ambev SA |
Beverages | 465,000 | $ | 1,335,977 | ||||||||||
Americanas SA |
Internet & Catalog Retail | 71,343 | 223,967 | |||||||||||
Atacadao SA |
Food & Staples Retailing | 55,800 | 199,417 | |||||||||||
Auren Energia SA |
Independent Power Producers & Energy Traders | 37,479 | 93,891 | |||||||||||
B3 SA – Brasil Bolsa Balcao |
Capital Markets | 647,900 | 1,563,197 | |||||||||||
Banco Bradesco SA |
Banks | 161,260 | 486,268 | |||||||||||
Banco BTG Pactual SA |
Capital Markets | 124,000 | 568,779 | |||||||||||
Banco do Brasil SA |
Banks | 89,900 | 640,237 | |||||||||||
Banco Santander Brasil SA |
Banks | 40,300 | 226,056 | |||||||||||
BB Seguridade Participacoes SA |
Insurance | 71,300 | 350,248 | |||||||||||
BR Malls Participacoes SA |
Real Estate Management & Development | 86,800 | 151,331 | |||||||||||
Bradespar SA |
Metals & Mining | 3,110 | 12,793 | |||||||||||
a |
BRF SA |
Food Products | 86,800 | 206,695 | ||||||||||
Caixa Seguridade Participacoes S/A |
Insurance | 49,600 | 78,038 | |||||||||||
CCR SA |
Transportation Infrastructure | 117,800 | 272,892 | |||||||||||
Centrais Eletricas Brasileiras SA |
Electric Utilities | 133,300 | 1,058,987 | |||||||||||
Cia de Saneamento Basico do Estado de Sao Paulo |
Water Utilities | 37,200 | 341,130 | |||||||||||
Cia Energetica de Minas Gerais |
Electric Utilities | 34,169 | 102,339 | |||||||||||
Cia Paranaense de Energia |
Electric Utilities | 34,100 | 39,088 | |||||||||||
Cia Siderurgica Nacional SA |
Metals & Mining | 65,100 | 153,096 | |||||||||||
Cielo SA |
IT Services | 120,900 | 120,702 | |||||||||||
Cosan SA |
Oil, Gas & Consumable Fuels | 127,112 | 408,443 | |||||||||||
CPFL Energia SA |
Electric Utilities | 18,600 | 116,094 | |||||||||||
CSN Mineracao SA |
Metals & Mining | 52,700 | 32,250 | |||||||||||
Dexco SA |
Paper & Forest Products | 31,180 | 53,899 | |||||||||||
Diagnosticos da America SA |
Health Care Providers & Services | 9,300 | 32,428 | |||||||||||
EDP – Energias do Brasil SA |
Electric Utilities | 27,900 | 112,604 | |||||||||||
a |
Embraer SA |
Aerospace & Defense | 77,500 | 166,926 | ||||||||||
Energisa SA |
Electric Utilities | 27,900 | 216,078 | |||||||||||
a |
Eneva SA |
Independent Power Producers & Energy Traders | 127,100 | 332,504 | ||||||||||
Engie Brasil Energia SA |
Independent Power Producers & Energy Traders | 18,600 | 132,429 | |||||||||||
Equatorial Energia SA |
Electric Utilities | 99,200 | 493,354 | |||||||||||
b |
GPS Participacoes e Empreendimentos SA, 144A |
Commercial Services & Supplies | 43,400 | 107,841 | ||||||||||
Grendene SA |
Textiles, Apparel & Luxury Goods | 37,200 | 48,625 | |||||||||||
GRUPO DE MODA SOMA SA |
Textiles, Apparel & Luxury Goods | 46,500 | 114,512 | |||||||||||
a |
Grupo Mateus SA |
Food & Staples Retailing | 43,400 | 52,958 | ||||||||||
b,c |
Hapvida Participacoes e Investimentos S/A, 144A |
Health Care Providers & Services | 424,752 | 594,465 | ||||||||||
Hypera SA |
Pharmaceuticals | 43,400 | 355,057 | |||||||||||
Itau Unibanco Holding SA |
Banks | 49,600 | 215,682 | |||||||||||
Klabin SA |
Containers & Packaging | 80,600 | 270,462 | |||||||||||
Localiza Rent a Car SA |
Road & Rail | 83,776 | 946,204 | |||||||||||
Lojas Renner SA |
Multiline Retail | 105,426 | 542,835 | |||||||||||
M Dias Branco SA |
Food Products | 12,400 | 100,436 | |||||||||||
a |
Magazine Luiza SA |
Multiline Retail | 319,336 | 264,497 | ||||||||||
Marfrig Global Foods SA |
Food Products | 37,200 | 67,882 | |||||||||||
Multiplan Empreendimentos Imobiliarios SA |
Real Estate Management & Development | 31,000 | 138,527 | |||||||||||
Natura & Co. Holding SA |
Personal Products | 102,300 | 278,595 | |||||||||||
Neoenergia SA |
Electric Utilities | 24,800 | 70,152 | |||||||||||
Odontoprev SA |
Health Care Providers & Services | 31,070 | 50,550 | |||||||||||
a |
Petro Rio SA |
Oil, Gas & Consumable Fuels | 71,300 | 362,903 | ||||||||||
Petroleo Brasileiro SA |
Oil, Gas & Consumable Fuels | 396,800 | 2,426,790 | |||||||||||
Porto Seguro SA |
Insurance | 18,600 | 72,662 | |||||||||||
Raia Drogasil SA |
Food & Staples Retailing | 114,700 | 482,012 | |||||||||||
b |
Rede D’Or Sao Luiz SA, 144A |
Health Care Providers & Services | 49,600 | 272,537 | ||||||||||
Rumo SA |
Road & Rail | 133,300 | 455,436 | |||||||||||
Sao Martinho SA |
Food Products | 18,600 | 87,758 |
252 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Latin America ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Brazil (continued) | ||||||||||||||
Sendas Distribuidora SA |
Food & Staples Retailing | 83,700 | $ | 271,580 | ||||||||||
SIMPAR SA |
Road & Rail | 31,000 | 55,365 | |||||||||||
SLC Agricola SA |
Food Products | 9,300 | 74,433 | |||||||||||
a |
Smartfit Escola de Ginastica e Danca SA |
Hotels, Restaurants & Leisure | 12,400 | 34,847 | ||||||||||
Sul America SA |
Insurance | 43,400 | 177,007 | |||||||||||
Suzano SA |
Paper & Forest Products | 77,500 | 637,612 | |||||||||||
Telefonica Brasil SA |
Diversified Telecommunication Services | 46,500 | 348,093 | |||||||||||
TIM SA |
Wireless Telecommunication Services | 86,800 | 193,857 | |||||||||||
Totvs SA |
Software | 46,500 | 252,323 | |||||||||||
Transmissora Alianca de Energia Eletrica SA |
Electric Utilities | 24,800 | 178,589 | |||||||||||
Ultrapar Participacoes SA |
Oil, Gas & Consumable Fuels | 86,842 | 188,332 | |||||||||||
Usinas Siderurgicas de Minas Gerais SA Usiminas |
Metals & Mining | 18,600 | 28,198 | |||||||||||
Vale SA |
Metals & Mining | 414,400 | 5,519,357 | |||||||||||
Vamos Locacao de Caminhoes Maquinas e Equipamentos SA |
Road & Rail | 21,700 | 54,843 | |||||||||||
Vibra Energia SA |
Specialty Retail | 117,800 | 375,690 | |||||||||||
WEG SA |
Machinery | 158,100 | 939,448 | |||||||||||
|
|
|||||||||||||
28,031,089 | ||||||||||||||
|
|
|||||||||||||
Chile 4.3% | ||||||||||||||
Banco de Chile |
Banks | 4,667,329 | 414,972 | |||||||||||
Banco de Credito e Inversiones SA |
Banks | 5,829 | 149,690 | |||||||||||
Banco Santander Chile |
Banks | 6,599,280 | 232,988 | |||||||||||
CAP SA |
Metals & Mining | 7,905 | 51,658 | |||||||||||
Cencosud SA |
Food & Staples Retailing | 139,283 | 178,114 | |||||||||||
Cencosud Shopping SA |
Real Estate Management & Development | 51,336 | 54,126 | |||||||||||
Cia Cervecerias Unidas SA |
Beverages | 14,415 | 79,168 | |||||||||||
Cia Sud Americana de Vapores SA |
Marine | 1,879,933 | 130,898 | |||||||||||
Colbun SA |
Independent Power Producers & Energy Traders | 767,157 | 68,072 | |||||||||||
Empresas CMPC SA |
Paper & Forest Products | 128,092 | 196,978 | |||||||||||
Empresas Copec SA |
Oil, Gas & Consumable Fuels | 52,173 | 337,742 | |||||||||||
Enel Americas SA |
Electric Utilities | 2,015,961 | 214,658 | |||||||||||
Enel Chile SA |
Electric Utilities | 2,639,247 | 77,116 | |||||||||||
Falabella SA |
Multiline Retail | 83,917 | 169,072 | |||||||||||
Itau CorpBanca Chile SA |
Banks | 34,425,717 | 65,873 | |||||||||||
Plaza SA |
Real Estate Management & Development | 31,093 | 25,350 | |||||||||||
Quinenco SA |
Industrial Conglomerates | 28,458 | 62,392 | |||||||||||
Sociedad Quimica y Minera de Chile SA, A |
Chemicals | 1,829 | 141,309 | |||||||||||
|
|
|||||||||||||
2,650,176 | ||||||||||||||
|
|
|||||||||||||
Colombia 1.2% | ||||||||||||||
Bancolombia SA |
Banks | 29,047 | 196,639 | |||||||||||
Cementos Argos SA |
Construction Materials | 54,839 | 40,347 | |||||||||||
Ecopetrol SA |
Oil, Gas & Consumable Fuels | 507,563 | 229,143 | |||||||||||
Grupo de Inversiones Suramericana SA |
Diversified Financial Services | 10,726 | 87,554 | |||||||||||
Interconexion Electrica SA ESP |
Electric Utilities | 46,159 | 165,787 | |||||||||||
|
|
|||||||||||||
719,470 | ||||||||||||||
|
|
|||||||||||||
Mexico 25.9% | ||||||||||||||
Alfa SAB de CV, A |
Industrial Conglomerates | 387,035 | 246,763 | |||||||||||
Alpek SAB de CV |
Chemicals | 41,137 | 53,376 | |||||||||||
America Movil SAB de CV |
Wireless Telecommunication Services | 3,049,036 | 2,521,719 | |||||||||||
Arca Continental SAB de CV |
Beverages | 47,244 | 340,735 | |||||||||||
b |
Banco del Bajio SA, 144A |
Banks | 75,299 | 190,649 | ||||||||||
Becle SAB de CV |
Beverages | 57,195 | 101,462 | |||||||||||
a |
Cemex SAB de CV |
Construction Materials | 1,570,739 | 542,133 | ||||||||||
Coca-Cola Femsa SAB de CV |
Beverages | 56,234 | 329,084 |
franklintempleton.com |
Semiannual Report |
253 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Latin America ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Mexico (continued) | ||||||||||||||
Concentradora Fibra Danhos SA de CV |
Equity Real Estate Investment Trusts (REITs | ) | 26,133 | $ | 31,452 | |||||||||
a |
Controladora Vuela Cia de Aviacion SAB de CV, A |
Airlines | 97,247 | 68,821 | ||||||||||
El Puerto de Liverpool SAB de CV |
Multiline Retail | 20,615 | 90,734 | |||||||||||
Fibra Uno Administracion SA de CV |
Equity Real Estate Investment Trusts (REITs | ) | 308,946 | 318,511 | ||||||||||
Fomento Economico Mexicano SAB de CV |
Beverages | 194,494 | 1,220,889 | |||||||||||
Gruma SAB de CV |
Food Products | 20,770 | 199,256 | |||||||||||
Grupo Aeroportuario del Centro Norte SAB de CV |
Transportation Infrastructure | 28,830 | 181,690 | |||||||||||
Grupo Aeroportuario del Pacifico SAB de CV |
Transportation Infrastructure | 36,735 | 465,045 | |||||||||||
Grupo Aeroportuario del Sureste SAB de CV |
Transportation Infrastructure | 21,328 | 420,747 | |||||||||||
Grupo Bimbo SAB de CV |
Food Products | 236,623 | 835,168 | |||||||||||
Grupo Carso SAB de CV, A1 |
Industrial Conglomerates | 48,236 | 176,943 | |||||||||||
Grupo Comercial Chedraui SA de CV |
Food & Staples Retailing | 49,352 | 146,062 | |||||||||||
Grupo Elektra SAB de CV |
Banks | 6,727 | 345,040 | |||||||||||
Grupo Financiero Banorte SAB de CV |
Banks | 307,861 | 1,979,987 | |||||||||||
a |
Grupo Financiero Inbursa SAB de CV |
Banks | 212,784 | 337,788 | ||||||||||
Grupo Mexico SAB de CV, B |
Metals & Mining | 336,939 | 1,141,479 | |||||||||||
Grupo Televisa SAB |
Media | 253,518 | 274,857 | |||||||||||
Industrias Bachoco SAB de CV |
Food Products | 17,267 | 66,861 | |||||||||||
Industrias Penoles SAB de CV |
Metals & Mining | 13,268 | 129,186 | |||||||||||
Kimberly-Clark de Mexico SAB de CV, A |
Household Products | 88,195 | 118,032 | |||||||||||
Megacable Holdings SAB de CV |
Media | 32,271 | 65,128 | |||||||||||
Operadora De Sites Mexicanos SAB de CV, A-1 |
Diversified Telecommunication Services | 134,943 | 112,343 | |||||||||||
Orbia Advance Corp. SAB de CV |
Chemicals | 103,943 | 174,621 | |||||||||||
Prologis Property Mexico SA de CV |
Equity Real Estate Investment Trusts (REITs | ) | 62,839 | 159,977 | ||||||||||
Promotora y Operadora de Infraestructura SAB de CV |
Transportation Infrastructure | 23,405 | 159,653 | |||||||||||
Qualitas Controladora SAB de CV |
Insurance | 17,639 | 72,854 | |||||||||||
Regional SAB de CV |
Banks | 25,420 | 143,525 | |||||||||||
Sitios Latinoamerica SAB de CV |
Construction & Engineering | 152,452 | 68,161 | |||||||||||
Wal-Mart de Mexico SAB de CV, V |
Food & Staples Retailing | 549,785 | 1,936,654 | |||||||||||
|
|
|||||||||||||
15,767,385 | ||||||||||||||
|
|
|||||||||||||
Panama 0.0%† | ||||||||||||||
a |
BAC Holding International Corp. |
Banks | 554,900 | 23,288 | ||||||||||
|
|
|||||||||||||
United States 1.3% | ||||||||||||||
GCC SAB de CV |
Construction Materials | 17,918 | 107,557 | |||||||||||
JBS SA |
Food Products | 145,700 | 676,666 | |||||||||||
|
|
|||||||||||||
784,223 | ||||||||||||||
|
|
|||||||||||||
Total
Common Stocks |
47,975,631 | |||||||||||||
|
|
|||||||||||||
Preferred Stocks 20.9% | ||||||||||||||
Brazil 17.9% | ||||||||||||||
d |
Alpargatas SA, 2.045%, pfd. |
Textiles, Apparel & Luxury Goods | 24,800 | 97,525 | ||||||||||
d |
Banco Bradesco SA, 3.165%, pfd. |
Banks | 554,925 | 2,035,500 | ||||||||||
d |
Bradespar SA, 32.075%, pfd. |
Metals & Mining | 27,907 | 122,590 | ||||||||||
d |
Braskem SA, 35.194%, pfd., A |
Chemicals | 21,700 | 105,273 | ||||||||||
d |
Centrais Eletricas Brasileiras SA, 3.575%, pfd., B |
Electric Utilities | 31,000 | 258,770 | ||||||||||
d |
Cia de Transmissao de Energia Eletrica Paulista, 6.461%, pfd. |
Electric Utilities | 18,600 | 78,989 | ||||||||||
d |
Cia Paranaense de Energia, 17.781%, pfd. |
Electric Utilities | 136,400 | 165,934 | ||||||||||
d |
Companhia Energetica de Minas Gerais, 12.825%, pfd. |
Electric Utilities | 133,315 | 265,208 | ||||||||||
d |
Gerdau SA, 14.894%, pfd. |
Metals & Mining | 111,600 | 504,267 | ||||||||||
d |
Itau Unibanco Holding SA, 2.937%, pfd. |
Banks | 514,600 | 2,669,639 | ||||||||||
d |
Itausa SA, 5.807%, pfd. |
Banks | 508,430 | 914,617 | ||||||||||
d |
Metalurgica Gerdau SA, 21.719%, pfd. |
Metals & Mining | 74,400 | 145,668 | ||||||||||
d |
Petroleo Brasileiro SA, 38.601%, pfd. |
Oil, Gas & Consumable Fuels | 598,300 | 3,296,327 |
254 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Latin America ETF (continued)
Industry | Shares | Value | ||||||||||||
Preferred Stocks (continued) | ||||||||||||||
Brazil (continued) | ||||||||||||||
d |
Raizen SA, 1.575%, pfd. |
Oil, Gas & Consumable Fuels | 127,100 | $ | 98,459 | |||||||||
d |
Unipar Carbocloro SA, 16.852%, pfd., B |
Chemicals | 4,940 | 87,669 | ||||||||||
d |
Usinas Siderurgicas de Minas Gerais SA Usiminas, 10.931%, pfd., A |
Metals & Mining | 49,600 | 68,960 | ||||||||||
|
|
|||||||||||||
10,915,395 | ||||||||||||||
|
|
|||||||||||||
Chile 2.4% | ||||||||||||||
Embotelladora Andina SA, B, 16.21%, pfd., B |
Beverages | 40,176 | 70,296 | |||||||||||
Sociedad Quimica y Minera de Chile SA, 0.005%, pfd., B |
Chemicals | 14,539 | 1,367,487 | |||||||||||
|
|
|||||||||||||
1,437,783 | ||||||||||||||
|
|
|||||||||||||
Colombia 0.6% | ||||||||||||||
Bancolombia SA, 8.583%, pfd. |
Banks | 47,678 | 290,800 | |||||||||||
Grupo Aval Acciones y Valores SA, 5.062%, pfd. |
Banks | 463,419 | 58,507 | |||||||||||
Grupo de Inversiones Suramericana SA, 5.772%, pfd. |
Diversified Financial Services | 8,370 | 23,321 | |||||||||||
|
|
|||||||||||||
372,628 | ||||||||||||||
|
|
|||||||||||||
Total Preferred Stocks (Cost $11,896,256) |
12,725,806 | |||||||||||||
|
|
|||||||||||||
Right 0.0%† | ||||||||||||||
Brazil 0.0%† | ||||||||||||||
a |
Localiza Rent a Car SA |
Road & Rail | 257 | 523 | ||||||||||
|
|
|||||||||||||
Total Rights (Cost $0) |
523 | |||||||||||||
|
|
|||||||||||||
Total Investments (Cost $60,334,216) 99.6% |
60,701,960 | |||||||||||||
Other Assets, less Liabilities 0.4% |
271,581 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 60,973,541 | ||||||||||||
|
|
†Rounds to less than 0.1% of net assets.
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $1,165,492, representing 1.9% of net assets.
cSecurity was purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration. At September 30,2022, the value of was $594,465, representing 1.0% of net assets.
dVariable rate security. The rate shown represents the yield at period end.
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized Appreciation (Depreciation) |
|||||||||||||||
Equity Contracts | ||||||||||||||||||||
Bovespa Index |
Long | 10 | $ | 204,298 | 10/13/22 | $ | (8,940 | ) | ||||||||||||
Mini Bovespa Index |
Long | 2 | 8,172 | 10/13/22 | (334 | ) | ||||||||||||||
|
|
|||||||||||||||||||
Total Futures Contracts |
$ | (9,274 | ) | |||||||||||||||||
|
|
*As of period end.
franklintempleton.com |
Semiannual Report |
255 |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Mexico ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$ | 27.49 | $ | 22.14 | $ | 14.35 | $ | 22.11 | $ | 24.98 | $ | 24.90 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment incomec |
0.64 | 0.66 | 0.33 | 0.64 | 0.51 | 0.12 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(5.69 | ) | 5.48 | 7.78 | (7.73 | ) | (2.86 | ) | 0.04 | |||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(5.05 | ) | 6.14 | 8.11 | (7.09 | ) | (2.35 | ) | 0.16 | |||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(0.34 | ) | (0.79 | ) | (0.32 | ) | (0.67 | ) | (0.52 | ) | (0.08 | ) | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 22.10 | $ | 27.49 | $ | 22.14 | $ | 14.35 | $ | 22.11 | $ | 24.98 | ||||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(18.41)% | 28.33% | 56.94% | (33.13)% | (9.28)% | 0.63% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Total expenses |
0.19% | 0.19% | 0.19% | 0.19% | 0.19% | 0.19% | ||||||||||||||||||
Net investment income |
5.28% | 2.73% | 1.80% | 2.93% | 2.21% | 1.18% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$9,946 | $12,372 | $5,536 | $2,871 | $4,422 | $2,498 | ||||||||||||||||||
Portfolio turnover ratef |
8.34% | g | 22.39% | g | 18.32% | g | 19.32% | g | 10.31% | 9.64% |
aFor the period November 3, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year.Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 8.34% | 22.39% | 18.32% | 19.32% |
256 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 99.9% | ||||||||||||||
Mexico 99.1% | ||||||||||||||
Alfa SAB de CV, A |
Industrial Conglomerates | 305,667 | $ | 194,885 | ||||||||||
Alpek SAB de CV |
Chemicals | 31,464 | 40,825 | |||||||||||
America Movil SAB de CV |
Wireless Telecommunication Services | 1,599,543 | 1,322,909 | |||||||||||
Arca Continental SAB de CV |
Beverages | 37,170 | 268,079 | |||||||||||
a |
Banco del Bajio SA, 144A |
Banks | 59,688 | 151,124 | ||||||||||
Becle SAB de CV |
Beverages | 45,396 | 80,531 | |||||||||||
b |
Cemex SAB de CV |
Construction Materials | 973,881 | 336,130 | ||||||||||
Coca-Cola Femsa SAB de CV |
Beverages | 44,262 | 259,023 | |||||||||||
Concentradora Fibra Danhos SA de CV |
Equity Real Estate Investment Trusts (REITs | ) | 19,953 | 24,014 | ||||||||||
b |
Controladora Vuela Cia de Aviacion SAB de CV, A |
Airlines | 78,552 | 55,591 | ||||||||||
El Puerto de Liverpool SAB de CV |
Multiline Retail | 16,641 | 73,243 | |||||||||||
Fibra Uno Administracion SA de CV |
Equity Real Estate Investment Trusts (REITs | ) | 242,064 | 249,558 | ||||||||||
Fomento Economico Mexicano SAB de CV |
Beverages | 110,412 | 693,085 | |||||||||||
Gruma SAB de CV |
Food Products | 16,407 | 157,400 | |||||||||||
Grupo Aeroportuario del Centro Norte SAB de CV |
Transportation Infrastructure | 22,941 | 144,577 | |||||||||||
Grupo Aeroportuario del Pacifico SAB de CV |
Transportation Infrastructure | 24,255 | 307,055 | |||||||||||
Grupo Aeroportuario del Sureste SAB de CV |
Transportation Infrastructure | 14,985 | 295,616 | |||||||||||
Grupo Bimbo SAB de CV |
Food Products | 129,114 | 455,712 | |||||||||||
Grupo Carso SAB de CV, A1 |
Industrial Conglomerates | 37,962 | 139,255 | |||||||||||
Grupo Comercial Chedraui SA de CV |
Food & Staples Retailing | 38,844 | 114,962 | |||||||||||
Grupo Elektra SAB de CV |
Banks | 5,343 | 274,052 | |||||||||||
Grupo Financiero Banorte SAB de CV |
Banks | 166,122 | 1,068,402 | |||||||||||
b |
Grupo Financiero Inbursa SAB de CV |
Banks | 167,949 | 266,614 | ||||||||||
Grupo Mexico SAB de CV, B |
Metals & Mining | 188,577 | 638,859 | |||||||||||
Grupo Televisa SAB |
Media | 202,248 | 219,272 | |||||||||||
Industrias Bachoco SAB de CV |
Food Products | 13,554 | 52,484 | |||||||||||
Industrias Penoles SAB de CV |
Metals & Mining | 10,449 | 101,738 | |||||||||||
Kimberly-Clark de Mexico SAB de CV, A |
Household Products | 70,065 | 93,768 | |||||||||||
Megacable Holdings SAB de CV |
Media | 25,200 | 50,857 | |||||||||||
Operadora De Sites Mexicanos SAB de CV, A-1 |
Diversified Telecommunication Services | 105,552 | 87,875 | |||||||||||
Orbia Advance Corp. SAB de CV |
Chemicals | 81,738 | 137,317 | |||||||||||
Prologis Property Mexico SA de CV |
Equity Real Estate Investment Trusts (REITs | ) | 49,923 | 127,095 | ||||||||||
Promotora y Operadora de Infraestructura SAB de CV |
Transportation Infrastructure | 18,423 | 125,670 | |||||||||||
Qualitas Controladora SAB de CV |
Insurance | 14,193 | 58,621 | |||||||||||
Regional SAB de CV |
Banks | 19,926 | 112,505 | |||||||||||
b |
Sitios Latinoamerica SAB de CV |
Construction & Engineering | 79,977 | 35,758 | ||||||||||
Wal-Mart de Mexico SAB de CV, V |
Food & Staples Retailing | 295,002 | 1,039,164 | |||||||||||
|
|
|||||||||||||
9,853,625 | ||||||||||||||
|
|
|||||||||||||
United States 0.8% | ||||||||||||||
GCC SAB de CV |
Construction Materials | 13,743 | 82,496 | |||||||||||
|
|
|||||||||||||
Total
Investments |
9,936,121 | |||||||||||||
Other Assets, less Liabilities 0.1% |
9,737 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 9,945,858 | ||||||||||||
|
|
aSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $694,093, representing 7.0% of net assets.
bNon-income producing.
franklintempleton.com |
Semiannual Report |
257 |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Russia ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$ | — | b | $ | 26.98 | $ | 18.91 | $ | 23.37 | $ | 24.24 | $ | 23.90 | |||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsc: | ||||||||||||||||||||||||
Net investment income (loss)d |
— | 1.68 | 1.41 | 1.73 | 1.03 | (— | )b | |||||||||||||||||
Net realized and unrealized gains (losses) |
0.01 | e | (27.28 | ) | 8.34 | (4.44 | ) | (1.26 | ) | 0.34 | ||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
0.01 | e | (25.60 | ) | 9.75 | (2.71 | ) | (0.23 | ) | 0.34 | ||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
— | (1.38 | ) | (1.68 | ) | (1.75 | ) | (0.64 | ) | — | ||||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 0.01 | e | $ | — | $ | 26.98 | $ | 18.91 | $ | 23.37 | $ | 24.24 | |||||||||||
|
|
|||||||||||||||||||||||
Total returnf |
72.50% | g | (100.00)% | 52.27% | (13.90)% | (0.63)% | 1.42% | |||||||||||||||||
Ratios to average net assetsh | ||||||||||||||||||||||||
Expenses before waiver and payments by affiliates |
—% | 0.19% | 0.19% | 0.19% | 0.19% | 0.19% | ||||||||||||||||||
Expenses net of waiver and payments by affiliates |
—% | 0.19% | 0.19% | 0.19% | 0.19% | 0.19% | ||||||||||||||||||
Net investment income (loss) |
104.56% | g | 6.19% | 6.02% | 6.49% | 4.57% | (0.13)% | |||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$5 | $3 | $10,794 | $13,240 | $11,683 | $2,424 | ||||||||||||||||||
Portfolio turnover ratei |
—% | j | 20.45% | j | 18.82% | j | 15.74% | j | 31.57% | 7.58% |
aFor the period February 6, 2018 (commencement of operations) to March 31, 2018.
bAmount rounds to less than $0.01 per share.
cThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
dBased on average daily shares outstanding.
eActual amount less than $0.01 per share. Amount shown reflects effect of rounding.
fTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
gThe amounts shown reflect the Fund’s NAV per share increasing from $0.003378 as of March 31, 2022 to $0.005827 as of September 30, 2022.
hRatios are annualized for periods less than one year.
iPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
jPortfolio turnover rate excluding cash creations was as follows: | 20.45% | 18.82% | 15.74% |
258 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 0.0%† | ||||||||||||||
a | Russia 0.0%† | |||||||||||||
b |
Aeroflot Russian Airlines PJSC |
Airlines | 174,496 | $ | — | |||||||||
Alrosa PJSC |
Metals & Mining | 361,232 | — | |||||||||||
b |
Credit Bank of Moscow PJSC |
Banks | 2,127,840 | — | ||||||||||
Federal Grid Co. Unified Energy System PJSC |
Electric Utilities | 45,533,568 | — | |||||||||||
Gazprom PJSC |
Oil, Gas & Consumable Fuels | 981,872 | — | |||||||||||
Inter RAO UES PJSC |
Electric Utilities | 6,229,280 | — | |||||||||||
LUKOIL PJSC |
Oil, Gas & Consumable Fuels | 36,048 | — | |||||||||||
M.Video PJSC |
Specialty Retail | 8,000 | — | |||||||||||
Magnit PJSC |
Food & Staples Retailing | 8,112 | — | |||||||||||
Magnitogorsk Iron & Steel Works PJSC |
Metals & Mining | 370,640 | — | |||||||||||
MMC Norilsk Nickel PJSC |
Metals & Mining | 2,888 | — | |||||||||||
Mobile TeleSystems PJSC |
Wireless Telecommunication Services | 147,584 | — | |||||||||||
Moscow Exchange MICEX |
Capital Markets | 253,248 | — | |||||||||||
Mosenergo PJSC |
Electric Utilities | 1,418,704 | — | |||||||||||
Novatek PJSC |
Oil, Gas & Consumable Fuels | 47,472 | — | |||||||||||
Novolipetsk Steel PJSC |
Metals & Mining | 200,944 | — | |||||||||||
PhosAgro PJSC |
Chemicals | 6,208 | — | |||||||||||
Polyus PJSC |
Metals & Mining | 3,504 | — | |||||||||||
Raspadskaya OJSC |
Metals & Mining | 10,720 | — | |||||||||||
Rosneft Oil Co. PJSC |
Oil, Gas & Consumable Fuels | 92,320 | — | |||||||||||
Rosseti PJS |
Electric Utilities | 5,157,472 | — | |||||||||||
Rostelecom PJSC |
Diversified Telecommunication Services | 165,056 | — | |||||||||||
RusHydro PJSC |
Electric Utilities | 20,149,712 | — | |||||||||||
Sberbank of Russia PJSC |
Banks | 959,968 | — | |||||||||||
c |
Segezha Group PJSC, 144A |
Paper & Forest Products | 666,096 | — | ||||||||||
Severstal PAO |
Metals & Mining | 27,744 | — | |||||||||||
Sistema PJSFC |
Wireless Telecommunication Services | 499,664 | — | |||||||||||
Sovcomflot OAOSovcomflot OAO |
Oil, Gas & Consumable Fuels | 72,128 | — | |||||||||||
Surgutneftegas PJSC |
Oil, Gas & Consumable Fuels | 634,480 | — | |||||||||||
Tatneft PAO |
Oil, Gas & Consumable Fuels | 105,552 | — | |||||||||||
Unipro PJSC |
Independent Power Producers & Energy Traders | 1,811,376 | — | |||||||||||
b |
United Co. RUSAL International PJSC |
Metals & Mining | 447,600 | — | ||||||||||
VTB Bank PJSC |
Banks | 886,353,216 | — | |||||||||||
|
|
|||||||||||||
Total
Common Stocks |
— | |||||||||||||
|
|
|||||||||||||
Preferred Stocks 0.0%† | ||||||||||||||
a | Russia 0.0%† | |||||||||||||
d |
Bashneft PJSC, pfd. |
Oil, Gas & Consumable Fuels | 3,392 | — | ||||||||||
d |
Surgutneftegas PJSC, pfd. |
Oil, Gas & Consumable Fuels | 682,080 | — | ||||||||||
d |
Tatneft PJSC, pfd. |
Oil, Gas & Consumable Fuels | 10,416 | — | ||||||||||
d |
Transneft PJSC, pfd. |
Oil, Gas & Consumable Fuels | 276 | — | ||||||||||
|
|
|||||||||||||
Total
Preferred Stocks |
. | — | ||||||||||||
|
|
|||||||||||||
Total
Investments |
— | |||||||||||||
Other
Assets, less |
4,664 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 4,664 | ||||||||||||
|
|
†Rounds to less than 0.1% of net assets.
aFair valued using significant unobservable inputs. See Note 9 regarding fair value measurements.
bNon-income producing.
cSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $0, representing 0.0% of net assets.
dVariable rate security. The rate shown represents the yield at period end.
See Note 8 regarding other derivative information.
See Abbreviations on page 332.
