Franklin Emerging Market Core Dividend Tilt Index ETF (DIEM)

Overview

This company manages a specialized investment fund that primarily allocates its assets in the securities that comprise a specific index, along with depositary receipts associated with those securities. The fund's investment strategy is focused on achieving at least 80% investment in the components of an index based on the Morningstar® Emerging Markets Target Market Exposure Index (Parent Index). By leveraging an optimization process applied to the Parent Index, the fund seeks to provide a higher dividend yield relative to the Parent Index, while also striving to maintain a low expected tracking error against it. This approach caters to investors looking for exposure to emerging markets with the potential for enhanced dividend income, without significantly deviating from the performance of the underlying Parent Index.

Products and Services

• Emerging Markets Equity Fund

  This product is an equity fund that targets investment in a diverse range of securities from emerging markets. By closely tracking the Morningstar® Emerging Markets Target Market Exposure Index through optimized security selection, the fund aims to offer investors a higher dividend yield with controlled tracking error, optimizing the balance between risk and return in the emerging markets equity space.

• Depositary Receipts Investments

  The company also invests in depositary receipts, which are negotiable financial instruments issued by banks to represent a certain number of shares of a foreign company's stock. This allows the fund to gain exposure to international markets, particularly within the emerging markets, enhancing the potential for diversified income sources and potentially higher returns for the fund's investors.