Franklin Resources, Inc. Announces Month-End Assets Under Management

Rhea-AI Summary

Franklin Resources, Inc. (NYSE: BEN) reported preliminary month-end assets under management (AUM) of $1,387.5 billion as of December 31, 2022, down from $1,410.6 billion on November 30, 2022. This decline was due to negative market impact partially offset by long-term net inflows. For the quarter, AUM included the positive effects of market performance and the acquisition of Alcentra, despite long-term net outflows of $10.9 billion, which incorporated $12.1 billion in reinvested distributions.

Positive

• AUM positively impacted by market performance and acquisition of Alcentra.
• Long-term net inflows helped offset some negative market impacts.

Negative

• Total AUM decreased from $1,410.6 billion in November to $1,387.5 billion in December.
• Long-term net outflows totaled $10.9 billion, including $12.1 billion in reinvested distributions.

SAN MATEO, Calif.--(BUSINESS WIRE)-- Franklin Resources, Inc. (Franklin Templeton) (NYSE: BEN) today reported preliminary month-end assets under management (AUM) of $1,387.5 billion at December 31, 2022, compared to $1,410.6 billion at November 30, 2022. This month’s decrease in AUM reflected the impact of negative markets, partially offset by long-term net inflows.

For the quarter ended December 31, 2022, AUM reflected the positive impact of markets and the acquisition of Alcentra¹, partially offset by long-term net outflows of $10.9 billion which include $12.1 billion in reinvested distributions.

By Asset Class:

(In USD billions)	Preliminary
	31-Dec-22		30-Nov-22		30-Sep-22		30-Jun-22		31-Dec-21
Fixed Income	$495.2		$497.9		$490.9		$536.3		$642.1
Equity	419.5		442.0		392.3		424.9		563.4
Alternative	256.4		257.0		225.1		224.8		154.3
Multi-Asset	141.4		144.1		131.5		136.2		154.0
Long Term:	1,312.5		1,341.0		1,239.8		1,322.2		1,513.8
Cash Management	75.0		69.6		57.6		57.6		64.3
Total	$1,387.5		$1,410.6		$1,297.4		$1,379.8		$1,578.1

¹On November 1, 2022, Franklin Templeton completed the acquisition of Alcentra, a leading European credit and private debt manager. Alcentra had total AUM of $35 billion as of October 31, 2022.

About Franklin Templeton

Franklin Resources, Inc. [NYSE:BEN] is a global investment management organization with subsidiaries operating as Franklin Templeton and serving clients in over 155 countries. Franklin Templeton’s mission is to help clients achieve better outcomes through investment management expertise, wealth management and technology solutions. Through its specialist investment managers, the company offers specialization on a global scale, bringing extensive capabilities in fixed income, equity, alternatives and multi-asset solutions. With offices in more than 30 countries and approximately 1,300 investment professionals, the California-based company has over 75 years of investment experience. The company posts information that may be significant for investors in the Investor Relations and News Center sections of its website, and encourages investors to consult those sections regularly. For more information, please visit investors.franklinresources.com.

Forward-Looking Statements

The financial results in this press release are preliminary. Some of the statements herein may include forward-looking statements that reflect our current views with respect to future events, financial performance and market conditions. Such statements are provided under the “safe harbor” protection of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that do not relate solely to historical or current facts and generally can be identified by words or phrases written in the future tense and/or preceded by words such as “anticipate, “believe,” “could,” “depends,” “estimate,” “expect,” “intend,” “likely,” “may,” “plan,” “potential,” “preliminary,” “seek,” “should,” “will,” “would,” or other similar words or variations thereof, or the negative thereof, but these terms are not the exclusive means of identifying such statements.

Forward-looking statements involve a number of known and unknown risks, uncertainties and other important factors that may cause actual results and outcomes to differ materially from any future results or outcomes expressed or implied by such forward-looking statements, including pandemic-related risks, market and volatility risks, investment performance and reputational risks, global operational risks, competition and distribution risks, third-party risks, technology and security risks, human capital risks, cash management risks, and legal and regulatory risks. While forward-looking statements are our best prediction at the time that they are made, you should not rely on them and are cautioned against doing so. Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy and other possible future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. They are neither statements of historical fact nor guarantees or assurances of future performance. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them.

These and other risks, uncertainties and other important factors are described in more detail in our recent filings with the U.S. Securities and Exchange Commission, including, without limitation, in Risk Factors and Management’s Discussion and Analysis of Financial Condition and Results of Operations in our Annual Report on Form 10-K for the fiscal year ended September 30, 2022 and our subsequent Quarterly Reports on Form 10-Q. If a circumstance occurs after the date of this press release that causes any of our forward-looking statements to be inaccurate, whether as a result of new information, future developments or otherwise, we undertake no obligation to announce publicly the change to our expectations, or to make any revision to our forward-looking statements, to reflect any change in assumptions, beliefs or expectations, or any change in events, conditions or circumstances upon which any forward-looking statement is based, unless required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230111005969/en/

Franklin Resources, Inc.

Investor Relations: Selene Oh (650) 312-4091, selene.oh@franklintempleton.com

Media Relations: Matt Walsh (650) 312-2245, matthew.walsh@franklintempleton.com

investors.franklinresources.com

Source: Franklin Resources, Inc.

FAQ

What are the latest AUM figures for Franklin Resources as of December 31, 2022?

The preliminary assets under management (AUM) for Franklin Resources, Inc. as of December 31, 2022, are $1,387.5 billion.

How much did Franklin Resources' AUM decline from November to December 2022?

Franklin Resources' AUM decreased by $23.1 billion from $1,410.6 billion in November to $1,387.5 billion in December 2022.

What caused the decline in AUM for Franklin Resources in December 2022?

The decline in AUM was primarily due to negative market conditions, although it was partially offset by long-term net inflows.

What were the long-term net outflows reported by Franklin Resources for Q4 2022?

Franklin Resources reported long-term net outflows of $10.9 billion for the quarter ended December 31, 2022.

How much of the long-term net outflows were due to reinvested distributions?

Of the $10.9 billion in long-term net outflows, $12.1 billion were attributed to reinvested distributions.