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
259 |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Saudi Arabia ETF
Six Months Ended (unaudited) |
Year Ended March 31, | |||||||||||||||||||
2022 | 2021 | 2020 | 2019a | |||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||
Net asset value, beginning of period |
$ | 41.30 | $ | 30.33 | $ | 20.15 | $ | 27.89 | $ | 24.71 | ||||||||||
|
|
|||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||
Net investment incomec |
0.61 | 0.62 | 0.52 | 0.89 | 0.11 | |||||||||||||||
Net realized and unrealized gains (losses) |
(5.19 | ) | 11.03 | 10.23 | (7.80 | ) | 3.07 | |||||||||||||
|
|
|||||||||||||||||||
Total from investment operations |
(4.58 | ) | 11.65 | 10.75 | (6.91 | ) | 3.18 | |||||||||||||
|
|
|||||||||||||||||||
Less distributions from net investment income |
(0.33 | ) | (0.68 | ) | (0.57 | ) | (0.83 | ) | — | |||||||||||
|
|
|||||||||||||||||||
Net asset value, end of period |
$ | 36.39 | $ | 41.30 | $ | 30.33 | $ | 20.15 | $ | 27.89 | ||||||||||
|
|
|||||||||||||||||||
Total returnd |
(11.10)% | 38.99% | 54.12% | (25.51)% | 12.87% | |||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||
Total expenses |
0.39% | 0.39% | 0.39% | 0.39% | 0.39% | |||||||||||||||
Net investment income |
3.09% | 1.77% | 2.11% | 3.46% | 0.93% | |||||||||||||||
Supplemental data | ||||||||||||||||||||
Net assets, end of period (000’s) |
$5,458 | $4,130 | $3,033 | $2,015 | $2,789 | |||||||||||||||
Portfolio turnover ratef |
2.48% | g | 15.51% | g | 16.74% | g | 32.37% | g | 12.41% |
aFor the period October 9, 2018 (commencement of operations) to March 31, 2019.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/ or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 2.48% | 15.51% | 16.74% | 32.37% |
260 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Franklin FTSE Saudi Arabia ETF
Industry | Shares | Value | ||||||||||||
Common Stocks 99.8% | ||||||||||||||
Saudi Arabia 99.8% | ||||||||||||||
Abdullah Al Othaim Markets Co. |
Food & Staples Retailing | 816 | $ | 26,802 | ||||||||||
ACWA Power Co. |
Independent Power Producers & Energy Traders | 2,457 | 109,868 | |||||||||||
Advanced Petrochemical Co. |
Chemicals | 2,355 | 27,988 | |||||||||||
a |
Al Rajhi Bank |
Banks | 34,788 | 752,799 | ||||||||||
Alinma Bank |
Banks | 17,742 | 171,186 | |||||||||||
Almarai Co. JSC |
Food Products | 4,650 | 65,845 | |||||||||||
Arab National Bank |
Banks | 12,282 | 100,525 | |||||||||||
Arabian Centres Co. Ltd. |
Real Estate Management & Development | 2,952 | 15,243 | |||||||||||
Arabian Internet & Communications Services Co. |
IT Services | 465 | 29,457 | |||||||||||
a |
Bank AlBilad |
Banks | 9,042 | 114,319 | ||||||||||
Bank Al-Jazira |
Banks | 7,413 | 44,632 | |||||||||||
Banque Saudi Fransi |
Banks | 10,845 | 121,238 | |||||||||||
BinDawood Holding Co. |
Food & Staples Retailing | 537 | 9,719 | |||||||||||
Bupa Arabia for Cooperative Insurance Co. |
Insurance | 1,056 | 47,333 | |||||||||||
a |
Co. for Cooperative Insurance |
Insurance | 1,137 | 24,362 | ||||||||||
Dallah Healthcare Co. |
Health Care Providers & Services | 699 | 29,396 | |||||||||||
a |
Dar Al Arkan Real Estate Development Co. |
Real Estate Management & Development | 9,768 | 41,339 | ||||||||||
Dr Sulaiman Al Habib Medical Services Group Co. |
Health Care Providers & Services | 1,692 | 93,675 | |||||||||||
Elm Co. |
IT Services | 471 | 39,716 | |||||||||||
a |
Emaar Economic City |
Real Estate Management & Development | 8,133 | 21,301 | ||||||||||
Etihad Etisalat Co. |
Wireless Telecommunication Services | 6,963 | 65,979 | |||||||||||
Jarir Marketing Co. |
Specialty Retail | 1,086 | 48,273 | |||||||||||
a |
Mobile Telecommunications Co. Saudi Arabia |
Wireless Telecommunication Services | 8,151 | 24,863 | ||||||||||
Mouwasat Medical Services Co. |
Health Care Providers & Services | 876 | 46,167 | |||||||||||
Nahdi Medical Co. |
Food & Staples Retailing | 723 | 36,525 | |||||||||||
a |
National Industrialization Co. |
Chemicals | 6,021 | 21,860 | ||||||||||
Qassim Cement Co. |
Construction Materials | 810 | 16,687 | |||||||||||
a |
Rabigh Refining & Petrochemical Co. |
Oil, Gas & Consumable Fuels | 7,719 | 28,189 | ||||||||||
Riyad Bank |
Banks | 25,425 | 214,864 | |||||||||||
SABIC Agri-Nutrients Co. |
Chemicals | 4,170 | 175,369 | |||||||||||
Sahara International Petrochemical Co. |
Chemicals | 6,630 | 73,853 | |||||||||||
a |
Saudi Airlines Catering Co. |
Commercial Services & Supplies | 738 | 14,025 | ||||||||||
a |
Saudi Arabian Mining Co. |
Metals & Mining | 13,830 | 256,207 | ||||||||||
b |
Saudi Arabian Oil Co., 144A |
Oil, Gas & Consumable Fuels | 49,857 | 475,745 | ||||||||||
Saudi Basic Industries Corp. |
Chemicals | 16,056 | 379,498 | |||||||||||
Saudi British Bank |
Banks | 17,811 | 185,600 | |||||||||||
Saudi Cement Co. |
Construction Materials | 1,392 | 19,340 | |||||||||||
Saudi Electricity Co. |
Electric Utilities | 14,421 | 94,195 | |||||||||||
a |
Saudi Ground Services Co. |
Transportation Infrastructure | 1,641 | 11,291 | ||||||||||
Saudi Industrial Investment Group |
Chemicals | 6,825 | 41,528 | |||||||||||
Saudi Investment Bank |
Banks | 9,042 | 41,107 | |||||||||||
a |
Saudi Kayan Petrochemical Co. |
Chemicals | 13,563 | 49,602 | ||||||||||
Saudi National Bank |
Banks | 38,610 | 648,467 | |||||||||||
a |
Saudi Research & Media Group |
Media | 594 | 30,072 | ||||||||||
Saudi Tadawul Group Holding Co. |
Capital Markets | 663 | 35,541 | |||||||||||
Saudi Telecom Co. |
Diversified Telecommunication Services | 32,148 | 336,711 | |||||||||||
Saudia Dairy & Foodstuff Co. |
Food Products | 282 | 14,562 | |||||||||||
Savola Group |
Food Products | 4,830 | 36,447 | |||||||||||
a |
Seera Group Holding |
Hotels, Restaurants & Leisure | 2,700 | 13,884 | ||||||||||
Southern Province Cement Co. |
Construction Materials | 1,275 | 18,461 | |||||||||||
United Electronics Co. |
Specialty Retail | 540 | 15,810 | |||||||||||
a |
Yamama Cement Co. |
Construction Materials | 1,824 | 13,958 | ||||||||||
Yanbu Cement Co. |
Construction Materials | 1,419 | 14,126 |
franklintempleton.com |
| Semiannual Report |
261 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Saudi Arabia ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Saudi Arabia (continued) | ||||||||||||||
Yanbu National Petrochemical Co. |
Chemicals | 5,085 | $ | 62,666 | ||||||||||
|
|
|||||||||||||
Total Investments (Cost $4,370,666) 99.8% |
5,448,215 | |||||||||||||
Other Assets, less Liabilities 0.2% |
9,793 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 5,458,008 | ||||||||||||
|
|
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $475,745, representing 8.7% of net assets.
262 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE South Africa ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||
2022 | 2021 | 2020 | 2019a | |||||||||||||||||
Per share operating
performance (for a share outstanding throughout the period) |
| |||||||||||||||||||
Net asset value, beginning of period |
$ | 29.79 | $ | 26.22 | $ | 14.81 | $ | 26.62 | $ | 24.42 | ||||||||||
|
|
|||||||||||||||||||
Income from investment operationsb: |
||||||||||||||||||||
Net investment incomec |
0.62 | 0.94 | 1.03 | 2.65 | 0.22 | |||||||||||||||
Net realized and unrealized gains (losses) |
(10.14 | ) | 3.35 | 11.33 | (11.76 | ) | 2.04 | |||||||||||||
|
|
|||||||||||||||||||
Total from investment operations |
(9.52 | ) | 4.29 | 12.36 | (9.11 | ) | 2.26 | |||||||||||||
|
|
|||||||||||||||||||
Less distributions from net investment income |
(0.60 | ) | (0.72 | ) | (0.95 | ) | (2.70 | ) | (0.06 | ) | ||||||||||
|
|
|||||||||||||||||||
Net asset value, end of period |
$ | 19.67 | $ | 29.79 | $ | 26.22 | $ | 14.81 | $ | 26.62 | ||||||||||
|
|
|||||||||||||||||||
Total returnd |
(32.23)% | 16.82% | 85.24% | (38.46)% | 9.26% | |||||||||||||||
Ratios to average net assetse |
| |||||||||||||||||||
Total expenses |
0.19% | 0.19% | 0.19% | 0.19% | 0.19% | |||||||||||||||
Net investment income |
5.15% | 3.56% | 4.94% | 10.42% | 1.75% | |||||||||||||||
Supplemental data |
| |||||||||||||||||||
Net assets, end of period (000’s) |
$2,950 | $5,958 | $2,622 | $1,481 | $2,662 | |||||||||||||||
Portfolio turnover ratef |
4.29% | g | 13.19% | h | 11.08% | h | 21.44% | h | 7.12% |
aFor the period October 10, 2018 (commencement of operations) to March 31, 2019.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
hPortfolio turnover rate excluding cash creations was as follows: | 4.29% | 13.19% | 11.08% | 21.44% |
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
263 |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Franklin FTSE South Africa ETF
Industry | Shares | Value | ||||||||||||
Common Stocks 100.0% | ||||||||||||||
Luxembourg 0.9% | ||||||||||||||
Reinet Investments SCA |
Capital Markets | 1,869 | $ | 27,759 | ||||||||||
|
|
|||||||||||||
Romania 1.0% | ||||||||||||||
NEPI Rockcastle PLC |
Real Estate Management & Development | 6,393 | 28,834 | |||||||||||
|
|
|||||||||||||
South Africa 98.1% | ||||||||||||||
Absa Group Ltd. |
Banks | 11,445 | 112,479 | |||||||||||
African Rainbow Minerals Ltd. |
Metals & Mining | 1,458 | 19,836 | |||||||||||
Anglo American Platinum Ltd. |
Metals & Mining | 774 | 55,480 | |||||||||||
AngloGold Ashanti Ltd. |
Metals & Mining | 5,766 | 80,100 | |||||||||||
Aspen Pharmacare Holdings Ltd. |
Pharmaceuticals | 5,106 | 38,149 | |||||||||||
AVI Ltd. |
Food Products | 4,527 | 18,337 | |||||||||||
Bid Corp. Ltd. |
Food & Staples Retailing | 4,584 | 71,115 | |||||||||||
Bidvest Group Ltd. |
Industrial Conglomerates | 4,677 | 51,146 | |||||||||||
Capitec Bank Holdings Ltd. |
Banks | 1,170 | 101,099 | |||||||||||
Clicks Group Ltd. |
Food & Staples Retailing | 3,363 | 53,415 | |||||||||||
a,b |
Dis-Chem Pharmacies Ltd., 144A, Reg S |
Food & Staples Retailing | 5,121 | 9,075 | ||||||||||
c |
Discovery Ltd. |
Insurance | 7,239 | 42,264 | ||||||||||
c |
Distell Group Holdings Ltd. |
Beverages | 1,092 | 10,478 | ||||||||||
Exxaro Resources Ltd. |
Oil, Gas & Consumable Fuels | 3,324 | 37,439 | |||||||||||
FirstRand Ltd. |
Diversified Financial Services | 68,394 | 231,145 | |||||||||||
Foschini Group Ltd. |
Specialty Retail | 4,425 | 28,962 | |||||||||||
Gold Fields Ltd. |
Metals & Mining | 12,102 | 99,287 | |||||||||||
Growthpoint Properties Ltd. |
Equity Real Estate Investment Trusts (REITs | ) | 46,776 | 30,685 | ||||||||||
Harmony Gold Mining Co. Ltd. |
Metals & Mining | 7,371 | 17,521 | |||||||||||
Impala Platinum Holdings Ltd. |
Metals & Mining | 11,202 | 105,753 | |||||||||||
Investec Ltd. |
Capital Markets | 3,945 | 15,725 | |||||||||||
Kumba Iron Ore Ltd. |
Metals & Mining | 747 | 16,120 | |||||||||||
Life Healthcare Group Holdings Ltd. |
Health Care Providers & Services | 19,035 | 18,270 | |||||||||||
Momentum Metropolitan Holdings |
Insurance | 17,754 | 16,586 | |||||||||||
Mr Price Group Ltd. |
Specialty Retail | 3,537 | 34,005 | |||||||||||
MTN Group Ltd. |
Wireless Telecommunication Services | 24,810 | 165,487 | |||||||||||
MultiChoice Group |
Media | 4,743 | 30,518 | |||||||||||
Naspers Ltd., N |
Internet & Direct Marketing Retail | 2,928 | 368,725 | |||||||||||
Nedbank Group Ltd. |
Banks | 5,778 | 64,215 | |||||||||||
Netcare Ltd. |
Health Care Providers & Services | 19,836 | 15,143 | |||||||||||
c |
Northam Platinum Ltd. |
Metals & Mining | 5,097 | 44,477 | ||||||||||
Old Mutual Ltd. |
Insurance | 62,250 | 33,874 | |||||||||||
a,b |
Pepkor Holdings Ltd., 144A, Reg S |
Specialty Retail | 24,774 | 28,630 | ||||||||||
Pick ‘N Pay Stores Ltd. |
Food & Staples Retailing | 4,773 | 14,734 | |||||||||||
Rand Merchant Investment Holdings Ltd. |
Insurance | 10,377 | 16,906 | |||||||||||
Redefine Properties Ltd. |
Equity Real Estate Investment Trusts (REITs | ) | 91,011 | 17,977 | ||||||||||
Remgro Ltd. |
Diversified Financial Services | 7,008 | 51,763 | |||||||||||
Resilient REIT Ltd. |
Equity Real Estate Investment Trusts (REITs | ) | 4,194 | 11,187 | ||||||||||
Royal Bafokeng Platinum Ltd. |
Metals & Mining | 1,035 | 8,266 | |||||||||||
Sanlam Ltd. |
Insurance | 24,189 | 69,434 | |||||||||||
Santam Ltd. |
Insurance | 561 | 7,805 | |||||||||||
c |
Sappi Ltd. |
Paper & Forest Products | 7,836 | 19,193 | ||||||||||
c |
Sasol Ltd. |
Chemicals | 7,686 | 122,198 | ||||||||||
Shoprite Holdings Ltd. |
Food & Staples Retailing | 6,687 | 80,735 | |||||||||||
Sibanye Stillwater Ltd. |
Metals & Mining | 38,598 | 90,221 | |||||||||||
SPAR Group Ltd. |
Food & Staples Retailing | 2,649 | 21,130 | |||||||||||
Standard Bank Group Ltd. |
Banks | 18,309 | 146,696 | |||||||||||
Tiger Brands Ltd. |
Food Products | 2,169 | 20,449 | |||||||||||
Transaction Capital Ltd. |
Consumer Finance | 7,692 | 15,733 | |||||||||||
Truworths International Ltd. |
Specialty Retail | 5,244 | 14,545 |
264 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE South Africa ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
South Africa (continued) | ||||||||||||||
Vodacom Group Ltd. |
Wireless Telecommunication Services | 8,211 | $ | 55,774 | ||||||||||
Woolworths Holdings Ltd. |
Multiline Retail | 12,876 | 43,752 | |||||||||||
|
|
|||||||||||||
2,894,038 | ||||||||||||||
|
|
|||||||||||||
Total
Investments |
2,950,631 | |||||||||||||
Other Assets, less Liabilities 0.0%† |
(377 | ) | ||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 2,950,254 | ||||||||||||
|
|
†Rounds to less than 0.1% of net assets.
aSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $37,705, representing 1.3% of net assets.
bSecurity was purchased pursuant to Regulation S under the Securities Act of 1933, which exempts from registration securities offered and sold outside of the United States. Such a security cannot be sold in the United States without either an effective registration statement filed pursuant to the Securities Act of 1933, or pursuant to an exemption from registration. At September 30, 2022, the value of was $37,705, representing 1.3% of net assets.
cNon-income producing.
See Abbreviations on page 332.
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
265 |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE South Korea ETF
Six Months Ended (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating
performance (for a share outstanding throughout the period) |
| |||||||||||||||||||||||
Net asset value, beginning of period |
$ | 25.57 | $ | 31.48 | $ | 16.52 | $ | 21.19 | $ | 25.98 | $ | 25.75 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: |
||||||||||||||||||||||||
Net investment incomec |
0.09 | 0.55 | 0.54 | 0.36 | 0.40 | 0.10 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(8.70 | ) | (5.87 | ) | 14.72 | (4.58 | ) | (4.81 | ) | 0.40 | ||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(8.61 | ) | (5.32 | ) | 15.26 | (4.22 | ) | (4.41 | ) | 0.50 | ||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(0.07 | ) | (0.59 | ) | (0.30 | ) | (0.45 | ) | (0.38 | ) | (0.27 | ) | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 16.89 | $ | 25.57 | $ | 31.48 | $ | 16.52 | $ | 21.19 | $ | 25.98 | ||||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(33.72)% | (17.15)% | 92.55% | (20.24)% | (16.92)% | 1.95% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Expenses before waiver and payments by affiliates |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Expenses net of waiver and payments by affiliates |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
0.85% | 1.86% | 2.07% | 1.78% | 1.74% | 0.94% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$43,913 | $61,361 | $62,966 | $11,562 | $16,948 | $25,981 | ||||||||||||||||||
Portfolio turnover ratef |
4.38% | g | 27.38% | g | 8.65% | g | 21.72% | g | 5.21% | 3.85% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 4.38% | 10.53% | 8.65% | 8.02% |
266 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 95.8% | ||||||||||||||
South Korea 95.8% | ||||||||||||||
a |
Alteogen Inc., A |
Biotechnology | 2,262 | $ | 71,700 | |||||||||
Amorepacific Corp., H |
Personal Products | 2,288 | 163,120 | |||||||||||
AMOREPACIFIC Group, A |
Personal Products | 2,288 | 42,939 | |||||||||||
BGF retail Co. Ltd. |
Food & Staples Retailing | 494 | 57,145 | |||||||||||
BNK Financial Group Inc., H |
Banks | 22,490 | 94,632 | |||||||||||
Celltrion Healthcare Co. Ltd., A |
Health Care Providers & Services | 7,540 | 357,316 | |||||||||||
Celltrion Inc., A |
Biotechnology | 8,476 | 1,039,727 | |||||||||||
a |
Celltrion Pharm Inc., A |
Pharmaceuticals | 1,534 | 68,728 | ||||||||||
Cheil Worldwide Inc., A |
Media | 5,538 | 87,868 | |||||||||||
CJ CheilJedang Corp., A |
Food Products | 624 | 179,258 | |||||||||||
CJ Corp., A |
Industrial Conglomerates | 988 | 47,995 | |||||||||||
CJ ENM Co. Ltd., A |
Internet & Catalog Retail | 780 | 41,489 | |||||||||||
a |
CJ Logistics Corp., A |
Road & Rail | 650 | 41,071 | ||||||||||
Coway Co. Ltd. |
Household Durables | 4,446 | 167,498 | |||||||||||
a |
Daewoo Engineering & Construction Co. Ltd., A |
Construction & Engineering | 14,170 | 40,805 | ||||||||||
a |
Daewoo Shipbuilding & Marine Engineering Co. Ltd., A |
Machinery | 3,822 | 50,623 | ||||||||||
DB Insurance Co. Ltd., A |
Insurance | 3,562 | 137,431 | |||||||||||
DGB Financial Group Inc., A |
Banks | 12,298 | 59,913 | |||||||||||
DL E&C Co. Ltd., A |
Construction & Engineering | 2,418 | 57,970 | |||||||||||
DL Holdings Co. Ltd., A |
Construction & Engineering | 936 | 37,487 | |||||||||||
Dongsuh Cos. Inc., A |
Food & Staples Retailing | 2,470 | 35,910 | |||||||||||
Doosan Bobcat Inc., A |
Machinery | 1,924 | 38,327 | |||||||||||
a |
Doosan Enerbility Co. Ltd., H |
Electrical Equipment | 33,150 | 330,179 | ||||||||||
Ecopro BM Co. Ltd. |
Electrical Equipment | 3,120 | 192,124 | |||||||||||
E-MART Inc., A |
Food & Staples Retailing | 1,560 | 91,482 | |||||||||||
F&F Co. Ltd. / New |
Textiles, Apparel & Luxury Goods | 1,248 | 119,941 | |||||||||||
Fila Holdings Corp. |
Textiles, Apparel & Luxury Goods | 4,108 | 89,872 | |||||||||||
Green Cross Corp. |
Biotechnology | 416 | 35,910 | |||||||||||
GS Engineering & Construction Corp. |
Construction & Engineering | 5,018 | 79,091 | |||||||||||
GS Holdings Corp. |
Oil, Gas & Consumable Fuels | 4,082 | 118,976 | |||||||||||
GS Retail Co. Ltd. |
Food & Staples Retailing | 3,120 | 55,827 | |||||||||||
Hana Financial Group Inc. |
Banks | 22,776 | 564,346 | |||||||||||
a |
Hanjin Kal Corp. |
Airlines | 1,690 | 44,119 | ||||||||||
Hankook Tire & Technology Co. Ltd. |
Auto Components | 5,772 | 142,212 | |||||||||||
Hanmi Pharm Co. Ltd. |
Pharmaceuticals | 572 | 91,555 | |||||||||||
Hanmi Science Co. Ltd. |
Pharmaceuticals | 1,144 | 25,228 | |||||||||||
Hanon Systems |
Auto Components | 12,896 | 74,995 | |||||||||||
Hanssem Co. Ltd. |
Household Durables | 754 | 22,530 | |||||||||||
Hanwha Aerospace Co. Ltd. |
Aerospace & Defense | 2,756 | 118,469 | |||||||||||
Hanwha Corp. |
Industrial Conglomerates | 3,380 | 57,763 | |||||||||||
Hanwha Corp. |
Industrial Conglomerates | 1,820 | 17,809 | |||||||||||
a |
Hanwha Life Insurance Co. Ltd. |
Insurance | 22,022 | 32,170 | ||||||||||
a |
Hanwha Solutions Corp. |
Chemicals | 9,048 | 298,501 | ||||||||||
HD Hyundai Co. Ltd. |
Machinery | 3,952 | 149,440 | |||||||||||
Hite Jinro Co. Ltd. |
Beverages | 2,444 | 45,269 | |||||||||||
HL Mando Co. Ltd. |
Auto Components | 2,626 | 81,403 | |||||||||||
a |
HLB Inc. |
Leisure Products | 7,020 | 210,252 | ||||||||||
HMM Co. Ltd. |
Marine | 23,036 | 297,872 | |||||||||||
Hotel Shilla Co. Ltd. |
Specialty Retail | 2,470 | 124,130 | |||||||||||
a |
HYBE Co. Ltd. |
Entertainment | 1,456 | 137,387 | ||||||||||
Hyundai Department Store Co. Ltd. |
Multiline Retail | 1,170 | 44,487 | |||||||||||
a |
Hyundai Doosan Infracore Co. Ltd. |
Machinery | 10,920 | 33,965 | ||||||||||
Hyundai Engineering & Construction Co. Ltd. |
Construction & Engineering | 5,720 | 149,927 | |||||||||||
Hyundai Glovis Co. Ltd. |
Air Freight & Logistics | 1,456 | 165,374 | |||||||||||
a |
Hyundai Heavy Industries Co. Ltd. |
Machinery | 1,170 | 94,045 | ||||||||||
Hyundai Marine & Fire Insurance Co. Ltd. |
Insurance | 4,784 | 97,974 | |||||||||||
a |
Hyundai Mipo Dockyard Co. Ltd. |
Machinery | 1,586 | 114,180 |
franklintempleton.com |
| Semiannual Report |
267 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE South Korea ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
South Korea (continued) | ||||||||||||||
Hyundai Mobis Co. Ltd. |
Auto Components | 4,862 | $ | 649,082 | ||||||||||
Hyundai Motor Co. |
Automobiles | 10,998 | 1,356,781 | |||||||||||
Hyundai Steel Co. |
Metals & Mining | 5,876 | 115,409 | |||||||||||
Hyundai Wia Corp. |
Auto Components | 1,222 | 51,333 | |||||||||||
Iljin Materials Co. Ltd. |
Electronic Equipment, Instruments & Components | 1,352 | 48,006 | |||||||||||
Industrial Bank of Korea |
Banks | 19,812 | 131,831 | |||||||||||
Kakao Corp. |
Interactive Media & Services | 23,920 | 954,660 | |||||||||||
a |
Kakao Games Corp. |
Entertainment | 2,288 | 68,207 | ||||||||||
a |
KakaoBank Corp. |
Banks | 13,390 | 187,649 | ||||||||||
a |
Kakaopay Corp. |
IT Services | 1,690 | 57,999 | ||||||||||
a |
Kangwon Land Inc. |
Hotels, Restaurants & Leisure | 8,346 | 137,379 | ||||||||||
KB Financial Group Inc. |
Banks | 30,706 | 937,899 | |||||||||||
KCC Corp. |
Building Products | 312 | 50,484 | |||||||||||
KEPCO Plant Service & Engineering Co. Ltd. |
Commercial Services & Supplies | 1,690 | 40,989 | |||||||||||
Kia Corp. |
Automobiles | 20,358 | 1,023,094 | |||||||||||
Korea Aerospace Industries Ltd. |
Aerospace & Defense | 5,538 | 187,542 | |||||||||||
a |
Korea Electric Power Corp. |
Electric Utilities | 20,176 | 283,454 | ||||||||||
Korea Gas Corp. |
Gas Utilities | 2,080 | 49,140 | |||||||||||
Korea Investment Holdings Co. Ltd. |
Capital Markets | 3,042 | 100,996 | |||||||||||
a |
Korea Shipbuilding & Offshore Engineering Co. Ltd. |
Machinery | 3,406 | 173,550 | ||||||||||
Korea Zinc Co. Ltd. |
Metals & Mining | 780 | 324,387 | |||||||||||
a |
Korean Air Lines Co. Ltd. |
Airlines | 13,806 | 213,261 | ||||||||||
a |
Krafton Inc. |
Entertainment | 2,314 | 339,652 | ||||||||||
KT&G Corp. |
Tobacco | 8,476 | 513,051 | |||||||||||
Kumho Petrochemical Co. Ltd. |
Chemicals | 1,378 | 111,246 | |||||||||||
a |
L&F Co. Ltd. |
Electronic Equipment, Instruments & Components | 1,768 | 219,594 | ||||||||||
LG Chem Ltd. |
Chemicals | 3,692 | 1,383,177 | |||||||||||
LG Corp. |
Industrial Conglomerates | 7,020 | 363,095 | |||||||||||
LG Display Co. Ltd. |
Electronic Equipment, Instruments & Components | 17,654 | 148,073 | |||||||||||
LG Electronics Inc. |
Household Durables | 8,528 | 468,512 | |||||||||||
a |
LG Energy Solution Ltd. |
Electrical Equipment | 2,730 | 813,829 | ||||||||||
LG H&H Co. Ltd. |
Personal Products | 702 | 310,593 | |||||||||||
LG Innotek Co. Ltd. |
Electronic Equipment, Instruments & Components | 1,118 | 213,723 | |||||||||||
LG Uplus Corp. |
Diversified Telecommunication Services | 16,510 | 124,053 | |||||||||||
Lotte Chemical Corp. |
Chemicals | 1,170 | 117,761 | |||||||||||
Lotte Chilsung Beverage Co. Ltd. |
Beverages | 234 | 26,087 | |||||||||||
Lotte Corp. |
Industrial Conglomerates | 2,106 | 56,378 | |||||||||||
LOTTE Fine Chemical Co. Ltd. |
Chemicals | 1,404 | 55,249 | |||||||||||
Lotte Shopping Co. Ltd. |
Multiline Retail | 910 | 55,019 | |||||||||||
LS Corp. |
Electrical Equipment | 1,378 | 54,611 | |||||||||||
Meritz Financial Group Inc. |
Diversified Financial Services | 2,080 | 30,312 | |||||||||||
Mirae Asset Securities Co. Ltd. |
Capital Markets | 21,112 | 88,243 | |||||||||||
Mirae Asset Securities Co. Ltd. |
Capital Markets | 11,024 | 28,163 | |||||||||||
NAVER Corp. |
Interactive Media & Services | 11,388 | 1,540,210 | |||||||||||
NCSoft Corp. |
Entertainment | 1,248 | 301,816 | |||||||||||
b |
Netmarble Corp., 144A |
Software | 1,378 | 49,410 | ||||||||||
NH Investment & Securities Co. Ltd. |
Capital Markets | 10,868 | 68,291 | |||||||||||
a |
NHN Corp. |
Software | 1,378 | 20,708 | ||||||||||
NongShim Co. Ltd. |
Food Products | 260 | 54,155 | |||||||||||
OCI Co. Ltd. |
Chemicals | 1,404 | 89,302 | |||||||||||
Orion Corp/Republic of Korea |
Food Products | 1,690 | 121,668 | |||||||||||
Ottogi Corp. |
Food Products | 104 | 33,511 | |||||||||||
Pan Ocean Co. Ltd. |
Marine | 15,054 | 47,350 | |||||||||||
a |
Paradise Co. Ltd. |
Hotels, Restaurants & Leisure | 3,640 | 39,181 | ||||||||||
a |
Pearl Abyss Corp. |
Entertainment | 2,470 | 80,538 | ||||||||||
POSCO Chemical Co. Ltd. |
Construction Materials | 2,158 | 226,253 |
268 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE South Korea ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
South Korea (continued) | ||||||||||||||
POSCO Holdings Inc. |
Metals & Mining | 5,902 | $ | 870,428 | ||||||||||
Posco International Corp. |
Trading Companies & Distributors | 3,952 | 57,732 | |||||||||||
S-1 Corp. |
Commercial Services & Supplies | 1,534 | 62,081 | |||||||||||
a,b |
Samsung Biologics Co. Ltd., 144A |
Life Sciences Tools & Services | 1,456 | 821,271 | ||||||||||
Samsung C&T Corp. |
Industrial Conglomerates | 6,630 | 479,629 | |||||||||||
Samsung Card Co. Ltd. |
Consumer Finance | 2,418 | 51,040 | |||||||||||
Samsung Electro-Mechanics Co. Ltd. |
Electronic Equipment, Instruments & Components | 4,394 | 343,977 | |||||||||||
Samsung Electronics Co. Ltd. |
Technology Hardware, Storage & Peripherals | 214,448 | 7,959,173 | |||||||||||
a |
Samsung Engineering Co. Ltd. |
Construction & Engineering | 12,402 | 197,208 | ||||||||||
Samsung Fire & Marine Insurance Co. Ltd. |
Insurance | 2,600 | 334,382 | |||||||||||
a |
Samsung Heavy Industries Co. Ltd. |
Machinery | 48,620 | 180,452 | ||||||||||
Samsung Life Insurance Co. Ltd. |
Insurance | 5,876 | 256,282 | |||||||||||
Samsung SDI Co. Ltd. |
Electronic Equipment, Instruments & Components | 4,160 | 1,587,587 | |||||||||||
Samsung SDS Co. Ltd. |
IT Services | 2,886 | 231,977 | |||||||||||
Samsung Securities Co. Ltd. |
Capital Markets | 4,914 | 105,616 | |||||||||||
SD Biosensor Inc. |
Health Care Equipment & Supplies | 2,678 | 49,790 | |||||||||||
Seegene Inc. |
Biotechnology | 2,288 | 42,859 | |||||||||||
a |
Shin Poong Pharmaceutical Co. Ltd. |
Pharmaceuticals | 2,652 | 36,887 | ||||||||||
Shinhan Financial Group Co. Ltd. |
Banks | 39,390 | 922,321 | |||||||||||
Shinsegae Inc. |
Multiline Retail | 546 | 88,157 | |||||||||||
a,c |
SillaJen Inc. |
Biotechnology | 1,616 | — | ||||||||||
a |
SK Biopharmaceuticals Co. Ltd. |
Pharmaceuticals | 1,950 | 77,553 | ||||||||||
a |
SK Bioscience Co. Ltd. |
Biotechnology | 1,586 | 89,016 | ||||||||||
SK Chemicals Co. Ltd. |
Chemicals | 1,066 | 67,803 | |||||||||||
SK Hynix Inc. |
Semiconductors & Semiconductor Equipment | 42,770 | 2,484,229 | |||||||||||
a,b |
SK IE Technology Co. Ltd., 144A |
Chemicals | 2,028 | 74,276 | ||||||||||
SK Inc. |
Industrial Conglomerates | 2,860 | 383,812 | |||||||||||
a |
SK Innovation Co. Ltd. |
Oil, Gas & Consumable Fuels | 4,108 | 412,035 | ||||||||||
SK Networks Co. Ltd. |
Trading Companies & Distributors | 10,686 | 29,578 | |||||||||||
a |
SK Square Co. Ltd. |
Semiconductors & Semiconductor Equipment | 7,800 | 197,085 | ||||||||||
SK Telecom Co. Ltd. |
Wireless Telecommunication Services | 2,730 | 96,934 | |||||||||||
SKC Co. Ltd. |
Chemicals | 1,534 | 89,958 | |||||||||||
S-Oil Corp. |
Oil, Gas & Consumable Fuels | 3,224 | 182,529 | |||||||||||
Solus Advanced Materials Co. Ltd. |
Electronic Equipment, Instruments & Components | 1,066 | 22,278 | |||||||||||
SSANGYONG C&E Co. Ltd. |
Construction Materials | 8,684 | 35,629 | |||||||||||
Wemade Co. Ltd. |
Entertainment | 1,352 | 43,281 | |||||||||||
Woori Financial Group Inc. |
Banks | 50,050 | 374,317 | |||||||||||
Yuhan Corp. |
Pharmaceuticals | 3,952 | 149,992 | |||||||||||
|
|
|||||||||||||
Total
Common Stocks |
42,092,856 | |||||||||||||
|
|
|||||||||||||
Preferred Stocks 4.0% | ||||||||||||||
South Korea 4.0% | ||||||||||||||
d |
Amorepacific Corp., 2.345%, pfd. |
Personal Products | 832 | 24,424 | ||||||||||
d |
CJ CheilJedang Corp., 4.184%, pfd. |
Food Products | 104 | 12,249 | ||||||||||
d |
Hyundai Motor Co., 6.093%, pfd. |
Automobiles | 2,756 | 161,234 | ||||||||||
d |
Hyundai Motor Co., 6.005%, pfd. |
Automobiles | 1,742 | 102,399 | ||||||||||
d |
LG Chem Ltd., 4.782%, pfd. |
Chemicals | 598 | 105,330 | ||||||||||
d |
LG Electronics Inc., 2.436%, pfd. |
Household Durables | 1,378 | 35,589 | ||||||||||
d |
LG H&H Co. Ltd., 3.657%, pfd. |
Personal Products | 156 | 35,928 | ||||||||||
d |
Samsung Electronics Co. Ltd., 2.311%, pfd. |
Technology Hardware, Storage & Peripherals | 37,310 | 1,223,065 |
franklintempleton.com |
Semiannual Report |
269 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE South Korea ETF (continued)
Industry | Shares | Value | ||||||||||||
Preferred Stocks (continued) | ||||||||||||||
South Korea (continued) | ||||||||||||||
d |
Samsung Fire & Marine Insurance Co. Ltd., 7.77%, pfd. |
Insurance | 208 | $ | 22,462 | |||||||||
d |
Samsung SDI Co. Ltd., 0.387%, pfd. |
Electronic Equipment, Instruments & Components | 104 | 19,699 | ||||||||||
|
|
|||||||||||||
Total
Preferred Stocks |
1,742,379 | |||||||||||||
|
|
|||||||||||||
Total
Investments (Cost $63,495,882) 99.8% |
43,835,235 | |||||||||||||
Other Assets, less Liabilities 0.2% | 77,411 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% | $43,912,646 | |||||||||||||
|
|
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $944,957, representing 2.2% of net assets.
cFair valued using significant unobservable inputs. See Note 9 regarding fair value measurements.
dVariable rate security. The rate shown represents the yield at period end.
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized (Depreciation) |
|||||||||||||||
Index Contracts | ||||||||||||||||||||
Kospi 200 Mini |
Long | 2 | $ | 98,710 | 12/08/22 | $ | (491 | ) |
*As of period end.
See Note 8 regarding other derivative information.
See Abbreviations on page 332.
270 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Switzerland ETF
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period | $ | 34.00 | $ | 30.36 | $ | 24.44 | $ | 23.86 | $ | 23.11 | $ | 23.56 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment income |
0.38 | 0.70 | 0.88 | 1.06 | 0.53 | 0.22 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(7.50 | ) | 3.62 | 5.74 | (0.16 | ) | 0.83 | (0.67 | ) | |||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(7.12 | ) | 4.32 | 6.62 | 0.90 | 1.36 | (0.45 | ) | ||||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income | (0.54 | ) | (0.68 | ) | (0.70 | ) | (0.32 | ) | (0.61 | ) | — | |||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 26.34 | $ | 34.00 | $ | 30.36 | $ | 24.44 | $ | 23.86 | $ | 23.11 | ||||||||||||
|
|
|||||||||||||||||||||||
Total returnc |
(20.98)% | 14.22% | 27.54% | 3.70% | 6.13% | (1.91)% | ||||||||||||||||||
Ratios to average net assetsd | ||||||||||||||||||||||||
Total expenses |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
2.56% | 2.07% | 3.13% | 4.12% | 2.35% | 6.54% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$50,042 | $47,593 | $48,570 | $34,213 | $2,386 | $2,311 | ||||||||||||||||||
Portfolio turnover ratee |
4.54%f | 13.99%f | 12.59%f | 16.25%f | 14.06% | 2.72% |
aFor the period February 6, 2018 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
dRatios are annualized for periods less than one year.
ePortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
fPortfolio turnover rate excluding cash creations was as follows: | 4.54% | 13.99% | 12.59% | 16.25% |
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
271 |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 98.5% | ||||||||||||||
Switzerland 98.5% | ||||||||||||||
ABB Ltd. |
Electrical Equipment | 59,641 | $ | 1,563,361 | ||||||||||
Adecco Group AG |
Professional Services | 6,707 | 186,781 | |||||||||||
Alcon Inc. |
Health Care Equipment & Supplies | 19,190 | 1,133,560 | |||||||||||
Bachem Holding AG |
Life Sciences Tools & Services | 1,292 | 82,436 | |||||||||||
Baloise Holding AG |
Insurance | 1,900 | 244,582 | |||||||||||
Banque Cantonale Vaudoise |
Banks | 1,197 | 113,954 | |||||||||||
Barry Callebaut AG |
Food Products | 150 | 284,836 | |||||||||||
Belimo Holding AG |
Building Products | 399 | 148,979 | |||||||||||
BKW AG |
Electric Utilities | 760 | 91,192 | |||||||||||
Chocoladefabriken Lindt & Spruengli AG |
Food Products | 88 | 854,742 | |||||||||||
Cie Financiere Richemont SA |
Textiles, Apparel & Luxury Goods | 19,209 | 1,840,005 | |||||||||||
a |
Clariant AG |
Chemicals | 9,557 | 154,388 | ||||||||||
Credit Suisse Group AG |
Capital Markets | 110,485 | 446,318 | |||||||||||
DKSH Holding AG |
Professional Services | 1,501 | 109,496 | |||||||||||
Emmi AG |
Food Products | 76 | 59,379 | |||||||||||
EMS-Chemie Holding AG |
Chemicals | 299 | 190,929 | |||||||||||
a |
Flughafen Zurich AG |
Transportation Infrastructure | 798 | 119,102 | ||||||||||
Geberit AG |
Building Products | 1,468 | 637,612 | |||||||||||
Georg Fischer AG |
Machinery | 3,465 | 167,573 | |||||||||||
Givaudan AG |
Chemicals | 390 | 1,189,911 | |||||||||||
Helvetia Holding AG |
Insurance | 1,463 | 138,088 | |||||||||||
Holcim Ltd., B |
Construction Materials | 23,066 | 960,371 | |||||||||||
Julius Baer Group Ltd. |
Capital Markets | 8,987 | 397,190 | |||||||||||
Kuehne + Nagel International AG |
Marine | 2,128 | 436,735 | |||||||||||
Logitech International SA |
Technology Hardware, Storage & Peripherals | 6,137 | 286,508 | |||||||||||
Lonza Group AG |
Life Sciences Tools & Services | 2,933 | 1,449,142 | |||||||||||
Nestle SA |
Food Products | 92,644 | 10,079,065 | |||||||||||
Novartis AG |
Pharmaceuticals | 74,860 | 5,744,654 | |||||||||||
Partners Group Holding AG |
Capital Markets | 948 | 774,967 | |||||||||||
PSP Swiss Property AG |
Real Estate Management & Development | 1,824 | 183,466 | |||||||||||
Roche Holding AG, Bearer |
Pharmaceuticals | 969 | 381,791 | |||||||||||
Roche Holding AG, Non-Voting |
Pharmaceuticals | 25,175 | 8,273,156 | |||||||||||
Schindler Holding AG, PC |
Machinery | 1,729 | 271,669 | |||||||||||
Schindler Holding AG |
Machinery | 798 | 121,615 | |||||||||||
SGS SA |
Professional Services | 249 | 537,592 | |||||||||||
SIG Combibloc Group AG |
Containers & Packaging | 16,093 | 329,953 | |||||||||||
Sika AG |
Chemicals | 6,213 | 1,266,903 | |||||||||||
Sonova Holding AG |
Health Care Equipment & Supplies | 2,185 | 488,392 | |||||||||||
Straumann Holding AG |
Health Care Equipment & Supplies | 4,508 | 420,640 | |||||||||||
Swatch Group AG |
Textiles, Apparel & Luxury Goods | 1,900 | 80,614 | |||||||||||
Swiss Life Holding AG |
Insurance | 1,292 | 575,608 | |||||||||||
Swiss Prime Site AG |
Real Estate Management & Development | 3,211 | 257,728 | |||||||||||
Swiss Re AG |
Insurance | 12,217 | 908,098 | |||||||||||
Swisscom AG |
Diversified Telecommunication Services | 1,083 | 510,003 | |||||||||||
Tecan Group AG |
Life Sciences Tools & Services | 532 | 185,396 | |||||||||||
Temenos AG |
Software | 2,546 | 174,450 | |||||||||||
The Swatch Group AG |
Textiles, Apparel & Luxury Goods | 1,216 | 277,360 | |||||||||||
UBS Group AG |
Capital Markets | 116,698 | 1,716,234 | |||||||||||
b |
VAT Group AG, 144A |
Machinery | 1,083 | 224,247 |
272 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Switzerland ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Switzerland (continued) | ||||||||||||||
Zurich Insurance Group AG |
Insurance | 5,472 | $ | 2,196,027 | ||||||||||
|
|
|||||||||||||
Total Investments (Cost $56,620,228) 98.5% |
49,266,798 | |||||||||||||
Other Assets, less Liabilities 1.5% |
774,868 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 50,041,666 | ||||||||||||
|
|
aNon-income producing.
bSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933. At September 30, 2022, the value of was $224,247, representing 0.4% of net assets.
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized (Depreciation) |
|||||||||||||||
Equity Contracts | ||||||||||||||||||||
Swiss Mid Cap Future Index |
Long | 7 | $ | 729,622 | 12/16/22 | $ | (32,156 | ) |
*As of period end.
See Note 8 regarding other derivative information.
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
273 |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE Taiwan ETF
Six Months Ended (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$ | 43.67 | $ | 41.12 | $ | 23.18 | $ | 24.72 | $ | 26.34 | $ | 25.59 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment income (loss)c |
1.36 | 0.98 | 0.74 | 0.89 | 0.47 | (0.02 | ) | |||||||||||||||||
Net realized and unrealized gains (losses) |
(14.15 | ) | 2.64 | 17.99 | (1.56 | ) | (1.85 | ) | 0.77 | |||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(12.79 | ) | 3.62 | 18.73 | (0.67 | ) | (1.38 | ) | 0.75 | |||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income |
(0.00 | ) | (1.07 | ) | (0.79 | ) | (0.87 | ) | (0.24 | ) | — | d | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 30.88 | $ | 43.67 | $ | 41.12 | $ | 23.18 | $ | 24.72 | $ | 26.34 | ||||||||||||
|
|
|||||||||||||||||||||||
Total returne |
(29.26)% | 8.72% | 81.35% | (3.29)% | (5.15)% | 2.93% | ||||||||||||||||||
Ratios to average net assetsf | ||||||||||||||||||||||||
Total expenses |
0.19% | 0.19% | 0.19% | 0.19% | 0.19% | 0.19% | ||||||||||||||||||
Net investment income (loss) |
7.27% | 2.20% | 2.24% | 3.39% | 1.96% | (0.19)% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$27,788 | $43,667 | $32,897 | $13,906 | $14,834 | $5,268 | ||||||||||||||||||
Portfolio turnover rateg |
4.77% | h | 17.76% | h | 10.63% | h | 12.57% | h | 8.71% | 3.63% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dAmount rounds to less than $0.001 per share.
eTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
fRatios are annualized for periods less than one year.
gPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
hPortfolio turnover rate excluding cash creations was as follows: | 1.44% | 7.86% | 10.63% | 12.57% |
274 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Industry | Shares | Value | ||||||||||||
Common Stocks 99.8% | ||||||||||||||
China 1.3% | ||||||||||||||
a |
Airtac International Group, A |
Machinery | 6,923 | $ | 159,615 | |||||||||
Silergy Corp. |
Semiconductors & Semiconductor Equipment | 14,220 | 188,561 | |||||||||||
|
|
|||||||||||||
348,176 | ||||||||||||||
|
|
|||||||||||||
Taiwan 98.3% | ||||||||||||||
Accton Technology Corp. |
Communications Equipment | 24,030 | 206,248 | |||||||||||
Acer Inc., H |
Technology Hardware, Storage & Peripherals | 124,000 | 85,533 | |||||||||||
Advanced Energy Solution Holding Co. Ltd. |
Electrical Equipment | 1,080 | 21,703 | |||||||||||
Advantech Co. Ltd. |
Technology Hardware, Storage & Peripherals | 18,138 | 167,675 | |||||||||||
ASE Industrial Holding Co. Ltd., A |
Semiconductors & Semiconductor Equipment | 150,100 | 378,689 | |||||||||||
Asia Cement Corp. |
Construction Materials | 108,000 | 134,026 | |||||||||||
ASMedia Technology Inc. |
Semiconductors & Semiconductor Equipment | 1,720 | 35,972 | |||||||||||
ASPEED Technology Inc. |
Semiconductors & Semiconductor Equipment | 1,350 | 75,687 | |||||||||||
Asustek Computer Inc. |
Technology Hardware, Storage & Peripherals | 31,540 | 232,460 | |||||||||||
AU Optronics Corp., H |
Electronic Equipment, Instruments & Components | 430,000 | 199,093 | |||||||||||
Capital Securities Corp., A |
Capital Markets | 87,000 | 28,910 | |||||||||||
a |
Catcher Technology Co. Ltd. |
Technology Hardware, Storage & Peripherals | 32,000 | 173,864 | ||||||||||
Cathay Financial Holding Co. Ltd., A |
Insurance | 363,300 | 457,143 | |||||||||||
Chailease Holding Co. Ltd., A |
Diversified Financial Services | 61,002 | 350,652 | |||||||||||
Chang Hwa Commercial Bank Ltd., A |
Banks | 288,033 | 155,588 | |||||||||||
Cheng Shin Rubber Industry Co. Ltd., A |
Auto Components | 81,300 | 91,417 | |||||||||||
Chicony Electronics Co. Ltd. |
Technology Hardware, Storage & Peripherals | 26,520 | 68,829 | |||||||||||
China Airlines Ltd., A |
Airlines | 126,000 | 77,984 | |||||||||||
China Development Financial Holding Corp., A |
Banks | 714,000 | 269,867 | |||||||||||
China Motor Corp., A |
Automobiles | 11,460 | 14,673 | |||||||||||
China Steel Corp., A |
Metals & Mining | 545,000 | 458,329 | |||||||||||
Chunghwa Telecom Co. Ltd. |
Diversified Telecommunication Services | 167,240 | 600,503 | |||||||||||
Compal Electronics Inc., H |
Technology Hardware, Storage & Peripherals | 180,000 | 123,027 | |||||||||||
CTBC Financial Holding Co. Ltd., A |
Banks | 801,000 | 500,798 | |||||||||||
Delta Electronics Inc., A |
Electronic Equipment, Instruments & Components | 95,490 | 760,936 | |||||||||||
E Ink Holdings Inc. |
Electronic Equipment, Instruments & Components | 39,500 | 263,756 | |||||||||||
E.Sun Financial Holding Co. Ltd., A |
Banks | 601,415 | 487,777 | |||||||||||
Eclat Textile Co. Ltd., A |
Textiles, Apparel & Luxury Goods | 8,820 | 108,899 | |||||||||||
eMemory Technology Inc. |
Semiconductors & Semiconductor Equipment | 3,018 | 108,842 | |||||||||||
ENNOSTAR Inc., H |
Semiconductors & Semiconductor Equipment | 27,820 | 36,320 | |||||||||||
Eternal Materials Co. Ltd., H |
Chemicals | 48,300 | 46,096 | |||||||||||
EVA Airways Corp., H |
Airlines | 111,000 | 98,592 | |||||||||||
Evergreen Marine Corp. Taiwan Ltd. |
Marine | 44,072 | 202,668 | |||||||||||
Far Eastern International Bank |
Banks | 105,091 | 36,742 | |||||||||||
Far Eastern New Century Corp. |
Industrial Conglomerates | 172,800 | 176,071 | |||||||||||
Far EasTone Telecommunications Co. Ltd. |
Wireless Telecommunication Services | 71,000 | 161,907 | |||||||||||
Feng Tay Enterprise Co. Ltd. |
Textiles, Apparel & Luxury Goods | 19,240 | 95,749 | |||||||||||
First Financial Holding Co. Ltd. |
Banks | 457,770 | 374,879 | |||||||||||
Formosa Chemicals & Fibre Corp. |
Chemicals | 151,000 | 328,643 | |||||||||||
Formosa Petrochemical Corp. |
Oil, Gas & Consumable Fuels | 59,820 | 156,196 | |||||||||||
Formosa Plastics Corp. |
Chemicals | 164,460 | 448,588 | |||||||||||
Formosa Sumco Technology Corp. |
Semiconductors & Semiconductor Equipment | 2,460 | 10,615 | |||||||||||
Formosa Taffeta Co. Ltd. |
Textiles, Apparel & Luxury Goods | 45,000 | 38,340 | |||||||||||
Foxconn Technology Co. Ltd. |
Technology Hardware, Storage & Peripherals | 48,360 | 69,839 | |||||||||||
Fubon Financial Holding Co. Ltd. |
Insurance | 323,149 | 507,894 | |||||||||||
Genius Electronic Optical Co. Ltd. |
Electronic Equipment, Instruments & Components | 3,690 | 40,155 | |||||||||||
Giant Manufacturing Co. Ltd. |
Leisure Products | 13,100 | 84,792 | |||||||||||
Globalwafers Co. Ltd. |
Semiconductors & Semiconductor Equipment | 9,270 | 107,010 | |||||||||||
Hiwin Technologies Corp. |
Machinery | 12,289 | 68,511 | |||||||||||
Hon Hai Precision Industry Co. Ltd. |
Electronic Equipment, Instruments & Components | 525,600 | 1,688,595 | |||||||||||
Hotai Motor Co. Ltd. |
Specialty Retail | 14,040 | 252,949 | |||||||||||
a |
HTC Corp. |
Technology Hardware, Storage & Peripherals | 31,500 | 54,370 | ||||||||||
Hua Nan Financial Holdings Co. Ltd. |
Banks | 450,029 | 315,385 |
franklintempleton.com |
Semiannual Report |
275 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Taiwan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Taiwan (continued) | ||||||||||||||
Innolux Corp. |
Electronic Equipment, Instruments & Components | 451,000 | $ | 148,444 | ||||||||||
Inventec Corp. |
Technology Hardware, Storage & Peripherals | 132,000 | 95,209 | |||||||||||
Largan Precision Co. Ltd. |
Electronic Equipment, Instruments & Components | 4,500 | 237,409 | |||||||||||
Lite-On Technology Corp. |
Technology Hardware, Storage & Peripherals | 93,600 | 188,090 | |||||||||||
MediaTek Inc. |
Semiconductors & Semiconductor Equipment | 65,520 | 1,137,092 | |||||||||||
Mega Financial Holding Co. Ltd. |
Banks | 496,150 | 486,789 | |||||||||||
Micro-Star International Co. Ltd. |
Technology Hardware, Storage & Peripherals | 30,500 | 103,271 | |||||||||||
momo.com Inc. |
Internet & Catalog Retail | 2,438 | 41,006 | |||||||||||
Nan Ya Plastics Corp. |
Chemicals | 248,490 | 523,606 | |||||||||||
Nan Ya Printed Circuit Board Corp. |
Electronic Equipment, Instruments & Components | 9,000 | 53,576 | |||||||||||
Nanya Technology Corp. |
Semiconductors & Semiconductor Equipment | 35,190 | 54,255 | |||||||||||
Nien Made Enterprise Co. Ltd. |
Household Durables | 6,120 | 48,480 | |||||||||||
Novatek Microelectronics Corp. Ltd. |
Semiconductors & Semiconductor Equipment | 25,240 | 174,102 | |||||||||||
a |
OBI Pharma Inc. |
Biotechnology | 7,446 | 16,769 | ||||||||||
a |
Oneness Biotech Co. Ltd. |
Pharmaceuticals | 13,200 | 104,980 | ||||||||||
Pegatron Corp. |
Technology Hardware, Storage & Peripherals | 90,000 | 165,832 | |||||||||||
Pou Chen Corp. |
Textiles, Apparel & Luxury Goods | 117,000 | 105,027 | |||||||||||
Powerchip Semiconductor Manufacturing Corp. |
Semiconductors & Semiconductor Equipment | 126,000 | 113,106 | |||||||||||
Powertech Technology Inc. |
Semiconductors & Semiconductor Equipment | 31,300 | 76,010 | |||||||||||
President Chain Store Corp. |
Food & Staples Retailing | 24,840 | 221,024 | |||||||||||
Quanta Computer Inc. |
Technology Hardware, Storage & Peripherals | 117,260 | 284,388 | |||||||||||
Realtek Semiconductor Corp. |
Semiconductors & Semiconductor Equipment | 20,942 | 178,095 | |||||||||||
Ruentex Development Co. Ltd. |
Real Estate Management & Development | 69,000 | 111,707 | |||||||||||
Shin Kong Financial Holding Co. Ltd. |
Insurance | 592,565 | 153,232 | |||||||||||
Sino-American Silicon Products Inc. |
Semiconductors & Semiconductor Equipment | 23,820 | 98,284 | |||||||||||
SinoPac Financial Holdings Co. Ltd. |
Banks | 468,070 | 255,051 | |||||||||||
Synnex Technology International Corp. |
Electronic Equipment, Instruments & Components | 59,100 | 98,286 | |||||||||||
Taishin Financial Holding Co. Ltd. |
Banks | 498,872 | 215,268 | |||||||||||
Taiwan Business Bank |
Banks | 231,631 | 91,926 | |||||||||||
Taiwan Cement Corp. |
Construction Materials | 261,418 | 278,306 | |||||||||||
Taiwan Cooperative Financial Holding Co. Ltd. |
Banks | 441,446 | 364,987 | |||||||||||
Taiwan Fertilizer Co. Ltd. |
Chemicals | 32,400 | 56,230 | |||||||||||
Taiwan Glass Industry Corp. |
Building Products | 72,000 | 39,573 | |||||||||||
Taiwan High Speed Rail Corp. |
Transportation Infrastructure | 91,000 | 81,688 | |||||||||||
Taiwan Mobile Co. Ltd. |
Wireless Telecommunication Services | 75,780 | 228,183 | |||||||||||
Taiwan Secom Co. Ltd. |
Commercial Services & Supplies | 12,280 | 39,065 | |||||||||||
Taiwan Semiconductor Manufacturing Co. Ltd. |
Semiconductors & Semiconductor Equipment | 402,620 | 5,351,527 | |||||||||||
Teco Electric & Machinery Co. Ltd. |
Electrical Equipment | 87,000 | 77,138 | |||||||||||
The Shanghai Commercial & Savings Bank Ltd. |
Banks | 144,000 | 223,150 | |||||||||||
Transcend Information Inc. |
Technology Hardware, Storage & Peripherals | 12,280 | 24,948 | |||||||||||
U-Ming Marine Transport Corp. |
Marine | 18,000 | 20,694 | |||||||||||
Unimicron Technology Corp. |
Electronic Equipment, Instruments & Components | 55,800 | 206,510 | |||||||||||
Uni-President Enterprises Corp. |
Food Products | 210,700 | 446,632 | |||||||||||
United Microelectronics Corp. |
Semiconductors & Semiconductor Equipment | 515,220 | 580,148 | |||||||||||
Vanguard International Semiconductor Corp. |
Semiconductors & Semiconductor Equipment | 39,360 | 80,582 | |||||||||||
Voltronic Power Technology Corp. |
Electrical Equipment | 2,880 | 127,450 | |||||||||||
Walsin Lihwa Corp. |
Electrical Equipment | 150,679 | 192,211 | |||||||||||
Walsin Technology Corp. |
Electronic Equipment, Instruments & Components | 21,280 | 49,934 | |||||||||||
Wan Hai Lines Ltd. |
Marine | 40,530 | 85,275 | |||||||||||
Win Semiconductors Corp. |
Semiconductors & Semiconductor Equipment | 17,550 | 68,267 | |||||||||||
Winbond Electronics Corp. |
Semiconductors & Semiconductor Equipment | 128,000 | 79,625 | |||||||||||
Wistron Corp. |
Technology Hardware, Storage & Peripherals | 125,000 | 104,531 | |||||||||||
Wiwynn Corp. |
Technology Hardware, Storage & Peripherals | 3,820 | 97,218 | |||||||||||
Yageo Corp. |
Electronic Equipment, Instruments & Components | 22,250 | 188,518 | |||||||||||
Yang Ming Marine Transport Corp. |
Marine | 77,400 | 149,929 | |||||||||||
Yuanta Financial Holding Co. Ltd. |
Capital Markets | 532,406 | 327,838 | |||||||||||
Yulon Motor Co. Ltd. |
Automobiles | 23,549 | 30,448 |
276 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE Taiwan ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
Taiwan (continued) | ||||||||||||||
Yulon Nissan Motor Co. Ltd. |
Automobiles | 1,260 | $ | 7,540 | ||||||||||
Zhen Ding Technology Holding Ltd. |
Electronic Equipment, Instruments & Components | 27,900 | 93,149 | |||||||||||
|
|
|||||||||||||
27,321,394 | ||||||||||||||
|
|
|||||||||||||
United States 0.2% | ||||||||||||||
Parade Technologies Ltd. |
Semiconductors & Semiconductor Equipment | 3,060 | 57,058 | |||||||||||
|
|
|||||||||||||
Total
Investments |
27,726,628 | |||||||||||||
Other Assets, less Liabilities 0.2% |
61,144 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 27,787,772 | ||||||||||||
|
|
aNon-income producing.
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized Appreciation (Depreciation) |
|||||||||||||||
Equity Contracts | ||||||||||||||||||||
FTSE TAIWAN INDEX |
Long | 2 | $ | 93,400 | 10/28/22 | $ | (4,144 | ) |
*As of period end.
See Note 8 regarding other derivative information.
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
277 |
FRANKLIN TEMPLETON ETF TRUST
Financial Highlights
Franklin FTSE United Kingdom ETF
Six Months Ended (unaudited) |
Year Ended March 31, | |||||||||||||||||||||||
2022 | 2021 | 2020 | 2019 | 2018a | ||||||||||||||||||||
Per share operating performance (for a share outstanding throughout the period) |
||||||||||||||||||||||||
Net asset value, beginning of period |
$ | 25.46 | $ | 23.78 | $ | 17.92 | $ | 24.23 | $ | 25.23 | $ | 24.89 | ||||||||||||
|
|
|||||||||||||||||||||||
Income from investment operationsb: | ||||||||||||||||||||||||
Net investment incomec |
0.55 | 0.95 | 0.84 | 1.08 | 1.05 | 0.38 | ||||||||||||||||||
Net realized and unrealized gains (losses) |
(5.75 | ) | 1.47 | 5.62 | (6.30 | ) | (1.21 | ) | 0.07 | |||||||||||||||
|
|
|||||||||||||||||||||||
Total from investment operations |
(5.20 | ) | 2.42 | 6.46 | (5.22 | ) | (0.16 | ) | 0.45 | |||||||||||||||
|
|
|||||||||||||||||||||||
Less distributions from net investment income | (0.49 | ) | (0.74 | ) | (0.60 | ) | (1.09 | ) | (0.84 | ) | (0.11 | ) | ||||||||||||
|
|
|||||||||||||||||||||||
Net asset value, end of period |
$ | 19.77 | $ | 25.46 | $ | 23.78 | $ | 17.92 | $ | 24.23 | $ | 25.23 | ||||||||||||
|
|
|||||||||||||||||||||||
Total returnd |
(20.61)% | 10.27% | 36.19% | (22.42)% | (0.51)% | 1.80% | ||||||||||||||||||
Ratios to average net assetse | ||||||||||||||||||||||||
Expenses before waiver and payments by affiliates |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Expenses net of waiver and payments by affiliates |
0.09% | 0.09% | 0.09% | 0.09% | 0.09% | 0.09% | ||||||||||||||||||
Net investment income |
4.73% | 3.77% | 3.98% | 4.84% | 4.46% | 3.68% | ||||||||||||||||||
Supplemental data | ||||||||||||||||||||||||
Net assets, end of period (000’s) |
$390,474 | $613,573 | $205,673 | $89,624 | $29,076 | $2,523 | ||||||||||||||||||
Portfolio turnover ratef |
2.90%g | 5.76%g | 7.26%g | 4.41%g | 10.10% | 1.61% |
aFor the period November 2, 2017 (commencement of operations) to March 31, 2018.
bThe amount shown for a share outstanding throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Creation Unit Fund shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
cBased on average daily shares outstanding.
dTotal return is not annualized for periods less than one year. Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period.
eRatios are annualized for periods less than one year, except for non-recurring expenses, if any.
fPortfolio turnover rate includes portfolio transactions that are executed as a result of the Fund offering and redeeming Creation Units solely for cash (“Cash creations”).
gPortfolio turnover rate excluding cash creations was as follows: | 2.90% | 5.76% | 7.26% | 4.41% |
278 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Schedule of Investments, September 30, 2022 (unaudited)
Franklin FTSE United Kingdom ETF
Industry | Shares | Value | ||||||||||||
Common Stocks 99.0% | ||||||||||||||
Australia 6.3% | ||||||||||||||
Glencore PLC |
Metals & Mining | 2,492,450 | $ | 13,303,666 | ||||||||||
Rio Tinto PLC |
Metals & Mining | 207,375 | 11,333,877 | |||||||||||
|
|
|||||||||||||
24,637,543 | ||||||||||||||
|
|
|||||||||||||
Bermuda 0.2% | ||||||||||||||
Hiscox Ltd. |
Insurance | 63,200 | 622,534 | |||||||||||
|
|
|||||||||||||
Chile 0.2% | ||||||||||||||
Antofagasta PLC |
Metals & Mining | 65,570 | 816,499 | |||||||||||
|
|
|||||||||||||
Germany 0.1% | ||||||||||||||
a,b |
TUI AG |
Hotels, Restaurants & Leisure | 235,420 | 284,217 | ||||||||||
|
|
|||||||||||||
Ireland 4.1% | ||||||||||||||
CRH PLC |
Construction Materials | 145,755 | 4,734,751 | |||||||||||
DCC PLC |
Industrial Conglomerates | 18,960 | 992,429 | |||||||||||
Experian PLC |
Professional Services | 174,985 | 5,197,882 | |||||||||||
a |
Flutter Entertainment PLC |
Hotels, Restaurants & Leisure | 33,575 | 3,724,738 | ||||||||||
Smurfit Kappa Group PLC |
Containers & Packaging | 49,770 | 1,434,513 | |||||||||||
|
|
|||||||||||||
16,084,313 | ||||||||||||||
|
|
|||||||||||||
Isle Of Man 0.3% | ||||||||||||||
GVC Holdings PLC |
Hotels, Restaurants & Leisure | 111,785 | 1,355,171 | |||||||||||
|
|
|||||||||||||
Mexico 0.1% | ||||||||||||||
Fresnillo PLC |
Metals & Mining | 34,760 | 298,469 | |||||||||||
|
|
|||||||||||||
Netherlands 8.9% | ||||||||||||||
Shell PLC |
Oil, Gas & Consumable Fuels | 1,393,955 | 34,957,139 | |||||||||||
|
|
|||||||||||||
Nigeria 0.1% | ||||||||||||||
Airtel Africa PLC, 144A |
Wireless Telecommunication Services | 204,215 | 294,531 | |||||||||||
|
|
|||||||||||||
Russia 0.0% | ||||||||||||||
c |
Evraz PLC |
Metals & Mining | 128,818 | — | ||||||||||
|
|
|||||||||||||
Switzerland 0.2% | ||||||||||||||
Coca-Cola HBC AG |
Beverages | 37,525 | 793,380 | |||||||||||
|
|
|||||||||||||
United Kingdom 78.5% | ||||||||||||||
3i Group PLC |
Capital Markets | 181,305 | 2,212,130 | |||||||||||
Abrdn PLC |
Capital Markets | 409,220 | 635,426 | |||||||||||
Admiral Group PLC |
Insurance | 54,115 | 1,156,522 | |||||||||||
Anglo American PLC |
Metals & Mining | 229,890 | 7,020,006 | |||||||||||
Ashtead Group PLC |
Trading Companies & Distributors | 84,135 | 3,837,565 | |||||||||||
Associated British Foods PLC |
Food Products | 65,570 | 923,364 | |||||||||||
AstraZeneca PLC |
Pharmaceuticals | 281,240 | 31,218,994 | |||||||||||
d |
Auto Trader Group PLC, 144A |
Interactive Media & Services | 175,775 | 1,010,520 | ||||||||||
AVEVA Group PLC |
Software | 22,515 | 789,694 | |||||||||||
Aviva PLC |
Insurance | 531,670 | 2,303,978 | |||||||||||
B&M European Value Retail SA |
Multiline Retail | 176,170 | 601,972 | |||||||||||
BAE Systems PLC |
Aerospace & Defense | 600,795 | 5,296,929 | |||||||||||
Barclays PLC |
Banks | 3,074,680 | 4,952,756 | |||||||||||
Barratt Developments PLC |
Household Durables | 195,130 | 745,392 | |||||||||||
Bellway PLC |
Household Durables | 23,305 | 443,042 | |||||||||||
Berkeley Group Holdings PLC |
Household Durables | 19,355 | 712,349 | |||||||||||
BP PLC |
Oil, Gas & Consumable Fuels | 3,535,645 | 17,093,757 | |||||||||||
British American Tobacco PLC |
Tobacco | 426,600 | 15,365,023 | |||||||||||
British Land Co. PLC |
Equity Real Estate Investment Trusts (REITs | ) | 177,750 | 695,867 | ||||||||||
BT Group PLC |
Diversified Telecommunication Services | 1,326,410 | 1,796,794 | |||||||||||
Bunzl PLC |
Trading Companies & Distributors | 64,385 | 1,983,693 | |||||||||||
Burberry Group PLC |
Textiles, Apparel & Luxury Goods | 75,050 | 1,514,711 | |||||||||||
a |
Centrica PLC |
Multi-Utilities | 1,128,515 | 892,414 |
franklintempleton.com |
Semiannual Report |
279 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE United Kingdom ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
United Kingdom (continued) | ||||||||||||||
Compass Group PLC |
Hotels, Restaurants & Leisure | 339,305 | $ | 6,836,726 | ||||||||||
a |
ConvaTec Group PLC, 144A |
Health Care Equipment & Supplies | 312,445 | 717,096 | ||||||||||
Croda International PLC |
Chemicals | 25,675 | 1,847,487 | |||||||||||
Dechra Pharmaceuticals PLC |
Pharmaceuticals | 20,935 | 612,754 | |||||||||||
Derwent London PLC |
Equity Real Estate Investment Trusts (REITs | ) | 18,960 | 427,534 | ||||||||||
Diageo PLC |
Beverages | 429,760 | 18,218,158 | |||||||||||
Direct Line Insurance Group PLC |
Insurance | 251,615 | 521,028 | |||||||||||
Dr. Martens PLC |
Textiles, Apparel & Luxury Goods | 104,280 | 259,356 | |||||||||||
DS Smith PLC |
Containers & Packaging | 245,690 | 704,583 | |||||||||||
a |
easyJet PLC |
Airlines | 70,310 | 232,636 | ||||||||||
Electrocomponents PLC |
Trading Companies & Distributors | 88,875 | 961,356 | |||||||||||
Endeavour Mining PLC |
Metals & Mining | 34,760 | 636,750 | |||||||||||
Ferguson PLC |
Trading Companies & Distributors | 40,290 | 4,229,515 | |||||||||||
GSK PLC |
Pharmaceuticals | 761,165 | 11,095,227 | |||||||||||
a |
Haleon PLC |
Personal Products | 951,555 | 2,966,250 | ||||||||||
Halma PLC |
Electronic Equipment, Instruments & Components | 72,285 | 1,650,145 | |||||||||||
Hargreaves Lansdown PLC |
Capital Markets | 71,495 | 692,111 | |||||||||||
Hikma Pharmaceuticals PLC |
Pharmaceuticals | 31,205 | 474,963 | |||||||||||
HomeServe PLC |
Commercial Services & Supplies | 52,930 | 699,575 | |||||||||||
Howden Joinery Group PLC |
Trading Companies & Distributors | 101,910 | 574,726 | |||||||||||
HSBC Holdings PLC |
Banks | 3,835,055 | 20,005,439 | |||||||||||
IMI PLC |
Machinery | 48,585 | 606,894 | |||||||||||
Imperial Brands PLC |
Tobacco | 180,120 | 3,729,809 | |||||||||||
Informa PLC |
Media | 274,525 | 1,591,099 | |||||||||||
InterContinental Hotels Group PLC |
Hotels, Restaurants & Leisure | 35,155 | 1,714,549 | |||||||||||
Intermediate Capital Group PLC |
Capital Markets | 52,535 | 576,361 | |||||||||||
a |
International Consolidated Airlines Group SA |
Airlines | 210,535 | 222,494 | ||||||||||
Intertek Group PLC |
Professional Services | 30,810 | 1,274,955 | |||||||||||
ITV PLC |
Media | 718,505 | 459,424 | |||||||||||
J Sainsbury PLC |
Food & Staples Retailing | 325,480 | 633,290 | |||||||||||
JD Sports Fashion PLC |
Specialty Retail | 463,335 | 518,255 | |||||||||||
Johnson Matthey PLC |
Chemicals | 34,760 | 711,057 | |||||||||||
Kingfisher PLC |
Specialty Retail | 378,015 | 930,039 | |||||||||||
Land Securities Group PLC |
Equity Real Estate Investment Trusts (REITs | ) | 136,670 | 796,082 | ||||||||||
Legal & General Group PLC |
Insurance | 1,129,305 | 2,729,291 | |||||||||||
Lloyds Banking Group PLC |
Banks | 13,025,520 | 6,018,263 | |||||||||||
London Stock Exchange Group PLC |
Capital Markets | 69,915 | 5,953,355 | |||||||||||
M&G PLC |
Diversified Financial Services | 482,690 | 897,416 | |||||||||||
Melrose Industries PLC |
Industrial Conglomerates | 761,955 | 869,282 | |||||||||||
Mondi PLC |
Paper & Forest Products | 92,430 | 1,438,323 | |||||||||||
National Grid PLC |
Multi-Utilities | 694,015 | 7,212,723 | |||||||||||
NatWest Group PLC |
Banks | 968,145 | 2,441,391 | |||||||||||
Next PLC |
Multiline Retail | 23,305 | 1,248,997 | |||||||||||
a,c |
NMC Health PLC |
Health Care Providers & Services | 3,705 | — | ||||||||||
a |
Ocado Group PLC |
Food & Staples Retailing | 109,810 | 579,194 | ||||||||||
Pearson PLC |
Media | 139,830 | 1,353,007 | |||||||||||
Pennon Group PLC |
Water Utilities | 50,165 | 440,713 | |||||||||||
Persimmon PLC |
Household Durables | 60,830 | 840,318 | |||||||||||
Phoenix Group Holdings PLC |
Insurance | 138,645 | 815,325 | |||||||||||
Prudential PLC |
Insurance | 523,375 | 5,221,966 | |||||||||||
Reckitt Benckiser Group PLC |
Household Products | 136,275 | 9,090,913 | |||||||||||
RELX PLC |
Professional Services | 353,130 | 8,680,258 | |||||||||||
Renishaw PLC |
Electronic Equipment, Instruments & Components | 6,448 | 253,078 | |||||||||||
Rentokil Initial PLC |
Commercial Services & Supplies | 355,105 | 1,892,827 | |||||||||||
Rightmove PLC |
Interactive Media & Services | 158,790 | 854,734 | |||||||||||
a |
Rolls-Royce Holdings PLC |
Aerospace & Defense | 1,595,010 | 1,239,056 | ||||||||||
Royal Mail PLC |
Air Freight & Logistics | 168,665 | 347,284 |
280 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE United Kingdom ETF (continued)
Industry | Shares | Value | ||||||||||||
Common Stocks (continued) | ||||||||||||||
United Kingdom (continued) | ||||||||||||||
Schroders PLC |
Capital Markets | 123,182 | $ | 535,319 | ||||||||||
Segro PLC |
Equity Real Estate Investment Trusts (REITs | ) | 228,705 | 1,922,434 | ||||||||||
Severn Trent PLC |
Water Utilities | 47,400 | 1,246,092 | |||||||||||
Smith & Nephew PLC |
Health Care Equipment & Supplies | 166,295 | 1,950,096 | |||||||||||
Smiths Group PLC |
Industrial Conglomerates | 69,125 | 1,165,179 | |||||||||||
Spirax-Sarco Engineering PLC |
Machinery | 13,825 | 1,605,015 | |||||||||||
SSE PLC |
Electric Utilities | 203,425 | 3,468,696 | |||||||||||
St. James’s Place Capital PLC |
Capital Markets | 101,910 | 1,178,575 | |||||||||||
Standard Chartered PLC |
Banks | 465,310 | 2,944,103 | |||||||||||
Tate & Lyle PLC |
Food Products | 75,840 | 575,689 | |||||||||||
Taylor Wimpey PLC |
Household Durables | 668,340 | 658,778 | |||||||||||
Tesco PLC |
Food & Staples Retailing | 1,409,755 | 3,254,430 | |||||||||||
The Sage Group PLC |
Software | 193,945 | 1,509,443 | |||||||||||
Unilever PLC |
Personal Products | 483,480 | 21,421,028 | |||||||||||
UNITE Group PLC |
Equity Real Estate Investment Trusts (REITs | ) | 60,435 | 579,175 | ||||||||||
United Utilities Group PLC |
Water Utilities | 129,560 | 1,285,451 | |||||||||||
Vodafone Group PLC |
Wireless Telecommunication Services | 4,780,290 | 5,396,001 | |||||||||||
Weir Group PLC |
Machinery | 49,770 | 781,426 | |||||||||||
Whitbread PLC |
Hotels, Restaurants & Leisure | 38,315 | 984,589 | |||||||||||
a |
Wise PLC, A |
IT Services | 87,295 | 643,737 | ||||||||||
WPP PLC |
Media | 203,425 | 1,703,124 | |||||||||||
|
|
|||||||||||||
306,556,715 | ||||||||||||||
|
|
|||||||||||||
Total
Investments before Short Term Investments |
386,700,511 | |||||||||||||
|
|
|||||||||||||
Short-Term Investments 0.1% | ||||||||||||||
Investments from Cash Collateral Received for Loaned Securities 0.1% |
||||||||||||||
United States 0.1% | ||||||||||||||
e,f |
Institutional Fiduciary Trust Portfolio, 2.45% |
Money Market Funds | 273,000 | 273,000 | ||||||||||
|
|
|||||||||||||
Total
Short-Term Investments |
273,000 | |||||||||||||
|
|
|||||||||||||
Total
Investments |
386,973,511 | |||||||||||||
Other Assets, less Liabilities 0.9% |
3,500,130 | |||||||||||||
|
|
|||||||||||||
Net Assets 100.0% |
$ | 390,473,641 | ||||||||||||
|
|
aNon-income producing.
bA portion or all of the security is on loan at September 30, 2022. See Note 1(d).
cFair valued using significant unobservable inputs. See Note 9 regarding fair value measurements.
dSecurity was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration only to qualified institutional buyers or in a public offering registered under the Securities Act of 1933.At September 30, 2022, the value of was $2,022,147, representing 0.5% of net assets.
eThe rate shown is the annualized seven-day effective yield at period end.
fSee Note 3(c) regarding investments in affiliated management investment companies.
franklintempleton.com |
Semiannual Report |
281 |
FRANKLIN TEMPLETON ETF TRUST
SCHEDULE OF INVESTMENTS (UNAUDITED)
Franklin FTSE United Kingdom ETF (continued)
At September 30, 2022, the Fund had the following futures contracts outstanding. See Note 1(c).
Futures Contracts | ||||||||||||||||||||
Description | Type | Number of Contracts |
Notional Amount* |
Expiration Date |
Value/Unrealized Appreciation (Depreciation) |
|||||||||||||||
Index Contracts | ||||||||||||||||||||
FTSE 100 Index |
Long | 47 | $ | 3,627,767 | 12/16/22 | $ | (236,095 | ) |
*As of period end.
See Note 8 regarding other derivative information.
See Abbreviations on page 332.
282 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Assets and Liabilities
September 30, 2022 (unaudited)
Franklin FTSE Asia ex Japan ETF |
Franklin FTSE Australia ETF |
Franklin FTSE Brazil ETF |
Franklin FTSE Canada ETF |
|||||||||||||
Assets: |
||||||||||||||||
Investments in securities: |
||||||||||||||||
Cost – Unaffiliated issuers |
$ | 37,997,819 | $ | 25,399,172 | $ | 283,908,891 | $ | 300,579,922 | ||||||||
Value – Unaffiliated issuers |
$ | 30,334,092 | $ | 22,913,777 | $ | 277,548,283 | $ | 257,885,497 | ||||||||
Cash |
— | 197 | 182,456 | — | ||||||||||||
Foreign currency, at value (cost $58,396, $279,747, $1,047,633 and $334,426, respectively) |
57,880 | 276,344 | 981,878 | 332,236 | ||||||||||||
Receivables: |
||||||||||||||||
Dividends |
52,691 | 98,762 | 1,039,760 | 618,927 | ||||||||||||
Variation margin on futures contracts |
— | 386 | — | — | ||||||||||||
Deposits with brokers for: |
||||||||||||||||
Futures contracts |
49 | 38,423 | 579,506 | 48,347 | ||||||||||||
Other assets |
46 | — | — | — | ||||||||||||
|
|
|||||||||||||||
Total assets |
30,444,758 | 23,327,889 | 280,331,883 | 258,885,007 | ||||||||||||
|
|
|||||||||||||||
Liabilities: |
||||||||||||||||
Payables: |
||||||||||||||||
Management fees |
5,111 | 1,872 | 43,256 | 21,523 | ||||||||||||
Variation margin on futures contracts |
— | — | 88,129 | 1,582 | ||||||||||||
Funds advanced by custodian |
8,683 | — | — | 647 | ||||||||||||
Deferred tax |
145,188 | — | — | — | ||||||||||||
|
|
|||||||||||||||
Total liabilities |
158,982 | 1,872 | 131,385 | 23,752 | ||||||||||||
|
|
|||||||||||||||
Net assets, at value |
$ | 30,285,776 | $ | 23,326,017 | $ | 280,200,498 | $ | 258,861,255 | ||||||||
|
|
|||||||||||||||
Net assets consist of: |
||||||||||||||||
Paid-in capital |
$ | 40,272,908 | $ | 26,726,887 | $ | 406,857,769 | $ | 296,448,312 | ||||||||
Total distributable earnings (loss) |
(9,987,132 | ) | (3,400,870 | ) | (126,657,271 | ) | (37,587,057 | ) | ||||||||
|
|
|||||||||||||||
Net assets, at value |
$ | 30,285,776 | $ | 23,326,017 | $ | 280,200,498 | $ | 258,861,255 | ||||||||
|
|
|||||||||||||||
Shares outstanding |
1,600,000 | 1,000,000 | 15,500,000 | 9,200,000 | ||||||||||||
|
|
|||||||||||||||
Net asset value per share |
$ | 18.93 | $ | 23.33 | $ | 18.08 | $ | 28.14 | ||||||||
|
|
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
283 |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Assets and Liabilities (continued)
September 30, 2022 (unaudited)
Franklin FTSE China ETF |
Franklin FTSE Europe ETF |
Franklin FTSE Europe Hedged ETF |
Franklin FTSE France ETF |
|||||||||||||
Assets: |
||||||||||||||||
Investments in securities: |
||||||||||||||||
Cost – Unaffiliated issuers |
$ | 138,328,688 | $ | 51,710,478 | $ | 19,730,791 | $ | 8,467,663 | ||||||||
Value – Unaffiliated issuers |
$ | 91,369,615 | $ | 36,113,747 | $ | 14,141,600 | $ | 6,580,831 | ||||||||
Cash |
— | 20,055 | — | — | ||||||||||||
Foreign currency, at value (cost $47,695, $20,448, $58,337 and $2,701, respectively) |
47,674 | 20,414 | 57,540 | 2,652 | ||||||||||||
Receivables: |
||||||||||||||||
Dividends |
131,406 | 354,619 | 35,314 | 7,019 | ||||||||||||
Variation margin on futures contracts |
527 | 4,994 | 421 | — | ||||||||||||
Deposits with brokers for: |
||||||||||||||||
Futures contracts |
9,330 | 43,691 | 3,379 | — | ||||||||||||
Unrealized appreciation on OTC forward exchange contracts |
— | — | 463,463 | — | ||||||||||||
Other assets |
— | 122 | 36 | — | ||||||||||||
|
|
|||||||||||||||
Total assets |
91,558,552 | 36,557,642 | 14,701,753 | 6,590,502 | ||||||||||||
|
|
|||||||||||||||
Liabilities: |
||||||||||||||||
Payables: |
||||||||||||||||
Investment securities purchased |
— | — | 456,599 | — | ||||||||||||
Management fees |
15,649 | 2,518 | 1,099 | 577 | ||||||||||||
Funds advanced by custodian |
58,531 | — | 30,607 | 2,603 | ||||||||||||
Unrealized depreciation on OTC forward exchange contracts |
— | — | 9,551 | — | ||||||||||||
|
|
|||||||||||||||
Total liabilities |
74,180 | 2,518 | 497,856 | 3,180 | ||||||||||||
|
|
|||||||||||||||
Net assets, at value |
$ | 91,484,372 | $ | 36,555,124 | $ | 14,203,897 | $ | 6,587,322 | ||||||||
|
|
|||||||||||||||
Net assets consist of: |
||||||||||||||||
Paid-in capital |
$ | 154,199,656 | $ | 50,687,177 | $ | 17,257,761 | $ | 8,740,296 | ||||||||
Total distributable earnings (loss) |
(62,715,284 | ) | (14,132,053 | ) | (3,053,864 | ) | (2,152,974 | ) | ||||||||
|
|
|||||||||||||||
Net assets, at value |
$ | 91,484,372 | $ | 36,555,124 | $ | 14,203,897 | $ | 6,587,322 | ||||||||
|
|
|||||||||||||||
Shares outstanding |
5,400,000 | 1,800,000 | 600,000 | 300,000 | ||||||||||||
|
|
|||||||||||||||
Net asset value per share |
$ | 16.94 | $ | 20.31 | $ | 23.67 | $ | 21.96 | ||||||||
|
|
284 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Assets and Liabilities (continued)
September 30, 2022 (unaudited)
Franklin FTSE Germany ETF |
Franklin FTSE Hong Kong ETF |
Franklin FTSE India ETF |
Franklin FTSE Italy ETF |
|||||||||||||
Assets: |
||||||||||||||||
Investments in securities: |
||||||||||||||||
Cost – Unaffiliated issuers |
$ | 19,708,863 | $ | 15,063,230 | $ | 49,608,914 | $ | 3,322,879 | ||||||||
Value – Unaffiliated issuers |
$ | 13,157,450 | $ | 11,180,353 | $ | 53,998,101 | $ | 2,678,906 | ||||||||
Cash |
3,924 | 417 | — | 360 | ||||||||||||
Foreign currency, at value (cost $6,569, $30,206, $20,278 and $1,998, respectively) |
6,439 | 30,204 | 20,274 | 1,982 | ||||||||||||
Receivables: |
||||||||||||||||
Dividends |
— | 37,263 | 17,053 | — | ||||||||||||
Investment securities sold |
— | — | 37,263 | — | ||||||||||||
Variation margin on futures contracts |
— | 160 | — | — | ||||||||||||
Deposits with brokers for: |
||||||||||||||||
Futures contracts |
— | 6,750 | 10 | — | ||||||||||||
|
|
|||||||||||||||
Total assets |
13,167,813 | 11,255,147 | 54,072,701 | 2,681,248 | ||||||||||||
|
|
|||||||||||||||
Liabilities: |
||||||||||||||||
Payables: |
||||||||||||||||
Investment securities purchased |
— | — | 16,620 | — | ||||||||||||
Management fees |
966 | 900 | 8,670 | 211 | ||||||||||||
Funds advanced by custodian |
— | — | 42,473 | — | ||||||||||||
Deferred tax |
— | — | 680,011 | — | ||||||||||||
|
|
|||||||||||||||
Total liabilities |
966 | 900 | 747,774 | 211 | ||||||||||||
|
|
|||||||||||||||
Net assets, at value |
$ | 13,166,847 | $ | 11,254,247 | $ | 53,324,927 | $ | 2,681,037 | ||||||||
|
|
|||||||||||||||
Net assets consist of: |
||||||||||||||||
Paid-in capital |
$ | 20,206,663 | $ | 16,156,328 | $ | 52,135,669 | $ | 3,728,641 | ||||||||
Total distributable earnings (loss) |
(7,039,816 | ) | (4,902,081 | ) | 1,189,258 | (1,047,604 | ) | |||||||||
|
|
|||||||||||||||
Net assets, at value |
$ | 13,166,847 | $ | 11,254,247 | $ | 53,324,927 | $ | 2,681,037 | ||||||||
|
|
|||||||||||||||
Shares outstanding |
850,000 | 600,000 | 1,850,000 | 150,000 | ||||||||||||
|
|
|||||||||||||||
Net asset value per share |
$ | 15.49 | $ | 18.76 | $ | 28.82 | $ | 17.87 | ||||||||
|
|
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
285 |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Assets and Liabilities (continued)
September 30, 2022 (unaudited)
Franklin FTSE Japan ETF |
Franklin FTSE Japan Hedged ETF |
Franklin FTSE Latin America ETF |
Franklin FTSE Mexico ETF |
|||||||||||||
Assets: |
||||||||||||||||
Investments in securities: |
||||||||||||||||
Cost – Unaffiliated issuers |
$ | 1,002,459,019 | $ | 29,743,748 | $ | 60,334,216 | $ | 10,126,558 | ||||||||
Cost – Non-controlled affiliates (Note 3c) |
392,360 | 272,885 | — | — | ||||||||||||
Value – Unaffiliated issuers |
$ | 769,637,967 | $ | 22,742,013 | $ | 60,701,960 | $ | 9,936,121 | ||||||||
Value – Non-controlled affiliates (Note 3c) |
392,360 | 272,885 | — | — | ||||||||||||
Cash |
3 | — | 129,046 | 470 | ||||||||||||
Foreign currency, at value (cost $349,368 and $6,195, respectively) |
348,532 | 6,187 | — | — | ||||||||||||
Receivables: |
||||||||||||||||
Dividends |
7,376,935 | 210,085 | 197,230 | 65,668 | ||||||||||||
Deposits with brokers for: |
||||||||||||||||
Futures contracts |
401,050 | 10,695 | 54,139 | — | ||||||||||||
Unrealized appreciation on OTC forward exchange contracts |
— | 1,093,663 | — | — | ||||||||||||
|
|
|||||||||||||||
Total assets |
778,156,847 | 24,335,528 | 61,082,375 | 10,002,259 | ||||||||||||
|
|
|||||||||||||||
Liabilities: |
||||||||||||||||
Payables: |
||||||||||||||||
Investment securities purchased |
— | 954,798 | 37,284 | 28,649 | ||||||||||||
Management fees |
60,121 | 1,777 | 9,976 | 1,573 | ||||||||||||
Variation margin on futures contracts |
124,351 | 3,319 | 9,263 | — | ||||||||||||
Funds advanced by custodian |
— | 259,997 | — | — | ||||||||||||
Foreign currency advanced by custodian |
— | — | 52,059 | 26,179 | ||||||||||||
Unrealized depreciation on OTC forward exchange contracts |
— | 11,176 | — | — | ||||||||||||
Accrued expenses and other liabilities |
— | — | 252 | — | ||||||||||||
|
|
|||||||||||||||
Total liabilities |
184,472 | 1,231,067 | 108,834 | 56,401 | ||||||||||||
|
|
|||||||||||||||
Net assets, at value |
$ | 777,972,375 | $ | 23,104,461 | $ | 60,973,541 | $ | 9,945,858 | ||||||||
|
|
|||||||||||||||
Net assets consist of: |
||||||||||||||||
Paid-in capital |
$ | 1,019,094,736 | $ | 26,243,566 | $ | 59,414,204 | $ | 10,460,130 | ||||||||
Total distributable earnings (loss) |
(241,122,361 | ) | (3,139,105 | ) | 1,559,337 | (514,272 | ) | |||||||||
|
|
|||||||||||||||
Net assets, at value |
$ | 777,972,375 | $ | 23,104,461 | $ | 60,973,541 | $ | 9,945,858 | ||||||||
|
|
|||||||||||||||
Shares outstanding |
36,000,000 | 800,000 | 3,100,000 | 450,000 | ||||||||||||
|
|
|||||||||||||||
Net asset value per share |
$ | 21.61 | $ | 28.88 | $ | 19.67 | $ | 22.10 | ||||||||
|
|
286 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Assets and Liabilities (continued)
September 30, 2022 (unaudited)
Franklin FTSE Russia ETF |
Franklin FTSE Saudi Arabia ETF |
Franklin FTSE South Africa ETF |
Franklin FTSE South Korea ETF |
|||||||||||||
Assets: |
||||||||||||||||
Investments in securities: |
||||||||||||||||
Cost – Unaffiliated issuers |
$ | 22,476,787 | $ | 4,370,666 | $ | 3,808,391 | $ | 63,495,882 | ||||||||
Value – Unaffiliated issuers |
$ | — | $ | 5,448,215 | $ | 2,950,631 | $ | 43,835,235 | ||||||||
Cash |
4,500 | 101 | — | — | ||||||||||||
Foreign currency, at value (cost $5,246, $11,038 and $2,671, respectively) |
— | 5,250 | 11,082 | 2,631 | ||||||||||||
Receivables: |
||||||||||||||||
Dividends |
— | 5,914 | 8,047 | 78,542 | ||||||||||||
Affiliates |
82 | — | — | — | ||||||||||||
Deposits with brokers for: |
||||||||||||||||
Futures contracts |
— | — | — | 8,997 | ||||||||||||
Other assets |
82 | — | — | 3,264 | ||||||||||||
|
|
|||||||||||||||
Total assets |
4,664 | 5,459,480 | 2,969,760 | 43,928,669 | ||||||||||||
|
|
|||||||||||||||
Liabilities: |
||||||||||||||||
Payables: |
||||||||||||||||
Management fees |
— | 1,472 | 637 | 3,551 | ||||||||||||
Variation margin on futures contracts |
— | — | — | 1,647 | ||||||||||||
Funds advanced by custodian |
— | — | 18,868 | 10,825 | ||||||||||||
|
|
|||||||||||||||
Total liabilities |
— | 1,472 | 19,505 | 16,023 | ||||||||||||
|
|
|||||||||||||||
Net assets, at value |
$ | 4,664 | $ | 5,458,008 | $ | 2,950,255 | $ | 43,912,646 | ||||||||
|
|
|||||||||||||||
Net assets consist of: |
||||||||||||||||
Paid-in capital |
$ | 23,177,931 | $ | 4,366,705 | $ | 4,028,309 | $ | 74,619,328 | ||||||||
Total distributable earnings (loss) |
(23,173,267 | ) | 1,091,303 | (1,078,054 | ) | (30,706,682 | ) | |||||||||
|
|
|||||||||||||||
Net assets, at value |
$ | 4,664 | $ | 5,458,008 | $ | 2,950,255 | $ | 43,912,646 | ||||||||
|
|
|||||||||||||||
Shares outstanding |
800,000 | 150,000 | 150,000 | 2,600,000 | ||||||||||||
|
|
|||||||||||||||
Net asset value per share |
$ | 0.01 | 1 | $ | 36.39 | $ | 19.67 | $ | 16.89 | |||||||
|
|
1Actual amount less than $0.01 per share. Amount shown reflects effect of rounding.
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
287 |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Assets and Liabilities (continued)
September 30, 2022 (unaudited)
Franklin FTSE Switzerland ETF |
Franklin FTSE Taiwan ETF |
Franklin FTSE United Kingdom ETF |
||||||||||
Assets: |
| |||||||||||
Investments in securities: |
| |||||||||||
Cost – Unaffiliated issuers |
$ | 56,620,228 | $ | 27,057,905 | $ | 508,915,285 | ||||||
Cost – Non-controlled affiliates (Note 3c) |
— | — | 273,000 | |||||||||
Value – Unaffiliated issuers+ |
$ | 49,266,798 | $ | 27,726,628 | $ | 386,700,511 | ||||||
Value – Non-controlled affiliates (Note 3c) |
— | — | 273,000 | |||||||||
Cash |
15,628 | 235 | 183,345 | |||||||||
Foreign currency, at value (cost $64,370, $91,017 and $2,453,368, respectively) |
63,836 | 90,647 | 2,457,240 | |||||||||
Receivables: |
||||||||||||
Dividends |
636,272 | 51,099 | 971,902 | |||||||||
Investment securities sold |
— | 3,008,546 | 5,796,643 | |||||||||
Variation margin on futures contracts |
9,406 | — | 19,711 | |||||||||
Deposits with brokers for: |
||||||||||||
Futures contracts |
53,398 | 5,720 | 232,635 | |||||||||
|
|
|||||||||||
Total assets |
50,045,338 | 30,882,875 | 396,634,987 | |||||||||
|
|
|||||||||||
Liabilities: |
||||||||||||
Payables: |
||||||||||||
Capital shares redeemed |
— | 3,088,871 | 5,852,699 | |||||||||
Management fees |
3,672 | 5,285 | 35,647 | |||||||||
Variation margin on futures contracts |
— | 947 | — | |||||||||
Payable upon return of securities loaned |
— | — | 273,000 | |||||||||
|
|
|||||||||||
Total liabilities |
3,672 | 3,095,103 | 6,161,346 | |||||||||
|
|
|||||||||||
Net assets, at value |
$ | 50,041,666 | $ | 27,787,772 | $ | 390,473,641 | ||||||
|
|
|||||||||||
Net assets consist of: |
||||||||||||
Paid-in capital |
$ | 58,423,427 | $ | 27,933,402 | $ | 517,666,536 | ||||||
Total distributable earnings (loss) |
(8,381,761 | ) | (145,630 | ) | (127,192,895 | ) | ||||||
|
|
|||||||||||
Net assets, at value |
$ | 50,041,666 | $ | 27,787,772 | $ | 390,473,641 | ||||||
|
|
|||||||||||
Shares outstanding |
1,900,000 | 900,000 | 19,750,000 | |||||||||
|
|
|||||||||||
Net asset value per share |
$ | 26.34 | $ | 30.88 | $ | 19.77 | ||||||
|
|
|||||||||||
+Includes securities loaned |
— | — | $ | 258,853 |
288 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Operations
for the period ended September 30, 2022 (unaudited)
Franklin FTSE Asia ex Japan ETF |
Franklin FTSE Australia ETF |
Franklin FTSE Brazil ETF |
Franklin FTSE Canada ETF |
|||||||||||||
Investment income: |
||||||||||||||||
Dividends: (net of foreign taxes)a |
||||||||||||||||
Unaffiliated issuers |
$ | 667,810 | $ | 1,058,630 | $ | 25,194,990 | $ | 2,944,553 | ||||||||
Interest: |
||||||||||||||||
Unaffiliated issuers |
147 | — | — | — | ||||||||||||
Interest from securities loaned (Note 1d): |
||||||||||||||||
Unaffiliated issuers (net of fees and rebates) |
22 | — | — | — | ||||||||||||
|
|
|||||||||||||||
Total investment income |
667,979 | 1,058,630 | 25,194,990 | 2,944,553 | ||||||||||||
|
|
|||||||||||||||
Expenses: |
||||||||||||||||
Management fees (Note 3a) |
33,498 | 12,196 | 322,160 | 84,441 | ||||||||||||
|
|
|||||||||||||||
Total expenses |
33,498 | 12,196 | 322,160 | 84,441 | ||||||||||||
Expenses waived/paid by affiliates (Note 3c) |
(83 | ) | — | — | — | |||||||||||
|
|
|||||||||||||||
Net expenses |
33,415 | 12,196 | 322,160 | 84,441 | ||||||||||||
|
|
|||||||||||||||
Net investment income |
634,564 | 1,046,434 | 24,872,830 | 2,860,112 | ||||||||||||
|
|
|||||||||||||||
Realized and unrealized gains (losses): |
||||||||||||||||
Net realized gain (loss) from: |
||||||||||||||||
Investments: |
||||||||||||||||
Unaffiliated issuers |
(626,751 | ) | (360,009 | ) | (67,283,022 | ) | (1,237,263 | ) | ||||||||
In-kind redemptions |
— | — | — | 4,103,296 | ||||||||||||
Foreign currency transactions |
(11,830 | ) | (24,660 | ) | (1,250,479 | ) | (34,643 | ) | ||||||||
Futures contracts |
(41,334 | ) | 6,546 | (1,608,425 | ) | 19,482 | ||||||||||
|
|
|||||||||||||||
Net realized gain (loss) |
(679,915 | ) | (378,123 | ) | (70,141,926 | ) | 2,850,872 | |||||||||
|
|
|||||||||||||||
Net change in unrealized appreciation (depreciation) on: |
||||||||||||||||
Investments: |
||||||||||||||||
Unaffiliated issuers |
(8,273,349 | ) | (7,858,469 | ) | (49,813,914 | ) | (50,177,295 | ) | ||||||||
Translation of other assets and liabilities denominated in foreign currencies |
331 | (12,575 | ) | (210,147 | ) | (17,449 | ) | |||||||||
Futures contracts |
— | (30,610 | ) | (301,747 | ) | (27,595 | ) | |||||||||
Change in deferred taxes on unrealized appreciation . |
32,817 | — | — | — | ||||||||||||
|
|
|||||||||||||||
Net change in unrealized appreciation (depreciation) |
(8,240,201 | ) | (7,901,654 | ) | (50,325,808 | ) | (50,222,339 | ) | ||||||||
|
|
|||||||||||||||
Net realized and unrealized gain (loss) |
(8,920,116 | ) | (8,279,777 | ) | (120,467,734 | ) | (47,371,467 | ) | ||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
$ | (8,285,552 | ) | $ | (7,233,343 | ) | $ | (95,594,904 | ) | $ | (44,511,355 | ) | ||||
|
|
aForeign taxes withheld on dividends |
$ | 87,538 | $ | 6,194 | $ | 647,525 | $ | 519,619 | ||||||||
|
|
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
289 |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Operations (continued)
for the period ended September 30, 2022 (unaudited)
Franklin FTSE China ETF |
Franklin FTSE Europe ETF |
Franklin FTSE Europe Hedged ETF |
Franklin FTSE France ETF |
|||||||||||||
Investment income: |
||||||||||||||||
Dividends: (net of foreign taxes)a |
||||||||||||||||
Unaffiliated issuers |
$ | 2,286,484 | $ | 2,564,949 | $ | 415,515 | $ | 200,539 | ||||||||
Interest: |
||||||||||||||||
Unaffiliated issuers |
699 | — | — | — | ||||||||||||
Interest from securities loaned (Note 1d): |
||||||||||||||||
Unaffiliated issuers (net of fees and rebates) |
262 | — | — | — | ||||||||||||
|
|
|||||||||||||||
Total investment income |
2,287,445 | 2,564,949 | 415,515 | 200,539 | ||||||||||||
|
|
|||||||||||||||
Expenses: |
||||||||||||||||
Management fees (Note 3a) |
101,032 | 45,740 | 8,738 | 3,997 | ||||||||||||
Other |
— | 300 | 27 | 1 | ||||||||||||
|
|
|||||||||||||||
Total expenses |
101,032 | 46,040 | 8,765 | 3,998 | ||||||||||||
Expenses waived/paid by affiliates (Note 3c) |
(85 | ) | — | (19 | ) | — | ||||||||||
|
|
|||||||||||||||
Net expenses |
100,947 | 46,040 | 8,746 | 3,998 | ||||||||||||
|
|
|||||||||||||||
Net investment income |
2,186,498 | 2,518,909 | 406,769 | 196,541 | ||||||||||||
|
|
|||||||||||||||
Realized and unrealized gains (losses): |
||||||||||||||||
Net realized gain (loss) from: |
||||||||||||||||
Investments: |
||||||||||||||||
Unaffiliated issuers |
(4,280,868 | ) | (1,491,768 | ) | (356,831 | ) | (157,529 | ) | ||||||||
In-kind redemptions |
— | 6,498,626 | 308,341 | (981 | ) | |||||||||||
Foreign currency transactions |
(6,565 | ) | (46,836 | ) | (9,780 | ) | (2,082 | ) | ||||||||
Forward exchange contracts |
— | — | 2,400,365 | — | ||||||||||||
Futures contracts |
(167,578 | ) | (16,286 | ) | (5,566 | ) | (552 | ) | ||||||||
|
|
|||||||||||||||
Net realized gain (loss) |
(4,455,011 | ) | 4,943,736 | 2,336,529 | (161,144 | ) | ||||||||||
|
|
|||||||||||||||
Net change in unrealized appreciation (depreciation) on: |
||||||||||||||||
Investments: |
||||||||||||||||
Unaffiliated issuers |
(21,031,771 | ) | (32,791,800 | ) | (6,005,471 | ) | (2,196,188 | ) | ||||||||
Translation of other assets and liabilities denominated in foreign currencies |
75 | (31,446 | ) | (3,021 | ) | (219 | ) | |||||||||
Futures contracts |
(10,265 | ) | (104,736 | ) | (2,661 | ) | — | |||||||||
Forward exchange contracts |
— | — | 231,381 | — | ||||||||||||
|
|
|||||||||||||||
Net change in unrealized appreciation (depreciation) |
(21,041,961 | ) | (32,927,982 | ) | (5,779,772 | ) | (2,196,407 | ) | ||||||||
|
|
|||||||||||||||
Net realized and unrealized gain (loss) |
(25,496,972 | ) | (27,984,246 | ) | (3,443,243 | ) | (2,357,551 | ) | ||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
$ | (23,310,474 | ) | $ | (25,465,337 | ) | $ | (3,036,474 | ) | $ | (2,161,010 | ) | ||||
|
|
aForeign taxes withheld on dividends |
$ | 189,463 | $ | 335,429 | $ | 54,791 | $ | 34,284 | ||||||||
|
|
290 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Operations (continued)
for the period ended September 30, 2022 (unaudited)
Franklin FTSE Germany ETF |
Franklin FTSE Hong Kong ETF |
Franklin FTSE India ETF |
Franklin FTSE Italy ETF |
|||||||||||||
Investment income: |
||||||||||||||||
Dividends: (net of foreign taxes)a |
||||||||||||||||
Unaffiliated issuers |
$ | 360,215 | $ | 390,609 | $ | 390,234 | $ | 96,363 | ||||||||
Interest: |
||||||||||||||||
Unaffiliated issuers |
— | — | — | 31 | ||||||||||||
|
|
|||||||||||||||
Total investment income |
360,215 | 390,609 | 390,234 | 96,394 | ||||||||||||
|
|
|||||||||||||||
Expenses: |
||||||||||||||||
Management fees (Note 3a) |
5,835 | 6,559 | 50,462 | 1,427 | ||||||||||||
Other |
22 | — | — | — | ||||||||||||
|
|
|||||||||||||||
Total expenses |
5,857 | 6,559 | 50,462 | 1,427 | ||||||||||||
|
|
|||||||||||||||
Net investment income |
354,358 | 384,050 | 339,772 | 94,967 | ||||||||||||
|
|
|||||||||||||||
Realized and unrealized gains (losses): |
||||||||||||||||
Net realized gain (loss) from: |
||||||||||||||||
Investments: |
||||||||||||||||
Unaffiliated issuers |
(306,423 | ) | (662,705 | ) | (398,053 | ) | (18,725 | ) | ||||||||
In-kind redemptions |
293,599 | 210,305 | — | — | ||||||||||||
Foreign currency transactions |
(1,665 | ) | (171 | ) | (15,539 | ) | (1,334 | ) | ||||||||
Futures contracts |
(10,835 | ) | (7,727 | ) | 8,288 | — | ||||||||||
|
|
|||||||||||||||
Net realized gain (loss) |
(25,324 | ) | (460,298 | ) | (405,304 | ) | (20,059 | ) | ||||||||
|
|
|||||||||||||||
Net change in unrealized appreciation (depreciation) on: |
||||||||||||||||
Investments: |
||||||||||||||||
Unaffiliated issuers |
(4,771,967 | ) | (2,670,835 | ) | (4,538,293 | ) | (1,006,288 | ) | ||||||||
Translation of other assets and liabilities denominated in foreign currencies |
(252 | ) | 35 | (383 | ) | 7 | ||||||||||
Futures contracts |
— | (2,790 | ) | (1,364 | ) | — | ||||||||||
Change in deferred taxes on unrealized appreciation |
— | — | 282,670 | — | ||||||||||||
|
|
|||||||||||||||
Net change in unrealized appreciation (depreciation) |
(4,772,219 | ) | (2,673,590 | ) | (4,257,370 | ) | (1,006,281 | ) | ||||||||
|
|
|||||||||||||||
Net realized and unrealized gain (loss) |
(4,797,543 | ) | (3,133,888 | ) | (4,662,674 | ) | (1,026,340 | ) | ||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
$ | (4,443,185 | ) | $ | (2,749,838 | ) | $ | (4,322,902 | ) | $ | (931,373 | ) | ||||
|
|
aForeign taxes withheld on dividends |
$ | 54,657 | $ | 322 | $ | 120,042 | $ | 16,252 | ||||||||
|
|
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
291 |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Operations (continued)
for the period ended September 30, 2022 (unaudited)
Franklin FTSE Japan ETF |
Franklin FTSE Japan Hedged ETF |
Franklin FTSE Latin America ETF |
Franklin FTSE Mexico ETF |
|||||||||||||
Investment income: |
||||||||||||||||
Dividends: (net of foreign taxes)a |
||||||||||||||||
Unaffiliated issuers |
$ | 9,566,709 | $ | 275,980 | $ | 2,195,569 | $ | 279,025 | ||||||||
|
|
|||||||||||||||
Total investment income |
9,566,709 | 275,980 | 2,195,569 | 279,025 | ||||||||||||
|
|
|||||||||||||||
Expenses: |
| |||||||||||||||
Management fees (Note 3a) |
345,667 | 10,852 | 31,269 | 9,699 | ||||||||||||
Other |
147 | 5 | — | — | ||||||||||||
|
|
|||||||||||||||
Total expenses |
345,814 | 10,857 | 31,269 | 9,699 | ||||||||||||
Expenses waived/paid by affiliates (Note 3c) |
(770 | ) | (114 | ) | — | — | ||||||||||
|
|
|||||||||||||||
Net expenses |
345,044 | 10,743 | 31,269 | 9,699 | ||||||||||||
|
|
|||||||||||||||
Net investment income |
9,221,665 | 265,237 | 2,164,300 | 269,326 | ||||||||||||
|
|
|||||||||||||||
Realized and unrealized gains (losses): |
||||||||||||||||
Net realized gain (loss) from: |
||||||||||||||||
Investments: |
||||||||||||||||
Unaffiliated issuers |
(6,964,317 | ) | (778,530 | ) | (224,883 | ) | (107,145 | ) | ||||||||
In-kind redemptions |
5,332,608 | — | — | 462,021 | ||||||||||||
Foreign currency transactions |
(1,012,262 | ) | (33,885 | ) | (129,548 | ) | (1,237 | ) | ||||||||
Forward exchange contracts |
— | 3,894,512 | — | — | ||||||||||||
Futures contracts |
(144,459 | ) | (13,148 | ) | (30,378 | ) | — | |||||||||
|
|
|||||||||||||||
Net realized gain (loss) |
(2,788,430 | ) | 3,068,949 | (384,809 | ) | 353,639 | ||||||||||
|
|
|||||||||||||||
Net change in unrealized appreciation (depreciation) on: |
||||||||||||||||
Investments: |
||||||||||||||||
Unaffiliated issuers |
(188,140,700 | ) | (4,736,283 | ) | (496,933 | ) | (2,787,536 | ) | ||||||||
Translation of other assets and liabilities denominated in foreign currencies |
(50,259 | ) | (1,968 | ) | (5,246 | ) | 396 | |||||||||
Futures contracts |
(194,653 | ) | (3,463 | ) | (10,285 | ) | — | |||||||||
Forward exchange contracts |
— | 532,139 | — | — | ||||||||||||
|
|
|||||||||||||||
Net change in unrealized appreciation (depreciation) |
(188,385,612 | ) | (4,209,575 | ) | (512,464 | ) | (2,787,140 | ) | ||||||||
|
|
|||||||||||||||
Net realized and unrealized gain (loss) |
(191,174,042 | ) | (1,140,626 | ) | (897,273 | ) | (2,433,501 | ) | ||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
$ | (181,952,377 | ) | $ | (875,389 | ) | $ | 1,267,027 | $ | (2,164,175 | ) | |||||
|
|
aForeign taxes withheld on dividends |
$ | 1,060,774 | $ | 30,532 | $ | 72,637 | $ | 18,038 | ||||||||
|
|
292 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Operations (continued)
for the period ended September 30, 2022 (unaudited)
Franklin FTSE Russia ETF |
Franklin FTSE Saudi Arabia ETF |
Franklin FTSE South Africa ETF |
Franklin FTSE South Korea ETF |
|||||||||||||
Investment income: |
||||||||||||||||
Dividends: (net of foreign taxes)a |
||||||||||||||||
Unaffiliated issuers |
$ | 2,048 | $ | 70,972 | $ | 103,052 | $ | 257,195 | ||||||||
Non-cash dividends |
— | — | 24,173 | — | ||||||||||||
Interest: |
||||||||||||||||
Unaffiliated issuers |
81 | — | — | 9 | ||||||||||||
|
|
|||||||||||||||
Total investment income |
2,129 | 70,972 | 127,225 | 257,204 | ||||||||||||
|
|
|||||||||||||||
Expenses: |
||||||||||||||||
Management fees (Note 3a) |
— | 7,955 | 4,526 | 24,574 | ||||||||||||
|
|
|||||||||||||||
Total expenses |
— | 7,955 | 4,526 | 24,574 | ||||||||||||
|
|
|||||||||||||||
Net investment income |
2,129 | 63,017 | 122,699 | 232,630 | ||||||||||||
|
|
|||||||||||||||
Realized and unrealized gains (losses): |
||||||||||||||||
Net realized gain (loss) from: |
||||||||||||||||
Investments: |
||||||||||||||||
Unaffiliated issuers |
— | (9,485 | ) | (85,356 | ) | (1,427,796 | ) | |||||||||
In-kind redemptions |
— | — | 124,789 | — | ||||||||||||
Foreign currency transactions |
(167 | ) | 108 | (2,336 | ) | (68,604 | ) | |||||||||
Forward exchange contracts |
— | (28 | ) | — | — | |||||||||||
Futures contracts |
— | — | — | (36,280 | ) | |||||||||||
|
|
|||||||||||||||
Net realized gain (loss) |
(167 | ) | (9,405 | ) | 37,097 | (1,532,680 | ) | |||||||||
|
|
|||||||||||||||
Net change in unrealized appreciation (depreciation) on: |
||||||||||||||||
Investments: |
||||||||||||||||
Unaffiliated issuers |
— | (576,837 | ) | (2,071,645 | ) | (20,362,231 | ) | |||||||||
Translation of other assets and liabilities denominated in foreign currencies |
— | 6 | 84 | 16,421 | ||||||||||||
Futures contracts |
— | — | — | (38,433 | ) | |||||||||||
|
|
|||||||||||||||
Net change in unrealized appreciation (depreciation) |
— | (576,831 | ) | (2,071,561 | ) | (20,384,243 | ) | |||||||||
|
|
|||||||||||||||
Net realized and unrealized gain (loss) |
(167 | ) | (586,236 | ) | (2,034,464 | ) | (21,916,923 | ) | ||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
$ | 1,962 | $ | (523,219 | ) | $ | (1,911,765 | ) | $ | (21,684,293 | ) | |||||
|
|
aForeign taxes withheld on dividends |
$ | (2,048 | ) | $ | 3,457 | $ | 18,068 | $ | 51,760 | |||||||
|
|
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
293 |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Operations (continued)
for the period ended September 30, 2022 (unaudited)
Franklin FTSE Switzerland ETF |
Franklin FTSE Taiwan ETF |
Franklin FTSE United Kingdom ETF |
||||||||||
Investment income: |
||||||||||||
Dividends: (net of foreign taxes)a |
||||||||||||
Unaffiliated issuers |
$ | 658,472 | $ | 1,399,710 | $ | 12,860,185 | ||||||
Interest: |
||||||||||||
Unaffiliated issuers |
— | 119 | 1,178 | |||||||||
Interest from securities loaned (Note 1d): |
||||||||||||
Unaffiliated issuers (net of fees and rebates) |
— | — | 5,724 | |||||||||
Non-Controlled affiliates (Note 3c) |
— | — | 1,503 | |||||||||
|
|
|||||||||||
Total investment income |
658,472 | 1,399,829 | 12,868,590 | |||||||||
|
|
|||||||||||
Expenses: |
||||||||||||
Management fees (Note 3a) |
22,314 | 35,642 | 240,297 | |||||||||
Other |
333 | — | — | |||||||||
|
|
|||||||||||
Total expenses |
22,647 | 35,642 | 240,297 | |||||||||
Expenses waived/paid by affiliates (Note 3c) |
— | — | (603 | ) | ||||||||
|
|
|||||||||||
Net expenses |
22,647 | 35,642 | 239,694 | |||||||||
|
|
|||||||||||
Net investment income |
635,825 | 1,364,187 | 12,628,896 | |||||||||
|
|
|||||||||||
Realized and unrealized gains (losses): |
||||||||||||
Net realized gain (loss) from: |
||||||||||||
Investments: |
||||||||||||
Unaffiliated issuers |
(488,183 | ) | (1,393,031 | ) | (6,258,629 | ) | ||||||
In-kind redemptions |
— | — | 2,975,345 | |||||||||
Foreign currency transactions |
4,279 | (27,659 | ) | (727,190 | ) | |||||||
Futures contracts |
(106,148 | ) | 6,016 | 43,771 | ||||||||
|
|
|||||||||||
Net realized gain (loss) |
(590,052 | ) | (1,414,674 | ) | (3,966,703 | ) | ||||||
|
|
|||||||||||
Net change in unrealized appreciation (depreciation) on: |
||||||||||||
Investments: |
||||||||||||
Unaffiliated issuers |
(11,098,614 | ) | (12,730,974 | ) | (131,147,185 | ) | ||||||
Translation of other assets and liabilities denominated in foreign currencies |
(38,284 | ) | 671 | (29,905 | ) | |||||||
Futures contracts |
(66,572 | ) | (4,144 | ) | (467,356 | ) | ||||||
|
|
|||||||||||
Net change in unrealized appreciation (depreciation) |
(11,203,470 | ) | (12,734,447 | ) | (131,644,446 | ) | ||||||
|
|
|||||||||||
Net realized and unrealized gain (loss) |
(11,793,522 | ) | (14,149,121 | ) | (135,611,149 | ) | ||||||
|
|
|||||||||||
Net increase (decrease) in net assets resulting from operations |
$ | (11,157,697 | ) | $ | (12,784,934 | ) | $ | (122,982,253 | ) | |||
|
|
aForeign taxes withheld on dividends |
$ | 98,683 | $ | 347,840 | $ | 18,322 | ||||||
|
|
294 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Changes in Net Assets
Franklin FTSE Asia ex Japan ETF | Franklin FTSE Australia ETF | |||||||||||||||
Six Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
Six
Months Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
|||||||||||||
Increase (decrease) in net assets: |
||||||||||||||||
Operations: |
||||||||||||||||
Net investment income |
$ | 634,564 | $ | 664,421 | $ | 1,046,434 | $ | 1,235,873 | ||||||||
Net realized gain (loss) |
(679,915 | ) | (979,634 | ) | (378,123 | ) | (464,945 | ) | ||||||||
Net change in unrealized appreciation (depreciation) |
(8,240,201 | ) | (3,275,420 | ) | (7,901,654 | ) | 2,892,489 | |||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
(8,285,552 | ) | (3,590,633 | ) | (7,233,343 | ) | 3,663,417 | |||||||||
|
|
|||||||||||||||
Distributions to shareholders (Note 1f) |
(179,723 | ) | (744,268 | ) | (890,273 | ) | (1,262,140 | ) | ||||||||
|
|
|||||||||||||||
Capital share transactions: (Note 2) |
— | 8,769,376 | 1,481,449 | 4,271,838 | ||||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets |
(8,465,275 | ) | 4,434,475 | (6,642,167 | ) | 6,673,115 | ||||||||||
Net assets: |
||||||||||||||||
Beginning of period |
38,751,051 | 34,316,576 | 29,968,184 | 23,295,069 | ||||||||||||
|
|
|||||||||||||||
End of period |
$ | 30,285,776 | $ | 38,751,051 | $ | 23,326,017 | $ | 29,968,184 | ||||||||
|
|
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
295 |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Changes in Net Assets (continued)
Franklin FTSE Brazil ETF | Franklin FTSE Canada ETF | |||||||||||||||
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
|||||||||||||
Increase (decrease) in net assets: |
||||||||||||||||
Operations: |
||||||||||||||||
Net investment income |
$ | 24,872,830 | $ | 20,729,461 | $ | 2,860,112 | $ | 725,501 | ||||||||
Net realized gain (loss) |
(70,141,926 | ) | (18,881,968 | ) | 2,850,872 | (201,770 | ) | |||||||||
Net change in unrealized appreciation (depreciation) |
(50,325,808 | ) | 69,556,549 | (50,222,339 | ) | 5,384,898 | ||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
(95,594,904 | ) | 71,404,042 | (44,511,355 | ) | 5,908,629 | ||||||||||
|
|
|||||||||||||||
Distributions to shareholders (Note 1f) |
(19,382,271 | ) | (16,614,538 | ) | (353,032 | ) | (639,656 | ) | ||||||||
|
|
|||||||||||||||
Capital share transactions: (Note 2) |
(132,641,830 | ) | 365,373,593 | 260,436,831 | 13,859,588 | |||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets |
(247,619,005 | ) | 420,163,097 | 215,572,444 | 19,128,561 | |||||||||||
Net assets: |
||||||||||||||||
Beginning of period |
527,819,503 | 107,656,406 | 43,288,811 | 24,160,250 | ||||||||||||
|
|
|||||||||||||||
End of period |
$ | 280,200,498 | $ | 527,819,503 | $ | 258,861,255 | $ | 43,288,811 | ||||||||
|
|
296 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Changes in Net Assets (continued)
Franklin FTSE China ETF | Franklin FTSE Europe ETF | |||||||||||||||
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
|||||||||||||
Increase (decrease) in net assets: |
||||||||||||||||
Operations: |
||||||||||||||||
Net investment income |
$ | 2,186,498 | $ | 2,209,264 | $ | 2,518,909 | $ | 6,105,734 | ||||||||
Net realized gain (loss) |
(4,455,011 | ) | (4,775,014 | ) | 4,943,736 | 26,177,110 | ||||||||||
Net change in unrealized appreciation (depreciation) |
(21,041,961 | ) | (42,274,445 | ) | (32,927,982 | ) | (24,258,897 | ) | ||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
(23,310,474 | ) | (44,840,195 | ) | (25,465,337 | ) | 8,023,947 | |||||||||
|
|
|||||||||||||||
Distributions to shareholders (Note 1f) |
(728,166 | ) | (1,744,579 | ) | (2,772,187 | ) | (7,497,235 | ) | ||||||||
|
|
|||||||||||||||
Capital share transactions: (Note 2) |
4,069,254 | 37,256,442 | (120,064,434 | ) | (44,796,057 | ) | ||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets |
(19,969,386 | ) | (9,328,332 | ) | (148,301,958 | ) | (44,269,345 | ) | ||||||||
Net assets: |
||||||||||||||||
Beginning of period |
111,453,758 | 120,782,090 | 184,857,082 | 229,126,427 | ||||||||||||
|
|
|||||||||||||||
End of period |
$ | 91,484,372 | $ | 111,453,758 | $ | 36,555,124 | $ | 184,857,082 | ||||||||
|
|
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
297 |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Changes in Net Assets (continued)
Franklin FTSE Europe Hedged ETF | Franklin FTSE France ETF | |||||||||||||||
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
|||||||||||||
Increase (decrease) in net assets: |
||||||||||||||||
Operations: |
||||||||||||||||
Net investment income |
$ | 406,769 | $ | 515,076 | $ | 196,541 | $ | 268,585 | ||||||||
Net realized gain (loss) |
2,336,529 | 758,844 | (161,144 | ) | (84,036 | ) | ||||||||||
Net change in unrealized appreciation (depreciation) |
(5,779,772 | ) | (221,066 | ) | (2,196,407 | ) | (57,195 | ) | ||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
(3,036,474 | ) | 1,052,854 | (2,161,010 | ) | 127,354 | ||||||||||
|
|
|||||||||||||||
Distributions to shareholders (Note 1f) |
(284,556 | ) | (666,937 | ) | (159,161 | ) | (270,848 | ) | ||||||||
|
|
|||||||||||||||
Capital share transactions: (Note 2) |
(4,169,746 | ) | 5,879,630 | (1,180,388 | ) | 3,120,862 | ||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets |
(7,490,776 | ) | 6,265,547 | (3,500,559 | ) | 2,977,368 | ||||||||||
Net assets: |
||||||||||||||||
Beginning of period |
21,694,673 | 15,429,126 | 10,087,881 | 7,110,513 | ||||||||||||
|
|
|||||||||||||||
End of period |
$ | 14,203,897 | $ | 21,694,673 | $ | 6,587,322 | $ | 10,087,881 | ||||||||
|
|
298 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Changes in Net Assets (continued)
Franklin FTSE Germany ETF | Franklin FTSE Hong Kong ETF | |||||||||||||||
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
|||||||||||||
Increase (decrease) in net assets: |
||||||||||||||||
Operations: |
||||||||||||||||
Net investment income |
$ | 354,358 | $ | 423,991 | $ | 384,050 | $ | 489,122 | ||||||||
Net realized gain (loss) |
(25,324 | ) | (191,927 | ) | (460,298 | ) | (407,601 | ) | ||||||||
Net change in unrealized appreciation (depreciation) |
(4,772,219 | ) | (2,762,955 | ) | (2,673,590 | ) | (2,850,341 | ) | ||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
(4,443,185 | ) | (2,530,891 | ) | (2,749,838 | ) | (2,768,820 | ) | ||||||||
|
|
|||||||||||||||
Distributions to shareholders (Note 1f) |
(385,657 | ) | (404,523 | ) | (249,606 | ) | (478,429 | ) | ||||||||
|
|
|||||||||||||||
Capital share transactions: (Note 2) |
1,220,980 | 10,617,319 | (3,319,699 | ) | 3,959,042 | |||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets |
(3,607,862 | ) | 7,681,905 | (6,319,143 | ) | 711,793 | ||||||||||
Net assets: |
||||||||||||||||
Beginning of period |
16,774,709 | 9,092,804 | 17,573,390 | 16,861,597 | ||||||||||||
|
|
|||||||||||||||
End of period |
$ | 13,166,847 | $ | 16,774,709 | $ | 11,254,247 | $ | 17,573,390 | ||||||||
|
|
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
299 |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Changes in Net Assets (continued)
Franklin FTSE India ETF | Franklin FTSE Italy ETF | |||||||||||||||
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
|||||||||||||
Increase (decrease) in net assets: |
||||||||||||||||
Operations: |
||||||||||||||||
Net investment income |
$ | 339,772 | $ | 318,604 | $ | 94,967 | $ | 127,754 | ||||||||
Net realized gain (loss) |
(405,304 | ) | (535,539 | ) | (20,059 | ) | (26,481 | ) | ||||||||
Net change in unrealized appreciation (depreciation) |
(4,257,370 | ) | 3,883,589 | (1,006,281 | ) | (211,281 | ) | |||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
(4,322,902 | ) | 3,666,654 | (931,373 | ) | (110,008 | ) | |||||||||
|
|
|||||||||||||||
Distributions to shareholders (Note 1f) |
— | (1,055,912 | ) | (85,702 | ) | (166,253 | ) | |||||||||
|
|
|||||||||||||||
Capital share transactions: (Note 2) |
7,507,913 | 23,985,026 | — | — | ||||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets |
3,185,011 | 26,595,768 | (1,017,075 | ) | (276,261 | ) | ||||||||||
Net assets: |
||||||||||||||||
Beginning of period |
50,139,916 | 23,544,148 | 3,698,112 | 3,974,373 | ||||||||||||
|
|
|||||||||||||||
End of period |
$ | 53,324,927 | $ | 50,139,916 | $ | 2,681,037 | $ | 3,698,112 | ||||||||
|
|
300 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Changes in Net Assets (continued)
Franklin FTSE Japan ETF | Franklin FTSE Japan Hedged ETF | |||||||||||||||
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
|||||||||||||
Increase (decrease) in net assets: |
||||||||||||||||
Operations: |
||||||||||||||||
Net investment income |
$ | 9,221,665 | $ | 14,429,061 | $ | 265,237 | $ | 366,040 | ||||||||
Net realized gain (loss) |
(2,788,430 | ) | 12,140,033 | 3,068,949 | 1,786,855 | |||||||||||
Net change in unrealized appreciation (depreciation) |
(188,385,612 | ) | (89,344,816 | ) | (4,209,575 | ) | (2,137,629 | ) | ||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
(181,952,377 | ) | (62,775,722 | ) | (875,389 | ) | 15,266 | |||||||||
|
|
|||||||||||||||
Distributions to shareholders (Note 1f) |
(7,811,752 | ) | (15,304,771 | ) | (739,945 | ) | (162,493 | ) | ||||||||
|
|
|||||||||||||||
Capital share transactions: (Note 2) |
178,099,217 | 268,783,660 | — | 303,836 | ||||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets |
(11,664,912 | ) | 190,703,167 | (1,615,334 | ) | 156,609 | ||||||||||
Net assets: |
||||||||||||||||
Beginning of period |
789,637,287 | 598,934,120 | 24,719,795 | 24,563,186 | ||||||||||||
|
|
|||||||||||||||
End of period |
$ | 777,972,375 | $ | 789,637,287 | $ | 23,104,461 | $ | 24,719,795 | ||||||||
|
|
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
301 |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Changes in Net Assets (continued)
Franklin FTSE Latin America ETF | Franklin FTSE Mexico ETF | |||||||||||||||
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
|||||||||||||
Increase (decrease) in net assets: |
||||||||||||||||
Operations: |
||||||||||||||||
Net investment income |
$ | 2,164,300 | $ | 322,765 | $ | 269,326 | $ | 254,422 | ||||||||
Net realized gain (loss) |
(384,809 | ) | (234,913 | ) | 353,639 | (158,105 | ) | |||||||||
Net change in unrealized appreciation (depreciation) |
(512,464 | ) | 1,079,782 | (2,787,140 | ) | 2,181,332 | ||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
1,267,027 | 1,167,634 | (2,164,175 | ) | 2,277,649 | |||||||||||
|
|
|||||||||||||||
Distributions to shareholders (Note 1f) |
(239,701 | ) | (304,300 | ) | (135,990 | ) | (302,647 | ) | ||||||||
|
|
|||||||||||||||
Capital share transactions: (Note 2) |
52,371,383 | 2,231,798 | (126,002 | ) | 4,861,121 | |||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets |
53,398,709 | 3,095,132 | (2,426,167 | ) | 6,836,123 | |||||||||||
Net assets: |
||||||||||||||||
Beginning of period |
7,574,832 | 4,479,700 | 12,372,025 | 5,535,902 | ||||||||||||
|
|
|||||||||||||||
End of period |
$ | 60,973,541 | $ | 7,574,832 | $ | 9,945,858 | $ | 12,372,025 | ||||||||
|
|
302 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Changes in Net Assets (continued)
Franklin FTSE Russia ETF | Franklin FTSE Saudi Arabia ETF | |||||||||||||||
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
|||||||||||||
Increase (decrease) in net assets: |
||||||||||||||||
Operations: |
||||||||||||||||
Net investment income |
$ | 2,129 | $ | 1,109,115 | $ | 63,017 | $ | 62,016 | ||||||||
Net realized gain (loss) |
(167 | ) | (184,908 | ) | (9,405 | ) | 42,036 | |||||||||
Net change in unrealized appreciation (depreciation) |
— | (23,581,497 | ) | (576,831 | ) | 1,061,595 | ||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
1,962 | (22,657,290 | ) | (523,219 | ) | 1,165,647 | ||||||||||
|
|
|||||||||||||||
Distributions to shareholders (Note 1f) |
— | (1,062,975 | ) | (33,263 | ) | (68,376 | ) | |||||||||
|
|
|||||||||||||||
Capital share transactions: (Note 2) |
— | 12,929,102 | 1,884,180 | — | ||||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets |
1,962 | (10,791,163 | ) | 1,327,698 | 1,097,271 | |||||||||||
Net assets: |
||||||||||||||||
Beginning of period |
2,702 | 10,793,865 | 4,130,310 | 3,033,039 | ||||||||||||
|
|
|||||||||||||||
End of period |
$ | 4,664 | $ | 2,702 | $ | 5,458,008 | $ | 4,130,310 | ||||||||
|
|
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
303 |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Changes in Net Assets (continued)
Franklin FTSE South Africa ETF | Franklin FTSE South Korea ETF | |||||||||||||||
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
|||||||||||||
Increase (decrease) in net assets: |
||||||||||||||||
Operations: |
||||||||||||||||
Net investment income |
$ | 122,699 | $ | 141,667 | $ | 232,630 | $ | 1,268,057 | ||||||||
Net realized gain (loss) |
37,097 | (81,742 | ) | (1,532,680 | ) | (5,450,316 | ) | |||||||||
Net change in unrealized appreciation (depreciation) |
(2,071,561 | ) | 824,250 | (20,384,243 | ) | (8,014,155 | ) | |||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
(1,911,765 | ) | 884,175 | (21,684,293 | ) | (12,196,414 | ) | |||||||||
|
|
|||||||||||||||
Distributions to shareholders (Note 1f) |
(119,737 | ) | (111,346 | ) | (184,893 | ) | (1,354,645 | ) | ||||||||
|
|
|||||||||||||||
Capital share transactions: (Note 2) |
(975,988 | ) | 2,562,673 | 4,420,390 | 11,946,711 | |||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets |
(3,007,490 | ) | 3,335,502 | (17,448,796 | ) | (1,604,348 | ) | |||||||||
Net assets: |
||||||||||||||||
Beginning of period |
5,957,745 | 2,622,243 | 61,361,442 | 62,965,790 | ||||||||||||
|
|
|||||||||||||||
End of period |
$ | 2,950,255 | $ | 5,957,745 | $ | 43,912,646 | $ | 61,361,442 | ||||||||
|
|
304 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Changes in Net Assets (continued)
Franklin FTSE Switzerland ETF | Franklin FTSE Taiwan ETF | |||||||||||||||
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
|||||||||||||
Increase (decrease) in net assets: |
||||||||||||||||
Operations: |
||||||||||||||||
Net investment income |
$ | 635,825 | $ | 999,855 | $ | 1,364,187 | $ | 990,911 | ||||||||
Net realized gain (loss) |
(590,052 | ) | 3,329,359 | (1,414,674 | ) | (550,668 | ) | |||||||||
Net change in unrealized appreciation (depreciation) |
(11,203,470 | ) | 2,599,949 | (12,734,447 | ) | 2,783,522 | ||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets resulting from operations |
(11,157,697 | ) | 6,929,163 | (12,784,934 | ) | 3,223,765 | ||||||||||
|
|
|||||||||||||||
Distributions to shareholders (Note 1f) |
(923,204 | ) | (1,077,037 | ) | (4,973 | ) | (1,073,757 | ) | ||||||||
|
|
|||||||||||||||
Capital share transactions: (Note 2) |
14,529,343 | (6,828,650 | ) | (3,088,871 | ) | 8,619,703 | ||||||||||
|
|
|||||||||||||||
Net increase (decrease) in net assets |
2,448,442 | (976,524 | ) | (15,878,778 | ) | 10,769,711 | ||||||||||
Net assets: |
||||||||||||||||
Beginning of period |
47,593,224 | 48,569,748 | 43,666,550 | 32,896,839 | ||||||||||||
|
|
|||||||||||||||
End of period |
$ | 50,041,666 | $ | 47,593,224 | $ | 27,787,772 | $ | 43,666,550 | ||||||||
|
|
franklintempleton.com |
The accompanying notes are an integral part of these financial statements. | Semiannual Report |
305 |
FRANKLIN TEMPLETON ETF TRUST
FINANCIAL STATEMENTS
Statements of Changes in Net Assets (continued)
Franklin FTSE United Kingdom ETF | ||||||||
Six Months
Ended September 30, 2022 (unaudited) |
Year Ended March 31, 2022 |
|||||||
Increase (decrease) in net assets: |
||||||||
Operations: |
||||||||
Net investment income |
$ | 12,628,896 | $ | 15,398,911 | ||||
Net realized gain (loss) |
(3,966,703 | ) | (202,105 | ) | ||||
Net change in unrealized appreciation (depreciation) |
(131,644,446 | ) | 8,007,752 | |||||
|
|
|||||||
Net increase (decrease) in net assets resulting from operations |
(122,982,253 | ) | 23,204,558 | |||||
|
|
|||||||
Distributions to shareholders (Note 1f) |
(11,193,755 | ) | (11,671,197 | ) | ||||
|
|
|||||||
Capital share transactions: (Note 2) |
(88,922,851 | ) | 396,366,561 | |||||
|
|
|||||||
Net increase (decrease) in net assets |
(223,098,859 | ) | 407,899,922 | |||||
Net assets: |
||||||||
Beginning of period |
613,572,500 | 205,672,578 | ||||||
|
|
|||||||
End of period |
$ | 390,473,641 | $ | 613,572,500 | ||||
|
|
306 |
Semiannual Report | The accompanying notes are an integral part of these financial statements. |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Notes to Financial Statements (unaudited)
1. Organization and Significant Accounting Policies
Franklin Templeton ETF Trust (Trust) is registered under the Investment Company Act of 1940 (1940 Act) as an open-end management investment company, consisting of forty-five separate funds, twenty-three of which are included in this report (Funds) and applies the specialized accounting and reporting guidance in U.S. Generally Accepted Accounting Principles (U.S. GAAP). Each of the Funds are an exchange traded fund (ETF) and seek to provide the investment results that closely correspond, before fees and expenses, to the performance of each Fund’s corresponding underlying index.
The following summarizes the Funds’ significant accounting policies.
a. Financial Instrument Valuation
The Fund’s investments in financial instruments are carried at fair value daily. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants on the measurement date. The Fund calculates the net asset value (NAV) per share each business day as of 4 p.m. Eastern time or the regularly scheduled close of the New York Stock Exchange (NYSE), whichever is earlier. Under compliance policies and procedures approved by the Trust’s Board of Trustees (the Board), the Board has designated the Fund’s investment manager as the valuation designee and has responsibility for oversight of valuation. The investment manager is assisted by the Fund’s administrator in performing this responsibility, including leading the cross-functional Valuation Committee (VC).
The Funds may utilize independent pricing services, quotations from securities and financial instrument dealers, and other market sources to determine fair value.
Equity securities and derivative financial instruments listed on an exchange or on the NASDAQ National Market System are valued at the last quoted sale price or the official closing price of the day, respectively. Foreign equity securities are valued as of the close of trading on the foreign stock exchange on which the security is primarily traded or as of 4 p.m. Eastern time. The value is then converted into its U.S. dollar equivalent at the foreign exchange rate in effect at 4 p.m. London time on the day that the value of the security is determined. Over-the-counter (OTC) securities are valued within the range of the most recent quoted bid and ask prices. Securities that trade in multiple markets or on multiple exchanges are valued according to the broadest and most
representative market. Certain equity securities are valued based upon fundamental characteristics or relationships to similar securities.
Certain derivative financial instruments are centrally cleared or trade in the OTC market. The Funds’ pricing services use various techniques including industry standard option pricing models and proprietary discounted cash flow models to determine the fair value of those instruments. The Funds’ net benefit or obligation under the derivative contract, as measured by the fair value of the contract, is included in net assets.
The Funds have procedures to determine the fair value of financial instruments for which market prices are not reliable or readily available. Under these procedures, the Funds primarily employ a market-based approach which may use related or comparable assets or liabilities, recent transactions, market multiples, book values, and other relevant information for the investment to determine the fair value of the investment. An income-based valuation approach may also be used in which the anticipated future cash flows of the investment are discounted to calculate fair value. Discounts may also be applied due to the nature or duration of any restrictions on the disposition of the investments. Due to the inherent uncertainty of valuations of such investments, the fair values may differ significantly from the values that would have been used had an active market existed.
Trading in securities on foreign securities stock exchanges and OTC markets may be completed before 4 p.m. Eastern time. In addition, trading in certain foreign markets may not take place on every Funds’ business day. Occasionally, events occur between the time at which trading in a foreign security is completed and 4 p.m. Eastern time that might call into question the reliability of the value of a portfolio security held by the Fund. As a result, differences may arise between the value of the Funds’ portfolio securities as determined at the foreign market close and the latest indications of value at 4 p.m. Eastern time. In order to minimize the potential for these differences, an independent pricing service may be used to adjust the Fund’s portfolio securities to the latest indications of fair value at 4 p.m. Eastern time. At September 30, 2022, certain securities may have been fair valued using these procedures, in which case the securities were categorized as Level 2 inputs within the fair value hierarchy (referred to as “market level fair value”).
When the last day of the reporting period is a non-business day, certain foreign markets may be open on those days that the Funds’ NAV is not calculated, which could result in
franklintempleton.com |
Semiannual Report |
307 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
1. Organization and Significant Accounting Policies (continued)
a. Financial Instrument Valuation (continued)
differences between the value of the Funds’ portfolio securities on the last business day and the last calendar day of the reporting period. Any significant security valuation changes due to an open foreign market are adjusted and reflected by the Funds for financial reporting purposes.
b. Foreign Currency Translation
Portfolio securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollars based on the exchange rate of such currencies against U.S. dollars on the date of valuation. The Funds may enter into foreign currency exchange contracts to facilitate transactions denominated in a foreign currency. Purchases and sales of securities, income and expense items denominated in foreign currencies are translated into U.S. dollars at the exchange rate in effect on the transaction date. Portfolio securities and assets and liabilities denominated in foreign currencies contain risks that those currencies will decline in value relative to the U.S. dollar. Occasionally, events may impact the availability or reliability of foreign exchange rates used to convert the U.S. dollar equivalent value. If such an event occurs, the foreign exchange rate will be valued at fair value using procedures established and approved by the Board.
The Funds do not separately report the effect of changes in foreign exchange rates from changes in market prices on securities held. Such changes are included in net realized and unrealized gain or loss from investments in the Statements of Operations.
Realized foreign exchange gains or losses arise from sales of foreign currencies, currency gains or losses realized between the trade and settlement dates on securities transactions and the difference between the recorded amounts of dividends, interest, and foreign withholding taxes and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in foreign exchange rates on foreign denominated assets and liabilities other than investments in securities held at the end of the reporting period.
c. Derivative Financial Instruments
Certain or all Funds invested in derivative financial instruments in order to manage risk or gain exposure to various other investments or markets. Derivatives are financial contracts based on an underlying or notional amount,
require no initial investment or an initial net investment that is smaller than would normally be required to have a similar response to changes in market factors, and require or permit net settlement. Derivatives contain various risks including the potential inability of the counterparty to fulfill their obligations under the terms of the contract, the potential for an illiquid secondary market, and/or the potential for market movements which expose the Fund to gains or losses in excess of the amounts shown in the Statements of Assets and Liabilities. Realized gain and loss and unrealized appreciation and depreciation on these contracts for the period are included in the Statements of Operations.
Derivative counterparty credit risk is managed through a formal evaluation of the creditworthiness of all potential counterparties. Certain or all Funds attempt to reduce their exposure to counterparty credit risk on OTC derivatives, whenever possible, by entering into International Swaps and Derivatives Association (ISDA) master agreements with certain counterparties. These agreements contain various provisions, including but not limited to collateral requirements, events of default, or early termination. Termination events applicable to the counterparty include certain deteriorations in the credit quality of the counterparty.
Termination events applicable to the Funds include failure of the Funds to maintain certain net asset levels and/or limit the decline in net assets over various periods of time. In the event of default or early termination, the ISDA master agreement gives the non-defaulting party the right to net and close-out all transactions traded, whether or not arising under the ISDA agreement, to one net amount payable by one counterparty to the other. However, absent an event of default or early termination, OTC derivative assets and liabilities are presented gross and not offset in the Statements of Assets and Liabilities. Early termination by the counterparty may result in an immediate payment by the Funds of any net liability owed to that counterparty under the ISDA agreement.
Collateral requirements differ by type of derivative. Collateral terms are contract specific for OTC derivatives. For OTC derivatives traded under an ISDA master agreement, posting of collateral is required by either the Fund or the applicable counterparty if the total net exposure of all OTC derivatives with the applicable counterparty exceeds the minimum transfer amount, which typically ranges from $100,000 to $250,000, and can vary depending on the counterparty and the type of agreement. Generally, collateral is determined at the close of Fund business each day and any additional collateral required due to changes in derivative values may be
308 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
delivered by the Fund or the counterparty the next business day, or within a few business days. Collateral pledged and/or received by the Fund, if any, is held in segregated accounts with the Fund’s custodian/counterparty broker and can be in the form of cash and/or securities. Unrestricted cash may be invested according to the Funds’ investment objectives. To the extent that the amounts due to the Fund from its counterparties are not subject to collateralization or are not fully collateralized, the Fund bears the risk of loss from counterparty non-performance.
Certain or all Funds entered into exchange traded futures contracts primarily to manage and/or gain exposure to equity price risk. A futures contract is an agreement between the Fund and a counterparty to buy or sell an asset at a specified price on a future date. Required initial margins are pledged by the Fund, and the daily change in fair value is accounted for as a variation margin payable or receivable in the Statements of Assets and Liabilities.
Certain or all Funds entered into OTC forward exchange contracts primarily to manage and/or gain exposure to certain foreign currencies. A forward exchange contract is an agreement between the Fund and a counterparty to buy or sell a foreign currency at a specific exchange rate on a future date.
See Note 8 regarding other derivative information.
d. Securities Lending
Certain or all Funds participate in an agency based securities lending program to earn additional income. The Fund receives cash collateral against the loaned securities in an amount equal to at least 102% of the fair value of the loaned securities. Collateral is maintained over the life of the loan in an amount not less than 100% of the fair value of loaned securities, as determined at the close of Fund business each day; any additional collateral required due to changes in security values is delivered to the Fund on the next business day. The collateral is deposited into a joint cash account with other funds and is used to invest in a money market fund managed by Franklin Advisers, Inc., an affiliate of the Funds. These securities received as collateral are held in segregated accounts with the Funds’ custodian.
The Fund cannot repledge or resell these securities received as collateral. As such, the non-cash collateral is excluded from the Statements of Assets and Liabilities. The Fund may receive income from the investment of cash collateral, in addition to lending fees and rebates paid by the borrower.
Income from securities loaned, net of fees paid to the securities lending agent and/or third-party vendor, is reported separately in the Statements of Operations. The Fund bears the market risk with respect to the collateral investment, securities loaned, and the risk that the agent may default on its obligations to the Fund. If the borrower defaults on its obligation to return the securities loaned, the Fund has the right to repurchase the securities in the open market using the collateral received. The securities lending agent has agreed to indemnify the Fund in the event of default by a third party borrower.
e. Income and Deferred Taxes
It is each Fund’s policy to qualify as a regulated investment company under the Internal Revenue Code. Each Fund intends to distribute to shareholders substantially all of its taxable income and net realized gains to relieve it from federal income and excise taxes. As a result, no provision for U.S. federal income taxes is required.
The Funds may be subject to foreign taxation related to income received, capital gains on the sale of securities and certain foreign currency transactions in the foreign jurisdictions in which the Funds invest. Foreign taxes, if any, are recorded based on the tax regulations and rates that exist in the foreign markets in which the Funds invest. When a capital gain tax is determined to apply, certain or all Funds record an estimated deferred tax liability in an amount that would be payable if the securities were disposed of on the valuation date.
Each Fund may recognize an income tax liability related to its uncertain tax positions under U.S. GAAP when the uncertain tax position has a less than 50% probability that it will be sustained upon examination by the tax authorities based on its technical merits. As of September 30, 2022, each Fund has determined that no tax liability is required in its financial statements related to uncertain tax positions for any open tax years (or expected to be taken in future tax years). Open tax years are those that remain subject to examination and are based on the statute of limitations in each jurisdiction in which the Fund invests.
f. Security Transactions, Investment Income, Expenses and Distributions
Security transactions are accounted for on trade date. Realized gains and losses on security transactions are determined on a specific identification basis. Interest Income and estimated expenses are accrued daily. Dividend income
franklintempleton.com |
Semiannual Report |
309 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
1. Organization and Significant Accounting Policies (continued)
f. Security Transactions, Investment Income, Expenses and Distributions (continued)
is recorded on the ex-dividend date except for certain dividends from securities where the dividend rate is not available. In such cases, the dividend is recorded as soon as the information is received by the Funds. Distributions to shareholders are recorded on the ex-dividend date. Distributable earnings are determined according to income tax regulations (tax basis) and may differ from earnings recorded in accordance with U.S. GAAP. These differences may be permanent or temporary. Permanent differences are reclassified among capital accounts to reflect their tax character. These reclassifications have no impact on net assets or the results of operations. Temporary differences are not reclassified, as they may reverse in subsequent periods.
Common expenses incurred by the Trust are allocated among the Funds based on the ratio of net assets of each Fund to the combined net assets of the Trust. Certain Fund specific expenses are allocated directly to the Fund that incurred the expense. These expenses are paid by the Fund or by the investment manager, as applicable, according to the terms of the unified management fee agreement.
g. Accounting Estimates
The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the amounts of income and expenses during the reporting period. Actual results could differ from those estimates.
h. Guarantees and Indemnifications
Under the Trust’s organizational documents, its officers and trustees are indemnified by the Trust against certain liabilities arising out of the performance of their duties to the Trust. Additionally, in the normal course of business, the Trust, on behalf of the Funds, enters into contracts with service providers that contain general indemnification clauses. The
Trust’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Trust that have not yet occurred. Currently, the Trust expects the risk of loss to be remote.
2. Shares of Beneficial Interest
Shares of the Funds are issued and redeemed at their respective NAV only in aggregations of a specified number of shares or multiples thereof (Creation Units). Only certain large institutional investors (Authorized Participants) may engage in creation or redemption transactions directly with the Funds. Once created, shares of the Funds generally trade in the secondary market in amounts less than one Creation Unit. The market price of the Funds’ shares will be based on the price in the secondary market which may be at, above or below the most recent NAV. Creation Units may be issued and redeemed in exchange for a designated portfolio of securities and/or cash (which may include cash in lieu of certain securities).
Authorized Participants pay a standard transaction fee to the shareholder servicing agent when purchasing or redeeming Creation Units of the Funds regardless of the number of Creation Units that are being created or redeemed on the same day by the Authorized Participant. The standard transaction fee is imposed to offset transfer and other transaction costs associated with the issuance and redemption of Creation Units and is not charged to or paid by the Funds.
In addition, for cash Creation Unit transactions, a variable fee for creation transactions and redemption transactions may be charged to the Authorized Participant to cover certain brokerage, tax, foreign exchange, execution, market impact and other costs and expenses related to the execution of trades. Variable fees, if any, are included in capital share transactions in the Statements of Changes in Net Assets.
Effective 4 AM Eastern Time on March 4, 2022, the NYSE Arca, Inc. announced a trading halt of the Franklin FTSE Russia ETF. Effective March 1, 2022, the Franklin FTSE Russia ETF suspended new creations of its shares until further notice. Please refer to the prospectus for further detail.
310 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
At September 30, 2022, there were an unlimited number of shares authorized (without par value). Transactions in the Funds’ shares were as follows:
Franklin FTSE Asia ex Japan ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
— | $ | — | 400,000 | $ | 8,769,376 | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
— | $ | — | 400,000 | $ | 8,769,376 | ||||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Australia ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
50,000 | $ | 1,481,449 | 150,000 | $ | 4,271,838 | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
50,000 | $ | 1,481,449 | 150,000 | $ | 4,271,838 | ||||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Brazil ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
2,500,000 | $ | 48,522,946 | 17,500,000 | $ | 372,085,342 | ||||||||||||||
Shares redeemed |
(9,400,000 | ) | (181,164,776 | ) | (300,000 | ) | (6,711,749 | ) | ||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
(6,900,000 | ) | $ | (132,641,830 | ) | 17,200,000 | $ | 365,373,593 | ||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Canada ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
8,900,000 | $ | 287,702,352 | 400,000 | $ | 13,859,588 | ||||||||||||||
Shares redeemed |
(900,000 | ) | (27,265,521 | ) | — | — | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
8,000,000 | $ | 260,436,831 | 400,000 | $ | 13,859,588 | ||||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE China ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
200,000 | $ | 4,069,254 | 1,600,000 | $ | 43,703,237 | ||||||||||||||
Shares redeemed |
— | — | (200,000 | ) | (6,446,795 | ) | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
200,000 | $ | 4,069,254 | 1,400,000 | $ | 37,256,442 | ||||||||||||||
|
|
franklintempleton.com |
Semiannual Report |
311 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
2. Shares of Beneficial Interest (continued)
Franklin FTSE Europe ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
400,000 | $ | 8,816,510 | 1,400,000 | $ | 38,599,643 | ||||||||||||||
Shares redeemed |
(5,400,000 | ) | (128,880,944 | ) | (3,000,000 | ) | (83,395,700 | ) | ||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
(5,000,000 | ) | $ | (120,064,434 | ) | (1,600,000 | ) | $ | (44,796,057 | ) | ||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Europe Hedged ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
400,000 | $ | 10,645,856 | 200,000 | $ | 5,879,630 | ||||||||||||||
Shares redeemed |
(600,000 | ) | (14,815,602 | ) | — | — | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
(200,000 | ) | $ | (4,169,746 | ) | 200,000 | $ | 5,879,630 | ||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE France ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
— | $ | — | 100,000 | $ | 3,120,862 | ||||||||||||||
Shares redeemed |
(50,000 | ) | (1,180,388 | ) | — | — | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
(50,000 | ) | $ | (1,180,388 | ) | 100,000 | $ | 3,120,862 | ||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Germany ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
200,000 | $ | 3,405,239 | 400,000 | $ | 10,617,319 | ||||||||||||||
Shares redeemed |
(100,000 | ) | (2,184,259 | ) | — | — | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
100,000 | $ | 1,220,980 | 400,000 | $ | 10,617,319 | ||||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Hong Kong ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
— | $ | — | 150,000 | $ | 3,959,042 | ||||||||||||||
Shares redeemed |
(150,000 | ) | (3,319,699 | ) | — | — | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
(150,000 | ) | $ | (3,319,699 | ) | 150,000 | $ | 3,959,042 | ||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE India ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
250,000 | $ | 7,507,913 | 750,000 | $ | 23,985,026 | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
250,000 | $ | 7,507,913 | 750,000 | $ | 23,985,026 | ||||||||||||||
|
|
312 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
Franklin FTSE Japan ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
9,000,000 | $ | 221,942,625 | 11,400,000 | $ | 340,542,812 | ||||||||||||||
Shares redeemed |
(1,800,000 | ) | (43,843,408 | ) | (2,400,000 | ) | (71,759,152 | ) | ||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
7,200,000 | $ | 178,099,217 | 9,000,000 | $ | 268,783,660 | ||||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Japan Hedged ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
— | $ | — | 400,000 | $ | 12,446,606 | ||||||||||||||
Shares redeemed |
— | — | (400,000 | ) | (12,142,770 | ) | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
— | $ | — | — | $ | 303,836 | ||||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Latin America ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
2,800,000 | $ | 52,371,383 | 100,000 | $ | 2,231,798 | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
2,800,000 | $ | 52,371,383 | 100,000 | $ | 2,231,798 | ||||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Mexico ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
50,000 | $ | 1,141,877 | 200,000 | $ | 4,861,121 | ||||||||||||||
Shares redeemed |
(50,000 | ) | (1,267,879 | ) | — | — | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
— | $ | (126,002 | ) | 200,000 | $ | 4,861,121 | |||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Russia ETF1,2 | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
— | $ | — | 400,000 | $ | 12,929,102 | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
— | $ | — | 400,000 | $ | 12,929,102 | ||||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Saudi Arabia ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
50,000 | $ | 1,884,180 | — | $ | — | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
50,000 | $ | 1,884,180 | — | $ | — | ||||||||||||||
|
|
franklintempleton.com |
Semiannual Report |
313 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
2. Shares of Beneficial Interest (continued)
Franklin FTSE South Africa ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
— | $ | — | 100,000 | $ | 2,562,673 | ||||||||||||||
Shares redeemed |
(50,000 | ) | (975,988 | ) | — | — | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
(50,000 | ) | $ | (975,988 | ) | 100,000 | $ | 2,562,673 | ||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE South Korea ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
200,000 | $ | 4,420,390 | 800,000 | $ | 23,052,455 | ||||||||||||||
Shares redeemed |
— | — | (400,000 | ) | (11,105,744 | ) | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
200,000 | $ | 4,420,390 | 400,000 | $ | 11,946,711 | ||||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Switzerland ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
500,000 | $ | 14,529,343 | 300,000 | $ | 10,413,668 | ||||||||||||||
Shares redeemed |
— | — | (500,000 | ) | (17,242,318 | ) | ||||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
500,000 | $ | 14,529,343 | (200,000 | ) | $ | (6,828,650 | ) | ||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE Taiwan ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
— | $ | — | 300,000 | $ | 13,007,178 | ||||||||||||||
Shares redeemed |
(100,000 | ) | (3,088,871 | ) | (100,000 | ) | (4,387,475 | ) | ||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
(100,000 | ) | $ | (3,088,871 | ) | 200,000 | $ | 8,619,703 | ||||||||||||
|
|
|||||||||||||||||||
Franklin FTSE United Kingdom ETF | ||||||||||||||||||||
Six Months Ended September 30, 2022 |
Year Ended March 31, 2022 |
|||||||||||||||||||
Shares | Amount | Shares | Amount | |||||||||||||||||
Shares sold |
2,150,000 | $ | 50,219,908 | 16,400,000 | $ | 419,981,074 | ||||||||||||||
Shares redeemed |
(6,500,000 | ) | (139,142,759 | ) | (950,000 | ) | (23,614,513 | ) | ||||||||||||
|
|
|||||||||||||||||||
Net increase (decrease) |
(4,350,000 | ) | $ | (88,922,851 | ) | 15,450,000 | $ | 396,366,561 | ||||||||||||
|
|
1Effective March 1, 2022: The Fund has suspended new creations of its shares until further notice. Please refer to the prospectus for further detail.
2Effective 4 AM Eastern Time on March 4, 2022: The NYSE Arca, Inc. announced a trading halt of the Fund.
314 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
Franklin Resources, Inc. is the holding company for various subsidiaries that together are referred to as Franklin Templeton. Certain officers and trustees of the Funds are also officers and/or directors of the following subsidiaries:
Subsidiary | Affiliation | |
Franklin Advisers, Inc (Advisers) |
Investment manager | |
Franklin Advisory Services, LLC (FASL) |
Investment manager | |
Franklin Templeton Services, LLC (FT Services) |
Administrative manager | |
Franklin Templeton Distributors, LLC (Distributors) |
Principal underwriter |
a. Management fees
The Funds pay a unified management fee to Advisers whereby Advisers has agreed to reimburse the Funds’ acquired fund fees and expenses (if any) and pay all of the ordinary operating expenses of the Funds, including custody, transfer agency, and Trustee fees and expenses, among others, but excluding payments under the Funds’ Rule 12b-1 plan (if any), brokerage expenses (including any costs incidental to transactions in portfolio securities or instruments), taxes, interest (including borrowing costs and dividend expenses on securities sold short and overdraft charges), litigation expenses (including litigation to which the Trust or a Fund may be a party and indemnification of the Trustees and officers with respect thereto), and other non-routine or extraordinary expenses. The fees are based on the average daily net assets of each of the Funds as follows:
Annualized Fee Rate | ||
Franklin FTSE Asia ex Japan ETF |
0.19% | |
Franklin FTSE Australia ETF |
0.09% | |
Franklin FTSE Brazil ETF |
0.19% | |
Franklin FTSE Canada ETF |
0.09% | |
Franklin FTSE China ETF |
0.19% | |
Franklin FTSE Europe ETF |
0.09% | |
Franklin FTSE Europe Hedged ETF |
0.09% | |
Franklin FTSE France ETF |
0.09% | |
Franklin FTSE Germany ETF |
0.09% | |
Franklin FTSE Hong Kong ETF |
0.09% | |
Franklin FTSE India ETF |
0.19% | |
Franklin FTSE Italy ETF |
0.09% | |
Franklin FTSE Japan ETF |
0.09% | |
Franklin FTSE Japan Hedged ETF |
0.09% | |
Franklin FTSE Latin America ETF |
0.19% | |
Franklin FTSE Mexico ETF |
0.19% | |
Franklin FTSE Russia ETF |
0.19% | |
Franklin FTSE Saudi Arabia ETF |
0.39% | |
Franklin FTSE South Africa ETF |
0.19% | |
Franklin FTSE South Korea ETF |
0.09% | |
Franklin FTSE Switzerland ETF |
0.09% | |
Franklin FTSE Taiwan ETF |
0.19% | |
Franklin FTSE United Kingdom ETF |
0.09% |
franklintempleton.com |
Semiannual Report |
315 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
3. Transactions with Affiliates (continued)
b. Administrative Fees
Under an agreement with Advisers, FT Services provides administrative services to the Funds. The fee is paid by Advisers based on the Funds’ average daily net assets, and is not an additional expense of the Funds.
c. Investments in Affiliated Management Investment Companies
Certain or all Funds invest in one or more affiliated management investment companies. As defined in the 1940 Act, an investment is deemed to be a “Controlled Affiliate” of a fund when a fund owns, either directly or indirectly, 25% or more of the affiliated fund’s outstanding shares or has the power to exercise control over management or policies of such fund. The Funds do not invest for purposes of exercising a controlling influence over the management or policies. Management fees paid by the Funds are waived on assets invested in the affiliated management investment companies, as noted in the Statements of Operations, in an amount not to exceed the management and administrative fees paid directly or indirectly by each affiliate. During the period ended September 30, 2022, investments in affiliated management investment companies were as follows:
Value at Beginning of Period |
Purchases | Sales | Realized Gain (Loss) |
Net Change in Unrealized Appreciation (Depreciation) |
Value at End of Period |
Number of Shares Held at End of Period |
Investment Income |
|||||||||||||||||||||||||
Franklin FTSE Japan ETF Non-Controlled Affiliates | |
Dividend Income |
| |||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||
Institutional Fiduciary Trust Money Market Portfolio 2.45% |
$ | 251,746 | $ | 8,827,573 | $ | (8,686,959 | ) | $ | — | $ | — | $ | 392,360 | 392,360 | $ | — | ||||||||||||||||
|
|
|||||||||||||||||||||||||||||||
Franklin FTSE Japan Hedged ETF Non-Controlled Affiliates | |
Dividend Income |
| |||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||
Institutional Fiduciary Trust Money Market Portfolio 2.45% |
$ | 695,758 | $ | 3,280,700 | $ | (3,703,573 | ) | $ | — | $ | — | $ | 272,885 | 272,885 | $ | — | ||||||||||||||||
|
|
|||||||||||||||||||||||||||||||
Franklin FTSE United Kingdom ETF Non-Controlled Affiliates | |
Income from Securities loaned |
| |||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||
Institutional Fiduciary Trust Money Market Portfolio 2.45% |
$ | 620,830 | $ | 8,948,366 | $ | (9,296,196 | ) | $ | — | $ | — | $ | 273,000 | 273,000 | $ | 1,503 | ||||||||||||||||
|
|
d. Other Affiliated Transactions
At September 30, 2022, the shares of the Funds were owned by the following entities:
Funds | Shares | Percentage of Outstanding Sharesa |
||||||
Franklin FTSE Canada ETF | ||||||||
Franklin Resources Inc |
1,927,000 | 20.9% | ||||||
|
|
|||||||
Franklin FTSE Italy ETF | ||||||||
Franklin Resources Inc |
14,000 | 9.3% | ||||||
|
|
|||||||
Franklin FTSE Latin America ETF | ||||||||
Franklin Resources Inc |
1,100,000 | 35.5% | ||||||
|
|
|||||||
Franklin FTSE Saudi Arabia ETF | ||||||||
Franklin Resources Inc |
40,000 | 26.7% | ||||||
|
|
316 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
Funds | Shares | Percentage of Outstanding Sharesa |
||||||
Franklin FTSE South Africa ETF | ||||||||
Franklin Resources Inc |
16,000 | 10.7% | ||||||
|
|
|||||||
Franklin FTSE United Kingdom ETF | ||||||||
Franklin Managed Income Fund |
1,250,000 | 6.3% | ||||||
|
|
aInvestment activities of significant shareholders could have a material impact on the Funds.
4. Income Taxes
For tax purposes, capital losses may be carried over to offset future capital gains. At March 31, 2022, the capital loss carryforwards were as follows:
Franklin Asia ex Japan |
Franklin FTSE Australia ETF |
Franklin FTSE Brazil ETF |
Franklin FTSE Canada ETF |
|||||||||||||
Capital loss carryforwards not subject to expiration: | ||||||||||||||||
Long term |
$ | 1,019,119 | $ | 471,552 | $ | 11,677,841 | $ | 259,413 | ||||||||
Short term |
488,309 | 115,476 | 33,487,474 | 110,204 | ||||||||||||
|
|
|||||||||||||||
Total capital loss carryforwards |
$ | 1,507,428 | $ | 587,028 | $ | 45,165,315 | $ | 369,617 | ||||||||
|
|
|||||||||||||||
Franklin FTSE China ETF |
Franklin FTSE Europe ETF |
Franklin ETF |
Franklin FTSE France |
|||||||||||||
Capital loss carryforwards not subject to expiration: | ||||||||||||||||
Long term |
$ | 6,279,868 | $ | 2,559,181 | $ | 198,810 | $ | 117,194 | ||||||||
Short term |
2,500,332 | 207,121 | 237,115 | 33,108 | ||||||||||||
|
|
|||||||||||||||
Total capital loss carryforwards |
$ | 8,780,200 | $ | 2,766,302 | $ | 435,925 | $ | 150,302 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Germany ETF |
Franklin FTSE Hong Kong ETF |
Franklin FTSE India ETF |
Franklin FTSE Italy ETF |
|||||||||||||
Capital loss carryforwards not subject to expiration: | ||||||||||||||||
Long term |
$ | 334,959 | $ | 608,317 | $ | 911,568 | $ | 305,156 | ||||||||
Short term |
98,332 | 56,351 | 116,340 | — | ||||||||||||
|
|
|||||||||||||||
Total capital loss carryforwards |
$ | 433,291 | $ | 664,668 | $ | 1,027,908 | $ | 305,156 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Japan ETF |
Franklin FTSE Japan Hedged ETF |
Franklin FTSE Latin America ETF |
Franklin FTSE Mexico ETF |
|||||||||||||
Capital loss carryforwards not subject to expiration: | ||||||||||||||||
Long term |
$ | 7,872,857 | $ | — | $ | 247,090 | $ | 642,825 | ||||||||
Short term |
1,327,693 | — | 34,299 | 49,392 | ||||||||||||
|
|
|||||||||||||||
Total capital loss carryforwards |
$ | 9,200,550 | $ | — | $ | 281,389 | $ | 692,217 | ||||||||
|
|
franklintempleton.com |
Semiannual Report |
317 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
4. Income Taxes (continued)
Franklin FTSE Russia ETF |
Franklin FTSE Saudi Arabia ETF |
Franklin FTSE South Africa ETF |
Franklin FTSE South Korea ETF |
|||||||||||||
Capital loss carryforwards not subject to expiration: | ||||||||||||||||
Long term |
$ | 312,362 | $ | 3,202 | $ | 217,461 | $ | 2,942,488 | ||||||||
Short term |
235,236 | — | 48,981 | 2,571,495 | ||||||||||||
|
|
|||||||||||||||
Total capital loss carryforwards |
$ | 547,598 | $ | 3,202 | $ | 266,442 | $ | 5,513,983 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Switzerland ETF |
Franklin FTSE Taiwan ETF |
Franklin FTSE United Kingdom ETF |
||||||||||||||
Capital loss carryforwards not subject to expiration: | ||||||||||||||||
Long term |
$ | 205,146 | $ | 204,085 | $ | 4,322,961 | ||||||||||
Short term |
211,939 | 361,975 | 2,707,270 | |||||||||||||
|
|
|||||||||||||||
Total capital loss carryforwards |
$ | 417,085 | $ | 566,060 | $ | 7,030,231 | ||||||||||
|
|
At September 30, 2022, the cost of investments and net unrealized appreciation (depreciation) for income tax purposes were as follows:
Franklin FTSE Asia ex Japan |
Franklin FTSE Australia ETF |
Franklin FTSE Brazil ETF |
Franklin FTSE Canada ETF |
|||||||||||||
Cost of investments |
$ | 37,997,819 | $ | 25,399,172 | $ | 283,908,891 | $ | 300,579,922 | ||||||||
|
|
|||||||||||||||
Unrealized appreciation |
$ | 1,815,114 | $ | 615,041 | $ | 10,727,138 | $ | 708,848 | ||||||||
Unrealized depreciation |
(9,478,841 | ) | (3,100,436 | ) | (17,087,746 | ) | (43,403,273 | ) | ||||||||
|
|
|||||||||||||||
Net unrealized appreciation (depreciation) . |
$ | (7,663,727 | ) | $ | (2,485,395 | ) | $ | (6,360,608 | ) | $ | (42,694,425 | ) | ||||
|
|
|||||||||||||||
Franklin FTSE China ETF |
Franklin FTSE Europe ETF |
Franklin FTSE Europe Hedged ETF |
Franklin FTSE France ETF |
|||||||||||||
Cost of investments |
$ | 138,328,688 | $ | 51,710,748 | $ | 19,730,791 | $ | 8,467,663 | ||||||||
|
|
|||||||||||||||
Unrealized appreciation |
$ | 3,252,991 | $ | 26,229 | $ | 5,375 | $ | 81,608 | ||||||||
Unrealized depreciation |
(50,212,064 | ) | (15,623,230 | ) | (5,594,566 | ) | (1,968,440 | ) | ||||||||
|
|
|||||||||||||||
Net unrealized appreciation (depreciation) . |
$ | (46,959,073 | ) | $ | (15,597,001 | ) | $ | (5,589,191 | ) | $ | (1,886,832 | ) | ||||
|
|
|||||||||||||||
Franklin FTSE Germany ETF |
Franklin FTSE Hong Kong ETF |
Franklin FTSE India ETF |
Franklin FTSE Italy ETF |
|||||||||||||
Cost of investments |
$ | 19,708,863 | $ | 15,063,230 | $ | 49,608,914 | $ | 3,322,879 | ||||||||
|
|
|||||||||||||||
Unrealized appreciation |
$ | 26,407 | $ | 112,446 | $ | 6,899,676 | $ | 117,286 | ||||||||
Unrealized depreciation |
(6,577,820 | ) | (3,995,323 | ) | (2,510,489 | ) | (761,259 | ) | ||||||||
|
|
|||||||||||||||
Net unrealized appreciation (depreciation) . |
$ | (6,551,413 | ) | $ | (3,882,877 | ) | $ | 4,389,187 | $ | (643,973 | ) | |||||
|
|
318 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
Franklin FTSE Japan ETF |
Franklin FTSE Japan Hedged ETF |
Franklin FTSE Latin America ETF |
Franklin FTSE Mexico ETF |
|||||||||||||
Cost of investments |
$ | 1,002,851,379 | $ | 30,016,633 | $ | 60,334,216 | $ | 10,126,558 | ||||||||
|
|
|||||||||||||||
Unrealized appreciation |
$ | 2,385,843 | $ | 60,865 | $ | 3,324,984 | $ | 772,270 | ||||||||
Unrealized depreciation |
(235,206,895 | ) | (7,062,600 | ) | (2,957,240 | ) | (962,707 | ) | ||||||||
|
|
|||||||||||||||
Net unrealized appreciation (depreciation) . |
$ | (232,821,052 | ) | $ | (7,001,735 | ) | $ | 367,744 | $ | (190,437 | ) | |||||
|
|
|||||||||||||||
Franklin FTSE Russia ETF |
Franklin FTSE Saudi Arabia ETF |
Franklin FTSE South Africa ETF |
Franklin FTSE South Korea ETF |
|||||||||||||
Cost of investments |
$ | 22,476,787 | $ | 4,370,666 | $ | 3,808,391 | $ | 63,495,882 | ||||||||
|
|
|||||||||||||||
Unrealized appreciation |
$ | — | $ | 1,187,725 | $ | 13,197 | $ | 368,793 | ||||||||
Unrealized depreciation |
(22,476,787 | ) | (110,176 | ) | (870,957 | ) | (20,029,440 | ) | ||||||||
|
|
|||||||||||||||
Net unrealized appreciation (depreciation) . |
$ | (22,476,787 | ) | $ | 1,077,549 | $ | (857,760 | ) | $ | (19,660,647 | ) | |||||
|
|
|||||||||||||||
Franklin FTSE Switzerland ETF |
Franklin FTSE Taiwan ETF |
Franklin FTSE United Kingdom ETF |
||||||||||||||
Cost of investments |
$ | 56,620,228 | $ | 27,057,905 | $ | 509,188,285 | ||||||||||
|
|
|||||||||||||||
Unrealized appreciation |
$ | 52,949 | $ | 2,901,366 | $ | 2,612,528 | ||||||||||
Unrealized depreciation |
(7,406,379 | ) | (2,232,643 | ) | (124,827,302 | ) | ||||||||||
|
|
|||||||||||||||
Net unrealized appreciation (depreciation) . |
$ | (7,353,430 | ) | $ | 668,723 | $ | (122,214,774 | ) | ||||||||
|
|
Differences between income and/or capital gains as determined on a book basis and a tax basis are primarily due to differing treatment of corporate actions, passive foreign investment company shares and wash sales.
5. Investment Transactions
Purchases and sales of investments (excluding short term securities and in-kind transactions, if any) for the period ended September 30, 2022, were as follows:
Franklin FTSE Asia ex Japan ETF |
Franklin FTSE Australia ETF |
Franklin FTSE Brazil ETF |
Franklin FTSE Canada ETF |
|||||||||||||
Purchases |
$ | 1,435,551 | $ | 2,322,210 | $ | 78,762,940 | $ | 294,805,019 | ||||||||
Sales |
$ | 1,059,870 | $ | 1,113,774 | $ | 208,129,414 | $ | 32,857,855 | ||||||||
Franklin FTSE China ETF |
Franklin FTSE Europe ETF |
Franklin FTSE Europe Hedged ETF |
Franklin FTSE France ETF |
|||||||||||||
Purchases |
$ | 10,736,162 | $ | 2,617,430 | $ | 3,068,275 | $ | 254,515 | ||||||||
Sales |
$ | 5,773,130 | $ | 3,094,746 | $ | 655,263 | $ | 1,395,850 |
franklintempleton.com |
Semiannual Report |
319 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
5. Investment Transactions (continued)
Franklin FTSE Germany ETF |
Franklin FTSE Hong Kong ETF |
Franklin FTSE India ETF |
Franklin FTSE Italy ETF |
|||||||||||||
Purchases |
$ | 385,775 | $ | 789,221 | $ | 9,158,427 | $ | 180,397 | ||||||||
Sales |
$ | 424,281 | $ | 737,053 | $ | 1,294,528 | $ | 174,458 | ||||||||
Franklin FTSE Japan ETF |
Franklin FTSE Japan Hedged ETF |
Franklin FTSE Latin America ETF |
Franklin FTSE Mexico ETF |
|||||||||||||
Purchases |
$ | 14,584,584 | $ | 8,585,551 | $ |
40,917,790 |
|
$ | 974,177 | |||||||
Sales |
$ | 12,836,214 | $ | 5,277,252 | $ | 1,326,100 | $ | 848,782 | ||||||||
Franklin FTSE Russia ETF |
Franklin FTSE Saudi Arabia ETF |
Franklin FTSE South Africa ETF |
Franklin FTSE South Korea ETF |
|||||||||||||
Purchases |
$ | — | $ | 2,003,791 | $ | 209,763 | $ | 7,472,472 | ||||||||
Sales |
$ | — | $ | 103,782 | $ | 1,177,780 | $ | 2,376,066 | ||||||||
Franklin FTSE Switzerland ETF |
Franklin FTSE Taiwan ETF |
Franklin FTSE United Kingdom ETF |
||||||||||||||
Purchases |
$ | 2,231,602 | $ | 1,761,633 | $ | 18,912,719 | ||||||||||
Sales |
$ | 2,446,419 | $ | 3,586,444 | $ | 15,142,121 |
In-kind transactions associated with creation and redemptions for the period ended September 30, 2022, were as follows:
Franklin FTSE Asia ex Japan ETF |
Franklin FTSE Australia ETF |
Franklin FTSE Brazil ETF |
Franklin FTSE Canada ETF |
|||||||||||||
Cost of Securities Received |
$ | — | $ | — | $ | — | $ | — | ||||||||
Value of Securities Delivereda |
$ | — | $ | — | $ | — | $ | — | ||||||||
Franklin FTSE China ETF |
Franklin FTSE Europe ETF |
Franklin FTSE Europe Hedged ETF |
Franklin FTSE France ETF |
|||||||||||||
Cost of Securities Received |
$ | 286,510 | $ | 8,627,968 | $ | 10,576,827 | $ | — | ||||||||
Value of Securities Delivereda |
$ | — | $ | 127,792,935 | $ | 14,396,526 | $ | — | ||||||||
Franklin FTSE Germany ETF |
Franklin FTSE Hong Kong ETF |
Franklin FTSE India ETF |
Franklin FTSE Italy ETF |
|||||||||||||
Cost of Securities Received |
$ | 3,400,552 | $ | — | $ | — | $ | — | ||||||||
Value of Securities Delivereda |
$ | 2,181,384 | $ | 3,255,694 | $ | — | $ | — |
320 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
Franklin FTSE Japan ETF |
Franklin FTSE Japan Hedged ETF |
Franklin FTSE Latin America ETF |
Franklin FTSE Mexico ETF |
|||||||||||||
Cost of Securities Received |
$ | 219,741,404 | $ | — | $ | — | $ | 1,140,462 | ||||||||
Value of Securities Delivereda |
$ | 42,752,134 | $ | — | $ | — | $ | 1,266,860 | ||||||||
Franklin FTSE Russia ETF |
Franklin FTSE Saudi Arabia ETF |
Franklin FTSE South Africa ETF |
Franklin FTSE South Korea ETF |
|||||||||||||
Cost of Securities Received |
$ | — | $ | — | $ | — | $ | — | ||||||||
Value of Securities Delivereda |
$ | — | $ | — | $ | — | $ | — | ||||||||
Franklin ETF |
Franklin FTSE Taiwan ETF |
Franklin FTSE United Kingdom ETF |
||||||||||||||
Cost of Securities Received |
$ | 14,253,301 | $ | — | $ | 49,831,235 | ||||||||||
Value of Securities Delivereda |
$ | — | $ | — | $ | 137,847,279 |
aRealized gains and losses from in-kind redemptions, as shown on the Statement of Operations, are not recognized by the Funds for tax purposes.
At September 30, 2022, in connection with securities lending transactions, certain or all Funds loaned investments and received cash collateral as follows:
Franklin FTSE United Kingdom ETF |
||||
Securities lending transactionsa: | ||||
Equity Investmentsb |
$ | 273,000 | ||
|
|
aThe agreements can be terminated at any time.
bThe gross amount of recognized liability for such transactions is included in payable upon return of securities loaned in the Statements of Assets and Liabilities.
6. Concentration of Risk
Investing in foreign securities may include certain risks and considerations not typically associated with investing in U.S. securities, such as fluctuating currency values and changing local, regional and global economic, political and social conditions, which may result in greater market volatility. Political and financial uncertainty in many foreign regions may increase market volatility and the economic risk of investing in foreign securities. In addition, certain foreign securities may not be as liquid as U.S. securities.
Russia’s military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia and certain Russian individuals, banking entities and corporations as a response to its invasion of Ukraine. The United States and other countries have also imposed economic sanctions on Belarus and may impose sanctions on other countries that support Russia’s military invasion. These sanctions, as well as any other economic consequences related to the invasion, such as additional sanctions, boycotts or changes in consumer or purchaser preferences or cyberattacks on governments, companies or individuals, may further decrease the value and liquidity of certain Russian securities and securities of issuers in other countries that are subject to economic sanctions related to the invasion. To the extent that the Funds have exposure to Russian investments or investments in countries affected by the invasion, the Fund’s ability to price, buy, sell, receive or deliver such investments was impaired. The Funds could determine at any time that certain of the most affected securities have little or no
franklintempleton.com |
Semiannual Report |
321 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
6. Concentration of Risk (continued)
value. In addition, any exposure that the Funds may have to counterparties in Russia or in countries affected by the invasion could negatively impact the Fund’s portfolio. The extent and duration of Russia’s military actions and the repercussions of such actions (including any retaliatory actions or countermeasures that may be taken by those subject to sanctions) are impossible to predict, but could result in significant market disruptions, including in the oil and natural gas markets, and may negatively affect global supply chains, inflation and global growth. These and any related events could significantly impact the Fund’s performance and the value of an investment in the Funds’, even beyond any direct exposure the Funds may have to Russian issuers or issuers in other countries affected by the invasion.
At September 30, 2022, the Franklin FTSE Russia ETF had 100% of its net assets invested in securities with significant economic risk or exposure to Russia. The Valuation Committee determined that based on their analysis of the market and access to market participants, the Russian financial instruments held by the Franklin FTSE Russia ETF had no value at September 30, 2022.
7. Novel Coronavirus Pandemic
The global outbreak of the novel coronavirus disease, known as COVID-19, has caused adverse effects on many companies, sectors, nations, regions and the markets in general, and may continue for an unpredictable duration. The effects of this pandemic may materially impact the value and performance of the Funds, their ability to buy and sell fund investments at appropriate valuations and their ability to achieve their investment objectives.
8. Other Derivative Information
At September 30, 2022, the Funds’ investments in derivative contracts are reflected in the Statements of Assets and Liabilities as follows:
Asset Derivatives |
Liability Derivatives |
|||||||||||
Statements
of Assets and Liabilities Location |
Fair Value | Statements
of Assets and Liabilities Location |
Fair Value | |||||||||
Franklin FTSE Australia ETF | ||||||||||||
Index contracts |
Variation margin on futures contracts |
$ | — |
Variation margin on futures contracts |
$ | 30,610 | a | |||||
|
|
|
|
|||||||||
Franklin FTSE Brazil ETF | ||||||||||||
Equity contracts |
Variation margin on futures contracts |
$ | — |
Variation margin on futures contracts |
$ | 88,239 | a | |||||
|
|
|
|
|||||||||
Franklin FTSE Canada ETF | ||||||||||||
Index contracts |
Variation margin on futures contracts |
$ | — |
Variation margin on futures contracts |
$ | 27,595 | a | |||||
|
|
|
|
|||||||||
Franklin FTSE China ETF | ||||||||||||
Equity contracts |
Variation margin on futures contracts |
$ | — |
Variation margin on futures contracts |
$ | 10,265 | a | |||||
|
|
|
|
|||||||||
Franklin FTSE Europe ETF | ||||||||||||
Index contracts |
Variation margin on futures contracts |
$ | — |
Variation margin on futures contracts |
$ | 33,003 | a | |||||
|
|
|
|
|||||||||
Franklin FTSE Europe Hedged ETF | ||||||||||||
Foreign exchange contracts |
Unrealized appreciation on OTC forward exchange contracts |
$ | 463,463 |
Unrealized depreciation on OTC forward exchange contracts |
$ | 9,551 | ||||||
Index contracts |
Variation margin on futures contracts |
— |
Variation margin on futures contracts |
2,661 | a | |||||||
|
|
|
|
|||||||||
Totals |
$ | 463,463 | $ | 12,212 | ||||||||
|
|
|
|
|||||||||
Franklin FTSE Hong Kong ETF | ||||||||||||
Equity contracts |
Variation margin on futures contracts |
$ | — |
Variation margin on futures contracts |
$ | 2,203 | a | |||||
|
|
|
|
322 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
Asset Derivatives |
Liability Derivatives |
|||||||||||
Statements
of Assets and Liabilities Location |
Fair Value | Statements
of Assets and Liabilities Location |
Fair Value | |||||||||
Franklin FTSE Japan ETF | ||||||||||||
Index contracts |
Variation margin on futures contracts |
$ | — |
Variation margin on futures contracts |
$ | 46,911 | a | |||||
|
|
|
|
|||||||||
Franklin FTSE Japan Hedged ETF | ||||||||||||
Foreign exchange contracts |
Unrealized appreciation on OTC forward exchange contracts |
$ | 1,093,663 |
Unrealized depreciation on OTC forward exchange contracts |
$ | 11,176 | ||||||
Index contracts |
Variation margin on futures contracts |
— |
Variation margin on futures contracts |
2,018 | a | |||||||
|
|
|
|
|||||||||
Totals |
$ | 1,093,663 | $ | 13,194 | ||||||||
|
|
|
|
|||||||||
Franklin FTSE Latin America ETF | ||||||||||||
Equity contracts |
Variation margin on futures contracts |
$ | — |
Variation margin on futures contracts |
$ | 9,274 | a | |||||
|
|
|
|
|||||||||
Franklin FTSE South Korea ETF | ||||||||||||
Index contracts |
Variation margin on futures contracts |
$ | — |
Variation margin on futures contracts |
$ | 491 | a | |||||
|
|
|
|
|||||||||
Franklin FTSE Switzerland ETF | ||||||||||||
Equity contracts |
Variation margin on futures contracts |
$ | — |
Variation margin on futures contracts |
$ | 32,156 | a | |||||
|
|
|
|
|||||||||
Franklin FTSE Taiwan ETF | ||||||||||||
Equity contracts |
Variation margin on futures contracts |
$ | — |
Variation margin on futures contracts |
$ | 4,144 | a | |||||
|
|
|
|
|||||||||
Franklin FTSE United Kingdom ETF | ||||||||||||
Index contracts |
Variation margin on futures contracts |
$ | — |
Variation margin on futures contracts |
$ | 236,095 | a | |||||
|
|
|
|
aThis amount reflects the cumulative appreciation (depreciation) of future contracts as reported in the Schedule of Investments. Only the variation margin receivable/payable at year end is separately reported within the Statements of Assets and Liabilities. Prior variation margin movements were recorded to cash upon receipt or payment.
For the period ended September 30, 2022, the effect of derivative contracts in the Funds’ Statements of Operations was as follows:
Derivative
Contracts Not Accounted for as Hedging Instruments |
Statements
of Operations Locations |
Net
Realized Gain (Loss) for the Period |
Statements
of Operations Locations |
Net Change in Unrealized Appreciation (Depreciation) for the Period |
||||||||
Franklin FTSE Asia ex Japan ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | (41,334 | ) |
Futures contracts |
$ | — | |||||
|
|
|
|
|||||||||
Franklin FTSE Australia ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | 6,546 |
Futures contracts |
$ | (30,610 | ) | |||||
|
|
|
|
|||||||||
Franklin FTSE Brazil ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | (1,608,425 | ) |
Futures contracts |
$ | (301,741 | ) | ||||
|
|
|
|
|||||||||
Franklin FTSE Canada ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | 19,482 |
Futures contracts |
$ | (27,595 | ) | |||||
|
|
|
|
franklintempleton.com |
Semiannual Report |
323 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
8. Other Derivative Information (continued)
Derivative
Contracts Not Accounted for as Hedging Instruments |
Statements
of Operations Locations |
Net
Realized Gain (Loss) for the Period |
Statements
of Operations Locations |
Net Change in Unrealized Appreciation (Depreciation) for the Period |
||||||||
Franklin FTSE China ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | (167,458 | ) |
Futures contracts |
$ | (10,265 | ) | ||||
|
|
|
|
|||||||||
Franklin FTSE Europe ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | (16,286 | ) |
Futures contracts |
$ | (104,736 | ) | ||||
|
|
|
|
|||||||||
Franklin FTSE Europe Hedged ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Foreign exchange contracts |
Forward exchange contracts |
$ | 2,400,365 |
Forward exchange contracts |
$ | 231,381 | ||||||
Equity contracts |
Futures contracts |
(5,566 | ) |
Futures contracts |
(2,661 | ) | ||||||
|
|
|
|
|||||||||
Totals |
$ | 2,394,799 | $ | 228,720 | ||||||||
|
|
|
|
|||||||||
Franklin FTSE France ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | (552 | ) |
Futures contracts |
$ | — | |||||
|
|
|
|
|||||||||
Franklin FTSE Germany ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | (10,835 | ) |
Futures contracts |
$ | — | |||||
|
|
|
|
|||||||||
Franklin FTSE Hong Kong ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | (7,727 | ) |
Futures contracts |
$ | (2,790 | ) | ||||
|
|
|
|
|||||||||
Franklin FTSE India ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | 8,288 |
Futures contracts |
$ | (1,364 | ) | |||||
|
|
|
|
|||||||||
Franklin FTSE Japan ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | (144,459 | ) |
Futures contracts |
$ | (194,653 | ) | ||||
|
|
|
|
|||||||||
Franklin FTSE Japan Hedged ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Foreign exchange contracts |
Forward exchange contracts |
$ | 3,894,512 |
Forward exchange contracts |
$ | 532,139 | ||||||
Equity contracts |
Futures contracts |
(13,148 | ) |
Futures contracts |
(3,463 | ) | ||||||
|
|
|
|
|||||||||
Totals |
$ | 3,881,364 | $ | 528,676 | ||||||||
|
|
|
|
324 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
Derivative
Contracts Not Accounted for as Hedging Instruments |
Statements
of Operations Locations |
Net
Realized Gain (Loss) for the Period |
Statements
of Operations Locations |
Net Change in Unrealized Appreciation (Depreciation) for the Period |
||||||||
Franklin FTSE Latin America ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | (30,378 | ) |
Futures contracts |
$ | (10,285 | ) | ||||
|
|
|
|
|||||||||
Franklin FTSE Saudi Arabia ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Foreign exchange contracts |
Forward exchange contracts |
$ | (28 | ) |
Forward exchange contracts |
$ | — | |||||
|
|
|
|
|||||||||
Franklin FTSE South Korea ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | (36,280 | ) |
Futures contracts |
$ | (38,433 | ) | ||||
|
|
|
|
|||||||||
Franklin FTSE Switzerland ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | (106,148 | ) |
Futures contracts |
$ | (66,572 | ) | ||||
|
|
|
|
|||||||||
Franklin FTSE Taiwan ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | 6,016 |
Futures contracts |
$ | (4,144 | ) | |||||
|
|
|
|
|||||||||
Franklin FTSE United Kingdom ETF | ||||||||||||
Net realized gain (loss) from: |
Net change in unrealized appreciation (depreciation) on: |
|||||||||||
Equity contracts |
Futures contracts |
$ | 43,771 |
Futures contracts |
$ | (467,356 | ) | |||||
|
|
|
|
For the period ended September 30, 2022, the average month end notional amount of futures contracts and average month end contract value for forward exchange contracts were as follows:
Franklin FTSE Asia ex Japan ETF |
Franklin FTSE Brazil ETF |
Franklin FTSE China ETF |
Franklin FTSE Europe ETF |
|||||||||||||
Futures contracts |
$ | 151,872 | $ | 6,898,920 | $ | 699,896 | $ | 909,212 | ||||||||
Forward exchange contracts |
$ | — | $ | — | $ | — | $ | — | ||||||||
Franklin FTSE Europe Hedged ETF |
Franklin FTSE Germany ETF |
Franklin FTSE Hong Kong ETF |
Franklin FTSE India ETF |
|||||||||||||
Futures contracts |
$ | 116,834 | $ | 161,371 | $ | 86,021 | $ | 89,581 | ||||||||
Forward exchange contracts |
$ | 60,466,472 | $ | — | $ | — | $ | — |
franklintempleton.com |
Semiannual Report |
325 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
8. Other Derivative Information (continued)
Franklin FTSE Japan ETF |
Franklin FTSE Japan Hedged ETF |
Franklin FTSE Latin America ETF |
||||||||||||||
Futures contracts |
$ | 5,795,892 | $ | 233,243 | $ | 345,696 | ||||||||||
Forward exchange contracts |
$ | — | $ | 67,381,207 | $ | — | ||||||||||
Franklin FTSE South Korea ETF |
Franklin FTSE Switzerland ETF |
Franklin FTSE Taiwan ETF |
||||||||||||||
Futures contracts |
$ | 269,787 | $ | 680,063 | $ | 397,645 | ||||||||||
Forward exchange contracts |
$ | — | $ | — | $ | — | ||||||||||
Franklin FTSE United Kingdom ETF |
||||||||||||||||
Futures contracts |
$ | 3,758,711 |
At September 30, 2022, the Funds’ OTC derivative assets and liabilities are as follows:
Gross and Net Amounts of Assets and Liabilities Presented in the Statements of Assets and Liabilities |
||||||||
Assetsa | Liabilitiesa | |||||||
Franklin FTSE Europe Hedged ETF | ||||||||
Foreign exchange contracts |
$ | 463,463 | $ | 9,551 | ||||
|
|
|||||||
Franklin FTSE Japan Hedged ETF | ||||||||
Foreign exchange contracts |
$ | 1,093,663 | $ | 11,176 | ||||
|
|
aAbsent an event of default or early termination, OTC derivative assets and liabilities are presented gross and not offset in the Statements of Assets and Liabilities.
At September 30, 2022, the Funds’ OTC derivative assets, which may be offset against the Funds’ OTC derivative liabilities and collateral received from the counterparty, are as follows:
Amounts Not Offset in the Statements of Assets and Liabilities |
||||||||||||||||||||
Gross and Net Amounts of Assets Presented in the Statements of Assets and Liabilities |
Financial Instruments Available for Offset |
Financial Instruments Collateral Receiveda |
Cash Collateral Receiveda |
Net Amount (Not less than zero) |
||||||||||||||||
Franklin FTSE Europe Hedged ETF |
||||||||||||||||||||
Counterparty | ||||||||||||||||||||
BOFA |
$ | 140,166 | $ | (2,514 | ) | $ | — | $ | — | $ | 137,652 | |||||||||
DBAB |
162,709 | (4,592 | ) | — | — | 158,117 | ||||||||||||||
HSBK |
66,895 | (980 | ) | — | — | 65,915 | ||||||||||||||
MSCO |
26,829 | (497 | ) | — | — | 26,332 | ||||||||||||||
UBSW |
66,864 | (968 | ) | — | — | 65,896 | ||||||||||||||
|
|
|||||||||||||||||||
Total |
$ | 463,463 | $ | (9,551 | ) | $ | — | $ | — | $ | 453,912 | |||||||||
|
|
326 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
Amounts Not Offset in the Statements of Assets and Liabilities |
||||||||||||||||||||
Gross and Net Amounts of Assets Presented in the Statements of Assets and Liabilities |
Financial Instruments Available for Offset |
Financial Instruments Collateral Receiveda |
Cash Collateral Receiveda |
Net Amount (Not less than zero) |
||||||||||||||||
Franklin FTSE Japan Hedged ETF |
||||||||||||||||||||
Counterparty | ||||||||||||||||||||
DBAB |
$ | 320,003 | $ | (3,298 | ) | $ | — | $ | — | $ | 316,705 | |||||||||
HSBK |
321,096 | (3,238 | ) | — | — | 317,858 | ||||||||||||||
MSCO |
131,395 | (1,384 | ) | — | — | 130,011 | ||||||||||||||
UBSW |
321,169 | (3,256 | ) | — | — | 317,913 | ||||||||||||||
|
|
|||||||||||||||||||
Total |
$ | 1,093,663 | $ | (11,176 | ) | $ | — | $ | — | $ | 1,082,487 | |||||||||
|
|
aIn some instances, the collateral amounts disclosed in the table above were adjusted due to the requirement to limit collateral amounts to avoid the effect of overcollateralization. Actual collateral received and/or pledged may be more than the amounts disclosed herein.
At September 30, 2022, the Funds’ OTC derivative liabilities, which may be offset against the Funds’ OTC derivative assets and collateral pledged to the counterparty, are as follows:
Amounts Not Offset in the Statements of Assets and Liabilities |
||||||||||||||||||||
Gross and Net Amounts of Liabilities Presented in the Statements of Assets and Liabilities |
Financial Instruments Available for Offset |
Financial Instruments Collateral Pledgeda |
Cash Collateral Pledgeda |
Net Amount (Not less than zero) |
||||||||||||||||
Franklin FTSE Europe Hedged ETF |
||||||||||||||||||||
Counterparty | ||||||||||||||||||||
BOFA |
$ | 2,514 | $ | (2,514 | ) | $ | — | $ | — | $ | — | |||||||||
DBAB |
4,592 | (4,592 | ) | — | — | — | ||||||||||||||
HSBK |
980 | (980 | ) | — | — | — | ||||||||||||||
MSCO |
497 | (497 | ) | — | — | — | ||||||||||||||
UBSW |
968 | (968 | ) | — | — | — | ||||||||||||||
|
|
|||||||||||||||||||
Total |
$ | 9,551 | $ | (9,551 | ) | $ | — | $ | — | $ | — | |||||||||
|
|
|||||||||||||||||||
Franklin FTSE Japan Hedged ETF |
||||||||||||||||||||
Counterparty | ||||||||||||||||||||
DBAB |
$ | 3,298 | $ | (3,298 | ) | $ | — | $ | — | $ | — | |||||||||
HSBK |
3,238 | (3,238 | ) | — | — | — | ||||||||||||||
MSCO |
1,384 | (1,384 | ) | — | — | — | ||||||||||||||
UBSW |
3,256 | (3,256 | ) | — | — | — | ||||||||||||||
|
|
|||||||||||||||||||
Total |
$ | 11,176 | $ | (11,176 | ) | $ | — | $ | — | $ | — | |||||||||
|
|
aIn some instances, the collateral amounts disclosed in the table above were adjusted due to the requirement to limit collateral amounts to avoid the effect of overcollateralization. Actual collateral received and/or pledged may be more than the amounts disclosed herein.
See Note 1(c) regarding derivative financial instruments.
franklintempleton.com |
Semiannual Report |
327 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
9. Fair Value Measurements
The Funds follow a fair value hierarchy that distinguishes between market data obtained from independent sources (observable inputs) and the Funds’ own market assumptions (unobservable inputs). These inputs are used in determining the value of the Funds’ financial instruments and are summarized in the following fair value hierarchy:
• |
Level 1 – quoted prices in active markets for identical financial instruments |
• |
Level 2 – other significant observable inputs (including quoted prices for similar financial instruments, interest rates, prepayment speed, credit risk, etc.) |
• |
Level 3 – significant unobservable inputs (including the Funds’ own assumptions in determining the fair value of financial instruments) |
The input levels are not necessarily an indication of the risk or liquidity associated with financial instruments at that level.
A summary of inputs used as of September 30, 2022, in valuing the Funds’ assets and liabilities carried at fair value, is as follows:
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Franklin FTSE Asia ex Japan ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 30,334,092 | $ | — | $ | — | c | $ | 30,334,092 | |||||||
|
|
|||||||||||||||
Franklin FTSE Australia ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 22,913,777 | $ | — | $ | — | $ | 22,913,777 | ||||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Futures Contracts |
$ | 30,610 | $ | — | $ | — | $ | 30,610 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Brazil ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 277,548,283 | $ | — | $ | — | $ | 277,548,283 | ||||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Futures Contracts |
$ | 88,239 | $ | — | $ | — | $ | 88,239 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Canada ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 257,885,497 | $ | — | $ | — | $ | 257,885,497 | ||||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Futures Contracts |
$ | 27,595 | $ | — | $ | — | $ | 27,595 | ||||||||
|
|
|||||||||||||||
Franklin FTSE China ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 91,369,615 | $ | — | $ | — | $ | 91,369,615 | ||||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Futures Contracts |
$ | 10,265 | $ | — | $ | — | $ | 10,265 | ||||||||
|
|
328 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Franklin FTSE Europe ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 36,113,747 | $ | — | $ | — | c | $ | 36,113,747 | |||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Futures Contracts |
$ | 33,003 | $ | — | $ | — | $ | 33,003 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Europe Hedged ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 14,141,600 | $ | — | $ | — | c | $ | 14,141,600 | |||||||
|
|
|||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Forward Exchange Contracts |
$ | — | $ | 463,463 | $ | — | $ | 463,463 | ||||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Forward Exchange Contracts |
$ | — | $ | 9,551 | $ | — | $ | 9,551 | ||||||||
Futures Contracts |
2,661 | — | — | 2,661 | ||||||||||||
|
|
|||||||||||||||
Total Other Financial Instruments |
$ | 2,661 | $ | 9,551 | $ | — | $ | 12,212 | ||||||||
|
|
|||||||||||||||
Franklin FTSE France ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 6,580,831 | $ | — | $ | — | $ | 6,580,831 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Germany ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 13,157,450 | $ | — | $ | — | $ | 13,157,450 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Hong Kong ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 11,180,353 | $ | — | $ | — | $ | 11,180,353 | ||||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Futures Contracts |
$ | 2,203 | $ | — | $ | — | $ | 2,203 | ||||||||
|
|
|||||||||||||||
Franklin FTSE India ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 53,998,101 | $ | — | $ | — | $ | 53,998,101 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Italy ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 2,678,906 | $ | — | $ | — | $ | 2,678,906 | ||||||||
|
|
franklintempleton.com |
Semiannual Report |
329 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
9. Fair Value Measurements (continued)
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Franklin FTSE Japan ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 769,637,967 | $ | — | $ | — | $ | 769,637,967 | ||||||||
Short-Term Investments |
392,360 | — | — | 392,360 | ||||||||||||
|
|
|||||||||||||||
Total Investments in Securities |
$ | 770,030,327 | $ | — | $ | — | $ | 770,030,327 | ||||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Futures Contracts |
$ | 46,911 | $ | — | $ | — | $ | 46,911 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Japan Hedged ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 22,742,013 | $ | — | $ | — | $ | 22,742,013 | ||||||||
Short-Term Investments |
272,885 | — | — | 272,885 | ||||||||||||
|
|
|||||||||||||||
Total Investments in Securities |
$ | 23,014,898 | $ | — | $ | — | $ | 23,014,898 | ||||||||
|
|
|||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Forward Exchange Contracts |
$ | — | $ | 1,093,663 | $ | — | $ | 1,093,663 | ||||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Forward Exchange Contracts |
$ | — | $ | 11,176 | $ | — | $ | 11,176 | ||||||||
Futures Contracts |
2,018 | — | — | 2,018 | ||||||||||||
|
|
|||||||||||||||
Total Other Financial Instruments |
$ | 2,018 | $ | 11,176 | $ | — | $ | 13,194 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Latin America ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 60,701,960 | $ | — | $ | — | $ | 60,701,960 | ||||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Futures Contracts |
$ | 9,274 | $ | — | $ | — | $ | 9,274 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Mexico ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 9,936,121 | $ | — | $ | — | $ | 9,936,121 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Russia ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | — | $ | — | $ | — | c | $ | — | |||||||
|
|
|||||||||||||||
Franklin FTSE Saudi Arabia ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 5,448,215 | $ | — | $ | — | $ | 5,448,215 | ||||||||
|
|
330 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Franklin FTSE South Africa ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 2,950,631 | $ | — | $ | — | $ | 2,950,631 | ||||||||
|
|
|||||||||||||||
Franklin FTSE South Korea ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 43,835,235 | $ | — | $ | — | c | $ | 43,835,235 | |||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Futures Contracts |
$ | 491 | $ | — | $ | — | $ | 491 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Switzerland ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 49,266,798 | $ | — | $ | — | $ | 49,266,798 | ||||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Futures Contracts |
$ | 32,156 | $ | — | $ | — | $ | 32,156 | ||||||||
|
|
|||||||||||||||
Franklin FTSE Taiwan ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 27,726,628 | $ | — | $ | — | $ | 27,726,628 | ||||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Futures Contracts |
$ | 4,144 | $ | — | $ | — | $ | 4,144 | ||||||||
|
|
|||||||||||||||
Franklin FTSE United Kingdom ETF | ||||||||||||||||
Assets: | ||||||||||||||||
Investments in Securities:a |
||||||||||||||||
Equity Investmentsb |
$ | 386,700,511 | $ | — | $ | — | c | $ | 386,700,511 | |||||||
Short-Term Investments |
273,000 | — | — | 273,000 | ||||||||||||
|
|
|||||||||||||||
Total Investments in Securities |
$ | 386,973,511 | $ | — | $ | — | $ | 386,973,511 | ||||||||
|
|
|||||||||||||||
Liabilities: | ||||||||||||||||
Other Financial Instruments: |
||||||||||||||||
Futures Contracts |
$ | 236,095 | $ | — | $ | — | $ | 236,095 | ||||||||
|
|
aFor detailed categories, see the accompanying Schedule of Investments.
bIncludes common and preferred stocks, warrants, as well as other equity investments.
cIncludes securities determined to have no value at September 30, 2022.
10. Subsequent Events
The Funds have evaluated subsequent events through the issuance of these Financial Statements and determined that no events have occurred that require disclosure.
franklintempleton.com |
Semiannual Report |
331 |
FRANKLIN TEMPLETON ETF TRUST
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
10. Subsequent Events (continued)
Selected Portfolio | Counterparty | |||||
ADR | American Depositary Receipt | BOFA | Bank of America Corp. | |||
IDR | International Depository Receipt | DBAB | Deutsche Bank AG | |||
NVDR | Non-Voting Depositary Receipt | HSBK | HSBC Bank PLC | |||
REIT | Real Estate Investment Trust | MSCO | Morgan Stanley | |||
SF | Single Family | UBSW | UBS AG |
332 | Semiannual Report | franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
Board Approval of Investment Management Agreements
FRANKLIN TEMPLETON ETF TRUST
Franklin FTSE Asia ex Japan ETF
Franklin FTSE Japan ETF
Franklin FTSE Australia ETF
Franklin FTSE Japan Hedged ETF
Franklin FTSE Brazil ETF
Franklin FTSE Latin America ETF
Franklin FTSE Canada ETF
Franklin FTSE Mexico ETF
Franklin FTSE China ETF
Franklin FTSE Russia ETF
Franklin FTSE Europe ETF
Franklin FTSE Saudi Arabia ETF
Franklin FTSE Europe Hedged ETF
Franklin FTSE South Africa ETF
Franklin FTSE France ETF
Franklin FTSE South Korea ETF
Franklin FTSE Germany ETF
Franklin FTSE Switzerland ETF
Franklin FTSE Hong Kong ETF
Franklin FTSE Taiwan ETF
Franklin FTSE India ETF
Franklin FTSE United Kingdom ETF
Franklin FTSE Italy ETF
(each a Fund)
At a meeting held on May 25, 2022 (Meeting), the Board of Trustees (Board) of Franklin Templeton ETF Trust (Trust), including a majority of the trustees who are not “interested persons” as defined in the Investment Company Act of 1940 (Independent Trustees), reviewed and approved the continuance of the investment management agreement between Franklin Advisory Services, LLC (Manager) and the Trust, on behalf of each Fund (each a Management Agreement) for an additional one-year period. The Independent Trustees received advice from and met separately with Independent Trustee counsel in considering whether to approve the continuation of each Management Agreement. Although the Management Agreements for the Funds were considered at the same Board meeting, the Board considered the information provided to it about the Funds together and with respect to each Fund separately as the Board deemed appropriate.
In considering the continuation of each Management Agreement, the Board reviewed and considered information provided by the Manager at the Meeting and throughout the year at meetings of the Board and its committees. The Board
also reviewed and considered information provided in response to a detailed set of requests for information submitted to the Manager by Independent Trustee counsel on behalf of the Independent Trustees in connection with the annual contract renewal process. In addition, prior to the Meeting, the Independent Trustees held a virtual contract renewal meeting at which the Independent Trustees conferred amongst themselves and Independent Trustee counsel about contract renewal matters and subsequently, requested additional information from management that the Independent Trustees reviewed and considered at the Meeting. The Board reviewed and considered all of the factors it deemed relevant in approving the continuance of each Management Agreement, including, but not limited to: (i) the nature, extent and quality of the services provided by the Manager; (ii) each Fund’s tracking error against a specified benchmark index as of a recent period; (iii) the costs of the services provided and profits realized by the Manager and its affiliates from the relationship with each Fund; (iv) the extent to which economies of scale are realized as each Fund grows; and (v) whether fee levels reflect these economies of scale for the benefit of Fund investors.
In approving the continuance of each Management Agreement, the Board, including a majority of the Independent Trustees, determined that the terms of each Management Agreement are fair and reasonable and that the continuance of such Management Agreement is in the best interests of the applicable Fund and its shareholders. While attention was given to all information furnished, the following discusses some primary factors relevant to the Board’s determination.
Nature, Extent and Quality of Services
The Board reviewed and considered information regarding the nature, extent and quality of investment management services provided by the Manager and its affiliates to the Funds and their shareholders. This information included, among other things, the qualifications, background and experience of the senior management and investment personnel of the Manager; the structure of investment personnel compensation; oversight of third-party service providers; investment performance reports and related financial information for each Fund; reports on expenses; legal and compliance matters; risk controls; pricing and other services provided by the Manager and its affiliates; and management fees charged by the Manager and its affiliates to US funds and other accounts, including management’s explanation of differences among accounts where relevant.
franklintempleton.com |
Semiannual Report |
333 |
FRANKLIN TEMPLETON ETF TRUST
SHAREHOLDER INFORMATION
The Board acknowledged the ongoing integration of the Legg Mason family of funds into the Franklin Templeton (FT) family of funds and developing strategies to address areas of heightened concern in the registered fund industry, including various regulatory initiatives and recent geopolitical concerns.
The Board also reviewed and considered the benefits provided to Fund shareholders of investing in a fund that is part of the FT family of funds. The Board noted the financial position of Franklin Resources, Inc. (FRI), the Manager’s parent, and its commitment to the registered fund business as evidenced by its continued introduction of new funds, reassessment of the fund offerings in response to the market environment and project initiatives and capital investments relating to the services provided to the Funds by the FT organization. The Board specifically noted FT’s commitment to being a global leader in stewardship and sustainability and the recent addition of a senior executive focused on environmental, social and governance and climate control initiatives.
Following consideration of such information, the Board was satisfied with the nature, extent and quality of services provided by the Manager and its affiliates to the Funds and their shareholders.
Fund Performance
The Board noted that, in light of the Funds’ use of a “passive” or indexing investment approach, management evaluates each Fund based on their tracking error against a specified benchmark. The Board also noted that management did not provide peer fund performance analyses typically prepared by Broadridge Financial Solutions, Inc. (Broadridge), an independent provider of investment company data, as the Funds’ are pure-index exchange-traded funds as opposed to active or smart beta funds. The Board referenced earlier discussions with management on matters related to, among other things, the importance of performance to asset growth and growth of market share, and the performance of the Funds in periods of volatility. In addition, the Board acknowledged information provided regarding management’s strategy behind the overall product line-up, the sources of asset growth, the nature of management’s research, potential use of innovative data and technology, and investments in marketing and distribution. The Board noted management’s high level of client engagement and the strength of its compliance program. The Board then noted that for the one-year period ended February 28, 2022, each Fund’s tracking error was within the tolerance anticipated for such Fund, except that the tracking error for the Franklin FTSE Asia ex Japan ETF was 8.8 basis points outside the tolerance anticipated for this Fund, for the Franklin FTSE India ETF was 182.9 basis
points outside the tolerance for this Fund and for the Franklin FTSE Saudi Arabia ETF was 7 basis points outside the tolerance for this Fund. The Board discussed the tracking error of the Funds with management and management explained that, for the Franklin FTSE Asia ex Japan ETF and the Franklin FTSE India ETF, each Fund’s tracking error was outside the tolerance anticipated due, in part, to fees and capital gain tax accrual from holding Indian equities. Management further explained that, for the Franklin FTSE Saudi Arabia ETF, the Fund’s tracking error was outside the tolerance anticipated due, in part, to the compounding effect of fees in a period of strong absolute returns.
Comparative Fees and Expenses
The Board reviewed and considered information regarding each Fund’s actual total expense ratio, noting that each Fund pays a Unified Fee (as defined below). The Board considered the actual total expense ratio and, separately, the contractual management fee rate, without the effect of fee waivers, if any (Management Rate) of each Fund in comparison to the median expense ratio and median Management Rate, respectively, of other exchange-traded funds deemed comparable to and with a similar expense structure to the Fund selected by Broadridge (Expense Group). Broadridge fee and expense data is based upon information taken from each fund’s most recent annual or semi-annual report, which reflects historical asset levels that may be quite different from those currently existing, particularly in a period of market volatility. While recognizing such inherent limitation and the fact that expense ratios and Management Rates generally increase as assets decline and decrease as assets grow, the Board believed the independent analysis conducted by Broadridge to be an appropriate measure of comparative fees and expenses. The Broadridge Management Rate includes administrative charges. The Board received a description of the methodology used by Broadridge to select the exchange-traded funds included in an Expense Group. The Expense Group for each Fund was as follows:
• | The Expense Group for the Franklin FTSE Asia Ex Japan ETF was comprised of pure index exchange-traded funds, which included the Fund and two other Pacific ex-Japan funds. |
• | The Expense Group for the Franklin FTSE Australia ETF was comprised of pure index exchange-traded funds, which included the Fund and one other Pacific region fund. |
• | The Expense Group for the Franklin FTSE Brazil ETF was comprised of pure index exchange-traded funds, which included the Fund and two other Latin American funds. |
334 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SHAREHOLDER INFORMATION
• | The Expense Group for the Franklin FTSE Canada ETF was comprised of pure index exchange-traded funds, which included the Fund and two other international large-cap core funds. |
• | The Expense Group for the Franklin FTSE China ETF was comprised of pure index exchange-traded funds, which included the Fund and six other China region funds. |
• | The Expense Group for the Franklin FTSE Europe ETF was comprised of pure index exchange-traded funds, which included the Fund and four other European region funds. |
• | The Expense Group for the Franklin FTSE Europe Hedged ETF was comprised of pure index exchange- traded funds, which included the Fund and two other European region funds. |
• | The Expense Group for the Franklin FTSE France ETF was comprised of pure index exchange-traded funds, which included the Fund and two other European region funds. |
• | The Expense Group for the Franklin FTSE Germany ETF was comprised of pure index exchange-traded funds, which included the Fund and two other European region funds. |
• | The Expense Group for the Franklin FTSE Hong Kong ETF was comprised of pure index exchange-traded funds, which included the Fund and one other China region fund. |
• | The Expense Group for the Franklin FTSE India ETF was comprised of pure index exchange-traded funds, which included the Fund and three other India region funds. |
• | The Expense Group for the Franklin FTSE Italy ETF was comprised of pure index exchange-traded funds, which included the Fund and one other European region fund. |
• | The Expense Group for the Franklin FTSE Japan ETF was comprised of pure index exchange-traded funds, which included the Fund and two other Japanese funds. |
• | The Expense Group for the Franklin FTSE Japan Hedged ETF was comprised of pure index exchange- traded funds, which included the Fund and two other Japanese funds. |
• | The Expense Group for the Franklin FTSE Latin America ETF was comprised of pure index exchange-traded funds, which included the Fund and one other Latin American fund. |
• | The Expense Group for the Franklin FTSE Mexico ETF was comprised of pure index exchange-traded funds, which included the Fund and one other Latin American fund. |
• | The Expense Group for the Franklin FTSE Russia ETF was comprised of pure index exchange-traded funds, which included the Fund and two other emerging markets funds. |
• | The Expense Group for the Franklin FTSE Saudi Arabia ETF was comprised of pure index exchange-traded funds, which included the Fund and one other emerging markets fund. |
• | The Expense Group for the Franklin FTSE South Africa ETF was comprised of pure index exchange-traded funds, which included the Fund and one other emerging markets fund. |
• | The Expense Group for the Franklin FTSE South Korea ETF was comprised of pure index exchange-traded funds, which included the Fund and two other Pacific ex-Japan funds. |
• | The Expense Group for the Franklin FTSE Swit- zerland ETF was comprised of pure index exchange- traded funds, which included the Fund and one other European region fund. |
• | The Expense Group for the Franklin FTSE Taiwan ETF was comprised of pure index exchange-traded funds, which included the Fund and one other China region fund. |
• | The Expense Group for the Franklin FTSE United Kingdom ETF was comprised of pure index exchange- traded funds, which included the Fund and one other European region fund. |
The Board noted that the Management Rates and actual total expense ratios for the Funds were below the medians of their respective Expense Groups, except that the actual total expense ratio for each of the Franklin FTSE Asia Ex Japan ETF, Franklin FTSE Europe ETF, Franklin FTSE Europe Hedged ETF and Franklin FTSE Japan Hedged ETF was equal to the median of its Expense Group. The Board also noted the small size of each Fund’s Expense Group, except for the Franklin FTSE China ETF which had six peers in its Expense Group. The Board further noted each Fund’s unified management fee (Unified Fee). The Board also noted that pursuant to the Unified Fee arrangement the Manager reimburses the Fund for all of its acquired fund fees and expenses (if any) and pays all of the ordinary operating expenses of the Fund, except for (i) the Fund’s Unified Fee, (ii) payments under the Fund’s Rule 12b-1 plan (if any), (iii) brokerage expenses, (iv) taxes, (v) interest (including borrowing costs and dividend expenses on securities sold short and overdraft charges), (vi) litigation expenses (including litigation to which the Trust or the Fund may be a party and indemnification of the Trustees and officers with respect thereto), and
franklintempleton.com |
Semiannual Report |
335 |
FRANKLIN TEMPLETON ETF TRUST
SHAREHOLDER INFORMATION
(vii) other non-routine or extraordinary expenses. The Board concluded that the Management Rate charged to each Fund is reasonable.
Profitability
The Board reviewed and considered information regarding the profits realized by the Manager and its affiliates in connection with the operation of each Fund. In this respect, the Board considered the Fund profitability analysis that addresses the overall profitability of FT’s US fund business, as well as its profits in providing investment management and other services to each of the individual funds during the 12-month period ended September 30, 2021, being the most recent fiscal year-end for FRI. The Board noted that although management continually makes refinements to its methodologies used in calculating profitability in response to organizational and product-related changes, the overall methodology has remained consistent with that used in the Funds’ profitability report presentations from prior years. The Board also noted that PricewaterhouseCoopers LLP, auditor to FRI and certain FT funds, has been engaged to periodically review and assess the allocation methodologies to be used solely by the Funds’ Board with respect to the profitability analysis.
The Board noted management’s belief that costs incurred in establishing the infrastructure necessary for the type of fund operations conducted by the Manager and its affiliates may not be fully reflected in the expenses allocated to each Fund in determining its profitability, as well as the fact that the level of profits, to a certain extent, reflected operational cost savings and efficiencies initiated by management. As part of this evaluation, the Board considered management’s outsourcing of certain operations, which effort has required considerable up-front expenditures but, over the long run, is expected to result in greater efficiencies. The Board also noted management’s expenditures in improving shareholder services provided to the Funds, as well as the need to implement systems and meet additional regulatory and compliance requirements resulting from recent US Securities and Exchange Commission and other regulatory requirements.
The Board also considered the extent to which the Manager and its affiliates might derive ancillary benefits from fund operations, including potential benefits resulting from personnel and systems enhancements necessitated by fund growth, as well as increased leverage with service providers and counterparties. Based upon its consideration of all these factors, the Board concluded that the level of profits realized by the Manager and its affiliates from providing services to each Fund was not excessive in view of the nature, extent and quality of services provided to each Fund.
Economies of Scale
The Board reviewed and considered the extent to which the Manager may realize economies of scale, if any, as each Fund grows larger and whether each Fund’s management fee structure reflects any economies of scale for the benefit of shareholders. The Board considered that each Fund would likely experience benefits from the Unified Fee at the Fund’s projected asset levels because of the Manager’s contractual requirement to bear most of the Fund’s ordinary operating expenses. The Board noted that, under the Unified Fee, it is not anticipated that any of the Funds will generate significant, if any, profit for the Manager and/or its affiliates for some time. The Board considered management’s view that any analyses of potential economies of scale in managing a particular fund are inherently limited in light of the joint and common costs and investments the Manager incurs across the FT family of funds as a whole. The Board also noted that, as of December 31, 2021, each Fund (except for the Franklin FTSE Japan ETF and Franklin FTSE United Kingdom ETF) had net assets below $250 million (and in most cases much less). The Board also noted management’s representation that, while the Franklin FTSE Japan ETF and Franklin FTSE United Kingdom ETF had net assets of approximately $809 million and $611 million, respectively, as of December 31, 2021, none of the Funds experienced a profit for the fiscal year ended September 30, 2021. The Board recognized that there would not likely be any economies of scale for a Fund until the Fund’s assets grow.
Conclusion
Based on its review, consideration and evaluation of all factors it believed relevant, including the above-described factors and conclusions, the Board unanimously approved the continuation of each Management Agreement for an additional one-year period.
Liquidity Risk Management Program –In-Kind ETFs
Franklin FTSE Australia ETF
Franklin FTSE Canada ETF
Franklin FTSE Europe ETF
Franklin FTSE Europe Hedged ETF
Franklin FTSE France ETF
Franklin FTSE Germany ETF
Franklin FTSE Hong Kong ETF
Franklin FTSE Italy ETF
Franklin FTSE Japan ETF
Franklin FTSE Japan Hedged ETF
Franklin FTSE Mexico ETF
336 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SHAREHOLDER INFORMATION
Franklin FTSE Russia ETF
Franklin FTSE South Africa ETF
Franklin FTSE Switzerland ETF
Franklin FTSE United Kingdom ETF
Each of the Funds has adopted and implemented a written Liquidity Risk Management Program (the “LRMP”) as required by Rule 22e-4 under the Investment Company Act of 1940 (the “Liquidity Rule”). The LRMP is designed to assess and manage each Fund’s liquidity risk, which is defined as the risk that the Fund could not meet requests to redeem shares issued by the Fund without significant dilution of remaining investors’ interests in the Fund. Each of the Funds is an exchange-traded fund (“ETF”) that is considered an “In-Kind ETF” under the Liquidity Rule, which means that the Fund satisfies requests for redemption through in-kind transfers of portfolio securities, positions, and other assets, except for a de minimis amount of cash, and publishes its portfolio holdings daily. In accordance with the Liquidity Rule, the LRMP includes policies and procedures that provide for: (1) assessment, management, and review (no less frequently than annually) of each Fund’s liquidity risk; (2) prohibiting the Fund’s acquisition of Illiquid investments that would result in the Fund holding more than 15% of its net assets in Illiquid assets. The LRMP also requires reporting to the SEC (on a non-public basis) and to the Board if the Fund’s holdings of Illiquid assets exceed 15% of the Fund’s net assets. As an In-Kind ETF, the Fund is not required to include in the LRMP policies and procedures relating to classification of portfolio holdings into four liquidity categories or establishing a highly liquid investment minimum (“HLIM”).
The Funds’ Board of Trustees approved the appointment of the Director of Liquidity Risk within the Investment Risk Management Group (the “IRMG”) as the Administrator of the LRMP. The IRMG maintains the Investment Liquidity Committee (the “ILC”) to provide oversight and administration of policies and procedures governing liquidity risk management for FT products and portfolios. The ILC includes representatives from Franklin Templeton’s Risk, Trading, Global Compliance, Investment Compliance, Investment Operations, Valuation Committee, Product Management and Global Product Strategy.
In assessing and managing each Fund’s liquidity risk, the ILC considers, as relevant, a variety of factors, including the Fund’s investment strategy and the liquidity of its portfolio investments during both normal and reasonably foreseeable stressed conditions; its short and long-term cash flow projections; and its cash holdings and access to other funding
sources including the Funds’ interfund lending facility and line of credit. Because the Funds are ETFs, the ILC also considers, as relevant, (1) the relationship between the Fund’s portfolio liquidity and the way in which, and the prices and spread at which, Fund shares trade, including the efficiency of the arbitrage function and the level of active participation by market participants, including authorized participants and (2) the effect of the composition of baskets on the overall liquidity of the Fund’s portfolio.
At meetings of the Funds’ Board of Trustees held in May 2021, the Program Administrator provided a written report to the Board addressing the adequacy and effectiveness of the program for the year ended December 31, 2020. The Program Administrator report concluded that (i.) the LRMP, as adopted and implemented, remains reasonably designed to assess and manage each Fund’s liquidity risk; (ii.) the LRMP, including the Highly Liquid Investment Minimum (“HLIM”) where applicable, was implemented and operated effectively to achieve the goal of assessing and managing each Fund’s liquidity risk; and (iii.) each Fund was able to meet requests for redemption without significant dilution of remaining investors’ interests in the Fund.
Liquidity Risk Management Program –Non-In-Kind ETFs
Franklin FTSE Asia ex Japan ETF
Franklin FTSE Brazil ETF
Franklin FTSE China ETF
Franklin FTSE India ETF
Franklin FTSE Latin America ETF
Franklin FTSE Saudi Arabia ETF
Franklin FTSE South Korea ETF
Franklin FTSE Taiwan ETF
Each of the Funds has adopted and implemented a written Liquidity Risk Management Program (the “LRMP”) as required by Rule 22e-4 under the Investment Company Act of 1940 (the “Liquidity Rule”). The LRMP is designed to assess and manage each Fund’s liquidity risk, which is defined as the risk that the Fund could not meet requests to redeem shares issued by the Fund without significant dilution of remaining investors’ interests in the Fund. In accordance with the Liquidity Rule, the LRMP includes policies and procedures that provide for: (1) assessment, management, and review (no less frequently than annually) of each Fund’s liquidity risk; (2) classification of each Fund’s portfolio holdings into one of four liquidity categories (Highly Liquid, Moderately Liquid, Less Liquid, and Illiquid); (3) for Funds
franklintempleton.com |
Semiannual Report |
337 |
FRANKLIN TEMPLETON ETF TRUST
SHAREHOLDER INFORMATION
that do not primarily hold assets that are Highly Liquid, establishing and maintaining a minimum percentage of the Fund’s net assets in Highly Liquid investments (called a “Highly Liquid Investment Minimum” or “HLIM”); and (4) prohibiting the Fund’s acquisition of Illiquid investments that would result in the Fund holding more than 15% of its net assets in Illiquid assets. The LRMP also requires reporting to the Securities and Exchange Commission (“SEC”) (on a non-public basis) and to the Board if the Fund’s holdings of Illiquid assets exceed 15% of the Fund’s net assets. Funds with HLIMs must have procedures for addressing HLIM shortfalls, including reporting to the Board and, with respect to HLIM shortfalls lasting more than seven consecutive calendar days, reporting to the SEC (on a non-public basis).
The Funds’ Board of Trustees approved the appointment of the Director of Liquidity Risk within the Investment Risk Management Group (the “IRMG”) as the Administrator of the LRMP. The IRMG maintains the Investment Liquidity Committee (the “ILC”) to provide oversight and administration of policies and procedures governing liquidity risk management for FT products and portfolios. The ILC includes representatives from Franklin Templeton’s Risk, Trading, Global Compliance, Investment Compliance, Investment Operations, Valuation Committee, Product Management and Global Product Strategy.
In assessing and managing each Fund’s liquidity risk, the ILC considers, as relevant, a variety of factors, including (i) the Fund’s investment strategy and the liquidity of its portfolio investments during both normal and reasonably foreseeable stressed conditions; (ii) its short and long-term cash flow projections; (iii) its cash holdings and access to other funding sources including the Funds’ interfund lending facility and line of credit; (iv) the relationship between the Fund’s portfolio liquidity and the way in which, and the prices and spread at which, Fund shares trade, including the efficiency of the arbitrage function and the level of active participation by market participants, including authorized participants and (v) the effect of the composition of baskets on the overall liquidity of the Fund’s portfolio. Classification of the Fund’s portfolio holdings in the four liquidity categories is based on the number of days it is reasonably expected to take to convert the investment to cash (for Highly Liquid and Moderately Liquid holdings) or sell or dispose of the investment (for Less Liquid and Illiquid investments), in current market conditions without significantly changing the investment’s market value.
The Fund primarily holds liquid assets that are defined under the Liquidity Rule as “Highly Liquid Investments,” and therefore is not required to establish an HLIM. Highly Liquid
Investments are defined as cash and any investment reasonably expected to be convertible to cash in current market conditions in three business days or less without the conversion to cash significantly changing the market value of the investment.
At meetings of the Funds’ Board of Trustees held in May 2021, the Program Administrator provided a written report to the Board addressing the adequacy and effectiveness of the program for the year ended December 31, 2020. The Program Administrator report concluded that (i.) the LRMP, as adopted and implemented, remains reasonably designed to assess and manage each Fund’s liquidity risk; (ii.) the LRMP, including the Highly Liquid Investment Minimum (“HLIM”) where applicable, was implemented and operated effectively to achieve the goal of assessing and managing each Fund’s liquidity risk; and (iii.) each Fund was able to meet requests for redemption without significant dilution of remaining investors’ interests in the Fund.
Proxy Voting Policies and Procedures
The Trust’s investment manager has established Proxy Voting Policies and Procedures (Policies) that the Trust uses to determine how to vote proxies relating to portfolio securities. Shareholders may view the Trust’s complete Policies online at franklintempleton.com. Alternatively, shareholders may request copies of the Policies free of charge by calling the Proxy Group collect at (954) 527-7678 or by sending a written request to: Franklin Templeton Companies, LLC, 300 S.E. 2nd Street, Fort Lauderdale, FL 33301, Attention: Proxy Group. Copies of the Trust’s proxy voting records are also made available online at franklintempleton.com and posted on the U.S. Securities and Exchange Commission’s website at sec.gov and reflect the most recent 12-month period ended June 30.
Quarterly Schedule of Investments
The Trust files a complete schedule of investments with the U.S. Securities and Exchange Commission for the first and third quarters for each fiscal year as an exhibit to its report on Form N-PORT. Shareholders may view the filed Form N-PORT by visiting the Commission’s website at sec.gov. The filed form may also be viewed and copied at the Commission’s Public Reference Room in Washington, DC. Information regarding the operations of the Public Reference Room may be obtained by calling (800) SEC-0330.
338 |
Semiannual Report |
franklintempleton.com |
FRANKLIN TEMPLETON ETF TRUST
SHAREHOLDER INFORMATION
Premium/Discount Information
Information about the differences between the daily market price on the secondary market for the shares of each Fund and each Fund’s net asset value may be found on each Fund’s website at franklintempleton.com.
franklintempleton.com |
Semiannual Report |
339 |
Authorized for distribution only when accompanied or preceded by a summary prospectus and/or prospectus. Investors should carefully consider a fund’s investment goals, risks, charges and expenses before investing. A prospectus contains this and other information; please read it carefully before investing.
To help ensure we provide you with quality service, all calls to and from our service areas are monitored and/or recorded.
Semiannual Report Franklin Templeton ETF Trust |
||||||
Investment Manager | Distributor | Investor Services | ||||
Franklin Advisory Services, LLC |
Franklin Distributors, LLC (800) DIAL BEN®/342-5236 franklintempleton.com |
Transfer Agent State Street Bank and Trust Company 1 Heritage Drive Mail Stop OHD0100 North Quincy, MA 02171 | ||||
© 2022 Franklin Templeton Investments. All rights reserved. | ETF5 S 11/22 |